With Q3 numbers, Opera Mediaworks is the no.1 independent mobile ad platform

Today, Opera Software reported third quarter earnings, showing strong revenue growth from Opera Mediaworks, the mobile advertising subsidiary.

Some highlights from the earnings report that went out today:

  • Opera reported Q3 revenues of $138.8 million, up 84% from Q3 2013
  • Adjusted EBITDA* of $33.9 million, up 51% from Q3 2013

In Q3, the Opera Mediaworks business became the largest independent mobile ad platform globally, as measured by reported revenue. The Opera Mediaworks business showed revenues of $86.9 million in Q3, up 193% compared to the same time last year.

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Last quarter, revenues from Opera Mediaworks surpassed Opera’s overall revenues by 50 percent. In Q3, they were well above 60 percent of the company’s overall revenues. In stark contrast to the scaled businesses in the mobile ad tech space, the Opera Mediaworks business generates healthy operating income.

Total mobile advertising impressions now managed by the Opera Mediaworks platform are 187.5 billion – up 9% compared to Q3 2013. This revenue growth was driven primarily by increased revenue from premium and performance advertisers and “app install” driven spend from primarily the mobile gaming sector.

In Q3, Opera Mediaworks also closed the acquisition of AdColony and saw a very strong contribution from the company in Q3 earnings. Opera Mediaworks made a strong bet on mobile video advertising by acquiring AdColony, and today, close to half of Opera Mediaworks’ revenues come from mobile video.

One in 10 mobile ads in the United States today is video, as reported by our Q3 State of Mobile Advertising report,  and that trend is only growing as we move toward the magical impact of video on consumers through sight, sound and motion.

AdColony excels in delivering innovative, TV-like crystal-clear video ads instantly in HD across the most popular iOS and Android smartphone and tablet apps in the world.

Together with AdColony, the Opera Mediaworks’ mobile advertising platform now reaches more than 800 million consumers globally. When combined with the Opera owned and operated properties, Opera Mediaworks has a reach of 1 billion consumers.

“We are proud to report yet another successful quarter with record revenues,” said Mahi de Silva, CEO, Opera Mediaworks. “Our Q3 results and the addition of AdColony, positions us the no.1 independent mobile ad platform globally. While generating record revenues, we are also delivering very healthy profits, in sharp contrast to other mobile ad tech companies.”

You can read more about Opera’s Q3 results here.

Code Mobile and more…

Opera Mediaworks at the Code Mobile conference

Opera Mediaworks at the Code Mobile conference

Opera Mediaworks was one of the founding partners for the prestigious Code Mobile conference in Half Moon Bay earlier this week.  Apart from the gorgeous location at the Ritz Carlton, Code Mobile proved to be a solid gathering of some of the key personalities in the mobile industry – discussing some of the important trends and innovations in mobile.

It was  interesting to catch them talk about how they have utilized mobile as a platform to either connect people, enable commerce or just unleash their creativity.

At the end of the day and a half, it was clear that mobile is a pervasive platform that is here to stay. This is clearly expressed in this piece in Re/Code on the “World of Mobile by Numbers.” You will see the Opera Mediaworks’ Q3 2014 State of Mobile Advertising highly cited here.

CEO Mahi de Silva and President, Global Ad Sales, Scott Swanson at Code Mobile

CEO Mahi de Silva and President, Global Ad Sales, Scott Swanson at Code Mobile

In other news, Opera Mediaworks CEO Mahi de Silva was seen earlier this week talking on Bloomberg West about our latest State of Mobile Advertising report. Mahi focused on Android and iOS as mobile platforms and which one garners more mobile ad impressions versus mobile monetization.  He also talked about the rise of mobile video as a way for brands to connect with their audiences on the devices closest to them – their phones. See the interview here.

All in all, a very busy and fruitful week for Opera Mediaworks!

