Digital Savvy Free Study Final 5.12.08
Upcoming SlideShare
Loading in...5
×
 

Digital Savvy Free Study Final 5.12.08

on

  • 1,478 views

 

Statistics

Views

Total Views
1,478
Views on SlideShare
1,475
Embed Views
3

Actions

Likes
0
Downloads
18
Comments
1

1 Embed 3

http://www.slideshare.net 3

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
  • The ADM Professional Community is a living example of the compelling value proposition for online communities that serve the automotive industry. ADM serves as proof that the impact of Social Media on the automotive vertical is more significant than widely understood. Be sure to visit the ADM Professional Community at http://www.AutomotiveDigitalMarketing.com or the acronym URL at http://www.ADMPC.com or the Twitter URL at http://ADM.fm today, and don't just be a Lurker... Join!
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Digital Savvy Free Study Final 5.12.08 Digital Savvy Free Study Final 5.12.08 Presentation Transcript

  • Understanding the Digital Savvy Consumer An analysis of the country’s most high-tech consumers: where they live, who they are, what they buy and what they watch/listen to/read May, 2008 www.scarborough.com info@scarborough.com 1 Copyright 2008 Scarborough Research 11
  • Table of Contents Honing in on the Digital Savvy Consumer 3 Where they Live 9 Who they Are (Demographics) 12 Lifestyles & Shopping Patterns 24 Internet Behaviors 33 What they Watch/Listen To/Read/How they Commute 44 Conclusions/Implications 59 More About the Digital Savvy Segmentation 64 About Scarborough Research 67 Source & Contacts 70 2 Copyright 2008 Scarborough Research 21
  • Honing in on the Digital Savvy Consumer Creating the Digital Savvy Analysis 3 Copyright 2008 Scarborough Research 31
  • How the Digital Savvy Segmentation was Created Scarborough Research (www.scarborough.com), a consumer and media research firm, created a special segmentation using its syndicated national study (Scarborough USA+) for the Digital Savvy analysis. Eighteen hi-tech consumer behaviors and purchasing patterns were identified and isolated within this national study. These behaviors included household ownership of certain hi-tech items (such as DVRs, satellite radio or VoIP); consumer likelihood to engage in certain Internet behaviors (including blogging, downloading music and online gaming); and usage of leading-edge cellular device features (email, text messaging, etc.). For each Scarborough USA+ respondent, the number of the 18 hi-tech characteristics they satisfied was tabulated. Those that had eight or more were classified as “Digital Savvy.” Nationally, six percent of all consumers are classified as “Digital Savvy.” While this is a small segment of the population, it is an important one, as the first-mover consumer behaviors of the Digital Savvy today could become “the norm” tomorrow. This section details how the Digital Savvy segmentation was created. For more information about Scarborough’s technology measurements, please see the “About Scarborough Research” section which begins on page 67. 4 Copyright 2008 Scarborough Research 41
  • 18 Tech Behaviors Isolated for the Digital Savvy Analysis Items HHLD Owns Ways Used Internet Past 30 Days •PDA •Online Banking/Bill paying (internet) •Digital Video Recorder •Read or contributed to Blogs •Satellite Radio Subscription •Gaming (casino-type, download, games) •Voice over IP (VoIP) •Download Podcasts •MP3 Player •Download / Listen to Audio •High Definition Television (HDTV) •Download / Watch Video •Instant Messages Cell Phone Features Used •Download Ring tones /video games (cell phone) •Email (via cell phone) •Messaging (Instant, Picture or Text via cell phone) •Stream Video (via cell phone) •Other Internet features (via cell phone) 5 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 51
