Three pointers

1. Digital dividend: The Internet contributes to 3.4% of GDP in developed countries – and 1.9% in developing ones.

2. Language policy: English is the main language for Internet users, accounting for 537 million people. But other languages are growing faster: the use of Arabic increased 2,501% since 2000; of Russian, 1,826%; and of Chinese, 1,479%.

3. Jobs, jobs, jobs: The Internet creates more jobs in small- and medium-sized industries than it destroys everywhere. In the BRICs (Brazil, Russia, India, China), 3.5 jobs are created due to the Internet for each one reduced; the figure is 1.6 for developed countries.

SOURCES: Internet World Stats, World Bank, McKinsey

1. The future is now: India is the world’s seventh-largest car market, with a share of 4% (after China, the US, Japan, Germany, Brazil and France). By 2020, it will likely be third. Small cars account for three-quarters of the car market; every drop in price of 25,000 rupees makes a car affordable to 15 million new households .

2. Growth is strong: Sales rose 17% a year from 2001-10. Still, India has only 11 vehicles per 1,000 people, less than China (47) or Brazil (130). Sales of luxury cars are expected to rise 29% through 2016. On the other end of the economic scale, every drop in price of 25,000 rupees makes a car affordable to 15 million new households

3. Who’s buying? The average buyer is 35 years old, and is in a family of 4 or 5; 17% are in middle or senior management; 10% own a shop or small business; 56% are entrepreneurs.

SOURCES: IHS Global Insight, INFAC, McKinsey

1. A country of optimists: 58% said they expected their incomes to rise in the next year, compared with 39% in 2010.

2. The Internet’s limited reach: Only 28% of those surveyed said they had recently received product information online.

3. Why they are spending more: 35% said they are “trading up” to more expensive products and 60% are buying more or more often.

SOURCE: McKinsey’s 2011 Annual Chinese Consumer Study

1. Buying power: 67% of Germans aged 14 or over use the Internet; of these, 55% shop online.

2. Most wanted: Most-common non-food search requests, 2010: Health and beauty (744 million); food (572 million); pet food (259 million).

3. Gadget happy: Consumer electronics is the leading category for online purchases: more than three-quarters of those surveyed (76%) made some or all of their purchases online.

1. Growth story: Internet use is growing at all wealth levels; 12% of those in the lower two social classes have access and 35% of those at the next next level.
2. Social life: Social networking is almost synonymous with being online in Brazil. About 70% of Internet users share information and 85% use social networks, the second-highest ratio in the world (after Canada).
3. Different roads: More people access the Internet via cyber cafes than in any other way (29%), compared to 20% at home and 20% at a friend’s. Cell phone access is still limited, at only 6% of usage.

SOURCE: McKinsey research

1. Percent urban by 2025: North America (86%) Latin America (84%), Europe (77%), China (59%), Africa (47%), India (37%).

2. Share of GDP of top 10 cities: North America (31%); Latin America (30%); world (27%); Western Europe (25%); Africa (21%); South Asia (14%).

3. Fastest-growing cities (by population added, 2005-2015): Chongqing, China; Guangzhou, China; Lahore, Pakistan; Lagos, Nigeria; Istanbul, Turkey; Mumbai, India; Delhi, India; Karachi, Pakistan.

McKinsey Global Institute, Euromonitor

1. Percentage of international sales in August 2010 – 18.7%; in August 2011 – 24.7%
2. Percentage of Internet sales in February 2011 – 8.4%; in August 2011 – 11.28%
3. Share of company budgets spent on marketing in February 2011 – 8.1%; in August 2011 – 10%
SOURCE: CMO Survey

1. Brand disloyalty: 48% were loyal to food-and-beverage brands in 2007; only 23% were in 2009

2. Food fear: 91% are concerned about food safety; 56% say they will pay a premium for it

3. Media consumers: Urban Chinese spend an average of 35 hours a week consuming media, 59% of it digitally

SOURCE: McKinsey

1. Born to shop: Fifty-two percent of Chinese say that “going shopping with my family is one of the best ways to spend time with them” compared to 15 percent of Americans and 9 percent of French.

2. Location, location, location: Eighty percent of Chinese say the most important way they learn about apparel brands is by visiting stores.

3. Dress for success: Seventy-eight percent of those surveyed from China’s richest cities say they wear different outfits when going out with friends on special occasions, compared to 58 percent of those from less prosperous places.

SOURCE: McKinsey research

1. Burgers (McDonald’s 72% market share, 9% growth)

2. Middle Eastern (Habib’s 92% market share; 7% growth)

3. Bakery products (Subway, 43%; 12% growth)

4. Specialty/other (Spoleto, 46%; 14% growth)

5. Cafes/bars (Rei do Mate, 17%; 19% growth)

SOURCES: Euromonitor, McKinsey

1. Channel surfing: Most consumers (80%) use the Internet to research a computer purchase. When it comes to buying, though almost 59% prefer the personal touch, and go retail.

2. Tough customers: Loyal consumers – those who will not even consider a different brand -- account for only 27% of the PC market; the rest are willing to change their minds.

3. The persuaders: What drives consumers to initially consider a PC? The most important factors, other than prior experience with the brand, are store displays (23%) and word of mouth (21%) Store displays are almost five times as influential as advertising (5%).

SOURCE: McKinsey research

1. Power centers: From 2007 to 2025, 443 emerging-market cities will generate nearly half of global GDP growth, up from 15 percent today. By 2025, there will be more middle-income households in emerging market cities than in developed ones.

