Mobile Advertising Market - India

February 2015

Executive Summary

Market
Overview

Drivers &
Challenges

Recent
Developments

Global market size of mobile advertising stood at INR a1 bn in 20--, growing at a CAGR of a2%
from the previous year
Market size of mobile advertising in 20-- and 20-- was around INR a3 bn and INR a4 bn
respectively in India
It is in state1 which are statement1 across the country at element1

Drivers:

Challenges:

Rising Mobile Device Adoption and

Colossal Wireless Subscriber Base
Growing Demand for Rich Digital Contents
High Affordability
Introduction and Availability of Next
Generation Cellular Networks

Affordability of Next Generation

Mobile Networks
Low Smartphone and Tablet
Penetration in Rural Areas

Development1
Development2
Development3
Key Players

Competitive
Landscape

InMobi Technology Services Pvt.

Ltd.

Komli Media India Pvt.

Ltd.

Ozone Media Solutions Pvt. Ltd.

PK Online Ventures Pvt. Ltd.

SVG Media Pvt. Ltd.

AdMob Google Inc.

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Macroeconomic Indicators
Introduction
Market Overview
Drivers and Challenges
Recent Development
Competitive Landscape
Strategic Recommendations
Appendix

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Economic Indicators (-/-)

GDP at Factor Cost: Quarterly
INR tn
c4
b4
a4

15
14 d1
c1
13 b1

c3
b3
a3

d2
c2
b2
a2

12 a1
11
Q1

Q2
2010-11

2011-12

2012-13

Q3
2013-14

Q4

Inflation Rate: Monthly

%
2.0

1.5

s
q

1.0

t
r

0.5
0.0

Jun 2013 - Jul 2013

Jul 2013 - Aug 2013

Aug 2013 - Sep 2013

Sep 2013 - Oct 2013

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Oct 2013 - Nov 2013

4

Introduction
Mobile Advertising (Ad) Overview
Mobile advertising is the act of using mobile devices such as cellular phones and Tablet PCs as a medium to deliver
promotional messages
Mobile advertising is a subset of mobile marketing but it is often used interchangeably

With rising competition and growing need for customer acquisition, newer mediums and methods of advertising and
promotion are becoming very crucial
The overall aim is to reach the target consumer with the effectual product promotion in terms of interests, demographical
characteristics and relevant geological location

With exponentially growing number of active mobile devices and usage trends of mobile services and Value Added
Services (VAS), India is rapidly becoming one of the most attractive market for mobile marketers and advertisers

Mobile Marketing Activities

Mobile Website
of Company

Mobile
Advertising

Mobile
Application of
the Company

Mobile Version
of e-mail
Newsletters

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Location Based
Services

Mobile
Marketing Voice
Communication

Solution1 and solution2 are the most popular services in India

Market Overview India (1/2)
Revenue from mobile advertising stood at INR
in 20--, growing at a CAGR of
the previous year
Market size of mobile advertising in 20-- and 20-- was around INR

and INR

from
respectively

mobile advertising Market Size & Growth

INR bn
a6

+y%
a1

20--

a2

20--

a3

20--

a5
a4

20--

20--

20--

mobile advertising market is in condition1 and it is still at a nascent stage in India

It is in state1 which are statement1 across the country at element1
Text text text text text text text text text text text text text text text text text text text text text text text text text
Text text text text text text text text text text text text text text text text text text text text text
MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Drivers and Challenges Summary

Drivers

Challenges

Rising Mobile Device Adoption and

Colossal Wireless Subscriber Base

Affordability of Next Generation

Mobile Networks

Growing Demand for Rich Digital

Contents

Low Smartphone and Tablet

Penetration in Rural Areas

High Affordability
Introduction and Availability of Next
Generation Cellular Networks

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Recent Developments (-/-)

Development1

text text text text text text text text text text text text text text text text text text text
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Development2

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Development3

text text text text text text text text text text text text text text text text text text text
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Development4

text text text text text text text text text text text text text text text text text text text
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MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Porters Five Forces Analysis

SAMPLE

Threat of New Entrants

Text text text text text text text
text text text text text text text
text text text text text text text
text text text text
Impact
Medium
Bargaining Power of Suppliers
Text text text text text text text
text text text text text text text
text text text text text text text
text text text text

Impact
Medium

Impact
Medium

Competitive Rivalry
Text text text text text text text text
text text text text text text text text
text text text text text text text text
text text text text text text text text
text

Threat of Substitutes
Text text text text text text text
text text text text text text text
text text text text text text text
text text text text

Impact
High
Bargaining Power of Buyers
Text text text text text text text
text text text text text text text
text text text text text text text
text text text text

