Mobile Apps Drive C-store Sales

Mobile Path to Purchase Study
Understanding Mobile’s Role in the Retail Path to Purchase
2013

2xAd/Telmetrics Mobile Path to Purchase Study: Understanding Mobile’s Role in the Gas & Convenience Path to Purchase
KEY FINDINGSMOBILE IS THE PRIMARY MEDIUM FOR GAS & CONVENIENCE
APP USE IS HIGH IN GAS & CONVENIENCE MOBILE SEARCHES
GAS & CONVENIENCE SEARCHERS MAKE QUICK DECISIONS BUT CAN BE INFLUENCED
LOCATION AND PRICE ARE THE MAIN FACTORS DRIVING CONVERSION
used mobile exclusively in their purchase
decision
of search time is happening in apps
rather than mobile web
plan to purchase within the day,
but only 10% have a specific
location in mind
of Smartphone purchasers did so for
one of these reasons
2/3
97%
88%
69%
Gas & Convenience users
are inherently mobile.They
use their phones while
on-the-go, looking for
nearby locations at the
right price, and with
increased urgency.
Therefore, the entire path
to purchase often occurs in a single mobile
session. Though the process is condensed
compared to activity in other categories
studied, Smartphone sessions are lengthy -
50% longer than the average mobile retail
shopping session - so there is plenty of
time to reach and influence these
engaged consumers!

TOPICS
COVERED» Mobile Reach & Usage
» Profile of the Mobile Gas & Convenience User
» Mobile Engagement & Behaviors
» Consideration & Conversion
» Comparing the Options: Price & Location
» Mobile Advertising – Awareness & Impact

STUDY
METHODOLOGYThis study combines online survey data from 2,000 U.S.Tablet
and Smartphone users, as well as actual observed behaviors
from Nielsen’s Smartphone Analytics Panel of 6,000
Apple and Android users – each group reporting they
had engaged in activity related to Gas & Convenience
information, products and services in the past 30 days.
Respondent totals are as follows (none of which
are mutually exclusive):
• Smartphone owners: 1,765
• Tablet owners: 1,526
• Gas & Convenience users: 1,038
xAd, and long-time partner Telmetrics,
have collaborated with Nielsen to
develop this first-to-market mobile
behavior study that helps track the
mobile consumer from initial purchase
intent to conversion, while exploring
ad effectiveness and examining the
various profiles of mobile Gas &
Convenience users.

MOBILE
REACH
& USAGE

FOR THE GAS & CONVENIENCE
CATEGORY, SMARTPHONE IS
THE DOMINANT MEDIA
Number of Online Shoppers
(thousands)
PC
Smartphone
Tablet*
5,084
12,900
685
Source: Nielsen Online panel, Nielsen Mobile panel, Nielsen iPad panel – March 2013
*Tablet estimates are directional with a low base size
Percent of Time Spent
Usage by Device
(Includes consumers who do not have all three devices)
1%
TABLET
14%
PC
85%
SMARTPHONE

SMARTPHONE SESSIONS ARE MORE THAN
2X IN LENGTH OVER PC, AVERAGING
OVER 6 MINUTES PER SESSION
In comparison,
Retail users spend
just over 4 minutes
on mobile
Average Session Length
(minutes)
PC
Smartphone
Tablet*
2.5
6.5
2.9

GAS & CONVENIENCE MOBILE USERS ARE
ACCESSING THEIR DEVICES DURING THE
EVENING COMMUTING HOURS
Source: Nielsen Online panel , Nielsen Mobile panel – March 2013
Note: Mobile Projections are n>17
Mobile PC
PC activity spikes before
lunch, while mobile activity
spikes before the drive home
INDEX OF ONLINE USAGE ACTIVITY BY HOUR
(100 = AVERAGE AMOUNT OF SHOPPERS FOR THAT CHANNEL)
12:00AM
1:00AM
2:00AM
3:00AM
4:00AM
5:00AM
6:00AM
7:00AM
8:00AM
9:00AM
10:00AM
11:00AM
12:00PM
1:00PM
2:00PM
3:00PM
4:00PM
5:00PM
6:00PM
7:00PM
8:00PM
9:00PM
10:00PM
11:00PM
250
200
150
100
50
0

