2012 Edition

mfp2012 v18.qxp 8/9/2012 2:36 PM Page 1

MOBILE FACT PACK A Guide to Mobile Marketing

2012 EDITION

Five Fast Facts About Mobile Advertising

Mobile drives share of voice Reach 1.1 billion* unique devices across the globe and ensure your brand can reach audiences with ease and efficiency.

Mobile maintains brand integrity Diverse targeting parameters, premium mobile content and cutting-edge rich media executions enables your brand to be showcased in the best For more mobile possible way to your target audiences. advertising fast facts contact us today: [email protected] Mobile is magnetic or +1 646 862 6201 Mobile is a medium like no other: your target audiences are choosing to carry around this form of media day and night and is always within arms reach. No other advertising medium offers this.

Mobile delivers ROI 52% of mobile marketers stated mobile returns were higher than traditional media.††

More eyes are on mobile Americans spend more time daily viewing mobile content than magazines and newspapers combined.** Average smartphone users check their phones 34 times a day.†

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* Source: Internal Mojiva network data, January 2012 ** Source: eMarketer December 2011 † Source: Cohen, E., Do you obsessively check your smartphone?, CNN Health, Published online July, 28 2011 †† Source: Luth Research survey commissioned by SoundBite Communications, January – February 2012 mfp2012 v18.qxp 8/9/2012 2:36 PM Page 3

Advertising Age | 3 MOBILE MARKETING FACT PACK 2012 Market, media, demographics and agencies

IF YOU’RE still wondering if it’s the year of A TWO-PLATFORM WORLD mobile, you’ve already missed it. While the medium still pales in advertising dollars spent— While smartphones boom, two platforms are just $6.4 billion worldwide in 2012—it occupies becoming dominant: Google’s Android and an outsized place in the marketer’s conscious- Apple’s iOS. Meanwhile, the once-dominant ness. Why? The smartphone, now carried by BlackBerry is declining precipitously from more nearly half of all Americans who own a mobile than 23% market share in June of last year to phone, is a computer, a camera, a map, a compass more than 10% today with nothing in the and, for a growing number, a wallet. pipeline that promises to slow down its decline. Microsoft’s Windows Phone has latched itself to MOBILE E-COMMERCE ailing handset maker Nokia in hopes of breaking in, but it’s a longshot and Hewlett-Packard’s While widespread use of the mobile phone to Palm could disappear soon as well. pay for things seems a way off, the phone is now Among handset manufacturers, Samsung dictating buying decisions as much as any has ridden Google’s Android to a dominant posi- devices before it. Consumers are using phones to tion in the marketplace, forcing Apple to accept a comparison shop in stores; they are using them smaller, niche role. to consult reviews on products, services, hotels In the past year, Google closed on its $12.5 and restaurants; and then they are using phones billion deal to buy Motorola, a once-mighty to tell their friends where they are and what trendsetter in handsets that didn’t see Apple or they’d like to do. Android coming. What Google does with Oh, and they also buy things. Even more Motorola could shuffle the landscape once again. than the PC, the phone is a transaction device, so it should surprise no one that search advertisers AWARD-WINNING WORK dominate in mobile. While Apple, Google, Jumptap and others It shouldn’t surprise anyone that Google has would like to turn the phone into a branding become an adept mobile marketer in its own medium, search spending is expected to outpace right, winning the first Lion given in Cannes for display for at least the next several years. Global the Mobile Grand Prix. What won? Google re- spending on banners and rich media is expected imagined one of the most iconic TV campaigns to reach $1.5 billion in 2013, while search goes of all time, Coca-Cola’s 40-year-old “Hilltop” ad. up to $2.2 billion. —Michael Learmonth [email protected] mfp2012 v18.qxp 8/9/2012 2:36 PM Page 4

