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VIEW FROM THE TOP IN THE INDUSTRY Overview of key economic indicators and emerging trends DEEP DIVE THE MARKET Insights to engage the consumer in the era of media fragmentation ENGAGE THE CONSUMER Consumer buying behavior and sales trends STAY CONNECTED For comments and more details, contact the editorial team Editorial by the MD of Nielsen Italy WINNING PERSPECTIVES SEPTEMBER 2015 — ITALY Consumer and media insights to win the market challenges

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Page 1: WINNING PERSPECTIVES - Nielsen€¦ · Q2 2014. There was also an increase of two points as regards the Italians’ belief that the time is right to buy the goods that they need

VIEW FROM THE TOP

IN THE INDUSTRYOverview of key economic indicators and emerging trends

DEEP DIVE THE MARKET

Insights to engage the consumer in the era of media fragmentationENGAGE THE CONSUMER

Consumer buying behavior and sales trends

STAY CONNECTEDFor comments and more details, contact the editorial team

Editorial by the MD of Nielsen Italy

WINNINGPERSPECTIVESSEPTEMBER 2015 — ITALY

Consumer and media insights to win the market challenges

Page 2: WINNING PERSPECTIVES - Nielsen€¦ · Q2 2014. There was also an increase of two points as regards the Italians’ belief that the time is right to buy the goods that they need

HOME IN THE INDUSTRYVIEW FROM THE TOPVIEW FROM THE TOP DEEP DIVE THE MARKET ENGAGE THE CONSUMER STAY CONNECTED

WINNING PERSPECTIVES - ITALY | Copyright © 2015 The Nielsen Company. All rights reserved

Giovanni Fantasia

Winning Perspectives is the new Nielsen report that reflects the evolution of the Watch & Buy

Report. New name, new structure, new digital and interactive format, but the same content — critical to the success of the Watch & Buy Report: insights into buying behavior, FMCG trends, media and the advertising market, always with an overview of the Italian economic situation, the most strategic market and sector trends and those of other countries. 2014 was the year that witnessed the slowdown of negative trends, but with no signs of recovery. It was in fact 2015 that started with signs of this long-awaited recovery, albeit with slow growth rates. Our country is emerging from recession and Italian families are recovering their purchasing power, thanks to a favorable economic climate fueled by the decisions of the ECB (European Central Bank), the fall in inflation and in the price of crude oil. The return of consumer confidence in particular encourages us to remain positive.

After the jump made during the first quarter (57, +11 points vs. the beginning of 2014), Italian consumer confidence was rejuvenated in the following three months. It is clear that there is some dynamism, which must still be transformed into a structured and organic driving force; however the confidence index is rising above 50 points, reaching a most encouraging result that Italy has been awaiting for four years. Advertising market trends also confirm these fundamental transitional trends in Italy. The reduced decline in investment, which has characterized this first part of the year, forecasts at long last a market share above zero at the end of 2015. By definition, advertising trends follow those of consumption. With a slight increase in food sales in supermarkets, we can see also an increase in terms of advertising in this sector. Expo 2015 has certainly played its part... In any case, food is picking up again in Italy and we would not expect anything else for the year in which the world has passed through here.

THE AIM NOW IS TO BE ABLE TO TRANSFORM

THIS POSITIVE VISION THAT IS GRADUALLY

SPREADING INTO ENDURING CONSUMER SPENDING

Where were we?

Page 3: WINNING PERSPECTIVES - Nielsen€¦ · Q2 2014. There was also an increase of two points as regards the Italians’ belief that the time is right to buy the goods that they need

IN THE INDUSTRYOverview of key economic indicators and emerging trends

MAIN ECONOMIC INDICATORS

CONSUMER CONFIDENCE

GLOBAL SURVEY

NIELSEN INSIGHTS

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For the first time in years, in the second quarter of the year the business confidence index exceeded the 100 points of 2010, reaching 104.7 in June. Confidence is up in sectors such as construction, market services, retail trade and manufacturing, and all with levels finally above 100.