  • Digital Savvy Characteristic Breakout (%) 100 Wireless/Cell Phone 91 Items in HHLD Ways Online Services 84 Features Currently Use Used Past Month 80 76 69 71 59 58 60 52 52 51 42 41 39 38 37 40 33 29 24 23 19 21 21 21 20 15 12 14 8 8 11 8 6 7 6 2 1 2 0 Stream Email Download VoIP PDA HDTV DVR Satellite MP3 Online Instant Download Online Video Radio Video* Message Podcasts Banking/ Clips Other Messaging Blogs* Online Online Bill Pay Internet Audio* Games* Features Total Pop Digital Savvy Online Video – Download Watch movies, Download / Watch video, Download Watch other video, or Download watch TV Program; Online Audio – Download music/listen to audio clips, Download listen to music, Download/listen to other audio clips, listen to Radio ; Blogs – read or contributed to past 30 days online ; Online Games – Casino Type games, download video games, games 6 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 61
  • The Digital Savvy • We identified a small segment of the 6% population • These are “leading edge” digital consumers – Early adopters – Diffusion of innovation? • Scarborough USA+ (national database) was used – 6-month sample of 111,051 – 5,672 Digital Savvy – US projection: 13.8 M adults – August 2006 – March 2007 measurement period 7 Copyright 2008 Scarborough Research 71
  • Three Key Questions •Who is the Digital Savvy consumer? •To what extent are the Digital Savvy different from the general population? – E.g., qualitative profile of the early cable TV audience was distinct from the ultimate profile at critical mass penetration – “Early adopter” phenomenon •To what extent does behavior of the digital savvy presage the impact of technology on the general population? 8 Copyright 2008 Scarborough Research 81
  • The Digital Savvy Where they Live 9 Copyright 2008 Scarborough Research 91
  • The Digital Savvy Skew Locally Top-10 Digital Savvy Cities (DMAs, Index) Austin 197 Las Vegas 171 Sacramento 162 San Diego 161 Washington DC 154 6 of the top 10 Digitally Seattle 146 Savvy cities are in the West Phoenix 144 Chicago 139 New York 138 San Francisco 137 Digital Savvy Index 10 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 101
  • Digital Savvy Consumers Across Markets 6% of all adults are Digital Savvy (DMAs / %) 16 Austin Las Vegas 14 Green Bay 12% Sacramento 1% 12 San Diego Los Angeles 10% 7% 10 8 6 4 2 0 Colo. Springs Syra San Diego ATL Memphis Grand Rapids Ft.Myrs Dallas DesMoines Richmond Albuq Wichita NY Wash DC Phx Det. Orlando Fresno Nash. Phila. Knox Clev. GB Balt Birm Tucson Dayton W.Palm Bch Honolulu Mobile Charleston Austin Roch Little Rock Harrisburg Norfolk Louisville Wilkes Barre Greenville LA 11 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 111
  • Digital Savvy Who they Are (Demographics) 12 Copyright 2008 Scarborough Research 121
  • Digital Savvy are More Likely to be Male 140 120 116 100 85 80 60 Men Women Digital Savvy Index 13 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 131
  • The Digital Savvy Consumer is Younger 77% of Digital Savvy are under the age of 44; more than half are under 34 36 77% 32 31% 28 24% 24 22% 18% 19% 19% 20 17% 16% 16 13% 14% 12 7% 8 4 1% 0 18-24 25-34 35-44 45-54 55-64 65 + Total Population Digital Savvy 14 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 141
  • The Digital Savvy Consumer is Upscale 57% of Digital Savvy consumers live in a household with an income of $75k or more 36 32 81% 57% 28 24 21% 21% 20 18%19% 18% 18% 15% 15% 16 12% 12% 12 10% 9% 8% 8 5% 4 0 Less than $25,000 - $40,000 - $50,000 - $75,000 - $100,000 - $150,000 $25,000 $39,999 $49,999 $74,999 $99,999 $149,999 or more Total Population Digital Savvy 15 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 151
  • The Digital Savvy are More Likely to be White Collar 160 148 140 120 100 91 80 White Collar Blue Collar Digital Savvy Index 16 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 161