Proximity marketing for holiday shoppers

omw_logo_1Beginning in November, Macy’s will roll out a proximity-marketing platform that helps shoppers find the specific item they’re seeking — and will also offer recommendations about merchandise in their local Macy’s that they may not be aware of.

The program works with Google’s proximity marketing platform that taps into the marketing and sales possibilities of using GPS to give consumers promotional stimuli at times that it can be most impactful: while they’re either in or near retail outlets.

“We’re trying to encourage omni-shopping behaviors in consumers,” Jennifer Kasper, group VP-digital media and multicultural marketing at Macy’s, told Ad Age. “We know that we have great opportunity to build a longer, more loyal relationship with them if we are successful in communicating…and encouraging discovery.”

With this new feature, shoppers can search for an item on their phones and see exactly what Macy’s locations have it in stock. Along with images of the items, shoppers will be able to view product details like price, size and color, directions to the store, and a link to the item on the retailer’s website.

The program will also suggest other items in Macy’s stores on a customized basis.

“This is a great opportunity for us to shine a light on what’s in our stores,” Kasper says. “It’s getting more credit for the inventory that’s in our stores through digital.”

Macy’s has been testing the local inventory ads in various markets over the past year and so far, the results have been encouraging.

But while search-based mobile marketing does hit the consumer at a great time — while they are actively seeking products — this does not, by any means, eclipse the importance of other types of location-based brand campaigns.

There are ways to know if a customer is in-market for a product without them having to type it into a search engine. You can obtain rich consumer profiles and achieve very precise targeting for rich media brand campaigns that deliver on strong KPIs. And there’s no partnership required to do so.

Take, for instance, a rich media ad unit that dynamically populates the ad with products based on where the user is located. This product, called Shop Local, lets advertisers customize the design of the interface of that unit to match their ad branding, too. It’s a complete solution that allows both map and list display, sorting of entries by either price or popularity, dynamic feed of offerings per specific location and a swipe-able product gallery. It’s like a shopping experience – all within an ad unit.

Understanding the impact of these types of units is actually fairly easy, too. Through Shopper Insights — a reporting technology that analyzes billions of locations from the largest opt-in panel in the industry and measures the data signals shift to confirm in-store visits — it is possible to determine exactly how many unique visitors went to a retail location after seeing an ad. Retailers will also be able to understand the characteristics of their audience exposed to mobile ads, indexed against U.S. population.

And now is the time to be thinking more about the mobile opportunity for retail. With the holiday season fast approaching, shoppers are more likely than ever to turn to their mobile devices to view offers, comparison shop in-store and purchase goods and services.

According to the Ipsos Holiday Shopping Study, more than 75% of all smartphone owners will use their device for holiday shopping and that 1 out of every 4 will make a purchase on their phone.

Consumers are starting their research earlier than ever and retailers are expanding their Black Friday promotions across the entire month of November. What used to be a one-day special is now a month-long event, making location-based campaigns more important than ever.

Shoppers are also spending more time researching and consulting more sources before making a decision. In 2010, consumers used an average of five sources of information before making their purchase. That number has more than doubled, with shoppers consulting at least 12 sources last year. That means that October through November has become a pivotal window for retailers to reach their consumers, present them with offers, information and other valuable content.

Android and mobile video on the rise

Today we released our quarterly State of Mobile Advertising report, using the impression and monetization data from the third quarter of this year. The findings, while not surprising, do point to some significant trends that we’re seeing as we round the corner of 2014 and head into the final stretch.

Android, for instance, has truly risen from its 2013 position and has made a deep impression (pun intended!) on the global consumer. It seems almost implausible that just one year ago, iOS was the clear leader of the two operating systems. While iOS continues to dominate monetization, with more than half (51%) of market share, Android is catching up. Google’s mobile OS climbed three percentage points in the last quarter to reach 42% of revenue. In terms of impression volume, Android devices captured almost 58%, nearly double that of Apple devices (30%).


phonesWhile marketers and technologists tend to think of the mobile device battle as “Android vs. iOS,” consumers have typically been more concerned about device type and brand, such as a Samsung Galaxy or an Apple iPad.

