1.
Internet on
INDIA
Published on March 2012

2.
By 2015, 40% of the Planet will be on the
Internet
Internet Users (mn)
3500
3000
Rest of World
Emerging Markets
2500
2000
1414
1500
752
1000
1476
1281
500
0
1995 2000 2005 2010 2015E
*Source: IWS, ETForecasts, BCG Report, Sept 2010 Emerging Market taken here as BRIC & Indonesia

3.
Internet Growth: The Indian Story
Pointers
 Internet in India has been showing growth in double digits since
last 10 years
 Current Internet penetration at 5% and forecasted to be around
11% by 2015
 58% of the internet penetration is from Top 10 Cities
120,000,000
100,000,000
100,000,000
80,000,000
60,000,000
40,000,000
20,000,000
1,400,000
0
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2009 2010
* In Millions
*Source: internetworldstats.com

4.
India is the 3rd largest Internet User Market
Internet population will multiply 3.1x in 5 years
Internet population will triple in 5
years 300
250
112 Million
200
150
100
internet users
100
21%
50 7% Penetration
Penetration
0
2010 2015
40% Internet penetration in less than 10 Lakh town At 100M+ users, online users represent the strong purchasing class
120% Less than 5 lakh towns 5 - 10 lakh towns
Other metros Top 8 metros
100% Total Pop : 1.2B
80%
Urban (12+) : 240M
60%
60%
Internet : 100M
40%
SEC A/B (15-44): 50M
20%
40%
0%
2000 2001 2003 2004 2006 2007 2008
*Source: internetworldstats; Internet’s New Billion, BCG – Sep2011; IAMAI; IRS

5.
Indian E & M Industry and Growth of Internet
*Source: PwC Analysis and Industry Estimates
The growth of Internet as a Industry is the highest among all other Industry
in this segment in India. By 2015, Indian Internet Industry would be worth 24
Billion INR with a projected growth of 25.5%, highest among all others.

6.
Emergence of Social Network in India
38 M+ Users
Adding 55K users daily
Avg 107 Friends per user
1,681,000 Apps live
9 M Users
Adding 30K users daily
Avg 120 connections per user
6 Minutes per Visit
5 M+ Users
Adding 25K users daily
8 MN tweets on a daily basis
56 Followers per users
21 M Users
Adding 38K users daily
3 Hr of Videos consumed by an average user
90% UGC
3 out of 4 Internet User is on Social Network
As per latest consumer survey 85% people say that social media does impact their
buying decisions
*Source: ComScore, Dec 2011

7.
What makes the internet so Powerful?
Audience across age groups
NOT JUST YOUTH
At 41.20 %, the 29-44
year age band
emerges as the
‘single largest’ age
group of regular
internet users*
BUT THE WEB ALSO
TRANSCENDS AGE.
33.7 % between 15-24 yrs
58 % OF USERS ARE
BETWEEN 25-44 Yrs.
*Source: ComScore, Dec, 2011

8.
What makes the internet so Powerful?
Media Consumption Landscape
Print
TV Print Radio Internet
160
130
125
60
60
40
60
62
65
135
115 130
2009 2010 2011 ( *In Minutes)
*Source: IRS 201, TG:15+, All India ,IAMAI,IMRB

9.
Your Consumer is Online
& Getting There Faster……
Media Consumption hours / week Events fuelling digital growth
o 3G Transition
23% o Reducing PC/laptop prices
o Smart phone prices are
reducing from 25K to ~10K
30%
o Data plans prices are further
reducing
26%
21%
*Source: IAMAI, IRS 2009(R2) and Google internal analysis; Base: online population in India ,
Comscore 2009 Banking and Finance website Audience demographic

10.
Implication for Advertisers…
Internet as a marketing platform is Bigger

11.
Implication for Advertisers….
Internet offers a wide
variety of services that
entice users to devote
more time to the medium
hence giving the
advertiser more
interaction time

12.
Implication for Advertisers…
The presence of your message on the key sites (depending on the
audience being targeted) is key to the success of any media plan