Source: Nielsen March 2013 Mobile Database
*Reach % calculated based on consumers with Smartphone devices, 126.6MM
HIGH USAGE OF APPS OVER
MOBILE WEB HIGHLIGHTS THE
IMPORTANCE OF EASY ACCESS TO
INFORMATION IN THIS CATEGORY
UNIQUE AUDIENCE AND REACH
GAS & CONVENIENCE
US,ANDROID AND IPHONE, MARCH 2013
APPS WEB
MONTHLY TIME PER PERSON (HH:MM:SS)
GAS & CONVENIENCE
US,ANDROID AND IPHONE, MARCH 2013
91%
11.7M
1.8M
14%
Combined Gas & Convenience
App/Web Time per Person
00:37:56
WEB
3%
00:08:37
APPS
97%
00:40:41

PROFILE OF THE
MOBILE GAS &
CONVENIENCE USER
Demographic Insights

GAS & CONVENIENCE
TABLET AND SMARTPHONE
USERS SKEW MALE AND
MORE MATURE IN AGE
18-24 25-43 35-44 45-54 55+
AGE COMPOSITION
US, Android and iPhone, March 2013
17%
15%
15%
14%
23%
22%
22%
27%
20%
20%
19%
23%
18%
17%
16%
22%
22%
26%
28%
13%
Total US Mobile
Total Gas & Convenience
Gas & Convenience App Users
Gas & Convenience Browser Users
Total US Mobile
Total Gas & Convenience
Gas & Convenience App Users
Gas & Convenience Browser Users
GENDER COMPOSITION
Female Male
50%
47%
47%
44%
50%
53%
53%
56%
4%
4%
5%

USERS ARE PREDOMINANTLY
CAUCASIAN WITH OVER 1/3
MAKING BETWEEN $50-$100K
White
Asian or Pacific Islander
Other Race
Black or African-American
Mixed Racial Background
<$25K $25-50K $50-100K
$100-150K $150K+
HOUSEHOLD INCOME COMPOSITION
RACE COMPOSITION
15%
12%
11%
20%
22%
22%
22%
21%
34%
38%
39%
34%
18%
16%
17%
9%
12%
12%
12%
16%
6%72% 13% 4%
76% 9% 7%3%
5%77%
69%
8%
13%
7%
7%
3%
7% 5%
5%
5%
Total US Mobile
Total Gas &
Convenience
Gas & Convenience
App Users
Gas & Convenience
Browser Users
Total US Mobile
Total Gas &
Convenience
Gas & Convenience
App Users
Gas & Convenience
Browser Users
4%

MOBILE
ENGAGEMENT
& BEHAVIORS

MOBILE IS USED TO KICK-OFF GAS & CONVENIENCE
SEARCHES, AND OFTEN LEVERAGED ALL THE WAY THROUGH
OVER 80% OF MOBILE SEARCHERS USE
THEIR DEVICES EITHER AT THE BEGINNING
OR ALL THE WAY THROUGH SHOPPING
Questions used: CQ39: When visiting the <CATEGORY>, at what part of the research process did you use your <DEVICE>?
Total Smartphone Gas & Convenience owners (n=466),Total Tablet Gas & Convenience owners (n=164)
STAGE OF GAS & CONVENIENCE RESEARCH PROCESS IN WHICH DEVICE WAS USED
SMARTPHONE TABLET
TOTAL TOTALGAS & CONVENIENCE GAS & CONVENIENCE
At the start
At the end
In the middle
All the way through
64% 58%
52% 48%
14%
10%14%
13%
5%
9%8%
4%
17%
23%26%
35%

MOBILE IS CONSIDERED THE PRIMARY MEDIA
SOURCE FOR NEARLY ¾ OF SMARTPHONE AND
2/3 OF TABLET SHOPPERS
Questions used: CQ8G: When thinking of all the media outlets available when searching for <CATEGORY>-related information, which is most important?
GAS & CONVENIENCE MEDIA OUTLET (TOP RANK)
ONLINE/PC IS FAR LESS IMPORTANT
FOR GAS & CONVENIENCE THAN OTHER
CATEGORIES RESEARCHED SUCH AS RETAIL
SMARTPHONE TOTAL TABLET TOTAL
SMARTPHONE
GAS & CONVENIENCE GAS & CONVENIENCE
TABLET
35%
67%
9%
25%
48%
20%
49%
26%
9%
6%
6%
8%7%8%
37%
41%
Mobile Phone
Online/PC
Tablet
Other

