BEVERAGE ALCOHOL MEDIA REPORT - Nielsen · 2019-05-29 · creating packaging that resonates with...
Transcript of BEVERAGE ALCOHOL MEDIA REPORT - Nielsen · 2019-05-29 · creating packaging that resonates with...
Copyright © 2017 The Nielsen Company (US), LLC.
BEVERAGE ALCOHOL MEDIA REPORTQ1 2017
2Copyright © 2017 The Nielsen Company (US), LLC.
DANNY BRAGER
SVP, BEVAL PROFESSIONAL PRACTICE
NIELSEN
DANNY
WELCOMEGood advertising can make or break a brand. For Beverage Alcohol brands that don’t benefit from big advertising budgets, however, creative that gets consumers to notice (and purchase) a product can be a big challenge. Still, while traditional or emerging forms of media may be out of reach for smaller brands, there is one form of “advertising” that is crucial for every industry participant—and that is PACKAGE DESIGN.
Packaging is often the last form of advertising that the consumer sees when making their purchase decision. When done right, it represents an opportunity to stand out at the shelf and drive trial. Fortunately, there are way to quantify its effectiveness with consumers and optimize package design and sales results. In this report, we highlight best practices for creating packaging that resonates with consumers—an area that Nielsen has deep expertise overall, as well as specific to Beverage Alcohol.
Beyond this subject, this report also includes the top resonating Beer, Flavored Malt Beverage, Cider and Spirits television ads of the for the first quarter of 2017.
We’ve also provided updated views of media behaviors and media consumption by key legal drinking age consumer groups—age, generations, race/ethnicity—across TV, online, and mobile.
Lastly, Beverage Alcohol industry media spend is broken out by industry subcategory and by channel—including digital spend.
We hope you enjoy these highlights as we endeavor to enable a true understanding of total audience behavior within an ever-fragmenting media landscape.
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PACKAGE DESIGN: THE “MEDIA CHANNEL” THAT DELIVERS BIG RETURNS FROM SMALL INVESTMENTSEveryone knows that advertising is a powerful tool for brands. Savvy creatives and smart placements can transform your brand from unknown to top-of-mind. In the case of Stolichnaya Vodka, the brand teamed up with the latest musicians and music video directors to create “The Most Original Night,” a series of three videos showing audiences enjoying Stolichnaya—the most original vodka—on the most original night out. The campaign was wildly successful on social video distribution platforms, enabling the intended audience to organically discover and share the content.
Unfortunately, traditional and emerging media channels can often be too expensive for small players. In reality, most beverage alcohol brands do not spend a lot on advertising, with only the big players investing heavily. So, what media channel is accessible for brands of all sizes and equally as important? Package design.
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PACKAGE DESIGN IS A LOW-RISK, HIGH REWARD MARKETING OPPORTUNITY We know small companies aren’t investing much in advertising, so package design is a big opportunity for them (and larger brands alike) to stand out at shelf and drive trial. However, package design is often overlooked because it’s not as new or exciting as digital media and its impact can be difficult to quantify. In addition, brand managers are often wary of making changes, focusing more on mitigating risk than maximizing opportunity. However, we know that optimized package redesigns identified using objective consumer feedback generate an average 5.5% lift in forecasted revenue. So, let’s take a look at how packaging plays a role in the bourbon aisle, a category with low media investment—representing only 5% of total category media spend last year.
TOP 20 BEVAL ADVERTISERS
The top three BevAl manufacturers represented 67% of the $2.26B spent in measured media advertising in 2016.
Source: Nielsen Ad IntelDigital spend data powered by Pathmatics
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CRAFT BOURBON DESIGNS THAT ARE WINNING THE WAR AT SHELFIn an attempt to shed light on the importance of package design, Nielsen recently conducted a Design Category Audit study with 10 craft bourbon brands, evaluating them on a variety of key performance metrics among 500 U.S. consumers. Package designs were evaluated on their ability to stand out, drive preference and convey key brand messages.
Package design plays an especially important role in categories like craft spirits where the choices are seemingly endless and competitors are constantly popping up. On the average liquor store shelf, whiskey competes with nearly 620 other spirit items, and there are now 27% more whiskey items for sale than four years ago. Consumers also do most of their decision-making at the shelf; in fact, 69% of current and potential whiskey buyers agree that a whiskey’s package/label design is “very” or “extremely” important for getting noticed in the first place.
291 ChambersBay
Elk Rider
Fiddler IowaLegendary
Rye
Isanti LibertyPole
MarylandClub
Old Monroe
Wigle
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HOW CAN WHISKEY BRANDS GET NOTICED AT SHELF?
Whiskey buyers rated these package design attributes as most influential in getting their attention:
The study revealed taller bottles, along with bolder colors and single focal points on pack gain advantages on visibility and share of attention. The more dull packs with less vivid colors or lower contrast tend to get lost within the competitive context. Among the packages evaluated, Iowa Legendary Rye was top-ranked for visibility—being seen by 1.9x more consumers within the first few seconds of looking than the least visible pack tested.
Overall design of the bottle
Shape of the bottle
Logo or brand name
Information about where
it was distilled
1 2 3 4
STANDOUTSHOWS DESIGN-DRIVEN STANDOUT STRENGTH IN THE
COMPETITIVE CONTEXT FOR INITIAL VISIBILITY AND SHARE OF ATTENTION
26
4990%VISIBILITY GAP
VISIBILITY:Percent of consumers
looking at the design in the
first 4 seconds
The lowa Legendary Rye pack was seen by 1.9x more consumers in the first :04 seconds of exposure than the Chambers Bay pack.
