BILD goes App. Donata Hopfen, Managing Director BILD digital Capital Markets Day, December 10, 2010, Berlin

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1 Donata Hopfen, Managing Director BILD digital Capital Markets Day, December 10, 2010, Berlin

2 BILD is the leading media brand in Germany in print and across all digital platforms Print Online WAP iphone ipad

3 BILD reaches the user on every digital internet-enabled device 3

4 An individual story-telling on every device is crucial for the success of the different products 4

5 Definition of the term App Bookmark Locally stored Uniform Resource Identifier (URI) Allows the user to save defined URLs as favourite Dynamic bookmarks allow to save RSS-Feeds WAP (Wireless Application Protocol) Makes online content available for mobiles (slower transfer rate, longer answer times and smaller displays than in www) WAP supports push services App (Application) App is computer software designed to help the user to perform specific tasks But: App is used as synonym for modern smart phone software available in online shops integrated in the operating system 5

6 Premium content strategy started with Apple s iphone High market share of iphone High and rising share of visits on BILDmobil portal from iphone Willingness to pay High willingness to pay for premium content on mobile devices Existent infrastructure Visits on BILDmobil portal per mobile type 1) Other iphone 33% 42% Jan. 09 Oct. 09 App sales Germany 2) +81% e Start of premium content strategy with iphone App Apple store with ideal infrastructure for premium content, accessible with easy payment method 1) Source: Nedstat 2) Source: Bitkom 6

7 iphone App with various device-optimized features ibild-view (innovative, graphic navigation) Current news from all channels, weather, horoscope, traffic news Push services and live ticker for news and soccer Multimedia: videos und photo galleries BILD Girl to shake + BILD as a PDF at 10 pm the day before + Multimedia alarm clock + Personalized homepage and regional news 7

8 Success of the initiative has dramatically exceeded expectations iphone-apps sold within one month BILD App on first place in App Store 1) 1. BILD Nachrichten right now the greatest offer of paid media for Apple s iphone concerning presentation (SPIEGEL ONLINE; Dec. 10, 2009) Springer surprised with perfect Bild app for the iphone (Dwdl.de, Dec. 10, 2009) 1) Screenshot Dec. 10, 2009, 12:30 hrs 8

9 BILD iphone App shows our paid content strategy works more than transactions Follow-up subscription (in ) month without PDF Trial period (1 month) month with PDF BILD App transactions 1) months with PDF ~ ) year with PDF 1) Sum of paid download, 1-month, 3-month and 12-month subscriptions 2) December 2009 to December

10 Apple is only the beginning Share of visits on BILD mobile portal according to operating system (Sep 2010) Worlwide smartphone sales according to operating system (in million) 20.9 (51%) 25.4 (41%) Other 26% 10% Android 5% RIM OS 9% 50% Mac OS (mobile) 0.8 (2%) 3.8 (9%) 3.1 (5%) 1.9 (5%) 1.5 (2%) 7.8 (19%) 11.2 (18%) 10.6 (17%) 5.3 (13%) 8.7 (14%) Symbian OS Others 0.5 (1%) 1.1 (2%) Source: webtrekk Source: Gartner August

11 Next step in premium strategy is BILD ipad App Learnings iphone App Chances of ipad Device optimized product is important success factor Premium content (convincing quality and functionality) works successfully in Apple App store Continuous updates and new features increase number of users and user activity Access to new customer groups New device class: hybrid products between print, online and mobile Closed storytelling possible Use of known Apple infrastructure Access to new customer groups with high willingness to pay 11

12 BILD ipad App the best of print, online and mobile in one product Layout is oriented towards print App is a closed product with a fixed number of pages Articles have interactive elements and additional content, e.g. Videos and pictures Ongoing additions for relevant news and topics App includes the PDFs of all regional editions From January on advertisements of print are transferred to ipad App in addition possibility to book App-only advertisements 12

13 Video: BILD ipad App demonstration 13

14 BILD ipad App pricing and campaign Follow-up subscription ( ) Trial period (1 week) day 1 month 3 months year 14

15 Amazing response following launch on Dec 8 th BILD App No 1 in App Store Top-Charts 1) BILD HD is a kind of showcase demonstrating everything that is possible with media on the ipad (meedia.de; Dec. 08, 2010) BILD on the ipad is a little bit like a playing field: Boulevard to touch, swap and wave articles can be read on the second level; the first level is dominated by pictures and headlines (kress.de; Dec. 08, 2010) 1) Screenshot Dec. 8, 2010, 12:30 hrs 15

16 App also on the large screen Internet enabled TV devices in Germany in million Households with internet enabled TV Household with regularly use BILD.de already available on huge number of TV devices, e.g. on NetTV from Philips Source: Goldmedia,

17 The digital distribution of BILD is only just getting started New kinds of storytelling on existing devices BILD on all additional new internet-enabled devices? Innovative Quick High quality Premium 17

18 BILD products add up to 100% availability of BILD content during the course of the day At home At work On the go 12 a.m. 4 a.m. 8 a.m. 12 p.m. 4 p.m. 8 p.m. 12 a.m. BILD WAP BILD Online BILD Print BILD iphone 18