an era of growth. copyright ©2012 the nielsen company. confidential and proprietary. 2 1950’s...
TRANSCRIPT
AN ERA OF GROWTH
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1950’s& 1960’s
1970’s& 1980’s
1990’s - 2005
BLACK & WHITE TVFIRST SATELLITE
BROADCAST
RISE OF CABLE
TV
MORE ADVERTISER-SUPPORTED NETWORKS
VIDEO GAMES
2006 - Present
DIGITAL AND INTERNET
REVOLUTION
DVD DVR VOD
SMART-PHONES
HDTV TABLETS OVER-THE-TOP DISTRIBUTION
SMART TV WITH SOCIAL
CAPABILITIES
APP DRIVEN DIGITAL WORLD
Changes in the Media LandscapeAccelerating change in our future
VCR
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Looking at 2014The norm of consumer media consumption & beyond
• Consumers continue to have expanded choice
• On demand will take more viewing from the DVR
• Linear and digital media will become seamless to the consumer
• Portable and personal devices will continue to enable simultaneous usage• Consumers can extend their media engagement with even more content and
information
• Fragmentation will grow across distribution platforms, types of content, availability of content and volume of content
• The 2014 Upfront market will foster more conversations and negotiations around different monetization models to account for additional viewing across platforms
• …and the consumer continues to not differentiate how they get their entertainment, opting for the best screen at most convenient time
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The Population is ChangingYounger segment, more multi-cultural
Source: NPOWER, Share of TV Universe Estimates, 01/15/14
P12-24 P25-54 P55+
57% 62%76%
16% 13%
10%21% 18%9%
5% 6% 5%
White Non-Hispanic African American HispanicAsian American
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Most Growth Will Come From Multicultural
*Excludes American Indian, Alaska Native, Hawaiian & Other Pacific Islander Source: U.S. Census Bureau Population Projections
Projected U.S. Population GrowthFrom 2010 to 2050
Total White Black Asian* Hispanic
+42% +56% +142% +167%+1%
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DVD PC w/Internet Video Game DVR Smartphone Tablet Smart TV
85%
78%
46%43%
49%
10% 9%
83%80%
45% 47%
59%
22%
13%
82% 80%
46%49%
69%
35%
18%
Feb '12 Feb '13 Feb '14
More Choices Being Driven By TechnologyIncreased DVR, Smartphone, Tablet, and Smart TV penetration
Source: NPOWER, Mobile Insights, Custom Smart TV (Capable)
+41%
+13%
+107%
+245%
Devices Owned in TV Households % diff vs. 2012
TODAY’S LANDSCAPE
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A Third Of People Account For Half The Viewing
Source: NPOWER, Share of UE vs. Share of PUT – Total Day, 9/23/13 – 02/23/14
Universe Estimate PUT
13.4% 9.6%
8.4%5.1%
9.8%6.7%
13.2%
10.9%
20.1%
20.0%
7.4%
8.9%
27.8%39.0% P55+
P50-54
P35-49
P25-34
P18-24
P12-17
P2-11
35% of pop account for almost half of all time
spent using television
Universe Estimate (000)
PUT (000)
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An Expanded View Of Media Consumption
Source: The Nielsen Cross-Platform Report Quarter 4 2013; Exhibit 1
Q4 2011
Q4 2012
Q4 2013
5:06
5:10
5:04
0:25
0:27
0:32
0:11
0:10
0:09
0:10
0:10
0:12
1:04
1:05
1:01
0:48
0:53
1:07
2:53
2:50
2:46 0.00138888888888889
Live TV Watching Timeshifted TV Using DVD/Blu Ray Device
Using a Game Console Using Internet on a Computer Using a Smartphone
Listening to AM/FM Radio Using a Multimedia Device
Average time spent per Adult 18+ per day
Media choice drives consumer choice
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Monthly Time Spent By MediumUsers 2+ in Hours: Minutes
Source: The Nielsen Cross-Platform Report Quarter 4 2013; Table 3
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Larger Declines Among Teens And P25-34
Source: Nielsen, NPOWER
PrimeInterval P2+ P2-11 P12-17 P18-24 P25-34 P35-49 P50+
09/24 - 02/24/13 39.8 25.2 25.8 25.1 35.0 41.8 54.0
09/23 - 02/23/14 39.1 24.6 24.8 24.7 32.9 40.3 53.7
% Diff -2% -2% -4% -2% -6% -4% -1%
Total DayInterval P2+ P2-11 P12-17 P18-24 P25-34 P35-49 P50+
