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Australia - Digital Media - Apps and Services


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Australia - Digital Media - Apps and Services

The Apps and Entertainment market continues to evolve

With the rise of digital platforms, the media industry is rapidly changing. In newspaper and book publishing, TV and radio broadcasting, film, music, and other forms of media, we see that the national walls that protect local organisations within traditional models are crumbling. In other words, it is no longer an issue of local market share. It is now about international market share.

But in general, despite the obvious need to move with the times, many organisations are still grappling with the digital economy and questioning the impact it will have on them – or, even worse, are ignorant about it. In many cases, their own consumers are well ahead of them.

The public sector is also seriously affected by this, and may even have greater difficulties with the transition. They should learn from the problems in other sectors, especially book and newspaper publishing. The issues encountered by the Healthcare and Education industries are also classic examples.

The digital media companies are the clear leaders; however, there are parallel developments taking place: one driven by Digital TV using the broadcasting networks, and one driven by broadband using fixed and mobile telecom infrastructure. In 2016, the advertising spending being directed towards digital media continues to grow, further escalating the problems for the traditional media.

Mobile Advertising and Digital Marketing

The advertising scene has undergone radical change and is still changing. With profits down between 5% and 10% on an annual basis, the performance of the traditional advertising market is under constant pressure. Data analytics is exposing the weakness of these traditional advertising business models and, like all of the other sectors affected by the digital economy, this means that these business models need to change. As they become more aware of the power of big data, advertisers are demanding hard, quantitative data on their campaigns. Increasingly, campaigns are now linked to outcomes. These are predetermined and tested against the results, and payments are made to advertising agencies based on the success of these campaigns, which are becoming far more cost-effective.

Social media companies are becoming increasingly important website publishers. Compared to commercial broadcasters, these companies have one important difference – they have valuable data on their consumers, which they are monetising in a big way. Although consumers are happy to share data with companies operating in the digital economy, they are most unhappy when these companies disrespect their wishes for privacy. On the other hand, many companies involved in big data analytics are disappointed with the results. So a better system could be a win-win situation for both the demand and the supply side.

Apps, Entertainment, Social Networks and Gaming

The global digital media entertainment market continues to go from strength to strength in 2016. This highly competitive industry sector is flourishing on the back of improved mobile and broadband infrastructure and consumers continuing to embrace entertainment services such as gaming, social media, video streaming and music. The gaming sector in particular has become very competitive with some consolidation occurring and previously successful game developers such as Zynga beginning to struggle. Facebook continues to dominate social media platforms on a global level and video streaming continues to grow and place pressure on bandwidth around the world. The digital music sector is witnessing the rise of streaming music and it now accounts for around half of all digital music revenues.

Social media developments are fascinating and exciting. They show the great potential of the new communication and information tools that are becoming available thanks to the internet, Web 2.0, email, broadband infrastructure and mobile phones and tablets. However, for these new social media tools to succeed, they need to be fully and totally integrated into our daily communication. Popular social media sites have come and gone over the last five or so years as users trend to new features that allow them to experiment and connect. Services include Facebook, Twitter, YouTube, Wikipedia, Foursquare and LinkedIn Instagram, Pinterest and many others. The battle however is still far from over, with companies trying to build viable business models around their ever increasing customer data bases. Increased use of mobile broadband through mobile devices is driving consumer uptake, with many businesses now also investing in social media and also expecting a return.

As broadband speed and capacity increases we are seeing a whole new range of gaming applications entering the market over the next decade. Not needing a console has increased access and created distinctions between console vs. casual gamers. Games are now integrated with other online services such as music and movies. The video and computer games industry in Australia continues to grow strongly. Much of the growth in digital has come from a jump year-on-year in mobile game downloads.

Online gaming and gambling can take players from outside the boundaries of their home countries where these online activities may or may not be sanctioned by the authorities. The global market is an expanding one where virtual online gaming and virtual online gambling is a growth market. There is a decline in the number of Australians who are gambling – but an explosion in sports betting, especially via online.

Mobile Media and Mobile Device Market

The Australian mobile content services market has evolved with the increasing take-up of smartphones and tablets. Smartphones now account for up to 90% of all new device sales, while the market for tablets appears to have peaked in mid-2015, with sales into 2016 having fallen year-on-year, partly due to the popularity of phablets and to the latest versions of 2-in-1 devices. The market among providers has seen some changes over the last few years as company mergers and acquisitions bring consolidation to the industry. The major mobile media players are becoming digital media providers as they provide access to their services via mobile devices.