However, as noted in a recent study by J.D. Power & Associates, operating systems are becoming more of a factor and are a significant driver of device selection, user experience and brand satisfaction. Consumer satisfaction with mobile devices is becoming more closely tied to the system powering it than the bells and whistles it provides, reported MediaPost last week. As such, we will continue to closely watch the popularity of these top two operating systems ebb and flow through the rest of the year and into 2015.

Another significant finding from this quarter’s SMA is the clear rise of mobile video advertising. Marketers are quickly adopting it as a format: brand spending on in-app HD mobile ads has increased 36% from the second quarter, and 1 in 10 mobile ads in the U.S. are now video. Mobile video ads are also incredible revenue opportunity for publishers, as eCPMs are 8X that of regular banner ads and 2X higher than rich media ads.

ecpm_multiples[1]With that rise, and the interest mobile video is getting from advertisers — especially those in Entertainment, CPG and Financial Services — comes a series of questions. As part of our integration with the premium video ad platform AdColony, we were able to cull some data that helps to address some common questions from advertisers. Below are three of those that we were able to answer in this report.

Q: What is the ideal length for a mobile video ad?

A: The average length of a mobile video ad is 20.6 seconds, but 53% of video impressions are shorter than that. Advertisers are finding that short videos (<15 seconds) can support a number of marketing goals, from driving awareness to purchase intent.

mobile_video_creativeQ: Who watches more video, iOS or Android users?

A: iOS users. There are more video impressions served to them, relevant to overall market share.

Q: What are the hot app categories for mobile video?

A: Shopping, Sports, Social and Health & Fitness are the categories that are seeing the strongest mobile video ad completion rates — with many of those averaging higher than 90%.

For deeper background on these questions, and additional findings from Q3, see the full report.


The true value of beacons is not in the here-and-now

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This week, Buzzfeed reported that New York City had authorized an advertising company to place 500 beacons on the sides of phone booths, which would send push notifications to phones that had the GameStop app on their phone every time they walk by a brick-and-mortar location.

Within 12 hours of the report, a city spokesman said the beacons would be removed.

Why the uproar over beacons? The problem is that they are a relatively new technology that consumers don’t fully understand. Highly targeted advertising, especially related to location, can give the impression that you are being “tracked,” when in fact that is not really the case.

“Beacons don’t track. Beacons are a way that any object can say ‘I am here,’ but you need to download the app,” Jules Polonetsky, director of the Future of Privacy Forum, explained. In fact, they might even be the most user-friendly of all new technologies, he told the International Business Times.

Our Director of Innovation Product Strategy and Marketing, Andrew Dubatowka, might agree. But he has a different take on the value of beacons – one that is very different from the activation we saw in New York this week.

Rather than being about the “here and now,” or real-time ad messaging, he thinks that beacons are really about creating new opportunities for marketers to build deeper audience segmentations, and to move into advanced location targeting.

As he wrote in an article that was published by StreetFight today:

Imagine being able to segment users and advertise to them at scale based on exactly where they have gone, when and how often. Maybe you want to target users who have been in your store in the past month, or who haven’t been in your store in the past month, or who go in your store once per month every month. Or maybe you want to target that fitness enthusiast who visits the gym everyday or that auto-intender who visited several car dealerships over the last few days.

An even more interesting advertising use case than in-store alerts is using advanced beacon data to hyper-target an audience across a broad set of mobile apps and sites, times of day and contexts. Finding that fitness addict when he is watching sports highlights, or reaching a loyal customer while she is checking the news are what we should be getting excited about.

Andrew also talks about the challenges of beacon implementation, one of which is gaining a critical mass of users for the brand’s native app. He says that once brands let go of that need – and also lets go of the focus on real-time messaging – it opens them up to so many different types of targeting, across a wide array of mobile inventory and contexts.

