SHIFTS IN VIEWING THE CROSS-PL TFORM REPORT SEPTEMBER 2014 THE CROSS-PL TFORM SERIES 2014
WELCOME DOUNI TURRILL SVP INSIGHTS, NIELSEN With much talk of an evolving media landscape, the acceleration in device adoption and delivery platforms and shifts in viewing patterns, we sometimes forget to let the numbers speak for themselves. Today we are challenged with an important transition in how media is consumed. We know that traditional television viewing on a TV screen is down, especially for younger viewers, but we also know that overall media consumption is up and growing, driven by an impressive growth in digital video viewing. With this in mind, we should be looking at the consumer s relationship to media in a different way. Letting the numbers speak for themselves we see that viewers of all ages, ethnicities and races are opting to shift some of their viewing. THIS CONTINUING SHIFT SHOULD BE EMBRCED S N OPPORTUNITY. IT S NOT BOUT WINNERS ND LOSERS, IT S BOUT THE OPPORTUNITY TO ITERTE ND REDEFINE THE RULES OF THE GME. Driven by younger viewers initially but embraced by older viewers increasingly, consumers are device and platform agnostic looking for quality, professionally produced long form programs to connect with at home or on the go. Today, content is delivered and consumed through competing delivery platforms, networks and screens. Never before have we seen this level of fragmentation and yet, the sum total of media consumed is growing. In fact, year over year among the younger 18-34 demo media consumption has grown four percent overall, two percent among Hispanics, eight percent among Blacks, and ten percent among sians. 2 Copyright 2014 The Nielsen Company
This change is primarily driven by the growth in digital both on computers and mobile devices, led by an outstanding growth in digital video viewing on these devices. We are seeing year over year overall growth in digital use of sixteen percent among persons 18-34 with fifty-three percent growth in digital video viewing. Yet, it s not just a young versus older story. This impressive growth in digital is even more marked among 35-49 year olds and among 50-64 year olds. Technology has enabled increased choice and consumers have become accustomed to controlling the wide array of content at their fingertips. t the core of it all is the consumer experience in interacting and accessing that content. Some people will want their content live on their TV screen delivered via a traditional or broadband enabled connection, some will want to watch it at a different time, while others will increasingly look for it on the go and on demand on their mobile devices. With smartphones topping seventy percent penetration and tablets inching toward the fifty percent mark, the growth in digital consumption can only increase. This represents a unique opportunity for video producers, TV networks, studios and pure-play digital video players alike, who can leverage the different platforms to deliver their content. We will continue to see differences in the type and quantity of media consumed by different age groups as well as by race and ethnicity on different platforms. Yet, the overarching data suggests that the growth of media consumption is and will continue to be in digital for all consumers. We can surmise that having tasted the freedom of choice the merican consumer will not go back to old ways. DOUNI THE CROSS-PLTFORM REPORT 2014 3
HOW THE VIEWING LNDSCPE IS CHNGING MEDI TIME IS INCRESING FUELED BY DIGITL GROWTH 8 +60% HOURS PER DY 6 4 +53% +80% 2-2% -1% -2% 18-34 35-49 50-64 DIGITL VIDEO 2013 2014 2013 2014 4 Copyright 2014 The Nielsen Company
