Why Digital Assitants?

Nina Habicht • September 24, 2019
Why Voice Assistants?
Voice assistants also called voice user interfaces using text-to-speech and speech-to-text capabilities are gaining more relevance due to their technological progress in the fields of voice recognition engines (AVR), machine learning algorithms and architectural design.

What are the advantages of using voice instead of normal GUIs or text?

Speed. Speaking is faster than writing. On average, people speak 150 words/minute. for search, voice can be useful: Search Engine Land considered voice assistants as taking over a “critical mass” with 122,7 million users in 2021. According to ComCore, 50% of searches will be done by voice and 30% of web browsing sessions will be done without a screen until 2020.
Voice is more natural. Emotions, needs, and wishes will be articulated in more detail which offers the company a better picture of how customer’s needs look like.
Brand Recognition. Voice creates a new channel for delivering a brand.
Handsfree. In any situation where handsfree is useful, voice is ideal, i.e. when shopping with children, when driving, when cooking, when industrial workers are picking, when surgeons are operating, etc. There are various use cases where voice very useful. Furthermore, people with disabilities can “talk” to message with friends, shop or execute tasks before writing was omnipresent.

Which Voice Assistants are used?
Source: Usage of Digital Assistants (Microsoft Voice Report, 2019)
Who uses Voice Assistants?

All age groups use assistants, however, we find that in Switzerland as well as internationally Millennials and Seniors using more voice assistant or speakers than the age group between 35-44. Interesting is the fact, that older generations more frequently use Amazon Alexa. 1/3 of the total US population use voice assistants at least monthly on a device (eMarketer, 2019). In Germany, out of 605 person, 30% use it more than weekly, 30% monthly (Splendid Research, 2019).  

Source: Switzerland Voice Assistant Usage per Age Group (Deloitte, 2018)
 Source: Smart Speaker Brand Choice by Age Group (Voicebot.ai, 2019)
In which fields are Digital Assistants used?

Capgemini’s showed in a study with 12’000 consumers and 1000 executives who used voice or text assistants (or both) that 50% of the key players, especially in the fields of automotive, banking, insurances and consumer products have deployed first voice or chat assistants.

Source: Use Cases of Digital Assistants (Capgemini Research Institute, 2016-19)
In which fields are chatbots vs. voice applications?
Source: Chatbot vs. Voice Assistant Use Cases (Capgemini Research Institute, 2016-19)
Voice Assistants on Smartphones and Smart Speakers?

According to Splendid Research German users are currently more likely to use smartphones with assistants than Smart Speakers. In Switzerland and Austria, we see the same usage pattern. However, this highly depends on the age group and technology provider (Cortana does not have a smart speaker). Voice assistants are also implemented in other devices, such as wearables, smartwatches, and TVs. 
Source: 60% of the Germans already used Voice Assistants on these devices (Splendid Research, 2019
Which Technology Providers are the Market Leaders?

When looking at the global market shares of smart speakers, Strategy Analytics finds Amazon, Google and Baidu to be the global leaders. By 2019 Google has 1 billion Google Assistant enabled devices whereas Amazon 100 million enabled devices according to their market share announcements in January 2019. According to Venturebeat Cortana has 500 million active monthly users on Windows 10 PCs and "tens of millions of users on Xbox". Siri from Apple has over 500 million active users in 2018. 

Source: Development of Major Global Voice Tech Players (Strategy Analytics, 2019) 
In Switzerland, Siri seems to be still dominant, followed by Google Home and Amazon. Finally, various sources clearly announce a shift to Google Assistant, also for Switzerland and Europe.

Source: Swiss people know and use Siri and Google Home (Mcschindler.com, 2019)
Source: Shift from Amazon to Google Technologies (Voicebot.ai, 2019)

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