Why TV Brands?. Over the Past Several Years, Technology and Video Usage Has Exploded in the US.

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Why TV Brands?

Transcript of Why TV Brands?. Over the Past Several Years, Technology and Video Usage Has Exploded in the US.

Why TV Brands?

Over the Past Several Years, Technology and Video Usage

Has Exploded in the US

Growth In Technology Has Continued To Prompt Choice; Smart TV and Tablets Up Considerably

63%

41%

27%

14%

-1%-1%

-2% -3%-3%

1%

16%

49%

19%

42%

49%

46%

80%

75%

77%

Penetration Levels

YOY Growth

Source: Nielsen NPM 2/15 v year ago; SVOD is 4Q14 v

yag

Today, Consumers Expect Instant Access To Their Video

Video

Anywhere,

Anytime,

Any Screen

Today, Television Still Reigns as the Best Device For Watching Video

“Best Device For Watching Video”(Among Owners of Each Device) - A18-49

CAB 2013 Custom Study, Video Nation: Anytime, Anywhere, AnyplaceBASE: Watches video on device; 205 Overall, which of the following is the best device for watching video? 

70 27 3 8Vs. YAG

In Fact, Television Still Commands Half (49%) of Consumers Total Media Time On a Daily Basis

Avg Time Spent Per Day (Hrs: Min) Among P18+

4:51

0:33

2:43

1:06

0:130:09 0:07

1:25Live TV

Watching Time-shifted TV

AM/FM Radio

Internet Usage/Computer

Game Console

DVD/Blue-Ray

Multimedia Device

Using Smartphone

Source: Nielsen Cross Platform Report 4Q14,P18+

…and Majority Of Their Viewing Continues To BeWith Live Television

Time Spent Per Day (Hrs:Min) Among P18+

Source: Nielsen Cross Platform Report 4Q14,P18+;

4Q14 4Q13 4Q120:33 0:32 0:27

4:51 5:04 5:10 Live TVTimeshifted

How Much Video Content is Consumed Across Each Platform?

TV Still Commands 93% of Total Video Time

Watching Video on Internet

Watching

TelevisionWatching Video

on a Smartphone

Monthly by Device

149:14 10:29 1:42

Source: Nielsen Total Audience Report 4Q14 v yag;Total video= TV+comp+smartphone

P2+: Time Spent Hrs:min

P2+:# of Viewers

v. YAG

285 Million

-0.56%

146 Million

-4.2%

122 Million

+19.8%

P18-49 P25-54 P18-34

128:39 145:21110:09

13:4312:44

15:13

2:001:38

2:21

Monthly Time Spent By Medium (Hrs: min)

Traditional TV Video on Internet Video on Smartphone

Among Key Advertiser Targets, Television Commands Practically 9 out of 10 Total Video Minutes

89% 91% 86%TV Share Of Total Video

Source: Nielsen Total Audience Report 4Q14; Total

video=TV; internet video and mobile video

CH2-11 T12-17 A18-24 A25-34 A35-49 A50-65 A65+

102:45 84:17 95:01 120:52 149:02191:04

223:125:265:38

15:5814:45

12:16

8:535:03

2:541:56

1:341:04

0:27

Monthly Time Spent By Medium (Hrs: min)

Traditional TV Video on Internet Video on Smartphone

…and Captures Majority Of Total Video Time Among Both Young and Old

95% 94% 84% 88% 92% 95% 98%TV Share Of TotalVideo

Source: Nielsen Total Audience Report 4Q14; Total

video=TV; internet video and mobile video

T12-17 M12-17 F12-17 A18-24 M18-24 F18-24

84:17 83:27 85:08 95:01 90:33 99:36

5:38 6:24 4:4915:58 18:58 12:342:54 3:17 2:06

Monthly Time Spent By Medium (Hrs: min)

Traditional TV Video on Internet Video on Smartphone

Source: Nielsen Total Audience Report 4Q14; Total

video=TV; internet video and mobile video

Even Among Teens & Young Adults, Television Remains The Dominant Viewing Platform

TV Share Of TotalVideo

94% 93% 95% 84% 81% 87%

With So Much Being Written About SVOD & Its Growth In The Press This Past Year, Lets Put It All Into Perspective…

Source: Nielsen NPM

SVOD Continues To Grow – Reaching 42%

Source: Nielsen analysis of time spent; total day; 4Q14; svod – netflix selfreported

Time Spent On SVOD Is Equivalent To Only One TV Show While Time Spent On Traditional TV Totals Over 5 Hours

Among A18+ Per Day

5:24

Live TV

Time-shifted TV

Source: Nielsen analysis of time spent; live+7; jan’15 data; top cable & bdcst nets based on rating; svod – industry number

Drilling Down To Network Level: Time Spent With Top 10 TV Nets On Traditional TV Is 3X More Than Time With SVOD Programming

