omma mobile 1500 hans fredericks

How Mobile is Changing How People Shop and Spend

Redefining The Shopping Experience

Hans Fredericks – VP Mobile – [email protected]

2© comScore, Inc. Proprietary.

COMSCORE’S INNOVATIVE MEASUREMENT APPROACH

2 Million Person Panel 360°View of Person Behavior

CENSUS

Unified Digital Measurement™ (UDM)Patent-Pending Methodology

Adopted by 90% of Top U.S. Media Properties

PANEL

PERSON-Centric Panel with SITE-Census Measurement

Web Visiting & Search Behavior Online

AdvertisingExposure

AdvertisingEffectiveness

Demographics,Lifestyles& Attitudes

Media & VideoConsumption

Transactions

Online& Offline

Buying

Mobile InternetUsage & Behavior

PANEL

V1011


Smartphone 47.4%Not

Smartphone 52.6%

U.S. Smartphone Penetration

CONTINUING TIDAL SHIFT TO SMARTPHONES

The total Smartphone audience increased by 42% year-on-year

Your shoppers have smartphones (and tablets) – or will very soon

110.9 million

+47% Year on Year Growth

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

May-12

Jun-12

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

Growth of U.S. Smartphone Installed Base

# P

ho

ne

Ow

ner

s (0

00)

Product: comScore MobiLens, USData: Three month average ending June 2012


MULTI-DEVICE OWNERSHIP BECOMING THE NORM

In June 2012, 35.5% of all U.S. Smartphone users also owned other connected devices

Smartphones, tablets, and other connected devices are changing the way consumers seek information, communicate, engage online, and shop!!

25.5% also own tablets

11.9% also own eReaders

4.5% also own other handhelds

like portable gaming devices

Product: comScore MobiLens, USData: One month snapshot - June 2012


men's magazines content

home lifestyle

credit cards

health information

classifieds

online retail

electronic payments

adult entertainment services

insurance services

social networking check-in service

0 5,000 10,000 15,000 20,000 25,000 30,000 35,000

5,837

6,412

13,701

9,586

14,719

14,891

12,538

7,208

5,057

14,873

9,994

11,064

24,176

17,298

26,698

27,204

23,072

13,380

9,438

29,751

Top 10 Smartphone Categories by Growth

June 2012 June 2011

EMERGING RETAIL/COMMERCE, SOCIAL CHECK-IN

Broad retail/commercial sector growth

Social networking with check-in service doubles audience size

Financial services/insurance gaining in popularity

Online Retail now accessed by more than 27 million Smartphone owners

+100%

+87%

+86%

+84%

+83%

+81%

+80%

+76%

+73%

+71%

# Unique Users (000)% YoYGrowth



SMARTPHONES ARE CHANGING COMMERCE . . .

Shopping Guides

Deal-A-Day

Electronic Payments

Credit Cards

Online Retail

Bank Accounts

0% 5% 10% 15% 20% 25% 30% 35% 40%

16%

16%

21%

22%

25%

38%

E-commerce and Related Services Accessed By % of Smartphone UsersJune 2012



CONSUMERS SHOP – AND BUY ON-DEVICE

Checked product availability

Purchased goods or services

Made shopping lists

Found coupons or deals

Researched product features

Compared product prices

Found store location

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0%

17%

18%

20%

21%

21%

22%

34%

Shopping Activities with SmartphoneJune 2012

% Smartphone Audience



CONSUMERS BUY LOTS OF THINGS ON-DEVICE

Sports/Fitness equipment

Groceries

Gift certificates

Personal care / hygiene products

Meals for delivery or pickup

Consumer electronics / household appliances

Daily deals or discount coupons

Books (not ebooks)

Tickets

Clothing or accessories

0% 5% 10% 15% 20% 25% 30% 35%

12%

15%

15%

17%

20%

20%

21%

22%

25%

33%

% Purchased Goods or Services with Smartphone

19.7 million U.S.

Smartphone Shoppers



CONSUMERS WILLING TO SPEND ON DEVICE

Only 7.4% of Smartphone Shoppers spend less than $20 on purchase

A large share (31.4%) make purchases for $101- $300

3.3% even spent more than $1000

More than $1000

$501 - $1000

$301 - $500

$101 - $300

$21 - $100

Less than $20.00

0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0%

3.3%

12.8%

15.2%

31.4%

30.0%

7.4%

Amount Spent for On-Device Purchase

% Purchased Goods or Services with Smartphone



MOBILE SHOPPING SAVES TIME AND MONEY!!

