Internet Business expected to slowdown in June
A recent survey conducted by Nielsen//NetRatings shows that active Internet home users worldwide decreased by slightly more than half a percent in April 2006 compared to the previous month. The decline followed a 2.16 percent increase reported in March.
The dip, which amounted to a drop of about 1.8 million people, was due to fewer users in several countries.
The largest loss in terms of number of home users was recorded in Germany, (-841,310 difference over March data) followed by the US (-762,132), Brazil (-675,226), Spain (-412,608), and Australia (-74,655).
In terms of percentage loss, Brazil led the pack with a decline of 4.79% followed by Spain (-3.40%), Germany (-2.55%), Australia (-0.73%), and the US (-0.53%).
To explain the shortfall is not an easy thing to do. After the encouraging increase of just a month ago, there is no other development that can said to have a significant impact in the decline a month later. The Internet does not necessary has a standard seasonal low period per se especially for home users.
All I can deduce with some degree of confidence is that the above data could very much be an indication that the World Cup 2006 (i.e., football, or soccer as it is called in a handful of countries) is nearing fever pitch.
Firstly, Germany (i.e., the host nation for the World Cup) and Brazil (i.e., the football mad country and the defending champion) recorded the largest loss in terms of users and percentage respectively.
Secondly, all the top 5 biggest losers in terms of home users are countries that will be competing at the coming World Cup, which kicks off on June 9.
What can be assumed is that a significant number of Internet home users cum football fans are already in Germany, and most if not all, will not be too inclined to surf the Net. They have already done all the necessary shopping at home. Any more shopping will be reserved for Germany, and it's not likely they will shop for memorabilia and souvenirs via the Net. Most may access the Internet, if required, at a Cyber Cafe or at their hotel's business center.
Germans themselves may be too busy putting the finishing touch before the opening match, entertaining or making sales from their guests from all over the world, catch a glimpse of the superstars practicing, or simply awe by the sudden influx of people of all colors and cultures in their neighborhood to do any surfing at all.
And what about the Americans, which make up a sizeable portion of Internet home users worldwide? Yeah, they might not fancy the sissy game of soccer although they were a semifinalist in the last World Cup. But I wonder how many Americans of Italian, Hispanic, Latino, German and other descent will also be tuning in to the tube rather than surfing the Net.
On the other side of the hemisphere, don't expect the Asians to do much surfing at home either. They might very well prefer to catch up with some sleep than access the Internet. Don't be surprise that even office users will dip as most may be too busy talking about the early morning matches or just steal some shut-eye. In fact, productivity is traditionally down during a World Cup year.
As for the Australians, after a wait of 32 years to qualify the Finals once more, I don't think most of them will prefer to ignore the World Cup completely and surf the Net as usual. Even their own "footy" (i.e., Australian Rules football, etc.) may be affected as the nation's pride is at stake in Germany.
I'm not even going to talk about the African nations much. Internet access is still extremely low in the continent and could reach record low during the World Cup. Three African countries will be competing at the Finals for the first time, and you can expect all eyes will be glued to the tele. They might even declare a public holiday after each win.
What this means is that you can expect active home users to be on the decline during June and at least the first half of July. During the month-long World Cup competition, most fans worldwide would prefer the TV to the Internet. TV still beats the Internet hands down when it comes to watching a live football match. Thus, surfing activity should be down.
If your Internet business is not in the football or related niche, you can expect a slowdown in terms of both visitors and sales. After all, football has the largest following of all sports. Don't expect a Brazilian, an Englishmen or a Spaniard to surf the Net at home very often during this period. They will be either watching the matches on TV or debating with their mates on how their team will fare in the next match.
So, do prepare to suffer a little hiccup during the World Cup. You can either ride the storm or change your niche to everything football. But if you are a football fanatic, God bless your business.
Personally, as an ardent football follower (I won't call myself a fanatic) the World Cup period will be one of the most challenging times of my Internet Business endeavor, especially as I'd just started building my SBI! site.
