THE 2015 CONSUMER ELECTRONICS

SHOW (CES) FEATURED

APPROXIMATELY 160,000 ATTENDEES
AND 3,500 EXHIBITORS FROM
AROUND THE WORLD, THE
EQUIVALENT OF 35 FOOTBALL FIELDS
FILLED WITH THE LATEST IN
TECHNOLOGY-DRIVEN INNOVATIONS.
CES, the biggest technology show of the year, is
where brands, startups, celebrities, analysts,
marketers, geeks and more kick off the new year in
an attempt to understand the devices, technologies
and trends that will shape the future. Or at least the
next 12-16 months.

This year, saw the launch of C-Space, a partnership

between the ANA and Consumer Electronics
Association (CEA), with a separate conference track
aimed specifically at marketers.
And at The Sands, a new space was opened,
dedicated to wearables, health and wellness
technology and the Eureka Park start-up convention,
which features innovations from over 20 countries.

REVENUES FOR THE CONSUMER ELECTRONICS INDUSTRY ARE

PROJECTED TO GROW 3% AND REACH AN ALL-TIME HIGH OF
$223.2 BILLION in 2015.
SOURCE: CONSUMER ELECTRONICS ASSOCIATION (CEA)

MEC@CES, OUR CURATED THOUGHT

LEADERSHIP EXPERIENCE, FEATURED
EXPERTS, DISRUPTERS AND PIONEERS
FROM ACROSS INDUSTRIES, SHARING
THEIR VIEWS OF WHAT MARKETING IN
A CONNECTED WORLD MEANS FOR
BRANDS.
Panelists & speakers included:
Brian Cooley, CNET
Mick Ebeling, Not Impossible Labs
Brian Wong, Kiip
Tony Hsieh, Zappos.com
David Carr & Meredith Levien, New York Times
Elyssa Gray, Citi
Jim Neil, Forrester Research

Through these powerful minds and influential

entrepreneurs, we gazed into the tech trends of 2015:
how doing good is good branding, the need to look
beyond real-time marketing to address real-time
consumer needs, how brands should focus on
delivering happiness through culture and customer
service among much more.

We also featured our MEC & AT&T Live Experience.

This CES installation highlighted our partnership with
Mashable and its proprietary Velocity platform, as
well the first ever-agency access to Twitters Curator
Tool to drive both paid and organic content for AT&T.

TRENDS FROM

& WHY THEY

MATTER TO YOU

Overall, one theme stood out

INNOVATION HAS GONE MAINSTREAM
If 2014 was the year that being a nerd became mainstream,
and even something to aspire to, CES proved that in 2015,
innovation is mainstream. As cultural behaviors continue to
evolve, both consumers and brands are recognizing that
much of this evolution is being driven by technology and the
opportunities that technological innovations allow.
More curious and inquisitive than ever before, consumers
want a better understanding of the platforms and tools that
are shaping their futures both today and tomorrow.
Whether its 3D printing, wearable technology, smart cars or
the next awe-inspiring device, consumer curiosity is driving
brands to innovate like never before.
As a result, CES is no longer about introducing new
technology; its about introducing new influences and
opportunities to evolve the way we live and engage with the
world around us.
It is imperative that we continue to track these devices and
technologies throughout the year to understand how and
why they are evolving, and to determine which companies
with whom to build relationships in the future.

Virtual Realitys ability to be a part of advertising and marketing

became palpable this year. Demos of consumer-facing Virtual
Reality (VR) products finally hit the tradeshow floor, including the
Oculus Rift and Sony Morpheus.

VIRTUAL
REALITY IS
NO LONGER
A VIRTUAL
CONCEPT

While VR has potential to become as commonplace as

smartphones or tablets, it still has a way to go before it
seamlessly integrates into everyday life. Brands are working
to determine the ideal form factor, content parameters and other
key components that can make or break VRs mainstreaming
capabilities.
It became clear at CES that VR can, and will, offer new
communication opportunities outside of the gaming and
entertainment worlds, giving people the chance to interact within
and alongside the real world via the virtual world.

WHY THIS MATTERS TO YOU

This is a new content-centric landscape for brands, whether or not they
have already tapped into gaming as a marketing opportunity. Be
inspired and learn from brands like Samsung which have made VR
experiences customized with products like Milk VR, a VR video service
for its Gear VR platform, as well as more immersive VR-driven gaming
opportunities.
As consumer interest in VR continues to rapidly accelerate, and
companies push to determine the best applications for their VR
investments (e.g. Facebooks $2 billion purchase of Oculus VR), new
chances to leverage the technology will emerge as the devices enter the
marketplace and consumers find practical ways to integrate it into their
lifestyles. Consider if developing a relationship with one of these
partners could be of benefit to your brand.