Source: Nielsen analysis of time spent; total day; jan’15; tv= english cable+bdcst; netflix – self reported

Even When Looking At A Base of Netflix Subscribers, Time Spent Is Still Only A Fraction Of The Time Adults Spend With TV

Of Netflix Subscribers Only

5:24

Time-shifted TV

Live TV

All in All, In Spite Of SVOD Growth In Years Past, Live TV Is The Preferred Method For Watching TV Shows By

Far

18-34 35-49 Total

Live TV 39% 51% 44%

DVR 20% 20% 20%

Netflix 24% 8% 16%

Youtube 18% 7% 13%

DVD/Blue-ray 10% 5% 7%

VOD 9% 6% 7%

TV provider livestream app 8% 6% 7%

TV network website 8% 5% 7%

Free Download 7% 3% 5%

Hulu Plus 7% 3% 5%

TV Network app 7% 3% 5%

TV network website 6% 3% 5%

Amazon Instant Video 5% 2% 4%

Crackle 3% 2% 3%

Google Play 1% - -

Source: Ipsos MediaCT, “FYI: Earthquake! How TV Landscape continues to change” nov 25,2014

Methods by Which TV Viewers Watch TV Shows Daily: 5/14

In This New Omni-Screen World, Television is Still Thriving…

Source: Nielsen Npower for Total Day. Hut/PUT’s; nov’14-jan’15 v yag

Overall, TV’s Reach Is Still at 98-99% Across The Board

Consumers Are Driven To Branded TV

Content

$29.2

$34.2$36.8

$39.4

$12.7 $12.3 $13.4 $12.8 $14.3 $13.7 $14.9 $14.3 $15.6

$24.3

$20.0$21.9

$26.6$31.4

2010 2011 2012 2013 2014 2015* 2016* 2017* 2018*

Cable Broadcast

TV Programming Investment (in Billions)

Source: SNL Kagan Media Trends; Cable investment into original pgm.

TV’s Investment Into Its Programming Will Continue To Increase, Spurring Growth Across

Screens

$233 Billion invested since 2010

What Does $233 Billion Investment Into TV Content Buy These Days?

Compelling Original Programming That Has Dominated U.S. Video and Won Critical Acclaim

…and Branded TV’s Content Connection Extends

Across All Screens Television Computer

SmartphoneTablet

TV Brands Rank in the Top 5 Multiple Times in Most Major Content Genres

Sports ESPN

NBC Sports Network

Bleacher Report

FOXSports.comCBSSports.com

College Humor/CrackedtheCHIVE.com

Adult Swim

Comedy Central

Defy Media Humor

NBCU TV

Tribune Broadcasting

ABC Digital

BETAOL On –Huff Post TV

ABC News

CNN

NBC News

CBS News

Buzzfeed

VEVO

Soundcloud.com

MTV Networks

Myspace.com

Yahoo! Music

Source: CAB analysis of multi-platform comScore data, February 2015

HOUZZ.com

Hearst

HGTV

Internet Brands Home & GardenAbout.com Home

The Weather ChannelAccuweather.com

Yahoo! Weather

Weatherbug.com

MSN Weather

NBCU TV

ABC Digital

Tribune BroadcastingAOL On – Huff Post TV

TV Guide

Food Network

BlogHer Food

AllRecipes.com

MyRecipes.com

Mode Foodie

Disney EntertainmentTotally Kidz

COOL-MATHGAMES.comNickelodeon Kids & TeensPBSKIDS.org

Sports Comedy TV Ent. Black

General News Music

Home Weather TV Entertainment KidsFood

Gaming

PCH Digital

GSN

Midas Player

Zynga

EA Websites

Top 5 Websites by Genre:

Out of 1 Million + iPAD Apps, TV Brands are Among the Top 5 Downloaded

Top iPAD apps from Over 1,000,000 Apps:

Sports Music TV Networks Comedy ESPN Tourney ChallengeNCAA March Madness Live

CBS Sports

Watch ESPN

ESPN Scorecenter

NewsPandora

Spotify

Beats Music

iheartradio

The Voice

Watch ESPN

The CW

A&E Networks

Showtime Anytime

History

FOX News

BBC News

Flipboard: Social News MagazineNBC News

Wall Street Journal

Comedy Central

Pandora

Viki

Yahoo! Screen

Huffington Post

Source: Apple app store 3/17/15; Most popular iPAD apps by category search term (excluding gaming apps)

Weather

Finance TV Entertainment BusinessWeather Channel for iPadYahoo Weather

Weather

MyRadar

NOAA Hi-Def Radar

ChildrenWall Street Journal

Bloomberg TV+

Yahoo Finance

CNBC

CNN Money

Shazaam

Entertainment Weekly

Xfinity TV Go

HBO Go

AOL On

Nickelodeon

Watch Disney ChannelTBN Mobile

Nick JR.

