IN S I G H T                                                                                                              ...
habits of online consumers conductedspecifically for GMR.  Clearly, connected consumers haveaccess to a vast number of med...
IN S I G H T                                                                                                              ...
IN S I G H T                                         © Corbis84 Gulf Marketing Review December 2008
Comparing NotesA comparative analysis of media consumption across the GCC reveals somesurprising regional variations says ...
IN S I G H T                                                                                                              ...
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Changing #media landscape in the GCC (GMR, 2008)


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How digital is changing the #media landscape in the GCC. Published in Gulf Marketing Review, December 2008.

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Changing #media landscape in the GCC (GMR, 2008)

  1. 1. IN S I G H T © PhotolibraryHold The Front PAgeGMR exclusive: Digital is changing the media landscape in the GCC. Publishedfor the first time, Maktoob Research examines the implications state by state.Until recently, marketers could afford tries, other GCC countries are catching or has it merely added another dimensionto relegate the impact of digital media up quickly. A third of Saudi residents to the media mix?on the larger media landscape to the are already online and Kuwait has one As internet penetration continues torealm of long-term thinking, since so of the region’s fastest growing broad- increase dramatically around the region,few of their target consumers even had band markets. how will these newly connected audiencesaccess to the internet. The growth of digital and interactive – soon to represent a majority in most But times have changed. media over the past few years in the GCC Gulf countries – change their usage and While the UAE’s internet penetration has added a whole slew of new choices consumption of traditional media?(at approximately 60 per cent) is already for consumers. But is online changing These are the questions we undertookcomparable to many European coun- consumer habits in fundamental ways, to answer in a recent study of the media80 Gulf Marketing Review December 2008
  2. 2. habits of online consumers conductedspecifically for GMR. Clearly, connected consumers haveaccess to a vast number of media com-peting for their attention, and so it is nosurprise that the study found a large levelof fragmentation in media habits. On average, 3-4 different media channelsare being valued the most, trusted themost, and would be missed the most. However, the most striking patternacross the board is how quickly the in-ternet has supplanted such traditionalpowerhouses as magazines, radio andeven local FTA TV. For the connected GCC consumer,only satellite TV and newspapersconsistently figure in the top five oftheir media mix. This is especially surprising consider­ing the relatively slim breadth of digitalcontent and services currently on offerin the Arabic language. The only area where TV holds acommanding lead is its perception byconsumers as a more credible sourcefor news. © ArabianEye.comWeb and search trump TV and newspapersas most valued by connected consumersIt is clear that online media is takingin an increasing share of consumers’daily media consumption – websitesand search engines came out on top Trust issues: satellite Tv is the most creditable news source in the gccas being most valued by consumers,closely followed by satellite TV and Most Valued Medialocal newspapers. Website 50% Not all online media sources seem Search engines 49%to be highly valued though: blogs, RSS Satellite TV 45%news feeds, videocasts and podcasts Local newsapapers 44%trail at the end of the list, a possible Email newsletters 39%reflection of the lack of interesting 0% 10% 20% 30% 40% 50% 60%Arabic content currently available inthese categories. Most Trusted Media Satellite TV 42%TV still most trusted, but web gaining Website 38%When it comes to news reporting, satellite Local newspapers 30%TV is widely seen by consumers as their Local free-to-air TV 28%most trusted source for credible news, International Newspapers 24%followed by websites. Source: Maktoob Research October 2008 0% 10% 20% 30% 40% 50% Overall, offline media channels are stillmore often seen as more credible sources s December 2008 Gulf Marketing Review 81
  3. 3. IN S I G H T than online media channels. Nevertheless, it is striking that web­ ites score on a s par with local newspapers for trust, and quite a bit ahead of local TV, magazines and international newspapers. Another interesting finding is that word- of-mouth scores extremely low, even though these sources have the most influence on consumers’ purchase decisions. And, again, blogs, RSS news feeds, videocasts, podcasts and celebrity endor- sement come at the end of the list. Nothing beats WoM © Word-of-mouth avenues such as recom- mendations from family, friends, and co-workers have the greatest bearing on consumers’ purchase decisions. poor reception: radio doesn’t register highly in regional media consumption Company websites follow as the most influential online medium influencing Most Influencial Media purchase intent, followed by search Recommendations from family/friends 43% engines, which reflects the tendency Company website 28% of many connected consumers to check Recommendations from co-workers 28% online first to search for information Local newspapers 23% pertaining to products or services that Search engines 23% interest them. Again, blogs, RSS news feeds and 0% 10% 20% 30% 40% 50% videocasts/podcasts are at the bottom Most Missed Media of the list. Search engines 39% Websites 37% On a desert island, GCC consumers choose Satellite TV 32% the internet over TV Local newspapers 26% The two media sources that would be Local free-to-air TV 24% missed the most if these were not availa- Email newsletters 24% ble are search