29/11/2010

Budweiser brings live sports connectivity to fruition via mobile ad campaign


Budweiser created a cross-platform in-application advertising program, pushing its Bar Finder campaign to sports enthusiasts in the United States and Canada.

The ads ran within Canadian sports publisher ScoreMobile’s smartphone applications for iPhone, Android and BlackBerry devices. The campaign launched in the midst of all of the South Africa 2010 Olympics excitement, positioning Bar Finder for ScoreMobile as the new, pocket-size, social coordinator for sports fans.

“Recognizing that Budweiser drinkers are sports fanatics, we wanted to provide them with the ability to seek out and enjoy the greatest sports bars across Canada where they can cheer on their home team while enjoying the king of beers,” said Ben Seaton, Toronto-based marketing manager for Canada at Budweiser.

“By teaming up with ScoreMobile, we're aligning ourselves with a truly credible sports content provider, delivering an innovative digital solution that resonates strongly with our increasingly connected drinker,” he said.

An extension of The Score’s leading free mobile sports application, Bar Finder for ScoreMobile is a category-first that pairs sports television listings with location-based information.

The experience gives users access to TV listings for live sporting events on all major networks, maps and distances to local bars across Canada where the games are available for viewing, highlighting bars participating in seasonal promotions.

All of these features are available by simply downloading the latest version of ScoreMobile on either iPhone, Android or BlackBerry smartphones.

With more than 50 million monthly page views and more than three and a half-million downloads to date, ScoreMobile provides Budweiser’s Bar Finder with reach.

For Budweiser, ScoreMobile developed a functionality to sit prominently within its mobile application, ScoreMobile.

The Bar Finder offers users a complete, up-to-date listing of licensees within a user’s current area and information on the games being carried that day.

Further, valuable information on specials and promotions is also easily available within the application.

All of these information sources working in tandem provide consumers with a resource for linking the two things they love: sports and socializing.

Budeweiser is targeting males who are legal drinking age in Canada, ages 19-29.

Budweiser ran 300x50 mobile leaderboards, created by Brandsell + Co.

When consumers clicked on the ad, they were taken to an app-within-an-app experience.

“One of the great opportunities that theScore’s Bar Finder affords is the ability to be very specific to each account, so the specials and promotions that were highlighted varied significantly based upon the partner’s preference, resulting in customized and relevant messaging, which is of significant value to our accounts and customers across Canada,” Mr. Seaton said

24/11/2010

Digital Advertising is Driving Growth of Traditional Media

Traditional advertising investments in television, print, radio and out-of-home are projected to grow only 1.8% but digital advertising investments in these media will grow by an estimated 28%, spurring total 3.6% growth in traditional media categories, according to Jack Myers Media Business Report's Media Vision 2020: Media, Advertising and Marketing Economic Health Report 2010-2020. The Report projects total 2010 U.S. marketing communications and advertising investments will grow 3.2% to $601.5 billion. The full report is available to Jack Myers subscribers. The newly recalibrated data includes 57 media and marketing categories and, for the first time in any advertising analysis, breaks down digital and traditional investments for 14 traditional media and marketing categories.

Consumer print magazine advertising is projected to increase 1.0%, but magazine publishers' digital advertising is estimated to increase 8.5% to nearly one billion dollars, driving magazine publishers' combined growth to 1.4%.

The new Myers Report includes detailed data on advertiser investments in Online Originated Display Advertising, Online Originated Video Content & Advertising, Mobile & Apps Advertising, Satellite/Internet Radio Advertising, Interactive/VOD/Addressable TV Advertising, Point-of-Influence/GPS Advertising, Videogame Advertising, Social Media/Word-of-Mouth/Conversational Marketing, Offline Public Relations, Branded Entertainment/Product Placement, Search Marketing (Online/Mobile), Experiential/Event Marketing, Cinema Advertising and Out-of-Home/Place-Based Advertising.

The report eliminates the traditional barriers between above and below-the-line marketing budgets. Marketers are integrating their budget allocations to reflect the increasing cross-over between their marketing and sales functions, which have historically been separated. This trend is especially apparent in social media, which is growing 50% to $1.2 billion in 2010. (Most Facebook advertising is accounted for within the new Online Originated Display Advertising category, is which increasing 9.2%.)