Curious about beacons and want to learn more? Read the whole article here.



Advertising Week 2014 was in full force this week as nearly 100,000 marketing professionals descended upon New York City to talk shop and attend a smorgasbord of panels, seminars and workshops.

And this year, the vast majority of the events revolved around all things mobile.

While the focus on mobile should come as no surprise as digital advertising continues to take up an ever-growing piece of the global advertising pie, there were certainly a number of interesting takeaways from this year’s marketing blitz.

Here are the 5 most important points made during Advertising Week:


Social media giant Facebook unveiled its long-awaited and much-anticipated Google AdSense competitor. It’s called Atlas, and it will enable brands to leverage the social network’s massive amount of data to target ads on sites across the web.

Erik Johnson, the head of Atlas, maintains that the traditional means of tracking consumers — cookies — is flawed, because consumers are diversifying their devices.

“Cookies don’t work on mobile, are becoming less accurate in demographic targeting and can’t easily or accurately measure the customer purchase funnel across browsers and devices or into the offline world,” Johnson said.

Atlas, on the other hand, provides “people-based marketing,” or more specifically, marketing based on Facebook’s data, as the ultimate solution. Facebook claims that the new platform means that advertisers cannot only track users between various devices, but can connect online campaigns to offline sales in order to decipher just how effective a campaign really was.


It’s all about timing. If advertisers can time their ads to reach consumers when they are attentive and open, brand performance is likely to improve. Okay, so that may seem obvious, but the art, or science rather, of getting the ads in front of the right people at just the right time is a feat in its own right.

The average attention span these days is about 8 seconds, and that’s down from 12 seconds from a decade ago. Given this brief window of opportunity, many brands have turned their focus towards mastering the 6-second Vine video. Yet the problem with this approach is that it does not account for context.

A better strategy for brands is to focus on understanding consumer behavior. Consumers are watching all forms of digital video content on all forms of devices at all hours of the day. The difference, though, in a consumer’s ability to truly receive the message may have a lot to do with where he or she is when the message is served. Contrary to popular though, consumers are not necessarily most attentive while they are at home watching television. It’s when they are on their smartphones that they are most receptive, and more specifically, when they are at school or at work.

Greater attentiveness and receptiveness drives brand favorability, purchase intent and recommendation intent. So if you want to really make an impact, make sure your timing is right.


Native advertising is arguably one of the biggest trends in advertising right now. Spending on native ads on social sites alone is expected to increase from $3.1 billion to $5 billion in 2017. Yet it’s not just the sales that are growing, it’s the practice of native advertising that’s evolving as well. And this means that our understanding of what works and what doesn’t is becoming more thorough too. Here’s what we’ve learned so far:

  •  Relevancy is key: without relevance, users are quick to reject the ad, seeing it as an obstruction that they are quick to dismiss
  • Choose the right outlet: well-chosen outlets allow well-chosen topics into a success for both the brand and the publisher
  • Authenticity: provide native content that is as authentic as the editorial site of an operation, and the content will increase value for all involved
  • Integration: integration is a vital component of any successful native advertisement


As social media outlets continue to expand, with mobile feeds taking the reigns on storytelling, brands need to figure out how to best position themselves on social platforms. They need to find a way to feel more tangible and accessible to consumers. They need to find a way to establish that human connection.

“It’s important for consumers to be able to feel that they are engaging with brands,” said Marla Kaplowitz, North American CEO of MEC.

So just how do brands go about finding that human connection? Take a look at Skype. Skype realized that its real value was not in its ability to allow people to converse over the Internet. Its real value is in the connections it creates and the way it affects people’s everyday lives. Drawing from that revelation, the brand has taken a new approach to advertising, including:

  •  Helping young leukemia patients combat loneliness
  • Teaming up with YouTube stars JacksGap for a new documentary series focusing on three women who use Skype in unique ways
  • Connecting Guardians of the Galaxy fans with the cast and crew


Data has been around forever. It’s nothing newsworthy. It’s nothing fresh. But what brands are doing with it most certainly is.

