Everything you need to know about the use of mobile, the different mobile platforms, mobile retail and m-commerce, banking and media consumption. Numbers specifically for Belgian population

1. FREDERIK DE BOSSCHERE
Strategist, In The Pocket
#SoMITP

2. STATE OF MOBILE
IN NUMBERS

3. “CURB YOUR ENTHUSIASM”
—

4. “NUMBERS ARE COMING”
—

5. #SoMITP
Methodology
• Representative set of apps by ITP.
(n = 1.2 mio. app users, 1.7 mio. app downloads, …)
• Field survey.
(n = 160, representative spread across gender / age groups)
• Other research materials.
(Flurry, comScore, …)

6. #SoMITP
Topics
• Mobile platforms
• Mobile usage
• Industries: retail, media, banking
• Tech: wearables
• In conclusion

7. STATE OF MOBILE
PLATFORMS

8. In The Pocket
“PLATFORM WARS”
—

9. #SoMITP
THESTATEOFMOBILEPLATFORMS
iOS users are more engaged with apps.
iOS users open an app 1.27 times more often than that
same app on Android. But an app session on Android
lasts 1.55 times longer.
Share of engagement in popular apps (BE)
59% 41%
THE
iOS users open an app 1.27 times more often than that
same app on Android. But an app session on Android
lasts 1.55 times longer.
Sources: Usage statistics of selection of In The Pocket apps for Q3 2015, representing over 1.3 mio users.
U.S. Smartphone Subscriber Market Share, July 2015 , comScore
Compared to the international OS market share?
Android
iOS
Windows
Others
51,4% 44,2%
2,9%
1,4%
48
Internationally?

10. #SoMITP
ickly on iOS.
Sources: Sampled from 92.874 - 226.674 users of HLN app, measured during one week, counting from 6 months after release
date / Device statistics of selection of ITP apps for Q3 2015, representing over 200 devices and 1.2 mio smartphone users.
Most popular smartphone families in Belgium.
iPhone
50.4%
Samsung Galaxy S
12.12% Samsung Galaxy S Mini
4.39%
Sony Xperia
1.92%
Nokia Lumia
1.23%
OnePlus
1.20%
Google Nexus
0.96%
HTC One
0.68%
Motorola Moto
0.54%
Huawei Ascend
2.23%
51

11. #SoMITP
Share of Android vs. iOS app downloads.
In Belgium, Android has finally closed the gap with iOS.
20%
40%
60%
80%
Q3‘11 Q4‘11 Q1‘12 Q2‘12 Q3‘12 Q4‘12 Q1‘13 Q2‘14Q2‘13 Q3‘14Q3‘13 Q4‘14Q4‘13 Q1‘15Q1‘14 Q2‘15 Q3‘15
52%
IOS ANDROID

12. #SoMITP
And internationally?
Google Play download growth is mostly driven by smartphone ownership
growth in emerging markets and success of budget Android devices.
App Downloads by Store App Revenue by Store
50
100
150
200
+85%
+70%
available on the
iOS App Store
Get it on
Google play
Get it on
Google play
available on the
iOS App Store

13. #SoMITP
Adoption speed of new major
iOS/Android releases.
Most popular smartphone families in Belgium.
iPhone
Feb 2014 Apr 2014 May 2014 Apr 2015 Jun 2015
Percentage of BE users that have updated 6 months after a major release.
20%
40%
60%
80%
100%
iOS7
86%
iOS8
71%
ANDROID
4.3
23%
ANDROID
4.4
14%
ANDROID
5.0
18%

14. #SoMITP
Which versions to support?
Snapshot of OS versions 1 month after release of iOS9 and Android 6.
4
5.0.X
5.1.X
6
53%
1,5%
14%
27%
5%
7
8
9.0.X
9.1.X
18%
6%
26%
44%
6%

15. STATE OF MOBILE
USAGE

16. #SoMITP
Mobile has surpassed desktop usage.
We spend 157% more time on digital devices as compared to 2010.
+394%
SINCE2010
+37%
SINCE2010
DESKTOP
44%
SMARTPHONES
42%
TABLETS
14%

17. #SoMITP
People spend over 3.5 hours per day
on mobile devices.
20%
158
162
Q1 ‘13
Q2 ‘14
Q2 ‘15
14%
10%
MOBILEBROWSER APPS
220
20%
3
4
5
14%
10%
-50%
2
+35%
220
Minutes per day on mobile:

18. #SoMITP
FACEBOOK 19%
CHROME 4%
SAFARI 6%
OTHERS 10%
NEWS 2%
PRODUCTIVITY 4%
MESSAGING/SOCIAL 12%
YOUTUBE 3%
ENTERTAINMENT 17%
GAMING 15%
- 17%
+12%
+3%
UTILITIES 8%
APPS BROWSER
220
minutes

19. STATE OF RETAIL

20. #SoMITP
THESTATEOFRETA
Consumers are very selective of
retailer apps they download.
93% of consumers only have 3 shopping apps or less.
62% don’t have any.
20%
40%
60%
80%
0 1-3 4ORMORE
Amount of retailer apps installed on phone or tablet
All 16-24 25-34 35-44 45-54 55-64
Consumers are very selective
of shopping apps they download.
93% of consumers only have 3 shopping
apps or less.
62% don’t have any.
Half of consumers aged between 16 and 34
use (one or more) shopping apps.

21. #SoMITP
Shopping apps are
infrequently used.
Consumers spend less than 5% of their
mobile time in shopping apps.
More than half of these apps are used once
a month or less.
8%
DAILY
2%
MULTIPLE
TIMES PER DAY
1%
DON’T KNOW
19%
LESS THAN
MONTHLY
24%
MONTHLY
33%
WEEKLY

22. #SoMITP
Mobile commerce is surging, growing 53% year-over-year
(Q1 2015 vs. Q1 2014). It outpaces e-commerce growth (9%).
M-commerce is growing rapidly,
but there is a monetization gap.
Share of onine retail browsing vs spending by platform
41%
85%
59% 15%
44%
monetizationgap
20%
40%
60%
80%
% of time spent % of spending
DESKTOP MOBILE
Share of online retail browsing vs. spending, by platform:
Mobile commerce is surging,
growing 53% year-over-year.
It outpaces e-commerce growth (9%).
But there is
a monetization gap.

23. #SoMITP
People are getting familiar
with mobile commerce.
More than half of Belgian consumers have
completed an e-commerce transaction
entirely on mobile.
85% of those who have, have done so more
than once.
THE
Half of consumers between 16 and 44 regularly buy
(and pay for) things on their tablets and smartphones.
Source: In The Pocket State of Mobile field survey
All
16-24
25-34
35-44
45-54
55-64
20% 40% 60% 80%
NEVER ONCE MULTIPLETIMES
16

24. Find out more
—
About the future of retail
and m-commerce, in our
interview with Jan Huysmans,
director Belgium for bol.com.

25. STATE OF MEDIA

26. #SoMITP
“People don’t want to
pay for digital content.”

27. #SoMITP
Most people really don’t.
But: many do.
Unwillingness to pay for digital content is a generational thing:
60% for millennials, 67% for 35-44,
and as high as 73% for those older than 45.

28. #SoMITP
58%
18%
24%
MUSIC 42%
Half of ‘16-34’ would pay for digital music, compared to 1 in 3 of ‘45-64’.
Belgians between ‘35-44’ represent the highest number of people that
are very willing to pay for music: over 1 in 3.
NOTORHARDLY SOMEWHAT VERY

29. #SoMITP
THESTATEOF
to content?
SERIES, FILMS & TV 34%
35% of ‘16-44’ is very willing to pay for digital
access to series, films, TV, …
80% of ‘45-64’ is not at all (or hardly)
willing to pay.
66%
10% 24%
Digital set-top TV & VOD (Telenet, Proximus, etc.)
not included.
NOTORHARDLY SOMEWHAT VERY

30. #SoMITP
NOTORHARDLY SOMEWHAT VERY
NEWSPAPERS
&ARTICLES 32%
Willingness to pay for digital newspapers
isn’t tied to age.
Only the group of ‘45-54’ stands out, with
41% willingness to pay.
Belgians between ‘35-44’ represent the highest number of people that
are very willing to pay for music: over 1 in 3.
68%
12%
20%
75

31. #SoMITP
NOTORHARDLY SOMEWHAT VERY
APPS & IN-APP
PURCHASES 24%
Only 1 in 4 of Belgians is willing to
pay for apps (or in-app purchases).
It’s a generational thing: 1 in 3 of
those aged below 35 buys app, less
than 1 in 5 of those aged above.
“People don’t want to pay for digital content.”
Turns out most people really don’t. But many do.
76%
9%
15%

32. In The Pocket
Find out more
—
About the future of media
and the impact of mobile,
in our interview with
with Christian Van Thillo,
CEO of De Persgroep.

