Posts Tagged ‘CES’

  • Share

In the “Year of the Tablet” What Do Marketers Need to Know?

Posted By:

The theme of the Consumer Electronics Show was ‘The Year of the Tablet,’ and more than 80 were introduced at the show. In this cacophony of device debuts, what’s most important for marketers to know? What follows are four questions and answers that will help put tablets in perspective.

Question: Do any of the more than 80 tablets introduced at CES have a chance of coming close to the iPad’s success?

Answer: What’s happening with tablets is very similar to what happened in the smartphone market. In whatever the category—Apple has one device. And that one device is always being measured against many other devices in the same category. Samsung introduced the Galaxy Tab in the fourth quarter of 2010 and it did pretty well, but it’s unlikely that any single tablet coming out is going to outsell the iPad. It’s more of a question of whether collectively they will reach parity with the iPad.

What we’ve seen in the smartphone space in the past 12 months, as Android has expanded dramatically, is that the growth from Android has been straight up and the growth of the iPhone has been largely flat.

So it stands to reason that we’ll see a similar dynamic in the tablet market. Apple had the lion’s share of the market in 2010 because it basically had the market all to itself. But most forecasters see other tablets on other platforms—not individual tablets but tablets on competing operating systems, specifically Android—chipping away at Apple’s lead.

Question: Let’s say you’re a brand manager and you’ve budgeted a little money to experiment with tablets in 2011. What’s the smartest thing you can do with that money?

Answer: Of course, it depends on the brand and on the objectives. If you’re a marketer and you’re doing display advertising, you are faced with similar choices as you are with smartphones. If you are trying to build awareness, you can do some display advertising on the tablet. You either go with the mass-market approach on one or more of the many mobile ad networks, or you invest the significant resources to put up an iAd, which would then restrict you to the Apple platform.

Naturally there are apps as well and they require some investment—of both resources and in developing attainable goals and objectives. An app does need to be accompanied by some solid thinking about where the app fits within the larger brand strategy, but it remains a solid approach, especially if you want to deliver an immersive experience. Branded utilities—apps that carry the brand name and which do something useful for the end user—also work quite well, such as an airline app that allows users to book flights and check in.

One thing that Apple did intelligently with the iPad is that it developed the platform to handle apps designed specifically to run on the larger form factor. That’s not something that the current version of Android allows for. We saw some CES previews this week of a version of Android (dubbed Honeycomb) that is optimized for tablets and it looks quite impressive, but remember that by the time it comes to market, Apple will already be coming to market with the second version of the iPad.

Marketers should look very carefully at the new tablets and operating systems coming down the line this year. In this particular market segment, Apple will remain the leader through 2012 at the very least, but that doesn’t mean that brands should not consider Android and even BlackBerry tablets.

It’s also worthwhile to consider working with the larger digital platforms such as Amazon and Google, which are expanding their media presence (Amazon with music and video and Google with music and video through YouTube). There is a way that you could work through companies like these that serve as distribution partners.

Question: What is the most important thing for marketers to understand about tablets during this “year of the tablet”?

Answer: The tablet is a different kind of device—a hybrid of mobile and computing. One of the things to watch is the extent to which people are using tablets as communication devices as well as media distribution devices: Some of the recently introduced Android tablets include video-chatting capabilities, and the second-generation iPad is expected to carry these as well.

Of course it’s unlikely that people will do away with their phones right away. But one of the things this trend dovetails with is that people are using their phones less and less as phones—especially younger people. It changes our idea of what a phone is—sometimes a phone more important for its computer-like functions than phone-like functions. And as enterprise interest in tablets grows, it will be interesting to see the opportunities for tablets as a work utility and for communication purposes.

Question: Will there be offices with iPads on the desks instead of landlines and PCs?

Answer: I don’t think tablets will take the place of PCs just yet. But as the enterprise suites become more robust, they make tablets more viable for business users. The enterprise is one area that tablets lag behind laptops and netbooks, but again, we can look to the growth of smartphones to see what we can expect with tablets.

The iPhone was introduced as a consumer device, but because of its appeal, people in enterprises demanded iPhones from their IT departments. So Apple backed its way into the business market, and started to penetrate areas that were traditionally the province of BlackBerry and Microsoft. We will see a similar trend in the tablet market this year.

Posted: January 12, 2011. Filed under: Advertising,Mobile  
  • Share

CES Roundup: 4G Smartphones—Bigger, Faster…Better?

Posted By:

The 2011 Consumer Electronics Show (CES), which wrapped up this week in Las Vegas, saw the introduction of a slew of tablets, suggesting that 2011 will at be the year of the tablet. But amidst the high-flying talk of “iPad killers,” device manufacturers also rolled out an impressive slate of new smartphones, many prepped for the wireless carriers’ new, faster 4G networks.

The complete article is only available to eMarketer Total Access clients. To learn more about becoming an eMarketer client, click here.

