Thinkbox

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Thinkbox Top-line Telly January-December 2007
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Commercial Impacts
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How many ads did we watch in 2007?

• 2.25 billion ads seen every day in 2007
• Thats 40 ads per person per day
• 16-24s see 31 TV ads everyday on average
• ABC1s viewed 32 ads per day in 2007

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Commercial Impacts over 5 years
billions
audience
Source BARB/DDS
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Broadcast Television Viewing
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Total broadcast TV (inc. BBC) viewing year on
year
average hours per day
audience
Source BARB/Infosys
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Total broadcast TV (inc. BBC) viewing over 10
years
average hours per day
audience
Source BARB/Infosys
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Commercial broadcast TV viewing over 10 years
average hours per day
audience
Source BARB/Infosys
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Commercial share
Commercials footprint should continue to grow as
the remaining analogue households go digital
average weekly share
year
Source BARB/Infosys
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Viewing Share by Channel 2007
Source BARB/Infosys. Note that total
commercial and BBC does not equate to 100 due to
unreported channels home shopping
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Viewing Share by Channel 2007
Source BARB/Infosys. Note that total
commercial and BBC does not equate to 100 due to
unreported channels home shopping
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ITV1s top programmes 2007
Source BARB/Infosys, Individuals
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Channel 4s top programmes 2007
Source BARB/Infosys, Individuals
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Fives top programmes 2007
Source BARB/Infosys
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Digital only channels top programmes non-sport
2007
Source BARB/Infosys Digital commercial channels
only
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Digital only channels top programmes sport 2007
Source BARB/Infosys Digital commercial channels
only
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Top commercial programmes kids 2007
Source BARB/Infosys Digital commercial channels
only
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Investment Summary

• Total TV investment for 2007 totalled
  3,955,513,324 up 2.7 on 2006
• Retail and finance continue to dominate category
  spending on television.
• PG remained the top spending advertiser and
  increased spend by 10. Nestle eclipsed this
  with a 20 rise in 2007.
• Confused.com entered the top 10 with a huge 130
  increase in TV expenditure. KFC and Land of
  Leather also entered the top rankings for the
  first time.

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Top spending TV categories. Retail continued the
year-on-year trend of increasing TV investment,
aided by new returning TV advertisers such as
Next and John Lewis
Source Nielsen Media Research Period 01/01/07
31/12/07
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Top spending TV holding companies. PG remain the
top spending holding company Nestle moved up in
the rankings after a significant boost in TV
investment, largely focussed on their cereal range
Source Nielsen Media Research Period 01/01/07
31/12/07
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Top spending TV holding companies. BT Group PLC
have entered the top 20 due to their BT broadband
and Vision campaigns last year
Source Nielsen Media Research Period 01/01/07
31/12/07
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Top spending TV brands/products. PC World shot up
the rankings and Land of Leather KFC entered
the top 10 due to significant TV increases.
Confused.com increased investment by a massive
133.3 utilising the benefits of TV on online
Source Nielsen Media Research Period 01/01/07
31/12/07
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Top spending TV brands.
Source Nielsen Media Research Period 01/01/07
31/12/07
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Platform Technology Summary Nearly 87 of
homes are now digitally enabled 11 of homes now
have Sky whilst an additional 3 opt for non-Sky
options, such as Digifusion or V. Sky HD is now
in 422,000 homes
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DTT is most popular overall (All Sets). Over 61
of homes have opted for more TV choice by taking
up digital beyond the main set
Free Satellite 1.7
Cable 6.2
ADSL 0.1
Pay Satellite 15.9
Analogue Terrestrial 43.7
Digital Terrestrial 32.4
Source Ofcom Q4 2007
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87.6 of UK homes primary sets are digitally
enabled
ADSL 0.1
Analogue Terrestrial 13.9
Cable 13.4
Free Satellite 3.9
Pay Satellite 32
Digital Terrestrial 36.6
Source Ofcom Q4 2007
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Nearly half of us pay for TV content. Despite
free digital TV an increasing number of homes are
subscribing to pay TV services
ADSL 0.1
Digital Satellite 32
Free (Analogue, Freeview Freesat) 54.5
Digital Cable 13.4
Source Ofcom Q4 2007
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DTRs shows strong growth but little threat