LOOK CROSS MULTICULTURL SEGMENTS: DILY TIME SPENT TOTL U.S. DIGITL VIDEO 35 MINUTES 23 MINUTES 18-34 4 HRS 17 MINUTES 4 HRS 22 MINUTES 19 MINUTES 4 HRS 27 MINUTES 2014 2014 DIGITL VIDEO 2013 2013 26 MINUTES 14 MINUTES 35-49 4 HRS 57 MINUTES 5 HRS 01 MINUTE 2012 2012 13 MINUTES 5 HRS 05 MINUTES DIGITL VIDEO 19 MINUTES 11 MINUTES 50-64 6 HRS 12 MINUTES 6 HRS 18 MINUTES 09 MINUTES 6 HRS 07 MINUTES BLCK DIGITL VIDEO 48 MINUTES 27 MINUTES 18-34 6 HRS 12 MINUTES 6 HRS 07 MINUTES 23 MINUTES 6 HRS 21 MINUTES 2014 2014 2013 DIGITL VIDEO 2013 2012 29 MINUTES 18 MINUTES 35-49 7 HRS 16 MINUTES 7 HRS 27 MINUTES 2012 19 MINUTES 7 HRS 17 MINUTES DIGITL VIDEO 25 MINUTES 20 MINUTES 50-64 9 HRS 25 MINUTES 9 HRS 22 MINUTES 14 MINUTES 9 HRS 01 MINUTE THE CROSS-PLTFORM REPORT 2014 5
LOOK CROSS MULTICULTURL SEGMENTS: DILY TIME SPENT HISPNIC DIGITL VIDEO 35 MINUTES 27 MINUTES 21 MINUTES 18-34 3 HRS 46 MINUTES 3 HRS 58 MINUTES 4 HRS 0 MINUTES 2014 2014 2013 2012 DIGITL VIDEO 26 MINUTES 15 MINUTES 15 MINUTES 35-49 4 HRS 15 MINUTES 4 HRS 21 MINUTES 4 HRS 30 MINUTES 2013 2012 DIGITL VIDEO 24 MINUTES 19 MINUTES 50-64 5 HRS 13 MINUTES 5 HRS 11 MINUTES 14 MINUTES 5 HRS 39 MINUTES SIN DIGITL VIDEO 51 MINUTES 38 MINUTES 18-34 2 HRS 42 MINUTES 2 HRS 40 MINUTES 31 MINUTES 3 HRS 10 MINUTES 2014 2014 2013 DIGITL VIDEO 2013 2012 31 MINUTES 23 MINUTES 35-49 2 HRS 51 MINUTES 2 HRS 52 MINUTES 2012 18 MINUTES 3 HRS 01 MINUTE DIGITL VIDEO 29 MINUTES 22 MINUTES 50-64 3 HRS 45 MINUTES 3 HRS 48 MINUTES 15 MINUTES 3 HRS 58 MINUTES 6 Copyright 2014 The Nielsen Company
WHT S DRIVING GROWTH ND CHNGE N EVOLVING MEDI LNDSCPE ONE SET 15% TWO SETS 27% THREE SETS 25% FOUR OR MORE 34% TV 96% HD TV 87% DVD PLYER 82% PC WITH INTERNET 81% SMRTPHONE 72% Digital Video DIGITL CBLE 54% DVR 49% GME CONSOLE 46% TBLET 39% TV Screen STELLITE 30% MULTIMEDI DEVICE 12% ENBLED SMRT TV 11% TELCO 11% BRODCST ONLY 10% BRODBND ONLY 2% THE CROSS-PLTFORM REPORT 2014 7
CLOSER LOOK T THE DT EXHIBIT 1 - VERGE TIME SPENT PER DULT 18+ PER DY 0:11 2014 4:36 0:31 1:07 1:25 2:45 0:03 0:09 0:09 2013 4:48 0:27 1:01 1:04 2:48 0:09 0:09 2012 4:45 0:25 1:03 0:48 2:52 0:09 LIVE TV WTCHING TIME-SHIFTED TV USING DVD/BLU-RY DEVICE USING GME CONSOLE USING INTERNET ON COMPUTER USING SMRTPHONE LISTENING TO M/FM RDIO USING MULTIMEDI DEVICE 8 Copyright 2014 The Nielsen Company
TBLE 1 WEEK IN THE LIFE; BSED OFF THE TOTL US POPULTION WEEKLY TIME SPENT IN HOURS : MINUTES BY GE DEMOGRPHIC K 2-11 T 12-17 18-24 25-34 35-49 50-64 65+ P 2+ 18+ BLCK 2+ HISP. 2+ SIN 2+ On Traditional TV 22:07 18:58 19:01 24:24 30:17 40:22 47:27 30:50 33:35 44:57 26:07 16:42 Watching Time-Shifted TV 2:18 1:50 1:43 3:11 3:45 3:55 3:14 3:04 3:20 2:49 2:08 1:56 Using a DVD/ Blu-Ray Device 1:46 1:00 0:49 1:20 1:05 0:58 0:36 1:05 0:58 1:13 1:01 0:46 Using a Game Console 2:41 3:55 3:12 2:21 0:58 0:19 0:06 1:36 1:10 1:49 1:43 0:55 Using a Multimedia Device 0:25 0:18 0:29 0:33 0:26 0:14 0:12 0:22 0:22 0:12 0:14 1:00 Using the Internet on a Computer 0:23 0:43 4:54 6:25 7:46 5:37 2:50 4:34 5:42 4:52 3:15 4:38 Watching Video on Internet 0:20 0:26 1:58 2:02 1:49 1:06 0:21 1:11 1:25 1:32 1:02 1:27 Using any pp/ Web on a Smartphone n/a n/a 9:21 9:40 8:29 5:11 1:13 n/a 6:36 9:51 9:26 8:03 Watching Video on a Smartphone n/a n/a 0:26 0:17 0:12 0:05 - n/a 0:11 0:22 0:21 0:16 Listening to M/FM Radio n/a 7:27 10:36 11:43 13:59 15:00 12:10 12:33 13:04 13:03 12:41 n/a THE CROSS-PLTFORM REPORT 2014 9
TBLE 2 OVERLL USGE BY MEDIUM NUMBER OF USERS 2+ (IN 000 S) MONTHLY RECH COMPOSITE BLCK HISPNIC SIN 14 13 14 13 14 13 14 13 On Traditional TV 284,425 282,657 37,518 36,870 48,551 47,207 15,052 15,676 Watching Time-shifted TV 175,215 167,109 22,415 20,161 24,686 22,210 8,136 8,221 Using a DVD/Blu-Ray Device 140,142 141,496 16,328 16,464 23,137 22,960 6,913 7,321 Using a Game Console 94,456 94,019 11,820 11,669 17,518 17,436 5,483 5,505 Using a Multimedia Device 23,425 n/a 1,538 n/a 2,953 n/a 3,022 n/a Using the Internet on a Computer 196,849 203,932 24,701 24,359 26,439 27,127 7,798 7,385 Watching Video on Internet 145,469 149,813 18,436 17,805 19,061 