VR HARDWARE SALES ARE EXPECTED

TO GROW FROM $1.4 BILLION THIS YEAR
TO $2.4 BILLION IN 2017.
Source: VR consulting firm KZero

VR SOFTWARE SALES, WHICH ARE

CURRENTLY COMPRISED OF MOSTLY VIDEO
GAMES, ARE EXPECTED TO REACH $2.8
BILLION BY 2018.
Source: VR consulting firm KZero

VIRTUAL
REALITY IS
NO LONGER
A VIRTUAL
CONCEPT

Samsung introduced Milk VR, a virtual reality

video service for its Gear VR platform,
offering free 360-degree videos to Gear VR
virtual-reality headset users. The goal is to
give users streaming and downloadable
video content that makes the most of virtual
realitys offerings.

Oculus offered its first public demonstrations of the

Crescent Bay prototype device. Crescent Bay
improves upon previous models, offering a lighterweight and more comfortable device with better
resolution and tracking, functioning at the ideal
90Hz refresh rate for VR.
Oculus has already been testing brand-focused
ways to use the technology, recently partnering
with Marriott Hotels to provide guests with fully
immersive virtual travel experiences, teleporting
users to the beaches of Hawaii and downtown
London via Oculus Rift devices.

VR company Sensics and gaming company Razer

came together to launch the Open Source Virtual
Reality (OSVR) platform in an attempt to
standardize the development of Virtual Reality. A
development system (vs. operating system), the
goal is to help get VR on different types of
hardware, e.g. consoles and head displays. Early
supporters include Leap Motion and the
International Game Developers Association.

The Internet of Things came full-circle at CES this year. With

of a slew of connected devices that can be controlled via
consumer-friendly hubs (e.g. smartphone apps), we saw the
Internet of Things cross over from a buzzword to mainstream
adoption.

SMART
PRIMES
ITSELF
FOR THE
MAINSTREAM

This is a massive shift. Previous years emphasized standalone gadgets, but this year CES hosted a staggering number
of connected devices, critical for the evolution of the
Connected Home concept.
With products such as Google Nest, and platforms such as
Lowes and Belkin, theres never been a better time for
consumers to begin connecting their devices to different
parts of their lives. While standardizations regarding
platforms and security are still in flux, we expect providers to
tackle these topics in the coming year to ensure consumer
safety and confidence.

WHY THIS MATTERS TO YOU

The Internet of Things is here, and now is the time to understand a brands role
in it. Either highlight smarter capabilities embedded within your brands
offering, or find ways to plug into larger connected offerings already in
existence. Apples HomeKit development platform, which allows brands to
build smart home devices that can be controlled via Apple iPads/iPhones, is an
example of the latter. The potential for this market is lucrative in uncovering
new ways to be a part of consumers lives and tap into new streams of data to
provide improved, holistic experiences.
This is an important time for privacy; as more devices become connected to
the Internet and to each other, there are more opportunities than ever for
security breaches, with hackers having potential access to sensitive real-time
information devices like connected security systems, smart TVs and even pet
monitoring devices.

The global market for Internet of

Things devices and services is
expected to exceed $7 trillion by 2020,
up from $1.9 trillion in 2013.
Source: Market research firm IDC

SMART
PRIMES
ITSELF
FOR THE
MAINSTREAM

Nest unveiled a range of new partners for its Works

With Nest developers program, including Lutron,
Insteon, August Smart Lock and Philips Hue. The new
partners will build Nest products into its ecosystem.
For example:
When Nest Protect senses something is
wrong, a users Philips Hue lights will flash on
and off to get users attention.

Belkin unveiled a series of WeMo Sensors

that fill many home automators gaps,
such as single vendor compatibility and
improved awareness of what happens
within a home via tools like magnetic
window and door sensors. The sensors
come in an array of sizes to address a slew
of needs, and can be attached to anything
from a dog collar to a night side table.

For example, WeMos Keychain Sensor

serves as a digital tracking device, alerting
users when people come and go from a
home, and can be used for either tracking
children or triggering other connected
home actions.
The WeMo sensors connect to a homes
WiFi network and works with the WeMo
app on both Android and Apple devices.

A user of the August Smart Lock can set their

Nest Thermostat to Home when they unlock
their door, triggering their house to warm
up/cool down. Users can then lock their doors
when they leave, triggering the Nest Thermostat
to Away to save energy.

