mobile in south africa 2014 amps report (pre-release)

According to AMPS2013:

“Mobile is… as close as you can

get to your consumers in South

Africa!”

A Mobile Marketing Association South Africa Report proudly developed and sponsored by

July 2014 MMASA mobile review of AMPS2013: powered by silverstone 1

http://www.silverstonecis.com/?cid=AMPS2014Teaser

http://www.silverstonecis.com/?cid=AMPS2014Teaser

1.8m / 5%

Tablet Owners

Mobile is… as

close as you can

get to your

consumers in

South Africa!

With an audience of 37.2m adults in SA, you can reach:

• 97% or 36m adults through a cellphone in the household (2.4 phones per household)

• 39% or 14.6m through voice, SMS or USSD

• 52% through the internet – with the majority on mobile internet

• 48% or 17.7m in mobile apps and on their mobile browsers

South African

Adult (15+)

Population

37.2m

13.2m / 36%

Smartphone Owners

14.6m / 39%

Basic Cellphone use

SMS, Voice & USSD

#

36m / 97%

Mobile Household

Penetration

2.4

32.2m / 87%

Individual Mobile

Phone Ownership

17.7m / 48%

Use SMS, Voice, USSD

and Mobile Data

11.7m / 32%

Mobile Internet 6.5m / 17% Fixed Internet

19.2m / 52%

Total Internet

Penetration

They’re

mobile,

are you?


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

MIL

LIO

NS

Radio TV DVD

DSTV/ MNET/ Top TV Landline telephone Cellphone

Computer Internet Internet - mobile

Mobile compared

to other Mass

Media Channels

In 2009 Mobile usurped Television and Radio and became the most pervasive mass media in South Africa.

Comparison based on household audience penetration.


Inflection

83

%

52

%

30

%

34

%

3%

31

%

71%

55%

16%

18%

0%

16%


Interactive Penetration by cluster

based on Muller Cluster Model

LSM 1-3

Rural

LSM 4-5

Rural / Peri -Urban

LSM 6-7

Peri-Urban / Urban

LSM7-10 Low

Metros

LSM10 High

Metros

Traditional11% | 4.1m

R2,317 HHI/m

Transitional28% | 10.4m

R3,870 HHI/m

Middle Class30% | 11.2m

R7,614 HHI/m Upper Middle28% | 10.4m

R20,639 HHI/m

Elite3% | 1.1m

R41,015 HHI/m

R9.5bn

R40.3bn

R85bnR215bn

R45.8bn

Cell

Basic Cell Use

Mobile Data

Any Internet

Fixed Internet (Desktop)

Internet at Home

87%

39%

47%

52%

17%

49%

94%

23%

71%

76%

39%

75%

98%

8%

89%

95%

81%

95%

88%

40%

48%

52%

11%

49%

Penetration in adult

population

37.2m

Only mobile allows

you to reach 87% of

R4,746Bn Annual

Household Spend

Interactively

37.2m

32.2m

17.7m

14.5m

19.1m

11.7m

6.4m

Audience

Profiles

A view of the core

audience profile of key

digital segments

compared to the

general SA Adult

Population


SA

Adult

Popula

tion

Cellp

hone

Ow

ners

Mobile

Data

Basic

Cellp

hone

Tota

l

Inte

rnet

Mobile

Inte

rnet

Fix

ed

Inte

rnet

Digital Media

Channel Cheat

Sheets

Core Audience

Profiles


Mobile internet users represent the average youngest audience (31), spending the most on cellular per month (R253) (LSM 7.5)

Basic Cellphone users are the oldest (43) and only earn an average R7008 per household per month (LSM 5.4).

They are the only digital segment older than the average adult population age of 38, who earn less than the average of R10,609 per household and spend less than the average cellular expense of R154 per month.

There are only 6.4m fixed internet (via computer) users, but they earn the most average household income per month at R23,776, and represent the highest LSM audience (8.3)

37,214,000 32,246,000

17,783,000 14,593,000

19,187,000

11,728,000 6,448,000

-

10,000,000

20,000,000

30,000,000

40,000,000

38 37 32

43 32 31 35

-

20

40

60

6.1 6.3 7.0 5.4

7.0 7.5 8.3

-

5.0

10.0

R 10,609 R 11,356 R 14,925

R 7,008

R 14,731 R 17,927

R 23,776

R -

R 10,000

R 20,000

R 30,000

R 154 R 154 R 208

R 94

R 210 R 253 R 248

R -

R 200

R 400

SA Adult

Population

Cellphone

Owners

Mobile Data Basic

Cellphone

Total

Internet

Mobile

Internet

Fixed

Internet

Ad

ult

Po

pu

lati

on

Av

era

ge

Ag

e

Av

era

ge

LS

M

Av

era

ge

Ho

useh

old

Inco

me

Av

era

ge

Cellu

lar

Exp

en

ses

Internet at Home

Internet at home has grown from 5% in 2006 to 31% in 2013.