09/24 - 02/24/13 21.2 15.3 13.3 14.6 18.3 21.4 28.5
09/23 - 02/23/14 21.1 15.2 12.8 14.3 17.5 20.9 28.7
% Diff 0% -1% -3% -2% -4% -2% 1%
Persons Using Television%
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Total Use Of TV Is Flat For Persons And Declines Less For Teens And Young Adults
Source: Nielsen, NPOWER, Total use of TV is the sum of Live PUT, Timeshifting, Video Game Console Use, DVD Playback, and Multimedia Device Use
PrimeInterval P2+ P2-11 P12-17 P18-24 P25-34 P35-49 P50+
09/24 - 02/24/13 43.5 30.0 31.6 30.0 40.4 45.3 55.9
09/23 - 02/23/14 43.3 30.2 31.2 30.8 39.2 44.4 55.7
% Diff 0% 1% -1% 2% -3% -2% 0%
Total DayInterval P2+ P2-11 P12-17 P18-24 P25-34 P35-49 P50+
09/24 - 02/24/13 23.1 18.1 16.2 17.5 21.0 23.0 29.2
09/23 - 02/23/14 23.3 18.5 16.1 17.7 20.6 22.8 29.6
% Diff 1% 2% -1% 1% -2% -1% 1%
Total Use of TV%
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Feb '09 Feb '14
83.5% 79.5%
0.6%0.1%
7.0% 11.2%
5.8% 3.5%3.0% 4.6%
1.1%
Feb '09 Feb '14
79.7% 72.3%
0.4%
0.1%
5.2%8.5%
7.4%3.4%
7.3%14.2%
1.5%
Live PUT VCR playback Timeshifting DVD Playback Video Game Consoles Multimedia Device
Timeshifting, Video Games, And Multimedia Devices Showing Growth
Source: Nielsen Custom Analysis
Percent of AA% Rating, PRIME
P2+ P18-24
Feb '09 Feb '14
0.5%0.1%
9.7% 13.4%
6.2% 4.0%2.4% 4.2%
1.5%P25-54
81.2% 76.9%
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Multimedia Device Use
Video Game Console Use
Timeshifting
DVD Playback Use
All Other Tuning
Premium Pay
Ad Supported Cable
Spanish Broadcast
English Broadcast
PUT (Live PUT + Timeshifting)
0.9
1.9
5.9
1.8
2.0
1.5
20.3
2.2
13.0
39.3
0.5
1.6
5.6
1.9
2.0
1.5
21.0
2.5
13.2
41.0
Persons 25-54
12-13: 9/24 - 02/24/201313-14: 9/23 - 02/23/2014
Uptick For Timeshifting, Video Game Console Use And Multimedia Use
Source: Nielsen, NPOWER, Prime, L+7 days
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Significant Time Spent Watching TV But Other Devices Are Becoming Increasingly Popular
Source: Nielsen NPOWER/Cross Platform Homes Panel for November 2013 P2+, Includes in-home viewing behaviors, Heavy based on top quintile
AVERAGE DAILY MINUTES H
EAVY
DEV
ICE
USE
RS
TV PC Streaming Game Console Multimedia Device
663.2 2.1 8.0 1.1
238.2 28.1 25.3 3.5
191.4 4.4 152.7 2.3
118.1 3.1 13.3 131.6
EVOLVING TV HOUSEHOLD
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Traditional TV Use Increases As We Get OlderYoung adults today are viewing differently than those in the past
Source: NPOWER, Total Day, PUT AA%
Persons Females Males
15.416.7
14.1
17.919.0
16.817.4
18.9
15.814.816.2
13.4
May '03 - 20-29 May '08 - 25-34 May '13 - 30-39 May '13 - 20-29
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TV Channels Remain Flat, PC Sites Visited Declined While Mobile Apps Grew Slightly
Source: Nielsen Custom Data, TV - 08/19/13-08/25/13 v comparable weeks in the prior years, HHLD; Online – Netview and VideoCensus, November, P2+; Mobile - EMM, Qtr 4, P18+
2011 2012 2013
17.5 17.8 17.5
75.9 75.3
65.0
4.3 4.4 4.7
23.226.5 26.8
Avg Television Channels Viewed Avg PC Surfing Sites by Brand VisitedAvg PC Streaming Sites by Brand Visited Avg Mobile Apps Used
TV IS BECOMING MORE SOCIAL
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We ALL Know That People Tweet About TVViewers interacting with television programming through social media is an important consumer phenomenon
Source: Nielsen Social, Unique Audience Data from 9/1/13-11/30/13, Nielsen Qtr 3 2013 Connected Devices Report
of smartphone/tablet owners use devices as second-screens
while watching TV
Tweets about U.S.TV in 2013, sent by
36 million people
Average Daily Unique Audience seeing Tweets
about U.S. TV
11 990 84percent million million
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They Are Also Tweeting About Brands73% of the people who tweet about brands are people who tweet about TV
Source: Nielsen Social, 8/1/13-10/30/13
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Smart TV Grows From 13% To 18% YOYSmart TVs are more likely to be located in the Living Room
