US OurMobilePlanet Research English 2013 2

8/12/2019 US OurMobilePlanet Research English 2013 2

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Google Confidential and Proprietary


Understanding the Mobile Consumer

May 2013

Our Mobile Planet:United States of America

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Executive Summary

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Smartphones have become an indispensable part of our daily lives. Smartphone penetration hasrisen to 56% of the population and these smartphone owners are becoming increasingly reliant on theirdevices. 67% access the Internet every day on their smartphone and most never leave home without it.

Implication: Businesses that make mobile a central part of their strategy will benefit from theopportunity to engage the new constantly connected consumer.

Smartphones have transformed consumer behaviour. Mobile search, video, app usage and socialnetworking are prolific. Smartphone users are multi-tasking their media with 82% using their phonewhile doing other things such as watching TV (53%). Implication: Extending advertising strategies toinclude mobile and developing integrated cross-media campaigns can reach todays consumers moreeffectively.

Smartphones help users navigate the world.Appearing on smartphones is critical for localbusinesses. 94% of smartphone users look for local information on their phone and 84% take action as aresult, such as making a purchase or contacting the business. Implication: Ensuring that clickable phonenumbers appear in local results and leveraging location based services on mobile make it easyfor consumers to connect directly with businesses.

Smartphones have changed the way that consumers shop. Smartphones are critical shopping tools

with 77% of users having researched a product or service on their device. Smartphone researchinfluences buyer decisions and purchases across channels. 46% of smartphone users have madea purchase on their phone. Implication: Having a mobile-optimised site is critical and a cross-channelstrategy is needed to engage consumers across the multiple paths to purchase.

Smartphones help advertisers connect with consumers.Mobile ads are noticed by 89% ofsmartphone users. Smartphones are also a critical component of traditional advertising as 56% haveperformed a search on their smartphone after seeing an offline ad. Implication:Making mobile adsa part of an integrated marketing strategy can drive greater consumer engagement.


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Understanding the Mobile Consumer

This survey is designedto gain insights into how

consumers use the Internet

on their smartphones

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How are smartphonesused in daily life?

How do consumers multi-taskwith their smartphones?

Whatactivitiesare consumersconducting on their smartphones?

What role do smartphones play

in the shoppingprocess?

How do consumers respond

to ads, offline and on mobile?

DAY

In detail:

Facts and figures about smartphoneadoption and usage

Internet usage in general, search, video,social networking, mobile advertising

and m-commerce behaviour via

smartphones

This country report is part of a globalsmartphone study conducted in multiplecountries. Visit OurMobilePlanet.com for

access to additional tools and data


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Agenda

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1 Smartphones are Indispensable to Daily Life

2 Smartphones Have Transformed Consumer Behaviour

3 Smartphones Help Users Navigate the World

4 Smartphones Change the Way that Consumers Shop

5 Smartphones Help Advertisers Connect with Customers


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SMARTPHONESARE INDISPENSABLETO DAILY LIFE

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Google Confidential and Proprietary 6

Smartphone Penetration is on the Rise

Q1 2011

31% 44%Q1 2012

Base: National representative population 16+, n= 1.000Q1: Which if any of the following devices do you currently use?

56%Q1 2013


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Smartphones are a Central Part ofOur Daily Lives

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have used their

smartphones every day in

the past 7 days67%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q18: Thinking about the last seven days, on how many days were you online with ...?


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Smartphones are Always On, Always with You

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dont leave home withouttheir device83%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q52: To what extent do you agree to each of these statements?, Top2 Boxes; scale from 5 completely agree to 1 completely

disagree. "I dont leave house without my smartphone"


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Smartphones Are Used Everywhere

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At home

96%

On the go

84%

In a store

83%

96%

84%

83%

82%

71%

70%

64%

61%

55%

45%

39%

Home

On-the-go

In a store

Restaurant

Work

At a social gathering/function/event

Doctor's office

Cafe or coffee shop

Airport

Public transport

School

Place of Use

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q16: Where do you tend to use your smartphone? Please first select at which locations you ever use it - even if only seldom.


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Perceived Smartphone Usage Intensityincreased in last six months

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Spent more timeonline with their

smartphone in thelast 6 months

34%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q21: Thinking about the last 6 months, have you been using your smartphone to access the Internet more or less than you had before?


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Smartphones Have Become so Importantto Consumers that!

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q52: To what extent do you agree with each of these statements?, Top2 Boxes; scale from 5 completely agree to 1 completely

disagree. I would rather give up TV than my smartphone. "I would rather give up my TV / desktop PC than my smartphone"

would rather give up

TV than their smartphone36%


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SMARTPHONESHAVE TRANSFORMEDCONSUMER BEHAVIOUR

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Smartphones area Major AccessPoint for Search

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61%search on theirsmartphonesevery day

Base: Private smartphone users who use the Internet in general and who are searching via search engine, Smartphone n= 945Q31: How often do you do searches (via Google, Yahoo!, Bing, etc.) on your smartphone?


