thinkLA Mobile BreakfastThursday, June 16, 2011

Event & Keynote Introduction

thinkLA Mobile BreakfastMaster of Ceremonies

Paul Santello SVP, Brand Sales & MarketingEvolve Media

Co-Founder, Chairman, CTO• Creator of #1 voicemail technology worldwide

• Sold to Comverse for $843 million

Co-Founder, Chairman, CEO• Creator of world’s largest music database

• Sold to Sony for $260 million

Founder, Chairman, CEO• Definitive source of real-time answers

• Provided over a billion answers so far

• Fastest-growing Q&A company

Keynote Presentation: Scott A. Jones

Scott Jones: Pioneering Technologies at Work & at Home

MTV Cribs Awards Available on iTunes

Visit http://on.mtv.com/JonesCrib to see Scott’ crib!

MTV Cribs Awards: A Decade of Cribs - January 2010

• WINNER: Crib of the Decade

• WINNER: Best Home Theater

thinkLA Mobile Breakfast

Keynote PresentationScott A. Jones

Thursday, June 16, 2011

Q: What is ChaCha anyway?

#1 Real-time Answers

1+ Billion Questions ChaCha’s answered

3+ MillionAnswers provided to users every day

25 Million Monthly unique users

About ChaCha’s Mobile Answers

View this video here: http://bit.ly/ChaChaMobile

ChaCha Answers on Mobile

Win a working with…

What was the final score of the NBA Championship game?

9

Dallas Mavs 105, Miami Heat 95 on 6/12. ChaCha on.

Mobile Web Mobile App Mobile Messaging

Some of Our Brand Partners

“ChaCha was the perfect partner for our launch. Viewers want to engage with our content and talent in unique, new ways. This provided a completely immersive,

cross-platform experience.”

Cameron Death, Sr. VP & GM NBC Universal Digital Studios

10

Q: Does advertising on mobile phones matter?

Mobile Subscribers

Satellite TV Subscribers

Cable TV Subscribers

TV Households

Internet Access

280

20

221

65

125

In MillionsSource: Lifestyle Wireless, 2011

Mobile is #1 in Audience and Reach

Source: Morgan Stanley, April 2010, Global Projection

Mobile Web will surpass ‘tethered’ usage within 3 years

Internet users in millions

Mobile vs. Desktop Internet User Projection

Desktop versus Mobile: Different Animals

SolitaryFixed location

30 minutesSift through resultsFocused on desktop

Often Research-oriented

SocialOn the go30 secondsNeed an answerMulti-taskingTimely, contextual, personal

topics

Mobile Users Express Immediate Intent

Vs.

Understanding Mobile Information Needs – October 2010 – Church et. Al.

Mobile Search Users Are Impatient

Large Scale Study of European Mobile Search Behavior – 2008 – Church et. Al.

80% report frustration with mobile web due to speed, too many clicks, and too much

irrelevant content.-Qualcomm

- 2010

< 3mins

15 +mins

80% Shorter Search

Session

&

80% Lower CTR

Smartphone Users Multitask

I see search moving away from statelessness to something more resembling a conversation.

- Peter Norvig Google Director of

Research

Mobile is Conversational & Personal

19

Desktop Experience Does NOT Transfer to Mobile

How do over 40,000

results look on a mobile

phone?

20

Answers vs. Results - Which Would YOU prefer?

How many licks does it take to get to the center of a tootsie pop?

Engineering students from Purdue University reported that their licking machine, modeled after a human tongue, took 364 licks. Source: Tootsie.com

vs

Answers Results

Share of Web Traffic Coming from Mobile Devices

Entire Web

Global StatCounter, comScore qSearch, Google Analytics Mobile – May 2010 - May 2011

Web and Mobile are Complementary

Google Inside Search, May 2011

Google Inside Search, May 2011

Mobile & Desktop Inversely Related Throughout Day

Smartphone vs. Feature Phone Usage

comScore MobiLens – March 2011

Nielsen MarketSight – Q2 2011

65%

37% of US mobile subscribers have smartphones now

Smartphone Penetration Accelerating

Smartphones

63% 37%

Other 2%

13%

4%

10%

9%

FeaturePhones

Nielsen MarketSight – Q2 2011

Smartphone Adoption Surged 12% in 6 Months

• Some early-adopter smartphone users do NOT have data plans

• Of mobile users who have data plans, 23% consume small amounts of data

• The top 10% of ‘super users’ consume 90% of the data

• Android and iPhone users consumer 2x more data than other phones

Sources: Nielsen Marketsight and Nielsen Company, Customer Value Metrics, Single Line Accounts – May 2011

Smart? Phones

LBS has Reach Challenges

2804/12/2023Source: Pew September

2010

% of U.S. population

4% Use LBS

24% use apps

35% have apps

71% use SMS

82% use cell phones

Only Some Apps Are Important

TechCrunch / Localytics – 3Q 2010

Smartphone Users More Likely to Text and Text More Often

Source: Mobile Media Marketplace Q2

Nielsen MarketSight – Q2 2011

“What started once as a 'teenager thing' has now

reached the total population…

“Messaging is the broadest reaching communication

platform on the planet.”

~ Tomi Ahonen

Adoption

Adoption

891SMS Per

Month

705SMS Per

Month

SmartPhones

FeaturePhones

Mobile Marketing Options and Adoption

31

5%

3%

7%

5%

3%

3%

43%

29%

27%

26%

24%

17%

15%

7%

14%

5%

9%

6%

15%

28%

23%

24%

24%

20%

19%

16%

9%

9%

3%

8%

8%

2%

2%

1%

1%

1%

2%

2%

2%

2%

1%

5%

Mobile websites

Mobile apps

Mobile messaging/SMS

Mobile display ads (CPM or CPC)

Mobile search

Mobile rich media apps

Mobile video

2D "smart" barcodes

Mobile coupons

Location-based services

Interactive voice response

Mobile gaming

Proximity - Bluetooth, RFID

Near field communications

paymentsSource: Association of National Advertisers, 2010

MORE THAN 3 YEARS

1-3 YEARS

LESS THAN 1 YEAR

Integrated Approach to Mobile Marketing Key

• Personalize the User Experience with Context

• Make sure you’re represented across all mobile media

The study used norms developed in online ad testing as a benchmark to draw conclusions around the performance of advertising on mobile devices. InsightExpress compared the two using InsightNorms, the company’s normative database containing 1500 online ad effectiveness campaigns and 150 mobile ad effectiveness campaigns. Mobile InsightNorms are based on InsightExpress’ flagship mobile brand effectiveness solution, Mobile AdInsights, which employs a test/control design to measure the brand impact of mobile advertising campaigns.

Mobile is Outperforming Online in Every Measure

Are Advertising Dollars Being Spent Wisely?A

vera

ge

Wee

kly

Ho

urs

Sp

ent

vs.

% o

f A

d $

$’s

20% of Ad $$

0.8% of Ad $$

6.3% of Ad $$ 6.3% of

Ad $$

5.7% of Ad $$

eMarketer – May 2011

Mobile is Lagging = GIANT Opportunity43% of

Ad $$

35

Smaato, mobileSQUARED & Lightspeed Research, Nov 2010

Mobile Marketing: It’s Still Very Early

4%

10%

17%

2009 2010 2011 2012 2013 20140

500

1000

1500

2000

2500

3000

MessagingDisplaySearchVideoTotal

US Mobile Ad Spending = 2.5B in 2014

CAGR = 44%

eMarketer, September 2010

thinkLA Mobile BreakfastThursday, June 16, 2011

Thank You!!