Evolving Digital Metrics The vgrp & improved online campaign measurement. ALEX BANKS, MD Brazil - VP Latin America December 2012

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1 Evolving Digital Metrics The vgrp & improved online campaign measurement ALEX BANKS, MD Brazil - VP Latin America December 2012

2 comscore is a Global Leader in Measuring the Rapidly Evolving Digital World, Blanketing the Globe with a Local Presence NASDAQ Clients SCOR Employees 900+ Headquarters Global Coverage worldwide Reston, VA 170+ countries under measurement; 44 markets reported Local Presence 32 locations in 23 countries 2 V1011

3 Transformation to a Digital Business Analytics Company AUDIENCE ANALYTICS Audience Measurement: Web, Mobile, 4 Screen Online Ad Campaigns & Video ADVERTISING ANALYTICS Campaign Planning Campaign Validation Ad Effectiveness: Target Delivery, Exposure Verification Branding & ROI Impact Digital & Cross Media WEB ANALYTICS Digital Analytix MOBILE & NETWORK ANALYTICS Network Optimization & Capacity Planning ISP speed testing IOS & Android share Custom Solutions 3 V1011

4 Comprehensive Suite of Products, Services and Capabilities in Brazil Online Audience Measurement & Rankings Online Advertising Rankings, Competitive Placement & Digital Creatives Media Planning & Analysis Audience Delivery/Exposure Verification & GRPs Ad Network Reach Reporting, Target Delivery, Visualization Auditing & Brand Safety Protection Online Advertising Effectiveness Research Lift in Brand Awareness, Visitation, Search etc. Brand Tracking/Awareness Surveys Custom Market Research & Strategic Briefings Premium Web Analytics / BI platform E-commerce & Online Payments Share Social Media ROI & Video Measurement Insights on Mobile & Connected Devices ISP Market Share & Speed-testing 4 V1011

5 A Commitment to Campaign Measurement comscore was the first to introduce digital campaign-level overnight metrics, in 2010 But even then we were focused on the viewable impression 5

6 Demographics Come From People Not Cookies Unlike other systems, comscore derives demographics for ad campaigns in the exact same way we derive website demographics from our global 2 million person panel People, and not cookies, have ages, genders and interests (automotive, retail, travel, beauty etc.) We know from analyses against our panel that cookie-based age/gender assignments can be wrong 31% of the time, because of cookie-sharing (multiple users on the same computer) I m a woman. How can you tell? 6

7 Branding advertisers on TV are accustomed to audience guarantees and expect the same in digital Accuracy of cookie-based digital plan delivery is problematic: Cookie Deletion Cookie Proliferation X Cookies Are Not People 7 Source: comscore 2011

8 Cookies Can t Accurately Identify Who is Using a Computer at any Given Point in Time due to Multiple Users Over 64% of home users share a computer with other users 3+ users 32% 1 user 36% 2 users 32% 8

9 Cookie Deletion is a Global Reality and a Global Challenge Accurately counting reach with cookies is not possible, yet is currently the method used in most ad servers and analytics systems Ad Server Cookies Country Percent of computers deleting Average # of cookies per computer for same campaign Australia 37% 5.7 Brazil 40% 6.6 U.K. 35% 5.9 U.S. 35% 5.4 9

10 A Meeting of the Minds The Top-2 3MS Principles 1. Shift from a served to a viewable impression standard 2. Introduce an online Gross Ratings Point metric, providing reach and frequency reporting of viewable impressions vce was engineered to provide campaign-level reach, frequency, and GRP metrics based on Validated impressions Validation includes Viewability And also brand safety, in-geo, and filtration of NHT 10 Source:

11 comscore was the first vendor to be MRC accredited (blog) Source: 11

12 How does vce work? A single ad tag is appended to every creative to provide a complete view of campaign delivery comscore s global two million person panel is used in conjunction with census-data to validate target audience delivery in-view in geography near brand safe content without non-human traffic right audience Age Gender Region State 70+ Behavioral Segments 12

13 vce Charter Study: US and Europe Big Advertisers Came Together to Lead & Learn US 18 campaigns 2 billion impressions 400,000 sites EUROPE 15 campaigns 640 million impressions 213,000 sites Allstate 13

14 vce Charter Study: In-view Rates Need to Be Improved US 69% AVERAGE EU 67% AVERAGE Campaign In-view ad rates ranged from: US 55% to 93% EU 64% to 72% 14