PERCENTAGE CHANGE OF THE COUNTRY’S GDP

Source: IMF World Economic Outlook, July 2015

United States Brazil Europe

South Africa Turkey Russia India Australia China Japan

+2.5 -1.5 +1.8 +2.0 +3.0 -3.4 +7.5 +2.8 +6.8 +0.8

0

20

40

60

80

100

SECTOR TOTAL BUSINESS

Source: ISTAT — June 2015

104.7JUN ‘15JUN ‘14

95.3

Main economic indicators

+0.2%

+2.7%

+0.7%

In June 2015 there was a slight acceleration in inflation, up by 0.2% compared to the previous year. The main types of expenditure that contribute to general inflation are:

alcoholic beverages and tobacco (+3.0%), expenditure on education (+1.9%), hospitality and catering services (+1.6%).

The unemployment rate continues to increase (+2.7% on an annual basis) and reached 12.7% in June 2015. However, the number of economically inactive individuals is decreasing and there is therefore

greater participation in the labor market. This allows the employment rate to grow on a quarterly basis that, together with the increase in the number of jobs, augurs more favorable developments in the coming months.

ISTAT (Istituto Nazionale di Statistica — the Italian National Institute of Statistics) estimates that GDP will grow by 0.7% on an annual basis, the highest rise in the past four years. This variation is due to the increase in

domestic consumption and a higher added value from the service sector and the industrial one, in the strictest sense of the word. They negatively affect the agriculture and construction sectors.Source: ISTAT, June 2015 (2015 vs. 2014)

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In the second quarter of 2015, the global confidence index lost one point compared to the first quarter, stabilizing at 96. Globally, the confidence index was stable in the last year, while it differed regionally and for individual nations.

Europe is the only region that grew in the quarter, reaching its highest level in the last five years (79): 21 of the 32 European countries were more optimistic than at the start of the year. Denmark, the UK and Switzerland are the most confident countries, where consumer confidence continued to grow in the quarter. Ukraine, Serbia, Greece and Italy are the worst. Germany lost three points in the second quarter, mainly because of concerns relating to terrorism, health, and an increase in prices. Ukraine experienced an increase in points, during the ceasefire in February, and greater monetary stability has contributed to a more favorable climate (but it still remains among the least confident).

Confidence in other regions is down: North America lost five points compared to the first quarter, although it is an optimistic area (101 points), Latin America (at 83, the lowest since 2009) and the Middle East/Africa (94) lost three and two points respectively, while Asia Pacific (107) remained stable in the quarter.

Consumer confidence around the world

India

131

Philippines

122

Indonesia

120

Denmark

112

Thailand

111

United Arab Emirates

108China

107

Saudi Arabia

105

Hong Kong

105

Vietnam

104

Pakistan

102

United States

101New Zealand

99

Singapore

99

United Kingdom

99

Canada

98

Switzerland

98

Germany

97Peru

95

Colombia

92

Israel

92

Netherlands

90

Australia

89

Malaysia

89Ireland

88

Norway

88

Czech Rep.

88

Sweden

88

Turkey

87

South Africa

87Austria

85

Egypt

85

Mexico

84

Taiwan

84

Chile

84

Lithuania

83Japan

83

Belgium

83

Estonia

82

Argentina

81

Brazil

81

Latvia

79Romania

78

Russia

78

Slovakia

75

Bulgaria

73

Spain

72

Poland

70Finland

68

France

66

Venezuela

62

Slovenia

61

Croatia

59

Portugal

57Hungary

55

ITALY

53

Greece

53

Serbia

52

Ukraine

48

South Korea

45

+1 +7 -1 +6 -3 -7

+1 -2 -1 -8 0 -6

-3 -1 +2 +2 +4 -3

-4 -1 +4 +1 -6 -5

-4 +3 +5 +1 +1 0

+3 -5 -2 -4 -3 -1

+1 +4 -1 +6 -7 -1

+4 +6 +2 +1 +5 -3

+3 +6 -3 +4 +1 -3

-2 -4 -12 0 +7 -1

CONSUMER CONFIDENCE INDEXTrend Q2 2105 vs. Q1 2015 — 60 countries — Average 96 | -1

Source: Nielsen, Consumer Confidence and Spending Intentions Global Survey, Q2 2015

