Mobile first business models

Google Confidential and Proprietary
Mobile First - Business Models
SEEMEA Cases Library

INTERNAL: Google Confidential and Proprietary
TRAVEL BUSINESS MODELS
FR - Voyages-sncf.com: Mobile as a real sales channel (slide 4)
EU - Hotel Tonight: Mobile creates a niche market & new demand (slide 5)
Worldwide - Booking.com: Going beyond mobile transactions (slide 6)
EU - EasyJet: Meeting the demand of mobile centric customers (slide 7)
IL - GetTaxi: Growing on new market: mobile hailing taxi app (slide 8)

Voyages-sncf.com : Mobile as a real sales channel
x10
mobile sales growth from
2010 to 2013.
1ticket/3se
c
sold thanks to mobile.
of total revenue generated
from mobile in 2013
(€300m)
15%
Client Overview
Subsidiary of SNCF, french train service implanted across Europe.
1st french e-commerce website in volume:
¼ of french tickets are sold through this website.
Mobile Vision
Find new potential for growth thanks to mobile.
-mSite + Apps available on all OS as a must-have for all brands.
Impact
mSite:
- Account sign-up
- M ticket
- Real time traffic
info
- Promo push
- Travel ideas
App:
- Pre-recorded
client profile
- One Clic payment
- Travel history
- Loyalty card
- M ticket
Source: Yves Tyrode, GM of Voyages-sncf.com, May 2014
FR

Client Overview
Mobile-only travelling company : last minute booking app.
Launched in 2010 in the USA, in 2012 in Europe
(25 countries, 2000 hotel partners in Europe)
Mobile Vision
Untapped revenue on -not so small- niche market:
Partner that hotels turn to when other distribution channels have failed.
Good for users:
- 70% of mobile
hotel bookings are
for same day check-
in
- they get discounts
Good for hotels:
- Yield
management:
sell rooms that
would otherwise be
empty
Good for HT:
- For each booking,
Hotel Tonight’s
margin is
approximately 20-
30%.
Impact
Hotel Tonight : Mobile creates a niche market & new demand
+300%
revenue growth in 2013.
9m
users in Europe.
On average, spend of Hotel
Tonight guests at the hotel is
17%
higher.
Source: Tnooz & EyeforTravel, March 2014
EU

Client Overview
World’s largest booking site: 450 000 hotel listed.
Implanted in 196 countries.
Global revenue of $39b.
Mobile Vision
Mobile impact goes beyond transactions,
says Darren Huston, CEO of Priceline Group.
Impact
Booking.com : Mobile booking growth is happening now
Source: news.booking.com, Tnooz, February 2014; Skift, June 2014
“Much more importantly than a
source of transactions, mobile
is a chance to plumb the end-
to-end user experience.
$8b
2013 mobile revenue.
x8
mobile sales growth from
2011 to 2013.
17,5%
of global revenue comes
from mobile.
In the longer term it is
increasing our value to the
customer that would be very
difficult for an independent
hotel to do.”
WW

EasyJet : Meeting the demand of mobile centric customer
Client Overview
Europe’s n°1 air transport network.
Carries more than 60m passengers annually.
EU 2013 revenue: £4,258m
Mobile Vision
Improve passenger’s experience, and reduce contact center costs,
thanks to live updates & push notifications reminders in the app.
Impact
App features:
- search for fares
- booking mgt
- mboarding card
- add ancillaries
- flight tracker
App perf:
Fastest airline
booking app:
you can book a
flight on >600
routes in <30sec.
EU
6m
app downloads.
5%
of overall sales came
from mobile in 2013
Source: corporate.easyjet.com, Computing.co.uk & 2013 annual report, January 2014

GetTaxi : Growing on new market: mobile taxi hailing app
Client Overview
Car hailing app launched in 2009 by an Israeli startup.
One of Uber’s most prominent competitors
Operates in 24 cities, with a strong presence in IL, RU & in London
Mobile Vision
Increase revenue & market share thanks to a successful fundraise of $57m
“It might be that for the first time, people are starting to realize how big this
type of business is “ (Shahar Waiser, CEO).
Differentiation with other mobile taxi hailing apps:
Impact
IL
$100m
app revenue in 2013
$500m
of revenue expected in
2015.
Source: The Wall Street Journal blog, June 2014, Huffington Post
Business Model:
They vary according the country:
-monthly dispatch fees
-per ride fee
-fees for corporate rides
-splitting taxi with other users
User experience:
-user can book a cab in advance
-fares are based on a fixed-price
system
-provides full details on the
driver, with customer ratings

