Presentation from Chinese European International Business School "Digital Media Forum" in July 2007 .... just found it again so thought I'd share...

1. Exploiting New
Digital Media
Frontiers
July 2007
Stefan Rust July 2007
1

2. “All old-media dogs are going to have some more
sleepless nights”
Barry Diller, CEO IAC/InterActiveCorp
“Media company CEO's without a CTO on their
staff should prepare to be acquired or broken
up - they are fighting the future rather than
monetizing it.”
Chief Executive at a Fortune 500 company
“The Impact of Technology is going to be Fundamentally
important in how companies are able to explore and
exploit resources”
Jorma Ollila, Chairman Shell & Nokia
2

3. 3

4. Stakeholders in a Digital World
Content
Owners Publishers Carriers / ISP’s Users
Tier 2
Tier 2
Tier 1
Developers
Tier 1
BRANDS & MEDIA AGENCIES
Technology and Software
4

5. Changing Economics
1933 2006 1953 2006
Production USD 670K USD 207M Cost of USD 375K in USD 8K
Costs (10M in today's building a today's money
money) 2 camera
TV studio
5

6. Internet Usage
6

7. How do you stand out?
“Purchasing
decisions are heavily
influenced by
recommendati
ons from family
and friends ”
7

8. Services Used
Source: McKinsey
8

9. Volume & Scale
• Most of the world will
experience the
Internet through a
mobile phone
• Mobile phones out
ship PCs 10 to 1
Innovating since 1982: Best product lineup ever
9

10. Mobile Youth
“Since the mid 90’s
mobile spending
has replaced
~$500 billion
of spending on
other youth
products”
Mobile Youth 06
10

11. Asian Youth
The average 15-24 year old Asian is
wired to new media
• 3 hours instant messaging a day
• 1½ hours on emails a day
• 1.4 hours participating in various online community activities
• accesses the internet 4.8 times a week (66% use it on a daily basis)
• 45% accessed a personal homepage
• 14% of young Asians participating in online gaming
an avid consumer of all things digital
• 46% own a desktop computer or laptop
• 19% have their own TV game console
• 16% have their own digital still camera
• 56% own a mobile phone
• 34% own an MP3 player
• 48% viewing or contributing to a blog in the past 30 days
Synovate, 2006
11

12. Asian Mobile Youth
Number of youth without mobile phones (millions)
600
500 South Asia &
2004
400 Greater China
2005
300
2006
200
2007
100
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Mobile Youth, 2006
12

13. Data more relevant than Voice
13

14. Mobile Entertainment
Gambling, Adult, Games, TV
in Billion USD
CAGR 28.7% 77
80
70
60 47
50
40
30 17
20
10
0
2006 2009 2011
Juniper Research, 2006
14

15. Asian Mobile Entertainment
Premium Content in 2011
South Korea Thailand China
Taiwan 2% Australia 14%
10%
2% 2%
Singapore
1% Hong Kong
Philippines 1%
1%
New Zealand India
0% 2%
Malaysia
1% Indonesia
2%
USD 32.9B Japan
62%
Games, Music, Video, Ringtones, Icons, Adult, Gambling, Information, email,
15 Frost & Sullivan, 2006

16. Open Mobile Networks
16

17. Open Mobile Networks
17

18. Women on Mobile
18

19. Participation Age
19

20. Participation in the Mobile
20

21. Advertising
Control
• 80% think it is important they can opt in
and out of advertising and how much
advertising they receive
Relevance
• 47% only want to hear about products and
services that are relevant to them
Quality
• consumers are resistant to low quality or
repetitive advertising
21

22. Response Rates
“Mobile Community Advertising
click through rates now stand at
around 5% compared to 02.-
0.5% for Internet based
Advertising”
ABI Research
22

23. Local Content
“Subscribers in most Asia-Pacific
countries have strong
preference for local
content, which creates impetus
for the fast-growing mobile
content market”
Janice Chong, Frost & Sullivan
23

24. New Rules
• Consumer is in charge
• Speed is everything
• Partnerships are necessary
• Opportunities are vast and massive
• Innovation in technology, business models
& implementation
• Open Networks and Environment
• Value & Trust
24

25. 1 Book
25

26. THANK YOU
stef@catalist.mobi
www.catalist.mobi
http://stefanrust.blogspot.com
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