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INCLINED TO SAVE

Measures taken in order to save

Source: Nielsen, Consumer Confidence and Spending Intentions Global Survey, Q2 2015

Use remaining money

Have cut back on meals out of home

Spend less on clothing

Have reduced entertainment out of home

Buy cheaper food brands

Have cut back on vacations and short breaks

Savings

Clothing

Vacation/Travel

Entertainment out of home

New technological products

of Italians adopt measures to save money,

the figure was 74% a year ago

69%

The confidence index of Italians was at 53 points, losing four points following the optimism attained in the first quarter of 2015, when the country had reached 57 points.

Consumer confidence in Italy

Fewer people had to change spending habits to save money: 69% vs. 74% in Q2 2014, with a continuous decrease started in 2014, after the peaks of 2013 that exceeded 80%. The most common measures taken for reducing family expenditure include fewer meals out of home (64%), followed by cutting back on new clothing (61%) and entertainment out of home (60%), buying cheaper food brands (53%) and cutting back on vacations and short breaks (45%).

0

20

40

60

80

CONSUMER CONFIDENCE INDEX EU VS. ITALY

Source: Nielsen, Consumer Confidence and Spending Intentions Global Survey

Q3 - 2014 Q4 - 2014 Q1 - 2015 Q2 - 2015

98

45

57 5347

96 9697Europe

Italy

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Although Italians are still very critical of the economic recovery of the country, the beginning of 2015 recorded a slight increase in confidence with regard to the recession: the percentage of Italians who consider that the country is in recession fell by five percentage points compared to last year (90% vs. 95% in Q2 2014).

Furthermore, there is positivity concerning the future of the recession: 16% believe that the crisis will be over in the next 12 months, compared to other European countries such as Great Britain, France and Spain that are at 13, 10 and 9 points respectively. It would seem, then, that despite the various difficulties, the government is slowly generating positivity among the Italians. In terms of job prospects, 12% of the population is now confident, up by two points compared to Q2 2014. There was also an increase of two points as regards the Italians’ belief that the time is right to buy the goods that they need. 16% of Italians believe this. If this growth were to continue in the coming months, it would bode well for the recovery of consumption.

WHAT ITALIANS ARE THINKING Positive trend in Q2 2015 compared to Q2 2014

+2 +2 +2-5

Source: Nielsen, Consumer Confidence and Spending Intentions Global Survey, Q2 2015 vs. Q2 2014

Think that the time is right to make

purchases

Think that Italy is in recession

Believe that the recession

will end in 2016

Believe in the revival of the labor market

16%

90%

16% 12%

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Italians increasingly attentive to the health value of food

Nutrition is one of the most hotly debated topics of our era. We have focused on the eating habits of Italian consumers and the most significant finding is certainly that of a new approach to food, with ever greater attention to the health value of food and awareness that a healthy diet is the most appropriate means to prevent and manage physical dysfunctions such as high cholesterol, hypertension, diabetes and obesity.

The analysis suggests that 57% of Italians consider themselves overweight and 53% (46% in 2011) would like to lose weight: to lose weight, 75% intend to change their diet (83% in 2011), 73% to do physical exercises (54% in 2011). Of the most widespread changes in diet, fighting fat remains the top priority for 64% of Italians.

With regard to the distinctive features of food, we are able to identify three macro-areas in which consumers are most interested and for which sales have grown, bucking the trend of contraction relative to the recession.

Back to Basics

Lessis More

Moreis More

Italians mainly look for, among other things, 100% natural products (considered important by 45% of the population), no artificial colorings (indicated by 43%), GMO-free (42%), made with vegetable/fruit and without artificial flavors (36%), high in fiber (30%), organic and with natural flavorings (26%).To confirm this, organic foods recorded revenues of €866 million in 2014, a 14% increase compared to the previous year.