The Wigle pack captured nearly 2x the attention span of the Elk Rider pack.
SHARE OF ATTENTION:
Percent of time the consumer
spends on each design in the first
7 seconds
102%ATTENTION GAP
6
13
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WHAT DOES PACKAGING SAY ABOUT A WHISKEY’S PERSONALITY?As the embodiment of your brand, the pack plays an important role in supporting brand equity and maximizing advertising effectiveness. Within the wide range of packs tested, consumers have strong perceptions about some of the personality traits, while Fun, Provocative, Approachable, and Authentic are up for grabs in the bourbon space. Iowa Legendary Rye elevates consumer perceptions as the most broadly differentiated pack tested, establishing itself as the most Unique, Bold and Masculine while 291’s pack maintains ownership of Premium.
HOW DO CONSUMERS FEEL ABOUT DIFFERENT ELEMENTS OF WHISKEY PACKAGING?Knowing what’s working and what’s not about a current package will improve your ability to make design improvements. In the bourbon aisle, on-pack imagery currently yields positive consumer engagement, although less modern graphics tend to generate more polarizing comments. Packs with too much text, especially in cursive, are viewed as busy or hard to read. Although only noticed on a few select packs, the proof is also important information consumers seek out and appreciate. Lastly, consumers typically take notice of the bottle’s structure. The more uniquely shaped bottles like Fiddler and Chamber’s Bay generate contrasting sentiments. For example, Fiddler’s tall, skinny bottle helps draw attention, but some consumers feel it looks too much like a wine bottle.
MODERN UNIQUE PROVOCATIVE APPROACHABLE STRONG
FUN BOLD PREMIUM AUTHENTIC MASCULINE
UNCLAIMED WEAKLY CLAIMED
OPPORTUNITY SPACES: UNCLAIMED PERSONALITIES
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SPIRITED PACKAGE DESIGN AS A MEDIA CHANNELIn today’s competitive marketplace, best practices for creating package designs that win with consumers can make a big difference in every BevAl category—not just craft spirits. Nielsen has conducted Design Category Audits for the beer, cider and wine segments as well. View highlights from these studies below, and contact your Nielsen Innovation Business Partner to learn more.
More information about Nielsen’s package design solutions for brands can be found at nielsen.com/design.
Craft Beer: innovation.nielsen.com/craft-beer-audit-2016
Cider: innovation.nielsen.com/cider-audit-US-2017
Wine: innovation.nielsen.com/wine-usa-2016/
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THE BEST OF THE BEST: TOP BEV-AL TELEVISION ADS
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HOW TO READ TOP AD PERFORMANCE
Today’s consumers have more access to more information than ever before, and we are consuming information at a faster and faster rate. The average adult (21+) watches about five hours of TV per day. This equates to about 300 ad impressions each day, or 1,750 ad impressions per week.
The ads showcased in this section were able to break through the clutter of real-world TV ad viewing—including the impact of multi-tasking and life’s many other distractions—to deliver high performance in brand memorability.
CATEGORY
BRAND AD NAME
AD THUMBNAILS
AD DURATION
SCOREIndicates the effectiveness of the ad breaking through in-market and connecting back to the brand in comparison to the ad’s category norm.
BEST PRACTICES MATRIXDisplays the best practices identified in ad.
AD DESCRIPTIONAD ICON
BRAND A – “AD ONE” :15
Brand A leverages the production process, including images of barrel production, fire burning, and smoking charcoal, as ownable concepts to connect with viewers.
Brand Memorability Index: 230
BA
BA
BA
BEST PRACTICES
CHARACTER DIALOGUE
RELATABLE CHARACTERS
HUMOR/SENTIMENTALITY
SIMPLE STORYLINE
CATEGORY ONE
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TOP TV BEVERAGE ALCOHOL ADS: Q1 2017NIELSEN TV BRAND EFFECT
SPIRITSJACK DANIEL’S – “OUR TOWN” :30
PATRON TEQUILA – “HOLIDAY SERVED” :15
The :30 version of the Our Town spot delivered strong results by employing relatable characters in a sentimental creative that resonates with LDA consumers.
Patron’s Holiday Served spot was able to stand out by leveraging prominent brand cues to form a strong association between the ad and the brand.
Q1-2017 Brand Memorability Index: 182
Q1-2017 Brand Memorability Index: 141
JD
PR
BREAKTHROUGH BEST PRACTICES BRANDING BEST PRACTICES
EARLY VISUAL/VERBAL CUES
CHARACTER DIALOGUE
RELATABLE CHARACTERS LEVERAGE BRAND ICON
HUMOR/SENTIMENTALITY OWNABLE CONCEPT
SIMPLE STORYLINE
BRAND IN STORYLINE
PR PRJD JD
JD JD
RD RD
RD
BW BW
BW BW BW
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REDD’S – “AVERAGE ADULT” :15
This spot employs a simple storyline coupled with strong branding execution to resonate with LDA consumers and help Redd’s stand out.
