Anytime Anywhere / Media Measurement
April 2007 Update for the TVB
Barbara McFarland
Confidential & Proprietary • Copyright © 2007 The Nielsen Company
The Individual Initiatives of A2/M2
• Expanding Electronic Measurement of Traditional InHome Viewing
– LPM (Markets 11-25)
– LPM 26+ (Markets 26-60)
– Mailable Meter (Markets 61-125)
– Markets 126+
• Measuring Non-Traditional Viewing
– Internet Integration
– Out of Home
– Portable Video Devices
• Measuring Viewer Response to Content/Advertising
– Engagement
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Local People Meter
ROLLOUT SCHEDULE – MARKETS 1-18
DMA
MM
Size
LPM
Size
LPM Data
Live Date
LPM Only
Start Date
NPM
Integration
Boston
420
600
4-25-02
4-25-02
1-26-04
New York
540
800
6-3-04
9-2-04
11-29-04
Los Angeles
540
800
7-8-04
8-5-04
8-30-04
Chicago
540
800
8-5-04
9-23-04
9-27-04
San Francisco
500
800
9-30-04
12-30-04
3-28-05
Philadelphia
500
800
6-30-05
6-30-05
9-26-05
Washington DC
440
600
6-30-05
6-30-05
9-26-05
Dallas
400
600
1-5-06
1-5-06
1-30-06
Detroit
400
600
1-5-06
1-5-06
1-30-06
Atlanta
400
600
6-29-06
6-29-06
7-31-06
Houston
420
600
10-4-07
10-4-07
TBD
Tampa
400
600
10-4-07
10-4-07
TBD
Seattle
400
600
10-4-07
10-4-07
TBD
Phoenix
400
600
Apr 08
Apr 08
TBD
Minneapolis
400
600
Aug 08
Aug 08
TBD
Cleveland
400
600
Aug 08
Aug 08
TBD
Miami
540
600
Oct 08
Oct 08
TBD
Denver
410
600
Oct 08
Oct 08
TBD
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Local People Meter Update – Markets 11-25
Rank
DMA
MM
HH Size
LPM
HH Size
LPM Preliminary Period
Start Date
End Date
LPM Data
Live Date
Recruitment
Begins
10
Houston
420
600
7-5-07
10-3-07
10-4-07
Sept-06
12
Tampa
415
600
7-5-07
10-3-07
10-4-07
Sept-06
14
Seattle
405
600
7-5-07
10-3-07
10-4-07
Sept-06
13
Phoenix
400
600
Jan-08
Mar-08
Apr-08
Apr-07
15
Minneapolis
400
600
May-08
Jul-08
Aug-08
Aug-07
17
Cleveland
400
600
May-08
Jul-08
Aug-08
Aug-07
16
Miami
540
600
Jul-08
Sep-08
Oct-08
Oct-07
18
Denver
410
600
Jul-08
Sep-08
Oct-08
Oct-07
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
LPM 26+ Strategy – Markets 26 - 60
• Decision to use enhanced A/P 2.0 platform (A/P 2.0e)
– Consolidates most A/P 2.0 set meter components into a single box
– Will simplify installation and maintenance
– Committed to affordable electronic sets and persons measurement in
markets 26 – 60
• Moving forward with 50 HH dual meter
research and testing in June 2007
– Non-invasive source detection
– Updated People Meter with Infrared (IR) source
detection vs hard wire
– Non-intrusive audio monitoring
– External audio sensor
TVB April 2007
Enhanced A/P
Meter
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
LPM 26+ Benefits
• Greater consistency across markets
– Potential to integrate into National sample
Sample
Platform
National
A/P 2.0
Markets 1-25
A/P 2.0
Markets 26-60
A/P 2.0
Effective Sample Size =
(roughly) 17,700 HH
Gross Sample Size =
39,200 HH
– Provides a common foundation for other A2/M2 projects
– Internet Integration, Out of Home, Portable Video Devices
– Increased focus Engineering and Field
– A/P 2.0e decision reduces the need for additional hardware testing
– Facilitates speed to roll out improvements across samples
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Mailable Meter – Markets 61-125
• Meter self-installed by respondent
– Collects signatures from audio
content
– No code collection
– Set tuning only
– Sweeps-based measurement device
(current assumption is 35 days)
• Viewing log to capture audience
information
Viewing Log
Set #1
Time
7:00 – 7:15
Living Room
Sally
X
TVB April 2007
Bob
Joe
X
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Mailable Meter Research
• E&T development is ongoing
– Meter design and functionality is evolving
• Statistical Research testing
– Meter output design, editing and crediting rule work underway
– Dual meter tests have begun
• Methodological Research testing
– Two qualitative research studies have been conducted
– Generally well-received
– Placement of meter not an issue
– Ease of use with log – no objection to 35 days
– Quantitative research will begin in May 2007
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Markets 126+
• Objective is to develop and implement an affordable and
valuable television measurement solution for our clients
• Gathered input from NAB Markets 100+ Committee to
evaluate client needs in these markets
– More local direct business
– Relative importance of local news inventory
– Faced with same challenges as major markets: digital conversion,
fragmentation, Internet, etc.