BACK TO BASICS

100% natural ingredients

No artificial colorings

GMO-free

Fruit/vegetable-based

Without artificial flavors

Organic

Natural flavors

45%43%

42%36%

36%26%26%

Source: Nielsen Global Survey on Health, Wellness and Nutrition, 2015

BASIC

BASIC LOW ADD

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"Free-from" products often offer a health benefit: cholesterol free (important for 35% of respondents), fat free (29%), sodium free (28%), sugar free (27%), calorie free (22%). Italians are also concerned with portion control (21%) as well as carbohydrate-free (18%), low fructose (16%), caffeine-free (12%) and gluten free (11%) products.Different “free-from” and more easily digestible products have grown in the last year: low-fat chips and cheese (revenues of €25 million, +10%), lactose-free milk (€477  million, +15%) and gluten-free products (€101 million, +31%).

Having “more” of certain nutrients is important for health; particularly products that are high in fiber, whole-grain, enriched with calcium, proteins and vitamins are in demand.An increase in sales of dietary supplements has been measured, which have generated revenues of €232  million (+3%) in 2014, and whole-grain foods (sales of €235 million, +11%).

MORE IS MORE

30%22%

19%18%18%

16%15%

11%

High in fiber

Wholewheat

Enriched with calcium

High in protein

Enriched with vitamins

Enriched with minerals

High in unsaturated fats

Enriched with micronutrients

Source: Nielsen Global Survey on Health, Wellness and Nutrition, 2015

LESS IS MORE

35%29%28%

27%22%21%

18%16%

12%11%

Low in cholesterol/cholesterol free

Low in/without fat

Low in/without sodium

Low in/without sugar

Low in calories/calorie free

Portion control

Low in carbohydrate/without carbohydrate

Low fructose

Ca�eine free

Gluten free

Source: Nielsen Global Survey on Health, Wellness and Nutrition, 2015

LOW ADD

Food as a source of well-being is a growing trend, offering advantages not only for consumers but also manufacturers and supermarkets, which should be aware of the change in consumer mindset in order to implement policies for the development of new products, increasingly natural and decreasingly processed.

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Nielsen Insights

59% OF PROMOTIONAL SALES CREATE VALUE IN ITALY, BUT POINT OF SALE LOYALTY IS THE LOWEST IN EUROPE More than $500  billion is spent on trade promotion worldwide, an investment equal to 20% of revenues.

MULTICHANNEL ITALIANSAccording to the Osservatorio Multicanalità, in 2015, 60% of individuals over the age of 14 are multichannel consumers and are identified as smartshoppers.

ITALIANS ARE AMONG THE MOST INCLINED TO INNOVATION IN EUROPEInnovation is important. Innovation provides business growth, profitability and enables success even in challenging times of economic recession.

HE WHO FINDS A MILLENNIAL, FINDS A TREASUREMore than 11  million Italians belong to the Millennial generation: demanding, technologically advanced, informed and with good buying power.

WAR OF SCREENS IN ITALY: THE STRUGGLE TO MAKE ONESELF “SEEN” IN THE DIGITAL WORLDWe live in a digital age and we want to enjoy content on demand. This is confirmed by 72% of the Italians who love the freedom of being connected anytime, anywhere.

E-COMMERCE IN FMCG60% of Italians browse online before buying in-store, 46% read reviews online and 25% use smartphones in store to look for discounts and sales promotions.

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DEEP DIVE THE MARKETConsumer buying behavior

and sales trends

CONSUMPTION TRENDS

SEGMENT TRENDS

SHOPPING CART

CHANGES

TRENDS BY SECTOR AND BY CHANNEL

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Consumption trends

In the second quarter of 2015, average spending per family for FMCG was approximately €1165, down by 1.6% compared to the same period

the year before.

CONSUMER KPI

Purchase frequency was below 50 purchases in the quarter with a decrease of two purchases compared to the corresponding

quarter of 2014.

The increase in the average receipt (±3.1%) does not compensate for the drop in frequency of purchase.

Source: Nielsen, Consumer Panel

For the fifth consecutive quarter, FMCG sector volumes in Europe have posted a positive result. In particular, in the second quarter of 2015 growth in volumes is +0.7%. This, together with dynamic positive prices (+1.7%), has increased FMCG revenues with an overall growth of +2.4%. Of 21 countries, only 11 have posted negative revenues. Most notable is the UK’s negative result due to a decline in prices, which may, however, serve as a prelude to an increase in volumes in the third quarter of 2015. France’s performance is good, and this is also a significant result for Europe’s recovery as a whole.