Impact
Low

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Competitive Benchmarking (-/-)

Key Ratios of Top 4 Companies Operational Basis (FY 2013) (1/3)

Operating Margin

%
b1

SAMPLE
Net Margin
d1

c1
c2

a1
a2

d2

b2

0
company1

company2

company3

company4

Company1 recorded operating margin of -%, higher than that of company2, company3 and company4 which recorded
operating margin of -%, - and -% respectively
Thermax however recorded the highest net margin of -% higher than that of Ion Exchange, SPML and Va Tech Wabag
which recorded net margins of -%, -% and -% respectively

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

10

Public: Domestic Company Company 1

(1/4)
Company Information

SAMPLE
Offices and Centres India

Corporate Address
Tel No.
Fax No.
Website
Year of
Incorporation
Ticker Symbol
Stock Exchange

Head Office

Products and Services

Category
Sectors (EPC)

Products/Services

Key People
Name

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Designation

11

Public: Domestic Company Company 1

(2/4)

SAMPLE

Financial Snapshot

Key Ratios

Total Income

Net Profit/Loss

Particulars

INR bn

INR bn
s1

t1

s2
t2

s4
s3
t3
t4

0
2010

2011

2012

2013

Financial Summary

y-o-y change
(2013-12)

2013

2012

2011

2010

Profitability Ratios
Operating Margin
Net Margin
Profit Before Tax Margin
Return on Equity
Return on Capital Employed
Return on Working Capital
Return on Assets
Return on Fixed Assets

Cost Ratios
The company incurred a net loss of INR - bn in FY 2013, as compared to net
profit of INR - bn in FY 2012
The company reported total income of INR - bn in FY 2013, registering a
decrease of -% over FY 2012
The company earned an operating margin of -% in FY 2013, a decrease of percentage points over FY 2012
The company reported debt to equity ratio of - in FY 2013, an increase of % over FY 2012

Market Capitalization (INR mn)

Total Enterprise Value (INR mn)
EPS (INR)
PE Ratio (Absolute)

Liquidity Ratios
Current Ratio
Cash Ratio

Leverage Ratios
Debt to Equity Ratio
Debt to Capital Ratio
Interest Coverage Ratio

Key Financial Performance Indicators

Indicators

Operating costs (% of Sales)

Administration costs (% of
Sales)
Interest costs (% of Sales)

Value (17/01/2014)

Efficiency Ratios
Fixed Asset Turnover
Asset Turnover
Current Asset Turnover
Working Capital Turnover
Capital Employed Turnover
Improved

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Decline

12

Public: Domestic Company Company 1

(3/4)

SAMPLE

Key Business Segments

Key Geographic Segments

Construction and Engineering

India

e1

e2

e3

e4

f1

f2

f3

f4

2010

2011

2012

2013

g1
0%

0%
2013

Overseas

Business Highlights

Description

News
Text text text text text text text text text text text text text text text text text text text text text text text

Overview

text text text text text text text text text text text text text text

Text text text text text text text text text text text text text text text text text text text text text text text
text text text text text text text text text text text text text text

Extensive Product
Portfolio

Text text text text text text text text text text text text text text text text text text text text text text text
text text text text text text text text text text text text text text

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

13

SAMPLE

Public: Domestic Company Company 1 (4/4)

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

14

SAMPLE

Private: Domestic Company Company 2 (1/5)

Company Information

Offices and Centres India

Corporate Address

Tel No.
Fax No.
Website
Ahmedabad

Year of Incorporation

Head Office
Products and Services
Category
Products

Products/Services
Key People
Name

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Designation

15

SAMPLE

Private: Domestic Company Company 2 (2/5)

Shareholders of the Company as on 28.09.2012

Name

Ownership Structure

No. of Shares held

Corporate Bodies

Foreign holdings

X
X

30%
Total

70%

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

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SAMPLE

Private: Domestic Company Company 2 (3/5)

Financial Snapshot

Key Ratios

Total Income

Particulars

Net Profit/Loss

INR mn

INR mn
u4
u2
u1

v4

v1

v2

u3
v3

2010

2011

2012

2013

Financial Summary

2011

2010

Operating Margin
Net Margin
Profit Before Tax Margin
Return on Equity
Return on Capital Employed
Return on Working Capital
Return on Assets
Return on Fixed Assets

Cost Ratios
Operating costs (% of Sales)
Administration costs (% of
Sales)
Interest costs (% of Sales)