4 | Advertising Age MOBILE FACT PACK 2012 INSIDE nMobile ad spendingn nBehaviorn P. 6I P. 16I U.S. MOBILE AD SPENDING BY FORMAT MOST-VISITED PROPERTIES; MOST-USED APPS Spending is forecast to increase to more than Google sites have more than 100 million unique visitors. $10 billion by 2016. P. 17I GLOBAL MOBILE AD SPENDING BY REGION MOBILE AS PRIMARY ONLINE TOOL Worldwide mobile internet spending will reach $23.6 billion by 2016. Why users go online with mobile devices. P. 18-19I nPlatform and OEMn HOW CONSUMERS USE THEIR PHONES Activities performed while in retail stores; watching TV. P. 8I SMARTPHONE SUBSCRIBERS BY PLATFORM Google’s Android runs on 51.6% of smartphones. nMobile ad networksn OEMS BY SHARE OF MARKET P. 20I Samsung makes more than 25% of mobile phones. BY SHARE OF AD DOLLARS P. 10I Google has 51.7% of the mobile market. NETWORK OPERATOR SHARE Verizon leads AT&T by 3.4% share of market. nAgenciesn nPenetrationn P. 22I CANNES INAUGURAL MOBILE GRAND PRIX P. 12I Google wins for “Hilltop Reimagined.” MOBILE PHONE AND TABLET USERS P. 24I Forecasts show that two-thirds of world population LARGEST U.S. MOBILE AGENCIES will have mobile phones by 2016. By 2011 revenue from mobile. P. 14I SMARTPHONE USER GROWTH HOW TO REACH US Advertising Age’s Mobile Marketing Fact Pack 2012 was published Smartphone use is rapidly approaching that of the PC. August 20, 2012. Email: [email protected]. Send mail to: Ad Age DataCenter, P. 15I 150 N. Michigan Ave., Ste. 1737, Chicago, IL 60601. DEMOGRAPHICS Additional copies: Order print copies at [email protected] or by calling 1-877-320-1721; for readers outside the U.S., 1-313-446-0450. Digital edition available 46% of American adults own a smartphone. for viewing free online at AdAge.com/trend-reports through Sept. 17, 2012; available for $29 after that. Staff: Kevin Brown, Bradley Johnson, Michael Learmonth, Madalyn Hoerr, Catherine Wolf, Rahel F. Rasu, Shawna Lent This document, and information contained therein, is the copyrighted property of and Jennifer Chiu. Crain Communications Inc. and The Ad Age Group (© Copyright 2012) and is for your personal, non-commercial use only. You may not reproduce, display on a website, distribute, sell or republish this document, or the information contained Ad sales: (212) 210-0159. therein, without prior written consent of The Ad Age Group. AA011296.qxp 8/2/2012 11:39 AM Page 1 mfp2012 v18.qxp 8/9/2012 2:36 PM Page 6

6 | Advertising Age MOBILE FACT PACK 2012 MOBILE AD SPENDING U.S. mobile ad spending by format

Spending is forecast to increase to more than $10 billion by 2016. FORMAT IN MILLIONS OF DOLLARS FORMAT 2011 2012 2013 2014 2015 2016 Banner ads and rich media $445 $862 $1,508 $2,307 $3,152 $4,005 Search 653 1,280 2,154 3,251 4,295 5,250 Messaging 284 319 353 388 433 487 Video 68 151 293 517 779 1,083 Total 1,451 2,611 4,309 6,463 8,660 10,825 Total U.S. media ad dollars (billions) 159 169 176 184 189 197 Mobile as % of media 0.9% 1.5% 2.4% 3.5% 4.6% 5.5%

Source: eMarketer, January 2012. Display data include banners, rich media and video on WAP sites and mobile HTML sites and embedded in-application/ in-game advertising. Search data include advertising on search engines, search applications and carrier portals. Messaging data include ad placements in SMS, MMS and peer-to-peer messaging. Ad spending on tablets is included. More info: emarketer.com.

Global mobile ad spending by region

By 2016, worldwide mobile internet spending will reach $23.6 billion. 1 BY REGION IN MILLIONS OF DOLLARS REGION 2011 2012 2013 2014 2015 2016 U.S. $1,166 $2,293 $3,955 $6,075 $8,227 $10,338 Asia-Pacific 1,883 2,561 3,191 3,938 4,528 5,094 Eastern Europe 63 121 201 279 363 450 Latin America 24 47 87 170 269 374 Middle East and Africa 23581114 Canada 62 110 189 302 483 691 Western Europe 776 1,305 2,088 3,195 4,761 6,679 Worldwide 3,976 6,440 9,716 13,966 18,641 23,640

Source: eMarketer, July 2012. Numbers rounded. Display data include banners, rich media and video on WAP sites and mobile HTML sites and embedded in-application/in-game advertising. Search data include advertising on search engines, search applications and carrier portals. 1. Messaging (ad placements in SMS, MMS and peer-to-peer messaging) is excluded. Ad spending on tablets is included. More info: emarketer.com. AA011302.qxp 8/7/2012 2:42 PM Page 1

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8 | Advertising Age MOBILE FACT PACK 2012 PLATFORM & OEM Smartphone subscribers by platform

Google’s Android platform dominates, running on 51.6% of smartphones. JUNE 2012 JUNE 2011 RANK PLATFORM AUDIENCE SHARE AUDIENCE SHARE

1 Google [Android] 57,194 51.6% 31,454 40.2%

2 Apple [iPhone] 35,938 32.4 20,853 26.6

3 RIM [BlackBerry] 11,888 10.7 18,377 23.5

4 Microsoft [Windows] 4,234 3.8 4,575 5.8 5 Symbian 994 0.9 1,533 2.0

6 Palm [WebOS] 657 0.6 1,508 1.9 Total audience ages 13 plus 110,908 100.0 78,310 100.0

Source: ComScore MobiLens. Audience is in thousands. Data show a three-month average ending June 2012 for mobile subscribers ages 13 plus in the U.S. More info: comscore.com.

