understanding the cross-media measurement challenge
TRANSCRIPT
• How we monetize our audiences • How we distribute our networks
• How we window our programming
THESE ISSUES IMPACT ALL ASPECTS OF TURNER’S BUSINESS:
THE PAST, THE PRESENT, THE FUTURE THE PAST
• Straight forward linear TV business, major disruption on 2007 with move to C3 • Digital business, focused on premium content and major sponsorships
THE PRESENT • More change faster • TV business becoming more complex- Audiences and Impacts, Platforms, Competitors • Bifurcated digital business- Premium video becoming more like TV, display mostly
programmatic
THE FUTURE • We don’t know
WHERE OUR CONTENT IS CONSUMED
DVR Playback (4-7 days)
VOD (C3)
OTT Devices Mobile / PC Streaming (within 7 days)
DVR Playback (C3)
DVR Playback (8+ days)
VOD (4-7 days)
Smart / Connected TV
Out-of-Home
SVOD
Mobile / PC Streaming (8+ days)
TRADITIONAL TV ON DEMAND ALTERNATIVE VIEWING SOURCES
VOD (8+ days)
Live TV
TV MEASUREMENT ISSUES • Greater sample sizes to address increasing fragmentation
• Panels, set top box, smart TV data • Volume measurement versus individual respondents
• C3/C7/C Infinity • Move to audiences, not age/sex demos
• Need for scalable ROI measurement
• SVOD, OTT, VOD measurement and insight
TOTAL US TRADITIONAL TV SVOD / AOT /
OTHER PC / MOBILE STREAMING TOTAL VIDEO USAGE TIME
PERSONS 18-24 Q1 2014 21.3 7.5 11.3 40.1 Q1 2015 17.6 8.8 15.4 41.7
ACTUAL CHANGE -3.7 1.3 4.1 1.7 % CHANGE -17% 17% 36% 4%
PERSONS 25-34 Q1 2014 27.0 7.2 10.2 44.4 Q1 2015 24.1 8.0 14.8 46.9
ACTUAL CHANGE -2.9 0.7 4.7 2.5 % CHANGE -11% 10% 46% 6%
PERSONS 35-49 Q1 2014 33.3 5.0 6.5 44.8 Q1 2015 31.7 5.6 10.5 47.9
ACTUAL CHANGE -1.6 0.6 4.0 3.0 % CHANGE -5% 12% 62% 7%
PERSONS 50+ Q1 2014 46.6 3.7 3.1 53.4 Q1 2015 45.4 4.2 5.5 55.1
ACTUAL CHANGE -1.2 0.5 2.4 1.7 % CHANGE -3% 13% 80% 3%
BIG CHANGES IN VIEWING BEHAVIOR IN PAST YEAR
NETFLIX EARNINGS RELEASE: 10 BILLION HOURS STREAMED 1Q 2015 6.5 BILLION HOURS STREAMED 1Q 2014
% DOMESTIC STREAMING
% ON TV
NETFLIX SHARE RELATIVE TO TOTAL TV (TOTAL US POP)
HIGH 90%
MEDIUM 80%
BTIGs 73%
LOW 60%
HIGH 95% 8.2% 7.3% 6.7% 5.6%
CENTRIS’ 92% 7.9% 7.1% 6.5% 5.4%
MEDIUM 75% 6.6% 5.9% 5.4% 4.5%
LOW 50% 4.5% 4.0% 3.7% 3.0%
NETFLIX SHARE OF TV VIEWING
NETFLIX IS ~6.5% OF TV VIEWING
% OF TOTAL VIEWING BY PLATFORM LEAKAGE
Live DVR 1-3 DVR 4-7 VOD 4-7 VOD 8+ TVE Monetization Reporting
TBS Ground Floor 84 13 2 0.4 0.8 0.2 3.2 3.4
TBS Cougar Town 71 23 5 0.5 1.1 0.2 6.6 6.8
TNT Librarians 62 28 7 0.8 1.8 0.2 9.6 9.8
TNT The Last Ship 46 39 7 1.4 3.5 1.0 11.9 12.9
LEAKAGE & NON-MONETIZED VIEWING SNAPSHOT
DIGITAL MEASUREMENT ISSUES • Measuring all platforms/Cross-Device usage • Viewability • Demos- OCR and vCE
• Kids Measurement
• Granularity of measurement
WHAT DO WE NEED IN A CROSS-PLATFORM SOLUTION? § Link to currencies used to transact individual media, use high quality fusion or data integration
to combine individual media together
§ Include all platforms § Needs to provide a platform view, a program/content view, and a selling inventory view
§ Should include both consumption and advertising for display, video, gaming
§ Data needs to exist in systems that are used to analyze audience dynamics and develop integrated packages for our advertisers
– Combined package of linear TV, digital video, VOD with DAI, Sling TV with DAI
§ Planning data needs to be predictive of data used in post-analysis
Source: 2015 NCAA Cross Platform Report provided by Nielsen. 3/17/15-4/6/15. Data sources include: Nielsen, Nielsen Audio, Adobe and Google Analytics (for B/R),
2015 MARCH MADNESS CROSS-PLATFORM PICTURE 2015 Uniques (000) – 185 Million Total
CAMPAIGN ROI EXAMPLE
ADVERTISED CAPRI SUN TOTAL CAPRI SUN
INCREMENTAL $/HH 7.25 ¢ 7.99 ¢
ALL TV & DIGITAL HOUSEHOLDS REACHED* 28,870,699
PROJECTED INCREMENTAL DOLLARS** $3.49 MM $3.84 MM
COST FOR TV & DIGITAL CAMPAIGN $1,926,954
RETURN ON AD SPEND $1.81 $1.99
* 25.2MM Households were reached through TV, while 7.6MM Households were reached through Digital (3.9MM were exposed to both TV and Digital) ** Projected Incremental Dollars is based on Incremental $/HH by All TV Households Reached, projected up to reflect dollars at a Total Grocery level
Source: dunnhumby 2014/Confiden6al
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