VIMNINSIGHTS.VIACOM.COM

@VIMNINSIGHTS

[TV RE DEFINED]

1

SIMONE REITBAUER

HEAD OF RESEARCH & INSIGHTS

AMSTERDAM, 15. SEPTEMBER 2015

TELEVISION USED TO BE

ONE DEVICE, ONE SOURCE

NOW IT’S MULTIPLE DEVICES

AND MULTIPLE SOURCES

2

TELEVISION USED TO

FIT WITHIN A FORMULAIC AND

LIMITED SYSTEM

NOW IT IS UNLIMITED IN

ITS CREATIVITY

3

63%agree that

“TV content has never

been this

good”

4

DEVICES, SOURCES – AND THE CONTENT ITSELF

5

WE NEED TO REOUR UNDERSTANDING OF TV

[DEFINE]

7

HOW THEY

ARE WATCHING

TELEVISION

AND

HOW THEIR

HABITS AROUND

TELEVISION ARE

EVOLVING

HOW

VIEWERS ARE

DISCOVERING

NEW SHOWS

8WE SET OUT TO EXPLORE VIEWERS’ EXPERIENCE

WITH FULL-LENGTH TV SHOWS

7,700 VIEWERS AGED 12-34

20,575 VIEWING MOMENTS

14 COUNTRIES

ONLINE POPULATION

Brazil, Mexico, Indonesia, Philippines, Australia, Malaysia, Singapore, Russia, Germany, UK, Italy, Poland, Netherlands and Sweden

9

SUPPORTED BY IN-DEPTH INTERVIEWS10

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A RE-DEFINED WORLD OF DEVICES

100%TV SET/ SMART TV

COMPUTER/LAPTOP

DVD PLAYER

12

S4b. Which, if any, of these devices do you own and which do you personally use? (Owned or used); Base: 550 viewers aged 12-34 [NL]

97%

86%

65%

64%

iPOD TOUCH

56%

42%

33%

19%

SMARTPHONE

VIDEO GAMES CONSOLE

SMART TV

TABLET

PORTABLE GAMES CONSOLE

DEVICES OWNED OR USED

BROAD MULTIPLATFORM USAGE EVERYWHERE

99%TV SET

COMPUTER/LAPTOP

14

S4b. Which, if any, of these devices do you own and which do you personally use? (Owned or used); Base: 7,700 viewers aged 12-34 across all markets

93%

81%

52%

30%

SMARTPHONE

SMART TV

TABLET

S4b. Which, if any, of these devices do you own and which do you personally use? & A1. How often, if at all, do you watch full-length TV shows via each of these?

Base: 7,700 viewers aged 12-34 across all markets

In the

Netherlands,

6 Average

#DEVICESused to watch

TV shows

5 Average

#SOURCESused to access

VIEWERS INDEED HAVE INCREASED ACCESS

DEFINING DEVICES:

TV SET

TABLET

SMARTPHONE

COMPUTER

LAPTOP

GAMING CONSOLE

STREAMING DEVICE (EG. ROKU)

SMART TV

IPOD TOUCH

DVD PLAYER

DEFINING SOURCES:

LINEAR TV

VOD FROM TV PROVIDER

DVR

SUBSCRIPTION VOD (EG. NETFLIX)

DL TO OWN (EG. ITUNES)

FREE VIDEO SITES (EG. YOUTUBE)

WEBSITES/APPS FROM TV CHANNELS

TORRENT SITES

15

16

NUMBER OF DEVICES SIMILAR ACROSS COUNTRIES

6Mexico

5Brazil

6UK

6Sweden

6Germany

6Italy

5Poland6

N’lands

5Russia

Devices

5Philippines5

Malaysia6Singapore

4Indonesia

6Australia

AMONG ONLINE

USERS AGED 12-34

IN EACH COUNTRY

16

S4b. Which, if any, of these devices do you own and which do you personally use?; Base: 7,700 viewers aged 12-34 across all markets

17

AMONG ONLINE

USERS AGED 12-34

NUMBER OF SOURCES SIMILAR ACROSS COUNTRIES17

A1. How often, if at all, do you watch full-length TV shows via each of these? Base: 7,700 viewers aged 12-34 across all markets

5N’lands

Sources

5Mexico

5Brazil

5Russia

6Philippines5

Malaysia5Singapore

5Indonesia

5Australia

IN EACH COUNTRY

6UK

5Sweden

5Germany

5Italy

5Poland

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AMONG ONLINE

USERS AGED 12-34

NUMBER OF SOURCES SIMILAR ACROSS COUNTRIES18

A1. How often, if at all, do you watch full-length TV shows via each of these? (Ever); Base: 550 viewers aged 12-34 [NL]

99%REGULAR TV

YOUTUBE (AND SIMILAR FREE SERVICES) 90%

70%

59%

WEBSITES/APPS FROM TV CHANNELS

DVR

47%VOD

41%TORRENTS

39%SVOD

24%iTUNES, GOOGLEPLAY (AND SIMILAR ONLINE SERVICES)

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AMONG ONLINE

USERS AGED 12-34

NUMBER OF SOURCES SIMILAR ACROSS COUNTRIES19

A1. How often, if at all, do you watch full-length TV shows via each of these? (Ever); Base: 7,700 viewers aged 12-34 across all markets

97%REGULAR TV

72%WEBSITES/APPS FROM TV CHANNELS

47%TORRENTS

49%SVOD

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SO WHAT

REVIEWING?