Mobile phone OEMs by share of market

Samsung makes more than a quarter of all mobile phones. JUNE 2012 JUNE 2011 RANK ORIGINAL EQUIPMENT MANUFACTURER AUDIENCE SHARE AUDIENCE SHARE 1 Samsung 59,839 25.6% 59,116 25.3% 2 LG 43,916 18.8 49,874 21.3 3 Apple 35,938 15.4 20,853 8.9 4 Motorola 27,438 11.7 34,020 14.5 5 HTC 14,988 6.4 9,878 4.2 6 RIM 11,888 5.1 18,377 7.9 7 Nokia 9,019 3.9 12,551 5.4 8 Kyocera Communications 7,193 3.1 8,954 3.8 9 Pantech 6,504 2.8 4,746 2.0 10 Sony 1,465 0.6 2,381 1.0 11 HP 760 0.3 1,835 0.8 Total audience ages 13 plus 234,000 100.0 234,000 100.0

Source: ComScore MobiLens. Audience is in thousands. All mobile phones are included. Data show a three-month average ending June 2012 for mobile subscribers ages 13 plus in the U.S. More info: comscore.com. mfp2012 v18.qxp 8/9/2012 2:37 PM Page 10

10 | Advertising Age MOBILE FACT PACK 2012

Network operator share Verizon leads AT&T by 3.4% share of market.

Cricket

Other US Cellular 2% 1.9%

MetroPCS 2.7% 3.4%

TracFone 7.2% 30.7% Verizon

8.7% T-Mobile

16.1%

Sprint Nextel 27.3% AT&T

MEASURED MEDIA SHARE OF MARKET MILLIONS OF DOLLARS RANK CARRIER [PARENT] JUNE 2012 DEC. 2011 2011 2010 1 Verizon 1 30.7% - 31.6% $1,327 $1,553 2 AT&T 2 27.3 + 26.3 1,410 1,562 3 Sprint Nextel 3 16.1 + 15.6 881 973

4 T-Mobile 2 [Deutsche Telekom] 8.7 - 9.5 517 582

5 TracFone 4 [America Movil] 7.2 + 7.1 99 50 6 MetroPCS Communications 3.4 + 3.2 117 104

7 Cricket [Leap Wireless International] 2.0 + 1.9 67 86

8 US Cellular [Telephone and Data Systems] 1.9 - 2.1 92 98 Top 8 97.3 = 97.3 4,510 5,008 Other 2.7 - 2.8 506 448

Industry total (subscribers in millions) NA 331.6 5,016 5,456

Sources: ComScore MobiLens (market share); CTIA (year-end subscribers in millions); Kantar Media (measured media). Numbers rounded. U.S. network operator market share based on subscribers (ages 13 plus) for three months ended June 2012 and three months ended December 2011 from ComScore. 1. Verizon Communications owns 55%; Vodafone Group owns 45%. 2. AT&T in March 2011 agreed to buy T-Mobile USA from Deutsche Telekom; AT&T in December 2011 terminated the deal. 3. Includes prepaid brands (Boost, Virgin Mobile USA); excludes Clearwire, in which Sprint Nextel has a minority economic interest. 4. Ad spending for America Movil; bulk of spending for TracFone and Straight Talk (TracFone’s Walmart offering). More info: comscore.com; ctia.org; kantarmediana.com. DELIVERING RESULTS FOR THE WORLD’S TOP BRANDS Find the right consumers, in the right place, at the right time

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12 | Advertising Age MOBILE FACT PACK 2012 PENETRATION Mobile phone and tablet users All mobile phones MOBILE PHONE USERS IN MILLIONS BY REGION/PERCENT OF POPULATION 1 REGION 2011 2012 2013 2014 2015 2016 U.S. 238 243 248 252 256 260 75.9% 76.8% 77.5% 78.2% 78.7% 79.0% Western Europe 323 329 336 342 347 352 78.2% 79.6% 80.9% 82.2% 83.2% 84.0% Asia-Pacific 1,948 2,153 2,346 2,520 2,691 2,833 50.4% 55.1% 59.5% 63.3% 67.0% 70.0% Middle East & Africa 445 485 525 557 594 630 34.3% 36.5% 38.7% 40.1% 41.9% 43.5% Latin America 369 390 409 427 445 462 62.3% 65.1% 67.6% 69.8% 71.9% 73.9% Eastern Europe 302 311 320 328 337 345 71.1% 73.2% 75.2% 77.3% 79.4% 81.3% Canada 22 23 24 25 26 27 64.0% 66.6% 68.9% 71.2% 73.2% 75.0% Worldwide 3,647 3,933 4,207 4,451 4,695 4,907 52.5% 56.0% 59.3% 62.0% 64.7% 67.0%