“People think data is the new thing, and to that I say ‘bullshit,’” said Bartle Bogle Hegarty founder John Hegarty, who spoke on an Adweek panel called “When Big Data Met Big Creativity” alongside Chuck Porter, chairman of CP&B and Tham Khai Meng, worldwide chief creative officer and chairman of Ogilvy.

Right now, there is a massive amount of data out there. It’s what Mr. Tham calls “infobesity.” But just because there is all this information doesn’t mean it should be the sole metric to measure an idea. Rather, data should work in conjunction with creativity. In fact, as the speakers said, data are insights best used as an inspiration to reach and identify an audience.

As an example, Mr. Tham brought up the Dove “Campaign for Real Beauty”, which has received a number of accolades but grew out of a single piece of data — that only 4% of women considered themselves beautiful. “Data is the orchestra, creative is the music,” Tham said. “You need both.”

Another example is BBH’s “Keep Walking” campaign for Johnnie Walker, which grew out of the data point that its consumers were successful yet still striving.

“Any creative is obsessed with data,” said Mr. Hegarty, as it sheds light on the consumer. Yet data should be used “to guide us, not to be our masters.”

Mr. Porter agreed, extolling the creative idea as paramount. “In any new medium, the great story is the killer app,” he said.

And it’s like Mr. Hegarty said: “Human beings are not a collection of algorithms.” And neither are the best advertisements.

We’re at Advertising Week 2014!

Opera Mediaworks  will be at multiple events this week in New York City to partake in Advertising Week.  Kicking it off, Hannah Magee, SVP, Sales, Opera Mediaworks will host a fireside chat with Ritu Trivedi, EVP, MediaVest USA at the Mobile Media Summit at 12:20 pm on Monday, September 29.

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Hannah Magee, SVP, Sales, Opera Mediaworks

Scott Swanson, President, Global Advertising Sales, will take the stage at the IAB Mixx conference down the street, to talk in a Rich Media Creative Showcase along with Florian Gmeiner, Head of Marketing US for Lufthansa at 4:45 pm on September 29.

Scott and Florian will address how marketers need to do more to deliver meaningful, highly-captivating brand messages to their audiences in the most effective and measurable manner on mobile devices. They will walk the audience through a case study of a recent Lufthansa rich media campaign.

Later in the week, CEO Mahi de Silva will speak along side representatives from Hearst Digital Media, CrossBeam Media and the New York Times at the AdMonsters Meetup on Wednesday, October 1. They will address the topic of The Multichannel Endeavor: Balancing Product Innovation and Workflow Efficiencies for publishers.

Opera Mediaworks has been nominated for three awards this week at Advertising Week for the creative JetBlue voice-activated ad campaign – the Mobile Mafia Awards, the IAB Mixx Awards and the MMA Smarties. Wish us luck and hope to see you at Advertising Week in NYC this week!

1 in 4 Video Views is now on Mobile

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The fact that mobile video is becoming a more important part of the online video ecosystem certainly doesn’t come as a surprise, but the fact that it is doing so at such a fast pace is, well, impressive at the very least.

One of the big players in the online video world, Ooyala, just released its Q2 2014 Global Video Index Report, with insight into the rapid growth of mobile video consumption.

The findings indicate that in the past year, mobile video viewing has more than doubled, from 11% of all online viewing to more than 25%, a 127% increase. And the pace of growth appears to be accelerating. By the beginning of 2016, the viewing of online video on mobile devices is on track to make up more than half of all online video views.

One of the main factors contributing to such rapid growth is the shift toward smarter technology and bigger screens that make the viewing experience not just bigger, but richer.

