The Pathway to TV 2.0

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Is TV Still TV?Following the screen agnostic TVideo Viewer GfK | October 2016

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GfK 2016 | MRI Cord Evolution Study#

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GfK October 2015 | Cord Evolution#

Personal definitions of TVBase: All RespondentsQ45. How do you personally define TV? (Please select only one.)

48%21%18%13%

Anything on a TV setAnything I can watch on any deviceOnly shows available on Cable/ Satellite/TelcoOnly shows created by a TV network

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Subheadline_AutoSource:EXAMPLEWeekly TV Viewing (Total) W2: (Q59)Live (Broadcast/Streaming) = 55%Time shifted DVR/VOD = 22%Time shifted streaming = 23%


Majority of TV time is LiveBase: All RespondentsQ12 In general, how important is it to you to watch a TV show live, as it airs? Q20. Thinking about the ways you can watch TV shows, please indicate, in %, the amount of time you spend watching TV in each of the following ways in a typical week. If you do not watch in a particular way, please enter 0. 21%Time Shifted Streaming

56% Live 23% Time Shifted DVR/VOD

Streamers & Millennialsagree Live TV isimportant(63%, 60%)

62% agreeLive TV is importantJune 201655%22%23%

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Subheadline_AutoSource:EXAMPLEWeekly TV Viewing (Total) W2: (Q59)Live (Broadcast/Streaming) = 55%Time shifted DVR/VOD = 22%Time shifted streaming = 23%


TV on TV dominates behavior Base: All RespondentsQ21. Now please think about all of the devices on which you can watch programming content (TV shows, movies, short video clips). Please break down, by %, how much of your total viewing time is spent watching programming content on each device below. If you do not watch content on a device, please enter 0.

60% TV set through TV service(down from 64%)

19% TV set through internet-connected device(up from 17%)

9% Computer(down from 10%)

5% Smartphone(up from 3%)

4% Tablet(up from 3%)

Compared to October 2015 data

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Subheadline_AutoSource:EXAMPLEJune 2016 (Q61)61% TV through tv set (down from 64%)17% Tv through internet-connected device11% Computer (up from 10%)6% Smartphone (up from 3%)4% Tablet (up from 3%)2% Other (up from 1%) GfK October 2015 | Cord Evolution#

Why? Because habits die hardBase: All RespondentsQ42. When you sit down to watch, which of the following do you typically do first? (Please select only one.) Q43. And, why do you go there first? And, why do you go there first? (Please select all the apply) Q44. How much do you agree or disagree with the following statements about television and how you typically watch TV? (Please select one response in each row.)1 in 4 channel surf firstIts habit and ease

1 in 5 go to Live firstIts habit and FOMO*

*Fear Of Missing Out

WHY?6 in 10 hatespoilers

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Subheadline_AutoSource:EXAMPLE59% I like to watch shows when they air so I dont have any spoilers from my friends or social media connections

Wave 1 Data22% channel surf first Why Habit 44% Why Easy to find something I want to watch 35%19% go to a show live first Why - Habit 34%Why - The shows I want to watch are there 35%

Wave 2 Data (Q21, Q22)They channel surf becauseIts habit (50%, 131) Its easy to find something to watch (40%, 132)They go to a show Live becauseIts habit (43%, 112)Dont want to miss anything (18%, 128) Approx. 2 out of 3 agree I like to watch shows when they air so I dont have any spoilers from my friends or social media connections Streamers numbers look the same, understandable exception is 1 in 10 go to streaming service first either to watch a specific show (14%) or to surf to find something (10%)


16% via TV set19% via other device

10% noton TV35%Time Shifted Streaming

41% Live 24% Time Shifted DVR/VOD

Base: Millennials (Age 18-34)Q20 Thinking about the ways you can watch TV shows, please indicate, in %, the amount of time you spend watching TV in each of the following ways in a typical week. If you do not watch in a particular way, please enter 0. Millennials are changing the definition of television Minimizing Live TV