Q1-2017 Brand Memorability Index: 105
RD
BREAKTHROUGH BEST PRACTICES BRANDING BEST PRACTICES
EARLY VISUAL/VERBAL CUES
CHARACTER DIALOGUE
RELATABLE CHARACTERS LEVERAGE BRAND ICON
HUMOR/SENTIMENTALITY OWNABLE CONCEPT
SIMPLE STORYLINE
BRAND IN STORYLINE
RD
RD
RDBW
BW BW BW
BW
Source: Nielsen TV Brand Effect, Data limited to performance from 1/1/17 - 3/31/17, 21+Evaluating English-language ads on English-language networks within TV Brand Effect coverage only.Only includes ads that have debuted since 4/1/16 with > 100 Brand Linkage sample in 1Q’17. Ads with less than 100 sample were not consideredBranded Memorability indexed against the 2013-2015 Beverage Alcohol norm for Branded Memorability*No wine ads reached normative levels in Brand Memorability during the measurement period
BEER
FMBS & CIDERS
BUDWEISER – “BORN THE HARD WAY” :60
The Born the Hard Way spot was showcased during Super Bowl LI, utilizing an easy to follow storyline in this high reach environment to drive performance in a big way.
Q1-2017 Brand Memorability Index: 264
BW
PR PRJD JD
JD JD
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GENERATIONAL SNAPSHOT
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Source: NPOWER, based on scaled installed counts; Feb ‘17
AGE IN 2017MILLENNIALS
21-37GENERATION X
38-52BABY BOOMERS GREATEST GENERATION
53-70 71-99
GENERATIONAL SNAPSHOT: A LOOK AT MILLENNIALS, GENERATION X AND BABY BOOMERSThe following snapshot outlines the media behavior of Millennials, Generation X and Baby Boomers.
The snapshot contains an audience profile across a variety of demographic factors and looks at TV, online and mobile.
OTHERASIAN AMERICANHISPANICBLACK (NON-HISPANIC) WHITE (NON-HISPANIC)
AUDIENCE COMPOSITION, FEBRUARY 2017
Millennials 21-37
Generation X 38-52
Baby Boomers 53-70
Great Generation 71-99
58%
61%
71%
78%
14%
13%
13%
9%
21%
18%
11%
8%
5%
5%
3%
3%
2%
2%
2%
2%
15Copyright © 2017 The Nielsen Company (US), LLC.
Source: NPOWER, based on scaled installed counts; Feb’17
DEVICE PENETRATION BY GENERATION
MILLENNIALS GENERATION X BABY BOOMERS
DVD DVR ENABLED SMART TV
HIGH DEFINITION
TV
MULTIMEDIA DEVICE
SMARTPHONE SUBSCRIPTION VIDEO ON DEMAND
TABLETS VCR VIDEO GAME
CONSOLE
97% 94% 95% 94%
62%
51%
37%
88%
43%
76% 70%
0%
66%
77%
60%
38% 37%
69% 74%
0%
62%
81%
58%
28% 29%
86%
51%
63%
1%
32%
16Copyright © 2017 The Nielsen Company (US), LLC.
MILLENNIALS GENERATION X BABY BOOMERS
NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS
ABC THE BACHELOR 15:27 NBC TODAY SHOW 25:36 ABC GOOD MORNING, AMERICA 47:10
UNI DESPIERTA AMERICA 9:11 ABC GOOD MORNING, AMERICA 25:30 CBSYOUNG AND THE
RESTLESS37:20
ABC GOOD MORNING, AMERICA 8:12 ABC THE BACHELOR 16:55 NBC TODAY SHOW 36:08
ABC GREY'S ANATOMY 8:00 CBS YOUNG AND THE RESTLESS 16:43 ABC ABC WORLD NEWS
TONIGHT 35:17
NBC TODAY SHOW 7:50 UNI DESPIERTA AMERICA 14:33 NBC NBC NIGHTLY NEWS 33:31
MILLENNIALS GENERATION X BABY BOOMERS
NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS
AMC WALKING DEAD 15:15 CNN CNN NEWSROOM 25:42 CNN CNN NEWSROOM 47:06
CNN CNN NEWSROOM 10:19 AMC WALKING DEAD 19:10 FNC FOX AND FRIENDS 43:23
USA WWE ENTERTAINMENT 9:50 FNC FOX AND FRIENDS 16:30 FNC AMERICAS NEWS HQ 36:26
MTV TEEN MOM II 5:17 USA WWE ENTERTAINMENT 12:55 FNC AMERICAS NEWSROOM 32:42
USA WWE SMACKDOWN 4:54 CNN ANDERSON COOPER 360 12:06 FNC THE OREILLY FACTOR 30:58
TOP BROADCAST
TOP CABLE
Source: NPOWER, February 2017. Excludes Specials, Programs less than 5 min, Repeats, Sports & shows w/ only one telecast.Rank is based on average time spent by program.
