Global Multi-Screen Advertising Market Analysis and Forecast (2013 – 2018): Next Big Market for Media and Advertisement Industries

IndustryARC
GLOBAL MULTI-SCREEN ADVERTISING MARKET
ANALYSIS AND FORECAST
(2013- 2018)
By Modules (Advertising, Software, Products); Services (Video Streaming, Search
and Display, Email, Gaming, Content Sharing & Social Media); User Number,
Application & Geographic Analysis
IndustryARC | 1

TABLE OF CONTENTS
1. Global Multi-screen Advertising - Market Overview
2. Executive Summary
3. Global Multi-screen Advertising - Market Landscape
3.1. Market Share Analysis
3.2. Comparative Analysis
3.2.1. Product Benchmarking
3.2.2. End user profiling
3.2.3. Top 5 Financials Analysis
4. Global Multi-screen Advertising - Market Forces
4.1. Market Drivers
4.2. Market Constraints
4.3. Market Challenges
4.4. Attractiveness of the Market
4.4.1. Power of Suppliers
4.4.2. Power of Customers
4.4.3. Threat of New entrants
4.4.4. Threat of Substitution
4.4.5. Degree of Competition
5. Global Multi-screen Advertising Market– Strategic Analysis
5.1. Value Chain Analysis
5.2. Opportunities Analysis
5.3. Product/Market Life Cycle Analysis
6. Multi-Screen Advertising Market by Modules
6.1. Advertising
6.2. Software
6.3. Products
IndustryARC | 2

6.3.1. Smartphones
6.3.2. Tablet PCs
6.3.3. Television
6.3.4. Laptop/PC
6.4. Services
6.4.1. Video Streaming
6.4.2. Search and Display
6.4.3. Email
6.4.4. Gaming
6.4.5. Content Sharing
6.4.6. Social Media
6.4.7. Others
7. Multi-Screen Advertisement Market – User Numbers
7.1. Smartphone
7.2. Television
7.3. Tablet PC
7.4. Laptop/PC
8. Multi-Screen Market - Geographic Analysis
8.1. Introduction
8.2. Americas
8.2.1. North America
8.2.2. Brazil
8.2.3. Argentina
8.2.4. Mexico
8.3. Europe
8.3.1. UK
8.3.2. France
IndustryARC | 3

8.3.3. Germany
8.4. APAC
8.4.1. China
8.4.2. South Korea
8.4.3. Japan
8.4.4. India
8.4.5. Australia
8.5. ROW
9. Market Entropy
9.1. New Product Launches
9.2. M&As, Collaborations, JVs and Partnerships
10. Investment Opportunities – Analysis by Target companies/customers, Capital Investments,
ROI, Payback Period and Source of Funds.
11. Company Profiles (Overview, Financials, SWOT Analysis, Developments, Product Portfolio)
11.1. Sky Mobile
11.2. Orange Telecom
11.3. Google
11.4. Microsoft
11.5. Netflix
11.6. Roku
11.7. Amazon
11.8. AT&T
11.9. NTT DoCoMo
11.10. Vodafone
11.11. Verizon
11.12. Omnicom Group
11.13. Dentsu
11.14. Aegis group
IndustryARC | 4

11.15. Innocean Worldwide
11.16. 365 Media
11.17. WPP Group
11.18. Hulu
11.19. aQuantive
11.20. Cramer-Krasselt
11.21. Ericsson
11.22. Cisco
12. Appendix
12.1. Abbreviations
12.2. Sources
12.3. Research Methodology
12.4. Bibliography
12.5. Compilation of Expert Insights
12.6. Disclaimer
IndustryARC | 5

REPORT SCOPE
SCOPE
The report describes the Multi-Screen market by user numbers, usage, modules, and geography.
High level analysis about the Multi-Screen product costs, strategies, future opportunities along
with the business landscape analysis of key market players are focused in the report.
Competitive landscape for each of the product types is highlighted and market players are
profiled with attributes of company overview, financial overview, business strategies, product
portfolio and recent developments. Market shares of the key players for 2013 are provided.
A geographical analysis has been done to put things into perspective about the global market.
The prominent players profiled in this report are Huawei, ZTE, Concurrent, a Quantive and
others. This report contains the most detailed and in-depth segmentation of the multi-screen
market.
STAKEHOLDERS
Almost all the enterprises who wish to market their products in the market; Laptop, smart
phone, tablet manufacturers; Tele-communications industry; Media enterprises; Customer
Service providers; are the significant stakeholders in this market.
IndustryARC | 6

