market research report : mobile marketing in india 2012
DESCRIPTION
For the complete report, get in touch with us at : [email protected] India houses 811.6 mn mobile subscribers. This huge subscriber base is split in 66:34 between rural and urban users respectively. With growing adoption of mobile devices across the varied levels of consumers, mobile as a medium for marketing and promotion provides the maximum reach in the country. Country where mobile penetration is higher than PC penetration, mobile as a digital media is most promising for marketing and promotion. India with the huge mobile subscriber base ensures better outcome with marketing activities. The report begins with ‘Introduction’ section covering overview of Mobile Marketing which provides basic idea of the technology and brief details regarding mobile marketing activities. The ‘Mobile Marketing Overview’ section elaborates global & domestic market state of mobile marketing. It is accompanied by a plethora of qualitative and statistical information regarding the state of mobile marketing in countries. The domestic overview section consists of information regarding market of mobile marketing and mobile advertising amongst others. The section discusses regarding the various mobile marketing elements, mobile marketing ecosystem and framework. The section ends with elaboration on mobile marketing benefits and value chain. It is followed by ‘Drivers & Challenges’ section elaborating the major furtherance & impediments for mobile marketing in India. Both the ‘drivers’ and ’challenges’ are equally stressed upon to provide clear idea regarding the probable obstacles and rewards in the line of business and help vendors take necessary measures. Demand for mobile contents from consumers is escalating in India. Youth from both urban and rural areas are comfortable with mobile technology, accelerating mobile revolution in the country. With domestic mobile manufacturers offering more smartphones at affordable price, the popularity and usage will further increase in the coming years. Next the recent developments and prominent trends in the market are illuminated under ‘Market Trends’ section. The report continues with ‘Market Opportunity’ section where potential verticals for mobile marketing in India are elaborated. In the section, specific verticals have been highlighted with information regarding each of their market state and opportunity areas for mobile marketing. The section also consists of information regarding specific opportunity areas relevant to mobile marketing. In the ‘Mobile Marketing Player Profiles’ section, the key mobile marketing service providers are profiled. It provides information such as corporate & business highlights covering operational & recent information regarding each company’s contact information, location, key product and service offerings and key contacts. It also provides financial performance for a period of time including revenue and profit,TRANSCRIPT
Mobile Marketing in IndiaMobile Marketing in India
June 2012
Executive Summary
Market
Domestic market of mobile marketing, which is largely dominated by segment1, is valued at INR x1 bn in 20‐‐
Market size of the segment2 in India was approximately INR x2 bn in 20‐‐ and it is predicted to grow at a CAGR of x3%
Drivers:
Drivers & Challenges
grow at a CAGR of x3%
Challenges:
Affordability of Next Generation Mobile Networks Low Smartphone & Tablet Penetration
Rising Mobile Device Adoption and Wireless Subscriber BaseRising Usage of Mobile VAS ApplicationsChallenges Low Smartphone & Tablet Penetration
