Smartphones and tablet PCs to drive ad revenue

The catch-up commuter who uses smartphones, tablet computers and portable media players will become a force in the competitive 2012 electronics market, predicts Deloitte.

January 22, 2012
Smartphones

The catch-up commuter who uses smartphones, tablet computers and portable media players will become a force in the competitive 2012 electronics market, predicts Deloitte.

“If you take more smartphones, tablet computers and portable media players, add a dash of broadband, mix in some tailored content for smaller screens and you have one potent media mix,” says Mark Casey, Deloitte leader of technology, media and telecommunications (TMT) in Southern Africa.

Globally, smartphone and tablet owners will watch five billion hours of catch-up TV content on their devices while on public transport in 2012, as the age of the “catch-up commuter” starts to take off.

One of the major events for the future, he predicts, will be the commuter who will spend time on commercial flights using Wi-Fi-powered tablet devices on aircraft instead of the traditional “cumbersome and expensive” in-flight systems.

There are, however, technological challenges related to recording content onto phones and televisions and the legality of doing so is not always clear.

But the surge in tablet and smartphones sales — with 500 million expected to be in people’s hands by the end of the year — will drive the market.

He adds that the new potent media mix will not be a threat to TV but will, rather, have a favourable impact on viewership figures and viewing time, as the catch-up commuter represents an opportunity to content producers as it means people will watch more TV. But it represents a threat to the publishers of free newspapers and portable video games consoles.

“All this is great news for advertisers as they relish the opportunities stemming from continuously evolving consumer channels, growing consumer bases and increasingly savvy consumers.”

Tags: Deloitte, Headline, iPad, Mark Casey

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