A major threat to the smartphone business arises from the limitations of the mobile broadband infrastructure. The mobile industry can develop all of these new applications and services, but if the infrastructure cannot handle the capacity, there will be little use for them.


  • EXECUTIVE SUMMARY
  • THE MEDIA INDUSTRY AND THE DISRUPTIVE IMPACT OF DIGITAL SERVICES
    • THE DIGITAL ECONOMY - WHAT IS AT STAKE FOR YOU?
    • ADVERTISING IMPORTANT TO MEDIA INDUSTRY
      • Table Global media ad spending and annual change - 2011 - 2016
      • Table Global digital ad spending and annual change - 2011 - 2016
      • Table Ad spending by major countries - total media, digital, mobile internet - 2014 - 2015
      • Table Global advertising spending market share by major types - 2012 - 2014
    • COLLAPSE OF THE TRADITIONAL MEDIA INDUSTRY
    • MARKET INSIGHTS
      • From calls to applications
      • Expect delays and roadblocks
      • Fragmentation, consolidation, mergers and acquisitions
      • Where are the new opportunities?
      • Think international
      • Media and Telco's adapting business to the new Digital Economy
      • Copyright and the Internet -attempts to regulate
    • MEDIA COMPANIES NEED TO DISAGGREGATE AND REBUILD
      • Brand key in online media
    • E-BOOKS AND E-NEWSPAPERS
      • Digital e-readers/e-books
      • The challenging newspaper publishing sector
        • Table Most popular formats for receiving news in the UK - 2015
        • Table Most popular formats for receiving news in the USA - 2014
    • THE ANOMALY OF THE MASS MEDIA
      • Analysis of media trends
  • MOBILE ADVERTISING AND DIGITAL MARKETING - KEY TRENDS AND STATISTICS
    • MARKET SUMMARY
      • Changes in digital advertising
      • Digital marketing key statistics
        • Table Global media ad spending and annual change - 2011 - 2018
        • Table Global digital ad spending and annual change - 2011 - 2016
        • Table Global mobile advertising spending and annual change - 2011 - 2016
        • Table Top ten countries by ad spending per person and per digital Internet user - 2014
    • KEY ONLINE ADVERTISING CATEGORIES
      • In-game advertising
      • Social network advertising
        • Table Social network advertising revenue by region - 2013 - 2015
      • Online video advertising
      • Search engine advertising
        • Table Global search engine advertising revenue - major companies - 2013 - 2015
    • MOBILE ADVERTISING
      • Table Global market share of mobile advertising revenue - major companies - 2012 - 2015
      • Advertising on mobile apps
      • Mobile Location-Based Advertising (Geo-marketing)
    • MARKET TRENDS
      • TV and smart TV advertising
      • Digital ad exchanges
      • Click fraud
      • Multi-screen approach gains attention
    • INTERNET MEDIA COMPANIES -GOOGLE VERSUS FACEBOOK
      • Table Google (Alphabet) advertising revenue (total and mobile) - 2006 - 2017
      • Table Facebook advertising revenue (total and mobile) - 2011 - 2016
    • THE EFFECT OF BIG DATA ON THE ADVERTISING INDUSTRY
      • Online advertising does not improve the overall result for advertisers
  • THE DIGITAL MEDIA MARKET
    • THE ADVERTISING MARKET
      • Analysis of the Online Advertising industry
      • Mobile internet advertising
    • SOCIAL NETWORKS
      • Social Networks - key developments
        • Table Global - subscribers to key social networks - 2015
      • Social network trends in Australia
      • Key social networks
        • Table Estimated social networking members by major sites in Australia - 2010 - 2014
        • Table LinkedIn at a glance - 2014
        • Table Guestimates of Twitter users in Australia
      • Social Networks - Business Market
    • GAMING AND GAMBLING
      • Video Game Market - Industry developments
        • Table Traditional vs Digital Sales - 2015
        • Table Preferred devices for gaming
      • Video Game Market surveys
        • Table Constraints on Play by Broadband Services
        • Table The Digital Games Business
      • Mobile gaming
      • Online gambling
        • Table Gaming machine turnover versus machines in operation - 2002 - 2013
  • MOBILE MEDIA