engines and websites, far ahead in the ranking compared to other Source: Maktoob Research October 2008 0% 10% 20% 30% 40% 50% media sources. The first offline media that follows is About the survey satellite TV (3rd position). Understandably, there is a high correlation The Maktoob Research Media Usage Survey was conducted online for GMR within the GCC between the most valued and the most between 6-13 October 2008 among 2,586 respondents aged 15 years or older whose age, missed media; ie, the more consumers gender, nationality are in line with their actual proportions in the population within their value the media, the more they would respective countries. miss it if it were not available. n Launched in September 2006, Maktoob Research combines the region’s largest on­ line consumer panel with the latest in international online research standards, to provide marketing professionals with better insights on consumer needs and expectations through a ­ omplete research package, including survey programming, translations and hosting, c fi ­ eldwork, analysis, reporting and consultancy. Email: – Tel: +971 4 391 3640 Tamara Deprez Website: is the general manager of Maktoob Research82 Gulf Marketing Review December 2008
  4. 4. IN S I G H T © Corbis84 Gulf Marketing Review December 2008
  5. 5. Comparing NotesA comparative analysis of media consumption across the GCC reveals somesurprising regional variations says Maktoob Research.Bahrain Kuwait Oman• Online media is the most valued source • The importance of search engines • Looking at the two types of media, of information for Bahraini residents, in is highest in Kuwait, with more than online and offline, Omani residents are particular websites and search engines. half of the Kuwaiti consumers saying more inclined to give higher importance• Significantly more Bahraini residents that it is the most valuable source of to offline media, with satellite TV on value their social networking sites com- information. Respondents also said it top of their list. pared to residents from other countries would be missed the most if it were The value they give to websites in the GCC. not available. is extremely low compared to other• Surprisingly, more consumers in Bahrain • Similarly, Kuwaiti residents do not give that GCC countries. are being influenced by magazines in much importance or value to satel- • The general population is more confident their buying decisions vis-à-vis other lite TV, as much as consumers in the in the news brought to them by offline GCC countries. other countries. media, which includes international/• For people living in Bahrain, satellite • In this part of the region, local news- local newspapers, satellite TV and local television is more credible than local papers are trusted more heavily than free-to-air TV. free-to-air TV. This is different when it any other offline media, which re- Omani residents rely very much on comes to printed news, as local news- flects the high level of maturity and satellite television in bringing them papers are seen to be more credible diversity of newspapers. trustworthy news. than international ones. This medium also has the greatest • Though the majority of connected• Blogs, recommendations from celebrities, influence on consumers’ buying de- consumers in the other GCC countries RSS feeds, and videocasts/podcasts are cision, which weighs more heavily would miss the internet the most if it not patronised by the general connected than websites and recommendations were not available, Omani consumers public in Bahrain. from co-workers. are less likely to miss it.Most Valued Media Most INFLUENTIAL MEDIA 49% 41% 54% 45%Websites 38% 50% Recommendations 41% 44% 47% 38% 53% from family/friends 48% 46% 23% 52% 32% 46% 22%Search engines 46% Company websites 23% 55% 32% 46% 20% 47% 25% 46% 29% 31%Satellite TV 51% 55% Recommendations 29% 31% 23% 47% from co-workers 27% 46% 26% 43% 23% 46% 22%Local newspapers 42% Local newspapers 23% 52% 28% 46% 16% 34% 19% 41% 25% 39% 16%Email newsletters 35% Search engines 20% 43% 23% 36% 28% 0% 10% 20% 30% 40% 50% 60% 0% 10% 20% 30% 40% 50% 60% Bahrain Kuwait Oman Qatar KSA UAE s December 2008 Gulf Marketing Review 85
  6. 6. IN S I G H T © PhotolibraryQatar United Arab Emirates high concentration of expats increases• The strong influence of search engines • Although magazines are not included the demand and importance. and websites on the purchase decision in the top list of most valued media, • Expats also value most of the online of consumers in most parts of the region UAE residents (especially women and and global media to keep up with current is, however, weaker among consumers English-speakers) give them more impor- events in their home countries. in Qatar. tance compared to other GCC countries.• The media they said they value the M ­ agazines also have considerable influence Saudi Arabia most are also the ones they will miss on their buying decisions. • Decisions by housewives and younger the most if they were not available. • While they may not give much importance generations of residents are generally These are search engines and websites to blogs, the youth sees them as a very more influenced by family and friends for online media, as well as ­ atellite s valuable source of information. than other demographics. TV and local newspapers for offline • The older people get, the more they • Nationals give higher importance to media. value and trust satellite TV. Also, the local newspapers. nMost Trusted Media Most Missed Media 43% 31% 41% 41%Satellite TV 43% 52% Search engines 38% 41% 33% 43% 46% 40% 36% 36% 42% 40%Websites 23% 31% Websites 31% 29% 40% 36% 38% 35% 34% 31% 27% 31% 34%Local newspapers 30% 34% Satellite TV 38% 39% 24% 31% 36% 32% 26% 30% 25%Local free-to-air TV 24% 33% Local newspapers 26% 31% 27% 34% 22% 24% 28% 24% 21% 26%International 28% 30% Local free-to-air TV 22% 23% 27% 22%newspapers 22% 22% 20% 26% 19% 0% 10% 20% 30% 40% 50% 60% Email newsletters 22% 29% 19% Bahrain Kuwait Oman Qatar KSA UAESource: Maktoob Research October 2008 0% 10% 20% 30% 40% 50% 60%86 Gulf Marketing Review December 2008