Smartphones SMARTPHONE USERS IN MILLIONS BY REGION 2 REGION 2011 2012 2013 2014 2015 2016 U.S. 93 116 138 158 176 192 Worldwide 601 946 1,304 1,647 1,943 2,210

Tablets U.S. TABLET USERS IN MILLIONS 3 USERS 2010 2011 2012 2013 2014 2015 Tablet users 13.0 33.7 69.6 99.0 119.3 133.5 % of U.S. population 4.2% 10.8% 22.0% 31.0% 37.0% 41.0%

Source: eMarketer, April 2012 for mobile phone and smartphone data; June 2012 for tablet data. Numbers rounded. Estimates are based on the analysis of survey and traffic data from research firms and regulatory agencies, historical trends, company-specific data, and country-specific demographic and socio-economic factors. 1. Mobile phone users are individuals of any age who own at least one mobile phone and use the phone(s) at least once per month. 2. Smartphone users are individuals of any age who own at least one smartphone and use the smartphone(s) at least once per month. Smartphones are any voice handset with an advanced operating system (e.g., iPhone, Android, BlackBerry, Windows Mobile, etc.) and features/capabilities that resemble a PC. 3. Tablet users are individuals of any age who use a tablet at least once per month. Tablets are defined as devices with a touchscreen interface, screen sizes ranging from 5 to 14 inches, color displays, Wi-Fi and/or 3G internet connectivity, and advanced operating systems such as Apple iOS, Google Android, Windows 7 and BlackBerry. Examples include the Apple iPad, Samsung Galaxy Tab, Dell Streak, Amazon Kindle Fire and ViewSonic ViewPad. More info: emarketer.com. AA011299.qxp 8/3/2012 11:33 AM Page 1

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14 | Advertising Age MOBILE FACT PACK 2012

Smartphone user growth

Smartphone audience is rapidly approaching that of the PC. The average smartphone user spends nearly an hour a day consuming mobile content.

TV = 290 M 300

Total mobile = 237 M

200 PC = 218 M 126 M

86 M 100 58 M 39 M 24 M Smartphone

0 Q4Q3Q2 Q4Q3Q2Q1 Q4Q3Q2Q1 Q4Q3Q2Q1 Q4Q3Q2Q1 2008 2009 2010 2011 2012

Source: Nielsen’s “Courting Today’s Mobile Consumer,” July 2012. Total mobile subscribers are ages 13 plus. More info: nielsen.com/us/en/insights/events-webinars/2012.html.

Barcode users

U.S. adult mobile barcode user forecast. 2011 2012 2013 2014 Adult mobile barcode users in millions 21.2 26.4 32.5 38.6 Percent change 146.9% 24.4% 23.2% 18.7% Percent of adult smartphone users 25.0 25.0 26.0 27.0 Percent of adult mobile phone users 10.1 12.4 15.0 17.6 Percent of adult population 8.9 11.0 13.4 15.7

Source: eMarketer, June 2012 for users ages 18 plus. Smartphone users who scanned a barcode at least once in the past year. Includes 1-D (UPC) and 2-D formats (QR Code, JAGTAG, Microsoft Tag, etc.). More info: emarketer.com. mfp2012 v18.qxp 8/9/2012 2:38 PM Page 15

Advertising Age | 15

Demographics

46% of American adults own smartphones. PERCENT OF ADULTS WITHIN EACH GROUP WHO OWN A SMARTPHONE GROUP FEB. 2012 MAY 2011 CHANGE All adults 46% 35% +11 GENDER Men 49 39 10 Women 44 31 13 AGE 18 to 24 67 49 18 25 to 34 71 58 13 35 to 44 54 44 10 45 to 54 44 28 16 55 to 64 31 22 9 65 plus 13 11 2 RACE/ETHNICITY White, non-Hispanic 45 30 15 Black, non-Hispanic 49 44 5 Hispanic 49 44 5 HOUSEHOLD INCOME Less than $30,000 34 22 12 $30,000 to $49,999 46 40 6 $50,000 to $74,999 49 38 11 $75,000 plus 68 59 9 EDUCATION LEVEL Less than high school 25 18 7 High school grad 39 27 12 Some college 52 38 14 College plus 60 48 12 GEOGRAPHY Urban 50 38 12 Suburban 46 38 8 Rural 34 21 13

