Genera&ng
Revenues

  with
Mobile
AR


       Chris&ne
Perey
 PEREY
Research
&
Consul&ng
Graphic
generated

automa&cally
by
Personas
hGp://personas.media.mit.edu/




                                                                        The
two
industries
in
which
I
focus
on

                                                                        growing
the
adop&on
of
mobile
AR
are

                                                                        print/publishing
and
retail/commerce.



    June
17th
2010                                  PEREY
Research
&
Consul&ng                                2
June
17th
2010   PEREY
Research
&
Consul&ng   3
Agenda
• Primary
revenue
sources
• Case
Studies
and
illustra&ons
      –   Source
      –   Objec&ves
      –   Value
chain
      –   Metrics
• Second
genera&on
revenue
sources
• ISMAR2010


June
17th
2010          PEREY
Research
&
Consul&ng   4
Mobile
AR
Ecosystem




                                                                                                                  The
Physical
World
                           Merchants,
Brands
The
Digital
World




                                                                                          Sensors
on
Mobile
devices
                    Mobile
AR
Industry
                                CONTENT
                         

Providers/Publishers         Packaging
                                                                               Delivery


                               Enablers

                         Providers
of
enabling

                              technology




              June
17th
2010                      PEREY
Research
&
Consul&ng                                  5
The
four
sources




June
17th
2010       PEREY
Research
&
Consul&ng   6
The
BIG
brand
                         • Part
of
a
cross‐media

                           campaign
to
increase

                           purchases
                                – Be
and
stay
top
of
mind
                                – Provide
u&lity
or
fun
                         • Lower
costs
                                – Increased
sa&sfac&on
                                – Lower
product
returns
                         • They
contract
out
projects

June
17th
2010     PEREY
Research
&
Consul&ng               7
Data
Carddas
Supersentai
BaGle:
Dice‐O




June
17th
2010      PEREY
Research
&
Consul&ng   8
Money
Flow




                                               Content
Adapta&on/
                 Merchants,
Brands




                                                                    Packaging
                                                    Crea&on
                                                                                Delivery
                      Enablers

                 Providers
of
enabling

                      technology


                  This
must
not
be
counted
as
part
of
Mobile
AR
revenues




June
17th
2010                            PEREY
Research
&
Consul&ng                       9
HYPER
            The
LOCAL
(small)
corporate
                                                                 Global
trend

                                                                 •
Britain
                                                                 •
the
Netherlands
                                                                 •
United
States

                                                                 already
have
about
35

                                                                 similar
applica&ons
using

                                                                 Layar

                                                                 Coming
soon

                                                                 •
other
parts
of
Europe
                                                                 •
Russia
                                                                 •
Australia
                                                                 •
Korea

                                                                 •
Japan

                 hGp://www.MeilleursAgents.com
June
17th
2010                      PEREY
Research
&
Consul&ng                             10
Funda
Layer
on
Layar
                                            • Layar
launch
partner
(6/09)
                                                   – Show
available
proper&es
                                                   – Very
aGrac&ve
user
interface

                                            • Objec&ves
                                                   •   To
show
innova&on
(PR)
                                                   •   Developers
of
bare
land
                                            • All
data
is
maintained
by
Funda
                                               • 95%
of
all
proper&es
in
NL
                                            • One
year
anniversary
June
18!

          hGp://www.youtube.com/watch?v=b64_16K2e08





June
17th
2010                             PEREY
Research
&
Consul&ng                11
Money
Flow
(AR
Browser)

                     Local
corpora&on
             (performed
development
internally)

                                                                  Delivery
                             Enablers

                  Providers
of
enabling
technology



                 This
must
not
be
counted
as
part
of
Mobile
AR
revenues




June
17th
2010                       PEREY
Research
&
Consul&ng              12
Money
Flow
(with
app)

                 Local
corpora&on

                                                   Packaging
                                                                       Delivery
                      Enablers

                 Providers
of
enabling

                      technology


                  This
must
not
be
counted
as
part
of
Mobile
AR
revenues




June
17th
2010                            PEREY
Research
&
Consul&ng              13
Cultural
heritage,
Public
services,





                                         Source:
hGp://www.xrez.com/



June
17th
2010        PEREY
Research
&
Consul&ng                       14
Money
Flow

                 Content
provider

                                                   Packaging
                                                                       Delivery
                      Enablers

                 Providers
of
enabling

                      technology


                  This
must
not
be
counted
as
part
of
Mobile
AR
revenues




June
17th
2010                            PEREY
Research
&
Consul&ng              15
End
users

                 LocFinder                              Nearest
Tube
                 $0.99                                  £1.19
(similar
apps
for
$1.99)