PROXIMITY PLAYS A KEY ROLE IN CONSIDERATION
Questions used: CQ28: When looking up information related to <CATEGORY> on your <DEVICE>, which of the following do you expect regarding the location of the business?
3/4OF MOBILE USERS EXPECT LOCATIONS TO BE 5 MILES OR CLOSER
HOW CLOSE SHOULD THE BUSINESS BE
SMARTPHONE USERS
4%
<1 MILE 6%
<1 MILE
79%
WITHIN 5 MILES
65%
WITHIN 5 MILES
9%
NO EXPECTATION
OF DISTANCE
18%
NO EXPECTATION
OF DISTANCE
8%
> 5 MILES
11%
> 5 MILES
TABLET USERS

IMMEDIATE
NEEDS
DRIVE FAST
CONVERSION
Questions used: CQ17: Upon accessing the app/website on your
<<INSERT DEVICE>>, which of the following best describes you?
Total Smartphone Gas & Convenience owners (n=466),Total Tablet
Gas & Convenience owners (n=164)
2/3OF SMARTPHONE SEARCHERS
ARE LOOKING TO MAKE A
GAS & CONVENIENCE PURCHASE
WITHIN THE HOUR!
HOW QUICKLY RESPONDENT
LOOKING TO MAKE DECISION
IMMEDIATELY
WITHIN DAY
LONGER THAN WITHIN MONTH
WITHIN HOUR
WITHIN MONTH
WASN’T LOOKING TO GO
SMARTPHONE TABLET
2% 5%
7% 2%
24%
10%
31%
43%
35%
24%
16%

DESPITE AN IMMEDIATE INTENT TO PURCHASE,
MOBILE USERS CAN STILL BE INFLUENCED
2/3OF MOBILE USERS ARE STILL CONSIDERING PURCHASE OPTIONS WHEN
LOOKING UP GAS & CONVENIENCE INFORMATION ON THEIR DEVICE
Questions used: CQ17: Upon accessing the app/website on your <<INSERT DEVICE>>, which of the following best describes you?
SMARTPHONE USERS
1%
2%
12%
27%
14%
33%
12%
8%
30%
8%
31%
22%
TABLET USERS
USERS ARE ENGAGED - SPENDING 50% LONGER
RESEARCHING GAS & CONVENIENCE
THAN THE AVERAGE RETAIL SESSION
I had no idea what I was looking for
I had a general idea what I was looking for
I had narrowed down what I was looking for
I knew exactly what I was looking for
Was just browsing
Don’t know

CONSIDERATION
& CONVERSION

GAS & CONVENIENCE USERS
ARE SEARCHING ON-THE-GO
Question Used:CQ16 Where were you when accessing the website/app on your smartphone/tablet?
LOCATION OF USE
80% OF SMARTPHONE SEARCH AND
40% OF TABLET SEARCH HAPPENS
OUTSIDE OF HOME
SMARTPHONE TABLET
Home
Gas & Convenience Store
Outside of Home
Other
3%2%
1% 2%
37%
77%
59%
20%

SMARTPHONES AND TABLETS ARE LEVERAGED
TO FIND A BUSINESS AND MAKE A PURCHASE
Questions used: CQ8E: When accessing <CATEGORY> information on your < DEVICE> what were you looking to ultimately accomplish?
39% 36% 24%
36% 31% 34%
Looking for Business to
Purchase From
SMARTPHONETABLET
Looking for Contact
Information
Researching
Options

NEARLY ALL MOBILE ACTIVITY LEADS
TO AN IN-PERSON TRANSACTION
Questions used: CQ19: Did you ultimately visit a store/make a purchase or transaction related to your visit to the App/Site on your <<INSERT DEVICE>>?
MADE A PURCHASE OR TRANSACTION
RELATED TO MOBILE SEARCH
HOW GAS & CONVENIENCE
PURCHASE COMPLETED
SMARTPHONE
SMARTPHONE
TABLET
TABLET
85%
84%
96% 95%
5%4%
IN PERSON OTHER

UNLIKE OTHER CATEGORIES, THE ENTIRE PATH TO
PURCHASE HAPPENS IN ONE SESSION – OFTEN MAKING
MOBILE THE EXCLUSIVE TOOL FOR PURCHASE
Questions used: CQ36: Other than on your mobile device, what other media did you use to aid in your purchase decision?
Made a Gas & Convenience Purchase and own: Smartphone(n=396),Tablet (n=138)
2 out of 3 users exclusively
used mobile in their
purchase decision
ADDITIONAL MEDIA USED TO AID IN GAS & CONVENIENCE PURCHASE DECISION
ONLINE/PC
TABLET
TELEVISION
NEWSPAPER
MAIL
YELLOW PAGES
OTHER
NO OTHER MEDIA OUTLETS WERE USED
21%
8%
8%
7%
5%
4%
2%
68%
29%
17%
5%
8%
6%
3%
1%
57%
SMARTPHONE
TABLET