20,052 6,247 5,903 Using any pp/web on a Smartphone 157,092 132,235 19,824 16,994 28,772 24,491 9,221 8,027 Watching Video on a Smartphone 114,372 96,929 15,994 14,040 23,191 20,144 6,944 6,175 Listening to M/FM Radio 258,980 257,787 33,058 32,757 42,535 42,007 n/a n/a TBLE 3 MONTHLY TIME SPENT BY MEDIUM USERS 2+ IN HOURS: MINUTES COMPOSITE BLCK HISPNIC SIN 14 13 14 13 14 13 14 13 On Traditional TV 142:38 146:37 206:03 206:47 117:58 121:28 83:02 86:37 Watching Time-shifted TV 14:13 12:35 12:54 9:23 9:39 8:45 9:38 9:00 Using a DVD/Blu-Ray Device 5:00 5:10 5:35 6:05 4:38 4:54 3:51 4:20 Using a Game Console 7:24 6:27 8:21 7:22 7:44 7:12 4:35 4:46 Using a Multimedia Device 1:42 n/a 0:55 n/a 1:02 n/a 5:00 n/a Using the Internet on a Computer 30:07 27:21 33:23 28:37 26:26 22:46 43:54 35:13 Watching Video on Internet 10:35 6:28 13:59 9:00 11:43 8:17 17:14 12:23 Using any pp/web on a Smartphone 43:31 32:48 52:40 38:36 49:09 38:54 42:43 32:48 Watching Video on a Smartphone 1:41 1:09 2:30 1:30 2:20 1:45 1:53 1:25 Listening to M/FM Radio 59:19 60:59 61:42 63:22 58:45 60:07 n/a n/a 10 Copyright 2014 The Nielsen Company
TBLE 4 MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES MONG COMPOSITE K 2-11 T 12-17 18-24 25-34 35-49 50-64 65+ P 2+ On Traditional TV 102:54 86:39 96:53 117:20 138:27 180:56 211:55 142:38 Watching Time-shifted TV 10:40 8:21 8:43 15:19 17:08 17:33 14:28 14:13 Using a DVD/Blu-Ray Device 8:12 4:33 4:09 6:25 4:58 4:21 2:39 5:00 Using a Game Console 12:31 17:52 16:17 11:17 4:24 1:27 0:28 7:24 Using a Multimedia Device 1:57 1:22 2:27 2:41 1:57 1:04 0:53 1:42 Using the Internet on a Computer 4:49 6:47 31:43 35:36 39:21 32:53 22:26 30:07 Watching Video on Internet 6:16 6:20 17:01 15:02 12:06 8:32 3:45 10:35 Using any pp/web on a Smartphone n/a n/a 50:51 50:28 46:53 34:05 25:54 43:31 Watching Video on a Smartphone n/a n/a 2:48 1:56 1:29 1:03 0:26 1:41 Listening to M/FM Radio n/a 36:05 50:53 54:33 64:05 69:25 61:33 59:19 TBLE 4 MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES MONG BLCKS K 2-11 T 12-17 18-24 25-34 35-49 50-64 65+ P 2+ On Traditional TV 147:52 147:41 152:54 178:09 209:06 276:46 312:57 206:03 Watching Time-shifted TV 9:48 9:16 10:08 15:08 16:04 15:05 10:51 12:54 Using a DVD/Blu-Ray Device 6:30 3:27 3:37 8:49 5:02 7:15 2:11 5:35 Using a Game Console 11:48 17:53 14:24 12:51 4:39 1:31 0:50 8:21 Using a Multimedia Device 0:44 0:43 0:50 1:33 1:28 0:35 0:08 0:55 Using the Internet on a Computer 6:24 7:06 42:48 40:06 40:12 33:55 22:05 33:23 Watching Video on Internet 6:16 5:43 26:55 16:44 13:25 11:20 6:12 13:59 Using any pp/web on a Smartphone n/a n/a 57:48 65:55 55:40 42:35-52:40 Watching Video on a Smartphone n/a n/a 4:00 3:01 2:01 1:46-2:30 Listening to M/FM Radio n/a 39:50 50:18 55:47 66:02 76:04 69:47 61:42 THE CROSS-PLTFORM REPORT 2014 11
TBLE 4B MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES MONG HISPNICS K 2-11 T 12-17 18-24 25-34 35-49 50-64 65+ P 2+ On Traditional TV 106:55 79:09 87:45 106:37 119:54 153:50 217:13 117:58 Watching Time-shifted TV 9:56 6:38 6:37 10:26 10:25 11:18 11:30 9:39 Using a DVD/Blu-Ray Device 7:13 4:27 3:51 4:35 4:25 3:13 2:33 4:38 Using a Game Console 10:27 18:10 12:51 8:04 3:18 1:07 0:35 7:44 Using a Multimedia Device 1:20 1:19 1:09 1:06 1:04 0:23 0:28 1:02 Using the Internet on a Computer 3:46 6:42 27:49 32:09 37:12 29:47 20:30 26:26 Watching Video on Internet 6:44 6:10 17:19 13:45 11:55 11:54 3:39 11:43 Using any pp/web on a Smartphone n/a n/a 49:45 56:08 50:09 32:26 31:33 49:09 Watching Video on a Smartphone n/a n/a 3:11 2:33 1:59 0:51-2:20 Listening to M/FM Radio n/a 37:14 51:27 58:27 66:50 69:21 62:17 58:45 TBLE 4C MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES MONG SINS K 2-11 T 12-17 18-24 25-34 35-49 50-64 65+ P 2+ On Traditional TV 57:39 55:03 47:07 76:07 74:12 104:15 157:44 83:02 Watching Time-shifted TV 7:57 8:12 5:48 11:08 11:18 9:57 9:40 9:38 Using a DVD/Blu-Ray Device 7:38 2:35 1:47 3:41 3:51 3:16 2:51 3:51 Using a Game Console 7:31 7:46 10:13 6:00 3:13 1:21 0:18 4:35 Using a Multimedia Device 3:21 3:13 3:22 6:52 5:09 5:13 6:28 5:00 Using the Internet on a Computer 4:53 13:19 58:29 49:39 54:17 34:27 20:46 43:54 Watching Video on Internet 4:44 13:15 24:20 24:20 14:13 13:54 5:04 17:14 Using any pp/web on a Smartphone n/a n/a 44:24 42:45 45:52 - - 42:43 Watching Video on a Smartphone n/a n/a 2:15 1:40 2:00 - - 1:53 12 Copyright 2014 The Nielsen Company