                             Pocket
Universe
                             $2.99




June
17th
2010                 PEREY
Research
&
Consul&ng                                16
Money
Flow

                 Content
provider

                                                 Packaging
                                                                   Delivery
                      Enablers

                 Providers
of
enabling

                      technology


         A
part
of
this
may
be
included
as
part
of
Mobile
AR
Revenues




June
17th
2010                        PEREY
Research
&
Consul&ng              17
Pay
for
Layer
(End
User
pays)


            •
Content
provider
is
a
Layar


            

“publisher”

            •
60%
of
the
purchase
price

            


goes
to
the
publisher

            •
One
&me
or
recurring

            


(subscrip&on
service)



June
17th
2010                      PEREY
Research
&
Consul&ng   18
Money
Flow

                 Content
provider

                                          Layar
(packaging

                                           and
plaoorm)          Delivery
                  Billing
system

                     provider


                                All
of
this
is
Mobile
AR
Revenues




June
17th
2010                      PEREY
Research
&
Consul&ng              19
Second
genera&on
revenue
streams
     • Adver&sing
            – When
there
are
sufficient
eyeballs
            – User
generated
content
(Social
AR)
     • Future
            – Selling
sta&s&cs
about
user
behavior

            – Deriva&ves
(%)
from
sales
within
the
mobile
AR
applica&ons




June
17th
2010                   PEREY
Research
&
Consul&ng                20
Summary
     • Businesses
must
clarify
their
objec&ves
     • Four
sources
of
revenue
            – Someone
always
has
to
pay


     • Value
chains

            – Currently
missing
the
metrics

     • Sizing
of
market
should
not
include
value
of
content
or

       products
            – Approach
revenue
forecasts
with
cau&on!!



June
17th
2010                    PEREY
Research
&
Consul&ng      21
COEX




Seoul,
Korea
                       October
13‐16,
2010
June
17th
2010   PEREY
Research
&
Consul&ng    22
MOBILE
Augmented              @ISMAR2010
  Reality
SUMMIT
• Mobile
Magic
Wand
Workshop
@
ISMAR2009
      – hGp://www.ismar‐society.org/ismar2009/mobilewand.php
• Mobile
Augmented
Reality
Summit
and
Showcase

  @MWC2010
      – hGp://www.perey.com/MobileARSummit/Outcomes.html
• Par&cipants
will
prepare
posi&on
papers




June
17th
2010               PEREY
Research
&
Consul&ng        23
Want
to
find
out
more?

                 AR
con'nues
what
the
Internet
began
                            Chris&ne
Perey
                          cperey@perey.com
                           +41
79
436
68
69
                          +1
(617)
848‐8159

June
17th
2010              PEREY
Research
&
Consul&ng   24

Generating
 Revenues
 with
 Mobile
 Augmented Reality

  • 1.
    Genera&ng
Revenues
 with
Mobile
AR Chris&ne
Perey PEREY
Research
&
Consul&ng
  • 2.
    Graphic
generated

automa&cally
by
Personas
hGp://personas.media.mit.edu/
 The
two
industries
in
which
I
focus
on
 growing
the
adop&on
of
mobile
AR
are
 print/publishing
and
retail/commerce. June
17th
2010 PEREY
Research
&
Consul&ng 2
  • 3.
    June
17th
2010 PEREY
Research
&
Consul&ng 3
  • 4.
    Agenda • Primary
revenue
sources • Case
Studies
and
illustra&ons – Source – Objec&ves – Value
chain – Metrics • Second
genera&on
revenue
sources • ISMAR2010 June
17th
2010 PEREY
Research
&
Consul&ng 4
  • 5.
    Mobile
AR
Ecosystem The
Physical
World Merchants,
Brands The
Digital
World Sensors
on
Mobile
devices Mobile
AR
Industry CONTENT 