Source: Pew Research Center’s Internet & American Life Project April 26 to May 22, 2011, and January 20 to February 19, 2012, tracking surveys. For 2011 data, n=2,277 adults ages 18 and older, including 755 interviews conducted on respondent’s cell phone. For 2012 data, n=2,253 adults and survey includes 901 mobile phone interviews. Both 2011 and 2012 data include Spanish-language interviews. More info: pewinternet.org. mfp2012 v18.qxp 8/9/2012 2:38 PM Page 16

16 | Advertising Age MOBILE FACT PACK 2012 BEHAVIOR Most-visited mobile properties All platforms UNIQUE PERCENT SHARE OF TOTAL TIME SPENT ENGAGED RANK PROPERTIES VISITORS REACH VIA APP VIA BROWSER 1 Google sites 100,136 96.3% 80.0% 20.0% 2 Facebook.com 83,927 80.7 88.4 11.6 3 Yahoo sites 75,828 72.9 76.3 23.7 4 Amazon sites 47,293 45.5 85.5 14.5 5 Apple 39,996 38.5 99.8 0.2 6 Pandora.com 39,335 37.8 98.9 1.1 7 AOL 38,225 36.8 57.5 42.5 8 Wikimedia Foundation sites 34,906 33.6 9.8 90.2 9 Zynga 34,313 33.0 99.9 0.1 10 Cooliris 33,251 32.0 100.0 0.0

Source: ComScore Mobile Metrix 2.0. Unique visitors are in thousands. Data are for June 2012 for U.S. smartphone subscribers ages 18 plus. Total U.S. smartphone subscribers (104 million) on iOS, Android and RIM platforms. More info: comscore.com.

Most-used apps Android iPhone UNIQUE PERCENT UNIQUE PERCENT RANK MOBILE APP VISITORS REACH 1 RANK MOBILE APP VISITORS REACH 1 1 Android Market 52,841 91.3% 1 Apple iTunes 34,806 100.0% 2 Google Search 47,847 82.7 2 Google Maps 31,028 89.1 3 Facebook 41,559 71.8 3 Facebook 28,084 80.7 4 Gmail 40,698 70.3 4 YouTube 27,474 78.9 5 Google Maps 40,064 69.2 5 Yahoo Weather 23,040 66.2 6 Cooliris 33,251 57.4 6 Yahoo Stocks 22,461 64.5 7 YouTube 24,557 42.4 7 Pandora Radio 20,976 60.3 8 Google News/Weather 23,516 40.6 9 Yahoo Messenger 22,120 38.2 Source: ComScore Mobile Metrix 2.0. Unique visitors are in thousands. Data are for June 2012 for U.S. smartphone subscribers ages 18 plus. 10 18,348 31.7 1. Percent reach is the percent of all iPhone users (34.8 million) or Android Pandora Radio users (57.9 million). More info: comscore.com. mfp2012 v18.qxp 8/9/2012 5:18 PM Page 17

Advertising Age | 17

Using mobile as primary online tool

17% of adult cell phone users say they go online mostly via cell phone. MAIN REASON PERCENT SUMMARY OF REASONS PERCENT Cell phone is more convenient 38% Convenience and availability 64% Cell phone is always with me 23 (is more convenient, is always with me, speed/faster) 7 Mostly do basic activities online Usage 18 Don’t have a computer at home 6 (mostly do basic Cell phone easier to use than computer 6 online activities, easier to use, use for/at work, someone else Use phone for work, 4 usually on computer) or to go online while at work Access 10 Only have internet access on phone, 4 (don’t have a computer, no internet at home no other internet access) Speed/phone is faster than computer 2 1 Source: Pew Research Center’s Internet & American Life Project, March 15 Someone else usually using computer to April 3, 2012, tracking survey. N=2,254 adults ages 18 and older, 6 including 903 interviews conducted on respondent’s cell phone. Other Margin of error is +/-7.6 percentage points based on those who mostly use the internet on their cell phone (n=228). Don’t know/refuse 3 More info: pewinternet.org. mfp2012 v18.qxp 8/9/2012 2:38 PM Page 18

18 | Advertising Age MOBILE FACT PACK 2012

How U.S. consumers use their phones General activities SMARTPHONES ALL MOBILE RANK ACTIVITY AUDIENCE SHARE AUDIENCE SHARE 1 Sent text message to another phone 1 99,740 89.9% 175,533 75.0% 2 Took photos 1 91,659 82.6 145,843 62.3 3 Used application 99,022 89.3 120,291 51.4 4 Used browser 93,948 84.7 117,498 50.2 5 Used email (work or personal) 1 86,687 78.2 101,707 43.5 6 Accessed weather 1 74,731 67.4 89,588 38.3 7 Accessed social networking site or blog 1 71,315 64.3 86,408 36.9 8 Accessed search 1 66,552 60.0 80,296 34.3 9 Played games 1 61,353 55.3 78,040 33.4 10 Accessed maps 1 58,776 53.0 67,685 28.9 11 Listened to music on mobile phone 1 55,489 50.0 64,595 27.6 12 Accessed news 1 54,400 49.1 64,199 27.4 13 Accessed entertainment news 1 42,378 38.2 51,452 22.0 14 Accessed sports information 1 42,822 38.6 51,052 21.8 15 Accessed bank accounts 1 41,905 37.8 48,863 20.9 16 Accessed movie information 1 33,663 30.4 39,886 17.0