FMCG SALES IN EUROPE

Value Prices Volumes

0.4% 0.6%

-0.2%

EUROPE

ITALY

SALES TRENDS IN EUROPE

2.4% 1.7% 0.7%

Source: Nielsen, Growth Reporter, Q2 2015

Change Q2 2015 vs. Q1 2015

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Basket trendsAt the end of the first half of 2015, the negative trend concerning the “recession” baskets was confirmed, having been observed gradually from the beginning of the year: Home Cooking and Basics (especially Breakfast), have now ceased to grow, leaving space in Italian shopping carts for Ready-to-Eat and Fast and Easy products. The Ready-to-Eat segment reveals a slowdown in the purchase of indulgent products, on the increase during the golden era of Home Cooking and Basics, a sign that the sacrifices made in the entire shopping cart were compensated by purchasing more from the impulse/indulgent category. Today, however, there are positive signs in the categories that have the biggest impact on receipts, such as the products with service content (e.g. packaged sliced meats, gourmet ready meals and frozen ready meals) of the Ready-to-Eat and Quick and Easy segments. The only group that follows the same past trend is Health and Wellness, a set of products that, mainly thanks to Health Benefits, also grew to double figures in June. The world of Health Benefits is growing thanks to the contribution of Gluten-free products: soy milk, rice milk, pasta and cookies are the categories guiding its growth.

Source: Nielsen, Trade*Mis

BASKET TRENDS IN JUNEDistribuzione Moderna

% Change year ending in June 2015 compared to the previous year concerning quantities (sales at constant prices) and values0

HOME COOKING

BASICS READY-TO-EAT QUICK AND EASY

TRENDY CONSUMPTION

HEALTH AND WELLNESS

-0.3% VOL-2.3% VAL

-0.7% VOL-0.6% VAL

+1.0% VOL+2.3% VAL

+3.7% VOL+3.2% VAL

Basic Dishes (First Courses)

+3.1% VOL+3.9% VAL

First Course Ready Meals

-1.9% VOL-2.6% VAL

Breakfast

+18.7% VOL+15.9% VAL

Main Course Ready Meals

-0.7% VOL+1.0% VAL

+10.1% VOL+10.1% VAL

Happy Hour at Home

+13.9% VOL+8.8% VAL

Gourmet

+7.0% VOL+7.3% VAL

Wellness

+30.6% VOL+28.1% VAL

Health Benefits

-0.9% VOL-0.7% VAL

Snacks/Indulgences

+2.6% VOL+2.7% VAL

+2.6% VOL+2.7% VAL

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VALUE INDEX COMPARED TO JANUARY 2013 ROLLING PERIOD

Year ending in January 2013 = 100, Distribuzione Moderna

FIRST COURSE READY MEALS

SNACKS INDULGENCES

HAPPY HOUR AT HOME

HEALTH BENEFITSWELLNESS

BREAKFAST

BASIC DISHES — FIRST COURSES MAIN COURSE READY MEALS

GOURMET

101.8Jun 2015

98.6128.3

98.6 95.7 105.7

116.8 112.5 162.4

Jun 2015

Jun 2015 Jun 2015

Jun 2015

Jun 2015

Jun 2015 Jun 2015 Jun 2015

Source: Nielsen, Trade*Mis

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Shopping cart changes

Inflation for Q2 2015 is increasing compared to Q1, while downgrading of the shopping cart (change in mix) confirms attempted recovery and remains at the levels of the first quarter of 2015.

