We kicked off a new programming season with a Luncheon Thursday, September 19th at Fogo de Chao, downtown. The room was filled with 40+ marketers all eager to learn how Vladimir Jones and The Broadmoor use new media to put heads in beds. The presentation was packed with useful facts and real life examples. Check it out!

1. 2014 Media Landscape
The Broadmoor Resort - Vladimir Jones
September 2013

2. Media Landscape :: The new ecosystem
Digital is the hub of transformation, across all media types.
Visual Auditory Experiential
TV, Video, Print and anything
consumed with the eyes
- Visual dominates the landscape;
all forms of consumption are up
– and print is seeing companies
y
Radio, MP3s, Streaming
- AM/FM Radio Still Matters
- “Radio” is both digital and terrestrial
p
Place-based & Out of Home
- Continued expansion of OOH – into
the fabric of everyday lives and
unexpected places
Visual, Auditory and Experiential
opportunities all include an
p g p
that are learning to make it
work
Digital
2
opportunities all include an
element of Digital in their offerings
g
Web, Social, Mobile
Visual, Auditory and Experiential opportunities all include an element of Digital in their offerings

3. 2013 highlights :: An alternate video universe
Video consumption will remain strong… but continue to evolve.
Messages live across platforms, but come to life for consumers differentlyg p , y
in each space.
• Use of the 15-second video ad
has decreased steadily; the 30-
second ad gained share
• Video completion rates are at an
all-time high across content
lengths
- 93% for long-form content (20+
minutes)
- 81% for mid-form content (5-20
• Video-viewing smart
phones, tablets, game
consoles, etc.,
continues to rise
- 12% of total video viewing
• Video ad volume spiked 47%
- Pre-roll volume rose 45%
- Mid-roll rose 60%
minutes)
- 68% for short-form content (<5
minutes)• Premium content being
consumed online
continues to rise, 23%
YOY
3Source: Free Wheel Video Monetization Report

4. 2013 highlights :: Audio reconstruction
A blending of traditional and non-traditional audio platforms.
Digital and terrestrial radio schedules being evaluated, bundled and
h d t thpurchased together.
• Pandora has integrated audience data into media-buying
platforms
C di ti id b id ith t t i l di t ti- Compare audience ratings side by side with terrestrial radio stations
• Provides context to the online listening
audience
- Adds digital targeting abilitiesAdds digital targeting abilities
- Adds size and scope of online listening
universe
• Simplifies the evaluation and
purchasing of online audio
- There are currently around 500 licensed
digital music services
4

5. 2013 highlights :: Mainstreaming tablets
A cultural shift – to the new mobile consumer.
Similar to the trajectory of mobile phones, in adoptionj y p , p
• Tablets are redefining how people consume news and
information
- There are 70 million tablet users in the U.S.*
o 2 in 5 U.S. tablet owners read
newspapers and/or magazinesnewspapers and/or magazines
o 1 in 10 reading publications
almost daily
o 93% use their tablets to browse
the Web
o 86% use them for email
o 70% use them to check the
news
5*Source: VivaKI

6. 2013 highlights :: The Fab Four
Th t t hThe great tech war.
Amazon, Apple, Facebook and Google continue to collide in markets for
mobile phones and tablets, mobile apps, social networking, and more.
The Post-PC World
• Each company embraced what Steve Jobs
branded the “post-PC world”
p , pp , g,
• A vision of daily life that is enabled by, and comes to
depend on, smartphones, tablets, and other small,
mobile, easy-to-use computers.
Facilitation of ConsumptionData Collection
The Battle
Field
p
• Used post-PC devices to encourage and
facilitate consumption
• Amazon, Apple, Facebook and Google don’t recognize
any borders; they march beyond the walls of tech into
retailing advertising publishing movies TV
• Leveraged activity on devices to produce
a wealth of data
• Data fuels new and better advertising systems (which
Google and Facebook depend on)
• Data fuels better insights into purchasing habits (which
6
retailing, advertising, publishing, movies, TV,
communications, and even finance
• Data fuels better insights into purchasing habits (which
Amazon and Apple want to know)
• Data also powers new inventions

7. 2013 highlights :: Broadcast
Reprioritization of media and marketing strategies.
The 2012–2013 Upfront season was weak – Conversely, cable had a stellar year,
with big hits such as The Walking Dead and Duck Dynasty
TV Networks
Total commitments down for broadcast
networks
Difficult to pursue CPM increases at historical
rates
A di t d ith ti dAudience guarantees down with ratings down
in current season
C bl N t kCable Networks
Up from previous year
Benefiting from original programming hits at
or higher ratings than network
7

8. 2014 Media Landscape

9. 2014 Media Landscape :: The consumption ecosystem
Consumers differentiate less in their consumption.
They move seamlessly amongst devices and platforms
M di ti i i i t li ht i d• Media consumption is increasing at lightning speed
- Average adult now spends 11.5 hours/day with
media
- U S adults will spend more than 5 hours per day- U.S. adults will spend more than 5 hours per day
online on non-voice mobile activities or with other
digital media this year, compared with 4 hours
and 31 minutes watching television.
Time spent with digital represents 43 6% of
Visual
- Time spent with digital represents 43.6% of
overall time spent with media. This data point
includes 19.4% spent on digital from a mobile
device, compared with 19.2% on laptops and
PCs (eMarketer 2014 Forecast)
Mobile
PCs. (eMarketer 2014 Forecast)
& Digital
Auditory
Place-based
9