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Subheadline_AutoSource:EXAMPLEWeekly TV Viewing For Millennials (Wave 2) Live (Broadcast/Streaming) = 39%(9% Live, not on a tv set)Time shifted DVR/VOD = 22%Time shifted streaming = 39%(14% Streaming via TV Set) (25% Streaming via other device)Also, 82% used streaming service in past 30 days (128)

Millennials Weekly TV Viewing W1: Live (Broadcast/Streaming) = 41%Time shifted DVR/VOD = 21%Time shifted streaming = 38%

[Q20] SOCS Ways Of Watching TV Shows - Time Spent In A Typical Week (Among Millennials)Live, when it is broadcast, on a TV set (31%, 62)Time shifted, via DVR, on a TV set (14%, 83)Time shifted, via your TV provider's Video On-Demand service, on a TV set (8%, 141)Streaming live, at the same time it airs on TV, on any device (smartphone, tablet, computer, etc.)(9%, 167)Streaming, on my schedule, on a TV set (14%, 140)Streaming/downloading, on my schedule, on any other device (25%, 194)

Mean TV Hours (22 hours, 40), lowest across generations (S1)Mean STR Hours (10 hours, 163), highest across generations (S2)Average # of streaming services = 6.4 (119) (5.4 among total)

25% device other than TV (194)9% via a device that is not a TV set (167)


Change is in the airBase: All RespondentsQ.S2 In a typical week, how many hours of TV & video content (TV shows, movies, or short video clips) do you watch in each of the following ways?

GenXerswatch 2x moreLive TV thanstreaming

Streaming Hours Live TV Hours (low to high)

Millennialswatch equalamounts of Live& streaming TV

Boomerswatch 7x moreLive TV thanstreamingIn a typical weekOn average

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Subheadline_AutoSource:EXAMPLEThis data is from June 2016, Wave 2. GfK October 2015 | Cord Evolution#

Millennials expanding TV beyond the TVBase: Millennials (Age 18-34)Q21 Now please think about all of the devices on which you can watch programming content (TV shows, movies, short video clips). Please break down, by %, how much of your total viewing time is spent watching programming content on each device below. If you do not watch content on a device, please enter 0. Millennials TV ViewingOct. 2015June 2016Oct. 2016TV set through TV service38%38%36%22%24%28%18%19%15%6%10%10%4%6%7%Other 5%4%4%

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Subheadline_AutoSource:EXAMPLETV set through an internet-connected device / Smart TV = Blu-ray player that can run streaming media apps, internet-connected set-top box or stick (e.g., Apple TV, Roku, Fire TV, Chromecast, etc.)Computer = Desktop or Laptop GfK October 2015 | Cord Evolution#

Base: Millennials (Age 18-34)Q20 Thinking about the ways you can watch TV shows, please indicate, in %, the amount of time you spend watching TV in each of the following ways in a typical week. If you do not watch in a particular way, please enter 0. Q24 In the past 30 days, what types of content have you watched on each of the following streaming services or apps? (Please select all that apply for each service.) Where Millennials are streamingMillennials average 4 streaming services GenX = 3 Boomers = 2Top Streaming Services (past 30 days)YouTube41%146Netflix37%154Hulu16%170Amazon Prime15%126HBO Go8%167ABC News7%154A&E App7%172Watch ABC6%127Fox News App6%146iTunes6%161ESPN App6%172Adult Swim App5%228Crackle5%150

= ad enabled35%Time Shifted Streaming

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Subheadline_AutoSource:EXAMPLEHulu = Net of both subscription tiers YouTube = net of YouTube, YouTube Red and YouTube Gaming Average # of streaming services among streamers = 5Average # of streaming services among total = 3

Wave 2 Insights:Mean Streaming services for millennials = 6 (119)Mean streaming services for Total streamers P30 = 3Mean streaming services for Millennials P30 = 3Mean streaming services for Millennial Streamers P30 = 3% of Millennials are streamers past 30 = (39%, 128)Wave 1 Mean streaming services for Millennials Ever Used = 4 (120)Wave 1 Mean streaming services for Millennial Streamers Ever Used = 4 (124)


