Description

This report provides comprehensive and current information and analysis of digital trends in the US in 2022, with a spotlight on the metaverse. Key features include the market size, market forecast, market segmentation and industry trends influenced by the metaverse, and overall digital trends in the US in 2022.

Quickly Understand

  • Metaverse awareness, knowledge and attitudes
  • Household tech ownership, purchases since the start of the pandemic and future purchase intent
  • Tech hardware and services sector market value indicators and forecast
  • Motivations for home electronics purchases
  • The importance of brand names, in-person shopping and the prevalence of stock shortages

Current Market Landscape

Following Facebook’s rebranding to Meta in October 2021, it seemed mentions of the “metaverse” were everywhere. Companies from tech to retail to entertainment announced their metaverse aspirations, and consumers joined in on the excitement. While the metaverse was practically unheard of just six months ago, four in ten Americans now claim to be at least a little knowledgeable about it.

Future Market Trends

In the more immediate term, the digital tech hardware industry has been particularly impacted by supply chain shortages. Processor chips have been one of the hardest hit resources in the market, affecting many tech categories. Meanwhile, inflation is putting more pressure on consumer budgets, which is keeping consumer confidence low despite stabilizing employment and GDP.

Consumers’ lives are becoming increasingly digital, with the pandemic acting as a catalyst. As more behaviors go digital, hardware demand will grow – either because consumers want more devices to use or upgrade their current devices to keep up with new digital innovations.
Read on to discover more about the digital trends in the US, or take a look at our other Technology and Telecoms market research reports.

Covered in this Report

Brands: Amazon, Apple, Chromecast, Facebook, Google, JBL, Nintendo, NordicTrack, Oculus Rif, PlayStation, Peloton bike, Samsung, Sonos, Xbox etc.

Products Types: Televisions, audio-visual equipment and information-processing equipment (personal computers/tablets and peripheral equipment), computer software and accessories, calculators, typewriters and other information processing equipment, internet access and cellular phone/land-line services.

Expert Analysis from a Specialist in the Field

Two years on from the beginning of the pandemic, there is a simultaneous increase of both clarity and uncertainty. Consumer behavior is returning more to pre-pandemic levels as restrictions loosen and mobility increases; but at the same time, the metaverse is creating questions about what the future of the internet will look like.

The tech industry is healthy and stable, and consumer demand will be the ultimate determinant of which innovations succeed and which ones will fade.

 

Scott Stewart
Associate Director of Mintel Reports, North America

Table of Contents

  1. Overview

    • What you need to know
      • Key issues covered in this Report
        • Definition
          • Market context
            • COVID-19: US context
              • Economic and other assumptions
              • Executive Summary

                  • Top takeaways
                    • Market overview
                      • Figure 1: Technology hardware and digital communication services outlook, 2022-27
                    • Opportunities
                      • The metaverse is a new world of opportunities, but should be approached cautiously
                        • The pandemic has proven tech hardware’s ongoing relevance
                          • Young families represent an opportunity for targeted marketing
                            • Challenges
                              • A turning point for pandemic-relevant tech
                                • Supply shortages are a risk to brand loyalty
                                • Market Size and Forecast

                                  • Growth will continue but slow from pandemic peak
                                    • Figure 2: Total US consumer expenditures and fan chart forecast for technology hardware and communications services, at current prices, 2016-26
                                    • Figure 3: Total US consumer expenditures and forecast for technology hardware and communications services, at current prices, 2016-26
                                • Segment Performance

                                  • Hardware spending surpasses communications services
                                    • Figure 4: Total US consumer expenditures and forecast for technology hardware and communications services, at current prices, by segment, 2016-26
                                  • Tech hardware will continue to grow
                                    • Figure 5: Total US consumer expenditures and fan chart forecast for technology hardware, at current prices, 2016-26
                                  • Communications services will see more modest growth
                                    • Figure 6: Total US consumer expenditures and fan chart forecast for communication services, at current prices, 2016-26
                                • Market Factors

                                  • Government decisions will have short- and long-term impacts on the market
                                    • Stimulus support for Americans affected their ability to spend on tech
                                      • Figure 7: Personal income from government social benefits, monthly adjusted, 2019-2022
                                      • Figure 8: Personal income, monthly adjusted, 2019-2022
                                    • Domestic computer chip legislation will bolster supply in the future
                                      • Macro economic indicators show stability but some uncertainty
                                        • Sustainability will become an increasing concern in tech hardware
                                        • Market Share/Key Players

                                          • Common themes among leading tech companies
                                            • Figure 9: Market capitalization of key tech companies, 2022
                                        • Competitive Strategies

                                          • How companies are approaching the metaverse
                                            • Meta makes a big bet
                                              • Microsoft is previewing its Mesh platform
                                                • Figure 10: Introducing Microsoft Mesh, 2021
                                              • Google and Apple are quietly planning for the metaverse
                                                • Leading brands have been susceptible to supply shortages
                                                  • Amazon Astro brings home robotics to the mainstream market
                                                    • Figure 11: Introducing Amazon Astro – Household Robot for Home Monitoring, with Alexa, 2021
                                                • Market Opportunities

                                                  • The metaverse is on trend, but will need to prove its usefulness
                                                    • An opportunity for brands to make a statement
                                                    • Digital Trends: Fast Facts

                                                      • The metaverse is still a new concept for most consumers
                                                        • The metaverse is futuristic, but not yet useful
                                                          • VR and connected fitness purchases were sparked by the pandemic
                                                            • That momentum is slowing, though
                                                              • Consumers are noticing supply shortages
                                                                • Shortages are a risk to loyalty
                                                                  • But brand trust remains invaluable
                                                                    • In-store shopping is still an important tech experience
                                                                    • The Metaverse: Consumer Knowledge and Interests