10. 2014 Media Landscape :: TV’s continued visual revolution
Television remains king of audience reach.
It’s not a question of whether digital will kill TV. It’s a matter of how much
l ill b t d l t t diti l d di it l divalue will be created, or lost, as traditional and digital media merge across
interchangeable interactive screens.
• Leveraging – rather than cannibalizing – traditional television’s dominance
- Television’s net growth is
propelled by reach;
across any screenacross any screen.
- Social media support can
have significant impact
on ratings (i e TVon ratings (i.e., TV
profitability).
o Sharknado
o Super Bowl
10Source: The Multi-screen Advertising Playbook, Collective Media 2012

11. The Broadmoor:: Using data online
Closing in on the funnel – remarketing toward conversion
Through data aggregation, The
Broadmoor deploys re-messaging
and re-targeting
• Qualify audience that engages
• Consider sequential messaging with eachCo s de seque t a essag g t eac
data point learned
• Based on the user’s first
engagement, a message choice is
made for the next ad served
11

12. 2014 Media Landscape :: TV’s continued visual revolution
‘Disruptive’ and delayed viewingDisruptive and delayed viewing.
Less live TV, but more programming overall.
12

13. The Broadmoor:: Maximizing Visual Assets
Using Cinemagraphs – Online, OOH and Video
This technique was used to extend the print campaign into digital OOH,
li d TV t d l tonline and TV spot development
13

14. The Broadmoor:: Maximizing Visual Assets
Multi-use creative – Website & Advertising
By using the same TV video asset, The Broadmoor deploys online video
it ith ti CTA h i t d iunits with creative CTA mechanisms toward conversion
14

15. 2014 Media Landscape :: Print’s visual digitization
Long live Print?
The printed media holds ground – digital evolution progresses
• Users are spending more time accessing news content via Tablet andUsers are spending more time accessing news content via Tablet and
Smartphone than conventional computers
- Also visiting more pages in one setting and returning more frequently than on the PC
• 11.5% of tablet owners reading newspaper apps almost every day
• Newspaper brands need to follow Mags to capitalize and monetize
• Investor interest aids evolution
- Magazines/periodicals showed
even higher readership rates than
newspapers with 39.6% of tablet
di i th iowners reading magazines on their
device during the month
- Big opportunity in the social and
mobile realms
15

16. 2014 Media Landscape :: Print’s visual digitization
What is Newspaper’s new normal?
Circulation and ad revenue drops appear to have stabilized; but the
business model standard has not been establishedbusiness model standard has not been established.
• More than 400 of 1,300 U.S. newspapers now use a paywall
• Some are abandoning their paywall and moving to a premium modelSome are abandoning their paywall and moving to a premium model
(San Francisco Chronicle, Dallas Morning Star)
• Others are reinventing their model, trimming home delivery to 4 days/week with
digital PDF versions replacing paper versions on non-delivery days
(Cleveland Plain Dealer)(Cleveland Plain Dealer)
• Yet others are trimming the sizes of their papers to save on paper costs
(The Denver Post and St. Paul Pioneer Press)
16

17. The Broadmoor:: Direct & Print B2B
Engaging the finite Meeting Planner audience
Through a targeted direct mail
program, The Broadmoor was able
to reach a specific group of 1,500
• Subscription to Travel & Leisure
• Cross-over audience reach
Meeting Planners with a gift
C oss o e aud e ce eac
• Combining 1st party and 3rd party data
17

18. The Broadmoor:: Print & Circulation
Using print circulation for relevancy
By combining data with engaged
audiences – we can continue to
use print capabilities with targeted
• Controlled/Direct Inserts
• MediaMax or MNI Regional Print
efficiency
ed a a o eg o a t
• Conde Nast Traveler, Arch Digest, Vanity
Fair, New Yorker – DAL, HOU, DEN
18

19. 2014 Media Landscape :: Radio & audible growth
An emerging market of niches.
Both terrestrial and Internet radio are increasingly “going mobile”
• Terrestrial radio increasingly taking place in carsTerrestrial radio increasingly taking place in cars
• Internet radio increasingly taking place in the home on smartphones
and tablets… and cars
Terrestrial radio
Focus predominantly on prime dayparts (AM
Drive, Mid-day and PM Drive).
Leverage the human element of DJs throughg g
live reads or other interactive opportunities.
Online radio stations
Completely different approach – streaming can be
passive, break through the clutter to overcome a
visual platform in an audio realm.
19