In early December, Jack Myers Media Business Report will release forecasts for 2011 and 2012, with long-term forecasts for both traditional and digital investments through 2020. While the data has been aggregated from multiple sources, the digital spending estimates for traditional media are based on primary research and input from industry experts. Since this is the first effort to develop such detailed insights, readers are encouraged to share insights and comments on the accuracy of this data.

Mobile Ad Revenue to Grow Tenfold to $24.1 Billion by 2015

Mobile advertising revenue will rise tenfold to about $24.1 billion by 2015, with much of that growth coming from China and India, according to Informa Telecoms & Media.

Informa “believes that the global mobile-advertising market was worth $2.3 billion in 2009,” Shailendra Pandey, a senior analyst with London-based consultant Informa, said in an report today. The Asia Pacific Developing region will account for the largest share by 2015, at 30.9 percent, driven by “strong growth” from China and India, Pandey said. The Asia Pacific Developed region, including Japan and South Korea, will fall to 21.7 percent from about 43.6 percent this year.

Google Inc. and Apple Inc. have both bought mobile advertising businesses in the past year to take advantage of consumers’ increasing use of mobile devices to buy goods and services. Google bought Admob in May for $750 million and Apple paid more than $200 million for Quattro Wireless in January.

“Successful companies that have unique and attractive technology for mobile advertising,” will become takeover targets for companies such as Google, Apple, Nokia Oyj and Yahoo! Inc, Pandey said. Apple’s iAd network, which was started in July, “will force its rivals to speed up their own mobile advertising strategies, particularly Google, which has completed its acquisition of AdMob,” he said.

North America will account for 18 percent of the market in 2015, with Latin America at 6.4 percent and Western Europe 8.6 percent, according to the report.

“The mobile advertising industry has now moved beyond the trial and experimental phase and many advertisers and brands are now spending significant sums on running mobile campaigns each month,” Pandey said.

23/11/2010

Amazon launches mobile price-comparison engine that threatens store retailers


Amazon is letting consumers compare in-store prices with those from Amazon.com and other online merchants via an iPhone application that poses a threat to store retailers.

The Price Check application lets consumers search across different categories including toys and consumer electronics. Customers can scan a bar code, snap a picture or say or type a product name to receive instant prices for that particular item.

After scanning the bar code, the application displays prices sorted from lowest to highest.

In addition, consumers can take a picture of a product and match it to books, DVDs, CDs and video games.

Users who do not want to scan a bar code or take a picture can say the name of the product and get matches and pricing information or they can search the product and get the same results.

Right at your doorstep
After finding the product they need, consumers can buy it with one click and have it delivered directly to their doorstep.

Additionally, the application includes access to Amazon’s shopping features, including customer reviews, sharing items via Twitter, Facebook, SMS or email and immediate purchasing.

22/11/2010

The Economist debuts iPad, iPhone app for subscribers


The Economist is letting digital and print subscribers fully access its iPad and iPhone application as well as get a weekly sample of articles chosen specifically by the editor.

Users who do not have a subscription can purchase full issues of the publication via in-application purchases each week. Once a user downloads an issue, they can read the newspaper in full without an Internet connection.

“We want our readers to be able to read us wherever and however they want, and for an increasing number of people that means via a digital device,” said Oscar Grut, managing director of digital editions at The Economist, London.

“People who read their news and analysis on mobile digital devices will be attracted to the greater variety of ways to enjoy The Economist – on your iPad, on your iPhone, in audio, online, on Kindle and on Zinio – as well as in print, of course, where our circulation has grown every year for the last 30 years at least,” he said.

“Our goal with the iPad and iPhone apps is to deliver the same Economist content, in the same weekly package as print, through this new medium. We have redesigned the newspaper completely to make the most of the devices, while retaining that Economist feel – and like in print, it's free from distractions.”

AgaveApps built the iPhone application and TigerSpike built the iPad application for The Economist.

Each issue features a full audio edition, with all articles read by professional newscasters.

“We decided to integrate our popular audio edition into both apps, with all articles from the print edition read by professional newscasters, and synced to each article,” Mr. Grut said. “This lets readers switch easily between reading and listening to our articles.

“We did this because is struck us that audio is such a natural fit for portable digital devices, particularly the iPhone and iPod Touch,” he said.

The Economist is getting the word out about their new applications by putting promotional cover wraps on all issues, emailing news of the launch to subscribers and other contacts and its regional teams are also planning regional campaigns.

