social media - the future of media
DESCRIPTION
Presentation for the Asia Venture Capital Forum in Hong Kong on November 2008 with several examples of Asia\'s successes on the mobile and web scenesTRANSCRIPT
Social Media: The Future of Media
Insights From Asia’s Most Advanced Markets
Benjamin Joffe, CEO | +8* | www.plus8star.com
AVCJ Forum| Hong Kong | November 2008
Internet: 1.3 billion
Mobile: 3.3 billion
Innovation ArbitrageTelecom & Internet
China | Japan | South Korea
Overview
Internet1.3 billion
Mobile3.3 billion
Source: Morgan Stanley, 2007
3G
use
rs
% of Internet connections measured above 5Mbps(Source: Akamai, 1Q08)
USA
Japan
China
0%
20%
40%
60%
80%
100%
0% 20% 40% 60% 80%
#2 economy, #1 mobile society
#1 mobile & Internet population
#1 digital society
General assumption #1
Everything from USA is great
General assumption #2
Everything from Asia is weird(and sometimes funny)
Quick Facts
Koreans (already) spend more timeon the Internet than watching TV
In China & Korea, Music (already)sells more “online” than “offline”
In Japan, 90% is sold via mobile(and is a billion USD business)
UGC Media Site Breaking Even?
Profitable Video Sharing Site?
Online/Offline mass media?
BJ = Broadcasting Jockey“Broadizen”
(Broadcast + Netizen)
Don’t forget to turn off your webcam…
Mobile TV penetration in
Japan and Korea is over 30%
(already)
Japan’s m-commerce=
2x mobile content=
10x mobile advertising=
China’s e-commerce
One full bookshelf
for mobile novels
at Kinokuniya,
Japan’s largest
bookstore chain!
Best-seller “Koi Zora” sold over2 million volumes (10 USD / book)
Social Networks
Quick survey
Investment?
“Social NetworkingIs Not a Business”
MIT Technology ReviewJuly/August 2008
SNS on the stock market?
Market-listed SNS
2006.1276 mln EUR
100 mln USD
2004.06100 bln HKD13 bln USD
2006.0987 bln JPY
890 mln USD
2005.02104 bln JPY1.1 bln EUR
Market-listed SNS
100 mln USD 13 bln USD 890 mln USD 1.1 bln USD
Internet users
200 mln 220 mln 35 mln 90 mln 90 mln
60 mln 500 mln 20 mln 14 mln n.a.
Mobile users
255 mln 580 mln 45 mln 100 mln 100 mln
3 mln 50 mln 6 mln 10 mln 10 mln
Revenues 2007 (USD)
150 mln 520 mln ~200 mln 100 mln 150 mln
Profit 2007 (USD)
(50 mln) 225 mln ~100 mln 35 mln ~60 mln
Main business models
Ads Ads
Digital goods Digital goods
Paid Games
Mobile VAS
Jobs
Ads Ads
Mobile VAS
Digital goods
Ads
Affiliates
Digital goods
Brand pages Brand pagesBrand pages
Music
Brand pages
Freemium
Mobile VAS
Brand pages
Source: +8* | www.plus8star.com
Attract user
with free games
Build communities
with matching games
Chat
BBS Journal Clubs
Avatars
Get new users with
Word-of-mouth
Average Revenue From Users
80% 5%87% 50%~0%
Estimates for this year
• QQ makes 1 billion USD with its IM-based SNS
– 500 million USD profit?
• Mobile Game Town sales top 200 million USD
– 100 million USD profit?
• And…
About +8*
There are more ideas outside your country
than inside
Tom KelleyCEO, IDEO
The 10 faces of Innovation
“Innovation Arbitrage”
• About us– +8* | Plus Eight Star is the leading Telecom & Internet cross-market and cross-cultural
consultancy in Asia.
– We provide local expertise & global perspective on mobile and Internet innovation from China, Japan and South Korea to add value to and accelerate the development of our clients’ businesses.
• Our services– Analysis of proven best practices and business models from Asia
– Other services: executive study trips, market entry strategy, M&A advisory, partners identification, negotiation support.
• Founder & CEO: Benjamin Joffe– 9 years experience with mobile & Internet in Asia
– Selected among “China’s Top 100 mobile industry influencers” in 2007
– Regular speaker at events on mobile and Internet in Asia
– Fluent in English, Japanese, French with working knowledge of Mandarin, Korean and Spanish
Selected References• Adidas | E-commerce strategy for China, Japan & Korea
• Bouygues Telecom | Cases studies of leading Asian Web 2.0 services and virtual worlds
• Deutsche Telekom / T-Online | Benchmark of Korean mobile & Internet convergence strategies
• Hemisphere | Analysis of mobile marketing best practices in Japan and South Korea (Hemisphere is a leading digital advertising agency), analysis of leading social platforms (SNS, virtual worlds, online games).
• Microsoft | Analysis of Japan’s key players and market catalysts for mobile commerce market positioning in China
• DeNA | Case studies of the best practices of leading social networks in China and South Korea (DeNA operates Mobile Game Town, Japan’s leading mobile SNS service)
• China Mobile | Benchmark of Korean leading online communities
• Sands Capital Management | Evaluation of China’s investment opportunities in social networks in China
Social Work
• Mobile Monday– Founder of the Mobile Monday forum in Beijing since 2006 (3,000+
members, 23 events, over 80 presentations).
• Media– Monthly column on Asian innovation for Asian Business Leaders (one of
the leading Chinese business magazines), numerous interviews in international media.
• Events– Regular keynote speaker and moderator at Internet, Telecom, Media and
Investment events
e.g. ITU Asia, Asia Venture Capital Forum, Ad-Tech, China Mobility International Summit, O’Reilly’s Graphing Social Patterns, Red Herring Asia, Media 08 Conference, Wireless Developer Forum, Open Web Asia, XMediaLab, Mobile Monday Global Summit, etc.)
www.plus8star.com
benjamin0123
http://twitter.com/plus8star
www.linkedin.com/in/benjaminjoffe
www.slideshare.net/plus8star
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+82 | Korea
+86 | China
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