The Mobile Revolution: Startup Ideas For Changing The World
March 18, 2012
We have entered the mobile era of computing. And just like the previous eras – those of the mainframe, then the client-server and the PC – the mobile era is a fundamental shift with a new set of problems to solve.
The key to the mobile era is that it’s all about delighting and empowering the end user. The end user interacts with technology the way he/she interacts with the world around them. It will be hard for incumbents to embrace this new paradigm, just as it was hard for mainframe-era leaders to dominate the world of PCs, or for PC giants to pivot to embrace the Web. Similar to how Cisco and Polycom pioneered telepresence, but it took Skype to bring videoconferencing to the masses, we believe that a new mobile world order will emerge, with leaders being created by entrepreneurs and disruptors.
Three trends are shaping these opportunities: Bring Your Own Device, Appification, and Cloudification.
Read here to understand more.
Why Apple’s New iPad Will Transform Online Advertising
March 7, 2012
Ever since the debut of the first iPad two years ago, marketers have been jazzed about the potential of tablets as a new advertising platform. Yet to date, revenues from advertising on tablets have been underwhelming, because marketers haven’t yet caught up to a medium that essentially didn’t exist until a year or so ago. Because of the lack of standards that exist both in print and online, says Rex Briggs, CEO of the marketing analytics firm Marketing Evolution, “mobile advertising especially on tablets is not getting its fair share of advertising dollars.”
Today, however, we have the new iPad, due out March 16. And it could change the game. No, the new version isn’t so radically different from its predecessors, so it won’t single-handedly change the dynamics of the nascent market, at least not right away. But several features of this new model likely will help accelerate tablet advertising this year.
The Future of Newspapers
A review of Apple’s App Store in May 2011 found more than 200 iPad apps offering local U.S. news content. Fifty-seven percent of newspaper publishers surveyed by the Audit Bureau of Circulations said that they “have plans to develop an iPad app in the next six months.
So far, mobile devices have not proved to be a major source of revenue for news outlets, neither through advertising nor paid applications, but news organizations are still experimenting with different business models.
Conde Nast Taps Brakes on Churning Out iPad Editions | MediaWorks – Advertising Age
Conde Nast is tapping the brakes on its drive to deliver iPad editions of all its magazines, according to company employees, acknowledging that conditions aren’t quite right yet to deliver the ideal app editions at the kind of scale that advertisers want. If publishers want to introduce new iPad editions right now, Conde wants them to be sure they’re justified.
via Conde Nast Taps Brakes on Churning Out iPad Editions | MediaWorks – Advertising Age.
Apple On Track To Sell 8 Million iPads This Quarter
Based on numbers shared during Apple’s WWDC keynote this morning, the company is on track to sell 8 million iPads this quarter.
Gene Munster of Piper Jaffray noticed that Apple said it had sold 25 million iPads to date. That’s a rate of about 87,000 per day, which amounts to almost 8 million for the quarter.
Munster previously expected quarterly sales around 7 million.
Last quarter, Apple only sold 4.69 million iPads. But that was because of supply constraints, not lack of demand.
Time Inc. Reaches Deal With Apple – WSJ.com
Time Inc., the country’s largest magazine publisher, has reached a deal with Apple Inc. to make all its iPad editions free for print subscribers, marking a break in the impasse between publishers and Apple and lending support to Time’s contention that it’s business-as-usual after the ouster of its chief executive.
Starting Monday, subscribers to Sports Illustrated, Time and Fortune magazines will be able to access the iPad editions via the apps, which will be able to authenticate them as subscribers. Time Inc.’s People magazine already had such an arrangement, but readers of most publications have had to pay separately for the iPad version regardless of their subscriber status.
Apple Is Going To Own The Exploding Tablet Market For Years — Goldman
Goldman Sachs put out a 68 page report this morning on the growing tablet market.The long and short of it: Apple is going to dominate for the next two years.It could own as much as 71% of the market in 2012 if non-Apple tablets continue to flop.
Goldman also says the expansion of iPads, and tablets, is going to cause a serious disruption in the Microsoft-Intel monopoly. Expect tablets to significantly eat away at notebook sales in the coming years.
As Microsoft and Intel falter, ARM holdings, Google, Motorola, HTC, and of course, Apple, will rise.
via Apple Is Going To Own The Exploding Tablet Market For Years — Goldman.
Mobile advertising leaps 116 percent, but digital ad slowdown worries remain | TheMediaBriefing
Here’s a fact to brighten up your day: mobile advertising grew by 166 percent to £83 million in 2010, up from £37.6 million in 2009. New figures from PwC/IAB show that the rate of growth is unprecedented and is a note of optimism in an otherwise hesitant online advertising landscape.
Here are some other take-home points from the study:
– B2B and specialist media are increasing their share of the mobile ad spend pie, including telecoms and financial publishers, albeit from a low base
– Mobile search ad spend has tripled from 2009 to 2010, from £20.2 million to £54.9 million.