in Rural AreasRising Usage of Mobile VAS, Applications and Online ContentsHigh Affordability Introduction and Availability of Next Generation Cellular Networks
Market Trends Trend1
Trend2
Trend3
Mobile Marketing
Trend3
Major Players
2ergo Group Affle Pte Gingersoft Media
2MOBILE MARKETING IN INDIA 2012.PPT
Player Profile InMobi Komli Media Vserv Digital Services
•Introduction
M bil M k ti O i•Mobile Marketing Overview
•Drivers & Challenges
•Market Trends
•Market Opportunities
•Mobile Marketing Player Profiles
•Strategic RecommendationsStrategic Recommendations
•Appendix
3MOBILE MARKETING IN INDIA 2012.PPT
Introduction
Mobile Marketing Overview
•Mobile marketing is the act of using mobile devices such as cellular phones & Tablet PCs as a medium to deliver marketing and promotional messages
•With rising competition and growing need for customer acquisition, newer mediums & methods of marketing and promotion are becoming very crucial
•The overall aim is to reach the target consumer with the effectual product promotion in terms of interests, demographical characteristics & relevant geological locationinterests, demographical characteristics & relevant geological location
•With exponentially growing num3ber of active mobile devices and usage trends of mobile services & Value Added Services (VAS), India is rapidly becoming one of the most attractive market for mobile marketers & advertisers
Mobile Marketing Activities
A ti it 1 A ti it 2 A ti it 3 A ti it 4 A ti it 5 A ti it 6
4MOBILE MARKETING IN INDIA 2012.PPT
Activity1 Activity2 Activity3 Activity4 Activity5 Activity6
Trend of allocating smaller amount of the overall marketing budget to mobile media by marketers is rapidly changing
•Domestic market of mobile marketing, which is largely dominated by segment1, is valued at INR x1 bn in 20‐‐• The trend of using other elements such as branding and promotion also exist but their contribution in overall mobile marketing spending is negligible
Market Overview – India
spending is negligible
•Market size of the segment2 in India was approximately INR x2 bn in 20‐‐ and it is predicted to grow at a CAGR of x3%• Total number of mobile subscribers in India has surpassed that of the Internet users making the cellular medium more promising for marketing, advertising & promotional activities Present number of mobile phone subscribers in India is over x4 mn asp Roughly x5 mn mobile subscribers use mobile internet in India which is the largest in the Asian sub‐continent
•Mobile marketing is slowly picking up pace in India with adoption of 3G, increasing penetration of mobile devices as currently marketers allocate a very negligible part of the marketing budget for mobile campaigns With increasing awareness regarding the benefits and cost advantages over o, companies are inclining more towards mobile marketing
Mobile Advertising – Market Size
INR bn
Mobile Marketing – Market Size
y5INR bn
Z2%y10
y9y8
y7y6
y4
y5
Z1%
y3y2y1
5MOBILE MARKETING IN INDIA 2012.PPT
20‐‐20‐‐20‐‐20‐‐
y
20‐‐
y6
20‐‐ 20‐‐20‐‐20‐‐20‐‐
y1
Mobile Marketing Value Chain
Solution1
Marketing Planning & Content Creation
presen
tative
ient) Solution2 Solution4
Element5
El t6
Brand Re
p(Cli
Element1
Element3 Element4
Element2
Element6
Solution3
Cellular Phone Tablet PCPortable
Media Player
6
Mobile Networks & Wi‐Fi BroadcastTarget Consumer (Via Devices)
MOBILE MARKETING IN INDIA 2012.PPT
Drivers & Challenges
Drivers
Rising Mobile Device Adoption and g pWireless Subscriber Base
Rising Usage of Mobile VAS, Applications & Online Contents
Challenges
Affordability of Next Generation Mobile Networks
L S h & T bl P iHigh Affordability
Introduction and Availability of Next Generation Cellular Networks
Low Smartphone & Tablet Penetration in Rural Areas