COMPARING
THE OPTIONS:
PRICE AND
LOCATION
$

MOBILE GAS & CONVENIENCE SEARCHERS
LEVERAGE MOBILE TO FIND THE BEST
POSSIBLE OPTIONS IN COST & PROXIMITY
WAYS GAS & CONVENIENCE APP/WEBSITE USED BY DEVICE
Questions used: CQ20: Why did you go to the location/make a purchase that you did following your visit to the <CATEGORY> on your <DEVICE>?
SMARTPHONE TABLET
To Find/Compare Pricing 66% 61%
To Look for Location 54% 56%
To Use Reviews to Decide on Location 36% 29%
To Find Online Deals 11% 10%
To Call for More Info 11% 22%

GAS IS BY FAR THE MOST POPULAR
TYPE OF SEARCH IN THIS CATEGORY
SEARCH FOR GAS & CONVENIENCE BUSINESS TYPES
GAS
CONVENIENCE STORE
OIL CHANGE SERVICES/PRODUCTS
OTHER
90%
87%
19%
25%
26%
18%
2%
2%
Questions used: CQ20A: Why did you go to the location/make a purchase that you did following your visit to the <CATEGORY> on your <DEVICE>?
SMARTPHONE TABLET

SMARTPHONE ACTIVITY IS LARGELY
DRIVEN BY GAS COMPARISON SITES
NUMBER OF ONLINE USERS BY GAS & CONVENIENCE CATEGORY
(thousands)
SMARTPHONEPC TABLET*
TOTAL CATEGORY
USAGE
GAS COMPARISON CONVENIENCE
BRANDS
GAS BRANDS OIL/LUBE BRANDS
5,084
2,053
1,460 1,816
136
12,900
11,592
1,333
271 71
685 223 262 135 -

REASON VARIES BY NEED
REASONS FOR GOING TO GAS & CONVENIENCE AFTER VISITING APP/WEBSITE (TOP RANK)
Gas (n=490) Convenience (n=103)
WAS IN PRICE RANGE
CLOSE TO MY LOCATION
HAD AN EXACT LOCATION IN MIND
BRAND I WAS LOOKING FOR
FOUND DEAL THAT NEEDED IMMEDIATE ACTION
HAD GOOD REVIEWS
37%
14%
31%
42%
10%
15%
9%
13%
6%
4%
2%
8%
Questions used: CQ20A: Why did you go to the location/make a purchase that you did following your visit to the <CATEGORY> on your <DEVICE>?
GAS
CONVENIENCE

MOBILE
ADVERTISING:
AWARENESS
& IMPACT

C22/22A. Have you encountered/clicked any of the following types/categories of advertisements on your device(s) in the past 30 days?
Smartphone Owner for Gas & Convenience (n=466),Tablet Owner for Gas & Convenience (n=763)
¾ GAS & CONVENIENCE
USERS NOTICE MOBILE ADS
% OF GAS & CONVENIENCE USERS
THAT HAVE SEEN AN AD IN THE PAST 30 DAYS
77% 72%70% 66%
TOTAL TOTALGAS &
CONVENIENCE
GAS &
CONVENIENCE
SMARTPHONE TABLET
21%OF ALL SMARTPHONE
& TABLET USERS
CLICK ON ADS

C24. You mentioned that you encountered an ad during the past 30 days on your <<INSERT DEVICE>. Did you do any of the following after viewing the ad?
1 IN 4 GAS & CONVENIENCE USERS TOOK ACTION
AFTER VIEWING AN AD ON THEIR SMARTPHONE
AND 2 IN 5 DID SO ON A TABLET
SPECIFIC ACTIONS TAKEN
BY DEVICE
TOOK ACTION AFTER VIEWING A GAS & CONVENIENCE
AD ON SMARTPHONE (N=93),TABLET (N=27)
VISITED SITE THAT WAS ADVERTISED
USED A COUPON
VISITED RETAILER
LOOKED ONLINE FOR MORE INFO
TOOK ACTION
26%
TOOK ACTION
39%
NO ACTION
74%
NO ACTION
61%
AFTER VIEWING GAS & CONVENIENCE
AD ON SMARTPHONE
NOTICED ADS ON SMARTPHONE FOR GAS & CONVENIENCE (N=358)
AFTER VIEWING GAS & CONVENIENCE
AD ON TABLET
NOTICED ADS ON TABLET FOR GAS & CONVENIENCE (N=70)
35%
31%
15%
19%
42%
27%
23%
23%
SMARTPHONE TABLET