– Mobile display spend was up 61 percent to £28.1 million, up from £17.4 million in 2009,
– Mobile display ads, all those banner ads, text links and flashing things that you all ignore, rose 62 percent to £23.7 million.
– Pre- and post-roll ads rose 492 percent to grand total of… £1.1 million (translation: people didn’t used to have rich video-enabled phones, and now they have iPhones and Android phones).
– Entertainment is the biggest sector with 32.9 percent of mobile display ad spend, automotive is the smallest with a piddling 6.5 percent.
And the usage is, of course, through the roof. Smartphone ownership was up 58 percent year on year in 2010 to encompass 38 percent of the population – according to December figures from ComScore Loading… companies comscore .
And we’ve not even mentioned tablets yet. Here’s what Dominic Jacquesson, author of our new research report on mobile media strategies, says of them:
“When Apple Loading… companies apple-inc released its Q4 2010 sales, it revealed iPad sales of 17 million in the nine months since launch. It took the iPhone 21 months after launch to reach the same point. Every major analyst tracking Apple has under-estimated the success of the iPad, despite all the hype, and we can now expect sales estimates for 2011 to notch up once again.
From 15 million when it launched in April, to 28 million by November, and now nearer to 40 million – truly phenomenal for a brand new category of device, and starkly underlining the consumer appetite for tablets.”
What does this mean?
It means lots of people are buying smartphones and tablets and using them as a secondary – not primary – browser, and the ad market has a lot of catching up to do.
Mobile’s growth rate is impressive but the levels of spend are not. A 30-second advert during X Factor can go for as much as £250,000 – almost one tenth of the entire UK spend on mobile display ads.
Moreover, as the WARC figures from the end of last year showed (via Guardian), more than a third of display ad spend is specifically designed to get people to watch TV shows, to take them back to the big box in the corner and away from the small box in their hands.
Although, the two-screen viewing habits of modern Britons shouldn’t be ignored and so many of us watch the tube with a iPhone/iPad/laptop in front of us. TV vs mobile isn’t a zero-sum game and there is exciting growth in social TV participation business models.
Only so much money to go around
But the wider problem is a stagnation of online ad growth in the UK and elsewhere. If we look at the big picture, digital services will only account for 33 percent of European ad spend by 2014, including mobile and “desktop” browsing, according to PwC’s Global Outlook 2010-2014 study (pdf link).
According to Nielsen figures published in Marketing last week, 77 of the top 100 UK advertisers increased their spend in 2010, but at the same time the amount some big league player apportion to paid-for online ads is still tiny.
Proctor & Gamble spends 1.3 percent of its massive budget on paid-for display ads. Unilever Loading… spends 1.9 percent of its budget on the same, or £2.6 million. O2 is notable for remaining the country’s biggest online advertiser by spend, despite decreasing its total ad budget by nearly a third.
There is a hell of a long way to go before ad buyers and agencies see mobile as a core part of their campaigns. And if WARC’s prediction of a 2.3 percent all-media UK advertising rise for 2011 is accurate, then there will be a lot of people fighting over want scant new money will enter the market this year. And despite the smartphone/iPad craze, you can bet it won’t be mobile advertising that takes the lion’s share.
via Mobile advertising leaps 116 percent, but digital ad slowdown worries remain | TheMediaBriefing.
Montreal’s La Presse set to go all digital-reports | Reuters
La Presse to slash print run by more than half
Will offer free iPads for long-term subscribers
One of Canada’s most influential French-language newspapers is discarding most of its print distribution to focus on a digital edition, and will give away iPads to promote the move, Canadian media reported on Friday.
La Presse, which was founded in 1884, will phase out its printed broadsheet over three to five years, online trade publication J-Source.ca said.
The Montreal-based newspaper’s circulation of around 200,000 will be slashed to 75,000, rival Le Devoir reported. It said La Presse will give away Apple iPads or similar tablet devices to subscribers who sign up for a three-year digital contract.
via Montreal’s La Presse set to go all digital-reports | Reuters.
Research: iPad ads boost key marketing metrics
A new study commissioned by Adobe found that ads in digital magazines outperformed static ads by as much as 70 percent in areas such as engagement, attitude and purchase intent.
The study, performed by Dr. Alex Wang from the University of Connecticut, tested ads in digital and print editions of Wired magazine. The study group comprised 65 consumers between 18-32 years old. Participants viewed either a print version of Wired or the Wired app on an iPad. Participants were asked to browse a section of the magazine that included seven ads, and were also asked to review a specific ad.
Participants rated the ads on a 9-point scale across five categories: perceived interactivity, perceived engagement, message involvement, attitude and purchase intention. Wang found that among the two groups, the interactive ads outperformed their static counterparts across all five categories.
“With digital magazines, we’ve seen a more immersive reading experience,” Dave Dickson, Adobe’s product marketing manager for digital publishing, said in an interview. “More interactivity actually drives results for brand advertisers, which has resulted in premium inventory.”
The Future of Print 
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