[DEFINES]

S4b. Which, if any, of these devices do you own and which do you personally use? & S5. During a typical day, how many hours in total do you spend watching TV shows on any device or from any source?

Base: 7,700 viewers aged 12-34 across all markets

DEVICES DO NOT DRIVE VIEWING, THEY ARE SIMPLY THE

ROUTE TO CONTENT

3

4

5

6

7

2,5 3 3,5 4

Average number of hours watching ‘TV’ via any source

Ave

rag

e n

um

be

r o

f d

evic

es

DEVICES VS. WATCHING

NO

CORRELATION

Australia

GermanyNetherlands

Singapore

Mexico

Sweden

Poland

Malaysia

Russia

Indonesia

Brazil

Philippines

Italy

UK

22

hrs

SOURCES DRIVE VIEWING

3

4

5

6

7

2,5 3 3,5 4

SOURCES VS. WATCHING

CLEAR

CORRELATIONMexico

Sweden

Malaysia

Russia

Indonesia Brazil

Philippines

UK

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A1. How often, if at all, do you watch full-length TV shows via each of these? & S5. During a typical day, how many hours in total do you spend watching TV shows on any device or from any source?

Base: 7,700 viewers aged 12-34 across all markets

hrs

Average number of hours watching ‘TV’ via any source

Ave

rag

e n

um

be

r o

f so

urc

es

Germany

Poland

Netherlands

SingaporeAustralia

Italy

47%agree that

“having more ways

of accessing TV shows

helps me try

more shows”

60%“Compared to a

few years ago, I

watch TV from

more sources

(e.g. websites,

apps, down-

loads).

MORE

SOURCESINCREASED

ENGAGEMENT

GREAT

CONTENT

A8. How much do you agree or disagree with these statements? Base: 550 viewers aged 12-34 [NL]

INCREASED ACCESS TO GREAT CONTENT HEIGHTENS ENGAGEMENT

25

THINGS HAVE

CHANGED…QUICKLY

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72%

26%

25%

37%

“I’VE USED THIS SOURCE FOR LESS THAN 1 YEAR”

A3. Please tell us how long you have been using each of these to watch full-length TV shows? Base: 550 viewers aged 12-34 [NL]

12%

VOD

TV CHANNEL’S APP/WEBSITE

SVOD

DVR

YOUTUBE (or similar)

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“VIA THIS SOURCE, I WATCH AT LEAST WEEKLY”

A1. How often, if at all, do you watch full-length TV shows via each of these? (At least once a week); Base: 550 viewers aged 12-34 [NL]

REGULAR

TV

96%

VOD

DVR

SVOD

TV CHANNEL’S APP/WEBSITE

YOUTUBE (or similar)

26%

36%

40%

27%

70%

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3 STEPS TO COMMITTING TO NEW CONTENT

1.

FIRST COME

ACROSS

2.

REINFORCEMENT

3.

CONFIRM

INTEREST

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CAME ACROSS SHOW ON TV (25%)

WORD OF MOUTH (25%)

TV PROMOS (19%)

LOOKED FOR IT ONLINE (33%)

WORD OF MOUTH(22%)

LOOKED FOR IT ON TV (30%) CAME ACROSS SHOW ONTV(29%)

TV PROMO (29%)

WORD OF MOUTH (30%)

F2. How did you first come across _____________ [NAME OF SHOW]? & F3a. What, if anything, did you do to find out more about this show? Base: 1,100 shows discovered by 550 viewers aged 12-34 [NL];

F8a. Who or what in particular made you so interested to watch it? Base: New shows “really interested in” by 450 viewers aged 12-34 [NL]

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FULL OF…

COMEDY SHOWSDRAMA SERIES

NEWS & CURRENT AFFAIRS

OBSERVATIONAL REALITY

ANIMATION SHOWS

COMPETITION SHOWS

OTHERS

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THE PAST 24 HRS

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THE PAST 24 HRS 1,252 FULL-LENGTH SHOWS WERE WATCHED VIA…

SMARTPHONE

TABLET

OTHERS

TELEVISION SET 91%

LAP-

TOP

PC

VOD

DVR

iTUNES OR SIMILAR

TORRENTS

OTHERS

P5a/P6a. On which device/in which of these ways did you watch? Base: 1,252 shows watched by 550 viewers aged 12-34 [NL]