“Bigger, higher resolution screens are a great philosophical validation of what we stand for in mobile: the highest quality video and highest impact user experience, writes Will Kassoy on the AdColony blog.

“We think bigger screens with even better resolution will translation to more content consumption and more immersive mobile experiences. As trends indicate, this uptick in content consumption will be primarily video based. Better videos with more pixels and stunning HD picture will allow for even deeper messages and experiences from brands.”

Other factors helping spur such rapid growth include:

  • An increase in the amount of video content available for mobile devices
  • Increasing deployments of TV Everywhere by operators and direct-to-customer deployments by content owners, focusing on mobile devices
  • An increasing understanding that younger users are looking to their mobile devices for much of their video entertainment
  • Faster, more robust networks available across the world

The report also provides some noteworthy insight on consumer behavior. Research shows that viewers look to big screens for big chunks of entertainment. Consumers with connected TVs spent 81% of their time watching videos longer than 10 minutes. On tablets, viewers spent 23% of their time watching videos between 30 and 60 minutes in length, more than on any other device.

The study also underscores the smartphone’s use as a “snacking tool.” While the increasing size of mobile phone screens — and the quality of image they deliver — is helping those devices make significant headway in the realm of consuming content longer than 60 minutes, the shorter videos are still its sweet spot. Viewers spent 45% of their time watching videos of six minutes or less in length on their mobile devices. And videos from 1-3 minutes long get the most play regardless of devices.

In a special section of the report, Ooyala takes a playful look at the potential impact of weather on multiscreen viewing habits. Using Boston as the representative city, the report compares how consumption during a week of cold, rainy weather compared to usage on a warm, sunny week across the same set of video providers.

The results showed, perhaps not surprisingly, that during the week of warm weather, traffic as measured in the number of plays across all devices was up about 8%, with a boost of 23% on smartphones and a 10% bump in tablet plays.

In regards to the more inclement weather, there may have been fewer video plays on all devices, but overall video engagement still surged. In the case of desktops, viewing time climbed nearly 40%, while time watching video on tablets increased 5%. Only mobile saw a decline in viewing time, about 3%, leading to the assumption that smartphones are more commonly used for short video “snacking” in any type of weather.




How Are Automakers Using Location-Based Mobile Ads?


The auto industry was one of the first to embrace content and advertising on smartphone screens, and it continues to be one of the top-spending mobile ad categories. But while the investment has undoubtedly been substantial, auto brands are still navigating how to intercept prospective car-buyers at various points of the research process and turn them into customers.

A recent consumer tracking study by digital think tank L2 sheds light on the industry’s efforts to adapt to the evolving mobile landscape and car shoppers’ mobile behavior. The study suggests that auto shoppers spend about a quarter of their time accessing online resources from mobile devices. It also indicates that nearly 1-in-10 auto shoppers are already at a dealership when they access information from their device, with 16% of mobile auto shoppers reporting their prospective purchase as “imminent.” These findings underscore the need for auto brands to optimize features that prove particularly relevant on the dealer lot.

While the vast majority (90%) of auto sites are mobile-optimized, they continue to tweak and develop new features to cater to on-site shoppers. Based on the 42 auto brands surveyed by L2 this past June, 84% are location-aware, 74% show current offers, 53% offer a finance calculator, and about 24% feature live chat.

The Opera Mediaworks team, working with Saatchi & Saatchi in LA, recently created a custom Dynamic Sales Event digital ad unit for Toyota, which allowed the automaker to serve real-time offers to in-market consumers based on their exact location.

The highly-localized ad leverages the back-end technology of the automaker’s website, which provides the most recent annual percentage rate (APR) for each dealership, by region.  Specifically, it uses the Application Programming Interface (API) to update banner creative and display the relevant APR to customer’s in the dealer’s vicinity.

To provide a real-time list of consumers who are physically near the dealership, the location targeting utilizes latitude and longitude data, not IP addresses. The banner is also only served to customers who are in the market to make a purchase. These consumers are identified through a combination of anonymous data from Opera’s proprietary Audience Management Platform (AMP).

