Advertising - New challenges for Telcos, Media Groups & Internet Giants

Introduction: a highly coveted advertising market

1. Advertising market framework

• 1.1. Scope of the advertising market
• 1.2. Media advertising: definition and properties
• 1.3. Non-media advertising: definition and properties
• 1.4. Goals of advertising
• 1.5. Advertising market organisation
• 1.6. Change in media spending worldwide
  • 1.6.1. Advertising spending, per medium
  • 1.6.2. Ad spending by geographical zone
  • 1.6.3. Comparison of the media advertising spending structure in the largest markets
• 1.7. Non-media still accounts for the lion' s share of advertiser spending
• 1.8. Are below the line techniques bridging the media divide?
  • 1.8.1. New media: extending non-media to the web?
  • 1.8.2. Internet: a powerful medium for below the line techniques
• 1.9. Cross-media strategies: advertiser choices
  • 1.9.1. Choice of media
  • 1.9.2. Are traditional media ad budgets being transferred to new media?

2. Segmentation, targeting, interaction: the internet' s assets

• 2.1. New forms of advertising made possible by the internet
  • 2.1.1. Traditional online advertising formats
  • 2.1.2. The new advertising formats
• 2.2. Greater performance than other media
  • 2.2.1. Segmentation and targeting
  • 2.2.2. Support for the development of interactive advertising
  • 2.2.3. A sounding box for advertisers
• 2.3. New tools for measuring ad efficiency
  • 2.3.1. Measuring performance
  • 2.3.2. New billing systems
• 2.4. Limits of legal issues
  • 2.4.1. Invasion of privacy
  • 2.4.2. Video advertising and integrity of the work

3. Mobile: a goldmine for advertisers..... once the issues are resolved

• 3.1. High market potential.....
  • 3.1.1. A mass market
  • 3.1.2. Assets for attracting advertisers and operators
• 3.2. .....that is still under-exploited
• 3.3. Required market conditions
  • 3.3.1. Increased audience and consumption
  • 3.3.2. Building the value chain
• 3.4. Mobile advertising platforms
  • 3.4.1. Mobile messaging
  • 3.4.2. Mobile internet
  • 3.4.3. Mobile multimedia
  • 3.4.4. An array of interactive advertising possibilities

4. Traditional media' s adaptation and reaction to changes in the advertising market

• 4.1. Advertising: essential tool for financing media
• 4.2. Traditional media' s assets
  • 4.2.1. Capacity to address a mass market
  • 4.2.2. Primetime still king
  • 4.2.3. Power of the media brand
• 4.3. Comparison of the efficiency of TV, radio, print media and internet advertising
• 4.4. Can traditional media reinvent advertising?
  • 4.4.1. Towards a revival of TV advertising
  • 4.4.2. Can digital cinema revive interest in in-theatre advertising?
  • 4.4.3. Print media' s digital revolution

5. Ad-funded services

• 5.1. Principles and objectives
  • 5.1.1. Definition of ad-funded
  • 5.1.2. Limits of the paid model
  • 5.1.3. The need for growth outlets
• 5.2. Ad-funded initiatives
• 5.3. Limits of the ad-funded model
  • 5.3.1. Limits of the long tail
  • 5.3.2. Limits of ad-generated ARPU
• 5.4. What services can be ad-funded?

6. Conclusions: how to share the wealth?

• 6.1. Challenges along the value chain
• 6.2. Forecasts
  • 6.2.1. The United States
  • 6.2.2. Western Europe

• Table 1: Strengths and weaknesses of media advertising
• Table 2: Strengths and weaknesses of below the line advertising
• Table 3: Theoretical modelling of the objectives of advertising campaigns
• Table 4: Global advertising spending, per medium
• Table 5: Forecast change in global advertising spending, per medium
• Table 6: The main forms online media and non-media advertising
• Table 7: Comparison of online and offline forms of advertising
• Table 8: Comparison of the strengths and weaknesses of the different media for advertisers
• Table 9: Average weekly time spent online in Europe, in 2005 and 2006
• Table 10: USA: most popular tools with regular web users
• Table 11: Mobile advertising' s share of the global advertising market
• Table 12: Ad regulation on the free mobile TV service in South Korea (T-DMB)
• Table 13: Leading providers of mobile marketing and advertising solutions
• Table 14: Comparison of the impact of advertising in France in 2006, by medium
• Table 15: Paid content and online advertising revenue in the US (2003, 2005)
• Table 16: Press revenue in France (2003, 2006)
• Table 17: TV revenue in Europe (2003, 2006)
• Table 18: Ad-funded internet access initiatives
• Table 19: Ad-funded initiatives in the calling market
• Table 20: Ad-funded video initiatives
• Table 21: Ad-funded video game initiatives
• Table 22: Ad-funded music initiatives
• Table 23: Various ad-funded initiatives
• Table 24: Forecast change in the advertising market in the United States
• Table 25: Forecast change in the advertising market in the largest Western European countries