Increase in Disposable Income and Economic Advancement
7MOBILE MARKETING IN INDIA 2012.PPT
Market Trends
• aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbb• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
Trend1
• aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbb• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
Trend2
• aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbb• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
Trend3
• aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbTrend3
8
• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
MOBILE MARKETING IN INDIA 2012.PPT
Market Opportunity ‐ Verticals (‐/‐)
• Digital media is being embraced by marketers as an efficient tool for promoting goods and services across the country with higher reach and ability to market product based on location and interest
• The major industries where mobile marketing hold immense opportunities are briefed below
• Sector1 consists of segmentx1, segmentx2, segmentx3, segmentx4 and segmentx5• Market size of the sector can be presented in the combined form of INR x1 tr and x2 mn unit consumption per annum as of 20‐‐
• Mobile marketing can be implemented by processx1, benefitx1, usagex1 and applicationx1
Sector1
• Sector1 consists of segmenty1, segmenty2, segmenty3, segmenty4 and segmenty5• Market size of the sector can be presented in the combined form of INR y1 tr and y2 mn unit consumption per annum as of 20‐‐
• Mobile marketing can be implemented by processy1, benefity1, usagey1 and applicationy1
Sector2
Mobile marketing can be implemented by processy1, benefity1, usagey1 and applicationy1
• Sector1 consists of segmentza1, segmentz2, segmentz3, segmentz4 and segmentz5• Market size of the sector can be presented in the combined form of INR z1 tr and z mn unit consumption per annum as of 20‐‐Sector3
• Mobile marketing can be implemented by processz1, benefitz1, usagez1 and applicationz1
• Education sector consists of schooling, higher education (graduation, post‐graduation & PhD programs) and vocational education (professional and specialized education)It k t i b t d i th bi d f f INR 2 4 t d 450 t d t / i 2011Sector4
9MOBILE MARKETING IN INDIA 2012.PPT
• Its market size can be presented in the combined form of INR 2.4 tr and 450 mn students/annum as in 2011• With increased usage of mobile devices amongst academics and aspiring candidates, mobile marketing can be beneficial for educational products and services
Sector4
Public: Domestic Company – Company1 (‐/‐)
Company Information Offices and Centres – India
Corporate Address
Adress line1
Adress line2
City. Countryy y
Tel No. +91‐ ‐‐‐ ‐ ‐‐‐‐‐
Fax No. ++91‐ ‐‐‐ ‐ ‐‐‐‐‐
Website www.‐‐‐‐‐‐.com
City Name
Products and Services
Year of Incorporation 19‐‐
Ticker Symbol ‐‐‐‐‐‐
Stock Exchange Exchange1 Head Office
Key People
Products and Services
Category Products/Services
N D i tiServices
• Mobile Advertising
• Mobile Marketing
Name Designation
Mr. X Chief Executive Officer
Mr. Y Chief Financial Officer
Mr. Z Chief Operating Officer
10MOBILE MARKETING IN INDIA 2012.PPT
Public: Domestic Company – Company1 (‐/‐)
i i l S h K iFinancial Snapshot Key Ratios
Net Profit/LossTotal Income
100
150
6
8
ProfitINR mn
RevenueINR mn
c4
c3c2
Particulars y‐o‐y change (2011‐10)
2011 2010 2009 2008
Profitability RatiosOperating Margin 2.23 0.74% ‐1.49% ‐9.59% ‐10.70%
0
50
100
0
2
4
6
20--20--20--
c2
20--
c1Net Margin ‐34.74 ‐35.26% ‐0.51% 1.00% ‐37.12%
Profit Before Tax Margin ‐53.05 ‐53.57% ‐0.51% ‐25.32% ‐12.44%
Return on Equity ‐10.93 ‐11.06% ‐0.14% 0.21% ‐5.79%
Return on Capital Employed 0.18 0.06% ‐0.12% ‐0.55% ‐0.48%