ES - La Caixa: Mobile transactions: removing the need to ever visit a branch(slide 10)
TR - Yapi Kredi: going beyond mobile banking (slide 11)
PL - Bank Zachodni: building the first mobile superwallet (slide 12)
EU - HelloBank: attracting younger clients with mobile (slide 13)
FR - Carrefour Bank: Mobile as a segmentation opportunity (slide 14)
FR - Soon: Mobile banking as a social & playful user experience (slide 15)
EU - SumUp: Turning smartphone into a card terminal (slide 16)
FINANCE BUSINESS MODELS

La Caixa : Mobile transaction: removing need to visit
branch
Client Overview
One of Spain’s leading online & offline savings bank.
13m of customers, 6000 branches across Spain.
Mobile Vision
Pioneer mobile transactions & banking
to increase customer’s loyalty & retention:
Impact
ES
Source: Internal, March 2013
Differentiation:
- msite launched in 2001
- 1st financial institution to
launch its own app store
- 1st bank to allow mobile
transactions (bank transfer with
mobile number, no need for
bank account number)
Cost reduction:
Customers can manage all their
banking operations with the
mobile app, there is no need to
go to a branch or call a
customer adviser.
5m
of app downloads.
11%of customers online transactions
are mobile
50%
of online users use desktop +
mobile to do banking
operations

Yapi Kredi : Going beyond mobile banking
Client Overview
One of Turkey’s largest bank.
10m of customers.
Mobile Vision
Launch its first fully mobile banking service,
to increase customer’s loyalty & retention:
Impact
2. Easying m-
shopping:
- Exclusive m-
shopping services:
discounts, reduced
delivery costs...
Differentiation:
Offering services
that other banks
don’t have, by
going further than
providing financial
services.
TR
Source: Let’s talk Payment, June 2014
300k
customers in its first year.
1m
active users within 5 years.
x4
volume of mobile payment
transaction by 2017
1. mBanking
conveniences:
competitive
interest rates, free
account
transactions &
money transfers.

Bank Zachodni : Building the world’s first m-Superwallet
Client Overview
Poland’s third largest bank.
Offers commercial banking services.
3,5m of customers.
Mobile Vision
Go beyond m-banking and m-payment,
by launching the world’s first mobile Superwallet.
Impact
Differentiation:
In April, they
transformed their
mobile banking
app into a
superwallet.
PL
Source: Bank Zachodni 2013 Annual Report, February 2014, and Finextra.com, April 2014
Thus, the bank created a new
sales channel, and participates
in merchant's revenues. In the
future, the bank's customers
will also be able to take a loan
through the app in order to
cover their purchases.
App features:
-embedded m-
commerce
marketplace
-one clic to pay
-multiple credit
cards allowed
239k
active customers were
already actively using
mobile banking in 2013,
before the launch of
Superwallet.
+91,7%
user increase yoy.

Hello Bank : Attracting younger clients with mobile
Client Overview
Hello Bank is the first European 100% mobile bank, launched in Q3 2013.
It is a BNP Paribas subsidiary.
It is implanted in 4 countries: DE, FR, BE, IT.
Mobile Vision
Acquire new type of clients: younger European clients that are looking for
fast, easy, always on mobile bank service.
Impact
EU
Source: Hello Bank Annual Report, February 2014
How it works:
- Available on app + msite
- Those platforms can be used
to open an account, check
balance, provide estimates,
apply for offers, chat with
Advisors.
Differentiation:
“Technologies are booming and
leading to new usages, needs &
expectations. In this context,
BNP is implementing its shop &
pay strategy (online purchases
& payments) to improve the
customer’s experience.”
177 000
clients in 6 months in 2013.
€18bclient deposit made.
1,4m
of clients targeted by 2017.
François Villeroy De Galhau, COO

Carrefour Bank : Mobile as a segmentation opportunity
Client Overview
Subsidiary of Carrefour Group, selling financial & insurance products.
2,8m of clients using its Carte Pass credit card.
221 branches in France.
Mobile Vision
mSite & app are not for the same target, so they should be used in a
differentiated way, in order to be the most relevant.
Impact
FR
Source: Hervé Brucker, E-commerce & Digital Marketing Manager for Carrefour Bank, interviewed here in May 2014
App: regular user
Goal: engage clients
-Xdevice analysis
possible thanks to
Carte Pass: push
personalized offers
-retargeting
mSite: prospect
Goal: gain new
customers
-loan simulation
-web call back
-simple enquiry form
-SEO + SEM
15%
of cross canal sales are
made through mobile.
+200%conversions on mobile than on
desktop for Carrefour Bank.
25%of sales should come from
mobile in 2015.