EXECUTIVE SUMMARY
The word multi-screen refers to the use of televisions, personal computers (PCs)/ laptops, smart
phones, tablet PCs. Primarily this segment can be called a four-screen market involving the
above mentioned devices. We are currently in the digital age of ubiquitous connectivity, meaning
people nowadays are connected to the World Wide Web via a range of devices such as
traditional PCs, laptops, smart phones, tablet PCs etc., all the time.
This evolution into a 24X7 connected world has led to a transformation of the advertisement
sector as whole. Over the years advertising field has seen tremendous amount of changes, with
the advent of new technologies. In the early days advertising section was big on print media,
then moved onto electronic media outlets such as radio sets and televisions and now further
onto the web-based technology. If we look at the global online advertisement revenues generated
in the year 2013, the figure stands at about $114 Billion, which is approximately about 20% of
the overall advertising market across the globe, signifying the importance of online advertising
segment.
The current market trends of the sales of laptops and PCs show a decline (of about 11%) due to
high competition from smartphone devices and tablet PCs. In contrast the sales of smartphones
and tablets are on the rise, and this trend is seen right across the global market. This only goes to
show how big an impact such devices are going to have in the future. Estimates suggest that out
of a total of 4 Billion mobile phones in the market, more than a quarter of them are
smartphones. The sales of smartphones are growing at a substantial rate of 43% year-on-year.
The growth rate of tablet PCs are pegged even higher at about 52%. This rapid growth rate of
smartphones and tablets sales is also driving the mobile data connectivity as the demand for web
connection on the go increasing. The global mobile data traffic size is estimated to grow at a
CAGR of about 44%.
All these numbers point to an opportunity for various industries to market their products using
these media. But as is seen in the present day, consumers are not satisfied with a single screen
experience and instead expect content to be seamlessly delivered across multiple devices and
screen types. Multi-screen as a market opportunity is attracting a lot of attention from traditional
service providers to internet players to traditional media and entertainment companies who are
finding new distribution channels and view each screen as a potential revenue source. In the
entertainment industry, many TV shows, movies and artists are becoming micro-brands that can
increase their brand value through multi-screen delivery this trend offers both opportunities and
challenges for the media industry. On the one hand, the number of end-user delivery points is on
the rise offering new advertising and content monetization opportunities. But on the other hand,
IndustryARC | 7

the multi-screen world introduces new technical complexities the media industry has not
previously faced. These opportunities and challenges are dealt with much detail in the report.
IndustryARC estimates the global multi-screen advertising revenue to increase from around
$15bn in 2013 to around $113bn by 2018, growing at a CAGR of around 49.8% year over year.
SAPMPLE GRAPH: GLOBAL MULTI-SCREEN ADVERTISING MARKET
REVENUE, 2013 – 2018 ($BN)
120
100
80
$Billions
60
40
20
0
2013 2014 2015 2016 2017 2018
Source: IndustryARC Analysis
With their large subscriber base and access to consumer data, Tele-communication and Media
companies have an opportunity to help marketers thrive in a multi-screen world. This presents a
win-win situation for all the stakeholders involved. The emergence of rich media and on-demand
gaming applications have become an everyday part of the modern day- consumer’s life. They no
longer want to simply be connected.The consumers want a media experience that enables them
to consume ‘whatever they want, whenever they want’ irrespective of the device or medium.This
scenario requires a comprehensive analysis of media planning, as it offers marketers an
unprecedented opportunity to target audiences with a unified experience that will generate
significantly more value than old-school media approaches such as advertising through
television, radio etc. To take advantage of such a scenario marketers should have an in-depth
understanding of their target audience, and also the nature in which multi-screens are accessed,
combined with a comprehensive strategy to utilize this opportunity provided by the multi-screen
environment to maximize the return-on-investment in this segment.
IndustryARC | 8