Millennials start with streamingBase: Millennials (Age 18-34)Q42 When you sit down to watch, which of the following do you typically do first?(Please select only one.) TV Viewing Behaviors Millennials June 16MillennialsOct 16Go to a show on a streaming service19%23%Channel surf to find a show17%17%Go to my favorite network to find a show15%13%Go to a show live while its airing14%10%Surf on Streaming Services13%12%Browse my DVR list8%8%Go to a show on my DVR7%7%Go to a show on VOD4%5%Go to a show DVR, start late and fast forward3%3%

Streaming 35%Traditional40%

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Subheadline_AutoSource:EXAMPLEOct. 2016 IndexesGo to a show on a streaming service 192Channel surf to find a show 78Go to my favorite network to find a show 78Surf on Streaming Services 161Go to a show live while its airing 55Browse my DVR list 119Go to a show on my DVR 80Go to a show on VOD 171Go to a show DVR, start late and fast forward 93

June 2016 DataQ21 When you sit down to watch, which of the following do you typically do first? (Wave 2) Go to a show on a streaming service (19%, 181)Channel surf to find a show (17%, 69)Go to my favorite network to find a show (15%, 90)Go to a show live while its airing (14%, 70)Surf on Streaming Services (13%, 181)Go to a show on my DVR (8%, 91)Browse my DVR list (7%, 99)Go to a show on VOD (4%, 153)Go to a show DVR, start late and fast forward (3%, 108)


MUST. STREAM. LONGER.

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Subheadline_AutoSource:EXAMPLEBases: Streamed Past 12 Months and Streamers used [Service] past 30 daysQ23. Have you ever used any of the following online video streaming services to watch any TV shows, movies or short video clips (under 10 minutes) in the past 12 months? (Please select all that apply.)Q24a-f streamed in past 30 days

56% have streamed in the past 12 months. 54% have streamed within the past 30 days.

Which streaming services? (in past 30 days among streamers)50% YouTube 44% Netflix 21% Amazon Prime17% Hulu

Who has streamed in the past 30 days?Median age 39Parents (40%, 129)Single (35%, 125)Hispanic (18%, 120)Black (13%, 106)HHI 66K (103)Attended College (30%, 104) Women/Men (50%/50%) 11% College/University Student (131)54% Working Full time (104)26% use TVE apps

What are they viewing? (in past 30 days)69% Short Video Clip68% TV Show52% Movie 50% Original Series


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Subheadline_AutoSource:EXAMPLEOf Streamers, 76% have Cable*Of Cable* HHs, 54% stream Q24A In the past 30 days, what types of content have you watched on each of the following streaming services or apps? *Cable, Satellite, Fiber Optic

This data came from Wave 3 GfK October 2015 | Cord Evolution#

Over indexing Brands---

Base: Streamers used [Service] past 30 daysQ24a-e In the past 30 days, what types of content have you watched on each of the following streaming services or apps? (Please select all that apply for each service.)

Total PopTotal US Streaming Penetrationpast 30 days54%28%24%12%9% Median Age4738374034Median HHI$64K$65K$69K$72K$62KHispanic15%16%18% 16%20%Kids in Household31%35%39%44%39%Cable Ownership78%74% 70% 75%65%

Big Four ProfileOctober 2016

46% neverstreamedLower incomeNo kids inHH



Subheadline_AutoSource:EXAMPLEYou can understand where your brand over-indexes in an ad enabled streaming environment

Note: Dodge logo is for Dodge Ram


Use caseMedia behavior across vehicle ownersHistory ChannelCNNThe Weather Channel ESPN Fox NewsLight and Non-streamers

TV Cord Loyalists

Cord ShaversTV NetworksStreaming servicesCord groupsOver indexing MEDIA BEHAVIORS

