AMIT SETH EVP, GLOBAL MEDIA PRODUCTS NIELSEN

OCTOBER 2013

YOUR MUST-KNOW LIST ABOUT THE FUTURE OF VIDEO ADVERTISING

#videoads

DAVE MORGAN CEO AND FOUNDER SIMULMEDIA

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THE COMING CHALLENGES AND OPPORTUNITIES

WHAT WILL THE POTENTIAL REVOLUTION AND

EVOLUTION OF THE CROSS-SCREEN VIDEO MARKETPLACE LOOK LIKE IN THE COMING YEARS?

TV THOUGHT LEADERS DIGITAL THOUGH LEADERS

CANDID CONVERSATIONS AROUND THE FUTURE OF VIDEO ADVERTISING

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WHAT WE HEARD

TV isn’t going away any time soon, but we also need to engage digital

audiences

Each platform is still too silo’ed

TV THOUGHT LEADERS DIGITAL THOUGH LEADERS

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4

VIDEO IS BECOMING EVEN MORE ACCESSIBLE

Nielsen Cross-Platform Report, Q1 2013.

TV’s have been in US homes since the 1950s and today, 283 million Americans spend more than 34 hours per person watching TV each week.

3/4ths of American households have affordable, high-speed Internet access

Since 2010, the number of users streaming video through mobile phones has more than doubled, from 20 million each month in Q1 2010 to 45 million in Q1 2013.

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WHERE DO YOU FIT? Poll Question

What part of the industry do you work in?

A) Advertiser/brand B) Agency C) TV Network D) Online Publisher/Ad Network

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VIDEO AD MARKET EXPANDING, BUT SEPARATE

Global video ad spend in 2012 was $350 billion,

a 4.3% increase over the previous year.

Nielsen Global AdView Pulse

BUYING AND SELLING PROCESS

Trust Traditional

Programmatic

DIGITAL TV

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MORE DATA, MORE AUDIENCE GRANULARITY

DATA-DRIVEN AUDIENCE-BASED

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INDUSTRY WANTS END-TO-END MEASUREMENT

REACTION How did it change

behavior?

RESONANCE How did it

change attitudes?

REACH Who did my

program or ad reach?

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COMMON MEDIA METRICS USED TODAY

ONLINE TV

SALES

Impressions

Visitors

Unique Visitors (Unduplicated Reach)

Cost-per-click

Cost-per-acquisition

Impressions (GRPs)

Brand Lift

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ADDITION OF GRANULAR AND CROSS- PLATFORM METRICS TIED TO SALES

REACH

RESONANCE

REACTION

ONLINE TV

Impressions

Visitors

Unique Visitors (Unduplicated Reach)

Cost-per-click

Cost-per-acquisition

SALES

Viewers Reached

Unique Viewers Reached

Purchase Data and Behavioral Targeting

Customer Data

Impressions (GRPs)

Cross-Platform Metrics

End

-to

-En

d M

easu

rem

ent

Brand Lift Brand Lift

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WHAT ARE THE RESULTS OF MY CAMPAIGN?

INDUSTRY ASK:

Placements more accurately identified, valued, and leveraged—and done so in real-time

More robust feedback loop

IMPLICATION:

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WHAT DO YOU NEED? Poll Question

What metrics are MOST important to you to get in real-time today?

A) Reach and Frequency B) Resonance Metrics C) Reaction Metrics

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CONVERGENCE ACROSS SCREENS

Source: MyersBizNet Media and Marketing Investment Data and Forecasts, 1/30/2013.

$6B

$69B $75B $16B

2016

$83B

$33B

TV Digital Video

Digital Video

TV TV Digital Video

LITTLE CROSS-CHANNEL BUYING COORDINATION. NO INTEGRATION

2013

FULL CROSS-CHANNEL COORDINATION & INTEGRATION

2020

SOME CROSS-CHANNEL COORDINATION & INTEGRATION

Audience-Based

Programmatic

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HOW LONG WILL IT TAKE? Poll Question

How many years do you think it will take to get to full convergence?

A) 5 Years B) 7 Years C) 10 Years D) 15 Years E) 20 or More Years

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CONVERGENCE WILL TAKE PLACE…EVENTUALLY Obstacles exist today that are slowing this process of convergence

We must embrace video as a cross-platform medium

INFRASTRUCTURE TECHNOLOGY CAPABILITIES

DATA LIMITATIONS

Separate buying/selling structures Separate Up Fronts/New Fronts

Broadband volume Measurement technologies

Consistent metrics Granularity across platforms

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WHERE WE’RE HEADED

METRICS ECONOMY

CONSIDERATIONS FOR TV AND DIGITAL

STATE OF CONVERGENCE

MODERATOR

Amit Seth EVP, Global Media Products Nielsen

PANEL

Dave Morgan CEO and Founder Simulmedia

Lauren Wiener President, Global Sales and Marketing Tremor Video

Brian Wieser Senior Analyst Pivotal Research Group

Paul Marcum Director, Global Digital Marketing & Programming GE

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ADDITIONAL INFORMATION

• LEARN MORE as Nielsen and the ANA discuss the results of our recent industry survey on multi-screen advertising effectiveness:

• Webcast: Optimizing integrated multi-screen campaigns

• Date: Thursday, November 21

• Time: 10:00 am - 11:00 pm Pacific / 1:00 pm - 2:00 pm Eastern

• Register: http://tinyurl.com/Nielsenmulti-screen

#videoads