2. Thanks to the folks from the OPS conference
for inviting me to speak yesterday.
We focused on how screens are changing
digital advertising. Here are the background
slides I shared to kick off the discussion.
Our BI Intelligence analysts prepared these
slides. (Thanks, team!)
3. 3
Business Intelligence For The Digital Age
News, insights, data, analysis and
forecasts with a focus on digital
Prepared by:
10. ~60% of tablets run Android.
Android
Apple
Amazon (Kindle Fire)
BlackBerry Nook Windows
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013
Source: BI Intelligence Es mates
Global Tablet Market Share
By Pla orm
11. Mobile is enabling new forms of
entertainment, communication,
media, and commerce.
12. Mobile is driving all of
Facebook’s revenue growth,
Total Ad Revenue
Mobile Ad Revenue
$ 0
$ 500
$ 1,000
$ 1,500
$ 2,000
$ 2,500
1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13
Millions
Source: Facebook
Facebook Ad Revenues
13. Mobile drives 13% of ecommerce sales
Desktop
E-Commerce Sales
Mobile
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000
$90,000
2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13E
($millions)
Source: BI Intelligence, comScore, Federal Reserve Economic Data--St. Louis Fed
U.S. E-Commerce Retail Sales
14. Starbucks did $1B in mobile
transactions last year in the U.S.
$145
$207
$244
$272
$340
$0
$50
$100
$150
$200
$250
$300
$350
$400
Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2014
MillionsOfU.S.Dollars
Source: Starbucks's Statements, BI Intelligence Es mates
Starbucks's Mobile Payments Volume
(United States)
15. Apple did $10B in revenue
last year from apps.
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
2008 2009 2010 2011 2012 2013
(millions)
Source: news reports, company releases
Apple App Store Revenues
By Year
22. Analysts have wildly different views.
We are mildly bullish.
0
100
200
300
400
500
600
2010 2011 2012 2013 2014 2015 2016 2017 2018
AnnualUnitShipmentsByYear
Sources: Various, *Includes all wearables
Forecasts For Annual Wearable Device Shipments Vary Wildly
ABI IMS-Mid Juniper IMS-Low IMS-High BII
23. Connected cars will be a huge opportunity.
$-
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
2010 2011 2012 2013 2014E 2015E 2016E 2017E 2018E
Source: SBD, GSMA
Connected Car Revenue Forecast
$50B
by
2018
24. It’s huge because we spend so much
‘dead’ time in cars.
Sleeping
7.6 hours
Leisure And Sports
2.5 hours
In The Car 1.2 hours
Ea ng/Drinking 1.1 hours
Household Work 1.1 hours
Other 1.7 others
0
12
24
Source: Bureau Of Labor Sta s cs
Average Daily Time Spent Per Person
U.S. Employed Ci zens ages 25 to 54
Working
8.8 hours
26. People use phones while watching TV.
62%
39%
67%
46%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Mul ple Times A Week Daily
%OfRespondents
Source: Nielsen, BI Intelligence
Nearly Half Of U.S. Popula on Uses Their
Smartphones While Watching TV Every Day
How o en do you use these devices while you watch TV? (U.S. data)
2Q 2012 1Q 2013
27. Digital now accounts for more
than ¼ of total ad spend.
Offline
All Other Online
Mobile
$0
$20
$40
$60
$80
$100
$120
$140
$160
$180
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013E
(billions)
U.S. Adver sing
Source: IAB, U.S. Census Bureau, Stategy Analy cs. BI Intelligence es mates