WEARABLES
HAVE
BECOME
WANTABLES

Everyone knew that wearable technology would be on full

display this year, thanks to the CES Wearables Marketplace
feature at the Sands Hotel. However, they may not have
anticipated how these devices have become even more useful
as a result of becoming even smarter. With many devices
tapping into the learnings of the Internet of Things, wearables
have expanded, offering far more enticing features beyond
health and fitness monitoring.
Integrating smart technology into almost anything that can
be worn by a consumer, including jewelry and clothing, the
wearables marketplace has grown from being a trend to an
impending part of everyday life. And as many wearables
move from focusing on fitness to a full spectrum of health
areas, were seeing new (potentially endless) possibilities.

WHY THIS MATTERS TO YOU

As different features (e.g. sensors, cloud computing) come together in
new and evolved offerings, while other devices focus on specific industries
like health or hospitality, wearables continue to hint at potential for
marketers to connect with consumers like never before. These devices
provide the chance to be closer (literally and figuratively) to consumers,
and uncover new data streams that we never before imagined could be
possible.
We will continue to see wearables enter the market and cover almost
every possible consumer need, from tracking a dogs daily activities to
helping a user meditate. Like with any technology, as consumers test and
adopt these devices into their lives, its critical to understand why and how
they are leveraging the devices, and find ways to help them make the
most of those experiences.

Overall wearable unit sales are predicted

to reach 30.9 million units (a 61% increase
from 2014) and generate $5.1 billion in
revenue in 2015 (a 133% increase).
Source: CEA U.S. Consumer Electronics
Sales and Forecasts study

WEARABLES
HAVE
BECOME
WANTABLES

Quell is an FDA-approved
medical wearable designed
to leverage electrical
stimulation to relieve chronic
pain. It can be controlled
using a smartphone and
allows users to track usage
and follow therapy
regimens.

Withings announced the

Activit Pop, a smartwatch
that keeps it simple, tracking
movement and activity and
reporting it to Withings iOS
app. The $150 watch is
among the few wearables
currently available that are
practical and aesthetically
attractive, designed in a slew
of materials and colors for
personalization.

Osterhout Design Groups new,

lightweight consumer smart
glasses are based on the company's
R-6 glasses, already in use in
enterprise and government
agencies. Powered by Qualcomms
Snapdragon 805 chip (the chip
Samsung Galaxy Note 4 uses too),
and running full Android, the smart
glasses represent the market
evolution first kicked off by Google
Glass.

LG and Audi are working a

version of LGs G Watch R
smartwatch. It is predicted
that it will be built on the
Android Wear operating
system and will support and
control in-case operating
systems.

Cars have always been a cornerstone of CES, and this year was
no exception. While we heard about self driving cars in past
years, 2015 provided a look under the hood to see where the
future of auto technology is headed: towards automation.
Some of these smart features are already available in cars on
the road today, and more are coming this year.

CARS AS
THE NEW
CONSOLES

Connected cars are no longer a Jetsons-esque vision for a faraway future. As of today, new ways of integrating consumerfacing technologies such as wearables and smartphones into
the dashboard and driving experiences of cars offer
opportunities for connectivity and targeting.
While there are still plenty of hurdles for automated self-driving
cars to overcome (e.g. security and legislation), features like
self-parking, adaptive cruise control, and vehicle-to-vehicle
communication will be here before you know it (if
they arent already).

WHY THIS MATTERS TO YOU

While were still a ways away from owning self-driving cars,
the future of automobiles will be driven by innovations
focused on connectivity and automation.
With the promise of bringing new experiences, like
commerce and targeted radio to cars, connected cars offer
personalized ways to turn the driving experience into an
infotainment experience.

Increased levels of intelligence can only improve the

consumer experience, and automation alleviate many of the
stresses related to driving and commuting. The result is less
clutter for brands to cut through, and new ways to capture
attention on and off the road.

CARS AS
THE NEW
CONSOLES

Chipmaker Nvidia unveiled the Tegra X1, its

most powerful mobile processor ever,
designed for cars. Dubbed "the world's first
mobile super chip by CEO Jen-Hsun Huang,
the world's first teraflops mobile processor
will be used in cars, with the belief that
future cars will be the most advanced
computers in the world.
Nvidia also introduced the Drive PX, a new
car computing platform based on the Tegra
X1 that will be compatible with QNX, Linux
and Android-based car systems.

Parrots RNB6 offers a device that fits into

almost any modern-day car, with a dash
camera build into it. The result? Operating
system agnosticism and the ability to upgrade
any car.
The device features navigation, hands-free
telephone operation and on-board
diagnostics, as well as a CarPlay/Android Auto
feature, ensuring users arent stuck with one
operating system.

