TomTom 2011 Annual Report Download - page 7

Download and view the complete annual report

Please find page 7 of the 2011 TomTom annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 88

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88

5
Management Board Report
Business Review 2011 |
Consumer
—
During 2011 we refreshed our complete PND product line-up and
simplifi ed and strengthened our product range.
TomTom HD Traffi c was introduced in several countries, including
the US and Canada. The unique combination of our real-time
traffi c service, HD Traffi c and dynamic routing is now available in
23 countries across the globe. TomTom HD Traffi c is generated
from a network of over 80 million probes. It covers up to 99.9%
of the road networks and includes coverage of traffi c jams on
main roads as well as secondary and local roads. The system
updates drivers with a complete and accurate overview of the
situation on the road network every other minute.
During the year our base of active users of LIVE Services, including
TomTom HD Traffi c, doubled from 690,000 to 1.5 million users.
Sales of devices with LIVE Services increased relative to the year
before. Around 25% of the people who bought LIVE Services
as part of the purchase price of their PND device renewed their
subscription after the initial one-year period, which compares to
20% in 2010. We expanded geographically with the introduction
of the VIA range in India. We also introduced our new Search &
Go travel specifi c real-time services as part of our premium range
devices, including Expedia, TripAdvisor and Twitter.
We started shipping the Nike+ SportWatch GPS powered by
TomTom, a GPS sports watch that we developed in cooperation
with Nike, during 2011. The market has received the watch well.
It has an innovative design, is very easy to use and connects to
Nikeplus.com for the after-run experience.
Automotive
—
The Automotive business unit extended its relationships with its
existing partners Renault, Fiat and Mazda during the year. We
began supplying our factory-fi tted navigation product, including
a real-time charging station reservation feature, for Renault’s
electric vehicle, Fluence. We are now supplying nearly all of
Renault’s passenger vehicles and light commercial vehicles with
We continued to broaden our business in 2011. Overall, our business was a ected by
challenging conditions in consumer electronics markets but we experienced good growth
in other areas. Below we discuss the developments in the past year and provide more
details on the di erent business units.