    • APPS, ENTERTAINMENT, SOCIAL NETWORKS AND GAMING
      • Entertainment driving digital and mobile services
      • Mobile entertainment
        • Table Global - mobile entertainment revenues - 2011 - 2017
        • Table Global - leading app store competitors by number of apps - 2011 - Mid 2015
      • Video streaming
      • Social networks
        • Table Examples of social networks by user numbers
      • Adult services
      • Online and mobile dating
      • Mobile photo-messaging
      • Online and mobile gaming
      • Online and mobile gambling
      • Online and mobile music
        • Table Global - subscribers to digital music services - 2010 - 2015
        • Table Global - digital music revenue - 2007 - 2014
      • Advertising - a key revenue source
        • Table Social network advertising revenue by region - 2013 - 2015
    • SURVEYS AND STATISTICS
      • Introduction
      • Recent surveys
      • Australian Mobile Phone Lifestyle Index
        • Table Preferred device for engagement, by activity - 2014
        • Table Customer satisfaction with mobile provider services - 2010 - 2014
        • Table Mobile phone brand ownership - 2010 - 2014
        • Table Use of mobile phones by service - 2010 - 2014
        • Table Data included in monthly plans - 2010 - 2014
        • Table Use of mobile phones by service - 2010 - 2014
        • Table Use of information services - 2010 - 2014
        • Table Tablet use of services - 2012 - 2013
      • Mobile data observations
        • Table Mobile data downloaded versus mobile subscribers - 2012 - 2015
        • Table Telstra mobile ARPU - 2009 - 2016
        • Table Telstra mobile prepaid and postpaid revenue - 2008 - 2016
        • Table Optus mobile revenue - 2013 - 2016
        • Table Vodafone Australia revenue - 2009 - 2015
        • Table HTA key metrics - financial overview - 2009 - 2015
    • KEY SERVICE PROVIDERS
      • Mobile operators
        • Table Telstra SMS traffic - 2009 - 2016
      • Service providers
        • Table Mobile Embrace key financial performance indicators - 2010 - 2016
        • Table MOKO.mobi at a glance - 2014
        • Table Overview of MOKO.mobi subsidiary companies - 2016
        • Table MOKO financial data - 2010 - 2016
        • Table Enero at a glance - 2016
        • Table Enero (Photon Group) - key financial parameters - 2010 - 2015
  • MOBILE DEVICES MARKET - SMARTPHONES, HANDSETS, PHABLETS AND TABLETS
    • THE FUTURE OF THE SMARTPHONE MARKET
      • Hardware becomes a utility platform
      • Platform for innovation and industry transformation
      • Breaking into new markets
      • Affordable smart devices
        • Table Leading countries - used smart phone market - 2016
      • Enviro-friendly handsets
      • Phablets and larger screens
      • Look towards emerging markets for smartphone growth
    • WHO WILL DOMINATE THEWIFI MARKET?
    • GLOBAL MOBILE HANDSET STATISTICS AND FORECASTS
      • Historical handset market growth
      • Global handset sales and revenue
        • Table Global - mobile handset shipments - 2004 - 2016
        • Table Global - mobile handset revenue - 2010 - 2015
        • Table Share of mobile handset shipments by region - 2012 - 2015
      • Global leading handset suppliers
        • Table Global - handset suppliers' market share - 2011 - Q3 2015
      • Brief case study: Motorola (lenovo)
    • SMART CONNECTED MOBILE DEVICES
      • Overview
        • Table Global - smart connected device shipments by price band - 2013; 2014; 2018
      • Operating system
        • Table Global - smartphone operating system market share - 2011 - Q2 2015
      • Smartphones
        • Table Global - smartphone shipments - 2010 - 2015
        • Table Global - smartphone share of handset market - 2009 - 2015
        • Table Global - top five smartphone vendors - shipments and growth - 2012 - 2015
        • Table Global - top five smartphone vendors - annual market share - 2012 - 2015
      • Touchscreen tablets
        • Table Global - tablet shipments - 2010 - 2015
        • Table Global - top five tablet vendors- market share - 2013 - 2015
    • SAFETY AND SECURITY ISSUES

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