China's Mobile Internet Revolution... and What It Means to The Rest of The World...

China’s Mobile Internet Revolution � Why It Matters to The Rest of The World… � 

About Me � •  18  years  in  Greater  China.  

•  Consul3ng,  Investment  and  ICT  sectors.  

•  Operated  in  Shanghai,  Beijing,  Hubei,  Jilin  and  Heilongjiang  provinces.  

•  President  Asia  Pacific  –  PhiComm  Communica3on.  

•  Joint  CEO  –  Beijing  Perfect  Vision  Media.  

•  Founder  –  UbiqPay  Pte  Ltd.  

What We Do � 

Device  Distribu,on � 

Mobile  App  Store � 

Mobile  Applica,ons � 

Some Trends � #1 � 

Some Trends � #2 � 

Some Trends � #3 � 

Some Trends � #4 � 

Some Trends � 

Source:  Flurry,    comScore,  Alexa  

Some Trends � #5 � 

What About China? � #1 � 

What About China? � #2 � 

What About China? � #3 � 

Fast Facts � 250m   Weibo  (twiSer)  users  

812m   QQ  (chat)  users  

200m   Tudou  monthly  ac3ves  

120m   Combined  fans  of  top  10  web  users  

39%   Users  who  click  on  mobile  ads  

32%   Users  who’ve  made  a  mobile  purchase  

10   Minimum  number  of  SNS  sites  with  >100m  users    

900m   wireless  subscribers  

350m   mobile  internet  users  

250m   new  devices  per  year  

100m   Smartphone  sales  in  2011  

19%   2011  smartphone  penetra3on  

46%   Ne3zens  who  access  internet  ONLY  via  mobile  

Internet Usage � 

Social Media � 

App Stores � 

Mobile User Profile � 

Youths  Leading  The  Way �  Expected  Price:  <  RMB  2,000 � 

Smartphones  <  RMB  1,000 � 

2008   2011  2010  2009  

Branded    

Non-­‐Branded  

PC    Cheap  Smartphones � 

$5000  

$1000  

￥5000  

￥1000  

Price  (RMB)  

Blue  Collar  Workers  

Students  &  Youths  

White  Collar  Workers  

83%  

Time  (year)  

Smartphone OS � #4 � 

Smartphone  OS  Market  Share  in  China � 

Shanzhai Culture � 

Shanzhai Culture � 

Fierce Competition � U.S.  innova,on  � Chinese  Shanzhai �

More Examples � 

Iden%cal  or  quasi  clones  of  Pinterest  are  popping  up  in  China  �

Micro-Innovations � US� China � Micro-­‐Innova,on�

Google� Baidu � Tieba  /  Zhidao �

ICQ  /  MSN� QQ� QQ  Show  �

Yahoo � Sina� Blog�

eBay� Taobao � Free  lis3ngs�

Amazon � 360Buy� COD�

PayPal � AliPay� Escrow  Payment �

Facebook� Renren  /  Kaixin � ? �

TwiSer� Sina  Weibo � Photo  /  Video,  etc.�

Groupon� 1500  copycats � ? �

Acquisitions in China � 

Popular Apps � 

IOS vs Android � 

IOS,  iTunes� Android  MarketPlace �

Free:  Paid  =  1:1� Free:  Paid  =  2:1�

Apps  number � Apps  installa,on/user � Apps  weekly  download/user �

       Difficult  to  do  paid  Android  Apps  in  China!�

Developer Profile �         Experience  in  Mobile  Internet�

R&D  Team  Size �

<  2� 2~5� 6~10� >  10�

<  1� 1~3� 3~5� >  5�

Platform Preferences � Current � Future �

Case Study � 

•  Launch  IOS  app  on  2011/08/03.  

•  #3  in  Free  SNS  on  2011/08/31.  

•  Achieved  100k  users  on  2011/09/03.  

•  Launched  Android  app  on  2011/12/14.  

•  Achieved  1m  users  on2012/01/28.  

•  Achieved  2m  users  on2012/03/09.  

•  Achieved  3m  users  on2012/04/09.  

•  Achieved  4m  users  on2012/05/02.  

•  Achieved  5m  users  on2012/05/19.  

•  Achieved  6m  users  on2012/06/04.  

•  Users  in  over  60  countries.  

Aeer  the  bloodbath,  only  the  figest  survive…  and  rise  like  a  phoenix  from  the  ashes…  

Thank  You! � 

Michael  Tan  [email protected]  

Mobile:  +65-­‐9423  5678