Insights from Consumer. Olympic Research Labs. Horst Stipp SVP, Strategic Insights and Innovation, NBC Universal Research Columbia University May 2010
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1 Evolution of Cross-Platform Media Use in the United States Insights from Consumer Research and NBC Universal ss Olympic Research Labs Horst Stipp SVP, Strategic Insights and Innovation, NBC Universal Research Columbia University May 2010
2 Growth of Media Technologies PPV Internet Portable Video Devices Digital Cable VOD Texting 1950s 1960s 1970s 1980s 1990s HD DVRs Broadband Pay TV 8 hrs 41 min Digital Satellite HDTV DVD Sling box Widgets
3 Technology Ownership: % Change % of US Households (end of year 2008)* (Project. Change ) ± % 5 Sources: Household Penetrations based on 2008 SNL Kagan, SNL Financial LC estimates, Veronis Suhler Industry Forecasts 2008, MAGNA Global On-Demand Quarterly Q3 08, Forrester: The State of Consumers and Technology Benchmark 2008, 2009 Consumer Electronics Association- U.S. Sales and Forecasts January 2009 and November 2008 Nielsen Media Universe estimates average. Projections: NBC Research * Mobile phone and Smartphone ownership based on % of US Population; mobile internet and mobile video video based on % of wireless subscribers ** HD Receiving numbers based on Nielsen s estimates of HHs that receive at least one HD channel, regardless of subscription; Feb 09 penetration at 29%
4 NBC Universal s Olympic Research Labs Olympic Research Opportunities Deep Content t Distribution ib ti Across All Platforms Television Platforms Broadcast Network 3 Cable Networks Internet Website with Video Mobile WAP, APP Video Clips Huge Scale of Consumer Use Across 17 Days
5 Research Summary Th C t The Contemporary Media Consumer
6 (1) Increase in TV Viewing Despite Growth of Internet Average Monthly Uniques Total Internet (in Million) TV Usage Live PUT + DVR Playback Teens Persons (18-24) Persons (18-49) Source: Nielsen Media Research, Live +7 Days; Calendar Years; 2006 & 2008 include Live PUT rating plus DVR playback; ComScore. 6
7 Impact of Digital Cable: Increased Number of Available Channels Source: NTI Adumeter Sample, Feb and National People Meter sample, Feb and Sept 1990-present, Includes broadcast and cable. 7
8 HD is Giving TV a Boost 93% of HD viewers agree Watching the Olympics in HDTV adds to my enjoyment of the games Source: NBC Research; survey August 2008 (Beijing Olympics) 8
9 Olympics: More Screens = More TV Viewing TV Viewing by Screen Status (Index of TV Ratings) A18+ M18+ W18+ A18-49 M18-49 W18-49 A25-34 TV Only TV & Internet Source: Arbitron cross-platform panel. Based on 2,596 in tab (12 of 17 days in tab) A18+ panelists w/ broadband in 30 mkts. TV Viewing from 7:30 PM 2/12/10 to 6:00 AM 2/19/10. Olympics Exposed = 2,158 panelists who followed the Olympics on TV and/or Online. Underlying numbers: A18+ Both Rtg 8.79 (n=177), A18+ TV Only Rtg 4.26 (n=1970); M18+ Both Rtg 8.86 (n=74), M18+ TV Only Rtg 4.35 (n=824); W18+ Both Rtg 8.73 (n=103), W18+ TV Only Rtg 4.18 (n=1146); A18-49 Both Rtg 7.60 (n=82), A18-49 TV Only Rtg 3.56 (n=993); M18-49 Both Rtg 7.24 (n=33), M18-49 TV Only Rtg 3.67 (n=395); W18-49 Both Rtg 7.85 (n=49), W18-49 TV Only Rtg 3.44 (n=598);
10 (2) Internet and Multi-Platform Use is Becoming Mainstream 82 Percent of Age Group TV Only TV & Internet Internet Only Any Mobile A18-64 A18-49 A18-34 Source: Beijing; Knowledge Networks Total Touch study (8/8-8/24). Based on To Date cume, Persons who were reached by ANY NBCU Olympics Platform. CD.
