Hive needs a 15% penetration rate in at least 1 market. How close are we?

in Hive Statistics2 years ago (edited)

In this post I will share a link to explain why penetration rate is important, and I will rank countries by the penetration rate we have with them here on Hive. This way, we can see the regions where we have the most potential to hit the magic 15% threshold.

15 - It's the Magic Number

The article cites that a result of this is that generally the rate of adoption of a social network in a community is very low until community penetration reaches about 15%. Here, community penetration is the ratio of the number of people in the community on the network to the total number of people in the community.
- Cornell University

As shown in the article above, 15% penetration rate can be seen as a key threshold when it comes to social networks. Before 15%, adoption is slow and difficult. After 15%, adoption becomes rapid and easy, until literally almost every person locally is part of the network. The blogpost above is quite short and easy to read, and forms the premise to this post, but it's copyrighted so rather than repeating the points here or copying it outright, I suggest you follow that link and read the whole (short) post.

Ranking Countries by Hive Penetration Rate

In order to do this, I need to make a few assumptions. There were 19,786 active users (authors and curators) on Hive, and 3288 of them I was able to categorize and connect with a particular country. There is some multiplier I can use which will get a fuller picture of active users per country.

In order to determine the multiplier, I recognize that some percentage of these users are bots and alt accounts, and thus do not represent unique individuals. For now I will treat that as 15%, although I have an active poll and perhaps we can find a more accurate bot factor. There is also going to be variation between countries in terms of likelihood that someone has a location field in that particular country, however for the sake of simplicity I will assume that there is no such variation.

image.png

Having made these assumptions, we come to a multiplier of 5.1145, which I will round down to 5 for simplicity.

For the world, we get a penetration rate of 0.00021%. We have a long way to go.

Below are the top 20 countries by penetration rate.

Hive User Estimate and Penetration Rate.png

As you can see, we are very, very far away from the coveted 15%, in any country. We have only 6 where the penetration rate is above 0.01%, and five of those are micro-nations, where we have little statistical confidence. After we remove countries with less than 1 million population, we have the rankings below.

Hive User Estimate and Penetration Rate - Without Micronations.png

Now do you see why I have been harping on about Venezuela and Cuba? Although Cuba is not that far ahead of some others, it is more notable that it has the second highest penetration rate while also growing at a decent clip recently, thus it has potential.

Penetration Rate in Cities

Now, this post may seem fairly pessimistic, because we are leagues away from a 15% penetration rate in any country. However note that the study quoted at the start is not speaking about countries, it only mentions communities. We don't have to measure at the country level, there are several cities around the world with substantial populations where we are likely achieving better penetration rates.

For example there are 3 cities that appear to have relatively large Hive communities:

Caracas, Venezuela
Lagos, Nigeria
Cebu, Philippines

There are several more that are worth looking at. I aim to make a follow up post where I will look at the penetration rate for the cities around the world with the largest local Hive communities.

Edit: fixed some errors with my numbers that emerged as a result of a typo in my SQL query 🤦‍♂️

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Okay out of Caracas, Cebu and Lagos, which one has the least population? Next step, everyone on here, move there 😜

Unquestionably that is Cebu. And judging from the blog posts frequently on Hive trending page about it, it does look lovely honestly...

i just looked and oh my gosh, i never knew. this is the plan for sure.

i just imagined oprah wenfrey saying "you get a penetration rate, you get a penetration rate" 😅

but seroiusly i think most people use a social media for 2 things
1- their friends are there
2- it helps them with their business (reach more customers mainly); but this relies on the first part

the important thing is that we need enough people to come and stay (because let's face it not every user is a returning user)
all and all it's just a matter of time that enough users join to start the snowballing effect 🤖🤖

As well as geographical penetration I think we will benefit if we can get big in specific topics, but that will be much harder to measure. If Hive became the place to be for stamp collectors then that could be a significant number of users.

Yes, part of the lesson in the linked blog post is to focus on small communities and grow them individually as Facebook did. I'm just not sure if we have any clear options equivalent to Facebook's University campuses. I can see small economies where money is difficult to move suiting Hive well, if we can identify them.

Venezuela is on top but i see mostly Philippines here on hive, but their penetration rate is low as compare to many others

In part that is because the Philippines 🇵🇭 is a huge country with a huge population.

It is likely that the penetration rate is better in Cebu, where we have a relatively large Filipino Hive community in a city of a few million.

Yes cebu is better than Philippines in penetration rate because of population rate. I try to find the Pakistan in your chart but can't find it's name

Pakistan is also quite low on the rankings because Pakistan has a very large population.

Yes that's the point
Thank you

Was there any Hive movement in other countries in Africa? I feel as though Egypt and Ethiopia/Kenya regions are the most practical, seeing as they also have some of the quickest population growth and internet penetration increases in the world!

We have a small presence in Nigeria and Ghana, but we don't have any meaningful presence in any other African country.

Gotcha. Seems like the places I mentioned would be primed for adoption because they're also heavily suppressed internet-wise by their governments

Awww
I can see that Nigerians are doing very well on Hive
Kudos to us!!!!

will hive increase in price again....

I found this post of yours is very informative but it is little bit difficult to understand it properly for me. Maybe it because of language barrier or maybe I don't know too much about these regions but its good to know that ranking countries by hive penetration rate.