CQ27. When it comes to mobile advertising on your <<INSERT DEVICE>>, what kind of ads are you most likely to click on?
Smartphone Owner for Gas & Convenience (n=576),Tablet Owner for Gas & Convenience (n=466)
Gas & Convenience Advertising Most Likely to Click on by Device (Top Rank)
NEARLY A THIRD OF GAS & CONVENIENCE
USERS ARE MORE LIKELY TO CLICK
ON AN AD CONTAINING COUPONS
27%
19% 19%
23%
27%
19% 19%
24%
AD THAT OFFERS COUPON/
PROMOTION
SMARTPHONE TABLET
AD THAT’S LOCALLY
RELEVANT TO ME
AD THAT FEATURES A BRAND
I KNOW
AD THAT DOESN’T TAKE
ME OUTSIDE APP/WEBSITE

n Mobile is the main source of information for the Gas Convenience category – 2/3
of mobile users did not leverage any other form of media for information. Mobile
users want to make a decision right away - often within the hour. But because many
users are still undecided, there is still opportunity for influence. It’s important to reach
Gas Convenience users in the moment to impact their purchase decisions.
n Location and price are keys to mobile Gas Convenience conversion. Mobile users
are accessing their devices on-the-go and typically trying to find locations within 5
miles.The combination of proximity and the right price will bring them in the door.
n Gas Convenience users want to make a purchase - 85% of Smartphone and 84%
of Tablet users ultimately made a transaction – mostly in person.To reach these users
you have to aid in their desire to convert by offering convenient comparison tools
and deals.
CONCLUSIONS

34xAd/Telmetrics Mobile Path to Purchase Study: Understanding Mobile’s Role in the Gas Convenience Path to Purchase
ABOUT XAD
Since 2009, xAd has grown to become one of the largest mobile-local advertising networks in the U.S. and the only one
offering the ability to target mobile audiences using a combination of location signal and search context, leading to
performance that is 3 to 5 times above the industry average.Across its network, xAd aggregates and manages the
largest network of location verified mobile inventory in the industry, resulting in billions of location-specific ad impressions
per month and over one million national and local advertisers. xAd is based in New York City with several satellite offices
across the U.S. and internationally. For more information, visit xAd.com.
ABOUT TELMETRICS
For more than 20 years,Telmetrics has been the call measurement industry leader.Telmetrics’ call tracking solutions, which
are available in North America and across Europe, track the lead generation quality of local search advertising and pay
per call programs for the leading brands in local search.This includes both publishers and agencies that serve millions
of SMBs and national franchise locations across North America and Europe.With greater visibility into advertising per-
formance across all media channels—digital, mobile, print and more—media publishers, agencies and advertisers can
optimize the media mix for higher quality lead generation, resulting in increased revenues and a more complete picture
of ROI across converging media. For more information, visit Telmetrics.com
ABOUT NIELSEN
Nielsen Holdings N.V. (NYSE: NLSN) is a global information and measurement company with leading market positions in
marketing and consumer information, television and other media measurement, online intelligence, mobile measurement,
trade shows and related properties. Nielsen has a presence in approximately 100 countries, with headquarters in New
York, USA and Diemen, the Netherlands.
Additional study details and findings can
be found at MobilePathtoPurchase.com.
For questions or to provide feedback,
please contact us at 888.234.7893 or
requests@xAd.com
FOR MORE
INFORMATION:

35xAd/Telmetrics Mobile Path to Purchase Study: Understanding Mobile’s Role in the Gas Convenience Path to Purchase
• Gas Convenience Mobile Shopper: Smartphone or Tablet user who reported using
their mobile device to aid in a Gas Convenience purchase in the past 30 days.
• Mobile Application/App: mobile content portal which does not require access via
a mobile browser, though does still require internet access to reach.
• Mobile Website/WAP: mobile content source accessible via a mobile browser
such as Google or Safari, which requires internet access to reach. Desktop-accessible
websites visited with a Smartphone are then called mobile websites.
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