  • Digital Savvy are More Likely to be Single or Married with Children 150 143 138 96 100 76 57 50 Married Divorced Never married Married with Married without (single) Children Children Digital Savvy Index 17 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 171
  • The Digital Savvy Consumer is More Educated 36% of Digital Savvy have a college degree or more vs. 24% of total consumers 50 40 36% 32% 28% 29% 30 20% 20 13% 13% 9% 10 7% 4% 2% 3% 0 Some High School Some College College Grad. Some Post Post Graduate High School graduate (not graduate, (4 Year College) Graduate Degree (not graduate) AA/ Associates) (no advanced degree) Total Population Digital Savvy 18 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 181
  • The Digital Savvy Are More Entrepreneurial (%) 14 12 11% 10 9% 8% 8 7% 6 4% 4% 4 2 0 Self-employed Work at home Small business owner Total Pop Digital Savvy 19 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 191
  • The Digital Savvy are More Involved in Corporate Purchasing Decisions (%) Company purchasing decisions participated in past 12 months 25 23% 20 16% 15 14% 12% 11% 10 9% 9% 7% 5% 5% 5% 5 4% 4% 4% 2% 2% 0 Computer Information technology Telephone/communication Temporary personnel hardware/software (network/Internet) services services Office equipment Travel/Convention Telephone/Communication Company Healthcare (Photocopier / Fax Arrangements Equipment Programs Machine etc) Total Pop Digital Savvy 20 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 201
  • Digital Savvy Are More Likely to be Asian or U.S. Born Hispanic 200 182 150 121 108 95 94 100 67 50 0 White Black/African Asian Total US-Born Foreign-born American Hispanic Hispanic Hispanic Digital Savvy Index 21 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 211
  • Digital Savvy Have a Distinct VALS™ Profile (%) Innovator (Index, 186) •Sophisticated •Leaders of Change •Active Consumers Achiever (Index, 128) •Tastes for Upscale •Committed to Career & Family Experiencer (Index, 152) •Niche Products/Services •Image is Important •Young, Enthusiastic, Impulsive •Products/Services Demonstrate Success •Self-Expression 25% •Efficient / Time Saving •Active / Social •Active Consumers 22% •Fashion, Entertainment and Social oriented Spending 18% 17% 15% 15% 13% 13% 12% 11% 11% 10% 9% 7% 3% * Innovator Thinker Believer Achiever Striver Experiencer Maker Survivor Total Pop Digital Savvy Adults 22 Copyright 2008 Scarborough Research 221 ”Survivor” Digital Savvy Respondent count too low to report
  • The Digital Savvy Have a Distinct Demographic Profile Persons 18+ Digital Savvy • M (49%) / F (51%) • M (56%) / F (44%) • Median age: 45 • Median age: 34 • Median Income: $54,000 • Median Income: $84,000 • Single: 25% • Single: 36% • Married with Children: 28% • Married with Children: • College Grad +: 24% 38% • Entrepreneurial*: 11% • College Grad +: 36% • Entrepreneurial*: 14% • Greater ethnic diversity among group *Entrepreneurial: Defined as Small Business Owner or Self-Employed 23 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 231
  • Digital Savvy Lifestyles & Shopping Patterns 24 Copyright 2008 Scarborough Research 241
  • Audio / Video Stores Bought Past Year Wholesalers are popular A/V stores among the Digital Savvy Costco 255 Circuit City 219 Sam's Club 213 Best Buy 211 Target 203 RadioShack 192 Sears 171 Any 142 Wal-Mart 125 Kmart 115 Digital Savvy Note: Audio/video stores bought past 12 months (HHLD) 25 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 251
  • Digital Savvy are Luxury Consumers 68% 56% 27% 18% 15% 13% 12% 13% 12% 9% 7% 4% 6% 3% Any Own/Lease Spent $500+ Spend $20+ Investment Upscale Luxury Vehicle Financial On Men/Women Second On Bottle (HHLD) Restaurant Planner Business Clothing Home of Wine (past month) (Used past year) Total Pop Digital Savvy Adults 26 Copyright 2008 Scarborough Research 261
