Global & Regional Trends of Internet Pakistan - Digital Landscape Media & Internet Penetration Digital Demographics Second Screen Opportunities Lahore – A Digital Overview Internet Trends in Lahore - Survey Findings

1. DIGITAL LANDSCAPE OF
PAKISTAN
Prepared & Compiled by Waqas Nasir

2. ROADMAP
Global & Regional Trends of Internet
Pakistan - Digital Landscape
• Media & Internet Penetration
• Digital Demographics
• Second Screen Opportunities
Lahore – A Digital Overview
• Internet Trends in Lahore - Survey Findings
• Business Opportunities
• Challenges
Prepared & Compiled by Waqas Nasir

3. INTERNET USAGE - WORLDWIDE
Internet User in the World by
Internet User in the World Geographic Regions – 2011
By Geographic Regions – 2011
Percentage Distribution Asia 1016.8
Europe 500.7
1% 4% North America 273.1
6% Australia
10% Latin America 235.8
Middle East
45% Africa 139.9
12% Africa
Middle East 77.6
Latin America
Australia 23.9
North America
Europe 0 500 1000 1500
22% Asia Millions of Users
Penetration Rate
North America 78.6%
Latin America 67.5%
Australia 67.5%
Europe 61.3%
Middle East 35.6%
Asia 26.2%
NOTES:
- The Asian Internet Statistics were updated for December 31, 2011 Africa 13.5%
- The demographic (population) numbers are based on data contained in Census Bureau.
- The usage numbers come from various sources, mainly from data published by Nielsen 0.0% 20.0% 40.0% 60.0% 80.0% 100.0%
Online , ITU , and other trustworthy sources. Penetration %
Prepared & Compiled by Waqas Nasir

4. INTERNET USAGE IN ASIA
POPULATION INTERNET USER % increase Penetration Users
( 2011 Est.) (Year 2000) 31-Dec-11 00 - '11 (% Population) % Asia
Afghanistan 29,835,392 1,000 1,256,470 125547% 4.21% 0.12%
Bangladesh 158,570,535 100,000 5,501,609 5402% 3.47% 0.54%
India 1,189,172,906 5,000,000 121,000,000 2320% 10.18% 11.90%
Malaysia 28,728,607 3,700,000 17,723,000 379% 61.69% 1.74%
Pakistan 187,342,721 133,900 29,128,970 21654% 15.55% 2.86%
Singapore 4,740,737 1,200,000 3,658,400 205% 77.17% 0.36%
Sri Lanka 21,283,913 121,500 2,503,194 1960% 11.76% 0.25%
Thailand 66,720,153 2,300,000 18,310,000 696% 27.44% 1.80%
APPENDEX - A
Internet User in Asia
December 31, 2011 Penetration (% Population)
100.00%
77.17%
80.00%
61.69%
Asia 60.00%
45%
40.00% 27.44%
Rest of The 15.55% 11.76%
55% World 20.00% 4.21% 3.47%
10.18%
0.00%
Prepared & Compiled by Waqas Nasir

5. Pakistan :An Increasing Trend of Internet
Among the TOP 20 Countries with highest number of Internet Users
Top 20 Internet Countries - 2012 Q1
with Highest Number of Users
China 513.0
United States 245.0
India 121.0
Japan 101.2
Internet User in Asia
Brazil 81.8
December 31, 2011
Germany 67.4
Russia 61.5
55% Indonesia 55.0
United Kingdom 52.7
45% France 50.3
Nigeria 45.0
Mexico 42.0
Sounth Korea 40.3
Iran 36.5
Asia Rest of The World Turkey 36.4
Italy 35.8
Philippines 33.6
Vietnam 30.9
Spain 30.7
Pakistan 29.1
0.0 100.0 200.0 300.0 400.0 500.0 600.0
Prepared & Compiled by Waqas Nasir

6. Pakistan :An Increasing Trend of Internet
Among the TOP 20 Countries with highest number of Internet Users
Being among the TOP 20 means ……
“ The Internet Usage in Pakistan is Increasing
tremendously, contributing 75% of Global Internet
Consumption ”
Top 20 Internet Countries
Vs.
Rest of the world
Total World - Users 32.72% 2012 Q1
Rest of the World 25.50% 25%
TOP 20 Countries 36.13% 75%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Penetration Rate (%age Population)
TOP 20 Countries Rest of the World
Prepared & Compiled by Waqas Nasir