• Further due diligence
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Markets 126+
• Potential options we are exploring:
– Modeling
– NPM sample data
– Digital Set Top Box
– Software Collection Tools
– Internet based diary
– Other on-line form or survey formats
– Hardware Collection Tools
– Mailable meter, perhaps with less frequent measurement
– Out of Home meter
– An electronic diary (PDA device)
– International devices/meters?
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Local Market Internet Measurement
MarketCensus
• Local media site activity
• Streaming video and web content
• Demographic information
• Competitive local media site activity within the same
market or for multiple properties across markets
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
MarketCensus
How it Works…
• Local clients “tag” content with an Internet standard
tagging approach using Nielsen provided software
• Collects information on video content and page activity
• Uses the tag to launch surveys to collect demographic
details
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
MarketCensus
• Opportunities
– Maximizes data available
– Measure website activity from access at home, work or in public
hot spots- anywhere / anytime access
• Challenges
– Cooperation from sites within a market is needed
– Cooperation from visitor to site to participate in survey
• Next Steps
– Work with Client sub-Committee to determine report needs,
discuss tagging compliance and select test market
– MarketCensus test planned for later this year
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Out of Home Update
• Cell Phone Go meter
• Custom Go meter
• Collect audio signatures
– Designed to work well in acoustically noisy environments – bars,
restaurants, etc.
• Media Monitoring Sites (MMS)
– Collect audio signatures from broadcast stations, local cable origination
and cable networks
Cell Phone and Custom Go Meter
Friends & Family Technology Panel
External Test:
Cell Phone Go Meter
External Test:
Custom Go Meter
04/07 – 08/07
06/07 – 10/07
08/07 – 12/07
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Portable Video Devices Overview
• Multiple tracking studies to measure the penetration of portable
media devices and the amount of video usage
– 400-person iPod panel
– Syndicated reports from iTunes panel
being discussed with clients who offer content
– Potential for iPod meter software to be
deployed in NetRatings HHs
– Home Technology Study
– Live panel questions beginning in June 2007 in
people meter samples
• Developing Solo Meter to measure video on portable media devices
– Five solo meter versions are in June and July
• Conversations with mobile phone providers
underway
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Engagement Update
• Nielsen’s role: Help define engagement; can it be part of
the national/local selling/buying process?
• Engagement Test
– Worked with Client Committee to determine test objectives/parameters
– Determine what variables best correlate with key advertising response metrics
– Metric chosen for test- unaided commercial recall
– Variables fall into 5 categories:
– Qualitative engagement metrics
– Quantitative engagement metrics
– Program/network attributes
– Commercial creative/campaign attributes
– Individual respondent attributes
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Thank you
TVB April 2007
Confidential & Proprietary
Copyright
© 2007
The
NielsenCompany
Company
Confidential & Proprietary • Copyright
© 2007
The
Nielsen
Consumer Electronics Trends
In Nielsen’s Local Samples
& In the Home Technology Report
Lucinda Nobles
Confidential & Proprietary • Copyright © 2007 The Nielsen Company
Consumer Electronics in NSI Meter Samples
DVRs
• Included in local samples since
– March 2005 set meter
– May 2005 diary
– January 2006 LPM
• DVR universe estimates to become available May 2007
• Current penetration of 16.1% in set meter & LPM markets
• Ranging from 7.9% in Miami to 26.6% in Tampa
• DVR owners are younger, better educated & have higher
incomes
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Consumer Electronics in NSI Meter Samples
DVRs
• Local data streams
– All overnight data & LPM electronic monthly demo data
– Live
– Live Plus 7 Days
– All markets diary data now collected with 8-day diary
– Includes timeshifted programs played back within 24 hours
• ~90% of all viewing in DVR homes is Live
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Consumer Electronics in NSI Meter Samples
DVRs
• Broadcast primetime programs are most timeshifted
• Typical timeframe for playback
– 70-80% within 24 hours
– 90% within 3 days
• Homes with DVRs watch significantly less live TV but
most of that difference is made up after seven days of
DVR playback
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Consumer Electronics in NSI Meter Samples
High Definition TV
• HD universe estimates to become available
– November 2007 in LPM markets