  • Digital Savvy Have Slightly Above Average Political Participation (%) 83% 80% 80 76% 71% 60 Total Pop Digital Savvy 40 19% 20 16% 10% 8% 0 Yes Always Sometimes Never Registered to vote How often usually vote in in district of residence presidential elections 27 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 271
  • Digital Savvy are More Likely to Be Independent 160 155 140 Digital Savvy Index 120 107 110 98 99 100 80 67 60 Democrat Independent, but Independent Independent, but Republican None of these feel closer to feel closer to Democrat Republican 28 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 281
  • The Digital Savvy are Active and Athletic Basketball 198 Yoga/Pilates 196 Free weights/Circuit Training 195 Jogging/Running 191 Bowling 189 Photography 171 Hiking/Backpacking 160 Golf 155 Swimming 152 Bicycling 149 Digital Savvy Index Foreign trip (Past 3 years) 143 Adult continuing ed 142 Camping 132 Volunteer work 130 Fishing 100 Sewing/Crafts 96 Gardening 91 Hunting 64 Note: Activities engaged in during the past 12 months 29 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 291
  • Digital Savvy are More Likely to be Fans Across Sports Leagues (%) 80 72% 61% 63% Nearly one-quarter of 60 the Digital Savvy are fans 51% 51% of the MLS 39% 40 34% 25% 24% 20 14% 0 NFL Fan MLB Fan NBA Fan NHL Fan MLS Fan Total Pop Digital Savvy Note: A “fan” is defined as someone who is “Very,” “Somewhat,” or “A Little Bit interested” in the sports league 30 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 301
  • Digital Savvy are More Likely to be Travelers… (%) 100 82% 80 70% 60 54% 38% 40 20 16% 12% 0 1+ domestic personal/vacation trip 1+ trips outside of Continental US Any cruise line used within the past 3 past year past 3 years (personal reasons) years Total Pop Digital Savvy 31 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 311
  • …And to a Variety of Interesting Destinations! 300 Places visited outside the continental U.S. past 3 years 280 258 250 204 200 193 192 185 175 165 157 150 96 100 69 50 Japan/China Middle East Hawaii Central/South Bahamas UK Any Canada Any Europe Any Mexico Alaska None Far East America Digital Savvy Index 32 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 321
  • Digital Savvy Internet Behaviors Internet Connections Sites Visited Online Shopping/Buying Patterns 33 Copyright 2008 Scarborough Research 331
  • Type of Internet Connection in HHLD (%) Broadband (Cable or DSL) 84% 47% DSL 44% 25% Cable modem 41% 22% Dial-up 9% 17% Other connection 6% 5% None 3% 32% Total Pop Digital Savvy 34 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 341
  • Ways Online Services Used: Household/Personal Tasks & Consumer Shopping 120 100 96% 80 67% 60% 60 39% 37% 40 29% 26% 19% 20 12% 14% 16% 9% 0 E-mail Pay bills Job/Employment Auction Site Travel Real Estate Search Reservations Listings Digital Savvy Total Pop 35 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 351
  • Ways Online Services Used: News & Information From weather & news to the Yellow Pages and sports scores, the Digital Savvy go online for a wide variety of info (%, Past 30 Days) 80 68% 65% 60 49% 40% 39% 38% 38% 40 33% 30% 29% 28% 28% 22% 20 18% 18% 15% 16% 16% 15% 13% 13% 11% 12% 8% 6% 5% 4% 4% 0 Weather News Movie Internet Financial Blogs Sports Local Auto Medical Radio Broadcast Cable Traffic Listings Yellow Info Scores Events Info Info Station TV Site TV Site Pages Site •Digital Savvy •Total Pop 36 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 361
  • Ways Online Services Used: Entertainment The Digital Savvy are heavy downloaders of music and video – they also watch 80 TV online (%, Past 30 Days) 69% 58% 60 52% 41% 40 33% 31% 19% 20 17% 15% 13% 13% 12% 12% 11% 14% 9% 10% 6% 4% 3% 4% 2% 3% 2% 0 DL IM DL Games Listen to Other DL /Watch DL Video Casino DL Fantasy Personal Music/A Watch/Video Radio Games TV Programs Games Games Podcasts Sports Ads / Dating udio Digital Savvy Total Pop 37 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 371