• 3.13m households now subscribe to Sky (35 of
  all Sky homes)
• c. 262.4k households subscribe to Virgins V
• c. 363k households have a Freeview DTR
• c. 120k households have a BT Vision DTR

• DTRs are in 15 of UK homes

• Sky viewers watch 23 minutes more TV per day
  when they subscribe

• According to the Skyview panel, 83 of viewing
  is to live TV

• 44 of breaks are watched at normal speed

Ofcom digital Report Q4 2007, Screen Digest
Feb 2008 (estimated figures)
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DTRs continued

• Commercial impacts increase by 5 after a home
  gets a DTR

• 32 of adults plan on purchasing a DTR in 2008,
  approximately 2 million homes
• BARB shows only 14 of viewing in DTR homes is
  to recorded programming

Ofcom digital Report Q3 2007
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HDTV popularity demonstrates appetite for quality
viewing

• 422,000 Sky HD subscribers (4 of all Sky
  subscribers)
• Approximately 240,000 subscribe to Virgin HD
• Around 2.4 million HD enabled sets in UK at
  present
• Already 14 specialist HDTV channels 3 more to
  launch in 08
• According to Ofcom, HD programming account for a
  third of total viewing in HD households and 43
  reported overall viewing to increasse after
  subscribing to HD
• 4.6 million HDTV households predicted by the end
  of 2008
• 30 of adults say they are likely to subscribe
  to a HD service in the near future

Sources Ofcom/Screen Digest March 2007,
Business Analysis, C4. Datamonitor,
Continental Research
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TV and 3G

• Approximately 0.43 million UK users (c 1)
• 27 of mobile users would prefer free ad
  supported access to content
• 4 channels are viewed on average per session
• Sport remains the most popular genre
• Each viewing session averages at around 8
  minutes

Source Continental Nov 07
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IPTV

• Tiscali TV has approximately 52,000
  subscribers.
• BT Vision has over 120,000 subscribers
• Student targeted IPTV provider Freewire now
  has 40,000 subscribers
• 0.7 of UK homes currently subscribe to IPTV
  services.
• Around 471,000 IPTV subscribers are expected by
  the end of the year

Source Ofcom, OPera Media March 2007, Screen
Digest Feb 2008
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TV on Demand

• 38 of the UK population have watched TV via
  broadband
• 34 have downloaded TV programmes/clips
• According to Virgin, 1.5m customers used its VOD
  service monthly by Q4 2007
• 60 of 18-24 year olds have downloaded TV
  programmes
• 39 of adults expect to use a VOD service in the
  near future
• 1.3m used Sky Anytime since launch
• By the end of Q3 2007, 1.5m used Virgins VOD
  service

Continental Research 2007, Skyview Jan 2008,
Ofcom Digital Tv Report Q3 2007
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TV on Demand

• VOD is used primarily as a catch up service for
  soaps missed as well as an opportunity to watch
  classic movies
• 2.2 million have already watched live streamed
  TV via the internet with another 2.4 million
  expecting to do so within a year
• Streamed online TV is used in short bursts,
  approximately 15-30 minutes on average

Continental Research 2007.
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IPTV and Broadband TV services
ITV.com - Launched in May 2007 and offers a 30
day catch-up service and archive programming.
Six million unique users per month. 4OD
- Catch-up and on demand TV service with 3.3m
users (1m via PC and 2.3 via TV VoD). 4OD
boasts over 10m downloads since Dec. 2006 and
2.3m unique users per month via TV services (an
additional 1m online) fivedownload- Exclusive
access to the best of US drama, including CSI
and Greys Anatomy MTV Overdrive- Launched
just over a year ago, it showcases
exclusive clips of programmes such as Punkd
Channel 4 February 2008
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TV and 3G
Unicast broadcast subscriber options c. 1m UK
subscribers Over 35 channels 27 prefer ad
supported funding 4 channels visited on average
per session Sport most popular Average session c.
8m
Source Continental Nov 07, screen Digest Mobile
TV Report Nov 2007