Q1 2013 - NinthDecimal

Insights
JiWire Mobile Audience Insights Report
Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Key Insights
Multi-Device Adoption & Behaviors Travel Research & Purchase Behaviors Mobile Audience & Location Trends Connected Device Adoption Worldwide Location Highlights 2-4
5-7
8-10
11-12
13-14
52
%
52% of consumers used
a mobile device to book
travel in the last 90 days
Source: JiWire, Q1 2013
Our Q1 report focuses on understanding how mobile is transforming consumer behaviors with respect to the travel
and hospitality industry. We did so by examining consumers’ location & mobile adoption and behaviors, as well as
connected device adoption and Wi-Fi usage trends.
Our research identified several important industry insights, a few of which uncover behaviors contrary to travel
industry beliefs. The first is a significant increase in consumer cross-device behavior. The second area considers
why and how active mobile consumers research and book travel-related reservations looking at mobile apps vs.
mobile site and loyalty vs. promotions. The third highlights aggressive tablet adoption in general, and when it comes
to public Wi-Fi usage.
Key findings include:
• Nearly 50% of active mobile consumers use their smartphone and tablet for travel research.
•
44% of consumers are comfortable spending over $500 when booking travel from a mobile device.
•Smartphone & tablet usage of public Wi-Fi increased to 60% of all public Wi-Fi connections.
•Travel aggregator & airline apps are 3x more important than branded hotel apps & mobile sites for consumer research & purchase.
1
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
How People Use Mobile Devices for Travel-Related Research and Purchasing
Which devices do you use to research
and make travel purchases?
48% 49
%
How much are you willing to spend on travel when
making a purchase from your mobile device
(smartphone or tablet)?
63%
56%
39%
27%
30%
23%
Smartphone
Tablet
Laptop
13%
13%
11%
5%
Research
Purchase
Source: JiWire, Q1 2013
Less than
$100
$100$499
5%
$500- $1,000- $1,500- $2,000+ None
$999 $1,499 $1,999
Source: JiWire, Q1 2013
The percentage of people using smartphones & tablets to research travel-related services is almost equal
to laptops
• Almost 50% of active mobile consumers are using smartphones & tablets for travel research, showing a rapid adoption of mobile devices for travel services and indicating a shift away from laptops.
• While laptops remain the preferred device for travel-related purchases, mobile devices are showing strong adoption with 27% already saying they use their smartphone to make travel-related purchases.
44% of consumers are willing to spend $500+ when booking a travel-related purchase from their mobile device
•30% spend $100-499, which could include restaurants, entertainment, hotel & flight deals.
•Only 13% of consumers indicate they don’t make travel purchases with their mobile device.
2
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Cross-Device Research & Purchase Behaviors Vary by Device
Travel Research Behavior By Device
48%
49
%
56%
48% research on
their smartphone
49% research on
their tablet
56% research on
their laptop
Travel Purchase Behavior By Device
Of that 48%
Of that 49%
Of that 56%
40%
48%
71%
Book on
smartphone
Book on
tablet
Book on
laptop
30%
54%
67%
Book on
smartphone
Book on
tablet
Book on
laptop
31%
39%
75%
Book on
smartphone
Book on
tablet
Book on
laptop
Source: JiWire, Q1 2013
Source: JiWire, Q1 2013
A look at research and purchase behaviors revealed significant cross-device activity through the purchase
funnel for travel services
• Of those researching on a smartphone, almost half (48%) report booking on a tablet.
• Of those researching on a laptop, 31% report booking on a smartphone.
Despite active multi-device usage, there is a strong correlation between the device consumers use to
research & purchase
• The highest purchase percentage for smartphones came from those who also researched on smartphones. The same correlation applies for tablets and laptops.
3
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
How Consumers Have Used Their Devices For Travel in the Last 90 Days
Which devices did you book travel
on in the last 90 days?
Percentage that used only one device
to book travel in the last 90 days
47%
23%
48
%
34%
29%
52%
13%
6%
Smartphone
Tablet
Laptop
Smartphone
Only
Tablet
Only
Laptop
Only
Source: JiWire, Q1 2013
Multiple
Devices
Source: JiWire, Q1 2013
52% of consumers used a mobile device when booking travel in the last 90 days
• Usage is shifting toward mobile devices, with smartphones and tablets representing 23% and 29% respectively.
