About BIA/Kelsey, the Local Media and Advertising Experts

ABOUT BIA/KELSEYTHE LOCAL MEDIA & ADVERTISING EXPERTS

www.biakelsey.com

[email protected] 2013

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© 2013 BIA/Kelsey. All Rights Reserved.

Today’s Media World is Ever Evolving

EVOLVING MEDIA WORLD

MULTIPLATFORM

INTERACTIVE

TARGETED

MEASURABLE

REAL-TIME

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What’s Your Path to Business Growth?

Understand marketplace dynamics

Identify, analyze and manage competition

Base decisions on reliable, actionable market insights

Align resources efficiently to drive operations

Make investments in growth opportunities

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BIA/Kelsey Knows Local

Local media advertising revenues will climb to $151.5 billion in 2017, according to our U.S. Local Media Forecast (2012-2017).

Our goal is to help you leverage the real business opportunities inherent in this growth to solidify your leadership position.

BIA/Kelsey is the leading research and advisory company focused on the local advertising marketplace.

Our research-driven data, strategic analysis and competitive intelligence can help you make the right decisions, every day.

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How We Help Clients Lead In Local

Step 1: Acquire reliable view of the local media landscape

Step 2: Size the current and future local market

Step 3: Profile the competition

Step 4: Track advertiser trends

Step 5: Understand the changing consumer

Step 6: Operate with reliable, actionable market insights

Step 7: Create a concise strategic roadmap

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What’s the Truth About the State of the Industry?








To compete, you must start with a thorough understanding of the current market situation and the key areas driving the industry forward.

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Step 1: Acquire a Reliable View of the Local Media Landscape

BIA/Kelsey continually monitors the local media marketplace.

Twice annually, we build a U.S. Local Media forecast that brings together projections for each media segment

The forecast offers a holistic view of the U.S. local advertising picture

U.S. LOCAL MEDIA FORECAST

To compete, you must have a thorough understanding of the current market situation, as well as the key areas driving the industry forward.

www.biakelsey.com/Research-and-Analysis/Forecasts/

http://www.biakelsey.com/Research-and-Analysis/Forecasts/

http://www.biakelsey.com/Research-and-Analysis/Forecasts/US-Local-Media-Forecast/

http://www.biakelsey.com/Research-and-Analysis/Forecasts/US-Local-Media-Forecast/

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Local Media Five-Year Forecast

2012 2013 2014 2015 2016 2017$120

$125

$130

$135

$140

$145

$150

$155

$132.0$132.9

$137.5

$141.0

$147.2

$151.5U

S$

Bill

ion

s

Note: Numbers are rounded. Source: BIA/Kelsey’s U.S. Local Media Forecast (2013-2017) Fall Update 2013

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Local Ad Market Currently Dominated by Traditional Media

Newspapers Print14.7%

Newspapers Online2.4%

Direct Mail27.1%

TV O-T-A15.3%TV Online

0.5%

Radio O-T-A10.9%

Radio Online0.4%

Print Yellow Pages4.1%

Internet YP1.5%

OOH5.5%

Cable5.2%

Magazine2.1%

Online / Interactive8.2%

*ERPM1.2%

Mobile1.0%

2012 U.S. Local Media Revenues — $132.0 Billion

*ERPM = Email, Reputation and Presence Management

Digital revenues associated with traditional media (e.g., websites associated with local TV stations, local radio stations, newspapers and magazines) are included in the revenues for the traditional media. Revenues for Internet Yellow Pages that are associated with print Yellow Pages are included in the overall Yellow Pages media category.

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Steady Shift Toward Digital Media

2012 2013 2014 2015 2016 2017$0

$20

$40

$60

$80

$100

$120

$140

$160

$108.9 $106.4 $106.8 $105.7 $107.5 $107.0

$23.1 $26.5 $30.7 $35.3 $39.7 $44.5

Traditional Online/Digital

US

$ B

illio

ns

Note: Numbers are rounded.

2012-2017CAGRs:

Total MediaCAGR 2.8%

Traditional Me-dia

CAGR -0.3%

Online/Digital Media

CAGR 14.0%

$132.9

Note: Numbers are rounded.

