Smartphones and Application Trends and Opportunities

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1 Smartphones and Application Trends and Opportunities Trends and Analysis Gabe Ingalls

2 Contents

3 Search Traffic KPIs Traffic Smartphone terms have received 61% more traffic in 2010 than during the same period in 2009 Consumers Even though smartphones are not the majority of the phones used, this number is continually growing as the technology becomes more accessible KPIs While CPCs have increased over time CTRs have decreased slightly indicating that there is increased competition in this market 1. Microsoft Advertising Intelligence Tool 2. Microsoft AdCenter

4 Product Traffic Growth 1. Microsoft Advertising Intelligence Tool Smartphone Year on Year Growth Trends (January December 2010): Generic Smartphone 144% Android 258% Blackberry 78% iphone 35% WP7 801% While many of the traditional mobile phone devices are stagnating in search traffic growth, the smartphone market continues from strength to strength

5 Smartphone Demographics and Daily Trends: 1. Microsoft Advertising Intelligence Tool

6 Network and O&O Trends

7 Network Demographics While the majority of the impressions occur in the age groups below 44, this proportion is shifted slightly when looking at clicks Conversions, like impressions, peak in the group and are more prominent with female in younger age groups and males in the older segments 59% of conversion occur between the age brackets Telecoms conversions include things like contract phone applications Source: Microsoft Media Network : JUL - DEC10

8 Network: Day of the Week The majority of the impressions & clicks occur during the week with a low point on Saturdays. There is a gradual decline from Monday to Saturday When looking at the conversion information: Friday and Saturday are key days in the conversion cycle. Source: Microsoft Media Network : Oct 09 : Aug10 Source: Microsoft Media Network : JUL - DEC10

9 Network: Time of Day While telco impressions are a steady build until the evening, this increases towards the end of the working day until 22.00; actions remain fairly even from late afternoon until that time There are 3 impression peaks during the day: start and finish of working day as well as at the end of the evening between 20 and 22 hours Source: Microsoft Media Network : JUL - DEC10

10 Media Activities Phone Brands and Mobile Applicaitons

11 Other noninternet computer use s Other internet use Mobile calls Social networking Text/video messaging Landline calls Reading (print) Scheduled TV (TV set) Listening to radio (radio set) Level of attention paid to various media Respondents score for the level of attention paid to each medium based on a scale of 1 to 5, by whether the respondents used the medium simultaneously or on its own 5 When done on its own When done simultaneously with other media Source: Ofcom/nVision Base: 7,966 respondents aged 16+, UK, 2010

12 The Smartphone sensation Source: nvision Research Base: 2,000 online respondents aged 16+, GB, 2009

13 Industry Climate In the US, there is a continual struggle to be the top smartphone provider. emarketer has released the chart to the left indicating that they believe that Android will overtake Apple for the top spot in the coming years

14 App users % of Smartphone owners who use the following kinds of apps at least once a month Which of the following kinds of apps do you use at least once a month? 0% 10% 20% 30% 40% 50% 60% 70% Social networking (e.g. Facebook, Twitter, Linkedin) Mapping apps (e.g. Google Maps) Games Weather apps News apps (e.g. newspaper apps, RSS readers) Banking and finance apps (e.g. Natwest, Barclays) Information apps (e.g. film reviews, local leisure info) Music apps (e.g. Spotify, last.fm) Travel apps (e.g. taxi booking, train timetables etc) Shopping apps (e.g. Ocado, Shopsavvy) Productivity apps (e.g. to-do lists, diary apps) Personal health tracking apps (e.g. calorie counters) Recipe apps (e.g. Recipeczar, Epicurious) Book reader apps Location-based social networks (e.g. Foursquare, Gowalla) Augmented reality apps (e.g. Layar, RealityBrowser) Nearly 40% of smartphone owners have paid for an app. Source: nvision Research Base: 1,561 online respondents aged 16+ whose mobile phone allows them to download apps, GB, 2010

15 The mobile web Source: nvision Research Base: 1,200 respondents aged 16+, GB, 2009

16 Mobile phone usage: data services % of total time spent on mobile phones that is not spent making voice calls, by age 100% 90% 80% 70% 60% 50% 40% 30% 20% Other internet phone use Instant Messaging Downloaded audio / music Social networking Text / video messaging 10% 0% Total Source: Ofcom/nVision Base: 7,966 respondents aged 16+, UK, 2010

17 Telecommunication Opportunities SmartPhone and Data Offerings With increasing availability of new, cheaper technology there will be increased proliferation of the smartphone market Gender/Age Specific Advertising Demographics are strong differentiators in telecommunication consumer choices and these should be considered in marketing choices Search and Display Better Together Use both offerings to help boost your ROI moreover, use our display offering to help boost your brand campaign to the largest audience

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