• Figure 1: Main players in the advertising market
• Figure 2: Change in the breakdown of advertising spending worldwide, by medium
• Figure 3: Change in the breakdown of advertising spending worldwide, by geographical zone
• Figure 4: Comparison of marketing mixes in the biggest markets in 2007
• Figure 5: Change in the structure of marketing investments in France and in the US
• Figure 6: Change in marketing investments in France
• Figure 7: Number of unique monthly internet users by country
• Figure 8: Growth of advertising spending worldwide, by medium, 2006- 2009
• Figure 9: Forecast growth of market share for online ad formats in the US, 2001-2010
• Figure 10: Growth of CPM in France by type of display, in 2006 and 2007
• Figure 11: Cost per lead for non-media formats
• Figure 12: Users' brand expectations on search engines
• Figure 13: Forecast growth of market share for online classified ads in the US, 2001-2010
• Figure 14: Advertisements on Windows Live Messenger
• Figure 15: Click-to-call on Google and eBay
• Figure 16: Web couponing
• Figure 17: Sponsorship: Intel on Digg and Nike on MySpace
• Figure 18: Sponsored links triggered by tags
• Figure 19: Example of an in-game ad
• Figure 20: Product placement in an online video
• Figure 21: The L' Oreal Paris beauty contest in Second Life
• Figure 22: A new approach to consumers in customer relations management
• Figure 23: Mobile penetration rates
• Figure 24: Number of users/viewers/listeners in France in 2006
• Figure 25: Average monthly mobile consumption per user in Europe, in minutes of use (MoU)
• Figure 26: Mobile advertising, still a very minor market segment in 2007
• Figure 27: Breakdown of mobile advertising investments worldwide in 2006
• Figure 28: Annual growth rate of advertising spending worldwide
• Figure 29: Percentage of the population equipped with a 3G handset in the EU-15
• Figure 30: Breakdown of mobile handset sales worldwide
• Figure 31: Types of content viewed on mobile internet
• Figure 32: Mobile advertising value chain
• Figure 33: Example of a walled garden mobile advertising revenue sharing model
• Figure 34: Structure of the mobile advertising market in 2007 and forecasts for 2010
• Figure 35: Examples of texting campaigns using Netsize direct marketing solutions
• Figure 36: Amobee' s ad-funded SMS/MMS solution
• Figure 37: Two of the display formats offered by ScreenTonic: interstitial and billboard
• Figure 38: Sponsored links on a mobile search results page
• Figure 39: Click-to-call in the search results on Windows Live Search for mobile
• Figure 40: Growth of voice and data ARPU in Western Europe, 2002-2007
• Figure 41: Advertising on a free WAP music site
• Figure 42: Share of internet users polled who prefer to watch an ad in exchange for free access to their favourite mobile content
• Figure 43: South Korean TV viewers' reaction to advertising
• Figure 44: Examples of interactive mobile advertising
• Figure 45: Radio and TV revenue structure in 2005
• Figure 46: Traditional French media' s resource structure
• Figure 47: Comparison of the change in the amount of time that Europeans spend consuming the main media
• Figure 48: TV penetration rates
• Figure 49: Average TV viewing around the world
• Figure 50: Average TV viewing in Western Europe
• Figure 51: Average time spent listening to the radio in 2006
• Figure 52: Use of the internet for listening to live radio (% of adults)
• Figure 53: Use of the internet for listening to or downloading audio content
• Figure 54: Change in the average circulation of daily paid newspapers, per issue
• Figure 55: Comparison of media consumption times in France in 2002, by timeslot
• Figure 56: Audience breakdown by time of day
• Figure 57: Breakdown of advertisers' TV investments, by time slot
• Figure 58: Comparison of the change in the top national commercial channels' share of TV ad revenue
• Figure 59: Comparison of strengths of advertising on the six main media in South Korea
• Figure 60: Reasons why viewers watch TV commercials
• Figure 61: Contribution of the five tiers of advertisers to media ad revenue
• Figure 62: Example of interactive product placement in the series "Sex and the City"
• Figure 63: Change in print media and outdoor advertising' s share of media ad revenue
• Figure 64: 2D barcode vs. classic barcode
• Figure 65: 2D barcode in a magazine advertisement
• Figure 66: Revenue share for the top online ad vendors in the US
• Figure 67: Revenue per user in 2007-2007
• Figure 68: Change in French households' ICT budget, per item
• Figure 69: Media and non-media ad revenue in France in 2006
• Figure 70: Comparison of advertiser media spending in the main markets
• Figure 71: Breakdown of ad revenue in the United States by type of medium
• Figure 72: Breakdown of ad revenue in the United States by medium
• Figure 73: Breakdown of ad revenue in Western Europe by type of medium
• Figure 74: Breakdown of ad revenue in Western Europe by medium