2. Mobile Right Now
Mobile devices give us the amazing ability to be a part
of consumers’ lives unlike any prior communication
medium.
Because they are always on and always nearby, they
are becoming our default entertainment and
information devices and they are increasingly
indispensible companions in all of our daily activities,
whether work or play.
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3. Apparently This Mobile Thing is Big
An estimated 44% of the US internet population
between the ages of 8-64 use smartphones*
3G penetration for cell users in the US is now at
64%, growing at a 31% rate YOY.**
93% of smartphone users access content and
information regularly on their device*
17% of adult US cell phone owners now use their
phones as their primary means of accessing the
internet***
In June of 2012, more than 45% of smartphone
users used shopping applications to shop for goods
Sources: * Online Publishers Association: A Portrait of Today’s Smartphone User, August 2012; **KPCB: Internet Trends 2012;
***Pew Internet and the American Life Project: Cell Phone Internet Access, June 2012
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4. Still Being Used to Keep in Touch
More than 55% of
Facebook’s monthly active
users access Facebook on
a mobile device*
More than 60% of Twitter’s
monthly active users
access Twitter on a mobile
device*
While doing this, 58% of
US users read posts from
companies or brands, and
about 32% are said to be
likely to click on ads while
social networking*
Sources: *Mashable: February, 2012 Comscore Mobile Study
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5. As Ms. Meeker Tells Us…
…We Have a Mixed Bag of Opportunity
While 10% of US internet traffic is occurring on mobile
devices
And 8% of ecommerce activity is now being driven by
mobile devices
Mobile ad revenue is commanding only about 20% of the
eCPM of desktop display
So that is somewhat scary for those of us running our
businesses on an ad-based revenue model who are
watching our most rapid audience growth occurring within
this newest channel.
Source: KPCB: Internet Trends 2012
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6. A Mixed Bag is Better Than No Bag
The Scarier Thing Would Be To Not Have a Rapidly
Growing Mobile Audience!
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7. The Hearst Case (One Year Ago Today)
Q3 2011
Hearst Magazines had just acquired Hachette-
Filipacchi globally and had to chew and swallow a
$900mm acquisition, requiring worldwide integration
Paid apps in the form of e-editions were occupying
the bulk of our team’s mobile mindshare of the digital
and executive teams
The Hearst mobile web initiative was fragmented
between multiple outsource vendors providing highly
disparate experiences
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8. A Source of Panic and a Spark of Inspiration
Source of Panic Spark of Inspiration
98mm US users on We believed that we could do
smartphones by Q4, 2011* this better ourselves
33.7mm US tablet users by end We understood the promise of
of 2011** HTML5 and the immediate
We lacked direct control of our opportunity for adaptive design
mobile destiny due to the We also felt money starting to
fragmented development effort shift there, as we were
We were delivering a sub- beginning to feel pressure from
optimal experience for our advertisers who expected us to
users and advertisers offer ad packages in these new
formats
Sources: *NielsenWire, January 2012; **eMarketer, 2011
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9. Aggressively Pragmatic
Rapidly applied a “responsive-ish” design methodology
Leveraged our common CMS and HTML5 to deliver against
rapidly-deployed mobile templates (roughly two dozen).
Focused on usability and speed of delivery
Launched 20 mobile-optimized sites in less than six months that
demonstrate important characteristics of responsive design,
without having to wait for the rebuild of underlying architecture
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10. The Good News…It Worked
Mobile pageviews grew by Mobile Traffic as a % of Pageviews
more than 280% on a YOY June 2011-June 2012
basis
Mobile visitors went from
being something we didn’t
even track to 27% of
audience in the same
timeframe
Brands with an exceptional
social following enjoyed a
multiplier effect on content
consumption, helping us
validate our assumption
that Mobile + Social was
they key
Source: Internal Omniture Reporting, Hearst Digital Media, June 2012
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11. A Little Went a Long Way
Rapid Growth Within the Device Category
+
Minor Attention to Mobile Design and UX
+
A Complimentary Social Effort
___________________________________
Most Impressive Audience Growth of the Year
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12. What’s Next at Hearst?
Deployment of true responsive design to accommodate
for ongoing proliferation of device sizes
Continue to more deeply intertwine our social and mobile
offerings
Dynamic content display to take advantage of the
personalization and localization features inherent to the
mobile platform
Deeper integration of ecommerce relationships into our
mobile experience
Support to bring advertising partners along to deliver the
most compelling experiences that these devices can offer
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13. Thoughts Beyond 2013
L2 issued its report card
recently for digital
media companies
The weighting on
mobile + social aspects
of the overall IQ = 50%
of the total score
When we think about
the opportunity to grow
the most dynamic parts
of our business, how
does it stack against our
allocation of resources
and investment?
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14. The Potential Trap
Failure to adapt
Aggressive pivot in content and customer acquisition
strategy required
Delaying investment
By waiting to see if there is money to be made,
companies will miss the opportunity to help determine the
market
Protecting the diminishing asset and failing to value
the new engagement correctly
Bonusing unproductive mobile impressions, rather than
seeking the most creative implementations
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15. The Required Collaboration Between Marketers
and Publishers
More conversations like the ones being had this
week to address the requirements for different
creative execution on mobile
Increased efforts to deliver ad standards within the
responsive design framework
Understanding that the success metrics are going to
be very different for mobile campaigns and
establishing a new set of KPIs to jointly understand
how we are collectively doing to influence these
highly attentive consumers
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16.
17. Thank You!
Grant Whitmore
gwhitmore@hearst.com
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