Mobile reading
Currently, users can read the publication in print, online, on iPhone, iPad, Kindle and Zinio.

The company is talking with other potential platform partners and looking at new platforms on launch on, including Android and BlackBerry.

“Our print circulation has continued to increase despite the turmoil in some parts of the print industry,” Mr. Grut said. “Our readers have, until now, generally preferred The Economist in print, but that is changing dramatically with tablets and smartphones, which are perfect for reading and listening to our kind of publication.

“This is one of the very exciting aspects of our apps,” he said. “We are obsessed, first and foremost, with creating elegant applications that deliver a wonderful, immersive reading experience to our customers,” he said. “I think we have succeeded in this mission.

“And by grabbing our readers' attention in this way, we offer a unique advertising opportunity to our clients to reach an engaged audience with beautiful full screen ads and rich media advertising.”

19/11/2010

Mobile rich media achieves 2.5 times higher interaction than standard banners

LOS ANGELES – Mobile rich media can be an incredibly immersive experience, but can also be considered intrusive by consumers if the ads are served at the wrong time, per panelists at the Mobile Marketing Association’s Mobile Marketing Forum.

By definition, mobile rich media consists of advertisements that often include interactive graphics, audio or video within an expandable ad or full-screen takeover. Unlike static or animated banner advertisements, rich media enables users to interact with the banner without leaving the page on which it appears.

“As a marketer, Microsoft looks at rich media as a broad way of saying immersive brand experience,” said Barbara Williams, global practice leader of mobile marketing at Microsoft, Redmond, WA.

“Rich media is anything within an ad experience that takes the advertisement beyond a static banner that lands on a mobile Web page,” she said.

“It’s a broad term but it comes down to immersive brand experiences.”


Pandora's mobile users have increased
Opportunities/challenges
When done correctly, rich media can be a valuable experience to consumers.

But, when not done right, it can bring a negative impact on the brand and can be considered very intrusive.

“There are good and bad examples of how users react to rich media,” said Stephanie Vautravers, director of mobile advertising at CNN, Atlanta. “So if you get a text alert for some breaking news and click to go and find out more, we won’t serve an ad because that could annoy the user that is trying to get this information now.

“They want to see that news item so we won’t interrupt that,” she said.

It is very important to think through users’ navigation. Where are they going? What are they doing at this particular destination (mobile site or app) and then decide when it would be best to serve up an ad.

Ms. Williams said that Microsoft is currently running a mobile rich-media campaign that leads to an HTML5 site.

“We are seeing a 5 percent click through on that rich media unit,” Ms. Williams said. “The is a huge impact and we are seeing that we can push campaign objectives within the ad unit.”

Rich media instead of Web?
CNN's Ms. Vautravers said that she is surprised about how many advertising clients do not have a mobile site.

Many think that because rich media is such an immersive experience, a mobile site is not needed.

A mobile site is important regardless.

Although rich media is an immersive experience, it is important to let consumers go deeper.

“Always let them go and explore broader options via a mobile Web site,” Ms. Williams said.

“Mobile Web and rich media go hand in hand,” she said. “They are complementary.”

User experience
Per Ms. Vautravers, it is the job of the publishers to educate brands and agencies on what is going to be a really terrible user experience.

In some cases, for a promotion that has an expiration date, a brand can use rich media.

In place of sending someone to a mobile site, a brand can use rich media. In that instance it can replace a mobile Web site temporarily.

Cheryl Lucanegro, senior vice president of ad sales at Pandora, Indianapolis, IN, said that what Pandora considers to be rich media is very different than other publishers.

“We are a personalized radio service and so rich media is anytime a user is interacting with an ad,” Ms. Lucanegro said. “We use audio messaging a lot because sometimes when you are listening to Pandora the phone is not in hand.

“We use a lot of expandables and ads that roll up like a window shade, but the music continues to play,” she said.

“Top Chef” ran a rich-media ad campaign via Pandora where consumers clicked to watch a video.

At the end of the video ad, consumers could add the show to their calendar.

“This is not only a creative rich-media ad, but it also takes advantage of the phone’s native functionality,” Ms. Lucanegro said.

Ms. Lucanegro also said that mobile rich media can achieve 2.5 times higher interaction than standard banners.

Future of rich media
Mobile commerce-enabled rich media ads are going to be big, per Ms. Vautravers.