Liquidity Ratios

The company reported total income of INR - mn in FY 2013,

registering an increase of -% over FY 2012

Leverage Ratios

The company reported debt to equity ratio of - in FY 2013, a

decrease of -% over FY 2012

2012

Profitability Ratios

The company earned a net profit of INR - mn in FY 2013, as

compared to net loss of INR - mn in FY 2012

The company earned an operating margin of -% in FY 2013, an

increase of - percentage points over FY 2012

y-o-y change
2013
(2013-12)

Current Ratio
Cash Ratio
Debt to Equity Ratio
Debt to Capital Ratio
Interest Coverage Ratio

Efficiency Ratios
Fixed Asset Turnover
Asset Turnover
Current Asset Turnover
Working Capital Turnover
Capital Employed Turnover
Improved

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

Decline

17

SAMPLE

Private: Domestic Company Company 2 (4/5)

Business Highlights

Description

News
Text text text text text text text text text text text text text text text text text text text text text text text

Overview

text text text text text text text text text text text text text text

Text text text text text text text text text text text text text text text text text text text text text text text
text text text text text text text text text text text text text text

Extensive Product
Portfolio

Text text text text text text text text text text text text text text text text text text text text text text text
text text text text text text text text text text text text text text

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

18

Private: Domestic Company Company 2 SWOT Analysis

(5/5)

SAMPLE

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

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Consumer Insights Survey on mobile advertising (-/-)

mobile advertising Usage and Preferences Introduction & Methodology
Survey on mobile advertising usage and preferences was
conducted across multiple social media websites and forums

Sample Size

x1

The survey has been kept close ended to capture specific

information from the respondents

Sample Sources

Social Media Websites and

Technology Forums

It has been conducted among a small group of people comprising

home users, students, salaried professionals and other segments
of the workforce

Survey Duration

z1 Weeks (Month1 Month2 20-)

Quantitative
Representation Used

Percentage

The respondents mostly head from various urban and suburban

areas of the country

Mobile Devices Possession

Q: What type of mobile device(s) do you own?
Response Options:
1) R1
2) R2
3) R3
4) R4
5) R5
6) R6
7) R7

R1

R2

R3

R4

R5

80
60
40
20
0
Note: Base is total no. of respondents

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

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Strategic Recommendations (-/-)

Text text text text text text text text text text text text text text text text text
Text text text text text text text text text text text text text text text text text

Recommendation1

Recommendation2

Text text text text text text text text text text text
text text text text text text

Text text text text text text text text text text text
text text text text text text

Text text text text text text text text text text text
text text text text

Text text text text text text text text text text text
text text text text

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text text text text text text text text text text text
text text text text text text text text

Text text text text text text text text text text text
text text text text text text text text text text text
text text text text text text text text

Text text text text text text text text text text text
text

Text text text text text text text text text text text
text

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

21

Appendix
Ratio

Calculations

Ratio

Calculations

Operating Margin

(Operating
Income/Revenues)*100

Current Ratio

Current Assets / Current

Liabilities

Net Margin

(Net Profit / Revenues) *100

Cash Ratio

Profit Before Tax Margin

(Income Before Tax / Revenues

*100

{(Cash & Bank Balance +

Marketable Securities) / Current
Liabilities)}

Debt to Equity

Total Liabilities / Shareholders

Equity

Debt to Capital Ratio

{Total Debt / (Shareholders

Equity + Total Debt)}

Interest Coverage Ratio

EBIT / Interest Expense

Fixed Asset Turnover

Sales / Fixed Assets

Asset Turnover

Sales / Total Assets

Return on Equity (ROE)

Return on Capital (ROCE)
Return on Working Capital

(Net Income / Shareholders

Equity)*100
EBIT / (Total Assets Current
Liabilities)*100
(EBIT / Working Capital) *100

Return on Assets

(EBIT / Total Assets)*100

Return on Fixed Assets

(EBIT / Fixed Assets) *100

Operating Costs (% of Sales)

(Operating Expenses / Sales)

*100

Current Asset Turnover

Sales / Current Assets

Administration Costs (% of
Sales)

(Administrative Expenses / Sales)

*100

Working Capital Turnover

Sales / Working Capital

Interest Costs (% of Sales)

(Interest Expenses / Sales) *100

Capital Employed Turnover

Sales / (Shareholders Equity +

Total Debt)

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

22

Sources of Information
Secondary Research
Print Medium

Primary Research
Interviews

Leading Newspapers

Leading Industry Vendors

Telecom and Technology Journals / Magazines

Industry Stakeholders

Business Magazines

Industry Experts

Electronic Medium

General Consumers
Online Social Media

Company Websites
Government Websites / Resources

Online Telecom Magazines

Online Technology and Gadget Journals / Articles
Premium Databases

MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

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Thank you for the attention

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MOBILE ADVERTISING MARKET IN INDIA 2015.PPT

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