Digital Has Become a Way of Daily Life for 622M Consumers in 11 Global Markets

The global digital transformation is continuing. Global digital engagement hit a new peak in the first quarter of 2023, rising 2.4% year over year as consumers engaged in 6.5% more digital activities daily.

PYMNTS’ latest research found powerful network effects. Consumers’ increased digital engagement is not confined to one area, but instead amplifies engagement across digital activities. For example, digital work activities surged, which boosted engagement in digital entertainment activities.

The use of mobile wallets surged in the last year, now accounting for 16% of all in-store transactions globally.

These are some of the key findings from “How the World Does Digital: Daily Digital Engagement Hits New Heights,” an independently produced PYMNTS report analyzing the nature and frequency of how consumers engage in 37 different types of activities and the payment methods used. We surveyed 17,571 individuals across 11 countries between Feb. 1 and Feb. 24 to understand the ongoing global digital transformation.

Two-thirds of surveyed consumers now employ digital channels for daily tasks, marking a 6.5% year-over-year increase.

PYMNTS observed a 2.4% year-on-year increase in worldwide digital engagement, primarily fueled by travel, home management and health activities. Daily engagement saw a significant 6.5% uptick, which outpaced weekly and monthly engagement growth. Among key trends was a remarkable increase in daily interactions with local transport apps and digitally accessing health data.

Older consumers accelerated digital engagement at a rate more than double that of their younger counterparts. Also, high-income individuals significantly boosted digital activities compared to other income groups.

Without exception, every age and income demographic PYMNTS examined experienced a year-on-year boost in engagement. Generation X and baby boomers and seniors stood out for their outsized growth. Their average digital engagement rose by 2.3% and 3.6%, respectively, compared to a 1.3% increase among younger generations. Higher-income consumers demonstrated a 4% upswing in digital engagement in the past year, while lower-earning consumers saw a modest uptick.

Higher digital engagement in each activity we measure bolsters the network effects driving the organic expansion of the digital economy.

Illustrating a strong network effect, a 10% uptick in digital shopping activities now coincides with a 7% jump in digital health-related activities, a 6.9% rise in digital grocery orders and modest gains in all other categories. Also, entertainment, work and travel exhibited comparably significant connections with other areas. These interrelated links among digital activities substantially increased in the past year, underpinning the organic growth of the digital economy.

The Q1 2023 edition of the “ConnectedEconomy™ Index” highlights the substantial growth in digital engagement in the past year, including its impact on consumer behavior across different sectors and countries. Download the report to learn more about the state of global digital transformation.