15 vce Charter Study: Opportunity for improvement at the largest sites 7% 69% 98% In-View ad rates across Top 500 US sites MINIMUM AVERAGE MAXIMUM 0.2% 63% 100% In-View ad rates across top 100 EU sites MINIMIUM AVERAGE MAXIMUM 15

16 Large sites scored better than long-tail sites Percentage of Ads Served In-View 77% 74% 70% 66% 63% 61% 61% 55% US EU 16

17 Digital Ad Economics: The Good Guys Aren t Necessarily Winning Low correlation of In-View Rates & CPM R²= An equally as weak correlation was also observed between CPM and ability to hit a primary demographic target 17

18 vce Charter Study: Ads Often Fall Outside of Desired Geography US 4% of ads were served outside geography. Up to 15% of ads on a given campaign EU 7% of ads were served outside geography. Up to 27% of ads on a given campaign About half of geographic waste was not only out of target but also out of language 18

19 vce Charter Study: Ads Often Served in inappropriate brand content US 92,000 people In the US EU 21,000 people In the EU Limited number of people, but big potential negative impact 72% and 67% of US and EU campaigns had impressions served in inappropriate brand content 19

20 vgrp can provide more accurate analysis of campaign effectiveness in Marketing Mix Models 100 GRP: Negative Correlation vgrp: Positive Correlation GRP Sales vgrp Sales Month 1 Month Month 1 Month

21 There is good news for advertisers and publishers Analogous to TV audience guarantees Eliminating unseen online inventory supply results in: More effective / efficient campaigns and less waste for advertisers More accurate metrics for market mix models Better proof of digital ad effectiveness Increased transparency/accountability means increased confidence in digital. leading to more branding ad spending moving online 21

22 vce Multi-Platform

23 The Next Big Thing: Multi-Platform Media Measurement 23

24 Web Access Is Fragmenting Across Multiple Devices At An Accelerating Pace 100,0% 98,0% 96,0% 94,0% 92,0% Share of U.S. Web Page Views by Platform 7% from Non- PCs 12% from Non- PCs 90,0% 88,0% 86,0% 84,0% 82,0% Other Tablet Mobile PC 80,0% 24

25 validated Campaign Essentials Multi-Platform vce Multi-Platform is a ground-breaking campaign delivery validation solution that measures the performance of advertising across platforms TV, Web (display and video), Mobile (sites and apps on smartphones and tablets) De-duplicated view of ad exposures across platforms Incremental person-based reach, frequency and GRP of each platform vce Multi-Platform has been tested on several blue chip marketers campaigns and is now in an beta period through the rest of

26 Why vce Multi-Platform? 1. Census measurement for multi-screens The key to cross-platform measurement is projection of overlap Census metrics allow for sufficiently granular intelligence on overlap 2. People-based measurement (not cookies) of the digital component for actionable reach, frequency & GRPs 3. Viewable ads on the web for display, which aligns with the notion of TV s opportunity to see Allowing for true-cross-media comparability 4. Mobile as well as TV and PC-based internet measurement is included 26

27 Next Measurement Challenge: Measuring Media Consumption Across Multiple Platforms Average Time Spent Per Day Following Olympics 4hr 19min 5hr 18min 50 min 6hr 50min 51 min 59 min 8hr 29min 47 min 40 min 55 min Tablet Mobile PC 4hr 19min 4hr 28min 5hr 6hr 7min TV TV Only TV + PC/Laptop TV + Only PC TV + PC + Mobile TV + PC/Laptop + Mobile Only TV + PC/Laptop + Mobile + Tablet TV + PC + Mobile + Tablet Source: comscore Olympics Single Source Multi-Platform Study. A18+. 7/27/12 8/12/12. Total Day. Screen Status Definitions: TV+PC Only = Followed the Olympics on TV and PC but not on Mobile comscore, or Tablet, Inc. Proprietary. TV+PC+Mobile = Followed 27 the Olympics on TV, PC and Mobile but not on Tablet, TV+PC+Mobile+Tablet = Followed the Olympics on all 4 screens.

28 Case Study: Frozen Vegetable Brand Web and Online Video Add 12.2 Reach Points on Top of TV Alone 70% Multi-Platform Reach 60% 50% 40% Total TV Web Online Video 12.2% 59,2% 47,0% 30% 20% 19,2% 10% 0% 2,1% 28

29 While vce Multi-Platform is only available in the US today, we are in a position for it to expand worldwide in 2013 comscore MMX is available today in 44 countries We ve already done vce work in most of them 29

30 Thank you! ALEX BANKS MD Brazil - VP Latin America

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