WebDialn@ Study Of Algerian Internet Users Results

AlgeriaA new study entitled WebDialn@ (meaning ‘our web’ in the Arab Algerian accent) by Med&Com and Ideatic that polled about 6,000 Algerian internet users on ADSL, mobile internet, online advertising and e-commerce, estimates that 4.5 million people (12.8% of the Algerian population) use the internet, and that they heavily rely on it for news, research and activities such as social networking.

75% of Algerian internet users call the web an “indispensable tool”, with more than 90% confessing to “not being able to get by without going online ‘at least once a day'”. Most users reported spending two hours on average in front of their monitors.

The study also shows a gender gap and regional disparities in internet use. The typical Algerian Web user is described as male (72.2%), aged between 20 and 29 (29.2%), educated at least to the baccalaureate level + 1 (66.2%), and living in Algiers (29.28%). However, women represent just 25.8% of Algerian Web users.

The researchers reported that 82.6% of Web users communicate via email. Of this percentage, 42.5% also use instant messaging (such as MSN or Yahoo Messenger), 33.8% visit discussion forums, 33% make telephone calls over the Internet (Skype), and 9.9% use video conferencing.

Online media are the Algerian web users’ top online destinations, with 80.8% reading online newspapers, 19.9% listening to the radio, and 11.4% watching TV programmes. The internet is also used for research (80.7%) and making business contacts (22.9%). Social networks seem to be quite popular too with 40% of respondents having profiles on Facebook.

The study also shows that Algerians aren’t very active contributors, with 82.2% visiting online media-sharing sites (YouTube, DailyMotion, Flickr), but only 23.5% contributing.

Numbers from the Algerian Post and ICT Ministry say that there are 585,455 residential ADSL subscribers in the country. Nearly 65% of those surveyed said they can log on from home, compared with 24.6% who log on at work. Over 61% of web users say there are at least three people using the internet in a single home. Youth clubs and libraries with internet access, which used to be crammed, are hosting fewer users.

Some 72.1% of users say they are unsatisfied with the speed of their connection at home, and 79.7% complain about frequent service outages. 53.8% of Web users think the connection rates are affordable, while 43.8% of them think subscription rates are expensive or very expensive.

A presentation of the study results is available here in French: WebDialn@ Study Results (PDF)

[Source: Magharebia]

Growing Internet Usage In The Middle East & North Africa

EuromonitorAccess to the Internet has been expanding dramatically in the Middle East and North Africa over the past years. A new study by Euromonitor International provides some interesting general key indicators, as well as some indicators on the effect of this growth on the business environment, government and future prospects.

The following is a selection of some of the key points from the study:

  • Internet access in the Middle East and North Africa has expanded rapidly since 2003, reaching 85.5 million users in 2008, or 5.2% of the world’s users (The study includes Iran in these numbers);
  • Internet users in the region are typically under 35 years old and predominantly male, although there are indications that the digital gap between men and women is narrowing;
  • The young profile makes Internet users a promising consumer market as they are more likely to be influenced by global consumer trends. The dominance of Arabic is an advantage as it allows addressing a wide audience in many countries;
  • The spread of the Internet is part of a wider trend of growing access to media and communications in the region. In the 1990s and 2000s satellite TV systems and mobile phones became a standard household item even in poor countries in the Middle East;
  • Judging by blogs, Internet users seek primarily content relating closely to their country, rather than regional issues. Thus, bloggers tend to cluster according to country with interests varying between politics, religion and culture;
  • Online retailing offers consumers greater choice and convenience. Internet retailing is developing rapidly in the region, especially (though not exclusively) in the small Gulf states such as Kuwait and UAE. From international brand megastores offering electronics and entertainment products, to family-owned sweet shops, businesses are expanding their online presence to capture the growing market;
  • Internet literacy improves chances in the labour market. In addition, the Information and Communications Technology (ICT) sector is growing across the Middle East and North Africa, providing employment opportunities in countries such as Jordan and Egypt, which suffer from high unemployment;
  • Governments across the region are investing in e-government. According to a United Nations survey from 2008, UAE, Jordan, Kuwait, Saudi Arabia and Egypt all substantially improved their e-government services between 2005 and 2008, and their level of readiness was above the global average. New e-government services in Middle East countries included online consultation, forms downloading and submission, and online payments for government services.
For more indicators from the study, you can go here:
Regional Focus: Growing Internet usage in the Middle East and North Africa

Over 69% Of UAE Consumers Have Bought Something Online

Google recently hosted a day for the top agencies in UAE, in an initiative to point businesses to the hotspots in online media.

In preparation for the Agency Day, Google surveyed 1,410 consumers in UAE about their purchasing behaviour, and was able to build an accurate picture of online/offline research and purchase segmentation, use of search engines and attitudes to online shopping in UAE in 2009.

The data gathered from the survey was revealed to the agencies as part of the training, aiming to stress on the importance of getting online. The results reflected the increasing sophistication of consumers in purchasing behaviors and the need for businesses to update their online presence to capture this market.