Within the last 90 days, the majority of consumers used multiple devices to make travel-related purchases
• 47% of travel purchases were done across multiple devices, however 34% used laptops specifically.
• 19% used only a mobile device to book travel.
4
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
How Consumers Book Travel While Traveling
Do you make reservations for a
current trip while traveling?
If you do research or make a purchase while
traveling, which devices do you use?
33%
44%
Yes
67%
52% 50%
40%
No
29%
35%
Do you make reservations for a
future trip while traveling?
44%
56%
Yes
No
Smartphone
Research
Source: JiWire, Q1 2013
Tablet
Laptop
Purchase
Source: JiWire, Q1 2013
Consumers are making last-minute purchase decisions while traveling
• 67% of travelers make reservations for their current trip while traveling.
• 56% make travel-related reservations for a future trip while traveling.
Consumers are using mobile to book travel while traveling
• Nearly one third of travelers use their smartphone or tablet to purchase while traveling compared to 50% using a laptop.
• 44% use their smartphone & 40% use their tablet to research travel while traveling.
5
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Key Influencers of Business & Leisure Travelers’ Purchase Decisions
What influences your decision-making when booking travel?
43.1%
35.1%
34.5%
31.6
%
32.7%
24.4%
Loyalty
ds
Rewards
ar
Company
y
ic
Policy
ol
yP
w
lt
e
yR
a
oy
L
Co
m
n
pa
Deals
or
ns
Promotions
o
i
ot
m
o
r
Business Traveler
rP
o
als
e
D
31.3%
28.2%
%
24.7% 26
Brand
y
lit
Favorability
bi
a
or
v
Fa
Leisure
d Traveler
n
a
Br
Co-branded
rd
Credit
Ca Card
t
di
d
e
nd
e
Cr
Source: JiWire, Q1 2013
ra
b
o-
C
Business Travelers and Leisure Travelers are influenced differently when
making purchase decisions
• For Business Travelers, loyalty rewards are the #1 influencer, followed by company policy.
• Deals or promotions influence both types of travelers, but are the #1 influencer for Leisure Travelers, over 10% higher compared to Business Travelers.
• Around one third of both travel groups book based on their loyalty rewards programs & 25%-26% because of their branded credit cards.
6
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
How Travelers Use Mobile Apps & Sites
If you book travel on your smartphone or tablet, which of the
following is most important for research & booking?
37%
%
32% 33
32%
10% 10%
r
gg
av
A
el
Tr
Travel
p
Ap
r
Aggregator
o
at
eg App
ed
Br
d
an
Travel
or
at ite
g
Aggregator
e
gr ile S Site
gMobile
b
A
el Mo
av
Branded
p
Ap
Airline
e
n
rli
Ai App
Tr
Business Traveler
9 9
%
%
Branded
ne
rli ite
i
Airline
A
d ile S
eMobile
Site
d
b
an Mo
r
B
7%
d
de
12%
Branded
p
Ap
l
Hotel
te
Ho App
n
ra
B
Leisure Traveler
5% 4%
Branded
el
ot ite
HHotel
S
ed ile Site
dMobile
b
n
a o
Br M
Source: JiWire, Q1 2013
Mobile apps dominate consumer preference when it comes to travel & hospitality
•Travel aggregator & airline apps are 3x more important than branded hotel apps & mobile sites for consumer research & purchase.
• In each category (e.g. travel aggregator, branded airline, etc.) apps were deemed more important than the same service
via a mobile site.
7
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Brand Comparison of Audiences Using Location Data
Comparing two travel & hospitality brands, we identified significant differences in their audiences:
Top Locations that Best Western
Customers Frequent
Top Locations that Holiday Inn
Customers Frequent
1
Top Big Box: Home Depot
1
Top Big Box: Costco
2
Top QSR: Subway
2
Top QSR: McDonald’s
3
Top Restaurant: Applebee’s
3
Top Restaurant: Bubba Gump’s
4
Top Electronic Retailer: Radio Shack
4
Top Electronic Retailer: Radio Shack
5
Top Bank: Bank of America
5
Top Bank: Chase
Who are Best Western customers?