Soon : mBanking as a social & playful user experience
Client Overview
New brand from Axa, leader of online banking in France (750 000 clients).
One of the first bank that went online.
Mobile Vision
Soon is Axa’s first 100% mobile bank, thanks to an app designed
to acquire new young customers with an original positioning:
Impact
FR
Source: La Revue du Digital, Juin 2014
Progressive launch:
-beta version launched in
March 2014.
-no big communication
campaign, using social medias
only.
-partnership with paypal, with
commission free transactions
for Soon clients.
Social mBanking:
-funnier: social media &
crowdfunding inspired design.
-community-oriented: peer to
peer payment, share expenses
with friends.
-easier: launch savings projects,
remaining to be spent functions,
find expenses by place,
merchant, amount spent.
10 000
beta testers.
1000
clients since March 2014.
50%of clients are less than 30
years old.

RETAIL BUSINESS MODELS
MENA - Souq.com: Mobile as the main way to shop by 2015 (slide 18)
IT - Yoox: Mobile as the first area of investment (slide 19)
FR - Vente-Privée.com: Combining Mobile to store & Mobile in store (slide 20)
FR - Bazarchic.com: Mobile as a business priority (slide 21)
FR - Comptoir des Cotonniers: Opening 10 000 new shops with mobile (slide 22)

Client Overview
Largest e-commerce platform in MENA.
Offering more than 400,000 products including electronics,
fashion, etc...
Mobile Vision
Souq.com wants to become a mobile first company, to remain consistent
with customers’ changing shopping habits.
Impact
Souq.com : Mobile as the main way to shop by 2015
Source: Wisam Daoud, CTO interview reported on Wamda.com, March 2014
“We’ve made a conscious effort
to become a mobile first
company. We see mobile
overtaking the web faster
than we can even
comprehend”.
App & mSite VS website:
Different purchase types:
-On mobile: focus on electronics
products & deals of the day,
clearance items,since mobile is
the perfect place for immediacy.
MENA
Wisam Daoud, CTO
40%
of revenue is made through
mobile.
+200%
smartphone penetration
rate in UAE

Client Overview
Global internet retailing partner for leading fashion & design brands.
Serves more than 100 countries, with a net revenue of €456m.
Mobile Vision
Mobile as the main area of investment since 2006, with one goal in mind:
become a mobile first company.
Impact
Yoox : Mobile as the main area of investment
Invest more:
Yoox is currently
investing €100m in
innovation, big part
of it involving
mobile.
IT
Innovate more:
-in 2009: 1st Yoox app, one of the first
shopping apps on App Store.
-in 2012: new “Speak & Shop” app:
-voice recognition for easier shopping
-Gift Hunter feature
40%
of traffic comes from mobile
globally.
+16%increase in sales thanks to
mobile in Italy only.
7%higher AOV* from mobile
devices, compared to
desktop.
Source: Federico Marchetti, interview by the Telegraph UK, March 2014
AOV*: average order value

Vente-privée.com : Mobile to store + Mobile in Store
Client Overview
Leading french e-commerce company, that pioneered the model of online flash
sales, which made €560m (35%) of its global revenue from mobile in 2013.
Mobile Vision
Creating a “media in store” tool to boost flash sales in store,
and better link mobile and stores.
Impact
Source: LSA Conso, March 2014
FR
Mobile in store: Le Pass+
technology:
Thanks to a small Bluetooth box,
storekeepers can detect clients using
the app & push them personalized
products & discounts, whether they
just entered the shop, are in the
shelves, or at the cash desk.
Mobile to store: Le Pass
App:
-push of real time offers in app
for geographically close physical
stores client can be interested in:
+ for user:
1 unique loyalty
program for all
Pass partners.
+ for shops:
access to VP’s
huge client
database.
860 000shop partners (Subway, Etam..)
1500
shops & brands already using Le Pass+
18%
of users enter a shop after
seeing an offer.
14mVente Privée clients in french database.