Activities performed in a retail store SMARTPHONES ALL MOBILE RANK ACTIVITY AUDIENCE SHARE AUDIENCE SHARE 1 Texted/called friends/family about a product 19,782 17.8% 45,597 19.5% 2 Took picture of a product 23,581 21.3 37,491 16.0 3 Sent picture of product to family/friends 18,667 16.8 29,256 12.5 4 Scanned a product barcode 19,218 17.3 21,495 9.2 5 Compared product prices 11,597 10.5 13,532 5.8 6 Found store location 11,243 10.1 13,398 5.7 7 Found coupons or deals 9,867 8.9 11,659 5.0 8 Researched product features 8,225 7.4 9,512 4.1 9 Checked product availability 4,954 4.5 6,083 2.6 10 Purchased goods or services (online) 3,016 2.7 3,801 1.6

Source: ComScore MobiLens. Audience is in thousands. Data are a three-month average ending June 2012 for mobile subscribers ages 13 plus in the U.S. 1. Ever in a month. More info: comscore.com. mfp2012 v18.qxp 8/9/2012 5:19 PM Page 19

Advertising Age | 19

Device use while watching TV

ACTIVITIES PERFORMED WHILE WATCHING TV, BY DEVICE OWNER TABLET SMARTPHONE Checked email during the program 57% 52% Surfed the web for unrelated information during the program 55 36 Used a downloaded application 50 43 Shopping 45 23 Visited a social-networking site during the program 44 40 Looked up information related to the TV program 38 23 Looked up product information for an ad I saw on TV 26 17 Looked up coupons/deals related to a TV ad 22 12

Source: Nielsen’s “Courting Today’s Mobile Consumer” and “Nielsen Mobile Connected Device Report.” More info: nielsen.com. PERCENT IN EACH GROUP WHO USED THEIR PHONE IN THE PRECEDING 30 DAYS TO... SMARTPHONE OTHER CELL Keep occupied during commercials/breaks in what you were watching 58% 17% Check whether something heard was true or not 37 6 Visit a website mentioned on TV 35 3 Source: Pew Research Center’s Internet & American Life Project, March 15 to April 3, 2012, tracking survey. N=2,254 adults ages 18 and older, including 903 interviews conducted on respondent’s cell phone. Margin of error is +/-2.6 percentage points based on cell phone owners (n=1,954). Respondents include 904 smartphone owners and 1,050 owners of other cell phones. More info: pewinternet.org.

Connecting Brands with The HISPANIC Mobile Consumer

of Hispanics use Mobile Devices to Access the 57% internet

HISPANICS EXPECT of Hispanics TO SPEND 30% can´t live without on mobile $17.6 their beloved Billion technology devices. in 2012

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Find us on: www.redmas.com @redmasadv Email: [email protected] Phone: 305.442.3411 mfp2012 v18.qxp 8/9/2012 2:38 PM Page 20

20 | Advertising Age MOBILE FACT PACK 2012 AD NETWORKS Mobile ad network market share

Ad spending share of all mobile advertising by ad network 2011. 1 Google Other

$517.4 M 35.7% $750.0 M 51.7% Apple (iAd) $90.9 M Millennial Media 6.3% $92.4 M 6.4%

Ad spending share of mobile display advertising by ad network 2011. 2 Google (AdMob) Other $127.5 M 24.8% $202.7 M 39.5% Apple (iAd) Millennial Media $92.4 M 18.0% $90.9 M 17.7%

Source: eMarketer, Jan. 2012. Numbers rounded. 1. Includes display (banner, rich media and video), search and SMS/MMS/P2P messaging. 2. Includes banners, rich media and video on WAP sites, mobile HTML sites and embedded in-application/in-game advertising. More info: emarketer.com. AA011298.qxp 8/2/2012 4:18 PM Page 1

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22 | Advertising Age MOBILE FACT PACK 2012 AGENCIES Google wins inaugural Cannes Mobile Grand Prix

“Hilltop Reimagined”—essentially a B-to-B campaign—triumphs over Toyota.