Rich media is increasingly going to serve as a means of supporting a brand’s evergreen strategy.

Augmented reality and location are what excite Ms. Williams in rich media. Both will probably play exciting roles in the future.

Ms. Lucanegro expects more True Blood-like stunt ads in the future (see story).

“These are great if you are in the right environment,” Ms. Lucanegro said. “Those are going to be a lot of fun."

Digitas exec says more than 80pc of clients doing mobile

LOS ANGELES – A Digitas executive discussed mobile’s role in today’s purchase and relationship funnel, including the art and science of constructing actionable customer journeys and how to get results at scale during a presentation at the Mobile Marketing Association’s Mobile Marketing Forum.

Chia Chen, senior vice president of marketing at Digitas, Boston, said that 80-plus percent of clients are doing something in mobile. That is not surprising, since based on the current rate of change and adoption, the mobile Web will be bigger than desktop Internet usage by 2012, according to Morgan Stanley.

“Brands matter more when they actively connect to people’s lives in the moment,” Mr. Chen said.

Talking to clients, Digitas finds that brands are eager to get into mobile.

Digitas provides the framework for how to think about mobile.

“What really matters is that mobile is personal,” Mr. Chen said. “Mobile is every addressable channel.

“Always on means always reachable,” he said.

It is important that a brand’s mobile initiatives be highly relevant to the person and to the moment. This means powerful creative ideas that span channels and deliver instant value.

CRM in mobile
Digitas’ heritage is around CRM and results-oriented marketing.

The agency has a huge amount of expertise in dealing with data and it segments customers based on their profiles and purchase history.

“But that gets trumped with the data of what they are doing in that specific moment,” Mr. Chen said.

“Creative must span channels and integrate among all the various channels that are activated with mobile,” he said. “You have to deliver instant value and you have to have a concept that really surrounds them.”

Tools to define the customer journey
A large part is really contingent on the art of planning in a way that is very specific.

It is about really getting into how people’s daily lives unfold and when they may actually need you to be active with them.

The first step is defining the connections profile. What do they like? How do they consume media and what are they looking for in terms of entertainment?

Do they research online before purchasing and what are their passions from a media perspective?

Based on this information, Mr. Chen says marketers can then decide what the best channels would be to reach them with.

“A lot of what we do in marketing is interruptive messaging,” Mr. Chen said. “We have to figure out the right moments and what they are interested in.”

The next step in defining the customer journey is organizing engagement. Think about how to raise awareness and associations about the brand.

Research and consideration is also key to defining the customer journey. It consists of developing opinions and a short list.

Think of ways to use mobile to influence the target at the moment of the purchase decision.

Loyalty and advocacy is the last part. Encourage repeat purchases and word of mouth.

Case study - Enfamil
Enfamil is a baby formula. This category is really interesting in terms of the customer journey.

Moms are pregnant and then the decision is made on what formula to use during infancy.

Enfamil needs to be there with the customer from pregnancy until the first few days after birth.

The brand needs to be part of the target’s journey into motherhood.

Pregnancy today is a connected social happening. Expectant moms are on their mobile devices right through delivery.

They are texting, emailing and searching for information and they get their info through the mobile device. Enfamil was absent there.

Digitas suggested a mobile Web and a paid search campaign and integrated mobile into the overall digital strategy.

“The mobile Web site has been very effective for them and has been embraced by moms,” Mr. Chen said.

18/11/2010

Android ad impressions pull even with Apple’s iOS: Millennial Media


For the first time, Google’s Android tied with Apple’s iOS as the largest smartphone OS on Millennial Media’s mobile ad network, with an 8 percent increase month-over-month and 37 percent impression share overall.

According to Millennial’s October 2010 Mobile Mix report, Apple, the leading device manufacturer on its network for the last 13 months, also accounted for a 37 percent share of impressions. Those numbers are another indication of how quickly Android’s market share is growing.

“Month to month, we have continued to see the rapid growth of the Android platform,” said Mack McKelvey, senior vice president of marketing at Millennial Media, Baltimore. “For the first time in October, we actually saw Android smartphone impressions on our network tie iOS smartphone impressions at number one, each capturing 37 percent share.

“Our clients’ savvy cross-platform buys have enabled them to reach their target audiences at scale, regardless of device or OS type,” she said.

Nokia to enable contactless payments next year


Nokia, the world’s leading handset manufacturer, has confirmed it will activate the contactless payment technology in its C7 handset in 2011.