SAMPLE TABLE: AGGREGATE TIME SPENT BY USER SEQUENTIALLY
ON SMARTPHONE, PC AND TABLET, 2013
Activity
Started on
smart-phone
Continued
on a PC
Continued on
a Tablet
Searching for info 65% 60% 4%
Browsing the internet 63% 58% 5%
Shopping online 65% 61% 3%
Planning a trip 47% 45% 3%
Managing finances 59% 56% 3%
Social networking 66% 58% 8%
Watching an online video 56% 48% 8%
Source: IndustryARC Analysis
The above table represents the aggregate time spent by the end-user sequentially on a
Smartphone, PC and Tablet.
According to Google the nature in which multi-screen as accessed can be segmented into two
categories- Sequential screening where users move between devices and Simultaneous screening
where users use multiple devices at the same time. Also a study from Google revealed 90% of
users who move between devices do so to accomplish a goal. While watching a TV show on a
television, they may react to it on a social network using a smartphone or a tablet. These
activities are no longer restricted to a single device.
Surveys show multi-screens enhance the content consumption experience for the younger
market segment, aged between 18 and 44. The younger generation can afford multiple,
connected devices and is actively engaged on social networks is a desirable advertising target. A
study conducted in Nielsen Media Labs proved that for groups that saw a specific advertisement
across multiple screens - TV, PC, smartphone and tablet - the brand recall jumped substantially
to 74%, versus 50% for TV only. These figures only highlight the obvious fact that multi-screen
advertising is the next big stage in media advertisement and will have a great impact on the
marketing segment in the future.
IndustryARC | 9

The surge in sales of smartphones, tablets and the dramatic increase in the usage of mobile data
connections are a testimony to this fact. A number of surveys conducted by major industry
players like Microsoft, Google, Ericsson also show that the users are more likely to respond to
an advertisement they see on multiple screens rather than a single screen viewing on say
Televisions. Growth of social media also has contributed in a major way in this shift being seen
in the global advertizing market.
Effective targetting of end-users will play a major role in the future ad-campaigns.
Telecommunications and Media companies can maximize their access to consumer homes and
devices to deliver data-driven insights based on multi-screen consumer behavior. These include
insights on time of use, device preferenceby type of activity, and patterns in media consumption
by customersegment. These insights can serve as the foundation for building unified
comprehensive multi-screen advertising strategies.
The global mobile based marketing segment which forms an integral part of the multi-screen
market segment was valued at $13 billion in 2012, and is estimated to be at $17.5 billion for the
year 2013. This segment has seen impressive growth and is expected to reach $40 billion by the
end of 2017 with a CAGR of about 33% over the next four years. Search and display type ad
formats hold the major market share for online advertisement, followed by digital video
streaming.
SAMPLE GRAPH : GLOBAL MOBILE INTERNET ADVERTISING
MARKET REVENUE ($BN), 2012 -2018
80
70
60
$Billions
50
40
30
20
10
0
2012 2013 2014 2015 2016 2017 2018
Source: IndustryARC Analysis
IndustryARC | 10

The report describes the Multi-Screen market in detail by user numbers, usage, modules. An indepth
geographic analysis is made to look at various global markets for better insights. High level
analysis about the Multi-Screen product costs, strategies, future opportunities along with the
business landscape analysis of key market players are also focused in the report.
IndustryARC | 11

KEY MARKET INSIGHTS
The global sales for devices such as smartphones and tablet PCs are growing at a substantial rate.
Along with increase in sales of smartphones there is huge demand for ubiquitous connectivity by
the customer. Looking at this market scenario multi-screen marketing throws up a wide range of
opportunities for the marketers in various fields to penetrate the market in order to reach their
target audience. The marketing/advertising scenario has come a long way from the traditional
market avaenues like radiosets and televisions and grown into the higher segments such as
smartphones, tabalet PCs , laptops and PCs.
Global online advertisement revenues generated in 2013, is estimated to be about $114
Billion, which is approximately about 20% of the overall advertizing market across the
globe.
The sales of smartphones and tablets are growing at a rate of 43% and 52% year-on-year.
The global mobile based marketing segment was valued at $13-$15 Billion in 2013, with
an estimated CAGR of over 33% for the next five years.
The demand for mobile based net-connectivity is outpacing the demand for traditional
broadband connectivity for PCs and laptops.
The trend of simultaneous usage of electronic gadgets like smartphones and tablets is on
the rise especially among the younger consumer segment (aged between 18 and 44)
The global second screen market as such has revenues of around $540m in 2013 and this
is expected to increase to around $6.8bn by 2018. E-commerce, advertising, apps, games
are the revenue contributors.
Out of the 4 screens – TV, laptop, smartphones, tablets the second screen market is the
most important segment currently. This involves the usage of any device other than the
TV for a host of entertainment related services.
IndustryARC | 12