TBLE 5 CROSS-PLTFORM HOMES RNKED BY IN-HOME STREMING BEHVIOR COMPOSITE BLCK STREMING QUINTILE # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) Stream 1 24,794 23.8 57.2 238.6 Stream 2 24,794 2.8 31.3 252.9 Stream 3 24,810 0.8 18.5 255.9 Stream 4 24,779 0.2 12.8 246.5 Stream 5 24,798 0.0 7.9 237.5 Non Streamers 120,838 0.0 1.1 231.1 ll 244,813 2.8 13.5 238.9 2,676 26.9 54.3 329.8 2,670 3.5 27.4 370.2 2,688 1.0 16.6 342.6 2,664 0.3 12.4 353.5 2,676 0.0 8.0 349.4 13,162 0.0 0.6 315.3 26,537 3.3 12.4 332.5 HISPNIC SIN STREMING QUINTILE # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) Stream 1 3,174 23.1 43.6 193.3 Stream 2 3,185 2.8 18.3 194.5 Stream 3 3,180 0.8 10.6 195.3 Stream 4 3,169 0.2 8.0 202.9 Stream 5 3,181 0.0 6.1 192.7 Non Streamers 19,520 0.0 0.7 195.9 ll 35,408 2.5 8.2 195.8 1,444 36.5 56.1 111.9 1,440 4.6 31.1 127.9 1,438 1.2 19.1 110.9 1,443 0.3 14.0 147.0 1,439 0.0 10.6 153.0 8,261 0.0 0.7 148.5 15,465 4.1 12.8 139.8 THE CROSS-PLTFORM REPORT 2014 13
TBLE 5 CROSS-PLTFORM HOMES RNKED BY IN-HOME INTERNET BEHVIOR COMPOSITE BLCK INTERNET QUINTILE # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) Internet 1 33,970 12.8 71.0 295.4 Internet 2 33,984 4.5 17.5 251.1 Internet 3 33,977 2.1 5.9 229.8 Internet 4 33,983 0.6 1.6 219.3 Internet 5 33,966 0.2 0.2 226.5 Non Internet Users 74,932 0.0 0.0 225.6 ll 244,813 2.8 13.5 238.9 3,525 14.6 66.5 418.6 3,510 6.7 16.9 345.0 3,517 1.9 6.1 330.3 3,517 0.7 1.7 297.4 3,525 0.2 0.3 343.9 8,943 0.0 0.0 302.5 26,537 3.3 12.4 332.5 HISPNIC SIN INTERNET QUINTILE # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) Internet 1 4,410 13.9 50.6 228.1 Internet 2 4,408 3.9 10.2 188.1 Internet 3 4,411 1.0 3.2 173.1 Internet 4 4,405 0.5 1.0 180.8 Internet 5 4,413 0.1 0.2 194.8 Non Internet Users 13,360 0.0 0.0 200.4 ll 35,408 2.5 8.2 195.8 1,990 19.2 70.7 124.9 1,984 8.9 20.0 116.9 1,981 1.5 5.9 159.6 1,988 1.0 1.3 126.7 1,986 0.2 0.2 158.7 5,536 0.2 0.0 144.5 15,465 4.1 12.8 139.8 14 Copyright 2014 The Nielsen Company
TBLE 5 CROSS-PLTFORM HOMES RNKED BY IN-HOME TELEVISION VIEWING BEHVIOR COMPOSITE BLCK TELEVISION QUINTILE # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) Television 1 48,332 2.7 20.5 614.2 Television 2 48,333 2.3 14.7 298.1 Television 3 48,335 2.2 11.9 177.3 Television 4 48,331 2.1 9.4 92.9 Television 5 48,337 4.3 10.8 21.6 5,266 3.1 20.1 793.3 5,265 3.1 12.0 423.1 5,261 3.3 12.7 259.5 5,264 3.1 9.1 147.6 5,262 3.5 8.3 41.9 Non Television Viewers 3,145 9.2 19.0 0.0 218 7.3 6.1 0.0 ll 244,813 2.8 13.5 238.9 26,537 3.3 12.4 332.5 HISPNIC SIN TELEVISION QUINTILE # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) # OF PERSONS (000) STREM INTERNET TV ( VERGE DILY MINUTES ) Television 1 7,011 2.7 12.0 465.8 Television 2 7,016 2.1 8.7 247.0 Television 3 6,999 1.7 7.3 157.2 Television 4 7,009 1.8 5.7 89.2 Television 5 7,011 3.8 7.4 25.1 3,012 2.7 12.7 414.0 3,014 1.8 9.6 175.4 3,001 3.3 13.9 87.7 3,009 4.0 10.7 33.9 3,007 7.5 14.9 5.2 Non Television Viewers 362 6.6 7.9 0.0 423 11.3 26.6 0.0 ll 35,408 2.5 8.2 195.8 15,465 4.1 12.8 139.8 THE CROSS-PLTFORM REPORT 2014 15