A MOBILE-DISPLAY AD from none other than one erally buy a stranger a Coke by pinging a vend- of the world’s biggest mobile-ad sellers, Google, ing machine. Entirely through the mobile ad, won the first Mobile Grand Prix at the 2012 users can pick a city to send the Coke to, append Cannes Lions ad festival. a message and press a button that dispenses a In what’s essentially business-to-business drink at one of the specially designed vending marketing, Google’s winning campaign “Hilltop machines in a handful of cities. While Google Reimagined for Coca-Cola” was designed to commissioned the project, Coca-Cola signed off show adland that online and mobile display on the campaign. advertising aren’t as low-rent or constraining as The Coke ad is part of a wider effort, entitled is often thought. For the campaign, Google Project Re: Brief, that also reimagined iconic enlisted creative teams from Grow Interactive campaigns from Avis rental cars, Alka-Seltzer and Johannes Leonardo New York to take classic and Volvo. Google produced a documentary ads from top marketers and reinterpret them chronicling the experiment and has screened it using today’s digital tools. in Cannes. “Advertising people are just as viable an audience as anybody else,” said jury chair Tom WHY IT WON Eslinger. Google has increasingly become a consumer In Google’s quest to show the ad community marketer and big winner at awards shows. The that there’s more to display advertising than win is a coup for a marketer that’s looking to previously thought, the internet giant appears to scale its mobile ads business and convince mar- have succeeded with the Coke ads. The jury keters and agencies to spend more media dollars lauded the campaign for both emotional impact in mobile after completing a $750 million acqui- and for illustrating just what’s possible in the sition of mobile ad network AdMob two years medium. ago. “Project Re: Brief sticks out because it is basi- cally able to show how to use all the different WHAT IT IS display ads in creative ways,” Mr. Eslinger said.

The winner is a digital reinterpretation of CONTROVERSY OR CLEAR WINNER? Coca-Cola’s 40-year-old iconic commercial “Hilltop,” which finds a multiracial troop It was an extremely close call—the jury did a singing “I want to buy the world a Coke.” The tie-breaker vote with gold winner “Backseat result took the form of AdMob rich-media ban- Driver” for Toyota from Party Tokyo, but ner ads running within apps that let viewers lit- Google ultimately won out. The Toyota cam- mfp2012 v18.qxp 8/9/2012 2:43 PM Page 23

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Project Re: Brief Google’s award-winning work revisits the iconic Coke campaign

paign is a mobile game to entertain children in becomes the case study for other agencies to sell the back seat while their parents are driving.The ideas,” Mr. Eslinger said. “This stuff affects our app links to the car’s location and creates a driv- industry and our business.” ing game based on the actual roads they’re on to somewhat mirror what mom or dad is doing in THEIR ADVICE FOR the driver’s seat. FUTURE MOBILE ENTRANTS “Where does the product and the marketing begin and end?” said Mr. Eslinger. “For a lot of In its first year,the mobile category saw near- things, advertising is the actual product.” ly 1,000 entries, but the jurors pleaded that next year the Lions festival both provide better THE JURY descriptions explaining entry categories and the entrants themselves be more mindful of the cat- Mobile had an especially vocal 12-person egories they ultimately enter. jury effusive over a medium that’s gotten lots of “Entrants need to be more thoughtful on buzz but relatively few ad dollars. The jury cele- where they enter,” said U.S. juror Geoffrey brated the 54 campaigns awarded for represent- Handley, co-founder of The Hyperfactory. ing the full range of mobile media. “The major- “There were some cases of really great work in ity of mobile media are represented in the win- the wrong category. It’s not our job to put it in ners, even campaigns using simple SMS as send- the right spot. People hopefully will get it right ing a text for donations,” said Laura Marriott, next year and be more thoughtful.” CEO-chairperson of NeoMedia Technologies. Jurors also took their role in setting the WATCH THE WORK HERE course for the future of mobile advertising seri- http://bit.ly/Lz4RAr ously. “When something wins at Cannes, it —Kunur Patel mfp2012 v18.qxp 8/9/2012 2:43 PM Page 24

24 | Advertising Age MOBILE FACT PACK 2012

Largest U.S. mobile agencies

By 2011 revenue from mobile-related services. Dollars in thousands. REVENUE FROM MOBILE RANK AGENCY [PARENT (NETWORK)]/URL/KEY MOBILE EXECS CITY 1 2011 2010 % CHG

1 Mobile@Ogilvy* [WPP (Ogilvy & Mather)] New York $53,850 $51,000 5.6 ogilvy.com Martin Lange, global head-Mobile@Ogilvy

2 Razorfish* [Publicis] New York 39,600 15,850 149.8 razorfish.com Paul Gelb, VP-mobile Pete Stein, pres-East region & exec sponsor-mobile