– February 2008 in set meter markets
• Custom analyses will be available for HD-capable homes
– In LPM markets starting July 2007
– In set meter markets starting January 2008
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Consumer Electronics in NSI Meter Samples
Other Devices
• Collecting data on various consumer electronics in LPM
markets, such as household has
– iPod or MP3 player with video capability
– In-car satellite TV
– Cell phone with video capability
– High speed internet access at home
• Data to be populated by end of November 2007
• Custom analyses against the above characteristics
– For in-home viewing at a household level
– Starting December 2007
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Nielsen’s Home Technology Report
• A primary research survey conducted by phone with
~1,200 randomly selected American homes four times
per year
• Issued quarterly to Nielsen clients as a supplement to
their syndicated TV ratings service
• Following are trends from 1Q05 to 4Q06
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Home Technology Report
TV Highlights
1Q05
4Q06
% of
% of
Total HH Total HH
Overall 2 Yr Trend
1Q05 vs. 4Q06
% Diff
TV
Receives Cable TV Service:
Avg. # of Channels
Digital TV or HDTV
DVR
DVD
VCR
64.5%
123.0
17.8%
10.1%
78.5%
82.2%
64.7%
132.3
25.2%
17.9%
79.8%
81.7%
0.2%
9.3
7.4%
7.8%
1.3%
-0.5%
Stable
Hot
Hot
Hot
Hot
Stable
Screen Size >32"
LCD Flat Screen
Plasma Screen
Projection TV
Home Theater System
64.6%
7.2%
3.8%
6.7%
28.0%
71.3%
14.6%
7.1%
7.8%
26.2%
6.7%
7.4%
3.3%
1.1%
-1.8%
Hot
Hot
Hot
Hot
Cooling
= Hot (1.0% or greater vs. previous quarter)
= Stable (within +/- 1.0% vs. previous quarter)
= Cooling (-1.0% or greater vs. previous quarter)
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Home Technology Report
Internet Highlights
1Q05
4Q06
% of
% of
Total HH Total HH
Overall 2 Yr Trend
1Q05 vs. 4Q06
% Diff
INTERNET
Any Internet Access
Internet Access at Home:
Broadband
Wireless Network *
VOIP *
Internet via TV
Internet Access at Work:
Broadband *
82.4%
70.6%
52.9%
29.5%
12.4%
8.2%
47.7%
87.3%
80.4%
70.7%
69.6%
33.6%
12.7%
8.1%
45.2%
85.4%
-2.0%
0.1%
16.7%
4.1%
0.3%
-0.1%
-2.5%
-1.9%
Cooling
Stable
Hot
Hot
Stable
Stable
Cooling
Cooling
= Hot (1.0% or greater vs. previous quarter)
= Stable (within +/- 1.0% vs. previous quarter)
= Cooling (-1.0% or greater vs. previous quarter)
* Wireless Network and VOIP measurement began 1Q06; Internet Access at Work-Broadband began 3Q06.
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Home Technology Report
Personal Electronics
1Q05
4Q06
% of
% of
Total HH Total HH
Overall 2 Yr Trend
1Q05 vs. 4Q06
% Diff
PERSONAL ELECTRONICS
Cellular Phone
PDA
Digital Camera
Digital Video Camera
MP3 Player (e.g. iPod):
iPod *
Sony *
Creative Zen *
Other *
MP3 Player w/ Video **
Satellite Radio
Video Game System (e.g. Xbox)
75.9%
17.7%
50.9%
24.4%
14.7%
44.2%
9.6%
3.5%
27.4%
17.8%
8.7%
35.4%
76.0%
17.2%
59.1%
27.2%
30.5%
48.8%
9.9%
3.6%
28.7%
28.3%
12.4%
32.9%
0.1%
-0.5%
8.2%
2.8%
15.8%
4.6%
0.3%
0.1%
1.3%
10.5%
3.7%
-2.5%
Stable
Stable
Hot
Hot
Hot
Hot
Stable
Stable
Hot
Hot
Hot
Cooling
= Hot (1.0% or greater vs. previous quarter)
= Stable (within +/- 1.0% vs. previous quarter)
= Cooling (-1.0% or greater vs. previous quarter)
* MP3 Player ownership by brand began 1Q06.
TVB April 2007
** MP3 Player w/ Video percentages reflect only MP3 Player-owning households.
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
New Technology & The
Connected Consumer
Scott L Brown
Confidential & Proprietary • Copyright © 2007 The Nielsen Company
Connected Consumer Home
• 1967 – the average home owned 1.3 CE devices
• 2007 – the average home has 26 CE devices and
will spend an average of $1500 on gear
• “High speed” in the 60’s conveyed one thing; today
it means 55 million homes connected to the Web
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Connected Consumer Trends
• The kind of content delivered to the electronics
gear
• Underlying partnerships and services that are
unfolding
• Ease with which the technology works
• Stoking consumer excitement
• Transporting, storing, and consuming digital
media
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Demands of Connected Consumer
1. HDTV picture size & quality
2. The utility of broadband
access
3. Wants timeshifting and
material everywhere in the
home
4. Expects mobile and wireless
capability
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
1) Picture Size and Quality
• The rage - heavy sales tied to “true” new
1080P HDTV format
• Emergence of 2nd tier low cost players
– Olevia, Visco, Akai, Tatung … and others
• Worldwide sales – 42m LCD units vs. 8
million plasma units sold in 2006
– Plasma shipping weight is key
• Middle income homes finding large flat
panel HDTV within reach
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Price Forcing More Feature Growth
• Commoditization forcing a tide that lifts all features (DVR, DVD,
Home network, etc.)
