iii study on mobile marketing spending in spain

3rd Study on Mobile Marketing Spending

in Spain

November 2010

Sponsor

Premium sponsors

• Accenture has conducted this study in collaboration with the MMA since its first edition in 2008. The

development of methodology for gathering information and further treatment is designed evenly over the three

years so that the results have had a historical relationship between them that supports the strength of the

estimations.

• We want to highlight the joint effort with the MMA in the collection of questionnaires, which this year has

reached the figure of 31 companies and 14 advertisers, resulting in the most comprehensive study on mobile

advertising and marketing in the world today.

Accenture is a global management consulting, technology services and outsourcing company,

with approximately 204,000 people serving clients in more than 120 countries. Combining

unparalleled experience, comprehensive capabilities across all industries and business

functions, and extensive research on the world’s most successful companies, Accenture

collaborates with clients to help them become high-performance businesses and

governments. The company generated net revenues of US$21.6 billion for the fiscal year

ended Aug. 31, 2010.

Its home page is www.accenture.com.

http://www.accenture.com/home.asp

Index

Objectives and Methodology

Marketing Mobile Scope

Marketing Mobile Spending

Future Trends

Advertisers’ view

Premium sponsorsSponsor

3rd Study on Marketing Mobile Spending: Objectives

This third wave of the study on investment in marketing and mobile advertising in Spain covers the

following objectives:

• Quantify ad spending devoted to marketing and mobile advertising in 2010

• analyze and to spread the sector economic relevance

In order to achieve that, a methodology based on the collaboration with other MMA associated

companies have been accomplished. They have expressed their point of view about the sector

throughout the following surveys.

This survey aims to get information about done and/or received investment

It allows us to have a knowledge about challenges, forecast and point of view about

marketing mobile in Spain.

It allows us to have a knowledge about advertiser challenges, forecast and point of view about marketing mobile in Spain

Premium sponsors

Sponsor

Participant enterprises on 2010 Study

Surveys have been collected during July to

October 2010.

In this edition, 31 associated companies have

taken part in the study. They represent the

different typologies that MMA represents.

• Mobile phone operators

• Interactive agencies.

• Technology and contents creators.

• Marketers

In addition, this edition has enjoyed the

cooperation of 14 advertisers:

BBVA, Caja Madrid, Procter&Gamble,

Real Madrid, Toyota, Turismo de Barcelona,

Vanity Fair, Acción contra el Hambre, Carrefour,

Caser, Celta, Sogecable, BMW motos, Panrico

Premium sponsors

Sponsor

Non MMA Associated companies: Always, Mobivery,

Wantham, Equmedia XL

http://www.mcmobi.mobi/

http://www.mdfactory.com/

http://www.vodafone.es/Vodafone/LaCompanya/ConocenosHome

http://www.taptapmobile.com/en/index

http://www.orange.es/

Index




Future Trends

Advertisers' view

SponsorPremium sponsors

Mobile Marketing definition

Mobile Marketing is a set of practices that enables organizations to

communicate and engage with their audience in an interactive and

relevant manner through any mobile device or network.

Display

Search

Marketing móvil

Bluetooth SMS

MMS

Aplicaciones

Advergaming

Contents and

AplicacationsVoiceCuponning MessengerProximityMobile advertising

What does marketing mobile contain?

Premium sponsors

Sponsor

Index




Future Trends

Advertisers' view


USA Marketing Mobile investment

Evolution

Marketing Mobile in 2011 will represent a market close to a billion dollars in USA

Marketing mobile investment in USA (2007-.2012e)(Million Dollars)

Source: emarketer September 2010. Includes display, search y messenger

Premium sponsors

Sponsor

Investment in advertising in Spain

Forecasting 2010

Different forecastings reflect a serious crisis on advertising market in Spain

The only growth media is the interactive one.