Posted: January 11, 2011. Filed under: Advertising  
  • Share

3D TV Is a Niche. Bet On IETV

Posted By:

The annual CES extravaganza is over, the elephants have left Las Vegas, but the buzz is still going about this year’s big product, 3D TV. Critics and fans weighed in during the show and this week, the wrap-up articles are in (the best is David Pogue’s in the New York Times).

In a nutshell, 3D TV sets will be prohibitively expensive for most consumers, each model comes with its own proprietary technology for viewing glasses (also expensive) and there isn’t much to watch in 3D, at least until ESPN launches a 3D sports channel this summer.

But there’s already a real game-changer on CE store shelves, one that consumers are ready for now: Internet-enabled TV. My recent report, The Digital Home: Emerging Trends in TV/PC Viewership shows consumers are hooking up their laptops to their HDTVs. Some are cancelling or cutting back on cable and other TV services, others just want to watch online entertainment on a bigger screen.

Since the report was published, even more data on this trend has come out. Deloitte’s “State of the Media Democracy, Fourth Edition” detailed who wants this technology: 65% of US adults surveyed in 2009. Or, just about everyone.

109685

The key is ease-of-access, as Deloitte pointed out. CE manufacturers have finally leaped that hurdle, and content publishers are ready to provide news, weather, sports, shopping and video entertainment, with the click of a TV remote.

Every month, comScore and Nielsen report higher and higher consumer demand for online video–and they don’t wear funny glasses to watch it, either.

Posted: January 19, 2010. Filed under: Advertising,Consumers & E-Commerce,CPG  
  • Share

Connecting with “Always-On” Consumers

Posted By:

Thanks to in-home television, PC and entertainment networks, consumers have grown accustomed to accessing a range of content on demand (a development my colleague Lisa Phillips explored in her recent report on “The Digital Home: Emerging Trends in TV/PC Viewership“; full report available to Total Access subscribers only).  My latest report looks at the ways in which the combination of always-on devices and ubiquitous wireless broadband networks is extending that on-demand culture outside the home.

In particular, I focus on the central challenge that device manufacturers, marketers and publishers alike face today: making content available where, when and how their end users want to consume it. Increasingly, all participants in this value chain must respond with solutions that are both anywhere and anytime, as netbooks, e-readers, gaming devices and ever-smarter smartphones give new meaning to the phrase, “you can take it with you.”

The universe of devices continues to expand rapidly. Netbooks were a big story in 2009 (you can read an excerpt of my interview with DisplaySearch’s John Jacobs here). This year’s Consumer Electronics Show (CES), which wrapped up at the beginning of the week, saw the introduction of a slew of new e-readers as well as a host of slate or tablet computers.

Portable, multifunction devices are very much a big theme for 2010, but overall, the market remains in a massive state of flux. The same goes for the ways consumers use these devices and the business models for distributing content. Not surprisingly, there’s a lot of hedging going on.

My conclusion: there’s a narrow window for marketers, content owners and electronics manufacturers to experiment with partnerships, messaging formats, content delivery and device design. The end goal should be enabling content without walls, meaning both the delivery mechanism (wirelessly and on the go) and the consumption experience (seamless across multiple devices).

Posted: January 14, 2010. Filed under: Consumers & E-Commerce,Mobile,Usage  
  • Share

Apple Gets into the Ad Business

Posted By:

Momentum in the mobile ad market continues at a fever pitch. In story broken last night by Kara Swisher of All Things Digital and confirmed today by Quattro Wireless, Apple confirmed it is acquiring the mobile ad network for a reported $275 million. Apple also announced today that app downloads from its App Store had surpassed the three billion mark.

The timing for these announcements is no coincidence. Today was supposed to be “Nexus One” day, but instead, it’s Apple, not Google, that is grabbing headlines and hoarding mindshare.

I noted in an earlier post that I regarded Apple and Google as more “frenemies” than enemies, and that Google’s primary adversary remains Microsoft, with mobile constituting an important front in a much larger (and longer) war for computing supremacy. I continue to believe this to be the case from Google’s perspective, but Apple’s move today clearly signals that Apple regards Google as a major competitor in the mobile space.

As for the why behind the move, chalk it up to vertical integration: Apple builds and sells the iPhone, hosts the App Store and now, by incorporating Quattro into the fold, it can better monetize the ad-supported apps it offers through the App Store.  And then there’s the tablet angle, which Silicon Alley Reporter and the SiliconAngle blog both see as a factor behind the Quattro acquisition. Since the tablet remains a matter of conjecture – for now, at least – we can hold off on speculating on that aspect of the deal.

But regardless of the implications, which no doubt will become clearer in short order, it certainly breaks the mold. Then again, that’s something Apple’s used to doing.

Posted: January 5, 2010. Filed under: Brands,Mobile,Usage  
Advertisement
Advertisement