Mobile Taking Over the Internet

It’s that time of year when famed Morgan Stanley analyst Mary Meeker gives her annual state of the internet presentation. During this year’s Web 2.0 Summit in San Francisco, Mary presented some eye-popping stats, including the state of mobile (Apple and Google () are winning), the most under-monetized asset in online advertising (Facebook) and even the secret sauce of Steve Jobs (he has the mind of an engineer and the heart of an artist).

Some of Meeker’s more revealing analysis:
•    46% of Internet users live in five countries: the USA, Russia, Brazil, China and India.
•    There are 670 million 3G subscribers worldwide, 136.6 million in the U.S.
•    iOS devices reached 120 million subscribers in 13 quarters, far faster than Netscape, AOL or NTT docomo’s growth rates.
•    Nokia and Symbian used to own 62% of the smartphone market (units shipped). Now it’s only 37%, mostly due to Android () and iOS.
•    The average CPM for social networking sites is at only $0.55. Meeker thinks this will increase and normalize in the next few years. She also believes that inventory on Facebook is one of the most under-monetized assets on the web.
•    It took e-commerce 15 years to get to 5% of retail. Morgan Stanley predicts mobile should get to that same level in five years.
•    Streaming video is up to 37% of of Internet traffic during traditional “TV hours.” Netflix is the biggest contributor to this, followed by YouTube.
•    Seven of the companies that were in the top 15 publicly traded Internet companies in 2004 are not in that list in 2010.
•    Interest payments and entitlement spending is projected to exceed government revenue by 2025. In other words, the U.S. government is facing a real financial crisis soon.

A pdf of the entire presentation is below:

Internet+Trends+Presentation

11 Mind-Blowing Mobile Marketing Infographics


From HubSpot, a very impressive collection of infographics showing the rise of the mobile internet and all the implications.

Apple Face Time Commerical: Perfect


Apple once again demonstrates what an intelligent and intuitive marketer they are, not just in terms of product development but in advertising…yes, advertising. This is a beautiful spot for Face Time on iPhone 4.

In this almost two-minute video, they show you BENEFITS of a feature. And, they make it seem like Apple just invented video chat, which has been around for years. But, in a way, they have invented it because video chat has never been so mobile.

What’s a benefit, you ask? You know, those reasons people actually buy something in the first place, not to be confused with features, which marketers take as the reasons people buy. Do people want a better camera or do they want to take better photos? Do people want a better smartphone or better, more intimate communication?

Other manufacturers in the consumer electronics category would have laden this ad with features, FEATURES and MORE F-E-A-T-U-R-E-S plus a ton of legal disclaimers taking up the last third of the spot. Reminds me of the brilliant and hilarious YouTube video entitled, “If Microsoft Designed the iPod packaging”.

Apple gets humans. They know we like beauty. They know sometimes dads travel for business and at the end of the day, sitting in some lonely hotel room, want to be reminded of why they go through all this in the first place and want to connect with their family. They know sometimes grandparents can’t be there for the graduation but want to experience it anyway. I got chills when the military dad watches the ultrasound of his unborn baby, while it’s happening. Do you notice the tear in his eye? I have to admit, I got one in mine.

This is a beautifully shot piece. It taps right into your emotions without a word. Apple gets humans. They know we communicate a lot with just our expressions and gestures. You can feel the reverence for the human experience. Maybe I’m too much of a fan of Apple but I don’t think so. I just admire the way they respect me, they anticipate me and understand that what I’m looking for is not a better widget but a better experience with other humans. How nice.


via Apple Face Time Commerical: Perfect.

Think Local Search, Social Networking and Mobile Gaming on Mobile Devices


Compete just released it’s Smartphone Intelligence survey (redundancy there) and there’s some interesting insight into consumer behavior trends mobile is enabling. Think Local Search, Social Connectivity and Gaming.

Search

According to the survey, 1 in 3 smartphone owners has called or stopped in a local business after finding it using a local search app. In just first quarter, over a third of Android and iPhone owners discovered at least two new businesses that they were not previously aware of thanks to using these local search apps.

Social

Thirty-three percent of smartphone Twitter users post tweets primarily via their smartphones. Of those accessing Facebook via their smartphones, they’re reading news feeds, posting status updates, replying to messages and posting photos.

Gaming

iPhone owners download and play games more than any other handset owner. ..37% play games of some kind at least daily.

Implications:

Anyone with physical locations would be wise to find ways to make their presence known to smartphone users. If you’re really smart, you might want to think about a way to combine local search, social and gaming all in one…like a Foursquare or Gowalla.

via Think Local Search, Social Networking and Mobile Gaming on Mobile Devices.