TBLE 6 SMRTPHONE VIDEO VIEWING QUINTILES BSED ON DULTS 18+ USGE OF VIDEO ON PPS/WEB 2014 2013 SMRTPHONE QUINTILES # OF PERSONS (000) TPP (HH:MM:SS) # OF PERSONS (000) TPP (HH:MM:SS) Smartphone 1 22,858 6:42:37 19,349 4:36:03 Smartphone 2 22,867 1:10:44 19,411 0:46:48 Smartphone 3 22,890 0:25:15 19,388 0:17:03 Smartphone 4 22,863 0:08:02 19,377 0:05:20 Smartphone 5 22,891 0:01:09 19,404 0:00:45 ll 114,369 1:41:30 96,930 1:09:06 TBLE 7 - TELEVISION DISTRIBUTION SOURCES NUMBER OF HOUSEHOLDS (IN 000 S) COMPOSITE 2014 2013 2014 BLCK HISPNIC SIN 2013 2014 2013 2014 2013 Broadcast Only 12,023 10,947 1,999 1,804 2,835 2,512 663 617 Wired Cable (No Telco) 54,119 56,621 7,522 7,667 5,716 6,377 2,044 2,099 Telco 12,399 10,857 1,625 1,403 1,425 1,163 653 618 Satellite 34,417 35,243 3,612 3,725 5,465 5,314 752 951 Broadband Only 2,068 n/a 142 n/a 204 n/a 201 n/a 16 Copyright 2014 The Nielsen Company
TBLE 8 CBLE/STELLITE HOMES WITH INTERNET STTUS NUMBER OF HOUSEHOLDS (IN 000 S) COMPOSITE 2014 2013 2014 BLCK HISPNIC SIN 2013 2014 2013 2014 2013 Broadcast Only and Broadband ccess Broadcast Only and No Internet/ Narrowband ccess 6,120 5,306 637 513 893 820 506 461 6,274 5,904 1,305 1,252 1,800 1,569 135 130 Cable Plus and Broadband ccess 80,546 78,511 8,354 8,006 8,932 8,607 3,397 3,305 Cable Plus and No Internet / Narrowband ccess 20,102 21,783 4,092 4,466 3,478 3,614 215 255 TBLE 9 DEVICES IN TV HOUSEHOLDS NUMBER OF HOUSEHOLDS (IN 000 S) COMPOSITE 2014 2013 2014 BLCK HISPNIC SIN 2013 2014 2013 2014 2013 DVD/Blu-Ray Player 93,707 94,587 11,381 11,460 12,064 12,110 3,074 3,237 DVR 55,713 52,977 5,884 5,567 5,968 5,574 1,786 1,881 High Definition TV 100,684 93,514 12,156 11,076 13,694 12,703 3,998 3,872 Video Game Console 51,470 50,250 6,476 6,123 8,044 7,936 2,242 2,229 Tablet 42,064 27,049 4,213 2,559 5,224 2,907 2,191 1,729 Enabled Smart TV 11,688 6,193 1,057 530 1,728 769 914 485 THE CROSS-PLTFORM REPORT 2014 17
TBLE 10 - TELEVISION DISTRIBUTION SOURCES BY ETHNICITY PERCENTGE OF HOUSEHOLDS MRKET BREK COMPOSITE WHITE BLCK HISPNIC SIN Broadcast Only 10% 9% 12% 16% 15% Wired Cable (No Telco) 46% 47% 50% 38% 47% Telco 11% 11% 12% 10% 16% Satellite 30% 31% 25% 35% 18% Broadband Only 2% 2% 1% 1% 5% EXHIBIT 2 MOBILE DEVICE PENETRTION BY ETHNICITY SMRTPHONE FETURE PHONE 22% 29% TOTL 32% WHITE BLCK 71% 68% 78% 21% 18% HISPNIC SIN 79% 82% 18 Copyright 2014 The Nielsen Company
SOURCING & METHODOLOGIES GLOSSRY TV HOUSEHOLD: Nielsen defines a TV household as a home with at least one operable TV/monitor with the ability to deliver video via traditional means of antennae, cable STB or Satellite receiver and /or with a broadband connection. TRDITIONL TV: Watching live or time-shifted content on a television set. WIRED CBLE: Traditional cable delivered through wires to your home. TELCO: paid TV subscription delivered fiber-optically via a traditional telephony provider. STELLITE: paid TV subscription where the signal is distributed to an orbiting satellite. The amplified signal is then re-transmitted to the home and received via a dish. (Sometimes also referred to as dish ). BRODBND CCESS: paid, high-speed Internet access delivered via DSL, Cable Internet through cable provider, Fiber-Optic Service, U-Verse, Satellite Internet, Data Card (aircard that connects to a cellular phone network) or PC tethered to cell phone (cellular phone network). NRROWBND CCESS: household that accesses the Internet via a telephone line (often referred to as dial up). BRODCST ONLY: mode of television content delivery that does not involve satellite transmission or cables (ie a paid service). lso commonly referred to as Over-the-air. BRODBND ONLY: household with at least one operable TV/monitor that receives video exclusively through a broadband internet connection instead of traditional means (over the air, wired cable, telco, satellite). M/FM RDIO: Listening to programming from M/FM radio stations or network programming. MULTIMEDI DEVICE: Viewing on an pple TV, Boxee, Roku, Google Chromecast, or other internet connected device through the television. This does not include DVD / Blu-Ray Devices, Game Consoles, or Computers. ENBLE SMRT TV: household with at least one television set that is capable and enabled to access the internet. THE CROSS-PLTFORM REPORT 2014 19
