According to Yahoo!’s 3rd Net Index study a shift from shared to private internet access continued in the Philippines, revealing that online browsing through internet cafes declined from 71% to 66% and home internet increased from 31% to 35% over the past two years.

Search (80%) plays a significant role in the overall engagement on the internet as Filipinos go online for leisure and entertainment, particularly international music (68%), local music (65%), viewing photographs and videos (59%), and playing games (55%). Social networking (82%) is at par with search and also popular among Filipino youth.


The annual Yahoo! Net Index study was conducted in conjunction with Nielsen, one of the world's leading market research groups, revealing, for instance, among other things that the demographic group of 10 - 29 year old internet users remains the core audience that drives adoption in the Philippines.

"Net Index provides in-depth consumer insights that help marketers as well as Yahoo! to craft meaningful strategies, engage with consumers and drive real results," said Country Ambassador and Sales Director of Yahoo! Philippines, Arlene Amarante. "The success of our entertainment sites, OMG! and Yahoo! Coke Music Studio, for example was a direct response to the research findings combined with Yahoo!'s intimate understanding of how Filipinos consume content online."

According to Jay Bautista, Managing Director for Media, The Nielsen Company, Philippines, "The Yahoo! Net Index study delivers targeted consumer insights to assist advertisers in developing tailor-made digital marketing programs for their desired consumer base. The insights help them build innovative consumer experiences and drive measurable results to fulfil their marketing objectives."

Key findings of Net Index 2011 Philippines include four overarching themes:

1.    Shift from shared to private access continues

  • Although the majority of Filipinos access the Web from internet cafes, this trend is decelerating from 71% in 2009 to 66% in 2011, with private access at home becoming more popular, increasing from 27% to 35% over the same period;
  • Mobile internet which had grown from virtually zero in 2009 to 5% in 2010, has remained stable (4%).

2.    Overall engagement on the internet on the rise

  • Entertainment consumption is growing particularly for international music (68%), local music (65%), viewing interesting videos or photos (59%), and playing online games (56%);
  • Mail (64%) and Messenger (69%) remain a relevant platform to connect and communicate.

3.    Social networking is at par with Search

  • Social networking (82%) is at par with Search (80%) as the dominant internet activity;
  • Social networking is not just an activity but is the starting point in online experience for many (39%);
  • Social networking users are becoming more selective and specific about choosing who they want to socialize with (59%).

4.    E-commerce shows potential given consumer interest

  • The level of comprehension for group buying is moderate (32%), however, among those who understand the concept, almost half (48%) show interest, proving that e-commerce exhibits potential;
  • Online transactions remain in their infancy stage of development given the constraints around product authenticity and infrastructure, however, word of mouth is especially powerful in Philippines and can favour the concept of deal aggregation sites.

  (Source: Yahoo!)

By Daniela La Marca