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Smartphones Inform Our Daily Life

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Apartments, Housing info

32%Job Offers

28%

Product Info68%

Restaurants, Pubs & Bars

Travel40%

58%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q23: Which of the following activities do you do with your smartphone? Please indicate whether you ever do this at all.


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Smartphones are a Multi-Activity Portal

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Entertainment

91%

82%

72%

46%

45%

82%

72%

68%

63%

Emailed (sent or read)

Accessed a social network (e.g.

updated a status message, checked

messages or friends' pages)

Reviewed websites, blogs or message

boards

Read news on newspaper or

magazine portals

Browsed the Internet

Played games

Listened to music

Watched videos on a video sharing

website (e.g. YouTube.com)

Stay Informed58%

Communication

89%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q23: Which of the following activities do you do with your smartphone? Please indicate whether you ever do this at all.


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App Usage is Ubiquitous

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33

12

8Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000 Q24: How many apps do you currently have on your smartphone?Base: Private smartphone users who use the Internet in general and who have, at minimum, one app on their smartphone, n= 987Q25: And of the apps that you currently have installed on your smartphone, how many have you used actively in the last 30 days?Q26: And of the apps that you currently have installed on your smartphone, how many have you purchased for a certain amount in an app distribution platform ?

apps installedon average

paid apps installedon average

apps used in thelast 30 days


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79%watch video

24%use video at leastonce a day

17Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q35: How often do you watch videos via websites or apps (e.g. short video clips,

videos of TV shows, TV movies online, etc.) on your smartphone?

Smartphones Users are Avid Video Watchers


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Smartphone Users are FrequentSocial Networkers

18Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000 Q38:How often do you visit a social network (via websites or apps) on your smartphone?

56%visit at leastonce a day

83%visit socialnetworks


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Smartphones Are Used While Multi-taskingwith Other Media

19Base: Private smartphone users who use the Internet in general and who were online yesterday with their smartphone, n= 1000Q22: When you use the Internet on your smartphone, which if any of the following do you normally do at the same time?

82%Use

smartphonewhile!

Play video games

22%

Read a book

13%

Watch movies

32%

Watch TV

53%

Listen to music

47%

Use Internet

41%

Read magazines/newspapers

16%


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SMARTPHONESHELP USERSNAVIGATE THE WORLDAROUND THEM

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Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q33: How often do you look for information about local businesses or services on your smartphone? (Ever)Base: Private smartphone users who use the Internet in general and who look at least less than once a month for information

on their smartphone, Smartphone n= 941Q34 Which of the following actions have you taken after having looked up this type of information (business or services close to your

location)?

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of smartphone usershave looked for localinformation

94%

have taken action as

a result

84%


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Look for local informationdaily

Look for local informationat least once a week57% 25%

Looking for Local Information is a FrequentSmartphone Activity

22Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q33: How often do you look for information about local businesses or services on your smartphone? (Ever)


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Local Information Seekers Take Action

23Base: Private smartphone users who use the Internet in general and who look at least less than once a month forinformation on their smartphone, Smartphone n= 941Q34: Which of the following actions have you taken after having looked up this type of information (business or

services close to your location)?

told othersabout it

24%

48%

47%

51%

47%

17%

13%

29%

24%

Called the business or service

Looked up business or service on a

map or got directions to a business or

service

Visited a business (e.g., store,

restaurant)

Visited the website of a business or

service

Read or wrote a review about a

business or service

Recommended a business or service

to someone else

Made a purchase from a business in-

store

Made a purchase from a business

online

visited thebusiness65%

connected with thebusiness

64%

made a purchase

38%


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SMARTPHONESCHANGE THE WAY THATCONSUMERS SHOP


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Smartphones Allow Users to ResearchProducts Anytime, Anywhere

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At home

55%

On the go

35%

In a store

31%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q51a: And where were you when you researched for products or services with your smartphone?

55%

35%

31%

28%

21%

15%

7%

Home

On-the-go

In a store

Work

Restaurant

Caf or coffee shop

Public transport

Place of Search


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have researcheda product or serviceon their phone77%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q51a: And where were you when you researched for products or services with your smartphone?

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Smartphones are Our Primary ShoppingCompanions

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34%

33%

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q52: To what extent do you agree to each of these statements? Please answer on a scale from 1 to 5. A "1" means that you

completely disagree with the statement, a "5" means that you completely agree with the statement.

I have changed mymind about purchasing

a product or servicein a shop as of a result of information

that I gathered using my smartphone.