Yo Gabba Gabba

Bloomberg TV+

CNBC

BBC News

New York Times

FOX News

Time Spent With Ad-Supported Television Equals Over 107 Hours a Month

Source: Nielsen Npower Live+7 February 2015 P2+, Broadcast Television represents FOX, CBS, NBC, ABC, iON and CW. Cable Networks Represents all Nielsen measured Ad-Supported Cable Networks.

Ad- Supported Cable Networks(Hrs: Mins)

Broadcast Networks(Hrs: Mins)

37:17

Monthly Time Spent (February 2015) (Average mins per visitor, Hrs: Mins)

70:18

107:35

Ad-Supported Television(Hrs: Mins)

When Factor In Online, Time Spent With Ad-Supported TV Brands Totals 139 Hours/Month

Source: Nielsen Npower Live+7 February 2015 P2+, CAB analysis of comScore duplicated data. Cable Television represents all measured Ad-Supported Cable nets by Nielsen and ComScore; Broadcast Television represents FOX, CBS, NBC, ABC, iON and CW; Four Portals represent: Yahoo, Google, MSN and AOL.

Total Ad-Supported TV Brands (Cable + MVPDs+ Broadcast: TV+ Web)

(Hrs: Mins)

4 Portals + Facebook(Yahoo!+ Google + MSN + AOL)

(Hrs: Mins)

36:04

Monthly Time Spent (February 2015) (Average mins per visitor, Hrs: Mins)

139:20

Ad-Supported TV Brands

4 Portals(Google, MSN, AOL & Yahoo!)

Facebook

In Fact, More Time Is Spent Online With Ad-Supported TV Brands Than The 4 Portals Or

Facebook

Average minutes per visitorSource: Nielsen Npower Live+7 February 2015 P2+, CAB analysis of comScore duplicated February 2015 data (mediametrix, multiplatform). Nielsen Social February 2015. Ad-Supported Television Brands represents all measured Ad-Supported Cable nets, mvpds. And Broadcast Television FOX, CBS, NBC, ABC, iON and CW. 4 portals = Google, AOL, MSN, Yahoo!

107:35 21:04

14:49 2:32

5:25 13:18

10:4195MM Tweet

s139:20

Monthly Time Spent(Hrs:Mins)

17:21

18:43

P2+

Ad-Supported TV Brands

4 Portals

Facebook

Adults 18-34 Spend More Time Online With Ad-Supported TV Brands Than The 4 Portals Or Facebook

Average minutes per visitorSource: Nielsen Npower Live+7 February 2015 P18-34, CAB analysis of comScore duplicated February 2015 data (mediametrix, multiplatform A18-34). Ad-Supported Television Brands represents all measured Ad-Supported Cable nets, mvpds. And Broadcast Television FOX, CBS, NBC, ABC, iON and CW. 4 portals = Google, AOL, MSN, Yahoo!

75:48 14:11

14:37 4:12

4:46 17:04

13:49103:48

Monthly Time Spent(Hrs:Mins)

18:49

21:50

A18-34

What about Ad Supported TV Brands vs YouTube?

Prof

essi

onal

ly P

rodu

ced

Cont

ent

Sources: comScore Video Metrix September 2014 YouTube Partners Report, P13+; Nielsen Npower Live+7 Days, P13+, 9/1-9/30/14

Monthly “Time Spent” Average (Minutes Per Viewer)

Total Ad-Supported TV vs. All YouTube Video

Predominately UGC

=UGC

(Cable + Broadcast)

Time Spent With YouTube Is Dwarfed By Time Spent With Ad-Supported TV…Creating a 5% YouTube / 95%

TV Split

Sources: comScore Video Metrix September 2014 YouTube Partners Report, P13+; Nielsen Npower Live+7 Days, P13+, 9/1-9/30/14

Monthly Reach Average (P13+)TV Cume Reach vs. YouTube Unique Visitors (000)

Professionally Produced Content

Predominately UGC

=UGC

(Cable + Broadcast)

Same Pattern Holds True When Look at Reach

Sources: comScore Video Metrix September 2014 YouTube Partners Report, P18-24; Nielsen Npower Live+7 Days, P18-24, 9/1-9/30/14

Monthly “Time Spent” Average (Minutes Per P18-24 Viewer)

Total Ad-Supported TV vs. All YouTube Video

Prof

essi

onal

ly P

rodu

ced

Cont

ent

Predominately UGC

=UGC

(Cable + Broadcast)

Among Younger Consumers - 18-24 - Similar Usage Split Prevails: 88% TV /

12% YouTube

Consumer’s Passion for TV Content is Evident In Social Media…

Over 3 Billion Tweets about Television Have Been Sent since 2012

Source: Nielsen Social – Insights Data Source, Monthly Total Tweets; Jan & Feb 2012 was not reported

0

20,000,000

40,000,000

60,000,000

80,000,000

100,000,000

120,000,000

2012 Tweets 2013 Tweets

Month

Tota

l M

on

thly

Tw

eets

2014World Cup 2012

Presidential Debate

2013Super Bowl

Every Year there seems to be a High Watermarking Social Event.