11 Simultaneous Cross Platform Use is normal for Consumers over 50 Simultaneous Users during Olympics 36% 30% 34% A18-34 A35-49 A50+ Source: Vancouver Olympics; Arbitron cross-platform panel of Adults with Broadband in 30 major markets Febr 2010; use TV and Internet at same time
12 (3) Growth of Online Video Unique Viewers (in millions) Dec-08 Jan-09 Oct-08 Nov-08 Aug-08 Sep-08 Oct-05 Nov-05 Dec-05 Jan-06 Feb-06 Mar-06 Apr-06 May-06 Jun-06 Jul-06 Aug-06 Sep-06 Oct-06 Nov-06 Dec-06 Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07 Jul-07 Aug-07 Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 comscore Source: comscore VideoMetrix
13 Impact on Online Viewing on Primetime Shows 5% 6% 9% 95% 94% 91% Online= NBC.com and Hulu % Online Viewing Source: Omniture; episode starts to total program for week after air/ Hulu Partner Portal episode views to total program week after air; Nielsen P2+ L7 Reach; average of all weeks to date; 13 NBC Research May 2009
14 Reasons for Watching TV Shows Online Watched an episode that I missed on TV Watched a program that I hadn t watched before on TV Watched an episode again that I had already watched on TV Other Source: NBC Rewind Intercept Study; 4Q08
15 (4) Mobile Video is Starting to Take Off Mobile Videos Streamed Beijing vs. Vancouver +564% 2,000, , Source: Omniture
16 (5) Consumers expect Multi-Platform Content % Agree By offering content online and on mobile as well as on television, NBC is making the Olympics more convenient to follow I think Olympics content should be available online and on mobile phones in future Games The Olympics should only be available on television Total Olympics Viewers TV & nbcolympics.com Source: Beijing; Knowledge Networks/SRI Olympics Daily study, Day 11, Monday, Aug. 18.
17 Measuring Multi- Platform Media Use: If We Can t Measure It, We Can t Sell It
18 TAMi Cross-Platform Measurement Rentrak Set Top Box Uniques VOD Omniture & Carriers WAP Uniques & Mobile VOD MOBILE Omniture Online Uniques ONLINE Nielsen Media Research P2+ Reach (NBC Network & NBCU Cable) TELEVISION
19 Single Source Cross-Platform Measure during Vancouver NO OOH YES HOME WORK Single Source 2-Screen Measurement HOME NO OOH YES HOME
20 A Day In The Olympic Media Life (Beijing): Miami Female, 23 Years Old - Monday 8/11/08 NBC TV Network nbcolympics.com nbcolympics.com - Mobile USA Network 6:00 AM 7:00 AM 8:00 AM 9:00 AM 10:00 AM 11:00 AM 12:00 PM 1:00 PM 2:00 PM 3:00 PM 4:00 PM 5:00 PM 7:00 PM 8:00 PM 9:00 PM 10:00 PM 11:00 PM 12:00 AM Source: NBC Research/iMMi, 2008; data summary
21 Studies Show Cross-Platform Effectiveness (NBC TV plus NBC Online Video) Same-Brand/Product Exposure 54% 73% 36% 59% 28% 39% 20% 44% 67% 81% General Recall Brand Recall Message Recall Likeability Brand Linkage NBC TV only TV + Rewind Source: Nielsen IAG, P13+, 11/8/07-6/3/08, NBC Primetime only, Inclusive of brands/products that also ran tagged ads on NBC.com Rewind (see list below); Based on time period(s) for advertisers where impressions were also being delivered on NBC.com Rewind for same brand and product; TV+Rewind sample = 174; TV Only sample = 30,250 21
22 Thank you for your Attention! Horst Stipp, Ph.D., SVP, Strategic Insights & Innovation, NBC Universal, New York
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