TV ACTIVITY
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MILLENNIALS GENERATION X BABY BOOMERS
NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS
WB. TV BIG BANG THEORY 11:07 WB. TV BIG BANG THEORY 25:35 CBS JUDGE JUDY 42:54
20TH TV FAMILY FEUD 10:23 20TH TV FAMILY FEUD 20:23 CBS DR. PHIL SHOW 41:45
20TH TV MODERN FAMILY 9:49 CBS DR. PHIL SHOW 20:07 20TH TV FAMILY FEUD 39:50
CBS DR. PHIL SHOW 9:41 CBS JUDGE JUDY 19:38 CBS WHEEL OF FORTUNE 37:43
20TH TV FAMILY GUY 9:27 20TH TV MODERN FAMILY 14:48 CBS JEOPARDY 37:41
MILLENNIALS GENERATION X BABY BOOMERS
NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS NETWORK PROGRAM MM:SS
NBC LAW & ORDER:SVU 3:30 WB. TV BIG BANG THEORY 6:20 NBC LAW & ORDER:SVU 8:26
WB. TV BIG BANG THEORY 2:57 NBC LAW & ORDER:SVU 6:16 WB. TV BIG BANG THEORY 7:43
20TH TV FAMILY GUY 2:14 DADT WEEKEND ADVENTURE 3:57 DADT WEEKEND ADVENTURE 7:22
20TH TV BOBS BURGERS 1:53 NBC ACCESS HOLLYWOOD LIVE 3:33 CBS BLUE BLOODS 4:23
20TH TV MODERN FAMILY 1:45 20TH TV MODERN FAMILY 2:37 NBC ACCESS HOLLYWOOD LIVE 4:22
TOP SYNDICATED PROGRAMS STRIP (MON-FRI)
TOP SYNDICATED PROGRAMS ONCE-A-WEEK (SAT-SUN)
Source: NPOWER, February 2017. Excludes Specials, Programs less than 5 min, Repeats, Sports & shows w/ only one telecast. Rank is based on average time spent by program.
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DIGITAL ACTIVITY
TOP MOBILE APPLICATIONS
TOP ONLINE VIDEO BRANDS
MILLENNIALS GENERATION X BABY BOOMERS
NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM)
FACEBOOK 50,924 17:37 FACEBOOK 43,094 18:22 FACEBOOK 50,003 15:34
FACEBOOK MSGR 47,851 2:14 FACEBOOK MSGR 37,393 1:54 FACEBOOK MSGR 43,345 1:18
YOUTUBE 44,505 4:46 GOOGLE MAPS 33,368 1:36 GOOGLE SEARCH 39,985 2:03
GOOGLE MAPS 41,451 1:54 YOUTUBE 32,880 2:57 GOOGLE MAPS 35,883 1:33
INSTAGRAM 36,097 4:59 GOOGLE SEARCH 30,742 2:07 GOOGLE PLAY 34,312 0:27
MILLENNIALS GENERATION X BABY BOOMERS
NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM)
YOUTUBE 22,979 26:17 YOUTUBE 22,229 15:43 YOUTUBE 23,374 9:12
FACEBOOK 14,594 2:35 FACEBOOK 14,932 3:22 FACEBOOK 16,289 3:18
VEVO 9,159 4:38 VEVO 6,708 4:04 YAHOO 7,993 0:35
YAHOO 4,592 0:42 YAHOO 6,442 0:47 CNN DIGITAL NETWORK 5,447 0:23
NETFLIX 4,589 15:14 CNN DIGITAL NETWORK 4,662 0:38 VEVO 5,353 1:57
Source: Mobile Netview, Feb’17; Video Census, Feb’17; Online Netview: Top Overall Brands, Top Member Communities, Feb’17Note: UA = Unique Audience; TPP = Time per Person
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TOP ONLINE SITES
TOP ONLINE SOCIAL NETWORKS
MILLENNIALS GENERATION X BABY BOOMERS
NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM)
GOOGLE 37,021 5:01 GOOGLE 35,253 5:24 GOOGLE 35,909 3:25
MSN 24,493 2:10 MSN 25,803 2:54 MSN 29,678 3:14
FACEBOOK 24,451 7:51 FACEBOOK 24,796 11:21 FACEBOOK 28,356 11:30
YOUTUBE 23,375 7:09 YAHOO 21,900 3:04 YAHOO 24,767 3:31
YAHOO 19,856 1:29 YOUTUBE 21,433 5:07 YOUTUBE 21,445 3:13
MILLENNIALS GENERATION X BABY BOOMERS
NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM) NAME UA (000) TPP (HH:MM)
FACEBOOK 24,451 7:51 FACEBOOK 24,796 11:21 FACEBOOK 28,356 11:30
TWITTER 9,116 1:51 TWITTER 9,234 1:16 TWITTER 9,294 1:01
PINTEREST 7,326 0:36 PINTEREST 7,906 0:39 PINTEREST 7,374 0:29
INSTAGRAM 7,067 0:28 LINKEDIN 6,976 0:40 LINKEDIN 6,604 0:33
BLOGGER 6,179 0:16 BLOGGER 6,455 0:19 BLOGGER 6,459 0:12
Source: Mobile Netview, Feb’17; Video Census, Feb’17; Online Netview: Top Overall Brands, Top Member Communities, Feb’17 Note: UA = Unique Audience; TPP = Time per Person
20Copyright © 2017 The Nielsen Company (US), LLC.
LDAAUDIENCE MEDIA
CONSUMPTION
20Copyright © 2017 The Nielsen Company (US), LLC.
21Copyright © 2017 The Nielsen Company (US), LLC.
Q1 2016
Q1 2017
Q1 2015 4:43
4:40
4:30
0:34
0:34
0:36
1:52
1:53
1:52
0:09
0:08
0:07
0:12
0:13
0:13
0:09
0:13
0:19
0:49
0:59
1:02
1:03
1:41
2:21
0:20
0:32
0:34
AVERAGE TIME SPENT PER ADULT 21+ PER DAY
DVR/TIME-SHIFTED TVDVD/BLU-RAY DEVICE GAME CONSOLE MULTIMEDIA DEVICE
INTERNET ON A PC APP/WEB ON A SMARTPHONE APP/WEB ON A TABLET
AM/FM RADIOLIVE TV
EXHIBIT 1 - BASED ON THE TOTAL U.S. POPULATION
TOTAL LDA AUDIENCE MEDIA CONSUMPTION
Panel enhancements made in March and August 2016 impacted mobile reporting. Mobile data are obtained through convenience panels which are recruited in English only and, as such, have limited representation of non-English speaking panelists. This limited representation may understate metrics of non-English speaking language audiences.