Return on Working Capital 78.72 77.98% ‐0.74% 0.18% ‐3.99%
Return on Assets ‐2.26 ‐2.29% ‐0.04% 0.05% ‐1.56%
• The company incurred a net profit of INR a1 mn in FY 20‐‐, as compared to net profit of INR a2 mn in FY 20‐‐
• The company reported total income of INR a3 mn in FY 20‐‐, registering an increase of a4 per cent over FY 20
Financial Summary Return on Fixed Assets ‐2.88 ‐2.94% ‐0.06% 0.09% ‐2.98%
Cost RatiosOperating costs (% of Sales) ‐2.95 99.22% 102.16% 112.14% 113.76%
Administration costs (% of Sales)
1.04 18.03% 17.00% 15.75% 18.00%
Interest costs (% of Sales) 20.57 63.33% 42.77% 45.59% 29.69%registering an increase of a4 per cent over FY 20‐‐
• The company earned an operating margin of a5 per cent in FY 20‐‐, an decrease of a6 percentage points over FY 20‐‐
• The company reported debt to equity ratio of a7 in FY 20‐‐, an increase of a8 per cent over FY 20‐‐
( )
Liquidity RatiosCurrent Ratio ‐54.82% 0.82 1.81 4.42 7.13
Cash Ratio ‐96.41% 0.19 5.34 2.99 5.66
Leverage RatiosDebt to Equity Ratio 45.86% 3.82 2.62 2.92 2.72
D bt t C it l R ti 6 85% 0 75 0 70 0 72 0 71Key Financial Performance Indicators
Indicators Value (‐‐/‐‐/20‐‐)Market Capitalization (INR mn) 10,985Total Enterprise Value (INR mn) 87,544EPS (INR)
Debt to Capital Ratio 6.85% 0.75 0.70 0.72 0.71
Interest Coverage Ratio 124.52% 0.01 ‐0.05 ‐0.27 ‐0.46
Efficiency RatiosFixed Asset Turnover ‐9.25% 0.08 0.09 0.07 0.06
Asset Turnover 18.69% 0.06 0.05 0.04 0.03
Current Asset Turnover 5.19% 0.47 0.45 0.11 0.07
11
EPS (INR) 48.39PE Ratio (Absolute) 66.9
Improved Decline
Working Capital Turnover ‐308.15% ‐2.08 1.00 0.14 0.08
Capital Employed Turnover 58.09% 0.29 0.19 0.16 0.12
MOBILE MARKETING IN INDIA 2012.PPT
Public: Domestic Company – Company1 (‐/‐)
Key Business Segments Key Geographic Segments
100% 100%
Product1 Product2 Product3 India Outside India
0%
50%
100%
0%
50%
100%
Key Information
0%20‐‐ 20‐‐ 20‐‐20‐‐
0%20‐‐ 20‐‐20‐‐20‐‐
Description Details
Overview• aaaaaaaaaa• bbbbbbbbb• cccccccccccccccccccccc
Extended Product Portfolio
• It provides advertising, merchant, and publisher programs to mobile phone users and advertisers
• The company also operates wireless community myGamma, an advertising network that serves ads on mobile publisher sites in the Americas, Europe, Asia, Africa, and the Middle East
12MOBILE MARKETING IN INDIA 2012.PPT
Private: Domestic Company – Company1 (‐/‐)
Company Information Offices and Centres – India
Corporate Address
Adress line1
Adress line2
City. Countryy y
Tel No. +91‐ ‐‐‐ ‐ ‐‐‐‐‐
Fax No. ++91‐ ‐‐‐ ‐ ‐‐‐‐‐
Website www.‐‐‐‐‐‐.com
City Name
Products and Services
Year of Incorporation 19‐‐
Ticker Symbol ‐‐‐‐‐‐
Stock Exchange Exchange1 Head Office
Key People
Products and Services
Category Products/Services
N D i tiServices
• Mobile Advertising
• Mobile Marketing
Name Designation
Mr. XChief Executive Officer and Chief Operations Officer
Mr. Y President of Sales and Marketing
13MOBILE MARKETING IN INDIA 2012.PPT
i i l S h K i
Private: Domestic Company – Company2 (‐/‐)
Financial Snapshot Key Ratios
Particulars y‐o‐y change (2010‐09)
2011 2010 2009 2008
Profitability RatiosOperating Margin ‐5.75 59.76% 65.51% 75.51% 84.64%
Profit / Loss
Revenue
ProfitINR mn
RevenueINR mn z2 Net Margin ‐0.65 20.94% 21.58% 35.03% 43.42%
Profit Before Tax Margin 4.60 27.02% 22.41% 37.00% 46.07%
Return on Equity ‐0.44 16.63% 17.07% 44.01% 30.53%
Return on Capital Employed ‐3.04 57.06% 60.09% 121.39% 108.12%
Return on Working Capital ‐12.19 22.76% 34.95% 62.37% 51.28%
Return on Assets ‐0.41 16.59% 16.99% 43.60% 30.45%
z4z3
z2
z1
Financial Summary
Return on Fixed Assets 14.16 93.08% 78.92% 166.10% 98.92%
Cost RatiosOperating costs (% of Sales) 5.58 36.86% 31.28% 22.96% 11.18%