$132.0$137.5 $141.0 $147.2 $151.5

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Steady Shift Toward Digital Media

2012 2013 2014 2015 2016 20170%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

82.5% 80.1% 77.7% 75.0% 73.0% 70.6%

17.5% 19.9% 22.3% 25.0% 27.0% 29.4%

Traditional Online/Digital

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Local Ad Market Less Dominatedby Traditional Media in 2017

Newspapers Print9.1%

Newspapers Online2.4%

Direct Mail24.6%

TV O-T-A14.6%

TV Online0.7%

Radio O-T-A10.6%

Radio Online0.5%

Print Yellow Pages1.5%

Internet YP1.9%

OOH6.0%

Cable5.7%

Magazine1.7%

Online / Interactive11.7%

*ERPM1.9%

Mobile7.1%

2017 U.S. Local Media Revenues — $151.5 Billion

*ERPM = Email, Reputation and Presence Management

Digital revenues associated with traditional media (e.g., websites associated with local TV stations, local radio stations, newspapers and magazines) are included in the revenues for the traditional media. Revenues for Internet Yellow Pages that are associated with print Yellow Pages are included in the overall Yellow Pages media category.

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What is Driving Local Market Ad Dollars?








With an objective 5-year market outlook from the U.S. Local Media Forecast, the next area to examine is your local market.

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Step 2: Size the Current & Future Local Market

To track local ad dollars, BIA/Kelsey’s Media Ad View Plus examines what businesses are spending in every local market and breaks down the ad spend into estimates for 94 different advertiser categories.

MEDIA AD VIEW

The local marketplace is packed with traditional and digital media companies competing for advertiser budgets.

While traditional media companies hold a dominant position, digital and mobile alternatives continue to attract more ad dollars.

www.biakelsey.com/MAV

http://www.biakelsey.com/MAV

http://www.biakelsey.com/MAV/

http://www.biakelsey.com/MAV/

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Tracking Local Market Level Ad Spending

Austin, TX

Direct Mail

28.2%

TV12.5%

Newspapers16.5%

Radio10.5%

Print YP3.5%

Online9.4%

OOH5.8%

Mag-azine

s2.5%

Cable TV

5.7%

Internet YP1.7% ERPM

1.5% Mobile2.2%

2013 - $883 Million

Direct Mail25.8%

TV12.2%

Newspapers12.1%

Radio10.4%

Print YP1.6%

Online12.3%

OOH6.3%

Mag-azine

s2.1%

Cable TV5.7%

Internet YP

2.0%ERPM2.0% Mobile

7.5%

2017 - $1,067 Million

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Drilling Into Business Spending

Automobile Dealer Advertising – Austin, TX vs. Nationwide

Nationwide

Cable TV7.7%

Direct Mail14.3%

ERPM0.7%

Internet YP

0.7%

Mag-azine

s1.9%

Mobile1.4%

News-paper20.8%

Online9.1%

OOH2.2%

Print YP1.2%

Radio11.1%

Television28.9%

Austin, TX 2013 - $86.9 Mil-lion

Cable TV

7.0%Direct Mail

13.1%ERPM0.6%

Internet YP

0.6%

Mag-azine

s1.5%

Mobile1.2%

Newspaper19.1%

Online8.4%

OOH2.0%

Print YP

1.1% Radio11.3%

Television33.9%

US 2013 - $12.7 Billion

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Capturing Online Dollars

ONLINE local advertising will exceed $1 billion in 2013 for six different advertising categories. Top two:

TECHNOLOGY ($2.2B)

RETAIL ($1.9B)

ONLINE and MOBILE are the top growing ad channels. By 2017:

REAL ESTATE will increase its online ad spend to 42.0%

AUTOMOTIVE dealers will focus on video, spending 11.4% of their $2.4 billion online ad budget on video display

Quick service RESTAURANT category (subset of restaurants) will increase its online spending from $335.9 million to $497.4 million

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Who’s Biting at Your Ankles?