22Copyright © 2017 The Nielsen Company (US), LLC.
A 21-34
A 25-34
A 35-49
A 50-64
A 65+
A 21+
BLACK 21+
HISP. 21+
ASIAN AM. 21+
Live+DVR/Time-shifted TV 19:40 21:13 30:34 43:29 51:42 35:41 50:54 27:19 16:47
DVR/Time-shifted TV 2:34 2:55 4:22 5:00 4:49 4:10 4:03 2:31 2:06
AM/FM Radio 10:54 11:07 13:37 15:14 12:30 13:07 13:50 14:09 n/a
DVD/Blu-Ray Device 0:47 0:52 1:03 0:52 0:35 0:50 0:54 0:49 0:38
Game Console 3:46 3:22 1:27 0:24 0:09 1:29 1:43 1:30 0:58
Multimedia Device 3:24 3:35 2:39 1:41 0:58 2:14 2:13 2:16 3:10
Internet on a PC 6:32 7:14 9:39 7:51 4:37 7:18 8:31 5:24 4:33
Video on a PC 3:17 3:17 3:07 1:48 0:49 2:19 3:25 2:15 1:55
App/Web on a Smartphone 19:02 17:22 19:56 20:08 4:33 16:32 19:02 18:46 11:48
Video on a Smartphone 1:16 1:09 0:57 0:36 0:06 0:46 1:12 1:20 0:38
A 21-34
A 25-34
A 35-49
A 50-64
A 65+
A 21+
BLACK 21+
HISP. 21+
ASIAN AM. 21+
Live+DVR/Time-shifted TV 21:45 23:26 32:07 44:06 51:32 36:40 52:56 28:18 18:24
DVR/Time-shifted TV 2:36 3:01 4:22 4:39 4:12 3:57 3:30 2:33 2:22
AM/FM Radio 11:08 11:20 13:40 15:09 12:32 13:11 13:44 13:54 n/a
DVD/Blu-Ray Device 1:02 1:07 1:05 1:00 0:42 0:58 1:07 0:53 0:35
Game Console 3:43 3:20 1:30 0:28 0:07 1:30 1:36 1:32 0:57
Multimedia Device 2:28 2:36 1:44 1:07 0:42 1:33 1:19 1:32 2:44
Internet on a PC 7:05 7:53 8:20 7:21 4:10 6:53 7:44 5:12 4:10
Video on a PC 2:42 2:57 2:12 1:26 0:41 1:48 2:44 1:52 1:31
App/Web on a Smartphone 15:55 13:47 14:34 12:13 2:41 11:51 13:06 14:38 9:55
Video on a Smartphone 0:42 0:31 0:25 0:16 IFR 0:22 0:36 0:42 0:30
TABLE 1A - WEEKLY TIME SPENT IN HOURS: MINUTES AMONG U.S. POPULATION FOR Q1-2017
Note: IFR represents data that is insufficient for reporting due to small sample sizes. n/a represents data unavailability
TABLE 1B - WEEKLY TIME SPENT IN HOURS: MINUTES AMONG U.S. POPULATION FOR Q1-2016
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TABLE 3 - MONTHLY TIME SPENT AMONG USERSHOURS: MINUTES AMONG P21+
TABLE 2 - USERS BY MEDIUMNUMBER OF USERS 21+ (IN 000’S) - MONTHLY REACH
COMPOSITE BLACK HISPANIC ASIAN AMERICAN
Q1 16 Q1 17 Q1 16 Q1 17 Q1 16 Q1 17 Q1 16 Q1 17
Live+DVR/Time-shifted TV 170:14 163:57 241:00 229:24 128:17 123:39 93:11 85:29
DVR/Time-shifted TV 26:01 27:03 23:06 25:33 19:01 18:45 19:29 16:53
AM/FM Radio 57:47 57:26 60:25 60:24 59:20 59:36 n/a n/a
DVD/Blu-Ray Device 10:49 10:53 13:27 13:27 10:29 12:02 8:39 11:42
Game Console 27:03 27:56 28:50 32:08 23:37 24:00 18:29 22:19
Multimedia Device 26:57 25:21 29:47 28:28 25:07 24:08 28:14 26:31
Internet on a PC 44:18 46:47 49:02 52:45 43:23 44:32 48:16 52:58
Video on a PC 16:34 22:19 24:41 31:40 23:34 29:30 24:42 30:55
App/Web on a Smartphone 59:27 78:00 66:46 91:07 64:19 78:56 52:26 64:35
Video on a Smartphone 2:24 4:24 3:39 6:36 3:49 6:31 3:34 4:35
COMPOSITE BLACK HISPANIC ASIAN AMERICAN
Q1 16 Q1 17 Q1 16 Q1 17 Q1 16 Q1 17 Q1 16 Q1 17
Live+DVR/Time-shifted TV 214,249 219,022 27,048 27,740 32,878 33,616 11,896 12,574
DVR/Time-shifted TV 151,061 154,921 18,691 19,777 20,016 20,428 7,310 7,980
AM/FM Radio 226,751 229,631 27,987 28,603 34,908 36,107 n/a n/a
DVD/Blu-Ray Device 89,257 76,923 10,157 8,394 12,546 10,334 4,109 3,476
Game Console 55,362 53,598 6,833 6,651 9,653 9,562 3,121 2,782
Multimedia Device 56,924 88,531 5,412 9,738 9,116 14,244 5,843 7,635
Internet on a PC 155,332 155,315 19,418 19,880 17,821 18,260 5,267 5,447
Video on a PC 108,043 102,960 13,656 13,188 11,606 11,420 3,708 3,900
App/Web on a Smartphone 184,702 199,898 22,692 24,297 31,558 33,380 10,402 10,723
Video on a Smartphone 145,791 161,999 19,113 21,147 25,913 28,474 7,779 8,051
The data sources in Table 3 should not be added or subtracted; they are based on users of each medium and the bases vary by source.