Source: Infoadex july 2010, Arce Media july 2010, Zenith Media october 2010

Forecasting % variation on advertising investment

3,5

-1,0 -0,5

7,4

2,0 1,5

13,5

10,5 10,8 10,9

Infoadex 1st Hallf 10 Arce I2p 2010e Zenith Vigia 2010e

Total advertising

Tv

The Internet

Mobiles

Premium sponsors

Sponsor

Mobile Marketing in Spain for 2010

EUR 38 million17.8% growth

Premium sponsors

Sponsor

Investment in Marketing Mobile in Spain.

Evolution

Despite the crisis on advertising market, activity during 2010 will exceed 38 million (€), with a

17,8% growth versus 2009 for all marketing mobile activities.

.

Source: Quantitative and qualitative survey MMA. Spain. 2010

Including technology, production and investment

Marketing mobile investment evolution.

15,1

28,6 32,338,0

2007 2008 2009 2010e

+89%

+13,3%

Marketing mobile investment in Spain

+17,8%

Premium sponsors

Sponsor

15,128,6 32,3 38,0

56,0

89,2

2007 2008 2009 2010e 2011e 2012e

Investment in Marketing Mobile in Spain.

Evolution

Marketing mobile investment evolution.



+89%

+13,3%+18%

CAGR 2010 - 2012:

53%

+47%

+59%

Sector forecasts for 2012 are optimistic, with average growth of 53%. For 2012, a figure

expected to reach about 90 billion.

Premium sponsors

Sponsor

Evolution of Marketing mobile investment by typology in Spain ( 2007-2010e) (million €)

Investment in Marketing Mobile in Spain

Investment by typology

In 2010 Marketing and Mobile advertising will be a 38 million (€) market in Spain.

This year, applications which have been further growth in volume generated

*New category 2010

Including technology, production and investment. Not includes premium and corporative messenger.


12,2

1,1

7,8

13,7

1,30,4

1,5

Applications Proximity Messenger Internet mobile Voice Social networks ad content* Mobile portal*

2007

2008

2009

2010E

Premium sponsors

Sponsor


Investment by typology

Internet Mobile is still the most important activity in terms of volume. However, other

typologies as Applications are increasingly important thanks to the new terminals.

36%23% 28% 32%

29%

32%11% 3%

13%

12%

18% 21%

22%33%

36% 35%

3%3,5%4%

2007 2008 2009 2010e

Mobile portal*

ad content*

Social Network

Voice

Internet mobile

Messenger

Proximity

Applications

Evolution of investment in marketing mobile by typologies in Spain (2007-2010e)

*New category 2010

Including technology, production and investment. Not includes premium and corporative messenger.


Premium sponsors

Sponsor

71%

19%

10%

Media buying

Technology

Creativity


Investment by typology: Internet Mobile

Internet Mobile is one of the main leverage for marketing mobile with an investment of 14 million (€) for 2010.

Most part of this investment is directed to the buy of display (it represents the 85% of total investment on Media).

The 15% is invested in Search

3

10

12

14

2007 2008 2009 2010e

Evolution % investment * Evolution Investment* (millions €) % Investment per Concept % Investment per action type

85%

15%

Display

Search

22%

33%36% 35%

2007 2008 2009 2010e



Premium sponsors

Sponsor


Investment by typology: Applications

Applications show a growing evolution, becoming on 2010 the fastest growing category. .

The development of technology and creativity are heavier than in other areas of mobile marketing,

media buying but appeared strongly, mainly due to the need to publicize the applications.

