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Study: Mobile Technology Adoption Fuels Growth for SMBs Worldwide

February 9, 2015         By: Michael Cheng

The Boston Consulting Group and Qualcomm released new findings on mobile technology and its contribution to global GDP.

Many experts have predicted the impact of mobile trends years before, but now here’s proof on its significance in today’s businesses.

Titled The Mobile Revolution: How Mobile Technologies Drive A Trillion-Dollar Impact, the study covered six countries that represent 47 percent of the world’s economy: United States, Germany, South Korea, Brazil, China, and India.

In line with increased smartphone usage, data surrounding consumers and mobile technology are growing parallel with mobile-driven businesses.

Over 64 percent of participants are willing to forego eating out for an entire year if needed to prevent losing access to their handheld devices.

Moreover, 45 percent of respondents from the study are ready to sacrifice one-fifth of apartment space or home internet subscription for the same reason.

When it comes to funding, venture capital firm investments in mobile technology-related startups increased from 3.8 percent in 2010 to 7.9 percent in 2014. Specifically, the mobile app, gaming, and advertising sectors received the majority of VC funding. The least funded fields include education technology, smart grid (energy management), and mobile devices.

Payments currently rank seven out of eleven on the VC list of interests, falling behind connected cars and medical technology. Though it should be noted that according to Juniper Research, small and medium-sized businesses (SMBs) contributed $630 billion to the growing industry last year, nearly tripling from 2010 ($210 billion).

BCG’s study also highlights the gap between mobile-fueled SMBs and lagging establishments. Companies that implement a mobile strategy outperform their counterparts in revenue, development and operations.

Additionally, leading SMBs experience up to twice as much upward activity in the respective areas compared to companies that are stuck following trends as they emerge.