RESEARCH METHODOLOGY
The quantitative and qualitative data collected for Multi-Screen market report is from a
combination of secondary and primary sources. Research interviews were conducted with senior
executives and/or managers of leading manufacturers and its service providers. These Key
Opinion Leaders (KOLs) were then provided a questionnaire to gather quantitative and
qualitative inputs on their operations, performance, strategies and views on the overall market,
including key developments and technology trends. Data from interviews is consolidated,
checked for consistency and accuracy, and the final market numbers are again validated by
experts. The global Multi-Screen & Advertising market was split by products, services and
geography based on different factors like primary and secondary sources, understanding of the
number of companies operating in each segment and also KOL insights.
We have used various secondary sources such as directories, articles, white papers, newsletters,
annual reports and paid databases such as OneSource, Hoovers and Factiva to identify and
collect information for extensive technical and commercial study of the products and services
market.
The key players in the market and its value chain were identified through secondary research and
their market opinions were also gathered in a similar way through telephonic interviews and
questionnaires. We have also studied the annual reports of these top market players. Interviews
with key opinion leaders such as directors, managers, marketing personnel were used extensively
in understanding the need and emergence of the global Multi-Screen & Advertising market.
IndustryARC | 13

THE ARC ADVANTAGE
An analytical model lies at the core of our process, ensuring logical consistency
throughout our research. We complement the model with secondary data and
interviews with industry experts to reflect the latest trends. With our final expert
validation, we provide you with only the most accurate and actionable intelligence.
THE ARC PROCESS
Analytical
Method
Base Method
Consolidation
Method
Delphi
Verification
1. Granular
breakdown of
drivers into
factors
2. Validate all
factors in terms
of their present
impact on the
market
3. Assign weights
to these factors in
terms of their
relevance and
impact on the
market
1. Get a topdown
estimate of
the market
2. Follow it up
with a bottom-up
estimate of the
market
3. Check
forconsistency
and new growth
factors that are
relevant over the
next 10 Years
1. Granular
breakdown of
drivers into
factors
2. Validate all
factors in terms
of their present
impact on the
market.
3. Assign weights
to these factors in
terms of their
relevance and
impact on the
market.
1. Verify the
findings of the
model with
experts from
across the value
chain
2. Verify the
findings with
players across
small and large
enterprises
3. Tweak the
model and add
new factors
4. Build the
Analytical Model
4. Build the Base
model
4. Build the
Consolidated
Model
4. Finalize the
ARC Model
ANALYTICAL MODEL BASE MODEL CONSOLIDATED MODEL ARC MODEL
IndustryARC | 14

ABOUT US
IndustryARC was started by a group of young, passionate professionals along with
extensively experienced industry veterans across various business segments. Our focus and
expertise is mainly in the field of analytics, market research and consulting. Our singular
goal is to provide accurate and affordable research to our clients.
Our research team has expertise in diverse fields like Automotive, Chemicals, Consumer
Product & Services, Electronics, Food & Beverages, Healthcare etc., However diverse the
expertise maybe, everyone in our team shares one common trait - we love data and we love
providing solutions to clients using that data even more! Seeing your business flourish
based on our solutions and strategy is what we love the most!
IndustryARC publishes more than 30 reports on an annual basis in the mentioned
Industries. Our reports are in-depth and high quality reports that can help decision makers
frame better strategies for their business requirements. These reports can be further
customized as per your needs.
Disclaimer:
• The reports sold by IndustryARC are limited publications containing valuable
market information provided to a select group of customers in response to orders.
• Our customers acknowledge and agree that any report bought from IndustryARC is
for their own internal use and not for general publication or disclosure to third
parties.
• Our reports or part of the reports, information contained in the report, cannot be
shared or resold to any other third party.
• Disclosure to third parties, usage of data in a public document, article or blog by the
customer can be done with prior permission taken from IndustryARC.
For information regarding permissions and sales, contact:
sales@industryarc.com | sanjay.matthews@industryarc.com
IndustryARC | 15

IndustryARC
+1 614 - 588 - 8538
sales@industryarc.com
Copyright ©2014 IndustryARC
All Rights Reserved. This document contains highly confidential information and is the sole
property of IndustryARC. No part of it may be circulated, copied, quoted, or otherwise
reproduced without the approval of IndustryARC.
IndustryARC | 16