BUZZMEDIA Labs - Mobile Millennials 2012

MOBILE MILLENNIALS DEVICE OWNERSHIP & APP PREFERENCES OF U.S. ADULTS AGED 18-‐24 Q1 2012

BACKGROUND & METHODOLOGY

BACKGROUND

BUZZMEDIA Labs partnered with Research Now to explore the digital habits of U.S.

young adult consumers (aged 18-‐24) who currently own a Smart Phone or Tablet.

METHODOLOGY

•  Fielded in Q4 2011 and had 510 total respondents

•  Equally weighted between males and females

EMERGENCE OF THREE CONSUMER SEGMENTS

Smartphone Soloists Tablet TrendsePers Mobile Mavens

BUZZMEDIA “MOBILE MILLENNIALS: DEVICE OWNERSHIP & APP PREFERENCES OF U.S. ADULTS AGED 18-‐24” Q1 2012

Only own a Smartphone Only own a Tablet Computer Own Smartphone & Tablet

KEY FINDINGS

MOBILITY = EMPOWERMENT •  Mobility empowers millennials to connect, communicate & consume content everywhere

•  Young adults use devices to go online and enjoy benefits of mobility to access content

•  Millennials use Smart Phone or Tablet (someames both) to connect, communicate & consume

MORE DEVICES = MORE CONSUMPTION •  Tablet Trendsebers & Mobile Mavens download apps and stream more entertainment content

•  Tablet Trendsebers & Mobile Mavens more likely to stream entertainment content

•  Tablet Trendsebers & Mobile Mavens 66% more likely to have 21+ apps on their device

ENTERTAINMENT RULES PAID APP LANDSCAPE •  Gaming, Pop Culture & Social Networking rule the paid app landscape

•  74% of respondents indicated games are their favorite apps

•  Music, Social Networking & entertainment (movies & TV) apps rounded out the top 4

•  Proving that life isn’t all fun and games, producavity apps came in 5th


MOBILE CONTENT CONSUMPTION Social Media & Communicaaon account for nearly half of mobile web consumpaon.

Among content, News & Entertainment are the most consumed categories.

Tablet Trendsebers and Mobile Mavens spend more ame-‐consuming entertainment

content (21% more likely) and playing games (55% more likely)

than Smartphone Soloists

News 11.5% Entertainment 8.9%


23.6%

21.9%

12.1%

8.9%

0

10

20

30

40

50

60

70

Content

Search

Email/IM

Social Media

NUMBER OF APPS ON DEVICE Nearly 40% of respondents have 20+ apps on their device.

Men, tablet owners & mulaple device owners are more likely to have 21+ apps.

61%

39%

1-‐20 Apps 21+ Apps

Tablet Trendsebers and Mobile Mavens are 66% more likely to have 21+ apps on their device than Smartphone Soloists.

Men are 25% more likely to have 21+ apps on their mobile devices than women.


APP USAGE: HOURS PER WEEK

42% of respondents spend 6+ hours per week using downloaded apps.

7% of heavy app engagers spend over 15 hours per week using downloaded apps.

48%

42%

1-‐5 Hours 6+ Hours

7.2% of respondents spend 15+ hours per week using apps

Tablet Trendsebers and Mobile Mavens are 41% more likely to spend 6+ hours per week using apps than Smartphone Soloists.


HOW MANY APPS ARE PAID? Nearly half (46%) of respondents said that between 1-‐20% of their downloaded apps were paid apps. Another 17% of app owning respondents indicated that over 20% of their download apps were paid.

37%

46%

17%

Do Not Pay For Apps 1-‐20% of Downloaded Apps are Paid 21%+ of Download Apps Are Paid

% OF RESPONDENTS THAT PAY FOR APPS


WHO PAYS FOR APPS? Owning a tablet or mulaple devices makes consumers more likely to purchase apps.

Men are more likely to pay for apps, and more likely to have 21+ paid apps.

Tablet Trendsebers and Mobile Mavens are 33.5% more likely to pay for apps than Smartphone Soloists

Smartphone Soloists are 85% more likely NOT to pay for apps than Tablet Trendsebers and Mobile Mavens.

Men are 18.4% more likely to pay for apps, and are 95% more likely to have 21%+ paid apps than women


APP PURCHASE MOTIVATIONS Access to addiaonal or beber content in the paid version was primary moavaaon for purchase. 17% were lured to the paid version by the promise of less or no adverasements.

Tablet owners and mulaple device owners were more likely to pay for apps to avoid ads.

Tablet Trendsebers and Mobile Mavens are 48% more likely to

pay for apps to avoid adverasements than Smartphone soloists.

63%

17% 14%

Ability to access addiaonal/beber content

Less or No Adverasing Exclusive Access to Content

PRIMARY MOTIVATION FOR PURCHASING PAID VERSION


APP PURCHASE PRICE POINTS $0.99-‐2.99 is the price point for paid apps (across all categories).

Men, Tablet owners & mulaple device owners were more likely to pay $3+

73.5%

18%

8.5%

$0.99-‐$2.99 $3.00-‐$4.99 $5.00+

HIGHEST PRICE WILLING TO PAY FOR APP

Tablet Trendsebers and Mobile Mavens are 58% more likely than

Smartphone Soloists to pay over $3.

Men 68% more likely than women to pay $3+


MOST POPULAR GENRES: PAID APPS Games are by far the most popular paid apps among young adults

61% of respondents have purchased Entertainment (music, movies & TV) apps

74%

38%

30.5%

23.3%

18%

0 10 20 30 40 50 60 70 80

Producavity

Movies & TV Apps

Social Networking

Music Apps

Gaming Apps

MOST POPULAR GENRES FOR PAID APPS


APP PURCHASE BY GENRE Men: More likely than women to purchase business, finance, games, music, sports, & ualiaes Women: More likely than men to purchase entertainment, fitness, lifestyle, medical, social & travel

BUSINESS FINANCE GAMES MUSIC SPORTS UTILITIES

ENTERTAINMENT FITNESS LIFESTYLE MEDICAL SOCIAL TRAVEL


APP PURCHASES BY SEGMENT Smartphone Soloists: More likely to pay for fitness, lifestyle, navigaaon, photo & video & social

Tablet TrendsePers & Mobile Mavens: More likely to pay for business, educaaon, games,

producavity, ualiaes and weather.

FITNESS LIFESTYLE NAVIGATION PHOTO/VIDEO SOCIAL

BUSINESS EDUCATION GAMES PRODUCTIVITY UTILITIES WEATHER


SUMMARY

MOBILITY

= EMPOWERMENT

MORE DEVICES

= MORE CONSUMPTION

ENTERTAINMENT RULES PAID APP LANDSCAPE


ROB MCLOUGHLIN

SVP, CONSUMER INSIGHTS EMAIL: RMCLOUGHLIN@BUZZ-‐MEDIA.COM

WWW.BUZZ-‐MEDIA.COM

FOLLOW US ON TWITTER: @BUZZMEDIA AND @BUZZMEDIALABS

Technology

BUZZMEDIA Labs - Mobile Millennials 2012