TELEVISION METHODOLOGY On Traditional TV includes Live usage plus any playback viewing within the measurement period. Time-shifted TV is playback primarily on a DVR but includes playback from VOD, DVD recorders, server based DVR s and services like Start Over. On Traditional TV reach includes those viewing at least one minute within the measurement period. This includes Live viewing plus any playback within the measurement period. Second Quarter 2014 Television data is based on the following measurement interval: 03/31/14-06/29/14. s of February 2011, DVR Playback has been incorporated into the Persons Using Television (PUT) Statistic. Metrics for Using a DVD/Blu-Ray Device and Using a Game Console are based on when these devices are in use for any purpose, not just for accessing media content. For example, Using a Game Console will also include time when the game console is being used to play video games. ONLINE METHODOLOGY In July 2011 an improved hybrid methodology was introduced in Nielsen s NetView and VideoCensus product. This methodology combines a census level accounting of page views and video streams where Nielsen measurement tags have been deployed in order to project audience and behavior to the full universe of all Internet users. For VideoCensus, the portion of the total video streams calibrated by census data, previously allocated to Home/ Work computers, are now allocated to other devices and locations such as smartphones and viewing outside of home and work. This change affects both Watching Video on the Internet and Using the Internet figures. Beginning in Q1 2012, Cross-Platform metrics are derived from the new hybrid panel. Year over year trends are available beginning in Q3 2012. Data should not be trended to previous quarters published editions. Hours:minutes for Internet and video use are based on the universe of persons who used the Internet/watched online video. ll Internet figures are weekly or monthly averages over the course of the quarter. ll Using the Internet on a Computer metrics are derived from Nielsen NetView product, while all Watching Video on the Internet metrics are derived from Nielsen VideoCensus product. Watching Video on the Internet is a subset of Using the Internet on a Computer. Due to the release of the Chrome browser v.19 in May 2012, some Nielsen Netview data for a small number of sites that have extensive use of HTTPS is under reported for May and June 2012. solution has been implemented for July 2012 reporting. This affects Using the Internet on a Computer during this time. YouTube Partner reporting became available through Nielsen VideoCensus featuring May 2012 data. YouTube Partner data is reported as individual channels under the YouTube brand in Nielsen VideoCensus. Data for each YouTube partner is aggregated across two entity levels, the broadest as Nielsen VideoCensus channel entity and the more granular being Nielsen VideoCensus client-defined entity. This affects the Watching Video on Internet during this time. Due to a processing error, YouTube brand-level stream and duration metrics were inflated from May 2012 May 2013 which impacted Watching Video on Internet. The current report contains the corrected metrics for the prior year data in the year over year comparisons. However, because of an additional processing issue that occurred in 2012 (above note), the 2012 data could not be restated and is based on the originally released data points. s of January 2014, two factors led to an increase in Watching Video on the Internet. Secure or https streaming of videos was added into reporting for entities such as Facebook. dditionally, YouTube mobile streams became included within the hybrid reporting. 20 Copyright 2014 The Nielsen Company