I have changed my mind aboutpurchasing a product or service

online as of a result of information thatI gathered using my smartphone.


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Research that Starts on Smartphones Leadsto Purchases Across Channels

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q48: Listed below are various products or services. For each of these products or services please indicate which statement applies to you.

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Researchon smartphone

40%

38%

then purchased

via computer

then purchased

it offline

then purchased


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57%of these smartphone shoppershave made a purchasein the past month

46%of smartphone users

have purchaseda product or service

on their smartphone

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000

Q44: Have you ever purchased a product or service over the Internet on your smartphone? By product or service we mean everything that you can buyexcluding apps.

Base: Private smartphone users who use the Internet in general and who purchased via Internet on their smartphone n= 458Q45: Have you made a purchase by using your smartphone in the past month?

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Smartphones Are an Emerging Point ofPurchase


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Smartphones Shoppers are Frequent Buyers

30Base: Private smartphone users who use the Internet in general and who purchased via Internet on their smartphone, Smartphone n= 458Q47: How frequently do you purchase products or services with your smartphone?

60%make mobile purchasesat least once a month


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Barriers to Mobile Commerce Still Exist

31Base: Private smartphone users who use the Internet in general and who NOT purchased via Internet on their smartphone n= 542Q46: Why have you not made a purchase using your smartphone? Top 7

40%

40%

27%

25%

22%

21%

11%

Screen size is too small

Cannot trust credit card security onmobile device

Cannot see detailed product/serviceinformation

Hard to type

Hard to compare prices and options

It takes too much time to open the website page

Mobile online access tend to beinterrupted


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SmartphonesHelp Advertisers ConnectWith Their Customers

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Offline Ad Exposure Leads to Mobile Search

33Base: Private smartphone users who use the Internet in general, n= 1000Q43a: Thinking about the last 6 months, how often have you used your smartphone to do a search in

response to an ad you have seen in a magazine, on a poster, on TV or in a shop/business?

Ad location

TV50%

Shop/business46%

Magazines

38%Posters / Billboards

26%

56%

have performeda mobile search after

seeing an ad


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89%of smartphone usersnotice mobile ads

Base: Private smartphone users who use the Internet in general, Smartphone n= 1.000Q41: How often do you notice advertising when you are using the browser or an app on your

smartphone? (Ever)


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Mobile Ads Make an Impression

35Base: Private smartphone users who use the Internet in general and who at least rarely notice advertising n= 893Q42: Where have you noticed advertising when using your smartphone?

54%

48%

42%

35%

26%

25%

While in an app

While on a website

While using a search engine

While watching a video

While on a retailer website

While on a video website

While in app

54%

While ona website48%

While usinga search engine

42%

White watchinga video

35%

Where Mobile Ads Are Noticed


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Background

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Research Methodology

In partnership with Ipsos MediaCT, we interviewed a total of 1,000American online adults (18-64 years of age) who identifiedthemselves as using a smartphone to access the Internet

The distribution is according to a national representative study andthe data is weighted on age, gender, region, brand of smartphone,

mobile internet usage frequency and tablet usage

A smartphone is defined as "a mobile phone offering advancedcapabilities, often with PC-like functionality or ability todownload apps"

Respondents were asked a variety of questions around deviceusage, mobile search, video, social, web and commerce behaviourand mobile advertising

Interviews were conducted in Q1 201337


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Demographics

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Area

52%

48%

17%

30%

22%

20%

12%

27%

52%

21%

32%

10%

47%

1%

9%

Female

Male

18-24 Years

25-34 Years

35-44 Years

45-54 Years

55+ Years

Urban

Suburban

Rural

Single

Living with partner

Married

Widowed

Divorce/separated

Age

Gender

MaritalStatus

Base: Private smartphone users who use the Internet in general, n= 1.000S2. Please indicate your gender. / S1. What is your age? / D3. In what area do you live? D2. What is your marital status?


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Demographics

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13%

15%

13%

14%

25%

17%

63%

5%

10%

22%

7%

9%

17%13%

24%

10%

12%

7%

Graduate high school

Some technical school/community college

Complete technical school/community college

Some undergraduate university

Completed undergraduate university

Completed post graduate university

Employed (full-time/part-time)

Retired

Student

Unemployed / housewife or househusband

Less than 15.000 USD

15.000 - 24.999 USD

25.000 - 39.999 USD

40.000 - 49.999 USD

50.000 - 74.999 USD

75.000 - 99.999 USD

100.000 USD or more

Don't know/ no answer

EmploymentStatus

Education

Income

Base: Private smartphone users who use the Internet in general, n= 1.000D4 What is the highest level of education that you have completed? D5 Which of the following best describes your

Documents

US OurMobilePlanet Research English 2013 2