Women are "big on the 'Net" in 2011 shock!

Sometimes you have to scratch your head....TechCrunch:

We’re witnessing a generation of consumer web companies growing at an unprecedented rate in terms of both user adoption and revenue.

But here’s a little secret that’s gone unnoticed by most. It’s women. Female users are the unsung heroines behind the most engaging, fastest growing, and most valuable consumer internet and e-commerce companies. Especially when it comes to social and shopping, women rule the Internet.

Consider some more data. Comscore, Nielsen, MediaMetrix and Quantcast studies all show women are the driving force of the most important net trend of the decade, the social web. Comscore says women are the majority of users of social networking sites and spend 30% more time on these sites than men; mobile social network usage is 55% female according to Nielsen.

In e-commerce, female purchasing power is also pretty clear. Sites like Zappos (>$1 billion in revenue last year), Groupon ($760m last year), Gilt Groupe ($500m projected revenue this year), Etsy (over $300m in GMV last year), and Diapers ($300m estimated revenue last year) are all driven by a majority of female customers. According to Gilt Groupe, women are 70% of the customer base and they drive 74% of revenue. And 77% of Groupon’s customers are female according to their site.

That was Kleiner Perkins partner Aimeen Barnes in March 2011. May I take you back to '08, and Janet Parkinson at Web 2.0 in Berlin:

Women represent a good half of the number of users of the web and even more on social networks. They make over 80% of all real world consumer purchases and according to a recent survey conducted by Mastercard run across 7 countries recently, women now shop more online than men – though they spend less. Some of the reasons for this being security issues and bad website design. As Justin Drummond notes in Brandrepublic ‘It is recognised that women, more so than men in the US and UK, are culturally encouraged to be more inclined to discuss their purchases with friends, recommending items they are pleased with and asking for advice from peers in decision-making; “they utilize the powerful marketing tool: word of mouth” (Source: www.alternet.org). This goes hand in hand with an expectance of openness to information about goods they wish to purchase, and makes them harder customers than men in many ways’.

The Web 1.0 online hard sell “Point-Click-Purchase” approach doesn’t always work, and given the choice women often prefer to browse, dig deep and get to understand our choices. Perhaps this is the reason for the success of sites like Etsy http://www.etsy.com/ which offer more of a shopping experience – with social networking at its core. Social media is becoming more of an integral part of websites – and, as Business Week reports the use of social media is particularly attractive to women.

Web design and online marketing companies which are areas generally dominated by men are having to adapt to social marketing. Having more women involved with their eye for what women want can only be a good thing.

Moving on to advertising, Martha Barletta in her book ‘Marketing to Women’ comments that 91% of women say ‘advertisers don’t understand us’,and IPC Media reveals that within the ever growing market of women over 35, 36% feel that advertising aimed at them is patronising.

I must admit that I’m getting particularly fed up with the marketers and product designers assuming that the way to get me to buy some piece of tech is to make it in pink!

But there are a few glimmerings of hope with Dove, M&S and a few others having launched highly successful campaigns aimed at the older woman. But my favourite to date has to be Harley Davidson which has added a section on its website dedicated to women motorcyclists. Women now buy 12% of all Harleys sold, and in an article in the New York Times, Jerry G. Wilke, Harley-Davidon’s vice president for customer relationships and product planning comments: “I think 12 percent is just the beginning…. The opportunities to cater to women are endless, and we will continue to do more.” The video games industry is an area worth watching too with 40% of all gamers being women – though they represent just 12% of the industry.

This is still just the beginning though, and the money is starting to appear. Advertising on, and traffic to, women-specific sites has increased rapidly and the big boys are starting to get in on the act:

A mere 2 and a half years later and Kleiner is saying the same thing. But what is even more interesting is the number of commentors on the TechCrunch piece making "wow, isn't that amazing" noises. In some ways I'd like to believe that they are just sucking up to Kleiner, because the alternative is to believe it really is new news to most of them!

But nevertheless, the real lesson is that if you are reading the genuine early thinkers (like Janet), or even those who follow early trends, like us, then you can easily have a 2 year lead on the main market.