South Korea Metrics Report

March 2011

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About AdMob South Korea Metrics Report AdMob serves ads for more than 57,000 mobile Web sites and applications around the world. AdMob stores and analyzes the data from every ad request, impression, and click and uses this to optimize ad matching in its network.

This report includes a snapshot of AdMob network data and results from a localized survey that was run in South Korea in February 2011. The survey had 524 respondents. The combined data offers insights into trends in the mobile ecosystem in South Korea.

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South Korea Metrics Summary Traffic from South Korea grew faster than any other country in Asia last year • We received 2.1 billion ad requests from Korea in December 2010, up from 40 million one year ago • Korea (5139%) grew the fastest, followed by China (1460%), Singapore (1429%), Japan (1199%)

Mobile web traffic is dominated by smartphones and high-end devices are growing rapidly • 97% of South Korean traffic came from smartphones in Dec 2010, up from 75% one year ago • Traffic from smartphones increased more than 67x over the past 12 months • High-end devices in Korea in the AdMob network have grown more than 528% in nine months

Korean mobile Internet users are highly engaged and strong consumers of entertainment • 58% of respondents access the mobile Internet at least 5 times a day • 29% of respondents spend more than one hour a day using the mobile Internet • Using the phone for entertainment is more popular than texting, phone calls or social networking

Mobile Internet usage is growing and sometimes surpasses time spent on TV and desktop • More than 1 in 3 respondents spend more time using the mobile Internet than watching TV • Nearly 1 in 4 respondents spend more time accessing the Internet via a mobile device than desktop

The biggest barriers to greater usage are costly data plans and content, not the devices • Costly data plans (27%) and not enough interesting content (24%) are greatest barriers to usage • Of those surveyed, 87% of use an iPhone or Android device (i.e., high-end devices)

Mobile Internet users are middle aged, middle-incomed and skew male • 71% are between the ages of 25-54, and 62% are between the ages of 25-44 • 65% have a household income that is less than 35M KRW • Males make up 70% of respondents surveyed Google Confidential and Proprietary

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South Korea is the fastest growing country in Asia • Traffic from Asia grew 564% in 12 months

• South Korea was the fastest growing country in the region (5139%) • We received more than 16 billion ad requests from Asia in Dec 2010 • Asia accounted for 33% of overall traffic in the AdMob in Dec 2010

Traffic Growth by Country Dec ‘09 – Dec ‘10

5139%

South Korea

China

1460%

Singapore

1429%

Japan

Thailand

0%

1These

1

five countries represent the top countries in Asia by ad requests

1199% 1087% 1000%

2000%

3000%

4000%

5000%

6000%

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Mobile Internet traffic is dominated by smartphones… • 97% of South Korean traffic came from smartphones in Dec 2010, up from 75% one year ago • Traffic from smartphones increased more than 67x over the past 12 months • Two devices generate the majority of Mobile Internet Device traffic

Traffic by Device Type 100% 90%

80% 70% 60% 50% 40% 30% 20% 10% 0%

Smartphones

Mobile Internet Devices

Featurephones

A Smartphone is a phone that runs Android, iOS, Linux, RIM OS, Symbian, webOS, or Windows Mobile. A Mobile Internet Device is any mobile device that is not a phone (e.g. iPod touch, Sony PSP, iPad). Google Confidential and Proprietary

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and high-end device adoption is growing rapidly Unique High-End Devices, South Korea 6,000

4,940

5,000

Unique devices (in thousands)

4,130 4,217 4,000

3,482 2,804

3,000

2,019 1,659

2,000

1,000

786

972

1,147

Apr-10

May-10

Jun-10

Jul-10

Aug-10

Sep-10

Oct-10

Nov-10

Dec-10

Jan-11

High-End Devices includes devices that run Android and iOS A unique High-End Device is a unique device that has requested at least one ad from the AdMob network Google Confidential and Proprietary

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Profile of the Mobile Internet User in Korea

Based on a localized survey run on the AdMob network in Korea with 524 respondents in February 2011 Google Confidential and Proprietary

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Using the phone for entertainment is more popular than texting, phone calls or social networking Select all the ways in which you use your mobile device % of Korea respondents

80%

75%

74%

74% 64%

60% 40%

58%

39%

39%

37%

24% 20%

0%

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58% of respondents access the mobile Internet at least 5 times a day How often do you access the Internet through your mobile device?

% of respondents

40%

32% 27% 20%

18%

13% 6%

5% 0% More than 20 times 10-20 times per 5-10 times per day 1-4 times per day a day day

Once or twice a week

Once or twice a month

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29% of respondents spend more than one hour a day using the mobile Internet On average, how much time do you spend using the Internet on your mobile device per day? % of respondents

40%

24%

25%

21% 20% 14% 8%

7% 0% Less than 15 minutes

15 - 30 minutes

30 minutes - 1 hour

1 - 2 hours

2 - 4 hours

More than 4 hours

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Nearly 6% of mobile Internet users don’t have a computer with Internet access at home Do you have a computer with Internet access at home?

% of respondents

100%

94%

80% 60% 40% 20% 6% 0% yes

no

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35% of respondents spend more time using the mobile Internet than watching TV; 24% more than using the desktop Internet I spend more time each day on the mobile Internet than I

% of respondents

60% 42% 37%

40%

35% 24% 18%

20%

0% read books

listen to the radio

watch TV

use the internet on a desktop computer

none of the above

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Expensive data plans are still a barrier to usage, though only a slightly larger barrier than the lack of interesting content What is the primary reason you don’t use the mobile Internet more often?

% of respondents

40%

36% 27% 24%

20% 12%

0% expensive data plans

not enough interesting content

time

nothing, I use my phone as often as I want to

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The vast majority of respondents use an iPhone or Android phone to access the mobile Internet What type of device do you use most often to access the mobile Internet? % of respondents

100%

87%

80% 60% 40% 20% 0%

8% an iPhone or Android phone

Any other phone

5% A device that does not make phone calls (e.g. iPod touch, iPad, Sony PSP)

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Mobile Internet users are middle aged, middle-incomed and skew male What is your annual household income?

How old are you? % of respondents

100%

55-64 1%

80%

45-54 9% 35-44 30%

65 or older 1%

62% are between the ages of 25-44

What is your gender?

50M or more 16%

Female 30%

35-50M KRW 18%

60%

25-34 32%

40%

20%

13-17 5%

18-24 21%

20-35M KRW 32%

65% earn less than 35M KRW

Male 70% Less than 20M KRW 33%

0% Age

Household Income

Gender Google Confidential and Proprietary

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