RDIO METHODOLOGY M/FM RDIO METHODOLOGY: udience estimates for 48 large markets are based on a panel of people who carry a portable device called PPM that passively detects exposure to content that contains inaudible codes embedded within the program content. udience estimates from the balance of markets and counties in the US are based on surveys of people who record their listening in a written diary for a week. The estimates in this report are based on RDR and the National Regional Database. RDR reports national network radio ratings covering the US using both PPM and Diary measurement and it is based on a rolling one-year average of nearly 400,000 respondents aged 12+ per year. Monthly Radio Estimates: Nielsen s Measurement Science group used statistical modeling techniques to estimate the total cume audience to radio in a four week period, as compared to the total cume audience to radio in an average week. The methodology utilized PPM panel data, and essentially measured how many people who were not exposed to radio in a single week might typically be exposed to radio over a consecutive four week period. radio cume growth factor was then determined and applied to radio listening on a national basis. NOTES: Listening to HD radio broadcasts, Internet streams of M/FM radio stations and Satellite Radio is included the Persons Using Radio estimates in this report where the tuning meets our reporting and crediting requirements. MOBILE METHODOLOGY Nielsen s Electronic Mobile Measurement (EMM) is an observational, user-centric approach that uses passive metering technology on smartphones to track device and application usage on an opt-in convenience panel. Results are then reported out through Nielsen Mobile NetView 3.0. There are approximately 5,000 panelists in the US across both ios and ndroid smartphone devices, and this method provides a holistic view of all activity on a smartphone as the behavior is being tracked without interruption. number of steps are taken after the data collection process to ensure the reported data is representative of the mobile population. Weighting controls are applied across five characteristics (gender, age, income, race, and ethnicity) while independent enumeration studies are carried out on a continuous basis to provide the most current estimates of the mobile population (aka Universe Estimation). This mobile population is drawn from a combination of Mobile Insights, as well as surveying the National People Meter (NPM) panel that is the industry standard and currency for TV Ratings. Figures reported in Nielsen s Mobile NetView 3.0 include those individuals who are P18+ who have used an ios or ndroid smartphone device in the US during of 2014. In particular: Using any pp/web on a Smartphone refers to consuming mobile media content through a web browser or via a mobile app. It does not include other types of activity such as making/receiving phone calls, sending SMS/MMS messages etc, which has been excluded for this report. Watching Video on a Smartphone is a subset of Using any pp/web on a Smartphone and refers to those individuals who visit a website or use a mobile app specifically designed to watch video content. Due to this methodology change from survey based data to EMM as of the Qtr 4 2013 report, data should not be trended to previous quarters published editions. The current report contains the revised metrics for the prior year data in the year over year comparisons. THE CROSS-PLTFORM REPORT 2014 21