40%
HD-Capable Set at Home
By Annual Income
38%
30%
25%
20%
17%
10%
8%
6%
0%
Source: LRG
Income
>$30k
$30k-$50k
TVB April 2007
$50k-$75k $75k-$100k
>$100k
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Web Connectivity
• Smart TVs – broadband/PC capable
– RGB, Ethernet, iLink 1394
– Sony marketing Smart-TV adaptor/streaming
– Soon, little difference between surfing the Web on TV and watching
TV on PC
• Consumer expectations drive CE to Web integration
• Web connectivity is key for new advanced HDTV sets
• HDTV penetration is now driving demand for HD content
• Amount of HDTV content within the program bundle is a
differentiator
or
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
2) Broadband
• Broadband is the “cardiac” component of all bundling
strategies
– Triple/Quad play reduces churn by 40%
• OCAP boxes and IPTV boxes usher in new generation
of consumer interaction
• Broadband is the vehicle for digital video content,
interactivity and Web access
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Broadband Video Content
Broadband HH's
HH's w/PayTV
HH's w/HDTV
HH's/Internet Video
100
80
60
40
20
0
2005
2006
2007
2008
2009
2010
Instat
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Blossoming Broadband Connectivity
Mobile
High
Interactivity
Social
Networks
Garden
Clubs
P2P
Opportunity
Consumer
Involvement
With
Content
Traditional
Content
Low
Bandwidth &
Functionality
Web Activity
TVB April 2007
Video
RSS
User Gen
Content
Edge
Content
Web
Original
High
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
3) Timeshifting – Can’t Live Without It
• How it is made available
– Standalone, In-home network, Networked, Game Counsel, In-Set,
or Home Media Server
• HD DVR becoming new standard … plus DVD
• Interactivity & DVR storage combined
• Studios worry that DVRs will produce a “digital leak.”
Digital Rights Management embedded in all HD content
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
TV/DVR Around The Home
• Motorola Follow Me TV with new advanced
DCT6400 set-tops, plus integrated networking
support
• DVR, music, photo on all TV’s including HDTV
interface
• Uses existing in-home coax
Family
Room
Family Room
TVB April 2007
Bedroom
Coax
Bedroom
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
4) Wireless and Mobile
• WiFi 802.11g for in home or hotspot use
–Expanding to communities
• New 802.11n standard permits wireless HDTV
signals within the home
• Super 3G and WiMAX are “mobile internet” with
speeds of up to 100 Mbs
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
WiMax Going Mainstream
• Motorola announced that Chicago will be one of
the first major cities installed with Sprint Nextel
–Motorola will help build the high speed infrastructure for
launch in early 2008
• Intel planning market trials of WiMax late this
year and forecasts availability to 100 million
users by the end of 2008
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Broadcast TV On Cells
• V Cast Mobile TV
• Free wireless will be available (A-VSB)
• New Samsung chipset enables a mobile phone to
pick up standard terrestrial TV
–Broadcasters must transmit a separate signal over
existing TV and radio towers
• No mobile TV package required
• Digital Multimedia Broadcasting, DVB-H Modeo
and Hiwire
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
More Cool Technology Is Coming
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
So Is The Consumer Connected?
• Vision is strong … but the
reality isn’t quite there
• Are we missing what the
consumer really desires?
• Digital is about
communication!
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Interaction Will Be Key
• Consumer involvement with content is destined to grow and
new devices enable it
– Rise of social networking confirms it
• Service providers trying to deliver a personal video stream to
each individual subscriber
– Bandwidth is the constraint … also analog support
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Some of the Rules Are Changing
• Television transitioning to embrace direct marketing to
complement mass marketing
• “Over The Top” - TV programming will be delivered over
the Internet, bypassing today's traditional cable and
satellite providers
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Personalization/Targeting Will Grow
• Preference engines for locating
content within vast storage
universe
– Choicestream, Google, Yahoo,
MSN
• Your HDTV becomes a
communications platform in the
home
– And it will learn about you!
TVB April 2007
Confidential & Proprietary
Copyright © 2007 The Nielsen Company
Thank you
TVB April 2007
Confidential & Proprietary
Copyright
© 2007
The
NielsenCompany
Company
Confidential & Proprietary • Copyright
© 2007
The
Nielsen