Tag: report

Middle East Has World’s Second Fastest Internet Traffic Growth

MMM 1 Comment

According to a new study from TeleGeography, a telecommunications research and advisory firm, international internet traffic grew 53% between mid-2007 and mid-2008, down from 61% the preceding year.

The Middle East claims the second fastest internet traffic growth in the world, with a growth rate of 97% a year since 2005. South Asia, with its booming economies, comes in first place, with an average annual rate of 103%.
The slowest growing region of the world is North America, with a 57% annual growth rate.

Internet Traffic (TeleGeography)

For the second consecutive year, total international internet capacity grew faster than total internet traffic, leading to lower utilisation levels on many internet backbones. Between 2007 and 2008 average traffic utilisation levels decreased from 31% to 29%, while peak utilisation fell from 44% to 43%. The aggregate trend toward lower utilisation of capacity belies significant regional differences. While utilisation on international links to Europe and Asia fell in 2008, they rose in the US & Canada and Latin America where traffic growth outpaced the deployment of new internet bandwidth.

The Middle East is connected to the rest of the world by only a handful of undersea cables, and was hit hard by widespread internet blackouts in late January, after the simultaneous failure of some of these undersea cables located off Egypt’s Mediterranean coast.

Many major telecommunications company in the region are currently involved in a number of international cable projects, with more than $1 billion of investment, to augment internet capacity for the region.

Tunisia Internet Users And E-Commerce Survey Report 2008

MMM 10 Comments

Arab Advisors GroupA new Arab Advisors Group major survey of Internet users in Tunisia revealed that 36.4% of Internet users in Tunisia use e-commerce. Based on the survey results, the Arab Advisors Group estimates that Tunisia’s Internet users spent US$ 132.7 million during the past 12 months in e-commerce transactions.

The survey report, ‘Tunisia Internet users and e-commerce Survey 2008’ was released on August 20, 2008 and provides the results of a major comprehensive online survey of Internet users in Tunisia. The survey covered the Internet usage, e commerce and cellular usage and habits of the Internet users in Tunisia. The survey field work was conducted between May and July 2008.

Respondents were randomly targeted by receiving an email shot in their inbox to ask them to fill the survey in cooperation with reputable mail list providers in Tunisia. The survey report includes online replies from 1,093 respondents. Quality control checks and personal validation were conducted by Arab Advisors Group’s team. The survey was conducted on the general Internet population, including both genders and all age groups across Tunisia. The online survey yields a confidence level of 99% with a margin of error of less than 4%.

According to the survey results, 84.0% of Internet users in Tunisia have Internet access at home, 75.8% use Internet at work, while 24.0% use public hot spots. Naturally, access methods overlapped.

While the survey covered Internet users, it also probed the reasons behind why other members of the same households surveyed do not use the Internet. Based on the feedback of Internet users, computer illiteracy, lack of interest, lack of a perceived need to use the Internet and being too young to use the Internet are the main reasons for keeping non-Internet users in Tunisia from using the Internet.

The survey also revealed e-commerce adoption in Tunisia. 36.4% of Tunisia Internet users shop online or through their mobile phone. The Arab Advisors Group estimated the number of e-commerce users in Tunisia to be over 416000 and total e-commerce expenditure during the past year to be US$ 132.7 million.

“The majority of e-commerce users make electronic payments through credit cards. 64.8% of e-commerce users use credit cards as their e-commerce method of payment. Following credit cards, 27.4% of e-commerce users use prepaid Internet shopping card for their payments. ” Mr. Hussam Barhoush, Arab Advisors senior research analyst wrote in the survey report.

This survey report can be purchased from the Arab Advisors Group, who can provide a copy of the report’s Table of Contents and the survey questions. The survey report includes 70 pages and 82 detailed exhibits.

Madar Research Reports Growth In Online Advertising Spend

MMM

Madar ResearchMadar Research reports that online advertising spend in the GCC-Levant region registered a growth twice the global rate in 2007. Travel/Hospitality and Real Estate sectors emerged as top online advertising spenders in the region during the past year with a combined outlay comprising nearly half (45%) of the total online spend.

As in previous years, the ongoing rapid growth in online advertising spend in the GCC-Levant region still failed to deliver a market share on par, or at least comparable, with the current world statistics. However, this scenario is expected to improve over the long term as the global market reaches maturity, causing a stable, less rapid growth compared to that of the regional market.

Overall global advertising spend grew by 5.2% last year (2007) fueled by developing markets, whose advertising spend growth managed to offset the comparatively slower growth experienced in developed markets like the United States. On the other hand, total ad spending in the GCC-Levant region rose by approximately 19.4% in 2007, with UAE, Egypt, Saudi Arabia, Kuwait, and Qatar registering the most growth.

# Source: MediaME

IDSC Releases New Report About Egyptian Blogs

MMM 1 Comment

The Egyptian Cabinet’s Information and Decision Support Center (IDSC), the research arm of the Egyptian government, just released a report titled ‘Egyptian Blogs: New social space‘, detailing the status of Egyptian and Arabic blogs in general, their importance and content.