Apple May Sell 1 Million IPhones in New Model’s Debut


According to BusinessWeek this morning, Apple could sell a record 1 million iPhone 4G’s today. “Could”? They already sold 600,000 on pre-order, crashing AT&T’s servers (will those guys ever get it right? You’d think a big company like AT&T could handle network issues with 600,000 people at once…but, I digress).

Personally, I already have someone lined up to buy my 3GS iPhone for a tidy sum. They get it for much less than they could from Apple because they’re going to jail break it and run it on another carrier. Me…I get into a brand, spanking new iPhone without spending a dime (well, kinda…that’s how I position it to the wifey anyway).

Since AT&T won’t be serving walk-in customers til Tuesday, there’s no use standing in line there today. If you haven’t pre-ordered the iPhone, cue up in line with all the other maniacs at your friendly, neighborhood Apple store.

On another note, I’ve been running the new iOS since Tuesday night and it sure seems snappier. Lots of cool new features but I really like organizing my apps by category and freeing up that valuable screen real estate.

Happy shopping!

Mobile – It's Not Just For Out-Of-Home Anymore 06/22/2010


Do you graze on Twitter on your iPhone while you’re watching Friday Night Lights? Do you post on Facebook from your Droid during American Idol finals? If so, you’re not alone.

According to a new study of smartphone users by media agency Initiative, 60% of mobile web usage is taking place at home, while people are watching TV, listening to the radio or right before the nod off to sleep.

Nearly a third of smartphone users start their day connecting to the internet on their mobile device and 45% end their day that way.

MediaPost Publications Study: Mobile �

via Mobile – It’s Not Just For Out-Of-Home Anymore 06/22/2010.

Apple Aims to Make Mobile Ads Competitive to TV

This is a good post by John Gruber, of Daring Fireball, on the shots Jobs fired across Google’s bow with the iPhone OS 4.0 announcements Thursday.

His main point about iAds I agree with. On mobile devices, people are using apps, not search. The browser is, for the most part, too slow and clunky to peck around on. Once you go apps, you never go back to the browser and search…if there’s an app alternative.

iAds will allow creatives, agencies and developers to create very media rich ad experiences within the app. You don’t have to click on a banner for an ad in the app then have the browsers launch (like AdMob and other’s do now). You click on the ad and it launches in a layer over the existing app you’re in. And, the ad you get is full of richness and experience. It will be better than TV advertising in that it’s interactive. It will be better than interactive, in that it can incorporate a lot of rich media and use location, gaming and more.

To me, this is a very rich opportunity for building a new kind of agency of the future. When you think about it, if you could deliver the emotional and artistic impact of a very well made TV ad along with all the richness of interactivity, geolocation and instant purchase, that’s a powerful combination.

He who has ears to hear, let him hear!

Daring Fireball: Reading Between the iPhone OS 4.0 Lines.

via Apple Aims to Make Mobile Ads Competitive to TV.

Apple Now Reinvents Advertising

Jobs and Co announced the details of the iPhone 4.0 OS today and there are a number of features that will impact marketing. This video is long but well worth watching.

The most revolutionary change, from an advertising standpoint, is iAds, which allows for the development of incredibly interactive and yet emotionally engaging ads…it’s like combining the emotion of TV advertising with the power of internet interactivity…but oh, ya, it will know who you are, where you are and all kinds of other info about you that a computer doesn’t know.

Apple – QuickTime – April 2010 Apple Special Event.

Could Apple Actually Beat Google in Mobile Advertising?

It will be interesting to watch these details play out. The announcement tomorrow of iPhone 4.0 is slated) pun intended) to reveal what Apple has up it’s sleeve in terms of a mobile advertising platform. I’ve been saying for some time, the mobile marketing wars will boil down to these two platforms for the most part. And, remember in web 2.5b (or whatever the mobile internet ends up being called) the ascendancy� of the new guy cannot be overestimated. Microsoft had a huge share of worldwide browser use until search came along. One player, Google, dominates search. It’s not inconceivable that one player, Apple, could do the same in mobile.

Could Apple Actually Beat Google in Mobile Advertising?.

Mobile Apps Could Swallow All Computing

Nice article in USAToday on the impact apps are having in our lives. Why are they taking off so quickly and becoming so pervasive? As the article points out, apps become the true bridge between the digital world and the real world, in a way nothing ever has. Time for marketers to wake up to what these little tools can really do to build enduring connections, communities and conversations with their consumers, customers, even their own employees.

It’s an app world, and it could swallow all computing – USATODAY.com.