Bazarchic.com : Mobile as a business priority
Client Overview
Online french luxury flash sales: home decoration, wine, fashion…
Started m-commerce in 2009.
Global revenue exceeded €80m in 2013
Mobile Vision
Increase incremental mobile (smartphone + tablet) business volume,
by adopting 2 purchase boost strategies:
Impact
FR
“We are working
hard on our mobile
apps, that should
allow us to gain 5
or 6 points of
revenue. It will be
additional sales, not
substitution ones.”
Liberty Verny, Founder
Mobile
acquisition:
Mass Marketing:
Recruit new
customer on mobile
with SEO & SEA
(mGDN).
Loyalty
improvement:
personalized ads:
Get back prospects
who didn’t convert,
boost re-purchase &
repeat business with
mobile retargeting.
30%
of revenue comes from
mobile.
6m
of members.
40th
most downloaded app in FR
Source: Julien Henri-Maurice, Marketing Director, interviewed here in May 2014, and Liberty Verny here at the end of 2012

Comptoir des Cotonniers : 10 000 news shops with mobile
Client Overview
French fashion brand,
with 400 points of sales across 11 countries.
Mobile Vision
Mobile as a way to boost impulse purchasing, with 10 000 Fast Shopping
temporary virtual shop opening in 1 night, localized in key areas such as
magazine pages, on coffee shop tables, bus shelter, billboards, on cab
vehicles...
Impact
FR
Good for users:
-All they need to do
is to flash the
product/ download
the Powatag app.
-Can shop in 1 clic,
and in 20 seconds,
and be delivered 48h
after.
3m
of optin contacts thanks to
this operation.
5%of global sales were already
made on mobile before.
10 000
shops in urban areas.
Source: Les Echos.fr, and Marvintraub.com, May & June 2014
Good for the
brand:
-No need to develop
the technology, since
they partnered with
Powatag app.
-Can send
geolocalized SMS to
push virtual shops.
“All supports can turn
into stores and, by
winking at customers,
trigger & impulse
buying urge. There
has never been a
faster shopping
experience.”
Valérie Dassier, E-Commerce Manager

AUTOMOTIVE BUSINESS MODELS
FR - Nissan: Mobile as the preferred online-to-store tool (slide 24)

Nissan : Mobile as the preferred online to store tool
Client Overview
Japan’s second largest automotive company
4.9 million vehicles sold, revenue of $116.16 billion in 2012.
60 models of cars under the Nissan & infinity brand
Mobile Vision
Mobile as a way to drive traffic to dealerships, by pushing users to test out
the new cars launched thanks to mobile geo-fencing.
Impact
July 2013: launch of
Nissan Note:
partnership with Waze
(social satnav app):
creation of a Nissan
Note group on the app.
Pop ups & pins from
Nissan appear, inviting
the driver to visit the
closest dealership to
test the car.
20%
of Nissan’s digital lead came
from mobile in 2013 globally
35%of web traffic now comes from
mobile in the US.
15%of Nissan’s web traffic came from
mobile in 2012.
Nov 2013: launch
of Nissan Juke:
geofencing of 60
dealerships in FR with
dynamic banners
redirecting to the
nearest dealership
details & 3 calls to
action: click to call,
book a drive test, &
dealership itinerary.
Source: Admoove, Marques et Réseaux.com, November 2013, Mobile Marketer, & Nissan News, April 2014
FR

OTHER BUSINESS MODELS
FR - Zoomdle: revolutionizing m-shopping: flash & buy (slide 26)

Zoomdle : Revolutionizing m-shopping
Client Overview
Zoomdle is a new mshopping app,
that was launched in April 2014.
Mobile Vision
Offer a new shopping experience thanks to an app that allows mag
readers to flash & shop an item seen in magazines, as 74% of feminine
press readers try to retrieve products they saw in magazines.
Impact
FR
Good for users
-can instantly shop an
item seen in magazines,
in only 4 clics
-fast delivery in only 48
hours after
10 000downloads in only 2
weeks.
10new magazines to partner
with Zoomdle by the end of
2014. (currently: Grazia,
Biba)
Source: Frenchweb & Axel Canus, CEO, interviewed for Dynamique-Mag.com, June 2014
Good for magazines
-their magazine become
shoppable
-Zoomdle takes care of all
the purchase & delivery
process
-a new way to reboost
paper magazine versions

Mobile first business models

More Related Content

What's hot

Viewers also liked

Similar to Mobile first business models

Recently uploaded

Mobile first business models