Among the report’s findings are the following:

  • The Arabic language doesn’t come up in the top 10 blogging languages in the world.
  • The total number of Arabic blogs is estimated at 490.000 blogs, representing only 0.7% of the total number of blogs in the world.
  • Egyptian blogs form 30.7% of all Arabic blogs with an estimated number of 160,000 blogs.
  • 76.8 % of the Egyptian blogs use the Arabic language, 9.6% are written in English, and 20.8% are mixed.
  • 53.1% of the Egyptian bloggers are between 20 – 30 years old; 18.8% between 30-40; 17% under 20 and 11.1% over 40.
  • 73% of the Egyptian bloggers are males, and 27% are females.
  • Jeeran has the largest collection of Egyptian blogs with around 116.192 blogs forming 72.6% of the total number of Egyptian blogs. Followed by BlogSpot with 16.29%, and then Maktoob with 6.5%.

The full report can be viewed in Arabic here: Egyptian Blogs: New social space (PDF)

Middle East & Africa Mobile Revenues To Hit $107 Billion By 2013

MMM 1 Comment

MobilesOperator-billed service revenues across the Africa & Middle East region are expected to rise to more than $107 billion in 2013, according to a new report from Juniper Research.

The report found that growth would be driven by mobile data services, fueled by the greater availability and wider variety of rich-media content coupled with lower browsing costs.

However, it noted that regional operator-billed voice revenues were likely to peak in 2011 and would subsequently fall away due to increasingly competitive pricing in that sector.

Other findings from the Juniper Research report include:

  • The Middle East/Africa mobile user base is to grow at an average annual rate of 10.5% between 2008 and 2013.
  • Mobile data services are expected to contribute 24% of operator-billed service revenues in 2013, against just 9% in 2008.
  • Saudi Arabia will provide the largest share of cumulative regional revenues over the forecast period, followed by Nigeria.

The detailed report provides in-depth coverage and forecasts for six key Africa & Middle East markets (Egypt, Israel, Nigeria, Saudi Arabia, South Africa and the United Arab Emirates) as well as for the region as a whole. It also includes regional overviews for key revenue drivers including mobile advertising, mobile entertainment services, mobile financial services and mobile ticketing.

Whitepapers and further details of the study ‘Mobile Africa & Middle East: Opportunities, Markets & Forecasts 2008-2013’ can be freely downloaded from Juniper Research.

If anything, I think these numbers show the potential the mobile data services market in the Middle East and Africa holds, and that it could be a very lucrative market for startups in the region, who can use the growth in this sector to fuel their own business growth.

# Juniper Research Press Release

Almost One Million Egyptians Have Broadband Internet Access

MMM

In a new survey of connectivity among Egyptian urban households, titled ‘Egypt Households Telecoms and Media Survey Report 2008‘, in which the Arab Advisors Group sampled 700 households in urban areas of the country, the results show almost a million Egyptian households have access to broadband connections.

According to official figures from the Ministry of Communications and Information Technology, Egypt had 427,085 ADSL lines by the end of 2007. The Arab Advisors Group estimates that 75% of those are residential ADSL lines, and based on the survey results, 63.4% of Egyptian households share the connection with their neighbours, around 3 other households to be precise, which puts the estimate for households with ADSL connections in Egypt at 956,000 households by end of 2007.

The survey also showed that 81.2% of Egyptian Internet users preferred to browse Arabic language websites, and that Internet cafes remain an important connection point for many Egyptians, with 27.8% responding that they used Internet café services.

E-commerce and online transaction penetration remains very limited though with only 1.3% of respondents saying they have bought products or services or paid bills online.

# Source: ITP

Arab Online Ad Spending To Grow To $142 Million By 2011

MMM

According to a recent study by Madar Research, online ad spending in the Arab region is expected to grow to $142 million by the end of 2011.

Madar looked at the Arab regions of the Gulf Cooperation Council and the Levant countries bordering the eastern shores of the Mediterranean, leaving out the Arab countries in North Africa.

The company said that marketers in the GCC countries spent less than 5% of their overall ad budgets on online media in 2006 and that online ad spending there represented less than 1% of the global total.

Companies in the region generally say they can still reach their target audiences without campaigning online.

Aviation travel and hospitality accounted for almost a quarter of online ad spending in the GCC-Levant countries in 2006, at $4.68 million. Banking and finance companies in the region spent $3.28 million on online ads in 2006.

The growth rate averaged of more than 50 per cent took place over the past six years. However, by end of 2006, online ad spending in GCC-Levant raised 54.6 per cent from the previous year that cost $18.71 million. Marketers saw this development as a promising sign that will push online ad spending to break the 1 percent share in the overall advertising market in the upcoming years.

# Sources: eMarketer, mediaME

B2C E-commerce Study In Four Arab Countries

MMM

A recent analysis by the Arab Advisors Group of e-commerce expenditure in Kuwait, Saudi Arabia, the UAE, and Lebanon was released recently after studies based on major online and face to face surveys conducted by Arab Advisors Group during 2007.

Total number of e-commerce users in these four countries exceeded 5.1 million people in 2007.

The UAE’s e-commerce users penetration was the highest among the countries studied. The UAE’s e-commerce users’ penetration stood at 25.1%. Saudi Arabia (14.3%) and Kuwait (10.7%) followed while Lebanon had the lowest penetration of e-commerce users with 1.6% of the total population.

The UAE also had the highest average amount spent per capita over one year. As for Lebanon, it had the lowest e-commerce expenditure per capita per year and per month due to a low penetration of e-commerce users in the country. However, Lebanon registered the highest e-commerce expenditure per e-commerce users.

# Press Release: Arab Advisors Group