  • Digital Savvy are Heavy Online Spenders… Amount spent online, past year(%) 25 54% 35% 20 19% 18% 17% 15% 15 12% 10% 10 9% 9% 9% 6% 6% 5 0 Less than $100 $100 - $249 $250 - $499 $500 - $999 $1,000 - $2,500 or more $2,499 Total Pop Digital Savvy 38 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 381
  • …Across Many Categories Retail Items Bought Online, Past 12 Months (%) 44% 42% 40 Total Pop Digital Savvy 30% 19% 20% 20 18% 18% 15% 15% 15% 10% 9% 7% 7% 8% 6% 5% 4% 3% 3% 4% 1% 0 Books Clothing Music Toys Office Health Flowers Sports Pet Groceries Wine /Games Supplies /Beauty Apparel Supplies Items 39 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 391
  • Entertainment/Travel Bought Online, Past 12 Months (%) 40% 40 33% 19% 20 17% 14% 14% 14% 5% 5% 4% 0 Airline tickets Other travel Movie tickets Cultural event tickets Sporting event tickets Total Pop Digital Savvy 40 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 401
  • Household Items Bought Online, Past 12 Months (%) 30% 30 24% 23% 20 11% 10% 9% 10 6% 5% 6% 4% 2% 2% 0 Computer Consumer Other Prescriptions Insurance Vehicle hardware/software electronics products/services Total Pop Digital Savvy 41 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 411
  • Sites Visited Past 30 Days ESPN.com 300 NFL.com 293 CNN.com 291 Ask.com 272 Amazon 268 MSNBC.com 253 eBay 249 Hotmail 238 FOXNews.com 226 Digital Savvy Index Weather.com 220 MSN 219 The Digital Savvy are three times more likely than the national ABCNews.com 213 average to have visited ESPN.com in the past month, but only 38% more likely than total adults to have watched MapQuest 199 ESPN on cable within the past week AOL 195 Yahoo! 190 Google 181 Note: Subsection of the ‘Sites Visited Past 30 Days’ category in Scarborough’s database 42 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 421
  • The Digital Savvy Use their Cell Phones Extensively for Communication and Information Wireless/Cell Phone features currently use 88% 80 72% 66% 59% 60 51% 46% 42% 38% 40 31% 27% 20% 19% 20 15% 11% 10% 8% 6% 8% 7% 2% 0 Text Camera/ Download E-mail Picture Instant Other Download Stream Push To messaging picture ring tones messaging messaging Internet video video clips Talk - 2 taking features games way Total Pop Digital Savvy Note: Wireless features were incorporated into the Digital Savvy definition, and this will impact the percentages 43 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 431
  • Digital Savvy What they Watch What they Listen To What they Read How they Commute 44 Copyright 2008 Scarborough Research 441
  • Digital Savvy are Slightly Heavier Radio Listeners 150 117 107 104 101 100 71 50 0 Q1 - Heaviest Q2 Q3 Q4 Q5 - Lightest Listeners Listeners Digital Savvy Index for National Radio Quintile Notes: Base of combined 79 local markets. Media Quintiles distribute the population into 5 equal groups based on levels of media usage. Quintile 1 shows the heaviest users, Quintile 5 shows the lightest users. 45 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 451
  • The Digital Savvy Listen to a Wide Variety of Radio Formats Alternative 216 Rhythmic Contemporary Hit 173 Pop Contemporary Hit Radio 170 All Sports 149 Urban Contemporary 144 Talk/Personality 141 Hot AC 141 Urban AC 136 Album Oriented Rock 135 Active Rock 133 Adult Hits 132 All News 120 Classic Rock 118 Adult Contemporary 113 Contemporary Christian 107 News/Talk/Information 105 Classic Hits 98 Country 90 Oldies 79 Digital Savvy Index Radio Format Profiles (M-Sun 6am – Mid cume). Criteria for inclusion: Formats with 5% minimum penetration of format nationally 46 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 461