24Copyright © 2017 The Nielsen Company (US), LLC.
A21-34
A25-34
A35-49
A50-64
A65+
A21+
Live+DVR/Time-shifted TV 95:25 101:27 139:19 195:30 231:28 163:57
DVR/Time-shifted TV 17:36 19:00 26:20 31:25 33:41 27:03
AM/FM Radio 47:37 48:15 59:49 66:21 54:13 57:26
DVD/Blu-Ray Device 13:24 13:45 11:49 10:06 8:11 10:53
Game Console 40:46 36:18 19:49 13:30 12:53 27:56
Multimedia Device 31:48 31:44 24:34 21:13 19:01 25:21
Internet on a PC 43:30 45:37 53:56 48:12 36:28 46:47
Video on a PC 33:37 31:44 26:17 16:20 9:33 22:19
App/Web on a Smartphone 76:47 76:19 82:39 77:11 67:11 78:00
Video on a Smartphone 6:04 5:59 4:41 2:54 2:02 4:24
A21-34
A25-34
A35-49
A50-64
A65+
A21+
Live+DVR/Time-shifted TV 144:45 151:57 207:29 278:36 337:02 229:24
DVR/Time-shifted TV 18:36 20:00 28:34 30:51 23:30 25:33
AM/FM Radio 48:22 49:26 62:23 71:42 60:34 60:24
DVD/Blu-Ray Device 14:04 13:31 15:55 13:21 8:41 13:27
Game Console 44:42 37:16 22:46 16:15 15:39 32:08
Multimedia Device 33:44 34:03 28:12 23:55 19:00 28:28
Internet on a PC 50:53 52:35 62:33 51:30 33:27 52:45
Video on a PC 46:21 45:47 33:22 23:29 12:20 31:40
App/Web on a Smartphone 97:01 104:59 93:54 87:26 IFR 91:07
Video on a Smartphone 9:24 9:44 6:59 4:28 IFR 6:36
TABLE 4A - MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES AMONG USERSAMONG COMPOSITE
TABLE 4B - MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES AMONG USERSAMONG BLACKS
The data sources in Table 4 should not be added or subtracted; they are based on users of each medium and the bases vary by source.
25Copyright © 2017 The Nielsen Company (US), LLC.
A21-34
A25-34
A35-49
A50-64
A65+
A21+
Live+DVR/Time-shifted TV 82:09 88:23 118:35 161:04 205:27 123:39
DVR/Time-shifted TV 13:39 14:29 19:14 23:58 26:01 18:45
AM/FM Radio 50:48 52:09 64:53 70:14 57:23 59:36
DVD/Blu-Ray Device 12:43 13:32 12:40 10:53 9:58 12:02
Game Console 31:09 28:09 17:03 13:24 15:18 24:00
Multimedia Device 26:53 27:03 23:53 20:36 17:00 24:08
Internet on a PC 43:31 46:43 49:33 40:06 38:33 44:32
Video on a PC 36:23 34:28 31:59 17:46 17:15 29:30
App/Web on a Smartphone 75:43 77:04 84:40 81:06 IFR 78:56
Video on a Smartphone 7:10 7:04 6:41 5:03 IFR 6:31
A21-34
A25-34
A35-49
A50-64
A65+
A21+
Live+DVR/Time-shifted TV 46:48 51:34 74:40 104:07 137:17 85:29
DVR/Time-shifted TV 11:32 13:04 16:09 23:53 15:43 16:53
DVD/Blu-Ray Device 16:32 15:51 13:29 8:21 7:59 11:42
Game Console 32:03 30:45 20:40 6:33 9:56 22:19
Multimedia Device 27:31 28:16 23:37 26:46 35:55 26:31
Internet on a PC 51:31 51:59 68:51 34:34 29:35 52:58
Video on a PC 40:52 39:09 31:00 19:40 13:41 30:55
App/Web on a Smartphone 70:15 71:35 62:27 IFR IFR 64:35
Video on a Smartphone 5:41 6:08 3:27 IFR IFR 4:35
TABLE 4C - MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES AMONG USERSAMONG HISPANICS
TABLE 4D - MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES AMONG USERSAMONG ASIAN AMERICANS
The data sources in Table 4 should not be added or subtracted; they are based on users of each medium and the bases vary by source.
26Copyright © 2017 The Nielsen Company (US), LLC.
EXHIBIT 2: MOBILE DEVICE PENETRATION AMONG MOBILE SUBSCRIBERS 21+
93%88%
COMPOSITE WHITE BLACK
ASIAN AMERICAN
HISPANIC
92%
95%88%
12%
10% 6%
14% 7%
88%
90% 94%
86% 93%
SMARTPHONE FEATURE PHONE
27Copyright © 2017 The Nielsen Company (US), LLC.