Dial-up and ISDN is officially dead.

Mobile Data and Mobile Internet rules.

Long live the internet… at home – on your phone!


1,6

22

1,9

99

2,5

63

3,6

58

5,0

16

6,8

54

8,5

37

11

,48

3

29

,28

1

29

,11

0

28

,74

2

28

,84

0

29

,00

4

28

,08

0

26

,39

9

25

,73

1

-

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

2006 2007 2008 2009 2010 2011 2012 2013A6

Internet at home No internet at home

31%5%

0%

20%

40%

60%

80%

100%

2006A 2007 2008 2009 2010 2011 2012 2013A6

Dial-Up ADSL

ISDN Wireless network (iburst, WiFi)

Mobile Network (3G, Edge, GPRS) Mobile Internet (Wap)

Mobile Internet device (iPad, Sony PSP) WebBox/ Internet OnTV

Inte

rnet access a

t hom

eT

yp

e o

f A

ccess

Mobile Network

Operator Market

Share

According to AMPS2013, Vodacom is still leading the market at 45.7%, closely followed by MTN at 43.1% and Cell C is at 10.4%

Telkom Mobile, Virgin and other MVNO’s make up less than 1% of total market share.

The smaller the network, the greater the tendency to use mobile data


45.7%

43.1%

10.4%

0.5%

0.2%

0.1%

Vodacom

MTN

Cell C

Telkom Mobile

Virgin Mobile

Other Networks

Mobile Network Operator Market Share

54 53 5266 66 73

56

45 46 4734 32 26

44

All CellphoneOwners

Vodacom MTN Cell C Telkom Mobile Virgin Mobile Other Networks

% o

f B

ase

Mobile Data Voice, SMS & USSD only

Cellphone Use by Mobile Network Operator

Some

Perspective…

Comparative

facts:

Mobile dominates our

lives as a media channel.


2x TVThere are more than twice as many cellphones

as there are TV sets (34.6m vs 17m)

76% of

email

76% of e-mails are sent and received from a

cellphone

@

8.4x

landlines

There are 8.4 times more homes with

cellphones than landline telephones

4.3x

Computer

There are 4.3 times more households with a

cellphone than a computer

2.9x

email users

SMS text messaging is used by 2.9 times more

people than email

5x

PC internet

There are 5 times more cellphone subscribers

than fixed Internet users

Some

Perspective…

More cool facts:




84%84% of internet users in SA access the internet

via mobile technology

99%99% or 17,570m mobile data users, also use

SMS and USSD functions

130k130,000 people use mobile data but do not own

their own cellphone – go figure…

17.6m17,653m cellphone owners use Mobile Internet

and Data services

14.6m14.593m cellphone owners use Voice, SMS and

USSD services only

32.2mThere are 32.246m adult Cellphone owners in

South Africa

Some

Perspective…

More cool and

surprising facts:




94%93.5% of SA working adults use a cellphone

compared to 29% in the year 2000

2.4 per

household

In 2013, there was an average of 2.4 cellphones

per household in South Africa

…%… of Adult Population own a Tablet Device (up

from 1.8% in 2012)

…%…% of SA Adult Population owns a smartphone

(that’s …% or …m of cellphone owners)

More cool and

surprising facts

about mobile’s use

and the SA Audience

in the full release…

AMPS2013

The full report – 60+ pages of infographics, stats

and insights – includes …

• A comprehensive breakdown of the SA Mobile Audience including penetration by demographic segments

• Mobile access, use/activities and trends

• Mobile internet penetration, activities and trends compared to the Fixed Internet

• Finally, a hard number on Smartphones and Tablets in SA

• Surprising stats about current device ownership


To get a complimentary copy of the full report on the 23rd July 2014, please email us on [email protected]

or SMS MMA to 34747, join our Linkedin Group or MMA SA community on www.mmasa.org