Top Ad-Supported Primetime Television Programs of 2014…

Source: Nielsen Social – Rankings Data 2014 Total Tweets, Sports and Specials Not Included in Programming

Top 10 Primetime Programs of 2014

Top 10 Primetime Networks of 2014(# of Tweets) (# of Tweets)

13,088,653

9,269,370

12,070,112

9,885,470

13,056,492

8,971,206

6,644,536 3,730,865 2,845,804

2,812,807

65,918,323 43,634,38951,035,157

29,594,63835,759,192 26,588,477

19,756,16021,936,684 16,082,141

14,605,450

In General Viewers “Chat” About TV Programs Frequently…

6 out of 10 Discuss a Few Times a Week or More

CAB Custom Study, Video Nation: Anytime, Anywhere, Anyplace BASE: Respondents who engage in Social TV600 How often do you do each of the following while watching television? Please think about these activities as directly related to the show or an advertisement you are watching.

How Often Do you Chat / Post / Tweet About a Show While Watching TV?

(A18-49)

Less than once a wk:

About once a week:

Few times a week:

61% chat / post / tweet a few times a

week or more

Teens & Young Adults are even higher daily users: • 40% of Teens• 41% of 18-24• 39% of 25-34• 27% of 35+

Socially Active Viewers Endorse Products…Over 30% Comment on an Ad

CAB 2013 Custom Study; Video Nation: Anytime, Anywhere, Anyplace BASE: Respondents who engage in social TV610 Previously you indicated you do the above. Why do you do these activities? Select all that apply.

Teens: 28%18-24: 34% 25-34: 29% 35+: 29%

Why Do You Post / Tweet / Chat During a TV Show? (%)

A18-49

But, Most Importantly, Do TV Brands “Sell More Stuff” for Advertisers?

Television Ads Encourage Further Investigation and Ultimately

Move Products Off the Shelves

CAB 2013 Custom Study; Video Nation: Anytime, Anywhere, Anyplace600 How often do you do each of the following while watching television? Please think about these activities as directly related to the show or an advertisement you are watching.

75% Look up information online about an advertisement currently watching

69% Once a week or more

62% Shop online or purchase something they have seen on a show / advertisement they are currently watching

A18-49

How Often?

56% Once a week or more

That’s Why Pure-Play Internet Brands, Whose Businesses Are Solely Dependent On Internet Traffic To Drive Revenue, Rely on TV (Not the Internet) to Sell Their Products & Services

In Just 5 Years These Brands Increased their TV Investment by Over a Third; 71% of TV Spend in Cable and Growing

Source: Nielsen AdViews; Website category (national + spot TV);

# of Brands:

2,701 2,599 2,560 2,4262,425

Website Category: 5 Year Trend TV Spend by Source

(Billions)

In Fact, CAB’s Custom Analysis of 63 of the 75 Pure-Play Internet Brands Exhibited a Direct

Correlation Between TV Spend & Website Traffic

63 Website Brand Advertisers: Unique Visitors vs. TV Spend Feb. ‘13 – April ’14 (15 month Half vs. Half Comparison)

Source: Nielsen AdViews; Website category (subcategories: auto, travel, dating, gaming, care giving, entertainment, educational, financial, insurance, business services, retail); National TV spend Feb. 2013-April 2014; comScore unique visitors P15+

TV Spend Up, Traffic Up

TV Spend Down, Traffic Down

25 Advertisers When Spend DOWN

-22% less unique visitors (on average)

38 Advertisers When Spend UP

+33% more unique visitors (on average)

44

Deloitte “State of Media Democracy” Report

Visited Website After Seeing Ad

Keller Fay/ThinkBox “Paid.Owned. Earned” Report

% of Visits Generated

Source: Deloitte 2013 ‘State of Media Democracy” report; Keller Fay / ThinkBox 2013

TV Ads Continue To Generate Website Traffic

45

Simply Put Branded Content Delivers …

Young Adults (18-24)

Men 18-34

Women 18-34

Men 25-54

Women 25-54

Men 50+

Women 50+

Hispanic

Black

Note: Local Ad Insertion Capabilities & Footprints Can Vary Slightly By Network/MSO Agreements

Scale and Content Commitment Across Every Imaginable Demographic (10 Examples)

Top Content Across All Screens…Anytime/Anyw

here