GM announced an expanded OnStar in-vehicle

subscription concierge service, featuring
AtYourService connected car-compatible
mobile app.
AtYourService brings commerce to cars via
partnerships with brands like Dunkin' Donuts
and Priceline, and offers coupons through
digital providers RetailMeNot and
Entertainment Book. Other new features
include the ability to evaluate drivers
performances and predict when parts may
need repair.

TV
EMERGING
AS A
SUPERPOWER

Yes, we saw plenty of big, shiny new 4D TVs, just as weve

seen in previous years. Really impressive this year, was the
way that companies (both technology and media) were
showcasing new ideas to leverage data and content,
impacting how brands connect with and communicate to
consumers. Mega-brands like Sony, LG and Panasonic
announced new TVs, as well as partnerships with content
creators like Netflix and Walt Disney Studios to set standards
for 4K TVs and content.
Sony and Dish Network both demoed their newly launched
virtual MSO services (Sony Vue and Sling TV), while brands
like LG and Samsung showcased smarter, even more
connected TVs that will not only continue to drive consumer
viewing habits, but also potentially shape them in the future.

WHY THIS MATTERS TO YOU

Beside being aesthetically attractive and offering better viewing
experiences than ever before, most of the new TVs not only feature
ultra-high definition 4K resolution, OLED (organic light-emitting diode)
display technologies or both, but they also remove the need for
additional streaming devices (e.g. Apple TV), offering streaming
content from popular sources like Netflix and Amazon.
By removing the need for additional devices, consumers will have more
opportunities than ever to access traditional cable, satellite television
or streaming content on an in-home device as opposed to on a
portable device like a tablet, laptop or a smartphone. This is a dynamic
opportunity for those looking to reach consumers in the home vs. onthe-go.

Shipments of so-called 4K ultra high-definition

TVs are projected to reach four million units in
2015, an increase of 208% over 2014.
Source: CEA U.S. Consumer Electronics Sales
and Forecasts study

33% of consumers may purchase a 4K TV within

the next three years, while 44% said they are
likely to purchase a smart or Internetenabled TV.
Source: CEA U.S. Consumer Electronics Sales
and Forecasts study

TV
EMERGING
AS A
SUPERPOWER

Streaming video technology provider Roku is

working with manufacturers to embed its
software into their TVs, wanting to bring
consumers an affordable, highly usable smart
TV experience and recognizing that not every
household is investing in an independent
streaming player.
Roku launched a partnership with Insignia,
Best Buy's house brand, which will bring
Insignia TVs with built-in Roku TV features to
Best Buy stores this spring. Theyve also signed
a deal with Haier, who will begin selling Rokupowered streaming TVs later this year.

CES also saw the launch of

UHD Alliance, a group
comprised of consumer
electronics companies, TV
service providers and studios.
The organization focuses on
setting new standards for HD
content and devices but
does not give answer to the
many questions about why
consumers should upgrade
their TVs and what it would
mean for their viewing
experience.

Dish Network launched Sling TV,

a web-based offering that
provides live and on-demand TV
content via Internet to a slew of
devices (e.g. TV, smartphones).
Dish says that it will be
$20/month, about a fifth the cost
of the average household cable
and satellite service bill.
The ability to watch live content
(e.g. news and sports) without a
cable subscription could be
enticing for those interested in a
cable-free option.

Netflix announced
Recommended TV, a new
program that helps users
find specific TVs based on
the content they're looking
for. Based on Netflixs ability
to assess a TV's connectivity
and image-processing
technologies, it will help
consumers find the optimal
TV set to watch their desired
content on.

MORE SIGHTINGS FROM THE CES FLOOR

MOBILE TECHNOLOGY:
The key device bringing together the various aspects
of our lives, and the future bridge for our wearables
and connected home technologies. Ex: LG Display's
dual curved display smartphone concept device;
Microsofts Nokia 215, the cheapest Internet-ready
mobile device Microsoft has produced.

3D PRINTING:
Introduced user-friendly features such as new material
forms and low cost options. Ex: XYZprintings Food
Printer creates shapes from food items.

GAMING:
Tapping into consumer interest for on-the-go and
Internet-enabled gaming capabilities. Ex: Razers
Forge TV is a microconsole powered by Androids
operating system, allowing users to play Android
games with Razers Serval controller.