35%

35%

30%

Media buying

Technology

Creativity

5

7

9

12

2007 2008 2009 2010e

36%

23%

28%

32%

2007 2008 2009 2010e



Premium sponsors

Sponsor

Evolution % investment * Evolution Investment* (millions €) % Investment per Concept

50%40%

10%

Media buying

Technology

Creativity


Investment by typology:Messenger

Messaging maintained the upward trend during 2010, generating an increase of 2mm € more than in

2009. Part of the growth it supports the bulk of mms.

Weight growth of creativity in this category

13%12%

18%

20,5%

2007 2008 2009 2010e

2

3

6

8

2007 2008 2009 2010e

66%

34%

sms

mms



Premium sponsors

Sponsor

Evolution % investment * Evolution Investment* (millions €) % Investment per Concept % Investment per action type


Investment by concept

Media buying represents 19 millions (€) in 2010, it reflects 50% of total investment. Much of the

development is derived from the actions on applications

% investment per concept 2010 Investment per concept 2010 Total MM

70

50

3525

4050

20

40

80

35 50

4033

10 1020

30 25 20 18

Internet

mobile

Messenger Proximity Applications Social

network

portal móvil total

Media buying Technology Creativity

19

12

7

Investment in thousand €


Premium sponsors

Sponsor

% of investment* in Mobile Marketing per sector.


2010: Investment by sectors %

Telecommunications regains a leadership position,motivated by very mature product market.

Automotion Stands out for its constant weight in Marketing mobile.

30%

19%

9%7% 7% 6% 5%

3% 3% 3% 3% 2% 1% 1% 1%



Premium sponsors

Sponsor

Mobile Marketing investment by sector thousand €


Investment by sectors thousand(€)

The 6 main sectors account for 78% of the investment, with over 2 million in each of them.

11.271

7.417

3.257 2.659 2.597 2.433

1.959 1.313 1.220 1.097 1.039 780

418 417 214



Premium sponsors

Sponsor

In 2011, social networks,

applications and geomarketing

will lever for growth

Premium sponsors

Future trends

Formats with higher future

Contents and applications are considered the formats with higher future. This is because advertisers

have a great interest on it.

Formats with higher future (% agreement)

28%

19% 18%15%

11%

5%

Apps & content

Display Cupponing Search Messenger Bluetooth


Premium sponsors

Sponsor

Future trends

Formats with higher future: Reasons

Contents and applications

Including advergaming & widgets28%

1st position

Mobile internet(Display) 19%

2nd position

Cupponing18%

3rd position

Essential on new ways of advertising

Differentiator

Specific target

Operators are betting for widgets

The most important thing at campaignsNatural way to distribute content easily and simply

Increased penetration of Mobile MarketingSimilarities InternetComfort, non-intrusiveAnalogy with the traditional Internet world.

Measuring the ROI of investments

It is more efficient, environmentally friendly and has a higher return than any other means of direct marketing

Performance measurement tool


Premium sponsors

Sponsor

Future trends

Formats with higher future: Reasons

Messenger (sms and mms) 11%5th Position

Broad target and ease of useFast communicationBD operators marketing permissionCoverage and affinity, provided that the BD is qualified

Proximity (Bluetooth)5%6th Position

Except in very specific campaigns does not work very wellThe benefits are useful and immediate

Search15%.

4th Position

Local advertising growth

In the short to medium term: Substitute Web

Google expects more mobile searches than conventional

web

Increasing content proposal requires a simple

management for users


Sponsor

Premium sponsors

Future trends

Services with greater demand

Social networks appears strongly in this year's study, followed by geolocation and applications

What services do you think are going to be more accepted and demanded by mobile users?

2,962,93 2,85 2,81 2,78

2,70

2,52 2,522,44

2,30

1,00

2,00

3,00

Social network Maps and location

Applications Internet use via mobile

Email Search engine mobile

Games Music Instant messaging

Bank


High

Medium

Low

Premium sponsors

Sponsor

Future trends

Technological dependence

Terminals and real flat rates are as levers for development of the sector from the technological point of view.

How important is the dependence on the development of the sector the following factors?

2,892,71

2,48 2,36 2,36 2,29 2,252,14

1,00

2,00

3,00

handsets and terminals

Flat-rate data networks Content development

Developing new apps

Regulation and development of standards and

formats

The internet Developing new operating

system and

platforms


High

Medium

Low

Premium sponsors

Sponsor

Future trends

Marketing and communication elements

Studies and direct contact are the most valued to communicate the benefits of mobile

marketing.