LINEAR TV 74% S-

VOD

YOUTUBE OR SIMILAR

TV CHANNEL

WEBSITE, APP

P5a. In which of these ways did you watch it [the TV show]? Base: 1,252 viewing occasions among 550 viewers aged 12-34 [NL]

65%of viewers watched

only linear TV 12% watched only

secondary sources

23%watched a

mix of linear TV and

secondary

sources

TV VIEWING DIARY

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LINEAR TV STILL DOMINATES VIEWING

MOST PEOPLE’S VIEWING

JOURNEYS START WITH

LINEAR TV77%of viewers in the Netherlands

start sessions with regular TV

vs. 70% globally

“This is my system. I begin with normal TV and then flick

through channels and stop when I see something

I want to watch.” MARCELO, 31

“I start with the TV guide to see what’s on and if I like

anything I will watch it. That’s how it always starts…”

LIZZY, 18

A6a. Under which circumstances are you likely to use each of these to watch full-length TV shows? Base: 550 viewers aged 12-34 (NL)

35

THE

WHYBEHIND

36

63%“I enjoy watching

regular TV because I don’t have to think too

hard about what to watch,

I just come across great shows on

channels I love.”

A9. How much would you say you agree or disagree with these statements? Base: 550 viewers aged 12-34 [NL]

38

Based on content availability:

ease of use, convenience

LINEAR TV

CHANNEL WEB-SITE/APP, DVR, VOD

SUBSCRIPTION

VOD(EG. NETFLIX)

FREE VIDEO SITES (EG. YOUTUBE)

DOWNLOAD

TO OWN(EG. ITUNES)

TORRENTS

GO-TO:

CATCH-UP:

Ritual & relaxation, comfort, ease of use,

discovery, immediacy

DIFFERENT SOURCES FULFILL DIFFERENT ROLES

a6b. Most likely to use when you have missed a recently aired TV show and watch to catch-up? Base: 397 viewers aged 12-34 (NL), all who ever do this

39

AND WHEN YOU MISSED AN EPISODE?

WHAT I AM MOST LIKELY TO USE WHEN MISSED A

RECENTLY AIRED SHOW AND WATCH TO CATCH-UP

40

Based on content availability:

ease of use, convenience

Unique content engagement experience,

often older libraries (less catch-up)

Subpar viewing experience,

better options available

LINEAR TV

CHANNEL WEB-SITE/APP, DVR, VOD

SUBSCRIPTION

VOD(EG. NETFLIX)

FREE VIDEO SITES (EG. YOUTUBE)

DOWNLOAD

TO OWN(EG. ITUNES)

TORRENTS

GO-TO:

CATCH-UP:

MARATHONING:

FREE TRIAL:

OCCASIONAL TREAT:

LAST RESORT: Driven by restricted/unavailable content

Small but engaged viewership

Ritual & relaxation, comfort, ease of use,

discovery, immediacy

DIFFERENT SOURCES FULFILL DIFFERENT ROLES

21%

64%

23%

HOW DUTCH VIEWERS DEFINE

CONVENIENCE

SERVING THE “WHEN” IS KEY

Watch WHEN

I want – when an

episode is first shown

on TV, later in the

day, a few days

later,

weeks later

Watch WHERE

I want – at home,

work/school,

traveling, etc.

Watch HOW

I want – on my TV,

smartphone,

computer,

tablet, etc

WHERE

WHEN

HOW

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A14. What does convenience mean to you when it comes to watching TV shows? Base: 550 viewers aged 12-34 [NL]

44

SUMMING UP

1.

LINEAR TV IS STILL

DOMINANT SOURCE

STRONG DAILY REACH

LOOK FOR OPPORTUNITIES

WITHIN AD-FREE SPACE

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2.

TV SET IS

MAIN SCREEN –

NEXT TO COMPUTER,

TABLET, SMARTPHONE

OPTIMIZE CONTENT AND

COMMUNICATION

FOR ALL

DEVICES

3.

COMPLEMENTING

SOURCES PROMOTE

VIEWING DURATION

CONTENT AVAILABILITY ON

SECONDARY SOURCES

MEASUREMENT OF

FULL RANGE4.

WOM DRIVES

CONTENT VIEWING

ENGAGE VIEWERS VIA

CONVERSATION-WORTHY

CONTENT AND

MARKETING

5.

EMBRACE

THE “WHEN” – IT’S THEIR

EXPECTATION

CONTENT LIBRARY IS KEY,

KEEP RESTRICTIONS

TO MINIMUM

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TV RE[DEFINED]IT’S TV ON THEIR

OWN TERMS“I like being able to choose

what I want to watch and

the time I watch it”MARCELO, 31, BRAZIL

THANK YOU

49

@VIMNInsightsVIMNinsights.viacom.com