3 Huge* [Interpublic (Lowe)] Brooklyn, N.Y. 26,276 8,568 206.7 hugeinc.com Gene Liebel, chief strategy officer

4 R/GA* [Interpublic (DraftFCB)] New York 25,500 14,000 82.1 rga.com Richard Ting, sr VP & exec creative dir

5 Mobext* [Havas (Havas Media)] Boston 25,400 NA NA mobext.com Phuc Truong, mg dir-U.S.

6 Digitas* [Publicis] New York 25,000 NA NA digitas.com Chia Chen, sr VP & mobile practice lead-Digitas New York

6 SapientNitro* [Sapient Corp.] Atlanta 25,000 13,000 92.3 sapientnitro.com David Hewitt, VP & global practice lead Michael Leonard, VP & genl mgr-mobile

8 Wunderman* 2 [WPP (Y&R)] New York 23,500 20,000 17.5 wunderman.com Stewart Pearson, chief client officer 9 Acquity Group Chicago 21,000 12,800 64.1 acquitygroup.com Tom Nawara, VP 10 AKQA* 3 San Francisco 20,000 NA NA akqa.com Tina Unterlaender, dir-AKQA Mobile

10 Phonevalley* [Publicis (Digitas)] Boston 20,000 NA NA phonevalley.com Alexandre Mars, Phonevalley CEO

10 Tribal DDB* [Omnicom (DDB)] New York 20,000 NA NA tribalddb.com Paul Gunning, CEO-Tribal DDB Worldwide & chief digital officer-DDB Group

Source: Ad Age DataCenter analysis. Figures include revenue from mobile creative and media activities. *Revenue figures are Ad Age estimates based on data collected and analyzed in July 2012. Some data reported to Ad Age DataCenter for Agency Report 2012 (AA, April 30). 1. Key location for mobile activities. 2. Includes Designkitchen and Blast Radius. 3. WPP in June 2012 signed deal to buy AKQA. More info: adage.com/agencyreport2012. AA011304.qxp 8/7/2012 3:08 PM Page 1 mfp2012 v18.qxp 8/9/2012 2:43 PM Page 26

26 | Advertising Age MOBILE FACT PACK 2012

Largest U.S. mobile agencies

By 2011 revenue from mobile-related services. Dollars in thousands. REVENUE FROM MOBILE RANK AGENCY [PARENT (NETWORK)]/URL/KEY MOBILE EXECS CITY 1 2011 2010 % CHG

13 Organic* [Omnicom (BBDO)] New York $16,605 $17,416 -4.7 organic.com Todd Drake, VP-tech 14 Meredith Xcelerated Marketing/ New York 15,000 NA NA The Hyperfactory* [Meredith Corp.] meredithxceleratedmarketing.com Doug Rozen, sr VP & genl mgr

15 Rosetta* [Publicis] Los Angeles 13,000 9,315 39.6 rosetta.com Daniel Blackburn, assoc ptnr & VP-mobile

16 Rapp* [Omnicom (DDB)] El Segundo, Calif. 12,504 11,295 10.7 rapp.com David Kalman, VP-mobile & tech

17 Possible Worldwide* [WPP (WPP Digital)] Seattle 12,500 12,000 4.2 possibleworldwide.com Anders Rosenquist, dir-emerging media

18 Iconmobile* [WPP (Y&R)] Santa Monica, Calif. 12,000 15,000 -20.0 iconmobile.com Thomas Fellger, founding ptnr & CEO

19 VML* [WPP (Y&R)] Kansas City, Mo. 11,000 3,500 214.3 vml.com Brian Yamada, exec dir-channel activation

20 360i* [Dentsu Inc. (Dentsu Network)] New York 10,500 NA NA 360i.com Bryan Wiener, CEO

21 Critical Mass* [Omnicom] Chicago 10,000 5,000 100.0 criticalmass.com Greg Janssen, mobile dir 22 Eveo Communications Group San Francisco 9,200 4,125 123.0 eveo.com Olivier Zitoun, CEO

23 MRM* [Interpublic (McCann)] New York 9,000 6,840 31.6 mrmworldwide.com Bill Kolb, CEO

24 Leo Burnett Worldwide/Arc* [Publicis] Chicago 8,500 NA NA leoburnett.com Rich Stoddart, pres, N. Amer

24 Publicis Modem* [Publicis] New York 8,500 NA NA publicismodem.com Susan Gianinno, CEO-Publicis U.S.

Source: Ad Age DataCenter analysis. Figures include revenue from mobile creative and media activities. *Revenue figures are Ad Age estimates based on data collected and analyzed in July 2012. Some data reported to Ad Age DataCenter for Agency Report 2012 (AA, April 30). More info: adage.com/agencyreport2012. AMERICA’S LARGEST MOBILE ENABLED MALL AD NETWORK Inventing possibilities out of home

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