7. Media & Internet Penetration
In Millions Total TV SETS TV TV PENETRATION INTERNET PENETRATION % GROWTH
Population VIEWERS % USERS (2000~08)
INDIA 1,150 115 690 60% 81 7.1% 1520%
MALAYSIA 25 3.8 20 80% 15.9 62.8% 329%
SRILANKA 21 3.2 16 76% 0.78 3.7% 535%
PAKISTAN 174 11 77 45% 29.2 15.5% 1300%
SINGAPORE 4.6 1.8 4.5 98% 3.1 67.4% 159%
Source: Internetworldstats.com, Economic Survey of Pakistan, PTA, Morgan Stanley. All Figures in Million
• 187 Million Population
• 62% of the population is youth (between 12
and 28)
D i g i ta l Ke y F a c to r s O f
• 29 Million internet users nationwide
•By 2015 more than 50 Million internet
PAKISTAN
users in Pakistan
Prepared & Compiled by Waqas Nasir

8. Internet Trends in Pakistan
Progressive Trends of
Social Media
Internet
Awareness
Prepared & Compiled by Waqas Nasir

9. KEY DIGITAL FACTS
83% of the internet users watch video ... Where from Pakistan, there are
clips
7.1 Million registered users on Facebook
57% of the internet users manage a
profile on an existing social network 7.3 Million registered users on Yahoo
93% of the social media users think 6.4 Million app. registered users on MSN
brands should have a social media
presence 8.0 Million app. registered users on Gmail
10 Million video views on YouTube
56% of social media users feel both a
stronger connection with and better 11 Million visits on Pakwheels
served by companies when they can
interact with them in a social 0.8 Million blogs written per month
Prepared & Compiled by Waqas Nasir

10. KEY DIGITAL FACTS – PAKISTAN
Market Demographics – Gender Based
120%
100%
29% 26% 37%
80% Females
Males
60%
40% 74%
71% 63%
20%
0%
Yahoo MSN Facebook
Males Females
• An increasing trend of Internet among the females. 30%
• Measureable Audience on Internet
• Male audience includes Professionals & Students in major
• Highest female audience is present on Facebook 70%
Source: Yahoo, Msn, Facebook
Prepared & Compiled by Waqas Nasir

11. KEY DIGITAL FACTS – PAKISTAN
Market Demographics – Age Based
100%
11% 9%
15%
80%
60%
71% <18
75%
76%
18 - 34
40%
>34
20%
20%
10% 14%
0%
Facebook MSN Yahoo
Market Demographics - Average
• An increasing trend of youngsters - male & females. 12% 15%
• Actively engaged in Social Networking
• Highly engaged in parallel communication mediums >34
• Current and future market prospects 74%
18 - 34
<18
Source: Yahoo, Msn, Facebook
Prepared & Compiled by Waqas Nasir

12. KEY DIGITAL FACTS – PAKISTAN
FACEBOOK
Gender Base Distribution
Facebook Pakistan
User Distribution by AGE
Facebook - Pakistan
16 - 17 years, 9.2%
13 - 15 years, 5.0%
31% undisclosed, 0.6%
65 - 100 years, 0.6%
55 - 64 years, 0.8%
45 - 54 years, 2.1%
69% 35 - 44 years, 6.1%
- Female - Male
18 - 24 years, 49.7% 25 - 34 years, 26.0%
Prepared & Compiled by Waqas Nasir

13. Second Screen - Mobile Density
Mobilephone - Entire Network Make
#1 Nokia 2%
2%
8% Nokia
Samsung
QMobile
#2
3% NOTFOUND
GFive
3%
Shenzhen
4%
SAMSUNG Sony Ericsson
#3 QMobile 7%
LG
NKTel
Motorola
Gmobile
Ahmad
60% GAlif
ZTE
BlackBerry
Huawei
Apple
Gright
Hongkong
Prepared by Waqas Nasir

14. Mobile Trends
A Powerful Tool of Second Screen Audience
SMARTPHONE
Nokia
Samsung
QMobile
44.19% Sony Ericsson
2.18% Shenzhen
• 50% of the Mobile are capable of Gmobile
using internet based APPS NKTel
LG
GFive
• Windows & Symbian OS are still Ahmad
7.16% GAlif
on the lead 11.55% Motorola
Apple
2.62%
3.95% ZTE
• Android is the NEXT BIG THING in
Pakistan Market
Regular - NON SMARTPHONE
Nokia
GFive
Shenzhen • 50% of the Mobile are capable of
LG
Samsung using Network Based Service
QMobile
Motorola • Highest Revenue of VAS is
NKTel
Huawei
generated from SMS & Ring Back
SWS Tone (RBT) Services
Megagate
Gright 80.09% • Language Supported Mobile’s sales
ZTC
AG-Tel is increasing
Hongkong
Citi Phone (HK) Limited
Simcom
Siemens
Prepared & Compiled by Waqas Nasir