%

10%

20%

30%

40%

50%

60% 54% 52% 52%46%

35%

24%

Reason for shopping on a smartphone instead of online or in-person

Mobile Shopper 2% 53% 45%

Poor Neutral Excellent

Rate Overall Experience

Source: Custom Mobile Retail Advisor Survey April 2012


ON-DEVICE PURCHASERS SKEW MALE AND YOUNGER

19.7 MMSmartphone

Shoppers

Male57.4%Female

42.6%

13-17 18-24 25-34 35-44 45-54 55-64 65+

3.7%

19.1%

30.8%

22.9%

14.5%

6.4%2.6%

Age

<$25k

$25k to <$50k

$50k to <$75k

$75k to <$100k

$100k+

8.7%

18.3%

20.9%

16.5%

35.6% Microsoft 4.6%

RIM 8.1%

Apple 41.7%

Google44.8%

Other OS0.9%

A greater proportion of Smartphone shoppers are male

25-34 year olds are the key user group

Making on-devices purchases attracts the more affluent Smartphone subscriber

Android and iOS based phone owners make up the majority of Smartphone owners making a purchase

Household Income

Gender

Operating System



MOBILE SHARE OF E-COMMERCE GROWING FAST

Q2 2012

Q1 2012

Q4 2011

Q3 2011

Q2 2011

Q1 2011

Q4 2010

Q3 2010

Q2 2010

9%8%

9%8%

6%6%

3%3%

2%

Percentage of Total e-Commerce Dollars Spent via Mobile or Tablet DeviceSource: comScore Mobile Measurements

Spike in percentage of e-commerce sales via mobile coincides with

surge in tablet ownership


VARYING USE OF WEB/APPS AMONG RETAILERS

Walgreens

shopkick

Home Depot

Blockbuster

Ticketmaster

Redbox

Best Buy

Target

Netflix

Wal-Mart

Amazon

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

WebApp

Top Smartphone Retail Properties, % Share of Time Spent by Access Method

June 2012

Product: comScore Mobile Metrix 2.0Data: June 2012


MOBILE DISRUPTING BRICK AND MORTAR

Checked Product Availability

Researched Product Features

Found Coupons or Deals

Found Store Location

Compared Product Prices

Sent Picture of Product to Friends/Family

Scanned a Product Barcode

Texted or Called Friends/Family about Product

Took Picture of Product

5%

7%

9%

10%

11%

17%

17%

18%

21%

Penetration of Activities Performed on Phone While in Retail StoreJune 2012



SURGE IN QR CODES LAST HOLIDAY SEASON

Sep 2011 Dec 2011 Mar 2012 Jun 20120.0

5.0

10.0

15.0

20.0

25.0

16.3

19.9 19.8 20.9

QR Code Users (M) Among Smartphone Users

Almost 21 million U.S. Smartphone owners scanned a QR Code at least once per month – up 28% since Sep 2011

19% or nearly 1 in 5 smartphone owners currently scan QR codes each month

48% scanned a QR Code while in a Retail Store



MOBILE BRIDGES PHYSICAL/DIGITAL CHANNELS

Newsprint Retail Outdoor Digital

Mobile provides

link to

-10%

0%

10%

20%

30%

40%

50%

60%

46% 44%

26% 25%

Top Sources of QR Codes Scanned by Smartphone OwnersJune 2012


17© comScore, Inc. Proprietary. Source: Custom Mobile Retail Advisor Survey April 2012

Yes40%

Yes, I would like to be alerted

46%

No, I would not be interested

54%

Yes, I use Check-in

Services38%

Yes, I would share my loca-tion for a discount

No, I would not share my location

45%

55%

Check in services or sharing location for a reward/discount/deal at the store Among Mobile Shoppers

Have you used a retail app to alert you about coupons/deals based on your location (push notifications)?

Among Mobile Shoppers

OPPORTUNITIES FOR PUSH AND CHECK-IN

Thank You.

For more information, please contact

Hans Fredericks – [email protected]

THE GLOBAL SOURCE OF DIGITAL MARKET INTELLIGENCE™

omma mobile 1500 hans fredericks

Documents

comscore mobilens

us comscore

media properties comscore

smartphone penetration

smartphone usersjune

tablets product

total smartphone audience

month average ending