Download - Cocoa chinaevent key_v2_bernie-google
Mobile Advertising for Mobile Applications
Aug 27, 2011 Bernard Tay
agenda
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Mobile Application is big
Smartphone Users Are Target Audience
Ad-Funded, In-App or One-Time Download
Mobile Application Is BIG
Smartphone Users Are Target Audience?
31%
USA
Worldwide Smartphone Shares
15%
ZAF
37%
AUS
35%
CHN
23%
IND
28%
THA
62%
SGP
26%
TWN
6%
JPN 27%
KOR
9%
MYS
17%
IDN
35%
HKG 27 %
FRA
33%
ESP
24%
ITA
30%
DNK
18%
DEU 30%
GBR
33%
NLD
21%
AUT
25%
RUS 29%
FIN
30 %
SWE
33%
NOR
14%
TUR
xx%
POL
34%
CHE
29%
CZE
xx%
ISR
The Spectacular Rise of the Tablet
0
50
100
150
200
250
300
350
400
450
500
2010 2011 2012
Tablets
PCs
Tablet Shipments (millions)
Tablets predicted to reach 25% of PC
shipments in next two years
The iPad is Apple’s fastest-selling
device in history
0
2
4
6
8
10
12
0 Q1 Q2 Q3
iPad
iPhone
iPod
iPad, iPhone, iPod Sales, 3 Quarters
After Launch (millions)
Devices: 54% currently have their first smartphone.
Brands: They mainly use Nokia, Samsung, Apple.
Web-behaviour: 61% use the internet at least once a day via smartphone. Still heavier web-usage via PC / laptop.
Demographics: More males use smartphones, they are younger (up to 34 years), higher educated and full-time employed.
» Private urban smartphone users in China:
Used Devices
Base: All respondents, n=1000 Q1: Which, if any, of the following devices do you currently use?
Mobile phone /
Smartphone
Desktop / PC Laptop /
Notebook
Netbook /
Webbook
MP3- / Media
player with
Web access
eReader Tablet PC or
Slate / Pad
Handheld
gaming device
» 97% of urban Chinese citizens use a Mobile Phone / Smartphone
72%
Netcount Laptop / Desktop
Number and Type of Used Phones
Base: All respondents, n=1000 Q2: And how many mobile phones or smartphones do you currently use? Q6: And which of the following best describes your phones?
1
3
2 + dk
+
dk
+ dk
+ +
» 30% of urban Chinese citizens have more than one phone
67% have one phone
25% have two phones
4% have three phones
4
1% have four phones
dk
Share of Mobile Phones vs. Smartphones
Base: All respondents, n=1000 Q1: Which, if any, of the following devices do you currently use? Q6: And which of the following best describes your phones?
35%
Smart- Phone
60%
Mobile Phone
» 35% of urban Chinese citizens use a smartphone for personal reasons
97%
Number of Smartphone & Usage Duration
14
Base: All main privately used smartphones, n=354 Q7: Is your … your first smartphone? Q8: How long have you been using your smartphone?
Yes No
» For 54% of urban smartphone users it is the first smart device
Don‘t know
Demographics 1/2 All respondents Private smartphone users
Gender Female 50% 44%
Male 50% 56%
Age
18 - 24 Years 17% 24%
25 - 34 Years 31% 39%
35 - 44 Years 23% 21%
45 - 54 Years 18% 11%
55 - 64 Years 11% 5%
Average Ø 36,6 Ø 32,8
Education
Low 22% 8%
Middle 26% 26%
High 51% 65%
Employment Status Active (full + part time) 71% 81%
Inactive 29% 19%
Marital Status
Single 30% 40%
Living with partner 0% 0%
Married 69% 58%
Divorced/ separated 1% 1%
Base: All respondents, n=1000 / Private smartphone users, n=354
Demographics 2/2 All respondents Private smartphone users
Household Size
1 Person 3% 3%
2 Persons 6% 7%
3 Persons 37% 40%
4 Persons and more 53% 49%
Average Ø 4,0 Ø 3,9
Number of Children
0 Children 53% 53%
1 Child 36% 36%
2 Children 8% 8%
3 Children and more 2% 3%
Average Ø 0,6 Ø 0,6
Household income (monthly)
Top (8.000 RMB or more) 20% 30%
Middle (3.000 – 7.999 RMB) 39% 40%
Low (less than 3.000 RMB) 33% 23%
Base: All respondents, n=1000 / Private smartphone users, n=354
Are These Your
Target Audience ? ✔
Ad-Funded, In-App Purchasing And Paid ?
Ad-Funded
• Advertiser Pays
• CTR, eCPM, CPC
• Recurring Revenue
• Easy option for users
to experience full
features of apps
without paying
In-App Purchase
• User Pays
• Virtual goods
inventory, price per
payment,
• Recurring Revenue
• Great option for users
to try the app with
possibly limited
features
Pay Per Download
• User Pays
• Price of app
• One-Time-Revenue
• Great option for users
who are willing to buy
the app right out, with
either previous
knowledge of the app
(via advertising ?)
Typical Lifecycle Of Successful App
Integrate monetization SDK & Publish to Appstore
Increase Userbase via Mobile Advertising
Monetize & Use HouseAds to further drive downloads of other versions (x &
up sell)
Key Takeaways
Mobile App business is exploding and pads expected to drive even more growth
Smartphone users are also the right audience
3 main monetization models available and should be combined in an overall strategy
Time is right now, reach out to Google Mobile team to get started