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

2011 2012 2013 2014 Q1 2015

Q2 2015

SHOPPING CART CHANGES

Source: Nielsen, Top4Top

3.5%

2.5%

1.7%

0.4%

3.4%

2.2%

1.3%0.9%

1.3%

0.4% 0.3%

0.8%

-1.0%

-1.8%

-1.8%

-0.9%

-0.6%

-0.5%

Change in Mix

InflationChange in Prices

SALES PROMOTIONS

FMCG ADVERTISING

Intensity index %

Data in € million

HYPERMARKET+SUPERMARKET+SELF-SERVICE

30% 29.3%

Q2 2014 Q2 2015

839 8621H 2014 1H 2015

Source: Nielsen, Trade*Mis

Source: Nielsen, BD Adex

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The second quarter of 2015 records an on-going, slightly positive trend in Italy Total, mainly driven by Discount. Hypermarkets, Supermarkets and Self-Service highlight the challenges, in particular concerning Household and Health and Beauty Care (Drug).

Trends by sector and by channel

-2

0

2

4

6

Grocery Food & Bev Drug

+0.4%

-0.2%

+6.0%

+0.5%+0.2%

+6.5%

+0.1%

-2.0%

+3.2%

+10.5%

Total Italy Hypermarket + Supermarket + Self-service

Discount Drug Specialists

Source: Nielsen, Trade*Mis

TREND % VS. VALUEQ2 2015 vs. Q2 2014

Hypermarket + Supermarket + Self-service

PRIVATE LABEL TRENDSQ2 2015 vs. Q2 2014

Private Label Share Value %Hypermarket + Supermarket + Self-servicePrivate Label Intensity Index %

Q2 2014

18.2%Q2 2015

18.4%Q2 2014

22.4%Q2 2015

21.9%

A slight increase in the share of Private Labels, while promotional pressure decreases (promotional trend in line with Grocery Total).

Discount share exceeds the 12%

threshold

%change Jan–Jun 2015 vs. Jan–Jun 2014

+0.5%

€65.9 mFood Distribution

Investments

%change Jan–Jun 2015 vs. Jan–Jun 2014

+7.5%

Flyer Presence Share Stable

Leading Brands

Source: Nielsen, Folder@Net, Share of 100% ongoing flyers

13.6%Private

Labels 8.8%

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ENGAGE THE CONSUMERInsights to engage the consumer in the era of media fragmentation

MEDIA USAGE SOCIAL TV ADVERTISING

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Usage of the main media

-20 -15 -10 -5 0 5 10 15 20 25

AUDIENCE AND TIME% Change Jun 2015 — daily average

TV

Internet via PC

Mobile

Sources: Nielsen Auditel, Nielsen Audiweb, Nielsen Mobile Media, Nielsen BD Adex.

Audience Time

-2.3%

-19.3%

+14.7%

+26.7%

-4.7%

-5.2%

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Despite the strong drive of the Internet, there are still 43  million Italians who watched television in June. As a daily average, around 3 hours 45 minutes were spent watching TV, with an average minute rating of 9 million Italians, slightly down from the June 2014 statistic. The monthly decline, probably also due to changes in weather, is strongly mitigated if the first half of the year is taken into consideration, with an average audience up by 0.7%, while the time spent in front of the TV fell only by 1.8%.

The deployment of the Internet in Italy continues to grow, with 41 million people stating that they have Internet access, i.e. 85.5% of the population aged 11–74 years, up by 1.9% compared to June 2014. The driving force behind this growth is the smartphone, with no less than 30 million Italians who say they use it as a tool to access online content, 19.5% more than last year. On average, nearly 22  million Italians browse the Internet each day, up by 5.9%. More than 60% of 18–34 year olds do this, as well as more than half of 35–54 year olds.

The computer continues to lose its role as a device for online access, with a significant decrease in daily audience (-5.2%) and especially the time spent using it (-19.3%). In  addition, now only 30% of the total time Italians spend online is via a PC.

Driving the growth are mobile devices, such as smartphones and tablets, which compared to last year recorded double-digit growth both in terms of audience (+14.7%) and time spent daily using them (+26.7%). Daily averages of mobile access exceed that of PC by 40% and almost 40  minutes more are spent on the Internet browsing from a smartphone or tablet. Finally, it is interesting to note that 85.5% of this time is via app use.

TV INTERNET PC MOBILE

Smartphones and tablets are increasingly present in the life of Italians

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Social TV

The second quarter ended with 12 million Tweets on TV. 2.2 million less than in Q1. 2.2 million is exactly the number of Tweets posted about Sanremo. Excluding Sanremo, the trend is consistent with the previous quarter. Talent/reality is a particularly significant genre. Interesting numbers for talk-shows, particularly political ones. Sport, despite occupying only 5% of TV schedules, has generated 25% of Twitter TV activity.