Freeform Disney Channel Disney Junior Nick Jr. Nickelodeon

Medium streamersOver-index forNetflixAmazon PrimeWatch ABCABC News App

TV Cord LoyalistsCord Cutters Cord Cutting Intenders Cord CuttingRegretters

Convertible DriversMinivanDriversESPNDiscovery ChannelHGTVFood NetworkTLCWide range of streaming behaviorsOver-index forABC News AppHBO GoCNN AppCBS All Access

TV Cord Loyalists

Cord ShaverIntenders

Cord Shavers

SUVDriversHeavy MagazinesMedium RadioMedium Internet Magazines:Southern LivingConsumer ReportsTaste of HomeLight Prime-Time TVMedium InternetMagazines:Good HousekeepingReaders DigestParentsHeavy NewspaperHeavy MagazinesMed/Light InternetMagazines: AARP, Better Homes & Gardens, Time

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Subheadline_AutoSource:EXAMPLEMore than that you get to understand your brands users in context of media, streaming, TV cord, other product usage, attitudes, leisure activities, really get at who they are

Note: Cord Loyalists are not bolded because they are the biggest segment for each, but not over indexing

SUV Drivers over indexing brands:Off! Deep Woods (16%, 120)Solo (16%, 120)Burts Bees (16%, 115)Diet Coke (15%, 115)Angry Orchard Hard Cider (8%, 115)Clif Bar (6%, 116) Jose Cuervo (6%, 115)

Minivan Drivers over indexing brands:Welches Fruit Snacks (15%, 138)Childrens Motrin (14%, 167)Purell (12%, 113)Hersheys Kisses (10%, 116)Aveeno Daily (9%, 110)Herbal Essences (7%, 117)

Convertible Drivers over indexing brandsGarmin (28%, 145)Coppertone Sport (16%, 150)Pantene Pro-V (13%, 116)Snickers (9%, 127)Coke Zero (8%, 128)Heineken (7%, 132)


Use casediving deeper into convertible drivers

ConvertibleDrivers

A vehicle that is fun to drive is a top consideration in my purchasing decisionConsider my work to be a career, not a jobIm so busy, I often cant finish everything I need to in a dayI plan to travel to Florida in the next yearI prefer picking up quickmeals to cookingI often spend more money on fashion than I expected toDrink wineHigher household income (on average)

Who are they? High-income Boomers who are willing to spend on fancy things like wine, fashion and travel

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Subheadline_AutoSource:EXAMPLEAnd we are not just media! This is going deeper into what you can get for a particular target (really get to know them)

Age breakouts:Age 18-34 (20%, 67)Age 35-49 (23%, 93)Age 50-69 (43% 135)

HHI150k+ (24%, 186)Median HHI 96k

I prefer picking up quick meals to cooking meals (42%, 110)Drink Wine (39%, 123)I am so busy, I often can't finish everything I need to in a day (74%, 111)Having a vehicle that is fun to drive is a top consideration in my purchasing decision (58%, 119)I often spend more money than I expected to on fashion (49%, 112)I consider my work to be a career, not a job (48%, 112)Plan to travel to Florida in next year (30%, 132)

Heavy Newspaper viewers top two newspaper quintilesNewspaper I (23%, 112)Newspaper II (22%, 110)Over indexing Magazines AARP (20%, 135)Better Homes & Gardens (18%, 118)Time (11%, 156) GfK October 2015 | Cord Evolution#

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Subheadline_AutoSource:EXAMPLESet up: Their non-monogamy


30%

50%[24% of Total]

28%62% 51%[12% Total]

22%20%43%[28% of Total]

The non-monogamous world of streamingBase: All RespondentsQ24a-e. In the past 30 days, what types of content have you watched on each of the following streaming services or apps? (Please select all that apply for each service.) 36% 75%59%[9% Total]

29%

Overlap among major services used in past 30 days

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The Pathway to TV 2.0

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Transcript of The Pathway to TV 2.0