Researching the "next billion consumers" in emerging markets through mobile technology Ben Olding - Co-founder and Chief Technology Officer – Txteagle Discussing the rise of income in the emerging markets and the implications for consumer insights. Capitalizing the massive opportunities from the demand of insights from big brands. Leveraging mobile as both a sample source and research platform. Outlining how major brands and research firms are succeeding with mobile in emerging markets.

1. Reaching the “Next Billion”
through Mobile
MRMW 2011
PROPRIETARY & CONFIDENTIAL

2. Who is txteagle?
We’re an 18-person startup whose airtime incentive platform has been integrated
into the back-end prepaid billing systems of hundreds of mobile operators
We can credit prepaid mobile accounts for:
• 70+ countries
• 200+ mobile operators
• 2+ billion consumers
… all in emerging markets.
7/29/2011 PROPRIETARY & CONFIDENTIAL 2

3. Researching the “Next Billion”
Overview
• Why be interested in emerging markets?
• Why is mobile the “right approach” to reaching the next
billion consumers?
• What are the opportunities & challenges facing mobile
data collection in emerging markets?
• What information do brands want in emerging markets?
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4. World Population & Per Capita Income
Source: Nat Geo
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5. Per Capita GDP Figures
Rising wealth in emerging markets are enabling consumers to purchase new
products; growth rates of economies extremely attractive
5 Years Per Capita GDP Growth Rates
$50 30%
$45
$40 25%
$35
20%
$30
US US
$25 India India
15%
$20 Indon. Indon.
$15 Brazil 10% Brazil
$10
$5 5%
$-
0%
2010 Growth
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6. Rise of Emerging Market Importance
Source: EU EEA
7/29/2011 PROPRIETARY & CONFIDENTIAL 6

7. So… Why Mobile?
It’s Where
the People
Are!!!
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8. Mobile Phone Ownership
100%
90%
80%
70%
US
60%
India
50%
Indon.
40% Brazil
30% Colombia
20%
10%
0%
2006 2007 2008 2009
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9. What About the Internet?
1
0.9
0.8
0.7
0.6
0.5
0.4 Mobile
0.3
Internet
0.2
0.1
0
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10. Case Study: United Nations
40,000
respondents
49
countries
33
countries
7,000
respondents
2 <$1
months million
6 total budget
months
$5
million
total budget
Without txteagle With txteagle
Delivered better data at lower cost.
Saved the UN $4M over 12 months.
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11. What Does a Mobile Strategy Look Like?
Local phone plans are not like US
• In emerging markets, 100%
phone subscriptions are 90%
pre-paid 80%
• No contract 70%
• Free to receive incoming 60%
calls, texts, etc. 50%
• Constantly adding small Post-paid
40%
amounts of airtime from Pre-paid
30%
kiosks
20%
10%
0%
Small amounts of airtime =
electronic cash
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12. What Does a Mobile Strategy Look Like?
Anonymity makes pre-screening more involved
• Phones more common
than banking
• Credit cards growing, but
nothing like phone adoption
levels
• No Experian database to
look people up in
• Even bank accounts are “The Banker in
becoming mobile-centric in Your Mobile”
effort to grow customer
Barclay’s India advertising
base
campaign for mobile-centric
banking
7/29/2011 PROPRIETARY & CONFIDENTIAL 12

13. What Does a Mobile Strategy Look Like?
UI Challenges: Handsets Vary in Emerging Markets
Smart Phones (Rare) Feature Phones (Common) Low End Handset (Base)
Restricts question types as well as survey length…
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14. Mobile in Emerging Markets
• Great source of people
• Great cross-population incentive for people
• Solid pre-qualification platform
• Basic data collection platform
• Need to limit to 5-10 questions
• Questions ideally “multiple choice” style
• Cannot think in terms of smart-phones / large screens / touch
screens
• Possibly a way to drive people to better interface?
• Full browser Internet, focus groups, phone interview, face-to-
face, etc.
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15. What are Brands Asking For?
• Basic attitudes and opinions
• How do people make purchasing decisions / what are their
perceptions of various brands
• Metrics, metrics, metrics
• Distribution channels are much looser outside US, Europe,
Japan
• Advertising more difficult to measure
• Looking for trends over time: are we improving? Why?
• Customer access
• How can we find & talk to our current customer base? Who is
buying our product today?
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16. Questions / Discussion
PROPRIETARY & CONFIDENTIAL

17. Presented at:
Market Research in the
Mobile World
2nd International Conference | July 19 & 20, 2011 Atlanta
Organized by: Thank you to sponsors:
LinkedIn Group: Mobile MR
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