15. Lahore Market
SURVEY
• Facebook Activities of Shoppers in Lahore
• Survey was conducted in January 2012
• Locations: Xinhua Mall, Liberty Market, Y Block DHA
Prepared & Compiled by Waqas Nasir

16. SURVEY - Findings
Prepared & Compiled by Waqas Nasir

17. SURVEY - Findings
Prepared & Compiled by Waqas Nasir

18. CONCLUSION OF THE SURVEY
shoppers who are Facebook
60% users engage with brands
through this network
Buying behavior of almost 20% is influenced by Social Media
shoppers are constantly
30% engaged with social media
through Second Screen
Devices
Of Leading Brands in
40% Lahore are present on
digital medium for
Branding and Sales Push
Prepared & Compiled by Waqas Nasir

19. BUSINESS PROPOSITION
WAY FORWARD
Prepared & Compiled by Waqas Nasir

20. OVERVIEW OF INTERNET SPENDING
Internet spend has increased by Internet Spend Breakup Google
33%
FY 10 PKR 0.418 Billion
Facebook
Cricinfo
MSN
FY 11 PKR 0.567 Billion 35%
Geo.tv
Jang.com.pk
2%
Spend
of overall Advertising
Yahoo
Dawn
Brecorder.com
Tribune.com.pk
127M
of Potential Lahore Market *
Banner Network &
Others
Prepared & Compiled by Waqas Nasir

21. APPENDEX - A
# Country or Region Population, Internet Users Internet Users2 Penetration World
2011 Est Year 2000 Latest Data (% Population) % Users
1 China 1,336,718,015 22,500,000 513,100,000 38.40% 22.50%
2 United States 313,232,044 95,354,000 245,203,319 78.30% 10.80%
3 India 1,189,172,906 5,000,000 121,000,000 10.20% 5.30%
4 Japan 126,475,664 47,080,000 101,228,736 80.00% 4.40%
5 Brazil 194,037,075 5,000,000 81,798,000 42.20% 3.60%
6 Germany 81,471,834 24,000,000 67,364,898 82.70% 3.00%
7 Russia 138,739,892 3,100,000 61,472,011 44.30% 2.70%
8 Indonesia 245,613,043 2,000,000 55,000,000 22.40% 2.40%
9 United Kingdom 62,698,362 15,400,000 52,731,209 84.10% 2.30%
10 France 65,102,719 8,500,000 50,290,226 77.20% 2.20%
11 Nigeria 170,123,740 200,000 45,039,711 26.50% 2.00%
12 Mexico 115,017,631 2,712,400 42,000,000 36.50% 1.80%
13 Korea 48,754,657 19,040,000 40,329,660 82.70% 1.80%
14 Iran 77,891,220 250,000 36,500,000 46.90% 1.60%
15 Turkey 78,785,548 2,000,000 36,455,000 46.30% 1.60%
16 Italy 61,016,804 13,200,000 35,800,000 58.70% 1.60%
17 Philippines 101,833,938 2,000,000 33,600,000 33.00% 1.50%
18 Vietnam 90,549,390 200,000 30,858,742 34.10% 1.40%
19 Spain 46,754,784 5,387,800 30,654,678 65.60% 1.30%
20 Pakistan 187,342,721 133,900 29,128,970 15.50% 1.30%
TOP 20 Countries 4,731,331,987 273,058,100 1,709,555,160 36.10% 75.00%
Rest of the World 2,235,794,808 87,927,392 570,154,469 25.50% 25.00%
Total World - Users 6,967,126,795 360,985,492 2,279,709,629 32.70% 100.00%
Prepared & Compiled by Waqas Nasir

22. APPENDIX - B
Advertising Spend - Pakistan Market 26.75Bn.
Advertising Spend - Lahore Market 5.9Bn.
Lahore market percentage 22%
Internet spend Pakistan 0.576Bn.
Internet spend – Lahore (22% of Adv Spend of Lahore) 0.127Bn.
Internet spend in Lahore is an educated guess as no
data is available on city-wise advertising spend
Prepared & Compiled by Waqas Nasir

23. APOTECH – We’ve got it all
covered for you!ALL
WE HAVE COVERED YOU
Thank You