THE METRICS OF SOCIAL TVSocial activity follows the TV program schedule

Unique Author Cumulative TweetNet (Millions)

Unique Audience Cumulative ImpressionMedia Quot. (Millions)

J F M A M J J F M A M J

J F M A M J

293,000

382,200334,000

302,000353,000

275,300

J F M A M J

3.4

6.4

4.33.6

4.9

3.4

283,000332,100

299,000284,000313,000

233,000

193

433

223 188249

126

Source: Nielsen Twitter TV Ratings, January–June 2015

DATA FOR BROADCASTERSCanale 5 is the network that has collected the most Tweets and Impressions, with the successes of Amici (also strong in the afternoon session broadcast in Real Time), Isola dei Famosi and the Champions League. Of the Free-to-Air services are Raiuno, thanks to the Festival of Sanremo, then Raidue, driven by the results of The Voice. The large following of political talk and in-depth programs on Twitter, has rewarded La7 and Raitre. On pay-TV platforms, there are large numbers for talent shows, particularly with Masterchef and Italy's Got Talent on Sky Uno, good results for the TV series broadcast by Sky Atlantic and Fox Life. On pay-TV platforms there are also channels emerging that broadcast national and international soccer (Sky Sport e Calcio, Mediaset Premium and Fox Sports), followed by dedicated channels for motor sports (in particular Sky F1 and Sky Moto GP) and other sports such as tennis and cycling (Sky Sport and Eurosport again).

SOCIAL TV AND BRAND

In the second quarter, the overlap measured by Nielsen Social between Twitter TV Authors, and Brand Authors was 58%. 230,000 users posted at least one Tweet about a TV program and at least one Tweet about one of the 500 brands in this survey. Telecommunications, Food and Beverages are the industries that record the largest number of authors common to both brand and TV programs.

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The advertising market

In the first half of 2015, overall advertising income on the web in Italy exceeded a billion, more precisely €1.06  billion, covering 26%

of total investment, recording an increase of nearly 2  p.p. compared to the same period in 2014.

In the first half of 2015, advertising trends, including the estimate of web revenues not currently monitored (primarily search and social), was down by 0.2% compared to the same period in

2014. TV, which was most affected by the absence of world football championships, ended the cumulative period of January–June down by 3.0%.

Good signals from Out of Home. This was up by 8.2% thanks to the campaigns

dedicated to Expo 2015.

ADV. SHARE BY MEDIUM

47TV

26INTERNET

15PRINT

5RADIO

7OTHER

Source: Nielsen, estimated net advertising investments.

(Direct mail, Cinema, and Out-of-Home

are included under “Other”)

% CHANGE ADV. BY MEDIUMJan–Jun 2015 vs. 2014

Source: Nielsen – AdEx estimate of the advertising market in the first half of the year of 2014 vs. 2015 — inclusive of all types of Internet advertising, comprising the Nielsen estimate of the Total Digital medium

TV

TOT. MARKET

INTERNET

PRINT

RADIO

OUT OF HOME

CINEMA

DIRECT MAIL0

-0.2%

-3.0%

8.0%

-6.3%

7.5%

8.2%

-0.2%

-4.2%

-0.2 +8.2

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GIOVANNI FANTASIAManaging Director Italy & Greece

[email protected]

RAFFAELLA BOGLIARDIInnovation Practice Manager

[email protected]

STEFANO RUSSOSenior Business [email protected]

SANDY SUARDIBusiness Consultant

[email protected]

MARZIA ZOPPIRetailer Services Associate Manager

[email protected]

BARBARA SALVAGNOClient Service Executive

[email protected]

MICHELA MAIELLOClient Service Executive

[email protected]

OMBRETTA CAPODAGLIOMarketing & Communication Manager

[email protected]

For comments and details please contact the authors of this edition of Winning Perspectives

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Nielsen Insights

Twitter @NielsenItaly

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