Administration costs (% of Sales)
‐3.68 14.87% 18.56% 18.79% 21.10%
Interest costs (% of Sales) ‐0 01 0 04% 0 05% 0 00% 0 18%
20‐‐20‐‐20‐‐20‐‐
• The company incurred a net profit of INR x1 mn in FY 20‐‐, as compared to net profit of INR x2 mn in FY 20‐‐
• The company reported total income of INR x3 mn in FY 20‐‐, registering an increase of x4 per cent over FY 20‐‐
Interest costs (% of Sales) ‐0.01 0.04% 0.05% 0.00% 0.18%
Liquidity RatiosCurrent Ratio 19.05% 5.28 4.44 4.10 2.32
Cash Ratio ‐19.59% 2.29 2.85 1.75 1.04
Leverage RatiosDebt to Equity Ratio N.A. N.A. N.A. N.A. N.A., g g p
• The company earned an operating margin of x5 per cent in FY 20‐‐, a decrease of x6 percentage points over FY 20‐‐
Debt to Capital Ratio N.A. N.A. N.A. N.A. N.A.
Interest Coverage Ratio 25.57% 1791.20 1426.42 #DIV/0! 488.03
Efficiency RatiosFixed Asset Turnover 20.70% 4.21 3.49 4.65 2.17
Asset Turnover ‐0.12% 0.75 0.75 1.22 0.67
Current Asset Turnover ‐30.24% 0.83 1.20 1.32 0.64
14
Current Asset Turnover 30.24% 0.83 1.20 1.32 0.64
Working Capital Turnover ‐33.35% 1.03 1.54 1.75 1.13
Capital Employed Turnover ‐0.31% 0.75 0.75 1.23 0.67
Improved Decline
MOBILE MARKETING IN INDIA 2012.PPT
Private: Domestic Company – Company2 (‐/‐)
Key Information
Description Details
Overview
• aaaaaaaaaa
• bbbbbbbbb
• ccccccccccc
• The company offers advertising formats and targeting capabilities for mobile Web,
applications and games videos and 3G video voice portals as well as media mobileExtended Product Portfolio
applications and games, videos, and 3G video voice portals, as well as media mobile
campaigns
• Its application analytics provides real‐time accurate data to developers about how
consumers are using their mobile applications
15MOBILE MARKETING IN INDIA 2012.PPT
Strategic Recommendations (‐/‐)
• aaaaaaaaaaaaa• bbbbbbbbbbbbbbbbbbbbbbbbbbbbb
• aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa • aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
X XX XRecommendation1 Recommendation2
• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbb
• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbb
• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
Recommendation3
• aaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaaa
• bbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbbb
• ccccccccccccccccccccccccccccccccccccccccccccccccccccc
16MOBILE MARKETING IN INDIA 2012.PPT
Thank you for the attentionThe Mobile Marketing – India 2012 report is a part of Netscribes’ Telecom & Consumer Electronics Series.For more detailed information or customized research requirements please contact:
Phone: +91 33 4064 6214E‐Mail: [email protected]
Follow us on:
About NetscribesNetscribes is a knowledge‐consulting and solutions firm with clientele across the globe. The company’s expertise spans areas of investment & business research, business & corporate intelligence, content‐management services, and knowledge‐software services. At its core lies a true value proposition that draws upon a vast knowledge base. Netscribes is a one‐stop shop designed to fulfil clients’ profitability and growth objectives.
Disclaimer: This report is published for general information only. Although high standards have been used in the preparation of this report,Netscribes is not responsible for any loss or damage arising from use of this document This document is the sole property of Netscribes and
17MOBILE MARKETING IN INDIA 2012.PPT
Netscribes is not responsible for any loss or damage arising from use of this document. This document is the sole property of Netscribes. and prior permission is required for guidelines on reproduction.