Waving Your Hands in the
Air! The Consumer Response to Gesture Interaction on Consumer Devices John Feland, CEO

What keeps companies up at
night? Where is the Are we spending Do we have competition money on the Are we on track enough inventory vulnerable? right features? to make the to meet demand? forecast? Does our messaging match what people are talking about ? Marketing Development Product Marketing Sales Marketing Intelligence © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 2

You won’t find the answers
on the balance sheet. Most businesses measure themselves by the flow and accumulation of financial capital Social Capital is the goodwill stored in relationships, between brands and markets or experiences and users Now we can measure it! © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 3

Microsoft Surface Vs. Megan Fox
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When we turn our tools
to gesture mediated experiences… © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 5

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2007 2008 2009 2010 2011 2012 2013 © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 7

Wii U Mindshare in Social
Media: Launch and Black Friday 1.40% Mentions as Percentage of Retail Wii U Launch Black Friday Cyber Monday 1.20% 1.00% Kinect 0.80% Wii U Streams 0.60% 0.40% PlayStation 0.20% 0.00% 11/11/12 11/12/12 11/13/12 11/14/12 11/15/12 11/16/12 11/17/12 11/18/12 11/19/12 11/20/12 11/21/12 11/22/12 11/23/12 11/24/12 11/25/12 11/26/12 11/27/12 • Social Media Mentions (Twitter, Facebook, Boards and Blogs) sampled from retail streams for Best Buy, Amazon, Walmart and Apple • Wii U gets a boost at launch but fails to break away until Cyber Monday, hinting at a slow market adoption © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 8

Tracking Gesture Adoption in Consumer
Gaming Experiences Over time, Playstation Kinect has a Move’s better stronger launch perceive accuracy than Playstation trumps Kinect Wii U has Move launched to a skeptical market © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 9

Playstation Move Vs. Microsoft Kinect
"You can swing hard or soft, slow or fast, high or low, and the camera tracks it all.” "there is no lag and few if any lost or missed gestures to frustrate players” "Owning the Kinect, Move and the Wii, I feel safe saying the Move is the most accurate of the motion control controllers and also the happy medium between casual and hardcore games." “While I was playing with my daughter, my son stood up and walked to the bathroom, causing the game to register him as me and the game was finished with me as the big loser.” "A lot of the reviews complained about lag, meaning it takes a bit for the Kinect to detect your movements and get them on the screen." © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 10

Who we play with impacts
how we play… "I have a number of friends (both guys and girls) who have given the move a try & praise for it has been universal at get togethers.” "Playing with a friend will run into big bucks.” "Then my girlfriend who rocks at volley ball, stood up to give it a shot." "The girlfriend and I had a blast with it.” "Upon starting the first game I called my girlfriend over and all she had to do was jump right beside me, then poof she was on the same river raft as me, pretty cool.” "Our family and friends ranged from novice to advanced game players, and we all had a blast!" © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 11

Wii U, off the a
slow start… "This attempt to merge tablet and Wiimote just does not work.” "I was playing the Wii over the weekend at my sister's with the nephew and I could not believe how laggy it was.” "Sometimes, my action is on the game pad while my opponent's perspective is on the screen (seemingly necessary because he is using the Wiimote)." "It is currently release day and I have been playing it all day with my wife (who is a non-gamer) and we absolutely love it.” "The Pikmin game allows my 4yo to use a pen for control, a new thing for the Wii U that sony and MS do not have, and he can keep up with his older sisters that way.” "my son likes being able to switch from the tv to the gamepad" © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 12

Straight from the mouths of
users • Multi user experiences are important but not always well supported – Kinect Hijacking – Consumers love the Move accuracy, not the cost of additional controllers • Users do not mind “gloves” if the system delivers the desired performance • Believable accuracy matters to the user experience • Location matters – Both Kinect and PS Move require large game play spaces © 2011 Argus Insights, Inc. Confidential: Do Not Distribute Page 13

Questions? We will be releasing
a tablet forecast report in January. Email me for a free copy john.feland@argusinsights.com Visit us at www.argusinsights.com