1. Understanding The Changing Mobile AudienceChris Silva,Industry AnalystAltimeter Group@802dotchris

2. Mobile has become the screen of choice. 2012 Altimeter Group

3. Despite economic fallout, the world went mobile Smartphones have been relatively recession-resistant, growing from 25% penetration to 50% penetration overall in the last two years in the U.S., according to Nielsen. New devices inspire confidence in spending behavior: 4/5 US smartphone owners use their device in shopping (in store or m-commerce) 2012 Altimeter Group

4. Mobile innovation is all but a certitude The Rutberg & Co research innovations (Jan 2012) found VCs were seeing spent $6.3 billion or 42.4% are just a start. of their budgets on mobile investments in 2011 (up from $4.5 billion or 30.4 percent in 2010) VC investments in mobile marketing and advertising companies was $592 million in 2011 (up from $128 million) 2012 Altimeter Group

5. The Platform Winner Is Not Yet Crowned July, 2012: 51.8% of US devices are Android, 34.3% iOS July 2012 2012 Altimeter Group

6. Whats Happening With Platforms? Mobile is here to stay, and investing in content for it and support of it in the enterprise is critical. Platforms are not a foregone conclusion and will continue to fluctuate choosing only one is myopic. Investment in tools means a crowded market of brand- and enterprise-side tools, choose wisely. 2012 Altimeter Group

7. Tablets Are Quickly Gaining Ground 2012 Altimeter Group

8. The Gap In Tablets Narrows 2012 Altimeter Group

9. Who Are Tablet Users? 2012 Altimeter Group

10. Whats Happening With Tablets? Tablets are increasingly mainstream and no longer represent a narrow user demographic. Android is experiencing a resurgence against iOS and developing for or only supporting iOS is not a long-term strategy. 2012 Altimeter Group

11. When Are They Interacting? After-hours mobile and non- mobile shopping are nearly even. iPad rules the night, as device users spend more time onsite. Source: Bazaarvoice, Inc., The Conversation Index #3, 2011 2012 Altimeter Group

12. Content Is Still King On Tablets 2012 Altimeter Group

13. But Content Types Are Still Immature Most video is short-form, YouTube content 2012 Altimeter Group

14. Whats Happening With Tablets? Our usage of mobile media, especially on tablets, is still taking shape. Todays leading tools show promise of whats to come, but were still in the very early days. Think ecosystem, how can the tablet extend a campaign into the users hands? How can it bring the office environment to the user anywhere? 2012 Altimeter Group

15. THANK YOU Chris Silva csilva@altimetergroup.com makemobilework.com @802dotchris Disclaimer: Although the information and data used in this report have been produced and processed from sources believed to be reliable, no warranty expressed or implied is made regarding the completeness, accuracy, adequacy or use of the information. The authors and contributors of the information and data shall have no liability for errors or omissions contained herein or for interpretations thereof. Reference herein to any specific product or vendor by trade name, trademark or otherwise does not constitute or imply its endorsement, recommendation or favoring by the authors or contributors and shall not be used for advertising or product endorsement purposes. The opinions expressed herein are subject to change without notice. 2012 Altimeter Group

16. 16 ABOUT US Altimeter Group provides research and advisory for companies challenged by business disruptions, enabling them to pursue new opportunities and business models. Visit us at http://www.altimetergroup.com or contact info@altimetergroup.com. 2012 Altimeter Group