Now that you have a thorough picture of your market’s landscape, it's critical to identify and drill into competitive threats.

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Step 3: Profile the Competition

BIA/Kelsey’s Competitive Intelligence service follows a formal process to examine traditional and online competition, their competitive offers, pricing, strengths and weaknesses.

COMPETITIVE INTELLIGENCE

Online solutions continue to emerge, from pure play online providers and from traditional media companies.

This crowded environment makes it necessary– yet difficult – to be aware of all the competitors splitting the ad pie.

www.biakelsey.com/Research-and-Analysis/Competitive-Intelligence/

http://www.biakelsey.com/Research-and-Analysis/Competitive-Intelligence/

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Competitive Intelligence Matrix

To gain a competitive position, it’s critical to understand your competitors to decide the best choice of action

We help companies with:

Competitive company reviews and product research

Market landscape sizing and description

Market entry and exits Pricing strategies and tactics Analysis and insight

generation to drive Innovation Sales training outsourcing CI employee and team

training

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So, What Are Advertisers Really Buying?








After developing the best competitive strategy for your business, it’s time to focus on the purchasing behaviors of your advertisers so you can deliver compelling advertising opportunities.

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Step 4: Track Advertiser Trends

BIA/Kelsey’s Local Commerce Monitor (LCM) offers deep insights into how the actions and intentions of advertisers have changed significantly in recent years.

How are advertisers using media and adapting to new technologies?

www.biakelsey.com/Research-and-Analysis/SMB-and-Consumer-Research/Local-Commerce-Monitor/

http://www.biakelsey.com/Research-and-Analysis/SMB-and-Consumer-Research/Local-Commerce-Monitor/

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Mobile Payments: Valid Option

ADVERTISERS

Source: Local Commerce Monitor” (LCM) Wave 17, Q3/2013. BIA/Kelsey’s ongoing study of the advertising behaviors of small and medium-sized businesses (SMBs).

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Mobile Advertising: On a Roll

USED MOBILE A YEAR AGO(Wave 16 Q3/2012)

USING MOBILE NOWWave 17 (Q3/2012)

Increase in use by Plus Spenders: 40% (Wave 16) to 53% (Wave 17). Source: Local Commerce Monitor” (LCM) Wave 17, Q3/2013. BIA/Kelsey’s ongoing study of the advertising behaviors of small and medium-sized businesses (SMBs). LCM Wave 16 (Q3/2012) where relevant

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Social: Woven into Advertising & Marketing


ADVERTISERS

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Franchisors: Committed to Online Presence of Franchises


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SMBs and Customer Loyalty Programs

Source: Local Commerce Monitor” (LCM – Wave 17). BIA/Kelsey’s ongoing study of the advertising behaviors of small and medium-sized businesses (SMBs)

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What’s Turning Consumer Heads?







Step 7: Create a concise strategic roadmapEqually important to understanding the buying behaviors of your advertisers, it's critical to know how consumers are evolving their use of media sources.

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Step 5: Understand the Changing Consumer

BIA/Kelsey’s Consumer Commerce Monitor™ (CCM) provides insights on how U.S. consumers are evolving their use of traditional and online information sources to find and locate local serving businesses.

The rapid growth of smart phones and tablets is having a significant impact on the way consumers are making purchase decisions.

Critical to servicing any advertiser is understanding the thought process of customers.

www.biakelsey.com/Research-and-Analysis/SMB-and-Consumer-Research/Consumer-Commerce-Monitor/

http://www.biakelsey.com/Research-and-Analysis/SMB-and-Consumer-Research/Consumer-Commerce-Monitor/

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How Are Users Consuming Media?

RECENT FINDINGS: Consumers use a wide variety of both traditional

and digital media to find and shop for local services and products

This behavior parallels the fragmentation seen in use of media by small businesses.

Consumers are making more appointments online for services like auto, beauty, and healthcare.

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What’s the Meaningful Story Behind the Research and Data?








Building on our forecasts, competitive intelligence and advertiser and consumer research, BIA/Kelsey offers forward-thinking market insights that provide a 360-degree view into how your business can grow.