Providers/Publishers Packaging Delivery Enablers
 Providers
of
enabling
 technology June
17th
2010 PEREY
Research
&
Consul&ng 5
  • 6.
    The
four
sources June
17th
2010 PEREY
Research
&
Consul&ng 6
  • 7.
    The
BIG
brand • Part
of
a
cross‐media
 campaign
to
increase
 purchases – Be
and
stay
top
of
mind – Provide
u&lity
or
fun • Lower
costs – Increased
sa&sfac&on – Lower
product
returns • They
contract
out
projects June
17th
2010 PEREY
Research
&
Consul&ng 7
  • 8.
  • 9.
    Money
Flow Content
Adapta&on/ Merchants,
Brands Packaging Crea&on Delivery Enablers
 Providers
of
enabling
 technology This
must
not
be
counted
as
part
of
Mobile
AR
revenues June
17th
2010 PEREY
Research
&
Consul&ng 9
  • 10.
    HYPER The
LOCAL
(small)
corporate Global
trend
 •
Britain •
the
Netherlands •
United
States
 already
have
about
35
 similar
applica&ons
using
 Layar Coming
soon
 •
other
parts
of
Europe •
Russia •
Australia •
Korea
 •
Japan hGp://www.MeilleursAgents.com June
17th
2010 PEREY
Research
&
Consul&ng 10
  • 11.
    Funda
Layer
on
Layar • Layar
launch
partner
(6/09) – Show
available
proper&es – Very
aGrac&ve
user
interface
 • Objec&ves • To
show
innova&on
(PR) • Developers
of
bare
land • All
data
is
maintained
by
Funda • 95%
of
all
proper&es
in
NL • One
year
anniversary
June
18!
 hGp://www.youtube.com/watch?v=b64_16K2e08
 June
17th
2010 PEREY
Research
&
Consul&ng 11
  • 12.
    Money
Flow
(AR
Browser) Local
corpora&on (performed
development
internally) Delivery Enablers
 Providers
of
enabling
technology This
must
not
be
counted
as
part
of
Mobile
AR
revenues June
17th
2010 PEREY
Research
&
Consul&ng 12
  • 13.
    Money
Flow
(with
app) Local
corpora&on Packaging Delivery Enablers
 Providers
of
enabling
 technology This
must
not
be
counted
as
part
of
Mobile
AR
revenues June
17th
2010 PEREY
Research
&
Consul&ng 13
  • 14.
    Cultural
heritage,
Public
services,
 Source:
hGp://www.xrez.com/ June
17th
2010 PEREY
Research
&
Consul&ng 14
  • 15.
    Money
Flow Content
provider Packaging Delivery Enablers
 Providers
of
enabling
 technology This
must
not
be
counted
as
part
of
Mobile
AR
revenues June
17th
2010 PEREY
Research
&
Consul&ng 15
  • 16.
    End
users LocFinder Nearest
Tube $0.99 £1.19
(similar
apps
for
$1.99) Pocket
Universe $2.99 June
17th
2010 PEREY
Research
&
Consul&ng 16
  • 17.
    Money
Flow Content
provider Packaging Delivery Enablers
 Providers
of
enabling
 technology A
part
of
this
may
be
included
as
part
of
Mobile
AR
Revenues June
17th
2010 PEREY
Research
&
Consul&ng 17
  • 18.
    Pay
for
Layer
(End
User
pays) •
Content
provider
is
a
Layar

 

“publisher” •
60%
of
the
purchase
price
 


goes
to
the
publisher •
One
&me
or
recurring
 


(subscrip&on
service) June
17th
2010 PEREY
Research
&
Consul&ng 18
  • 19.
    Money
Flow Content
provider Layar
(packaging
 and
plaoorm) Delivery Billing
system
 provider All
of
this
is
Mobile
AR
Revenues June
17th
2010 PEREY
Research
&
Consul&ng 19
  • 20.
    Second
genera&on
revenue
streams • Adver&sing – When
there
are
sufficient
eyeballs – User
generated
content
(Social
AR) • Future – Selling
sta&s&cs
about
user
behavior
 – Deriva&ves
(%)
from
sales
within
the
mobile
AR
applica&ons June
17th
2010 PEREY
Research
&
Consul&ng 20
  • 21.
    Summary • Businesses
must
clarify
their
objec&ves • Four
sources
of
revenue – Someone
always
has
to
pay • Value
chains
 – Currently
missing
the
metrics • Sizing
of
market
should
not
include
value
of
content
or
 products – Approach
revenue
forecasts
with
cau&on!! June
17th
2010 PEREY
Research
&
Consul&ng 21
  • 22.
    COEX




Seoul,
Korea October
13‐16,
2010 June
17th
2010 PEREY
Research
&
Consul&ng 22
  • 23.
    MOBILE Augmented @ISMAR2010 Reality SUMMIT • Mobile
Magic
Wand
Workshop
@
ISMAR2009 – hGp://www.ismar‐society.org/ismar2009/mobilewand.php • Mobile
Augmented
Reality
Summit
and
Showcase
 @MWC2010 – hGp://www.perey.com/MobileARSummit/Outcomes.html • Par&cipants
will
prepare
posi&on
papers June
17th
2010 PEREY
Research
&
Consul&ng 23
  • 24.
    Want
to
find
out
more?
 AR
con'nues
what
the
Internet
began Chris&ne
Perey cperey@perey.com +41
79
436
68
69 +1
(617)
848‐8159 June
17th
2010 PEREY
Research
&
Consul&ng 24