DRONES:
Unmanned systems are growing in popularity as
consumers find them entertaining and brands test
ways to make them useful. Ex: DJIs Inspire 1 is a
handheld camera drone offering 4K resolution for both
photos and videos

ROBOTICS:
Using artificial intelligence to provide new ways to
interact and connect with people by closing perceived
gaps. Ex: Suitable Techs BeamPro robot gives
employees virtually office presence by letting users
"interact with remote locations by coupling high-end
video and audio with the freedom of motion to move
about a space."

CES 2015 DECODED: TERMS THAT MATTER

BITCOIN - A software-based online payment system
where payments are recorded in a public ledger using its
own unit of account, also called bitcoin. Payments work
peer-to-peer without a central repository or single
administrator, which has led the U.S. Treasury to call
bitcoin a decentralized virtual currency.
IFTTT ( If This Then That) - Pronounced like gift
without the g, it is a web-based service which allows
other services (e.g., Gmail, Google Reader, Instagram,
Craigslist) to be programmed by means of using
publically available and consistent, simple conditional
computer programming statements (called recipes). An
example of this is if the user's photo is tagged by
someone on Facebook, then that photo will be added to
the user's cloud-based photo archive automatically.
MAKERSPACES - Community centers with tools.
Makerspaces represent the democratization of design,
engineering, fabrication and education (e.g. Pebble
Watch, MakerBot and Square).
RFID (Radio-Frequency Identification) - The use of radio
waves to read and capture information stored on a tag
attached to an object. A tag can be read from up to
several feet away and does not need to be within direct
line-of-sight of the reader to be tracked.
BLE - A new version of Bluetooth that makes wireless
connections between BLE-enabled devices over short
distances. To showcase how BLE is different, think of
cellular communications that provides wireless coverage
with a footprint measured in miles; WiFi's footprint that is
measured in yards; and BLE's which is measured in feet;
whereas NFC's is measured in centimeters.

DRONES - Formally known as unmanned aerial vehicles

(UAV), a drone is a flying robot. The aircraft may be
remotely controlled or can fly autonomously through
software-controlled flight plans in their embedded
systems, working in conjunction with GPS.
OTT (over-the-top content) - In broadcasting, it refers to
delivery of audio, video, and other media over the
Internet without the involvement of a multiple-system
operator in the control or distribution of the content.
BLUETOOTH 4.0 - Backward-compatible with all other
versions of Bluetooth, so you can pair existing Bluetooth
headsets with the new iPhone without a problem. The
Apple iPhone 4S was the first phone to ship with
Bluetooth 4.0.
HI-FI SYSTEM (High fidelity) - A term used by home
stereo listeners and home audio enthusiasts (audiophiles)
to refer to high-quality reproduction of sound to
distinguish it from the poorer quality sound produced by
inexpensive audio equipment.
EMBEDDED INTELLIGENCE - Characterized as the
ability of a product, process or service to reflect on its
own operational performance, usage load, or
environment in order to enhance the product
performance and lifetime, to increase quality or to ensure
customer satisfaction.
3D PRINTING - Achieved using an additive process,
where successive layers of material are laid down in
different shapes. 3D printing is also considered distinct
from traditional machining techniques, which mostly rely
on the removal of material by methods such as cutting or
drilling (subtractive processes).
BY CARY TILDS, GROUPM

1995 was the last big moment in

technology. 2015 will be another turning
point. Were going from a 2D world to a 3D
world. This additional dimension will
change how we experience computing.
- BRIAN KRZANICH, CEO, INTEL
A great brand is a story that
never stops unfolding.
- TONY HSIEH, CEO,
ZAPPOS
Think about people as a
collection of moments,
not targets.
- BRIAN WONG, CEO, KIIP
Impossible is a question of time. You have to
commit and then figure it out.
- MICK EBELING, CEO, NOT IMPOSSIBLE LABS

Data is a political tool. If you put

data on the table it can adjust the
way you manage, the way you lead.
- MIKE STENBERG VP WEB &
INFRASTRUCTURE, SIEMENS

Many people think its [the Internet of

Things] in the distant future. Its not. Its
2015, and we are going back to the future.
- BK YOON, CEO, SAMSUNG

[Brands] have to find a way to find or

build a big enough campfire for people to
gather around.
- DAVID CARR, NEW YORK TIMES

Technology is how we get things done.

- BRIAN COOLEY, EDITOR, CNET

THANK YOU TO ALL THE

MEC@CES CONTRIBUTORS!
To see more of what happened as it happened
at CES 2015, download the
FlipBoard MECGlobal
For questions, please contact:
Whitney Fishman whitney.fishman@mecglobal.com