  • Digital Savvy are About Average Newspaper Readers 150 109 108 92 99 92 100 50 0 Q1 - Heaviest Q2 Q3 Q4 Q5 - Lightest Readers Readers Digital Savvy Index for Newspaper Quintile Note: Media Quintiles distribute the population into 5 equal groups based on levels of media usage. Quintile 1 shows the heaviest users, Quintile 5 shows the lightest users. 47 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 471
  • Newspaper Section Readership of the Digital Savvy 80% 73% 70% Digital Savvy follow a similar pattern to average adult with newspaper 70% 65% 64% section readership, with news and entertainment being their most read 60% sections of the newspaper 49% 47% 50% 47% 46% 45% 44% 44% 43% 41% 41% 41% 41%40% 42% 41% 39% 39% 39% 36% 35%36% 38% 40% 35%35% 32% 32% 30% 20% 10% 0% e/G l gs od Cl ar s s gs t/L ws es ews tio ics ad hion i e ds Lo a ge n om tori a e le h ort Sc arde nc ec ti n sty tin M ssi fie e m Fo l rcu tP Sp n nm al N i na /T Co Lis s Lis i ife Fa Ed Bu nal ce Ci s/F ron a io c ien /F ov en na si n ws /R H al/ Ne TV tai on ter a ti ain Total Adults Digital Savvy En ern M Int 48 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 481
  • National Newspapers: Daily Readership Digital Savvy are more likely than all adults nationally to read the top three national newspapers in an average weekday 250 203 200 186 161 150 100 50 0 USA Today Wall Street Journal The New York Times Digital Savvy Index 49 Copyright 2008 Scarborough Research 491
  • The Digital Savvy are Much More Likely to be Exposed to Out-of-Home Advertising 150 143 114 100 95 89 59 50 Q1 - Most Q2 Q3 Q4 Q5 - Least Exposure Exposure Digital Savvy Index for Miles Traveled Quintile Note: Media Quintiles distribute the population into 5 equal groups based on levels of media usage. Quintile 1 shows the heaviest users, Quintile 5 shows the lightest users. 50 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 501
  • Out-of-Home Advertising: Time Spent Commuting to Work One Way Digital Savvy adults are more likely to have a longer commute time; based on employed adults 150 125 118 112 104 100 88 84 75 Less than 10 10 - 19 minutes 20 - 29 minutes 30 - 59 minutes One hour or more minutes Digital Savvy Index 51 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 511
  • Digital Savvy are Lighter TV Viewers… 150 130 117 101 100 86 65 50 0 Q1 - Heaviest Q2 Q3 Q4 Q5 - Lightest Viewers Viewers Digital Savvy Index for National TV Quintile Notes: Media Quintiles distribute the population into 5 equal groups based on levels of media usage. Quintile 1 shows the heaviest users, Quintile 5 shows the lightest users. 52 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 521
  • …But are more likely to subscribe to premium and higher-end television services 80 65% 61% 60 43% 40 36% 32% 32% 28% 28% 20% 22% 20 0 Subscribes to Digital PPV Premium Satellite Dish Cable (HHLD) Cable Usage* Channels (Connected to HHLD) Total Pop Digital Savvy * Pay Per View Usage - Have used PPV 1+ times within the past 12 months 53 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 531
  • Cable TV: News Networks The Digital Savvy are More Likely to Tune into MSNBC, CNN and CNBC; less likely to watch the FOX News Channel 180 157 160 140 130 125 117 120 96 94 100 80 MSNBC CNN CNBC CNN Headline The Weather FOX News Channel News Channel Digital Savvy Index 54 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) Cable networks/stations (non-premium) watched past 7 days 541
  • Cable TV: Sports Networks 200 188 180 162 161 160 147 143 141 138 140 125 123 120 103 100 80 ESPNews NFL ESPN CSTV ESPN2 FSN (FOX ESPN FOX Speed The Golf Network Classic (College Sports Net) Soccer Channel Channel Sports TV) Channel Digital Savvy Index 55 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) Cable networks/stations (non-premium) watched past 7 days 551