33. STATE OF BANKING

34. #SoMITP
54% of people use
mobile apps for banking.
80% of mobile banking app users
aged 25 - 44 age those apps
weekly or more frequently.
THESTATEOFBANKING
5%
10%
15%
20%
25%
30%
35%
40%
45%
16-24 25-34 35-44 45-54 55-64
DAILY WEEKLY MONTHLY
How many people of different ages use banking
apps and how often do they use them?
54% ofpeople
usemobileappsforbanking
TOTAL
44%
TOTAL
75%
TOTAL
53%
TOTAL
66%
TOTAL
34%

35. #SoMITPWhich channel do clients use more frequently?
For daily banking, apps have surpassed desktop.
How regularly do people use banking apps
and banking websites?
20% 40% 60% 80%
Apps
Desktop
DAILY WEEKLY LESSOFTEN

36. #SoMITP
Which channel do clients use more frequently?
For daily banking, apps have surpassed desktop.
Consumers aged 25 to 34 already use their banking
app(s) more frequently than laptop/desktop.
20% 40% 60% 80%
MOBILE>DESKTOP EQUALLYFREQUENT DESKTOP>MOBILE
ALL
16-24
25-34
35-44
45-54
55-64
Sources: In The Pocket State of Mobile field survey 39
Consumers aged 25 to 34 already use their banking
app(s) more frequently than laptop/desktop.

37. STATE OF
WEARABLES

38. “MUCH ADO ABOUT WEARABLES”
—

39. #SoMITP
How many people do fitness & health tracking?
NO,DON’TSEEWHY
54%
NO,BUTIMIGHT
13%
SMARTPHONE
24% FITNESS-BAND
8%
1%
SMARTWATCH
1 in 3 does fitness & health tracking.
1 in 10 has a wearable.

40. #SoMITP
The wearables market is growing explosively.
million
units sold
Q2 ‘2014 Q2 ‘2015
24,3%
19,9%
17,1%
3,9%
3,3%
Fitbit
Apple
Xiaomi
Garmin
Samsung
1
2
3
4
5
5
10
15
20
+223%
5.6M
18.1M

41. #SoMITP
Percentage of top 100 apps (per category) that have Watch apps
Which apps should we expect?
PRODUCTIVITY
WEATHER TRAVEL
FINANCE
LIFESTYLE
NEWS
SPORTS
NAVIGATION
HEALTH & FITNESS
29,3%
20,3% 19,7% 19,3%
17,7%
16,7%
15%
14%
12,7%

42. IN CONCLUSION

43. “BUT WHAT DOES IT ALL MEAN?”
—

44. #SoMITP
You can’t beat them. Join them.
• People spend over 3 hours/day on their smartphones, mostly in
apps. Most of that app time won’t be for your app though …
• Usual suspects: Facebook & other social/messaging apps,
entertainment & games.
• So if it’s about getting your brand content out there, or striking up
a conversation with your customers: see if you can leverage the
already popular apps with a meaningful presence.

45. #SoMITP
So why still build apps?
• The mobile browser becomes side-lined. It’s an ephemeral, ad-hoc
tool. A starting point. Apps are key to build a primary relationship
with your user.
• Our smartphone is our life companion. Think how you can re-
imagine your products or services on mobile devices. What’s your
place in this modern Swiss Army knife?

46. #SoMITP
So why still build apps?
• Leverage better UX or technical possibilities of apps to smoothen
the user or customer journey.
Mobile payments, heightening security, granular messaging,
location-based servicing, …

47. #SoMITP
Sticking to smartphones won’t suffice.
• Wearables (fitness bands and smartwatches) show every sign of an
exploding market. A lot of people will have them, soon.
People might laugh. But people laughed at smartphones too. Even
cellular phones were mocked.
• Smartwatches offer more touch points with your users, but you’ll
have to re-think your value proposition. It’s a different device, with
different use-cases.

48. #SoMITP
Devices mean data.
• Wearables and health tracking will offer a lot of interesting data
about users. Learn to leverage these new data-sets through
HealthKit, Google Fit, etc. Give meaning to this data.
• Beacons will do the same, but for user location. Geo-CRM, you’re
welcome.

49. #SoMITP
Thank you. Let’s have drinks.