SOURCING TBLES 1, 2, 3, 4 - WEEK IN THE LIFE, OVERLL USGE BY MEDIUM, MONTHLY TIME SPENT BY MEDIUM IN HOURS:MINUTES USERS 2+, MONTHLY TIME SPENT BY MEDIUM IN HOURS: MINUTES Source: Traditional TV, Time-shifted TV, DVD, Game Consoles, Multimedia Devices 03/31/14-06/29/14 via Nielsen NPOWER/NPM Panel, Online 04/01/14-06/30/14 via Nielsen Netview and Nielsen VideoCensus, Mobile 04/01/14-06/30/14 via Nielsen Electronic Mobile Measurement, Radio 03/28/13-03/26/14 via RDR 121. Table 1 is based on the total US population whether or not they have the technology. Tables 2-4 are based on users of each medium. Electronic Mobile Measurement is based on P18+. Radio RDR 121 data is based on P12+. Therefore, P2+ would be based on P18+ for Smartphone and P12+ for Radio. TBLE 5 CROSS-PLTFORM HOMES RNKED BY IN-HOME BEHVIOR Source: 04/01/14-06/30/14 via Nielsen NPOWER/Cross-Platform Homes Panel for P2+. Internet and Streaming based on home PC only. TBLE 6 SMRTPHONE VIDEO VIEWING QUINTILE Source: 04/01/14-06/30/14 via Electronic Mobile Measurement for P18+. Smartphone video viewing quintiles are grouped based on users time per person per month watching video on a Smartphone. It refers to those individuals who visit a website or use a mobile app specifically designed to watch video content. TBLE 7, 8, 9 TELEVISION DISTRIBUTION SOURCES, CBLE/STELLITE HOMES WITH INTERNET STTUS, DEVICES IN TV HOUSEHOLDS Source: Based on the Universe Estimates for the 15th of each month within the quarter via Nielsen NPOWER/NPM Panel. TBLE 10 - TELEVISION DISTRIBUTION SOURCES - PERCENTGE OF HOUSEHOLDS Source: Based on the scaled installed counts for 03/31/14-06/29/14 via Nielsen NPOWER/NPM Panel. EXHIBIT 1 VERGE TIME SPENT PER DULT 18+ PER DY Source: Live TV, Time-shifted TV, DVD, Game Consoles, Multimedia Devices 03/31/14-06/29/14 via Nielsen NPOWER/NPM Panel, Online 04/01/14-06/30/14 via Nielsen Netview, Mobile 04/01/14-06/30/14 via Electronic Mobile Measurement, Radio 03/28/13-03/26/14 via RDR 121. Exhibit 1 is based on users of each medium. 22 Copyright 2014 The Nielsen Company
EXHIBIT 2 MOBILE DEVICE PENETRTION BY ETHNICITY Source: Mobile 04/01/14-06/30/14 via Nielsen Mobile Insights. Note: - represents insufficient sample size while n/a represents data unavailability. PGES 4-7 Digital Video: Video content viewed on a computer or mobile device. Includes Watching Video on the Internet and Watching Video on a Smartphone. TV Screen: Viewing on a TV screen originating from the television or any device connected to the television. This would include when these devices are in use for any purpose, not just for accessing media content. Includes On Traditional TV, Using a DVD / Blu-Ray Device, Using a Game Console, and Using a Multimedia Device. DILY TIME SPENT Source: Traditional TV, DVD, Game Consoles, Multimedia Devices 03/31/14-06/29/14, 04/01/13-06/30/13, 03/26/12-06/24/12 via Nielsen NPOWER/NPM Panel; Online 04/01/14-06/30/14, 04/01/13-06/30/13, 04/01/12-06/30/12 via Nielsen VideoCensus; Mobile 04/01/14-06/30/14, 04/01/13-06/30/13, 04/01/12-06/30/12 via Nielsen Electronic Mobile Measurement Based on users of each medium. DEVICE PENETRTION Source: Smartphone P13+ May 2014 via Nielsen Mobile Insights, Smart TV and Multimedia Devices HHLD May 2014 via Nielsen Custom data, Overall TV May 2014 via Total and TV HHLD Universe Estimates, Other devices HHLD May 2014 based on the scaled installed counts via Nielsen NPOWER/NPM Panel. BOUT NIELSEN Nielsen Holdings N.V. (NYSE: NLSN) is a global information and measurement company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and related properties. Nielsen has a presence in approximately 100 countries, with headquarters in New York, US and Diemen, the Netherlands. For more information, visit www.nielsen.com. Copyright 2014 The Nielsen Company. ll rights reserved. Nielsen and the Nielsen logo are trademarks or registered trademarks of CZT/CN Trademarks, L.L.C. Other product and service names are trademarks or registered trademarks of their respective companies. 13/7429 THE CROSS-PLTFORM REPORT 2014 23
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