What variable do you thing is more helpful for enhancing mobile marketing services?

4,37 4,30

3,81 3,81 3,74 3,63

3,52

Studies Visit of

comercials

Events mobile marketing

association

The internet Fairs Advertising on

mass media

Very useful

Indiferent

Little useful

Quite useful

Nothing useful


Premium sponsors

Sponsor

Index




Future Trends

Advertisers' view


70% of advertisers

who have not invested

in mobile marketing

want to do it

Premium sponsors

Sponsor

Advertisers' view

43%

22%

21%

14%

Segmentation capability

Innovation

Anywhere, Anytime

Measurement of return

Mobile Marketing Strengths

Percentage of advertisers who have considered the following attributes in first position.

Further highlights the value of

immediacy, thanks to the MM

that through allowing the

collection directly without there

being any other model, with a

simple click

The trends for this year are optimistic, 70% advertisers who have not invested in mobile

marketing want to do it .


Premium sponsors

Sponsor

Advertisers' view

Among the advertisers more accustomed to media the bet for the

future focuses on actions such as:

• Display

• Aplicacations

• Social network mobile

Among the advertisers less actives, its important as novelty

Geomarketing(Geolocation).

.

Advertisers who have taken action, rely on the media as part of their campaigns.

For new advertisers, or those who have only done test, requiring more knowledge of all that can be

performed.


Premium sponsors

Sponsor

Advertisers' view

• Education

• Dissemination actions

• Promoting the

development of

standards

• Supporting regulations

• Ignorance of what can be done

• They don´t offer interesting options

• Concerns about privacy

• Development cost

• Lack of internal resources

MMA could help me in… Main Barriers for advertisers to do

mobile marketing

The demand of advertisers for doing more actions in mobile marketing, focus on knowledge and

security in them.

Expect from an association such as the MMA that will help them.

Premium sponsors

Sponsor

Had the largest number of Internet users on mobile

The widespread distribution of mobile with the potential to make actions on them

My target audience had more access to internet via mobile (reduction of tariffs)

Could objetively quantify Return of investment

If I really could see the exact ROI for my actions.

Success stories that demonstrate that builds business

Had a larger budget

Acces

Measuring

Results

Cost and

budget

Advertisers' view

I would invest more if…

Premium sponsors

Managed to convince my bosses we saw its potential and actual performance

The structure of my company was more simple and can be improved DB

If operators were more proactive in offering new and innovate format campaings

The major problem today with the Mobile Marketing, is that agencies have not considered and advertisers not know about their benefits and utilities, is to be evangelized much more..

Estructure of

agency

Operators

Formation

Advertisers' view

I would invest more if…

Premium sponsors

Sponsor

The most interesting campaings for advertisers

are…

By creativity

A tu aire – Vodafone

Mixta

Audi

IKEA

Turespaña

By technology

El corte inglés

Mini

A tu aire – Vodafone

Real Madrid

Toyota

By innovative

El corte inglés

Radio Malibú

By effective Word of Mouth

Rodilla

Toyota

Ikea

Heineken

Premium sponsors

Sponsor

2010 Executive Summary

• In Spain the activity for all marketing activities during 2010 shows an increase of

17.8% over 2009 with an activity that exceeds 38 million euros.

• The investment into the media buying accounts for 50% of the activity, reaching 19

million euros.

• Sector forecasts by 2012 are optimistic, with average growth of 53%, with similar

expectations for the 2009 study.

• Mobile Internet is still the most important activity in volume, although other types, such

as Applications and Advergamings have gained prominence through the

development of new terminals.

• Telecommunications, automotive and travel sectors are most active during this

year.

• Social Networks, geomarketing and applications appear as the key levers of

development of mobile marketing by 2011

Premium sponsors

Sponsor

iii study on mobile marketing spending in spain

Small Business & Entrepreneurship