13.
Monthly Online Presence
Source: ComScore Dec, 2011
28.10 M
Male Female
18.29M
11.6 M
9.5 M
7.54 M
5.99M
4.7 M
3.05 M
1.66 M 0.7 M
1.12 M
0.5 M
Total 15-24 25-34 35-44 45-54 55+
*Total 112 Mn People hooked on to the web in India – iCube 2011

14.
Purpose of Internet visit
% Reach Avg. Mins Per
Visitor
Social Networking 97 159
Search 89
31
E-mail 79
89
News/Information 76
Entertainment -… 62
28
Business/Finance 57 68
Education 42 46
Career Services 43
16
Travel 42
23
Entertainment-Movies 32
Photos 27 29
Instant Messengers 26 11
Social networking is the most popular online Activity across all age group with
Collective reach of 97 %
The Avg. time spent is also more than the other digital activities
*Source: IAMAI

15.
Online Activity : Change from last year
Online Activity % Internet Users % Change From last
Undertaking Year
Emailing 95% +1%
Search or buy non-travel products 76% +33%
Web info search (text, images) 74% -
Download music 69% -3%
Job search 62% +6%
Social networking 61% +8%
Search or buy travel products 59% +25%
Instant messaging/chatting 57% +1%
PC to mobile SMS 54% -2%
Pay bills online 51% +22%
Visit local Indian language websites 29% +2%
Online shopping, Search are the biggest gainers!
Job Search and Social networking witnessed a steady growth
Source: Juxt Report, 2011

16.
What is driving web Behavior ?

17.
What is driving web Behavior ?
Social Networks should be used for emotional connect thus can be used to create
positive brand image, engagement with the TG and to start direct conversation with
the Brand
Google remains the primary source of seeking information and has been used for
more rational purposes thus should be used extensively for reach, conveying brand
information and benefits and features.
Source: MSN and Mediamind Report, 2011

18.
E-Commerce has hit tipping point….India – growth?
e-commerce in India
60
40
40
20 7
0
2010 2015E
o 4 out of 5 internet users ‘shop’ online (search or buy online), translating into a 80
million strong online consumer base
o 29 mn of these ‘online shoppers’ (or 29% of all internet users), also ‘buy’ online -
70% Increase from 10 million last year
*Source : Euromonitor International, Juxt Report ,2011

19.
E-commerce in India
Top Five Business Hub
4. Jaipur On an average day on
1. Delhi
eBay India
A piece of jewellery sells
every 4 minutes
A health or beauty product
sells every 4 minutes
A piece of apparel sells
every 7 minutes
A watch sells every 9 minutes
5. Chennai
A car or bike accessory sells
every 11 minutes
A piece of home decor sells
every 12 minutes
2. Mumbai 3. Bengaluru
Source: eBay Census Guide 2011

20.
Significant Research online across
categories…
72%
Research online Purchase online 65%
Research online Purchase offline
39% 40%
33%
28% 29%
26%
21%
19%
16%
8%
5%
3%
Automotives CPG & Finance Media & Retail Technology Travel
Healthcare Entertainment
& Local
Source: Consumerbarometer.com

21.
1.4Bn Weekly Search Queires on Google alone
Computers
Finance &
Entertainment and Telecom Health Sports
Investment
Electronics
a growth story of 60% Y-o-Y
Research online purchase online Mobile and Desktop Search Query Growth Over The Last 3 Yrs
72% 35
Research online purchase offline
65% 30 Mobile 28X
25 Desktop 6X
20
40%
15
33%
29% 10
21% 19% 5
0
3%
9/1/08
3/1/09
6/1/09
9/1/09
3/1/10
6/1/10
9/1/10
3/1/11
6/1/11
9/1/11
12/1/08
12/1/09
12/1/10
Technology Auto Travel Local and Retail
source: Google Internal, Consumer Commerce Barometer Source – Google

22.
As we speak India is changing:
If this machine is hooked, click on the image!
Else you can visit: http://bit.ly/ugJ7yf

23.
THANK
YOU
If you wish to re-write your brand proposition in 140
characters contact us @SMG_India