2017 Drone Market Sector Report

2. 2Copyright 2017 Skylogic Research, LLC | Sponsors This independent research was underwritten in part by: Airware is the leading enterprise drone analytics company. For moreinformation, visit Airware.com. DroneDeploy is the leading cloud software platform for commercial drones. Learn more at www.dronedeploy.com

3. 3Copyright 2017 Skylogic Research, LLC | Study We created this study to explore: • Who’s buying what types of drones from which makers at which prices and for what use? • How large are drone-based service providers and how and where are they positioning themselves to whom and which target industries? • Who are business users of drone-based projects and which industries have traction? • How much are service providers and business users using flight management, mission planning, and image processing software for drone- based projects? Data collected for this study comes from a survey we conducted over the web in July and August 2017 and interviews performed with business users in Q1 and Q2 of 2017. The study evaluates four distinct sectors of the market: 1. Drone Purchases 2. Service Providers 3. Business Users 4. Software Services Four surveys were combined into one. • Each with its own confidence level • All with cross validation and analysis

4. 4Copyright 2017 Skylogic Research, LLC | Results Our online survey garnered 2,666 respondents representing over 60 industries worldwide. Of those, 2629 answered all the qualifying questions and completed the survey, yielding a 98.6 percent completion rate. Large sample size means the statistics are very reliable • Confidence level 99% • Margin of error ±2.5%

6. 6Copyright 2017 Skylogic Research, LLC | Buyers Source: Skylogic Research 72% 25% 68% buy for professional / commercial use 59% is for film, photo, or video use purchase direct from the manufacturer Amazon was #2 at 7%. purchased DJI drones vs. all other brands Individuals or organizations that purchased a drone in the past 12 months We asked detailed questions about: • Type of aircraft • Brand purchased • Price • Place of purchase • Intended use • More..

7. 7Copyright 2017 Skylogic Research, LLC | Service providers We define service providers as those individuals or companies that offer drone-based imaging or sensing services for outside hire. Our confidence level for this portion of the survey is 95% ±3% How many years offering services? We asked detailed questions about: • Annual revenue • Number of full-time employees • Number of part time employees • Number of aviation authority, licensed small UAS / UAV remote pilots employed • Years in business • Number of projects performed per month

8. 8Copyright 2017 Skylogic Research, LLC | Business users We define business users as those individuals or companies that use or purchase drone-based imaging or sensing services. Our confidence level for this portion of the survey is 95% ±4%. Who performs your drone-based services? We asked detailed questions about: • Annual revenue • Services used or purchased • Controlling department • Number of aviation authority, licensed small UAS / UAV remote pilots employed • Number of projects performed per month • Method of drone purchase

9. 9Copyright 2017 Skylogic Research, LLC | Software services We define software services as the software apps or online services to log flights, manage drone operations, plan missions, or process data from drones. Our confidence level for this portion of the survey is 99% ±3%. What is your preferred consumption method? We asked detailed questions about the software apps or online services used to perform: • Flight logging and operation management • Automated mission planning • Data, image, video processing

10. 10Copyright 2017 Skylogic Research, LLC | Research report AVAILABLE NOW Price: $1,450 Single User License $2,250 Enterprise License PURCHASE HERE: http://droneanalyst.com/research/research-studies/2017- drone-market-sector-report/ 10keyinsights 88pages 40figures 9datatables

11. 11Copyright 2017 Skylogic Research, LLC | About Skylogic Research, LLC is a research, content, and advisory services firm supporting all participants in the commercial unmanned aircraft systems (UAS) industry. We help companies make critical investment decisions with confidence by providing research-based insights on the commercial drone markets. Our focus is on the needs of three constituents: • Manufacturers, suppliers, and business service providers – who need research and insight into buyer needs • Buyers of UAS technology and services – to help inform their acquisition decisions • Investors – who need to distinguish technical and market viability This focus, plus research as a foundation and reach into a community of more than 90,000 business executives and innovators through social media and media partnerships, allows us to deliver a high-value, low-risk method for achieving optimal understanding. Drone Analyst® is the registered trademark and brand name and trademark of Skylogic Research, LLC Learn more: Web http://droneanalyst.com Twitter @droneanalyst Email colin@droneanalyst.com

12. 12Copyright 2017 Skylogic Research, LLC | ©2017SkylogicResearch,LLC. Allrightsreserved. This publication is not approved for public release and distribution. Drone Analyst® products and services mentioned herein as well as their respective logos are trademarks of Skylogic Research, LLC. These materials are provided by Skylogic Research are for informational purposes only, without representation or warranty of any kind, and Skylogic Research shall not be liable for errors or omissions with respect to the materials. In particular, Skylogic Research has no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and Skylogic Research strategy and possible future developments, products, and/or research directions are all subject to change and may be changed by Skylogic Research at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, research notes, or web content.

2017 Drone Market Sector Report

Colin Snow

2017 Drone Market Sector Report