Source: Nielsen Custom Data HHLD, February 2014
February 2014
No Smart TV; 82%
Smart TV and
en-abled; 10%
Smart TV and not enabled; 9%
18%
Smart TV Penetration
71%
20%
5%4%
Living Room Bedrooms
Basement Other
Smart TV by Location
52% enabled
51% enabled
53% enabled49% enabled
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Less Live TV Among Enabled Smart TV Users, More AOT And Device Contribution
Source: Nielsen Custom Study, HHLD, Prime, Percentage share of included sources, Live TV is based on all station minutes contributing to PUT, February 2014
Enabled Smart TV Not Enabled Smart TV No Smart TV
67%7%
15%
3%5%3%
74%
4%
14%
3%4% 1%
Live TV (excluding AOT) AOT Timeshifting DVD Game Console Multimedia Device
79%
4%9%
3%4%1%
Live TV including
AOT
75% 78% 83%
Unidentified tuning or AOT may signify that an enabled Smart TV is being used to stream content
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Feb '10 Feb '11 Feb '12 Feb '13 Feb '14
70.2
74.474.9
76.477.2
High Speed Internet Continues To Grow
Source: Nielsen NPM, data from the 15th of each month, based on scaled installed counts
Percent of Total US
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Distribution Continues To Shift From Wired Cable
Source: Nielsen NPM, data from the 15th of each month, based on scaled installed counts, Broadband Only Households fall into the ADS bucket Percent of Total US is based on a sum of the four breaks listed and is slightly higher than total Composite households
Feb '10 Feb '11 Feb '12 Feb '13 Feb '149.3 9.4 9.5 9.5 10.2
55.7 53.6 51.8 49.5 47.1
5.3 6.6 7.9 9.4 10.9
29.6 30.4 30.8 31.5 31.8
Broadcast Only Wired Cable (No Telco) Telco ADS
Percent of Total US
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Cable Downgrades To Broadcast Levels
Source: Nielsen custom data extract, Feb 2013 vs Feb 2014 Unified Homes
A snapshot of 7 homes who lowered their cable subscriptionWent from an average of 154 stations to 17 stationsHUT levels decreased by almost half in Prime; 38.2 to 19.6More likely to be HHI <$75K, HH Size 3+, White, Some College, Video Game and DVD owners
02/04- 02/10/13 (Avg of 154 stations) 02/03 - 02/09/14 (Avg of 17 Stations)AMC 19.6 DVD Playback 25.7AOT 14.5 AOT 16.9DVD Playback 7.3 Video Game Console 11.0Regional Sports Networks 6.4 AUDIO-VIDEO 10.3AUDIO-VIDEO 6.4 LIF 8.6DVR Playback (Timeshifting) 5.4 Regional Sports Networks 6.6USA 5.3 ION Affiliates 6.0All Other Ad Supported Cable Orig 4.8 DVR Playback (Timeshifting) 5.3WE 4.3 ABC Affiliates 2.8AEN 2.8 NBC Affiliates 2.7
Share of Prime Viewing – Top 10 Sources
BROADBAND ONLY
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Broadband Only Skews Younger
Source: Nielsen NPOWER, Based on Scaled Installed Households, Feb ‘14
Total U.S.African
AmericanAsian
American HispanicWhite
Non-Hispanic
HH 1.6% 1.0% 4.1% 1.2% 1.6%
P2-11 2.5% 0.8% 2.8% 0.6% 3.5%
P12-17 1.6% 1.0% 2.3% 1.6% 1.7%
P18-34 3.3% 2.3% 7.2% 1.2% 4.0%
P35-49 1.6% 1.0% 1.6% 1.1% 1.9%
P50+ 0.3% 0.0% 0.4% 0.0% 0.4%
Broadband Only Penetration%
Homes with alternative means to receive content
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Viewing Habits Vary Across Homes With And Without Broadband Only Sites
Source: Custom Data Extract, 01/27 - 02/23/14, Total Day, P2+
6%1%
11%
51%
31%
Broadband Only HH 1.6%
Live TV Timeshifting DVD Playback UseVideo Game Console Use Multimedia Device Use
Share of Total Use of TV
59%
9%5%
22%
4%
Traditional TV HH w/ 1+ BBO sites
2.8%
83%
9%
3%4%
1%
All Other HH 95.6% % of TV HHs:
THE SUBSCRIPTION VIDEO ON-DEMAND (SVOD) LANDSCAPE
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39% Of P2+ Have Access To An SVOD Service
Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Among Total TV Homes
35%
65%
Netflix No Netflix
10%
90%
Amazon Prime
No Amazon Prime
6%
94%
Hulu PlusNo Hulu Plus
Netflix
Hulu Plus
Amazon Prime
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Asian Americans Are More Likely To Have Access To An SVOD Service
Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Among Total TV Homes
White
Asian American
Hispanic
African American
Composite
40%
48%
36%
32%
39%
60%
52%
64%
68%
61%
SVOD Non SVOD
By Race and Ethnicity
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SVOD Homes Are More Educated With Higher HHLD Incomes And Often Have Children
Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Among Total TV Homes
4+ Years of College HH Income = $100K+ HH with Children
43%
29%
62%
27%
16%
49%
SVOD Non SVOD
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SVOD Homes Have Greater Device Penetration And Are More Likely To Be Broadband Only
Source: Nielsen Custom Study, P2+, based on scaled installed counts, 011514, Smart TV based on Capable and Enabled, Among Total TV Homes
Smart TV
Smartphone
Tablet
Game Console
DVD
DVR
6%
68%
29%
47%
82%
47%
17%
90%
55%
76%
84%
60%
SVOD Non SVOD
SVOD Non SVOD
8% 11%
28%35%
46%45%
14%10%
4%
Broadcast OnlySatelliteWired Cable (No Telco)TelcoBroadband Only
TV Service ProviderDevice Ownership
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SVOD Homes Tend To Skew Younger
Source: Nielsen Custom Study, P18+, based on scaled installed counts, 011514, Among Total TV Homes
Composite SVOD Non SVOD
12% 15% 9%
18%23%
15%
26%
31%
23%
44%31%
52%
P50+P35-49P25-34P18-24
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Less Live TV Among SVOD Homes But More Device Usage
Source: Nielsen Custom Study, P2+, Prime, Live+7, 011314 – 011914, Among Total TV Homes
67.9%
15.1%
5.1%9.3%2.7%
83.3%
10.3%3.2%
2.8%0.3%
Live TV
Timeshifting
DVD Playback
Video Game Console
Multimedia Device
SVOD Non SVOD
HOUSEHOLD VIDEO MAPPING
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Explanation Of Symbols
Live TV Game Console
Timeshifted TV Multimedia Device
DVD / Blu Ray Device
All Other Tuning Audio / VideoAVAOT
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Weekend In The Life Of A Heavy TV Home
Source: Nielsen Custom Data
F36
M38
M14
F9
MAS
TER
BED
ROO
MLI
VIN
G
ROO
MBE
DRO
OM
AOT
AOT
AOTAOT
AOT
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Weekday In The Life Of A Heavy TV Home
Source: Nielsen Custom Data
M38
M14
F9
MAS
TER
BED
ROO
MLI
VIN
G
ROO
MBE
DRO
OM
AOT
AOT
F36
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Day In The Life Of A Light TV Home
Source: Nielsen Custom Data
F22
F46
M17
F8
LIVI
NG
RO
OM
Weekday
Weekend
LIVI
NG
RO
OM
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Day In The Life Of An Aereo Home
Source: Nielsen Custom Data
F40
M43
AV
AV
LIVI
NG
RO
OM
Weekday
Weekend
LIVI
NG
RO
OM
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Weekend In The Life Of A BBO Home
Source: Nielsen Custom Data
F39
M39
M17
F12
MAS
TER
BED
ROO
MBE
DRO
OM
KITC
HEN
LIVI
NG
RO
OM
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Weekday In The Life Of A BBO Home
Source: Nielsen Custom Data
F39
M39
M17
F12
MAS
TER
BED
ROO
MBE
DRO
OM
KITC
HEN
LIVI
NG
RO
OM
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10AM
11AM
12PM
1PM 2PM 3PM 4PM 5PM 6PM 7PM 8PM 9PM
Day In The Life Of A Smartphone and Tablet User
Source: Nielsen Electronic Mobile Measurement
TABL
ETSM
ARTP
HO
NE
WeatherF48Productivity
Netflix
Chrome
Gaming
Twitter / Vine
YouTube
Weather
Facebook / Instagram
Productivity
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A Future Look At A Heavy TV Home
Source: Nielsen Custom Data
AOT
AOT
M38
M14
F9
MAS
TER
BED
ROO
MLI
VIN
G
ROO
MBE
DRO
OM
F36
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Summary
Our video use is increasing while our traditional TV usage is flat or down depending on our age
Ethnicity matters• Asian Americans more BBO, more online, more SVOD
• African Americans more Traditional TV, more mobile
• Whites are older, BBO and more Time shifting
• Hispanics are younger, less Traditional TV and more mobile
It is a Lifestage and Behavior Change
• Young adults today watch less TV than similar age group 10 years ago
• Young adults actually watch less TV than they did 5 years ago
THANK YOU!