We shall see...
The dip, which amounted to a drop of about 1.8 million people, was due to fewer users in several countries.
The largest loss in terms of number of home users was recorded in Germany, (-841,310 difference over March data) followed by the US (-762,132), Brazil (-675,226), Spain (-412,608), and Australia (-74,655).
In terms of percentage loss, Brazil led the pack with a decline of 4.79% followed by Spain (-3.40%), Germany (-2.55%), Australia (-0.73%), and the US (-0.53%).
To explain the shortfall is not an easy thing to do. After the encouraging increase of just a month ago, there is no other development that can said to have a significant impact in the decline a month later. The Internet does not necessary has a standard seasonal low period per se especially for home users.
All I can deduce with some degree of confidence is that the above data could very much be an indication that the World Cup 2006 (i.e., football, or soccer as it is called in a handful of countries) is nearing fever pitch.
Firstly, Germany (i.e., the host nation for the World Cup) and Brazil (i.e., the football mad country and the defending champion) recorded the largest loss in terms of users and percentage respectively.
Secondly, all the top 5 biggest losers in terms of home users are countries that will be competing at the coming World Cup, which kicks off on June 9.
What can be assumed is that a significant number of Internet home users cum football fans are already in Germany, and most if not all, will not be too inclined to surf the Net. They have already done all the necessary shopping at home. Any more shopping will be reserved for Germany, and it's not likely they will shop for memorabilia and souvenirs via the Net. Most may access the Internet, if required, at a Cyber Cafe or at their hotel's business center.
Germans themselves may be too busy putting the finishing touch before the opening match, entertaining or making sales from their guests from all over the world, catch a glimpse of the superstars practicing, or simply awe by the sudden influx of people of all colors and cultures in their neighborhood to do any surfing at all.
And what about the Americans, which make up a sizeable portion of Internet home users worldwide? Yeah, they might not fancy the sissy game of soccer although they were a semifinalist in the last World Cup. But I wonder how many Americans of Italian, Hispanic, Latino, German and other descent will also be tuning in to the tube rather than surfing the Net.
On the other side of the hemisphere, don't expect the Asians to do much surfing at home either. They might very well prefer to catch up with some sleep than access the Internet. Don't be surprise that even office users will dip as most may be too busy talking about the early morning matches or just steal some shut-eye. In fact, productivity is traditionally down during a World Cup year.
As for the Australians, after a wait of 32 years to qualify the Finals once more, I don't think most of them will prefer to ignore the World Cup completely and surf the Net as usual. Even their own "footy" (i.e., Australian Rules football, etc.) may be affected as the nation's pride is at stake in Germany.
I'm not even going to talk about the African nations much. Internet access is still extremely low in the continent and could reach record low during the World Cup. Three African countries will be competing at the Finals for the first time, and you can expect all eyes will be glued to the tele. They might even declare a public holiday after each win.
What this means is that you can expect active home users to be on the decline during June and at least the first half of July. During the month-long World Cup competition, most fans worldwide would prefer the TV to the Internet. TV still beats the Internet hands down when it comes to watching a live football match. Thus, surfing activity should be down.
If your Internet business is not in the football or related niche, you can expect a slowdown in terms of both visitors and sales. After all, football has the largest following of all sports. Don't expect a Brazilian, an Englishmen or a Spaniard to surf the Net at home very often during this period. They will be either watching the matches on TV or debating with their mates on how their team will fare in the next match.
So, do prepare to suffer a little hiccup during the World Cup. You can either ride the storm or change your niche to everything football. But if you are a football fanatic, God bless your business.
Personally, as an ardent football follower (I won't call myself a fanatic) the World Cup period will be one of the most challenging times of my Internet Business endeavor, especially as I'd just started building my SBI! site.
We shall see...
posted by e-borneo.com @ 7:13 pm
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