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Step 6: Operate with Reliable, Actionable Market Insights

We work with every client to determine the data and analysis they need to propel their business forward. Use us as your catalyst for success.

BIA/Kelsey packages its forecasts, research, reports and analyst team to give you direct access to the information most valuable for your business.

We offer deep intelligence about the market's direction and viable economic

opportunities.

www.biakelsey.com/Research-and-Analysis/Coverage-Areas/

http://www.biakelsey.com/Research-and-Analysis/Coverage-Areas/

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Key Coverage Areas

ONLINE SEARCH/MARKETING – Marketing intelligence on local online and mobile search, as well as email, reputation and presence management (ERPM).

MOBILE – Research and analysis of the geolocal advertising opportunity.

SOCIAL – Directional analysis of the growing and dynamic social media ecosystem.

LOYALTY & TRANSACTIONS – Examination of the emerging loyalty and transaction marketing solutions sector.

VIDEO – Intelligence on leveraging video media assets and inventory in local markets.

YELLOW PAGES – Analysis and strategic resources for global print and Internet Yellow Pages.

SALES FORCE TRANSFORMATION – Analysis and case study examinations of the rapid changes in digital media sales.

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Our Expanding Industry Analyst Team

JED WILLIAMSVP Consulting & Sr. Analyst, Social

PETER KRASILOVSKYVP Conferences, Sr. Analyst,

Loyalty & Transactions

GEOFF PRICEVP, Valuations &

Financial Consulting

MICHAEL BOLANDVP Content &

Sr. Analyst, Mobile

JEANNE DIXON DATILLOSr. Analyst, Media Valuations

SUZANNE ACKLEYSenior Research Analyst

MARK FRATRIKVP, Research & Chief Economist

CHARLES LAUGHLINSVP & Managing Editor

RICK DUCEYManaging Director

CELINE MATTHIESSENVP, Insights & Analytics

STEVE MARSHALLDirector, Research

REBECCAWEINGARTNERAssociate Analyst

MESHACH CISEROAssociate Analyst

ABID CHAUDHRYSr. Dir., Industry Strategy & Insight

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What’s the Win-Win for a Business?








Data is great and research is interesting – but unless it drives value for your business, it’s essentially meaningless. How can you put it all together to create a strategic roadmap that drives your business?

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Due Diligence & Strategy for Entering a New MarketCompetitive intelligence and due diligence

Step 7: Create a Concise Strategic Roadmap

It’s your business – you need a plan designed for you. That’s what we do.

As the leading expert in cross-platform local advertising, BIA/Kelsey can help design a business strategy that drives new levels of success for radio companies.

Transforming Mobile Platforms Into Revenue CentersProduct development, mobile advertising, sales strategy

Building a Multi-Platform Product & Sales StrategyMarket research and sales transformation

www.biakelsey.com/Consulting/

http://www.biakelsey.com/Consulting/

http://www.biakelsey.com/Consulting-and-Mergers-Acquisitions/Strategic-Consulting/Success-Stories/index.asp




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Services That Drive Growth and Revenue

BIA/Kelsey’s local media & advertising expertise helps clients: Understand the dynamics of your local marketplace Identify, analyze and manage the competition Base decisions on reliable, actionable market insights Align resources efficiently to drive operations Make investments in newly identified growth opportunities

BUILDING VALUE

FOR YOUR COMPANY

Accelerating our client’s business growth and financial bottom line

RESULT:

CONTACTwww.biakelsey.com(703) 818-2425 | [email protected]


This published material is for internal client use only. It may not be duplicated or distributed in any manner not permitted by contract. Any unauthorized distribution could result in termination of the client relationship, fines and other civil or criminal penalties under federal law.

BIA/Kelsey disclaims all warranties regarding the accuracy of the information herein and similarly disclaims any liability for direct, indirect or consequential damages that may result from the use or interpretation of this information.

About BIA/Kelsey, the Local Media and Advertising Experts

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Transcript of About BIA/Kelsey, the Local Media and Advertising Experts