The main highlights from the UAE report are:

  • More than 69% of respondents have bought something online.
  • Amongst UAE residents, the Internet is the ‘information tool’ used most often when researching possible purchases across a range of categories including digital cameras/camcorders, mobile phones, cars as well as hotel reservations.
  • Search engines are the most used source of online research information (81% of respondents). Manufacturer websites (49%), Directories and local listings (27%), retailer websites (26%), and online auction websites (25%) are also very popular.
  • Search engines are used most for research in relation to technology (67%) and travel (48%) products.
  • Google is the preferred search engine in the UAE with (58% preferring google.com and 38% preferring google.ae)
  • In general, as a mean average across the 20 products listed in the survey, 11% of all product purchases were researched and purchased online; 28% were researched online but purchased offline; 5% were researched offline but purchased online; and 56% were researched and purchased offline.
  • Credit and debit cards (64% of respondents) are the most common payment method when making online purchases
  • 74% of the UAE online users notice sponsored links, and of those who do notice them 7% almost always, 6% regularly, 45% sometimes and 22% seldomly click on them.
  • While one third of UAE respondents say the current economic crisis has not changed their shopping habits, an almost equal proportion say the recent financial turmoil has led to less of their shopping being done online. This may be related to the fact that many of their online purchases may have fallen more into the ‘non-essential/leisure’ categories (i.e. travel and event tickets) which people choose to cut out during difficult economic times.
  • In the UAE, English (76% of respondents) is by far the most popular ‘search’ language (likely to be related to the highly multinational nature of UAE society) vs. 23% preferring to search in Arabic.

What Makes Entrepreneurs Entrepreneurial?

About a year ago, I came across a really interesting study by Saras D. Sarasvathy from University of Washington’s School of Business on “What Makes Entrepreneurs Entrepreneurial?“. Today, I remebered it, thought I’d dig it up and share it here.

In her study, Sarasvathy  examined the reasoning of 30 founders of companies, ranging in size from $200 Million to $6.5 Billion. What she found was that these founders shared a distinct form of rationality that we have all long recognized intuitively as “Entrepreneurial”. She termed this type of rationality “Effectual Reasoning”.

Here is a bit from her study that basically explains this “Effectual Reasoning”:

“Effectual reasoning […] does not begin with a specific goal. Instead, it begins with a given set of means and allows goals to emerge contingently over time from the varied imagination and diverse aspirations of the founders and the people they interact with. While causal thinkers are like great generals seeking to conquer fertile lands (Genghis Khan conquering two thirds of the known world), effectual thinkers are like explorers setting out on voyages into uncharted waters (Columbus discovering the new world).”

And on the process entrepreneurs follow:

“All entrepreneurs begin with three categories of means: (1) Who they are – their traits, tastes and abilities; (2) What they know – their education, training, expertise, and experience; and, (3) Whom they know – their social and professional networks. Using these means, the entrepreneurs begin to imagine and implement possible effects that can be created with them.”

It’s a very interesting study that I really recommend reading: 
What Makes Entrepreneurs Entrepreneurial? (Saras D. Sarasvathy)

Broadband Subscribers Increase By 48% In The Middle East

The number of broadband subscribers in the Middle East increased by 48 per cent in 2007 compared to 2006, according to a new report published by industry research company RNCOS.

The report, titled ‘Middle East Broadband Forecast to 2010‘, said that ‘the region’s soaring broadband demand has been propelled by the inadequacy of existing broadband infrastructure, and government policies promoting rapid broadband adoption as a tool for economic development’.

Among the report’s other key findings:

– In 2007, Israel dominated the Middle East broadband market having major chunk of the broadband subscribers, followed by Saudi Arabia, Egypt and the UAE.

– Egypt is anticipated to report highest growth in its broadband subscriber base among the Middle Eastern countries at a CAGR of over 83% from 2008 to 2010.

– The total number of 3G subscribers in the Middle East is expected to surpass four million by 2010 end, growing at a CAGR of around 60%.

– Throughout the Middle East region, incumbent and alternative fixed-line operators are rolling out IPTV, helping the operators better maintain their main-line base and gradually increase spend per customer in the face of falling ADSL prices.

Middle East Has World’s Second Fastest Internet Traffic Growth

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

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.

UAE Has Highest Mobile Penetration In The Arab World

According to a new study by Kuwaiti-based Inter-Arab Investment Guarantee Corporation (IAIGC), a key Arab League body, the UAE had the highest mobile phone penetration in the Arab world at the end of 2007, with its subscribers far exceeding its population.

Figures showed the number of mobile phone subscribers in the country stood at 7.6 million at the end of last year a ratio as high as 173 to each 100 people.

The figure is far higher than any other Arab state and more than triple the world average of 49.3 for every 100 people.

Qatar came second, with a ratio of 150.4 mobile phone per 100 people. It was followed by Bahrain with 148.2, Saudi Arabia with 114.7, Kuwait with 97.2 and Oman with 96.3.

Outside the six-nation Gulf Cooperation Council (GCC), Jordan topped the list, with a ratio of 80.5 per each 100 persons, followed by Tunisia, Libya and Morocco.

Djibouti and Somalia were at the bottom of the list, having one of the world’s lowest mobile phone penetration at 5.4 and 6.8 respectively.

The figures showed the UAE’s penetration was more than triple the average Arab ratio of 50.8 and the world average of 49.3 at the end of 2007. Between 2002 and 2007, the number of mobile phone subscribers in the UAE grew by an annual average 25.6 per cent, almost four times its population growth. But the level was far lower than growth in some other Arab countries as it was as high as 270 per cent in war-battered Iraq and 129.9 per cent in Libya. Experts believe the UAE will maintain its high mobile phone penetration this year given the rapid growth in subscribers and in its economy.

Madar Research Reports Growth In Online Advertising Spend

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

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)