Trends, marketing and data in the mobile app ecosystem. presentation by Patrick Mork, CMO of GetJar, at Digital Now! 2011

2. Mobile Apps Trends, Marketing and Value Creation Patrick Mork - CMO

3. GetJar – who we are Largest open app store (’05) 1.8 billion downloads 144,000 apps 190 countries, 2,500 handsets Distribution / AppVertising™ $42M funding / Accel / TGM Silicon Valley, London, Vilnius

4. Some of our clients…

5. App usage is becoming universal Over 8 billion apps were downloaded in 2010 The global industry will be worth over $30 billion by 2015* 56% of users are male Largest age demo is 25-34 year olds Followed by 34-44 year olds and 18-24 Over 600,000 apps across the known apps stores More then 3,500 apps are being downloaded every second *Juniper research Q4 2010 ** GetJar consumer poll of 2,500 consumers in Q1 2011

6. How do consumers engage with apps? 63% download apps once / week 35% using apps more then 1 hour / day Top categories SN, Games, News, Weather, Music 74% using apps more then once per day 30% claim to use mobile web more then Web GJ AppMeter Survey, March 2011 2,500 users

7. Platforms: All about Android vs. iOS? 100M devices vs. well over 1.8 billion web enabled Consumers don’t always distinguish Web has innate advantages Smart brands already leverage web

8. Cross platform with a touch of WEB

9. Geography – Apps going global GetJar’s top market is India Content consumption varies by market Local content starting to be seen Pull of apps in EM even stronger then US / DM Phones as status symbols

10. Brands – Emergence of the first mobile only brands

11. About those Angry Birds

12. Money – show me the $.... 2010 = $2.1 bln in app store revenue Apple alone 1.7 25% est. games 47% of games IAB Percent share of app store revenues 2010: IHS Screendigest

13. Business models – why pay-before-you play doesn’t work Race to the bottom Devalues brands Only for DM’s Lacks trial Higher risk then in application billing Increased cost of advertising

14. Monetization trend: 3 possible models

15. Marketing: Significant trend in marketing spend on mobile Mobile ad spend in US to reach $1.1 bln in 2011 according to emarketer Set to grow by $19 billion from 2010 – 2015 according to Gartner 84% of consumers have downloaded apps with ads 21% purchase something after clicking a banner

16. Marketing: Translating into increased spend on apps Key verticals include: Search, games, productivity, entertainment, retail, automotive Realization that distribution alone no longer enough  only 25% of apps discovered are found in app stores* However, performance metrics are changing from CPM / CPC to CPD and CPI Spend now including Android apps as natural next “big” category after iPhone – particularly in the US

17. …and metrics must change to reflect performance Ad Network Cost Per Click Cost Per Download Pay only when download starts

18. Quest for performance will fuel consolidation, liquidation and aggregation Optimization across multiple networks Optimizing across devices Multiple installations (SDK’s) Reporting across multiple vendors Multiple contracts

19. Marketing: Distribution trends Ecosystem fragmented with over 160 app stores Different stores have different merchandising / placement policies Visibility has a massive affect on downloads  up to 10x or even 100x difference Rankings by store differ  on Apple marketing can influence rankings on Android Market it can’t Different stores have different levers of marketing App stores must and will consolidate over next 24 months

20. 20 Fragmentation is inherent

21. Brand challenges Brands renown gives them natural advantage 54% of our consumers have downloaded branded apps However, expectations are higher of brands 80% said quality of app affects brands trustworthiness Consumers also expect a similar experience across devices / OS’s Mobile is often isolated from rest of marketing To succeed apps must be part of marketing mix

22. Salvation Army: Reach, Inform, educate and galvanize young audience Dynamic RSS feed with content fed in real-time from blog Form to volunteer and participate at the community and international level Video, copy, images and other content Easy to use branded interactive menu Viral functionality encourages sharing content and mobile app among networks Donate options including Call-in, Mail-in, Online and special “Donate $10” now button

24. Viral marketing campaign to TSA base via Twitter and Facebook

25. CRM / email campaign to TSA consumer base and regional agencies

27. 6.2% click through to “Donate $10 Now”

30. Determine brand vs. performance

31. Select the platforms that best suit your strategy

32. Integrate mobile fully in your overall marketing plans

33. Dive in, collect data, analyze and start over!