Yahoo Canada new research: A Screen for Every Occasion

1

A Screen for

Every Occasion

Nick Drew Head of Research

Yahoo Canada

The rise of connected devices,

and the evolution of consumers

06 2007 2008 2009 2010 2011 2012 2013

74%

51%

27%

0%

50%

100%

Q4 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

2

Smartphone & tablet ownership

are growing strongly

3

416 477

81

381

100

May 2010 May 2013

Tablet Smartphone PC

Time spent online, billion minutes

Source: comScore US Media Metrix Multi Platform data

People now spend more time online

through mobile devices than PCs

more time spent

online than in 2010

92%

…of which

comes

from mobile

devices

80%

4

But these devices are cumulative

of Canadians going online

through a mobile device also

have a PC

92%

5

… which is why we did this research

CONTEXT

Understanding

existing thinking

and insight

FOCUS

In-depth discussion

with users of each

device

QUANTIFY

1000 smartphone

users, 750 of whom

own a tablet

6

people, devices th

e

Who’s using each device?

7 out of 10 Millennials have a

smartphone

25-44 year olds are the most likely

to own a tablet

1 in 4 tablet owners is aged 55+

12m Canadians have smartphones,

and 7m own a tablet

Sources: BrandSpark/ Tapped Mobile; PMB Spring 2013

8

Our screens have become integral parts of our daily lives

Midnight to 6:00 6:00 to 9:00 9:00 to 11:30 11:30 1:30 1:30 to 5:00 5:00 to 7:00 7:00 to Midnight

AM PM

9

0

20

40

60

80

100

…used throughout the day

to

% of owners using each device

10

Mobile devices aren’t

exclusively mobile

At home At work On-the-go Anywhere else

273 mins per day

137 mins per day

167 mins per day

11

For many activities, screens are

interchangeable

Browsing & reading articles

Using social media

Watching video content

Directions, looking for restaurants, games

12

…but each device tends to fulfil

particular functions

Read an article

Watch UGC videos

Social networking

Get directions/ check maps

News headlines

Read an article

Watch UGC videos

Social networking

News headlines

Check the weather

Get directions/ check maps

Check the weather

Look for restaurants, bars

Social networking

Read an e-book

Top activities by device

Screens also play an important role

in parenting

46% of parents with kids

under 4 said they let them play

with their devices

For those with kids aged 9 to

12, the figure rises to

93%

“I generally let my children

use my iPad and smartphone as there are lots of educational

games that help them learn as well

as keep them entertained”

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Our devices are defined by relationships

“My iPhone is like a survival kit, because it

has everything I need”

“It’s like a vital organ, because I can’t

survive without it”

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► Only 13% of owners say their tablet is essential

► ...but they average more than 2

hours a day on their tablet

► …and 6 out of 10 would give up chocolate rather than their tablet

Our devices are defined by relationships

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“My laptop is like a workhorse because it is

taken everywhere and used for everything

be it work or personal”

“…like a best friend because it is reliable

and awesome”

Our devices are defined by relationships

17

Our devices are defined by relationships

18

The changing role of

tv

19

Media multi-tasking is now commonplace

use their smartphone while

watching TV 7 out of 10

2/3 multitask on a tablet

20

Some multitasking is related to what’s on TV…

84%

Check email &

send texts

71%

Just mess

around, kill

time

69%

Internet browsing

unrelated to what’s on TV

65%

Check social

media

62%

Internet browsing

related to what’s

on TV

59%

Search for info

about an ad

on TV

35%

Watch

video

29%

Music

50%

Play games

Activities Done

While Watching

TV (%)

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Different TV shows have different levels of attention

FOCUS ON TV

22 Yahoo Confidential & Proprietary

Sometimes the television is the

second screen

“I watch a lot of TV… I watch

dramas like Dexter and Breaking Bad,

documentaries and lots of movies.”

“My viewing hasn’t changed as far as how much my TV is on, but

my usage of the internet and other computer and mobile activities

has increased significantly over the last couple of years.

I know I don’t pay as much attention to my TV”

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Shopping and the

mobile device

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Mobile devices are in the path to purchase

84%

82%

38%

61%

45%

29%

Researched before buying something

Made a purchase

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…but the PC remains the preferred screen for purchasing

4 out of 5 are completely comfortable buying through a PC,

compared to less than half on a tablet and 1 in 3 on a smartphone.

“I do browse online stores on

mobile and tablet however

I always make my

purchase on my laptop.

The main reason is because

my laptop screen is bigger so

I can see the product better

and also I just have better

peace of mind purchasing via

my laptop.”

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Smartphones change the in-store

shopping process

59

49

47

45

42

30

61

49

35

%

Email, text or call someone for a second opinion

Send a photo for a second opinion

Search online for more product info

Search online for product reviews

Check availability at other store locations

Redeem e-coupons

Take photos of products for future reference

Do price comparison

Change my mind about buying a product

Activities done in-store

27 Yahoo Confidential & Proprietary

Showrooming means

different things to different people

Men: ‘fact-finding’

Comparing prices online

Searching online for product

reviews/

details

Looking for availability at other

locations

Changing their mind about

buying a product

Women: ‘social

showrooming’

Taking photos of products for

future reference

Emailing, texting or calling

friends for a second opinion

Sending photos of a product

to someone else

More ENTERTAINING

More MOTIVATING

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Mobile ads aren’t currently a major part of the

purchase process

Ads on PC are seen as:

More EDUCATIONAL

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Each device has a different focus in the purchase process

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Mobile devices are increasingly a part of Canadian’s lives, and have become vital parts of

the daily routine, fulfilling different roles throughout the day.

They’re no longer the preserve of technophile youth, either: tablets in particular are

bringing the connected lifestyle to older demographics.

Users are generally device-agnostic, each excels in particular areas or roles that define

our relationships with them.

› The smartphone is the most personal screen, and being ever-present, is a functional

toolkit for every situation.

› The tablet is an immersive playground, offering a rich and content experience.

› …while the PC remains the reliable workhorse, the turn-to device for transactions and

content.

While these relationships are causing consumption of other media to evolve – most

notably TV – it’s clear that they’re complementing, not replacing, our use of other

screens.

The multi-device lifestyle

The evolution of shopping

The growing importance of connected devices can also be seen in the evolution of

Canadians’ shopping habits.

Online research is now a critical part of many purchases, but “research online, buy

offline” is still more prevalent than showrooming.

As in other areas, each device shines at different stages of the path to purchase: tablets

are best for researching, PCs are the preferred device for making online purchases, and

the smartphone provides the link from the living room to the changing room.

Showrooming takes many forms for Canadian consumers; many such activities seem to

be more about validation than competitive intelligence.

And ultimately there are key opportunities for brands and retailers to help people in their

purchase process, through their connected devices.

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A Screen for

Every Occasion

Nick Drew Head of Research

Yahoo Canada

advertising.yahoo.ca

ca-insights@yahoo-inc.com