2. Baby boom: By 2025, developing cities are likely to account for almost 60 percent of middle-class children; within this group, cities in China, Latin America and India are likely to represent two-thirds. Karachi, Mumbai, and Cairo are all likely to rise into the top 10 markets for children's goods.

3. The east is rising: Today, 22 of the 25 largest cities ranked by GDP are in developed economies; by 2025, Shanghai and Beijing will outrank Los Angeles and London and Mumbai and Doha will surpass Munich and Denver.

SOURCE: McKinsey Global Institute

1. Confidence is falling in 11 of 18 European markets, with double-digit drops in France and Denmark.

2. 63% of Europeans and 60% of Americans do not think their own country will be out of an economic recession in the next 12 months – a higher percentage than in early 2009 (54% and 53% respectively).

3. The countries with the highest rates of consumer confidence are India, Saudi Arabia, Indonesia, Brazil, and the Philippines.

Nielsen Global Online Consumer Confidence Survey, Q3 2011

1. The top three online purchase categories are consumer electronics; media; and fashion. More than a third of Germans (36%) buy all of their event tickets and travel products online.

2. More than three-quarters (77.2%) of Germans have bought online, the second-highest figure in Europe, after Britain (80.8%).

3. The top reasons that Germans visit retailer websites before buying at the store: to review product information; check prices; and compare products.

SOURCE: McKinsey iConsumer

How People Buy Personal Computers

1. Channel surfing: Most consumers (80%) use the Internet to research a computer purchase. When it comes to buying, though, almost 59% prefer the personal touch, and go retail.

2. Tough customers: Loyal consumers—those who will not even consider a different brand—account for only 27% of the PC market; the rest are willing to change their minds.

3. The persuaders: What drives consumers to initially consider a PC? The most important factors, other than prior experience with the brand, are store displays (23%) and word of mouth (21%) Store displays are almost five times as influential as advertising (5%).

SOURCE: McKinsey research

Whoops: Wireless carriers believe that 70% of the market is “locked up,” with loyal customers who will not shop around. In fact, the figure is almost the reverse. About 75% of customers are willing to consider other brands.

Personal touch: At the moment of purchase, the single most important factor in buying a carrier is the sales person (38%). Word of mouth, in the form of a recommendation or personal knowledge, is next (25%).

Brick and click: Almost half of consumers (49%) of research online and in-store, but purchase in the store. Of those who go to a retail store, 90% buy there.

SOURCE: McKinsey research

“…too few Americans who attend college and vocational schools choose fields of study that will give them the specific skills that employers are seeking.”

1. 65% of companies have restructured operations in last three years

2. 24% of those used off-shoring or out-sourcing

3. 33% said the basic habits and attitudes of job applicants are lacking

Source: McKinsey Global Institute: An economy that works: Job creation and America's future 

McKinsey survey of US employers

1. 64% of employers blame high wages and taxes

2. 49%: high health-care and benefits

3. 33%: weak US demand

4. 29%: not enough qualified workers

5. 19%: lack of financing

SOURCE: McKinsey Global Institute, An economy that works: Job creation and America’s future

1. Room to grow: Only 21 percent of young consumers (aged 18 to 34) use social networks to research financial services and only one in eight people consider them important in how they make financial decisions. For those over 55, only 2 percent consider them important.

2. Caution: Eighty percent of consumers are uncomfortable using social media sites to access their financial information. But these sites are an increasingly popular online research channel, trailing only search engines and company websites.

3. Who cares?: More than 80 percent of consumers say they don’t care whether their financial services provider has a presence on social network channels.

SOURCE: McKinsey research

1. A country of optimists: 58% said they expected their incomes to rise in the next year, compared with 39% in 2010.

2. The Internet’s limited reach: Only 28% of those surveyed said they had recently received product information online.

3. Why they are spending more: 35% said they are “trading up” to more expensive products and 60% are buying more or more often.

SOURCE: McKinsey 2011 Annual Chinese Consumer Study

1. Email is so 2005: People under 25 spend almost 30% of their communications time on social networks, versus 20% on mobile phones, 15% on email and 11% on landlines.

2. The smartphones are coming: Basic handsets are losing ground,  slipping from 81% penetration to 68% in 2009. Smartphones, on the other hand, are gaining ground, with penetration rising from 15% to 24%.

3. Mobile is moving up: More than a third (36%) of smartphone users prefer to use their phone to access the Internet, even when a computer is nearby.

SOURCE: McKinsey research

1. Rich pickings: The purchasing power of American Hispanics is expected to reach at least $1 trillion by 2012.
2. Pre-crash profits: Hispanics accounted for $33 billion in retail banking profits in 2007, or about 9 percent of the total—a healthy figure, but well below their share of the population (16%).
3. Where the potential is: More than half the U.S. Hispanic population lives in 10 metropolitan areas; and though there are incremental costs involved in reaching them, research suggests Hispanic consumers can be more loyal and profitable than average.

“Total employment from 2000 to 2007 increased by 9.2 million—less than half the rate of increase of preceding decades—and 1.2 million of those jobs were in sectors directly fueled by the credit bubble.”

7 million: decline in US jobs since December 2007

23%: drop in rate of new business creation since 2007

21 million: jobs needed by 2020 to reach full employment

SOURCE: McKinsey Global Institute, An economy that works: Job creation and America's future