This document summarizes a presentation on key digital trends from mid-2013. It discusses the expanding number of digital screens and platforms consumers use. Traditional media still accounts for most media time but digital is growing rapidly. Mobile is fragmenting with different uses of smartphones and tablets for shopping. Marketers must adapt to reach consumers across many devices and platforms.

1. ©2013 eMarketer Inc.
June 20, 2013
Presented by:
Noah Elkin
Principal Analyst
Key Digital Trends
A Midyear Update

2. ©2013 eMarketer Inc.
Agenda
The changing digital landscape
The state of media fragmentation
Many smart screens, many different
use cases
Q & A
Twitter Hashtag – #eMwebinar

3. ©2013 eMarketer Inc.
The Changing Digital
Landscape

4. ©2013 eMarketer Inc.
The digital landscape today is defined by
an ever-expanding number of screens …
Connected TVs, DOOH,
TheatersLaptop PCs Desktop PCs Tablets
PhabletsSmartphones Digital Kiosks Social Machines
Wearable
Wearable Technology Connected Consoles Ambient Surfaces Connected Cars

5. ©2013 eMarketer Inc.
… and consolidation around a small
handful of platforms used across screens
Platforms

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These platforms are helping digital make
deeper inroads into the purchase process
In-store
commerce
Ecommerce
Mcommerce
Brick-and-mortar
stores still account
for 90+% of retail
transactions

7. ©2013 eMarketer Inc.
They are
also helping
drive faster
growth in
online and
mobile ad
spending
relative to
traditional
media

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Smartphone
Users
57% of mobile
users (2013)
Mobile Users
78% of population
(2013)
Digital
Video Viewers
58% of population
(2013)
Source: eMarketer 2013
Social Network Users
52% of population (2013)
Online
Gamers
31% of population
(2013)
Consumers are pursuing many overlapping
activities in their growing “digital time”

9. ©2013 eMarketer Inc.
Say goodbye to the traditional couch
potato

10. ©2013 eMarketer Inc.
Your target market today: Multiscreen,
cross-platform, multitasking
US consumers access media on multiple screens
monthly, outnumbering the single-screen audience
by 2.5 to 1 (Nielsen/Collective)
203M
of US consumers move sequentially between
devices in the course of a day to perform key
tasks (Google)
98%
of US tablet owners pay equal or more attention to
their tablets when watching TV (GfK MRI iPanel)
72%
of US consumers start shopping on a smartphone
and continue on a PC or tablet (Google)
65%

11. ©2013 eMarketer Inc.
The State of Media
Fragmentation

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Traditional
media still
consumes
nearly 60%
of our daily
media time
US consumers
actually watch
more TV than
ever before

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TV accounts
for close to
4 in 10 ad
dollars …

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… and not
all of those
dollars are
wasted
Consumers view
traditional media
ads more
favorably than
digital ads

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… and not
all of those
dollars are
wasted
Traditional media
ads continue to
exercise a strong
influence on
purchase
decisions

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As online video gains viewers, cable TV’s
losses mount
Cord-cutting shows signs of accelerating

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Over-the-top
video viewing
is rising but
most
consumers
haven’t
switched
exclusively to
digital
platforms … yet

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Networks
and pay TV
providers
are looking
to “TV
Everywhere”
services to
stem losses

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The challenge: Video viewing is becoming
an increasingly digital activity

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Many Smart Screens,
Many Different Use
Cases

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Is mobile becoming the new desktop?

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Or are tablets
becoming the
new PC?
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The inflection
point in shipments
is approaching on
a global level and
will arrive sooner
in mature markets

23. ©2013 eMarketer Inc.
Emerging
evidence
suggests the
PC-to-tablet
shift is already
underway in
terms of the
device
replacement
cycle …

24. ©2013 eMarketer Inc.
… as well as
in how
consumers
use their
devices
Twitter Hashtag – #eMwebinar

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At the same time, mobile is fragmenting
into multiple screens

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Fragmentation
comes as mobile
increases its
share of digital
advertising
Twitter Hashtag – #eMwebinar

27. ©2013 eMarketer Inc.
Fragmentation
comes as mobile
increases its
share of digital
advertising
Twitter Hashtag – #eMwebinar

28. ©2013 eMarketer Inc.
The effects of
mobile
fragmentation
can be seen in
both display
and search
advertising

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Tablet ads
beat
smartphones
for most
brand-health
metrics

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Ad
engagement
metrics on
tablets can
also exceed
those for
smartphones

31. ©2013 eMarketer Inc.
Context yields different action metrics in
response to ads on tablets vs. smartphones

32. ©2013 eMarketer Inc.
When it comes
to shopping,
smartphones
and tablets are
taking distinct
paths as well

33. ©2013 eMarketer Inc.
Smartphones are shopping assistants;
tablets are for browsing and buying
101.8M
shoppers
Smartphones
Tablets
75% of
smartphone
owners
shop
52.3M
buyers
39% of
smartphone
owners buy
94.2M
shoppers
84% of
tablet
owners
shop
70.6M
buyers
63% of
tablet
owners buy
Source: eMarketer, April 2013

34. ©2013 eMarketer Inc.
Takeaways
The digital ecosystem is consolidating as
the number of screens expands.
– Consumers are pursuing more activities on more devices
but across a common set of platforms.
Evolving digital behavior has put
marketers in a constant game of catch-up.
– Time- and place-shifting audiences can change channels
with the click of a button on their choice of devices.
The mobile landscape is fragmenting.
– Advertising and commerce solutions will need to respond to
not just different screen sizes but also different screen uses.

35. This presentation was based
on insights and data from
these eMarketer reports:
Key Digital Trends for Q1 2013:
Whither the Brand?
US Retail Ecommerce: 2013
Forecast and Comparative
Estimates
CPG’s Digital Conundrum:
Turning Digital Shoppers into
Digital Buyers
Shopping Cart Abandonment:
New Ways of Looking at the
Purchase Path
What’s a Brand Site For?
Engaging Consumers Across
Multiple Channels
Make
confident
decisions
and validate
ideas.
Fast.

39. David Iankelevich
sales@emarketer.com
www.emarketer.com
Contact sales@emarketer.com to
schedule a conversation.
We’ll send a free report after we talk.

40. ©2013 eMarketer Inc.
You will receive an email
tomorrow with a link to
view the deck and
webinar recording.
Noah Elkin
Q&A Session
Key Digital
Trends: A Midyear
Update
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