The phone launched last month with the hardware built in, allowing customers to purchase items by swiping their phone across an electronic reader.

Nokia has confirmed a software upgrade early next year will activate the near-field communication (NFC) chip. NFC is a short-range wireless system that allows data to be transferred between devices, much like the system used by Transport for London’s Oyster.

Adoption of the technology is set to increase in 2011 as the mobile industry’s main players begin introducing it in their handsets and operating systems.

Nokia wouldn’t confirm which financial and retail brands it would be partnering with to enable use of the technology.

In 2008 it trialled the service with partners AEG, Barclaycard, O2, Transport for London, TranSys and Visa Europe, with participants able to purchase items in stores such as Eat, Krispy Kreme and Books Etc using a Nokia 6131 handset.

Google CEO Eric Schmidt announced this week that NFC software will be included in the next update of Google’s smartphone operating system, Android 2.3, although many current Android handsets won’t have the hardware to use the technology.

Mobile and retail brands have, until now, resisted NFC technology because of concerns over financial and data security if customers lose or have their handsets stolen, as well as the infrastructure costs of installing readers in retail outlets.

Barclaycard has partnered with Transport for London for its Oyster credit card, which uses NFC. The financial services company also announced a partnership with Orange this year. Retailer Boots trialled its contactless payment system last year in connection with MasterCard.

Following the launch of its O2 Money brand earlier in the year, the mobile operator is looking to expand its financial services team with a focus on developing NFC technology.

Vodafone is also expected to explore opportunities with mobile payments in the UK following the success of its M-PESA service overseas.

17/11/2010

Disney merges offline, online with Google Goggles mobile campaign


Google is working with five brands—Disney, Buick, Diageo, T-Mobile and Delta Airlines—to extend some of their offline marketing to the mobile Web via its image recognition application.

About a year ago, the search giant launched Google Goggles, an Android application that lets consumers search the Web for information by taking pictures of paintings, landmarks or products with their mobile devices. As part of a Google Goggles marketing experiment, the five participating brands have “Goggles-enabled” some of their print ads, movie posters and other media.

“This is something new and exciting we’re trying out for the first time—this is uncharted territory,” said Aaron Stein, New York-based spokesman for Google. “The goal was really to Goggles-enable ads that are not online and use Goggles to make it possible for consumers to interact with those brands online.

“Consumers can scan a Buick ad and learn more about the brand through this experiment,” he said. “I think it’s too early to speculate as to what this will turn into, but we’re really excited about this announcement and this is the just the tip of the iceberg.

“The purpose of Google Goggles is to expand the ways you can search from your mobile phone—you can get information in different ways with your phone, input text queries, voice search and with Google Goggles you can do an image search, and this is really just an extension of that.”


Five big brands tap Google Goggles for multichannel image recognition campaigns
Google eyes
Disney, Buick, Diageo, T-Mobile and Delta Airlines are partnering with Google as part of their efforts to make traditional media interactive and more trackable.

When consumers take pictures of these print ads, movie posters and other media with Google Goggles, they will be recognized by the application and users will have the option of clicking-through directly to a mobile destination from the brand.

Google said that it developed Goggles so that people could more easily explore the world around them with a mobile device.


Google Goggles enables mobile search by sight
In this experiment, Google is applying the same principles and the same technology by “Goggles-enabling” advertisements and other media, and offering to link consumers to the mobile sites from these brands.

“People have already been scanning products with Goggles, so we saw an existing demand for this,” Mr. Stein said. “We’re letting people learn more about those brands by enabling movie posters, print ads and other media with Goggles interactivity.”

Brands' use of Goggles
Walt Disney Pictures Goggles-enabled out-of-home posters for its upcoming film “Tron Legacy.”

When consumers take a picture of the poster, they are immediately redirected to the Tron Legacy microsite on the mobile Web.

Consumers are then encouraged to view the trailer for the film.

Diageo said that it wants to provide on-the-go consumers with product information, offers, recipes or other content wherever they may need it, and Google Goggles is one way to do so, connecting various touch points.

Mobile is the one common tool that everyone has with them at all times, per Diageo.

When consumers launch Goggles and take a picture of a print ad from Buick, they are redirected to the relevant content on Buick’s mobile site.

When consumers scan this "Goggles-enabled" Buick ad with Google Goggles, they can connect directly with Buick's mobile experience.