                                                                      • Few Americans know much about the metaverse
                                                                          • Figure 12: Metaverse awareness and knowledge, by gender and age, 2022
                                                                          • Figure 13: Metaverse awareness and knowledge, by social media platform – Daily users, 2022
                                                                        • Consumers associate more positives than negatives with the metaverse
                                                                          • Figure 14: Metaverse associations, 2022
                                                                        • Socializing, gaming and virtual experiences are of interest to consumers
                                                                          • Figure 15: Metaverse activities of interest, 2022
                                                                      • Attitudes Toward the Metaverse

                                                                        • Consumers are not sold on the metaverse but see specific applications
                                                                          • Figure 16: Attitudes toward the metaverse – Positive, 2022
                                                                        • Worry is more prevalent than wonder
                                                                          • Figure 17: Attitudes toward the metaverse – Negative, 2022
                                                                        • Half predict people will eventually spend most of their time in the metaverse
                                                                          • Figure 18: Attitudes toward the metaverse – Predictions, 2022
                                                                        • How to make the metaverse resonate with consumers
                                                                          • Figure 19: Attitudes toward the metaverse – Interests, 2022
                                                                      • Household Electronics Ownership

                                                                        • Connected computers are the bedrock of home electronics
                                                                          • Figure 20: Household electronics ownership, 2021
                                                                          • Figure 21: Made by Google Instagram post, 2022
                                                                        • Emerging tech is still awaiting its tipping point into mainstream
                                                                          • Ownership is higher among young parents
                                                                            • Figure 22: Household electronics ownership – VR headsets and connected home fitness machines, by age and parental status, 2021
                                                                          • 25-54 year olds are the “sweet spot” for smart home devices
                                                                            • Figure 23: Household electronics ownership – Smart speakers and smart lights, by age, 2021
                                                                        • Household Electronics Purchases since COVID-19

                                                                          • Pandemic purchases were more valuable for certain categories
                                                                            • Figure 24: Household electronics purchases since COVID-19, 2021
                                                                            • Figure 25: Household electronics purchases since COVID-19, 2021
                                                                          • Parents have made the most purchases during the pandemic
                                                                            • Figure 26: Household electronics purchases since COVID-19, by age and parental status, 2021
                                                                        • Reasons for Home Electronics Purchases

                                                                          • Home comfort and entertainment drive household tech purchases
                                                                            • Figure 27: Reasons for home electronics purchases since the beginning of the pandemic, 2021
                                                                          • Higher-income household more likely to make purchases for work
                                                                            • Figure 28: Reasons for home electronics purchases – To help with my work, by work commute, 2021
                                                                            • Figure 29: Reasons for home electronics purchases, by household income, 2021
                                                                          • VR and connected fitness machines benefited from discretionary spending
                                                                            • Figure 30: Reasons for home electronics purchases, by household electronics purchased since COVID-19, 2021
                                                                          • Younger men value the role of technology in the home experience
                                                                            • Figure 31: Reasons for home electronics purchases – Home comfort, by gender and age, 2021
                                                                        • Home Electronics Purchasing

                                                                          • Purchase intent gives perspective on future tech trends
                                                                            • Figure 32: Home electronics purchasing plans, 2021
                                                                          • Young parents have the highest demand levels
                                                                            • Figure 33: Home electronics purchasing plans, by parental status and age, 2021
                                                                          • Supply shortages remain an issue
                                                                            • Figure 34: Home electronics shopping experience, 2021
                                                                        • Household Device Usage

                                                                          • Positioning household devices as helpful investments
                                                                            • Figure 35: Household device usage, 2021
                                                                          • Increasing connected home fitness machine and VR headset value with shared usage
                                                                            • Younger men are more likely to have exclusive TV and gaming use
                                                                              • Figure 36: Household device usage – Ultra-HD TVs and video game consoles, by gender and age, 2021
                                                                          • Attitudes Toward Electronics and Technology

                                                                            • Tech branding is valuable to consumers, but not irreplaceable
                                                                              • Figure 37: Attitudes toward electronics and technology – Branding, 2021
                                                                            • Durability in tech is a big concern among consumers
                                                                              • Figure 38: Attitudes toward electronics and technology – Durability and warranties, 2021
                                                                            • Understanding the tech shopping experience
                                                                              • The in-person experience is important to tech shoppers
                                                                                • Figure 39: Attitudes toward electronics and technology – Purchasing preferences, 2021
                                                                              • Trust in the shopping process is a major concern
                                                                                • Figure 40: Attitudes toward electronics and technology – New technology, 2021
                                                                              • Using social media to target early adopters
                                                                                • Figure 41: Attitudes toward electronics and technology – New technology, by daily usage of platforms, 2021
                                                                            • Appendix – Data Sources and Abbreviations

                                                                              • Data sources
                                                                                • Sales data
                                                                                  • Forecast
                                                                                    • Consumer survey data
                                                                                      • Mintel Trend Drivers
                                                                                        • Abbreviations and terms
                                                                                          • Abbreviations
                                                                                            • Terms
                                                                                            • Appendix – The Market

                                                                                                • Figure 42: Total US consumer expenditures and forecast for technology hardware and communications services, at inflation-adjusted prices, 2016-26
                                                                                                • Figure 43: Total US consumer expenditures and forecast for technology hardware and communications services, by segment, at current prices, 2016-26
                                                                                                • Figure 44: Total US consumer expenditures and forecast for technology hardware, at inflation-adjusted prices, 2016-26
                                                                                                • Figure 45: Total US consumer expenditures and forecast for communications services, at inflation-adjusted prices, 2016-26

                                                                                            About the report

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