BEV-AL MEDIA SPEND
27Copyright © 2017 The Nielsen Company (US), LLC.
28Copyright © 2017 The Nielsen Company (US), LLC.
BEVERAGE ALCOHOL INDUSTRY ANNUAL TOTAL AD SPEND
BEVERAGE ALCOHOL INDUSTRY ANNUAL AD SPEND BY CATEGORY
2013
2.00
2014
1.93
2015
1.85
2016
2.26
TOTAL INDUSTRY MEDIA SPEND BY YEAR AND CATEGORY
Source: Nielsen Ad Intel Digital spend data powered by Pathmatics and Nielsen. Not included in historical data.
BEER FMBs, CIDERS, OTHER SPIRITS WINE
$1.25
B
$1.23
B
$1.34
B $1.59
B
$115M
$139M $17
2M
$156M
$536
M
$415M
$350
M
$395
M
$86M
$96M
$109M
$126M
Q2 '13 - Q1 '14 Q2 '14 - Q1 '15 Q2 '15 - Q1 '16 Q2' 16 - Q1 '17
$1.98B
Q2 ‘13 - Q1 ‘14 Q2 ‘14 - Q1 ‘15 Q2 ‘15 - Q1 ‘16 Q2’ 16 - Q1 ‘17
$1.88B $1.97B$2.26B
ALL OTHER MEDIA DIGITAL
29Copyright © 2017 The Nielsen Company (US), LLC.
AD SPEND BY MEDIA TYPE
AD SPENDING DISTRIBUTION BY CATEGORY & MEDIA TYPE
Q2’ 16 -Q1’ 17 MEDIA SPEND BY MEDIA TYPE AND CATEGORY
Source: Nielsen Ad Intel Radio spending based on top 43 markets * 2017 includes Digital media spend, powered by Pathmatics and Nielsen
BEER
FMBs, CIDERS, OTHER
SPIRITS
WINE
63%
59%
50%
24%
22%
8%
6%
1%
3%
8%
11%
10%
4%
12%
20%
56%
1%
1%
2%
3%
6%
8%
9%
6%
1%
4%
2%
1%
ALL TV (ENGLISH) ALL TV (SPANISH) DIGITAL MAGAZINE OTHER OUTDOOR RADIO
58%
17%
5%
10%1% 6%
2% ALL TV (ENGLISH)
ALL TV (SPANISH)
DIGITAL
MAGAZINE
OTHER
OUTDOOR
RADIO
30Copyright © 2017 The Nielsen Company (US), LLC.
DIGITAL MEDIA SPEND BY CATEGORY
DIGITAL MEDIA SPEND BY AD TYPE
Q2’ 16 -Q1’ 17 BEV-AL DIGITAL MEDIA SPEND
BEER
FMBs, CIDERS, OTHER
SPIRITS
WINE
DISPLAY VIDEO
66%
63%
64%
61%
34%
37%
36%
39%
$53.79M
$44.05M
$12.99M $12.41M
44%
11%
36%
10%
BEER FMBs, CIDERS, OTHER SPIRITS WINE
Source: Nielsen Ad Intel, powered by Pathmatics and NielsenCoverage: Display & Video on Desktop; Display on Mobile & Tablet Web
31Copyright © 2017 The Nielsen Company (US), LLC.
TELEVISION METHODOLOGYLive+DVR/Time-shifted TV includes Live usage plus any playback viewing within the measurement period. DVR/Time-shifted TV is playback primarily on a DVR but includes playback from video on demand, DVD recorders, server based DVR’s and services like Start Over.
TV-connected devices (DVD, Game Console, Multimedia Device) would include content being viewed on the TV screen through these devices. This would include when these devices are in use for any purpose, not just for accessing media content. For example, Game Console would also include when the game console is being used to play video games.
Multimedia Devices is a combination of usage of the Internet Connected Devices viewing source and Audio-Video viewing sources. It would include viewing on an Apple TV, Roku, Google Chromecast, Smartphone, Computer/Laptop, etc. connected to the TV.
Reach for television and TV-connected devices includes those viewing at least one minute within the measurement period.
Data used in this report is inclusive of multicultural audiences. Hispanic consumer audiences are comprised of both English and Spanish speaking representative populations.
AM/FM RADIO METHODOLOGY
Listening to programming from AM/FM radio stations or network programming.
Audience estimates for 48 large markets are based on a panel of people who carry a portable device called a Personal People Meter (PPM) that passively detects exposure to content that contains inaudible codes embedded within the program content. Audience estimates from the balance of markets and countries in the U.S. are based on surveys of people who record their listening in a written diary for a week.
The estimates in this report are based on RADAR and the National Regional Database. RADAR reports national network radio ratings covering the U.S. using both PPM and Diary measurement and it is based on a rolling one-year average of nearly 400,000 respondents aged 12+ per year. The Q1 2017 report is based on the June RADAR studies to more accurately align with the other included media.
32Copyright © 2017 The Nielsen Company (US), LLC.
Monthly Radio Estimates: Nielsen’s Measurement Science group used statistical modeling techniques to estimate the total cume audience to radio in a four week period, as compared to the total cume audience to radio in an average week. The methodology utilized PPM panel data, and essentially measured how many people who were not exposed to radio in a single week might typically be exposed to radio over a consecutive four week period. A radio cume growth factor was then determined and applied to radio listening on a national basis.