The Buick Lacrosse is one model that the automaker is promoting via the Goggles campaign.

Buick said that it is participating in the Google Goggles marketing experiment to create a richer, deeper brand experience for consumers that view its traditional advertising.

BMW Launches First User-Generated iAd

BMW of North America is running the first user-generated iAD promoting the launch of the BMW X3. The focus of the ad plays off of BMW's built-to-order program for the new car. Essentially viewers - like actual customers - imagine their dream car and then build it. While the next step in this process for paying customers is to have their customized BMW delivered to their driveway, viewers get a virtual road test of their custom designed car. Each “dream car” in the ad was selected from real submissions on the BMW USA Facebook page.

The 'shake' feature on iPhone and iPod touch lets users to browse the dreams - all riffs on how the car will change a life - as well as the X3 color options. Viewers then submit their own dream, which can then be shared with the BMW community through the iAd. They have the X3's 70 million unique configurations on the iAd to play with starting with colors and wheels that can be changed, the vehicle's angle, interior options, and even the environment, which can move from a cityscape to mountains. Viewers then drive their cars by browsing video content and downloading images from a gallery of hi-res wallpapers.

Once they have had their fun with the iAd, the viewer taps the close button and returns to the app they were using.

Rocky Start

The first several months of iAd’s launch has been characterized by some great media play, and then quiet, behind-the-scenes disgruntlement on the part of some advertisers. Of the 17 ad partners that launched with the iAd in June, only two - Unilever and Nissan - had iAd campaigns running for much of July. These reasons have included the tight control Apple is keeping over the creative process which has added weeks to the process. Then there is the expense - $1 million a package - that has no doubt deterred more advertisers from signing up, at least until the results of these early adopters become clear. Apple has also worried some companies with its insistence of keeping control of the customer relationship and its stinginess with analytics information.

Compelled

Marketers, though, are forging ahead with the iAd, with BMW being the latest example. One namely, is that the click through rates and other engagement metrics are much higher than compared to other online ad formats. A Nissan spokeswoman told the Wall Street Journal that its iAd "has driven exceptional results to date" with the rate of users tapping on the banner five times the click-through-rate of the online campaign.

Google's new phone software supports mobile payment

(Reuters) - Google Inc's next version of its Android smartphone software will support a technology that lets people use their handsets, instead of credit cards, to pay for goods at restaurants and stores.

Google Chief Executive Eric Schmidt showed off a yet-to-be-released phone on Monday with a special chip that allows consumers to quickly pay for items by tapping the phone against a special terminal.

Schmidt said support for the technology, dubbed Near Field Communications, will be integrated into the next version of its Android software, "Gingerbread", which he said will be introduced in a few weeks.

"One way to think about it is, this could replace your credit card," Schmidt said, speaking at the Web 2.0 conference in San Francisco.

Google had no immediate plans to develop any of its own mobile applications to take advantage of such payment capabilities, but Schmidt expected other companies to do so.

"My guess is that there are going to be 500 new startups in the mobile payment space as these platforms emerge," Schmidt said. He added that Google would partner with traditional credit card industry players, like payment processors, rather than compete with them.

While NFC technology has been available for years, interoperability with Google's Android software should make the technology more widespread. Google's Android was the second most popular smartphone operating system in the third quarter, according to industry research firm Gartner, behind Nokia's Symbian and ahead of Apple Inc's iOS software, which is used on the iPhone.

In a roundtable briefing with reporters, Schmidt said Google's ability to marry its smartphone software with Internet-based services enabled features like turn-by-turn driving directions and real-time foreign language translation, which distinguished it from rivals' offerings.

"We would argue that our platform is better for applications that are network-resident and that need that kind of power," Schmidt said.

Google, which controls roughly two-thirds of the Internet search market, is increasingly competing with Apple and with social networking giant Facebook.

Earlier on Monday, Facebook unveiled a revamped version of its messaging system that could make it increasingly competitive with Web-based email systems like Google's Gmail and Yahoo Inc's mail service.

Asked about Facebook's potential effect on Gmail, Schmidt said that additional competition would be beneficial, and chided the press for focusing too much on the competition between Google and other technology companies.

"You all are focused on the competition, as opposed to the fact that the market's getting larger," Schmidt said. "And there's no question that more entrants into communications technologies, mobile technologies and so forth, bring more people in."