The document discusses media disruption and trends in digital advertising and audiences. It notes that while mainstream media is experiencing turbulence, media disruption is not new and has been occurring for over 500 years. The key differences now are the speed and scale of disruption. The document also summarizes advertising spending trends in South Africa, including a rise in active advertisers and spending dominated by a few large brands. It notes audience growth, the increasing importance of mobile, and issues for the future like paywalls and their impact.

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2. Who is this dude and can we trust him – hmmm
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3. The first disruptor.
2012/08/23
Source – Amazon.com/Jeff Jarvis. http://amzn.to/PzzqcL (Recommended)
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4. • Steve Jobs of the 1500’s - one of the earliest media
entrepreneurs
• Took an existing market/process and disrupted entirely
• Made money (and BTW lost money)
• Fundamentally transformed how information is shared.
• Created an army of imitators and technical
competition/innovation
2012/08/23 4
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5. So what is the relevance.
• Mainstream media is a going through a turbulent
time.
BUT
• This is not a new thing, media disruption not a
new thing, been with us for + 500 years. The
difference now is speed and scale!
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6. 2012/08/23 6
http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 6

7. 2012/08/23 7
http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 7

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 8

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 9

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 10

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 11

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 12

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 13

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 14

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 15

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 16

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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012 17

18. What is on the menu.
•Advertising trends
•Audience trends
•Issues and outliers
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19. Advertising spend total 2007 - 2012
800,000,000
700,000,000
600,000,000
500,000,000
400,000,000
300,000,000
200,000,000
100,000,000
0
2007 2008 2009 2010 2011 2012
Source – ADEX. Rate card value.
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20. Advertising spend by brand – 12 months
20000000
18000000
16000000
14000000
12000000
10000000
8000000
6000000
4000000
2000000
0
1 6 11 16 21 26 31 36 41 46 51 56 61 66 71 76 81 86 91 96 101106111116121126131136141146151156161166171176181186191196
2011 2nd Half 12 1st Half
2012/08/23
Source – ADEX. Rate card value. 20
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21. Advertising spend total – 12 months
25000000
20000000
15000000
Increase in number of advertisers
spending above R5m
10000000
5000000
0
1
5
9
13
17
21
25
29
33
37
41
45
49
53
57
61
65
69
73
77
81
85
89
93
97
101
105
109
113
117
121
125
129
133
137
141
145
149
153
157
161
165
169
173
177
181
185
189
193
197
Grand Total 2011 2nd Half 12 1st Half
2012/08/23
Source – ADEX. Rate card value. 21
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22. Median Spend – 12 months
250,000
200,000
150,000
100,000
50,000
0
2011-07 2011-08 2011-09 2011-10 2011-11 2011-12 2012-01 2012-02 2012-03 2012-04 2012-05 2012-06
Median Spend Top 250 Linear (Median Spend Top 250)
2012/08/23
Source – ADEX. Rate card value. 22
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23. What the disruption looks like in established
markets.
2012/08/23 23
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http://www.slideshare.net/kleinerperkins/kpcb-internet-trends-2012

24. So what is the take-away.
• Excellent growth; 20, 22, 30% in the past three years
– Still disproportionate to time spent.
• Number of active advertisers and spend rate
increasing
• Spend dominated by a few with loooong tail of
brands engaging at low investment rates
– Glass half-full huge potential, but still requires work.
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25. Audience trends - why so important?
• Stating the obvious - audience = our currency
• DMMA = Reserve Bank of Digital Audience in SA
• DMMA engaging with SAARF on new
methodologies to incorporate into SA research
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26. Unique Browsers – Past 12 Months
18,000,000
16,000,000
14,000,000
12,000,000
10,000,000
8,000,000
6,000,000
4,000,000
2,000,000
0
July August September October November December January February March April May June July
UB's
2012/08/23
Source – Effective Measure. 26
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27. Session vs Session Duration – Past 12 Months
140,000,000 7.4
7.2
120,000,000
7
100,000,000 6.8
6.6
80,000,000
6.4
60,000,000
6.2
40,000,000 6
5.8
20,000,000
5.6
0 5.4
Unique Sessions Session Duration
2012/08/23
Source – Effective Measure. 27
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28. Mobile share
18,000,000 25.00%
16,000,000
20.00%
14,000,000
12,000,000
15.00%
10,000,000
8,000,000
10.00%
6,000,000
4,000,000
5.00%
2,000,000
0 0.00%
Unique Browsers % Mobile
2012/08/23
Source – Effective Measure. 28
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29. 1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
0
500,000
24.com
2012/08/23
DStv Online
Junk Mail Publishing (PTY) LTD
Interface Holdings (Pty) Ltd
Brabys Media Holdings
BBC.com
Mail & Guardian Online
Bizcommunity.com
BDFM Publishers
Moneyweb
ITWeb Limited
Caxton Digital
Sharenet (Pty) Ltd
Kahuna Mobility Solutions Pty Ltd
NewsCentral Media
Newsclip Media Monitoring
Ndalo Media
Hayibo.com
Source – Effective Measure.
Maritz Publishing
ABN Media Group
TheMarketingSite.com
Vottle Pty Ltd
PNet
BizAssist.co.za
Digital Media and Marketing Association …
Pajero Owners Club of South Africa
iDRIVE.co.za
Fortress of Solitude
Tourism CC
FaraiToday
Audience distribution – publishers July 2012
What's UP
2oceansvibe Media
Melodi Media
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Scrollmedia
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Gradx

30. So what is the take-away.
• Disruption happening - decent growth over the past 12 months
– +5m Ubs July 2011 – May 2012
– Good advertising growth
• Mobile is clearly gaining traction
– Biggest % contribution to growth
– Duplication of audience NB
• Measured market extending
• Fat-head/long tail still at play
– Smaller destinations need to acquire audience and market share
2012/08/23 30
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31. Issues to look forward to
• Paywalls and their impact on audience
• Mobile the big disruptor – but adspend limited
– Prevailing CPMs 4x smaller on mobile
• Significant spend going to Ad Networks and social
– Increase ease of booking and efficiency
– Protect premium proposition
– Build case for brand engagement
– Know your audience
• Press Freedom and legislative changes
• Increase in exposure of international brands.
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32. Thank you.
Questions?
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