Listening to HD radio broadcasts, Internet streams of AM/FM radio stations and Satellite Radio is included in the Persons Using Radio estimates in this report where the tuning meets our reporting and crediting requirements of at least 5 minutes of usage. Reach for AM/FM Radio includes those listening for at least 5 minutes within the measurement period.
Data used in this report is inclusive of multicultural audiences. Hispanic consumer audiences are comprised of both English and Spanish speaking representative populations.
ONLINE METHODOLOGY
Nielsen Netview and VideoCensus data is reflective of the hybrid methodology which combines a census level accounting of page views and video streams where Nielsen measurement tags have been deployed in order to project audience and behavior to the full universe of all Internet users. For VideoCensus, the portion of the total video streams calibrated by census data are allocated to other devices and locations such as smartphones and viewing outside of home and work. Nielsen’s Online Panel is recruited through both probability and convenience panels which are recruited in Spanish and English.
Hours:minutes for Internet and video use are based on the universe of persons who used the Internet/watched online video. All Internet figures are weekly or monthly averages over the course of the quarter. All Internet on a PC metrics are derived from Nielsen NetView, while all Video on a PC metrics are derived from Nielsen VideoCensus. The audience of Video on a PC is a subset of Internet on a PC.
For passively measured video, audience and duration are credited when a) video content is rendered and the stream URL matches Nielsen’s classification and b) if the meter detects audio. Actively measured/tagged video is credited when the meter detects and collects tags from the video playback metadata. Duration is observed from the computer panel and then weighted/projected. If no audio is detected neither audience nor duration is credited.
33Copyright © 2017 The Nielsen Company (US), LLC.
MOBILE METHODOLOGY
Nielsen’s Electronic Mobile Measurement (EMM) is an observational, user-centric approach that uses passive metering technology on smartphones and tablets to track device and application usage on an opt-in convenience panel, recruited online and in English, and as such, have limited representation of non-English speaking panelists. This limited representation may understate metrics of non-English speaking language audiences. Results are then reported out through Nielsen Mobile NetView 3.0. There are approximately 9,000 smartphone and 1,300 tablet panelists in the U.S. across both iOS and Android smartphone devices. This method provides a holistic view of all activity on the device as the behavior is being tracked without interruption.
A number of steps are taken after the data collection process to ensure the reported data is representative of the mobile population. For smartphones, weighting controls are applied across five characteristics (gender, age, income, race, and ethnicity) while independent enumeration studies are carried out on a continuous basis to provide the most current estimates of the mobile population (aka Universe Estimation).
Tablet data is unweighted and projections are applied using estimates from the National Panel that is the industry standard for TV ratings.
App/Web refers to consuming mobile media content through a web browser or via a mobile app. It does not include other types of activity such as making/receiving phone calls, sending SMS/MMS messages etc, which has been excluded for this report.
Video is a subset of App/Web and refers to those individuals who visit a website or use a mobile app specifically designed to watch video content.
Nielsen implemented a crediting enhancement to improve the reporting of mobile usage on iOS devices in March 2016 and Android devices in August 2016. A legacy crediting rule that capped usage at 30 minutes was removed, so now if a panelist uses an app or visits a website for more than 30 minutes at a time the entire duration is now credited towards the app or website. There are no minimum qualifiers; crediting begins when the site or app is loaded in the foreground of the device.
34Copyright © 2017 The Nielsen Company (US), LLC.
SOURCING
EXHIBIT 1 & TABLES 1, 2, 3, 4 – AVERAGE TIME SPENT PER ADULT 21+ PER DAY, WEEKLY TIME SPENT AMONG US POPULATION, USERS BY MEDIUM, MONTHLY TIME SPENT AMONG USERS
Source: Live+DVR/Time-shifted TV, DVR/Time-shifted TV, DVD, Game Consoles, Multimedia Devices 12/26/2016 - 03/26/2017 via Nielsen NPOWER/National Panel, Radio 03/24/16-03/29/17 via RADAR 133, PC 01/01/2017 - 03/31/2017 via Nielsen Netview and Nielsen VideoCensus, Smartphone 01/01/2017 - 03/31/2017 via Nielsen Electronic Mobile Measurement, Tablet 01/01/2017 - 03/31/2017 via Nielsen Electronic Mobile Measurement – unweighted, projections based on estimates from the NPOWER/National Panel.
Exhibit 1 and Table 1 are based on the total U.S. population whether or not they have the technology.
Tables 2-4 are based on users of each medium.
EXHIBIT 2 – MOBILE DEVICE PENETRATION AMONG MOBILE SUBSCRIBERS 21+
Source: Mobile 01/01/2017 - 03/31/2017 via Nielsen Mobile Insights
Note: IFR represents data that is insufficient for reporting due to small sample sizes. n/a represents data unavailability.
35Copyright © 2017 The Nielsen Company (US), LLC.
ABOUT NIELSENNielsen Holdings plc (NYSE: NLSN) is a global performance management company that provides a comprehensive understanding of what consumers watch and buy. Nielsen’s Watch segment provides media and advertising clients with Nielsen Total Audience measurement services for all devices on which content — video, audio and text — is consumed. The Buy segment offers consumer packaged goods manufacturers and retailers the industry’s only global view of retail performance measurement. By integrating information from its Watch and Buy segments and other data sources, Nielsen also provides its clients with analytics that help improve performance. Nielsen, an S&P 500 company, has operations in over 100 countries, covering more than 90% of the world’s population. For more information, visit www.nielsen.com.