As of this point, the results have been really positive. In comparison to the non-dynamic ads, there is a substantial difference of +101% in intender response. For more information on the campaign, see the editorial coverage from Automotive News and MediaPost.

This customized ad is just one example of what’s cooking in our newly launched Innovation Lab. There is lots more to come in the rest of Q3 and Q4.

Apple’s Fall announcement and what it means for marketers?

As the dust settles from the big Apple announcement from Tuesday, the big question on the minds of brands, advertisers, developers and publishers is: how does this effect my business?

There is no doubt that Apple has set the precedent on many things during its Tuesday announcement: form factor, mobile payments, wearables and operating systems. Opera Mediaworks CEO Mahi de Silva has some thoughts on what Apple’s announcement means for marketers.


Mahi divided up his conclusions under the following buckets:

1. Form Factor: Screen Sizes and Camera

With Apple announcing larger screen sizes for its phones, there is an affirmation of the tablet market that we and other third-party firms have already predicted. While just 20 million of the 980 million smartphones shipped globally in 2013 were phablets, that number is predicted by Juniper Research to lift 600% to reach 120 million by 2018.

Apple’s newer devices, which will ship later this fall, will add to that number significantly. This will give brands and marketers bigger and better screens to deliver high-quality, full-screen images and videos. Studies have shown that high-resolution, HD-quality videos have much higher engagement and conversation rates. Opera Mediaworks acquisition of AdColony (that specializes in HD-quality video advertising) early this summer will help us stay ahead of this trend.

Another big upgrade to iPhones will be the much superior camera. Lately we have seen immense interest from advertisers to be able to incorporate the camera into their mobile ad campaigns, and a better camera will result in better campaigns. A faster processor and better graphics will also be very helpful – this means less friction in putting together more compelling campaigns that offer virtual-reality like experiences and become more successful.

2. Apple Pay

Apple has made a very strong move from payment for content and apps to, now, retail with the Apple Pay announcement. Apple with more than 500M iTunes accounts will make NFC payments a reality.  This is a great step in being able to have end-to-end conversation with the consumer — from gathering data to targeting them with an ad, which finally ends in a trackable transaction. Mobile advertising will now be relevant in a huge part of the global economy – retail commerce (an area that desktop digital doesn’t serve).

3. Apple Watch

Although there is much debate about the potential success of the Apple Watch, we expect the many consumers will buy them. Apple will likely become the no. 1 player in digital watches — because of the cool factor and elegant integration with iPhones and HealthKit..

The Apple Watch with all the data gathering capabilities will be a catalyst in helping health and fitness app developers profile their users into granular categories like “running maniac”, “diet-conscious”, or “trail rider”.  Given the sensitivity of this data, users will have to consent to sharing this data in an appropriate value exchange.  This anonymized and aggregated data will enable marketers to pin-point their target audience — significantly boosting the relevancy of the advertising in the health and fitness category.

This does not necessarily mean that consumers will start seeing ads on the Apple Watch. Instead we expect that Health & Fitness applications will start to get more usage and within that context, marketers will find a rich audience to promote their products and services, most likely on a device that’s connected to the wearable.


Tuesday’s event shows how Apple is still capable of leading the innovation curve on smartphones and the wearables market.

Even if they are not the first to deliver the smartwatch – the capabilities of the Apple Watch are much better thought-out on how consumer can actually use them, as opposed to just a wearable device that promises a lot and does not deliver.

iOS 8 coupled with the iPhone 6, leads the innovation curve in capabilities, and many parts of the Android world will struggle to catch up. Apple has out-innovated other handset manufacturers with its operating system. Even though manufactures like Samsung and LG made the early bet on phablets – it’s more than just the size of the screen — it’s what you can do with your phone and how does it help your digital life — and that’s where Apple continues to push the envelope.