  • Cable TV: Educational/Informational Networks 180 166 160 148 140 130 129 127 123 118 115 120 113 100 80 DIY (Do It Discovery The Discovery Food Network HGTV The Travel The History National Court TV Yourself) Health Channel (Home & Channel Channel Geographic Garden) Channel Digital Savvy Index 56 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) Cable networks/stations (non-premium) watched past 7 days 561
  • Cable TV: Family/Teen/Ethnic Networks 400 380 350 300 274 250 243 250 237 237 233 222 200 200 189 187 178 178 169 161 150 142 142 142 129 109 108 107 100 74 57 50 e 2 1 4 in V le T k al e n y te ly y n E e es rk n e N Fus TV VH G ogg MT Sty BE twor entr hoic deo isne t Ni ami isne xyge GSN W fetim ovi llma visio Th o F D O Li e M Ha ala M N Ne dy C sic C ckel on D ick a BC n e u i o G im rtoo om M N T N A fet Ca C Li Digital Savvy Index 57 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) Cable networks/stations (non-premium) watched past 7 days 571
  • News/Talk Broadcast TV Genres Viewed, Past 7 Days The Digital Savvy are More Likely to Tune into News and Talk Shows at Night Late night talk 147 News magazines 133 Local news - late 109 Digital Savvy Index National/network news 106 Daytime talk shows 91 Local news - morning 85 Local news - evening 76 58 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 581
  • Conclusions & Implications 59 Copyright 2008 Scarborough Research 591
  • The Digital Savvy are More Likely to Be: • Male • Hungry for Information; Look for it Online • Young • Heavy, Diverse Online Spending • Affluent • On-the-go, Rely on Cell Phones for • Single or Married with Communication / Info Children • Download TV / Video Programs Online • Entrepreneurial, Business Decision Makers • Heavier Radio Listeners • In the West • Politically Independent (geographically) • Active & Athletic • Travelers / Vacationers 60 Copyright 2008 Scarborough Research 601
  • Conclusions • As online spending continues to rise, the Digital Savvy are becoming a more important group to monitor • They are heavy online spenders and are at the cutting edge of eCommerce • Distinct Shopping Preferences – Luxury shoppers, spend a significant amount of money online, Shop wholesalers for tech goods – As online shopping increases, price comparisons may become more mainstream • The Digital Savvy have a desirable skew but a more elusive demographic profile – Younger, Male, More Affluent, Decision Makers • Digital Savvy consumers are strongly acclimated to the Internet – For information – For goods & services – For communication 61 Copyright 2008 Scarborough Research 611
  • Conclusions • They are engaging with content across platforms, and their mix is likely to be changing – Internet – Phone – Traditional Media • Digital Savviness may be fueled by: – Working from Home – Out-Of-Home Lifestyle – Presence of Children – Affluence – Increasing Cell Phone Usage – Perceived Benefits of Online Shopping 62 Copyright 2008 Scarborough Research 621
  • Conclusions •Media brands should continue to expand into digital platforms – Online, cellular/wireless •In developing marketing and media strategies, marketers should consider: – The desirable profile of the digital savvy, who can be disproportionately reached in emerging digital platforms – The impact of “NOW” since the Internet and cellular devices are platforms in which consumers can see marketing messages and make purchases – Retailers should take advantage of the on-the-go nature of the Digital Savvy: Reach Digital Savvy with messages based on “situational aspects” of cell phone usage 63 Copyright 2008 Scarborough Research 631
  • More About the Digital Savvy Segmentation 64 Copyright 2008 Scarborough Research 641
