Mobile media is dominating consumer habits. Smartphones and tablets are driving explosive growth in mobile internet usage and time spent on apps. Hardware is becoming software as the app ecosystem fuels new mobile experiences and daily activities. Publishers are shifting content to snackable formats optimized for mobile, and monetization will increasingly involve transactions and targeted ads within apps. The future of media is personal, touch-based, and linked to physical behaviors and locations through mobile devices.

1. the future of mobile media
Future Ideas, Amsterdam, March 15, 2012
Herman Kienhuis (@kienhuis), BusDev Sanoma Media

2. Amsterdam
Mobile
Ventures

3. 1. The mobile future is now

6. Promise delivered
New Computing Cycle Characteristics
Reduce Usage Friction Via Better Processing Power + Improved User Interface +
Smaller Form Factor + Lower Prices + Expanded Services = 10x More Devices
Computing Growth Drivers Over Time, 1960-2020E
More than
Just Phones
1,000,000
Mobile iPad
Internet Smartphone
100,000 Kindle
Devices/Users (MM in Log Scale)
Desktop Tablet
10,000 Internet MP3
Cell phone/
PDA
1000
10B+ Car Electronics
PC GPS, ABS, A/V
Units???
100 Mobile
1B+ Units/ Video
Minicomputer
Users
100MM+ Home
10 Entertainment
Units
Mainframe Games
10MM+ Units
1 Wireless Home
Appliances
1MM+ Units
1960 1970 1980 1990 2000 2010 2020
Note: PC installed base reached 100MM in 1993, cellphone/Internet users reached 1B in 2002/2005 respectively;
Source: ITU, Mark Lipacis, Morgan Stanley Research. source: Morgan Stanley

7. Smartphones rule in NL
Handset
shipments Consumer
(mln) penetration
6.0
50%
45%
5.0
40%
35%
4.0
30%
3.0
25%
20%
2.0
15%
10%
1.0
5%
-
0%
2008
2009
2010
2011
Feature phone sales
Smartphones sales
Penetration smartphone (Q4)
source: TelecomPaper, GFK

8. ja pageviews
n/
10
m
rt
/1
0
m
ei
/1
0
ju
l/
10
se
p/
10
no
v/
10
Mobile
ja
n/
11
m
PC
rt
/1
1
m
ei
/1
1
ju
Tablet
l/
11
se
p/
11
no
v/
11
ja
n/
12
source: Nu.nl
Mobile rules news consumption

9. Tablets very quickly taking space in NL
Tablet
shipments Consumer
(mln) penetration
1.6
35%
1.4
30%
1.2
25%
1.0
20%
0.8
15%
0.6
10%
0.4
0.2
5%
-
0%
2009
2010
2011
2012FC
Tablet sales
Penetration tablets (Q4)
source: GFK, Telecompaper

10. More iPads sold than HP PC’s

11. 2. It’s all about apps -
hardware becomes software

13. 0
100,000,000
200,000,000
300,000,000
May-09
Jun-09
Jul-09
Aug-09
Sep-09
Oct-09
Nov-09
Dec-09
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
NU.nl mobile pageviews
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Apps drive mobile usage
iPhone
m.nu.nl
Android
Source: Sanoma Media

14. Why Apps?
•Developers community: 500k+ apps
•Easy discovery and installation: App Store
•One click payment: iTunes
•Customizable: Personal, Social
•Esthetic Experience: Apple UI
•Speed and accessibility
•Native use of device capabilities: GPS, compass,
accelerometer, tilt-sensor, microphone, camera

15. Sensor to the physical world
image scanning/recognition:
Kieskeurig, Layar, Goggles

16. Sensor to the physical world
location tracking:
Nike+, Foursquare, TomTom

17. Sensor to the physical world
audio/voice recognition:
Shazam, Siri, IntoNow

18. Sensor to the physical world
movement/acceleration:
SleepCycle, Stappenteller, Waterslide Extreme

19. Hardware becoming software

20. Hardware becoming software

21. Hardware becoming software

22. 3. Changing our daily habits

23. A new category of comfortable
computing devices
Entertainment/ Information/ Entertainment/ Communication/
Inspiration Productivity Creation Monitoring
XL form Short form Medium form XS form
Push Pull Pull Push
TV/DVD Software/ Websites Apps/Websites Apps/Widgets
Movies/ Search/Social/ Ebooks/Photos/ Music/
VideoGames Video Video CasualGames
Hours Hours Quarters Minutes

24. Sleeping) Waking)up)
Preparing) Personal)
for)next)day) care)
Checking)
Going)out)in) news)
the)city) Having)
Parking)car) breakfast)
Shopping) Commu.ng)
in>store)
Watching) Working)in)
news) the)office)
Having) Mee.ng)at)
dinner) event)
Lunchbreak)
Relaxing)on) entertainment))
couch)
Working)
out) Planning)
Buying)last> tasks)
minute) Chat)with)
friends)

25. intense usage of mobile phone

26. intense usage of iPad
How often do you use the How much time do you spend At home, what is your primary
iPad? on the iPad (on a day of usage)? computer that you use most
often now?
Once per day or less N/A
4% <30 min 2%
>2 hrs
16% PC/laptop
25%
36%
30-60 min. iPad
29% 62%
Multiple times a day 1-2 hours
96% 30%
Source: Sanoma iPad user survey 2011

27. Changing media consumption
phone computer tablet
44% 48% 9%
overall overall overall
views views views
In the morning, relative People reading on computers iPad readers read more news
readership across all three consumer their greatest share of on the device at night than
platforms ramps up quickly online news that way during the day during other times of day
10%
8% Computer
7%
5% Smartphone
3%
iPad
2%
0%
6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
Source: NU.nl (based on sample data)

28. Changing attitude to marketing
Getting relevant information on
your location
Making small payments via SMS
for parkings, bus, etc.
Getting a discount/coupon when
you walk past a shop
Banking via mobile phone
Operating devices in your home
from a distance
Getting detailed product
information in a shop
Purchase products via your mobile
phone
Personal location-based ads
0%
10%
20%
30%
40%
50%
60%
70%
* Respondent interest - Source: IAB/Insites consulting

29. 4. So what’s the future of mobile media?

30. 1. Personal

31. 2. Snackable

32. 3. Touchable

33. 4. Shareable

34. 5. Instant

35. 6. Freemium

36. 7. Cross-device

37. 8. Physical-linked

38. 9. Super targeted

39. 10. Transactionable

40. 5. And what’s next?

41. ID & Payment

42. Personal (health) monitoring

43. Domotics

44. Smart appliances

45. In-car apps

46. Wearable AR

47. Implant

49. Sanoma investing in mobile
Internal
Mobile
Planet of
Innovation
the Apps
Fund
Ideas Execution
Sanoma
App Sanoma
Challenge Ventures
External

50. Looking for a strategic investor
to help grow your (digital) business?
Visit me today at the
SanomaVentures Skybox
@kienhuis
/hermankienhuis
/kienhuis

51. © 2012