The document discusses the growing tablet market and Sanoma Media's app development program. It provides statistics on rising iPad sales and usage. It then summarizes insights from their app portfolio, including types of apps developed, monetization strategies, and download/revenue trends. Key learnings are to design for touch interfaces, provide multiple entry points, and leverage the App Store and user feedback. The future of digital magazines on tablets is discussed.

1. Planet of the Apps
NUV(UVW) Round Table, June 21, 2011
Herman Kienhuis (@kienhuis), BusDev Sanoma Media

2. tablet market developments
sanoma app development program
results
some learnings

3. http://www.flickr.com/photos/schnaars/4544419991/
Tablets: Touching

5. A new category of comfortable
computing devices
Entertainment/ Information/ Entertainment/ Communication/
Inspiration Productivity Creation Monitoring
XL form Short form Medium form XS form
Push Pull Pull Push
TV/DVD Software/ Websites Apps/Websites Apps/Widgets
Movies/ Search/Social/ Ebooks/Photos/ Music/
VideoGames Video Video CasualGames
Hours Hours Quarters Minutes

6. iPad selling faster than iPhone
15 mln iPads sold in 3 quarters*
50,000,000
37,500,000
25,000,000
12,500,000
Actual sales
Analyst projections
0
Apr-10 Jul-10 Oct-10 Dec-10 Apr-11 Jul-11 Sep-11 Dec-11
* vs. 4 mln iPhones in first 3 quarters

7. Strong uptake of iPad sales
(>400.000) and usage in NL
NU.nl iPad app downloads & pageviews
300,000 20,000,000
15,000,000
200,000
10,000,000
100,000
5,000,000
0 0
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Downloads Pageviews Source: Sanoma Media

8. the Dutch iPad user*
•Majority of users is male, 25-44, well
educated
•94% uses the iPad multiple times per day
•84% uses the iPad more than 30 minutes per
day, 54% uses it more than an hour per day!
•3/4 uses it in the evening on the couch, 2/3 at
breakfast, 1/2 in bed, 1/4 on the toilet
* based on NU iPad App users survey (Q3 2010, n=5000) Source: Sanoma Media

9. the Dutch iPad user:
uses it for rich media consumption
News
Browse web
Search
Email
Games
TV/video
Photos
Social networking/blogging
Reading magazines
Reading books
Notes / word processing
Music
Shopping
Business presentations
Chat / messenging
Drawing / image processing
0 25 50 75 100
Often Sometimes
Source: Sanoma Media

10. Changing news consumption
phone computer tablet
31% 62% 6%
overall overall overall
views views views
In the morning, relative People reading on computers iPad readers read more news
readership across all three consumer their greatest share of on the device at night than
platforms ramps up quickly online news that way during the day during other times of day
10%
8% Computer
7%
5% Smartphone
3%
iPad
2%
0%
6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
Source: NU.nl (based on sample data)

11. Why Apps?
•Developers community: 350k apps (75k for iPad)
•Easy discovery and installation: App Store
•One click payment: iTunes
•Customizable: Personal, Social
•Esthetic Experience: Apple UI
•Speed and accessibility
•Native use of device capabilities: GPS, compass,
accelerometer, tilt-sensor, microphone, camera

13. tablet market developments
sanoma app development program
results
some learnings

14. Speed up Create
investment scale
Build-up of
Learning
internal
by doing
expertise

15. Speed up Fund &
investment guide
Create
Share
concepts scale
& code
2010:
>40 apps
Measure
& Learn Develop
Learning & market Build-up of
by doing internal
expertise

17. Growing app downloads;
revenues getting serious
250,000
Downloads
(mobile &
200,000
tablet apps) Sep. 2010: >1 mln downloads
150,000 March 2011: >2 mln downloads!
100,000
50,000
0
€250,000
Revenues
(mobile &
€200,000
tablet)
€150,000
€100,000
€50,000
€0
Jan-10
Feb-10
Mar-10
Apr-10
May-10
Jun-10
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Source: Sanoma Media

18. NU HD
App downloads
300,000
200,000
100,000
0
Jul-10
Aug-10
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
• Content: dynamic news feeds
• Format: native iOS app with
visual interface and
customizable features
• Business model: advertising
(interactive display ads)

19. Autoweek Magazine
App downloads
80,000
60,000
40,000
20,000
0
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
• Content:
• dynamic part: news feed, car info database
• static part: weekly rich media magazine edition
• Format: native iOS app with Woodwing magazine reader
• Business model:
• in-app purchasing of magazine editions
• advertising (banners & full page ads with interactive
landingspages)

20. Gamer.nl
App downloads
(incl. iPhone since March)
40,000
30,000
20,000
10,000
0
Sep-10
Oct-10
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
• Content: dynamic news feeds, including video & reviews
• Format: native iOS app
• Business model:
• advertising (sponsoring, display ads, featured games)
• custom publishing (e.g. EA gamerelease)

21. Viva Magazine
App downloads
30,000
20,000
10,000
0
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
• Content:
• dynamic part: blog & forum feeds
• static part: biweekly rich media magazine edition
• Format: native iOS app with Woodwing magazine reader
• Business model:
• in-app purchasing of magazine editions
• advertising (full page ads with interactive landingpages)

22. Tablet Apps 2011 (NL)
€1.59 €1.59 €0.79
€0.79 €2.39 free
free €0.79 PREVIEW

23. Tijdschrift.nl digital magazine kiosk
MING SOON
CO
TO A TABLET
NEAR YOU!

24. tablet market developments
sanoma app development program
results
some learnings (and a preview)

25. Learning by
doing

26. Own property rights

28. Don’t repack
the old medium

29. Compared to a touch,
clicking is boring

30. Design for fingers,
not for eyes only

31. Provide multiple
entry and exit points

32. It’s about the App Store

33. Get feedback

34. Future of Digital Magazines!
•Tablet adoption growth: +300% sales
expected in 2011
•New tablet-native formats: overcoming
Marshall McLuhan
•In-app subscriptions: PopularScience sold
10,000 iPad subs in 5 wks
•Better in-app & subs marketing: we’re on
learning curve

35. Future Digital Magazines...
…will embrace new ways to layout content
(flipboard, bright screenzine, prezi, nalden)
...will embrace new ways to navigate
(search, related articles, custom menu)
...will embrace real-time availability
(dynamic updates, live feeds, stats)
…will embrace social interaction
(comments, rating, sharing, user uploads)
...will embrace commerce
(compare, wishlist, buynow)

36. What does it mean for B2B publishing
Tablet as professional productivity tool:
new opportunities in software & services
Willingness to pay for content/
convenience/service
Branded content vs. advertising vs.
research vs. commerce
Existing brands vs new brands
HTML5 web-app vs. native apps

37. Thank you
Applause
@kienhuis