  • Honing in on the Digital Savvy • Scarborough measures behaviors directly related to the technological orientation of the American consumer – Household technologies: Digital cameras, HDTV, VOD, DVR, computer ownership, etc. – Ways online services used: Online shopping/buying, time spent online, broadband connections, etc. – Cell Phones: Ownership, features used, etc. • We selected and isolated 18 of these behaviors in our database for this special analysis • Items were selected based on the ratio between their “tech savvy” and occurrence – For example, digital camera ownership was not included in this segmentation because of its common occurrence in the mainstream, therefore it does not suggest tech savvy. The Digital Savvy are more apt to buy/use consumer electronics that are new and emerging and ‘pave the way’ for its mainstream usage. • For each respondent from our national USA+ database, we tabulated how many of the 18 characteristics were satisfied • We classified individuals with 8 or more of these characteristics as “Digital Savvy” 65 Copyright 2008 Scarborough Research 651
  • Digital Savvy Score Distribution A score of 8 or more projects to 13.7 million adults nationally, or 6% of all consumers 23.3 % 18.6% 14.8% 11.9% 9.2% Respondents with a Digital Savvy Score of 8 or 7.2% More = 5,672 5.1% 3.8% 2.4% 1.4%1.1% 0.6%0.3% 0.1% > 0.2% 0.1% 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Digital Savvy Score 66 Copyright 2008 Scarborough Research Source: Scarborough USA+ Release 1, 2007 (August 2006 – March 2007) 661
  • About Scarborough Research 67 Copyright 2008 Scarborough Research 671
  • Introduction to Scarborough Research Who is Scarborough Research? ● U.S. leader in local, regional and national consumer research with 35 years of experience ● Partnership between The Nielsen Company and Arbitron, Inc. ● Accredited by the Media Rating Council What is Scarborough Research? ● Comprehensive, syndicated annual survey of 81 Top-Tier and 15 Mid-Tier local markets ● Annual sample of 220,000+ adults • Average local market samples range: 2,000 to 11,000 ● Measures demographics, shopping/retail behaviors, product consumption, entertainment/leisure, media usage ● Two-phase study: Randomly dialed telephone interview, followed by mailed, self-administered consumer questionnaire and a TV diary 68 Copyright 2008 Scarborough Research 681
  • Scarborough Measurements At-A-Glance Shopping/Retail Product/Service Entertainment/ Media Behavior Consumption Lifestyle • Shopping Center / Malls • Alcoholic/Non- • Sports Involvement • Newspaper • Department Stores Alcoholic Beverages • Events Attended • Radio • Drug Stores • Automotive • Leisure Activities • TV-Broadcast • Supermarkets • Banking & Financial • Voting Behavior • TV-Cable • Convenience Stores • Computers • Prizm, Personicx • Niche Publications • Discounters • Fast Food & Microvision, Cohorts • Out-of-Home • Mass-Merchandisers Restaurants • Direct Mail • Specialty Shops • Home Improvement • Yellow Pages • Clothing Stores Demographics • Internet • HealthCare/Insurance • Sporting Goods • Travel • Digital Media • 25 Individual & HH • Furniture Stores • Business-to-Business Level Measures • Coupon Usage • Internet Usage • Lifestyle Changes • Online / Offline Purchase • Telecommunications Segmentation Partners • Pharmaceutical • Cell Phone Use • SRI (VALS) • Acxiom (Personix®) • Claritas (PRIZM, etc.) • Thomson (HouseHold View ®, etc.) 69 Copyright 2008 Scarborough Research 691
  • Source & Contacts SOURCE: Scarborough Research, Scarborough USA+ Release 1 2007 (6 months). Scarborough USA+ is a national study of consumer behaviors. The measurement period for the study was August 2006 – March 2007. CONTACTS: General Inquiries: Gary Meo, Senior Vice President, Print and Digital Services gmeo@scarborough.com / 512-250-2206 Julie O’Donnell, Director, Stat Shop Services jodonnell@scarborough.com / 678-455-6213 Members of the Press: Allyson Mongrain, Director, Marketing & Communications amongrain@scarborough.com / 703-451-3174 70 Copyright 2008 Scarborough Research 701