A 2011 state of the union address on where mobile has been and where it is going as far as the advertising and marketing worlds are concerned from one of mobile's founding fathers, Scott A. Jones.

1. thinkLA Mobile Breakfast Thursday, June 16, 2011

2. Event & Keynote Introduction thinkLAMobile Breakfast Master of Ceremonies Paul Santello SVP, Brand Sales & Marketing Evolve Media

6. Provided over a billion answers so far

7. Fastest-growing Q&A companyKeynote Presentation: Scott A. Jones

8. Scott Jones: Pioneering Technologies at Work & at Home MTV Cribs Awards: A Decade of Cribs - January 2010 WINNER: Crib of the Decade WINNER: Best Home Theater Visit http://on.mtv.com/JonesCrib to see Scott’ crib! MTV Cribs Awards Available on iTunes

9. thinkLA Mobile Breakfast Keynote Presentation Scott A. Jones Thursday, June 16, 2011

10. Q: What is ChaCha anyway?

11. #1 Real-time Answers 25 Million Monthly unique users 3+ Million Answers provided to users every day 1+ Billion Questions ChaCha’s answered

12. About ChaCha’s Mobile Answers View this video here: http://bit.ly/ChaChaMobile

13. ChaCha Answers on Mobile Mobile App Mobile Web Mobile Messaging What was the final score of the NBA Championship game? Win a working with… Dallas Mavs 105, Miami Heat 95 on 6/12. ChaCha on. 9

14. 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

15. Q: Does advertising on mobile phones matter?

16. 280 Mobile Subscribers Satellite TV Subscribers 20 Cable TV Subscribers 65 TV Households 125 Internet Access 221 In Millions Source: Lifestyle Wireless, 2011 Mobile is #1 in Audience and Reach

17. Internet users in millions Mobile Web will surpass ‘tethered’ usage within 3 years Source: Morgan Stanley, April 2010, Global Projection Mobile vs. Desktop Internet User Projection

18. Desktop versus Mobile: Different Animals Solitary Fixed location 30 minutes Sift through results Focused on desktop Often Research-oriented Social On the go 30 seconds Need an answer Multi-tasking Timely, contextual, personal topics

19. Mobile Users Express Immediate Intent Vs. Understanding Mobile Information Needs – October 2010 – Church et. Al.

20. Mobile Search Users Are Impatient 80% report frustration with mobile web due to speed, too many clicks, and too much irrelevant content. -Qualcomm - 2010 80% Shorter Search Session & 80% Lower CTR 15 + mins < 3 mins Large Scale Study of European Mobile Search Behavior – 2008 – Church et. Al.

21. Smartphone Users Multitask

22. I see search moving away from statelessness to something more resembling a conversation. - Peter Norvig Google Director of Research Mobile is Conversational & Personal

23. Desktop Experience Does NOT Transfer to Mobile How do over 40,000 results look on a mobile phone?

24. Answers vs. Results - Which Would YOU prefer? Answers Results 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

25. Share of Web Traffic Coming from Mobile Devices Entire Web Global StatCounter, comScoreqSearch, Google Analytics Mobile – May 2010 - May 2011

26. Web and Mobile are Complementary Google Inside Search, May 2011

27. Mobile & Desktop Inversely Related Throughout Day Google Inside Search, May 2011

28. Smartphone vs. Feature Phone Usage comScoreMobiLens – March 2011

29. 65% 37% of US mobile subscribers have smartphones now Nielsen MarketSight – Q2 2011 Smartphone Penetration Accelerating

30. Feature Phones 2% Other 13% 37% 63% 4% Smartphones 10% 9% Nielsen MarketSight – Q2 2011 Smartphone Adoption Surged 12% in 6 Months

31. 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

32. LBS has Reach Challenges 28 82% use cell phones 71% use SMS 35% have apps 24% use apps 4% Use LBS % of U.S. population 6/20/2011 Source: PewSeptember 2010

33. Only Some Apps Are Important TechCrunch / Localytics – 3Q 2010

34. Smartphone Users More Likely to Text and Text More Often “What started once as a 'teenager thing' has now reached the total population… “Messaging is the broadestreaching communication platform on the planet.” ~ TomiAhonen Adoption Adoption 705 SMS Per Month 891 SMS Per Month Feature Phones Smart Phones Source: Mobile Media Marketplace Q2 Nielsen MarketSight – Q2 2011

35. Mobile Marketing Options and Adoption 31 MORE THAN 3 YEARS 1-3 YEARS LESS THAN 1 YEAR 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 payments Source: Association of National Advertisers, 2010

36. Integrated Approach to Mobile Marketing Key Personalize the User Experience with Context Make sure you’re represented across all mobile media

37. Mobile is Outperforming Online in Every Measure 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.

38. Are Advertising Dollars Being Spent Wisely? Mobile is Lagging = GIANT Opportunity 20% of Ad $$ 43% of Ad $$ 5.7% of Ad $$ 6.3% of Ad $$ 6.3% of Ad $$ Average Weekly Hours Spent vs. % of Ad $$’s 0.8% of Ad $$ eMarketer – May 2011

39. Mobile Marketing: It’s Still Very Early 17% 10% 4% Smaato, mobileSQUARED & Lightspeed Research, Nov 2010

40. US Mobile Ad Spending = 2.5B in 2014 CAGR = 44% eMarketer, September 2010

41. thinkLA Mobile Breakfast Thursday, June 16, 2011 Thank You!!