8
Who are Holiday Inn customers?
46%
54%
62%
31%
56%
44%
49%
45%
Male
Female
Business
Leisure
Male
Female
Business
Leisure
55%
35%
14%
90%
21%
9%
Parents
College
Students
Tech
Enthusiasts
Parents
College
Students
Tech
Enthusiasts
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Brand Comparison of Audiences Using Location Data
Comparing two travel & hospitality brands, we identified significant differences in their audiences:
(cont.)
Household Income in the $1,000’s
41
%
12% 2% 1%
44%
Household Income in the $1,000’s
42
%
7% 1% 3%
46%
$0 – $50
$50 – $100
$100 – $150
$150 – $250
$250K plus
$0 – $50
$50 – $100
$100 – $150
$150 – $250
$250K plus
Frequency & Loyalty
49%
6%
9
Frequency & Loyalty
49% spend over 5 nights per
60 days at a Best Western
54%
54% spend over 5 nights per
60 days at a Holiday Inn
6% of Best Western patrons go
to at least 1 other hotel chain
60%
60% of Holiday Inn patrons also go
to at least 1 other hotel chain
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Connected Device Trends: Public Wi-Fi Usage
How are Consumers Connecting to Wi-Fi?
14%
17%
16%
19%
22%
33
27
Growth in the ratio of
mobile connections,
year over year
Decline in the ratio of
laptop connections,
year over year
%
31%
35%
40%
39%
38
%
55%
48%
44%
42%
40%
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Smartphone
Tablet
Laptop
Source: JiWire, Q1 2013
%
Source: JiWire, Q1 2013
Mobile devices grew from 45% to 60% of Wi-Fi connections year over year, a 33% lift
• 60% of all public Wi-Fi usage was represented by mobile devices, with smartphones at 38% & tablets at 22%.
• Laptop usage decreased to 40% of usage, a relative decrease of 27% year over year.
For the second quarter in a row, tablet growth surpasses both smartphone & laptop growth
• Smartphone & laptop connections declined from 39% to 38%, and 42% to 40% quarter over quarter respectively.
10
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Connected Device Adoption: Public Wi-Fi Usage
Percent of Wi-Fi Connections by Device & Location
9%
7%
9
%
14%
28%
13%
15%
11
%
28%
23%
35%
Q1 2012 Q1 2013
Hotel
22%
53%
57%
Q1 2012 Q1 2013
50%
56%
73%
81%
27%
37%
Q1 2012 Q1 2013
Q1 2012 Q1 2013
Q1 2012 Q1 2013
Mall
Restaurants
Airports
Café
Smartphone
Tablet
Source: JiWire, Q1 2013
Both smartphone & tablet connections continue to grow quarter over quarter, and year over year
• While tablet usage is highest at airports (28%), the growth in tablet usage was highest at hotels (64%) and cafés (44%).
• Smartphone Wi-Fi usage is highest at restaurants (81%).
• The highest growth in smartphone usage was at airports (37%) & hotels (25%).
11
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Connected Device Adoption: U.S. Highlights
Top 10 Wi-Fi Mobile Devices: Q1 2013
Q1
Rank
Mobile Device Top 10
Q1 2013
% of Ad
Requests
Q4 2012
Rank
Top Wi-Fi Mobile OS: Q1 2013
% Change in
Market Share
1
Apple iPhone 32.4% 1
- 10.0%
2
Apple iPad 31.1% 2
3
Apple iPod Touch 5.7% 3
- 10.5%
4
Samsung Galaxy S III 5.7% 4
+ 23.0%
5
Kindle Fire
2.6% 6
+ 14.0%
6
Samsung Galaxy S II 2.5% 5
- 2.9%
7
Samsung Galaxy Tab II 1.3% 146
+ 18.1%
8
Samsung Galaxy Note II 1.0% 72 + 25.5%
9
Droid Razr 4G
0.8% 10 + 8.1%
10
Nexus 7
0.6% 123
+ 7.1%
+ 9.1%
Q1
Rank
Mobile Device OS
Q1 2013
% of Ad
Requests
Q4 2012
Rank
% Change in
Market Share
1
iOS 69.0% 1
2
Android OS 28.5% 2
+ 2.2%
3
RIM OS 1.6% 3
- 36.2%
4
Windows OS 0.6% 4
- 16.9%
5
Symbian OS 0.1% 5
- 50.0%
6
Linux OS 0.1% 6
- 34.4%
7
WebOS 0.1% 7
- 0.5%
Source: JiWire, Q1 2013
+ 0.9%
Source: JiWire, Q1 2013
Samsung devices claim 4 of the top 10 spots for mobile devices connecting to public Wi-Fi
• Apple devices remain in the top 3 spots, with iPhone, and iPod Touch accounting for 69.2% of market share.
