As smartphone ownership nears saturation in almost all consumer groups, the base for the UK digital economy is widening: media consumption continues to move to connected devices and use of consumer services on mobile grows

Ecommerce is now responsible for 75% of retail growth, steady even during periods of decline for the overall market

Google and Facebook take up almost 90% of gross online advertising growth this year, and the ecommerce and mobile service markets show early signs of platform concentration

Brexit poses direct risks to exports to the Continent of regulated services, such as audiovisual (AV) media services, if the UK ceases to qualify for the Single Market

Since 1994, the EU has formalised a ‘cultural exception’ in the World Trade Organisation (WTO) and in all trade agreements aside from the European Economic Area (EEA)

Many countries have emulated the policy since, making it challenging for the UK’s AV cluster to gain significant additional market access from future bilateral trade deals

Snap’s IPO is reportedly pressing ahead as expected, suggesting a remarkably early maturity for the company’s advertising business model

Snapchat creatively adapts the tried and true TV advertising formula, focusing on content, context and audience affinity – this goes against the grain of digital advertising and could unlock new brand budgets for online

After an IPO, Snap’s founders would have the freedom to expand their platform with new content, distribution channels and even devices

Personal data is the fuel of the digital age and the UK is a top producer due to deep internet and ecommerce usage

The EU’s General Data Protection Regulation (GDPR), a key plank of the Digital Single Market (DSM), will directly apply in May 2018, before the date of Brexit in 2019

Upon Brexit, GDPR adoption would ensure easy certification by the Commission for data transfers outside the EU, giving companies another reason to stay in the UK 

Google’s recent hardware launch event was a confident assertion of an AI-led future where Google’s services are present for everyone, everywhere

With Google’s Assistant central to them, devices like the Pixel phone and Google Home smart speaker put pressure on Samsung, Apple and Amazon

If Google’s AI push is successful, it will evolve and strengthen the company’s role as a gatekeeper to content and services, fundamentally reshaping search marketing

Brexit will take place in March 2019 and the rush is now on to complete the UK’s exit through Article 50 negotiations and set the framework for post-Brexit trade with the EU

Trade-related investment by companies is at high risk from uncertainty; a free-trade area (FTA) for manufactured products should be a priority for 2019

Barriers to trade in services in the EU are more nebulous than tariffs and far more political in Member States, justifying a Comprehensive Economic Partnership (CEP)

Amazon’s smart Echo speakers are coming to Europe, powered by a voice-controlled intelligent assistant, Alexa. Echo is thought to have found surprise success in the US

Alexa is best thought of as the most complete Voice User Interface (VUI) on the market. We expect VUIs to supplant graphical user interfaces for a variety of use-cases, in the home, on the move and in the car. Competition in this area is increasing

Alexa is being positioned as the Android for voice, moving beyond devices made by Amazon in an attempt to jumpstart adoption, and with developers building services on top of Alexa’s core voice platform

The battle in the US between Amazon, ecommerce giant, and Walmart, the retail titan, reflects the changing face of US retail as online drives growth

Amazon, the everything store, innovates on marketplace, warehouse and logistics, and customer tools like Prime, while Walmart fortifies in-store and builds on its strengths 

Walmart cannot overtake Amazon online, but it can defend its position as the largest US retailer as Amazon drives an ecommerce future for retailing 

More than one third of the UK population is over 50 and this cohort is projected to keep growing. They account for substantial wealth, assets and expenditure, and reveal active multimedia engagement, providing real opportunities for brands  Given their outsize impact, we believe the marketing industry underappreciates the diversity of habits among the over 50s. While 50-65s’ habits and consumer behaviour increasingly resemble that of younger cohorts, their spending power is far greater; expectations from products and services are higher and yet the placement, format and tone of marketing feels misaligned  Online is a huge enabler that can help drive, shape and inform how over 50s spend their substantial wealth. But that can only be done effectively with a clearer understanding of behaviour and level of responsiveness to messages across media, from print to TV to online

Apple’s hardware progress at this year’s Special Event was more impressive than the software announcements at WWDC in June, though not at the level seen during the bumper launch of the iPhone 6

Improvements in camera technology and custom chips are preparing the iPhone for more drastic design changes and new location-based service categories in the future

Next year, faster development of both software and hardware is required to defend iPhone margins or user base growth, let alone both