The Kindle Fire continues to remain the strongest challenger to the iPad in the tablet market segment iOS and
Android continue to dominate the market as the top Wi-Fi mobile operating systems
• Furthermore, Android is consistently increasing market share for the third quarter in a row.
12
Note: JiWire measurement includes all mobile device types in order to provide
a complete view of how the on-the-go audience is connecting. * OS: Operating System.
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Worldwide Location Highlights: Public Wi-Fi Locations
Worldwide public Wi-Fi locations:
2009 – 2013
820,262
Worldwide quarterly growth in
public Wi-Fi locations:
820,262
817,793
817,793
813,953
776,556
682,929
414,356
289,476
2009
2010
2011
2012
2013 YTD
Q2 2012
Q3 2012
Q4 2012
Source: JiWire, Q1 2013
Q1 2013 YTD
Source: JiWire, Q1 2013
Worldwide public Wi-Fi locations declined in Q1 2013 due to database updating of Wi-Fi providers
• Quarterly growth of 0.78% from Q3 2012 to Q4 2012.
• Annual growth of 20.1% from Q4 2011 to Q4 2012.
13
Source: JiWire, Q1 2013
JiWire Mobile Audience Insights Report
Q1 2013
Worldwide Location Highlights: Public Wi-Fi Locations
Public Wi-Fi business models: Worldwide Q1 2013
Q1
Rank
Country
Q1 2013
Number of
Locations
Q1 2013
Rank
21.9%
% Change
1
South Korea 186,759 1
2
United Kingdom 182,640 2
0.0%
3
United States 130,616 3
- 2.60%
4
China 104,106 4
0.0%
5
France 35,433 5
0.0%
6
Taiwan 24,148 6
0.0%
7
Russian Fed. 16,829 7
0.0%
8
Japan 15,735 8
- 0.01%
9
Germany
15,105 9
0.0%
10
Sweden 9,546 10 0.0%
Paid
78.1%
+ 0.16%
Free
Public Wi-Fi business models: U.S. Q1 2013
18.3%
Paid
81.7%
Free
Source: JiWire, Q1 2013
Source: JiWire, Q1 2013
Free locations continues to see growth in the U.S., up 2.8% from 78.9% in Q4 2012
• Free locations in the U.S. continue to increase, while free locations Worldwide have remained between 19 – 25%.
South Korea remained in the #1 spot for the second quarter in a row
14
Source: JiWire, Q1 2013
Insights
JiWire Mobile Audience Insights Report Q1 2013
The Q1 Insights Report highlights recent mobile market audience usage trends offering advertisers
insights they can apply to their mobile strategies and campaigns. This quarter focused on the travel &
hospitality market.
JiWire is the pioneer of and leading location-powered mobile advertising and data platform, leveraging
proprietary historical and present data enabling advertisers to effectively engage their desired audience
across all mobile devices at scale. JiWire has been an innovative leader in evolving mobile advertising and
delivering mobile audiences since 2003. Our data platform creates unique audience profiles from 12.3
billion location tags across 700 million devices including smartphones, tablets and laptops.
For questions, interview requests, additional info or to make recommendations for future reports,
please contact us at [email protected].
Methodology:
JiWire’s Mobile Audience Insights Report is based on data compiled from multiple proprietary sources; a survey of more than
1,300 randomly selected customers from across JiWire’s combined Wi-Fi and mobile advertising platform. The report is based on
data collected in March ‘13. Quarterly public Wi-Fi location rankings and business model distributions are based on the final day
of the quarter.