20. 2014 Media Landscape :: Radio & audible growth
‘Freemium’ vs. Premium
The majority of music-streaming services follow ‘freemium’ and ad-
t d d lsupported models.
Pandora
Clear
Ch l
ESPN Radio
Channel
CBS R di
Digitally
ESPN Radio
• Targetability and reporting of
digital
• Impact of audio and visual CBS Radio
Digitally
Imported
• Impact of audio and visual
touch-points, with
engagement opportunities
• Captive audience
Cumulus
Media
Cox Radio
• Captive audience
20
SlackerEMF

21. 2014 Media Landscape :: OOH’s experimental outreach
No boundariesNo boundaries.
The lines have blurred between traditional and
non-traditional Out of Home; innovative thinking
iwins.
• Digital place-based targeting:
- Customization with different forms of digital
outdoor advertising will allow more clients tooutdoor advertising will allow more clients to
directly target specific audiences with:
o Providing an engaging medium
o Interactive displays
o LED technology
o Social Media crossover appeal
o Government or Private sub-contracting
21

22. The Broadmoor:: OOH
Using the inherent flexibility of digital posting
• Lower production costsp
• Allows for quick message adjustment
22

23. 2014 Media Landscape :: Tablet and mobile’s divergence
“M bil ” d ti i h lit i t t i il b t di ti t“Mobile” advertising has split into two similar but distinct
categories: tablets and smartphones.
Screen size differentiates usage
• Smartphone usage is influenced by ownership of other devices, particularly tablets
• Individuals who own both a tablet and a smartphone are likely to tend to use tablets
for any activity that works better on a larger screeny y g
- Includes browsing, e-commerce, video games, gaming and some social
network usage*
23*Source: www.deloitte.com/mobileconsumer

24. 2014 Media Landscape :: Tablet and mobile’s divergence
M l i i hiMulti-screen viewership.
Depending on content, creative and messaging – fragmentation presents
a unique opportunity for instant frequency.q pp y q y
• We’re getting closer to
sequential messaging,
across screensacross screens
• Benefits of Multi-
Screening:
- Multiple touch-points
- Content based
- Immediate engagement
24*Source: www.deloitte.com/mobileconsumer

25. The Broadmoor:: Interactive Tablet Usage
The Economist – Designing the audience experience
Using a leading brand to
carry our message to a
rapidly evolving audience
• Engagement through experience
is primary KPIs p a y
• Re-purpose execution for direct
sales efforts
• Cross-over audience reach
25

26. 2014 Media Landscape :: Digital’s… everything
New is the new normNew is the new norm.
• Measurement continues to play catch up with technology
• “Success” translates to established KPIsSuccess translates to established KPIs
• Advertisers are understanding the rapid evolution
- Reach for awareness goalsg
- Connection for likeability
- Engagement for Brand affinity
o Dwell timeo Dwell time
o Time spent
o Video completion
o CTA
o Variable roles for Creativeo Variable roles for Creative
o Flash vs. Rich
o Linking Offline & Online metrics
o NAVIS & The Broadmoor
26

27. 2014 Media Landscape :: Digital’s… everything
A rise of technology in buying as well.
Programmatic and exchange-based purchase options
• In a real-time media world, understanding how much to pay to talk to
someone is as critical as knowing which person to talk to
• DSPs, RTB, and ad exchanges proliferate in the current market
• Best Practice for Implementation:
- Stay balanced
- Success metrics
- Automate – don’t autopilot
Programmatic
p
- Data interpretation
- Controlled optimization Real Time Bidding
Ad ExchangesAd Exchanges
27

28. 2014 Media Landscape :: Digital’s… everything
Branded content is on the rise – still!
Four drivers of branded contentFour drivers of branded content.
1. Classic revenue streams are eroding
2. The “feed” creates a new norm
3. Brands double down on content
4. New Revenue – Product placement, stadium
naming, sponsored contribution
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29. 2014 Media Landscape :: Digital’s… everything
The ‘viewable’ impression.
A growing industry consideration.
• IAB Stance
- The five principles for creating digital
measurement solutions:
1 Shift f “ d” t “ i bl ” i i1. Shift from a “served” to a “viewable” impression
standard
2. Introduce an online Gross Ratings Point metric,
providing reach and frequency reporting of
viewable impressionsp
3. Implement a classification system and
taxonomy for banner, rich media and streaming
video ads
4. Define, standardize and accredit metrics for
view through reporting and cumulative socialview-through reporting and cumulative social
activity
5. Establish standards and vendor accreditation
to improve the methodology for online brand
attitudinal studies
29

30. 2014 Media Landscape :: Social’s ‘tween’ years
Declining influence… but a growth in initial reach.
Social plays a dominant role in the post-view engagement process.
There is a tangible decline as consumers forgo the social networking
• Consumers are becoming more interested
• There is a tangible decline, as consumers forgo the social networking
site in favor of visiting a brand’s website
in activities such as store locator usage
• Learning about the brand,
and downloading relevant information
• Visits to a brand’s Facebook page are aVisits to a brand s Facebook page are a
popular form of engagement
- “Likes” are one-dimensional and offer no real
engagement
- “Likes” have dropped by 9% over the last yearLikes have dropped by 9% over the last year,
while visits to the advertiser’s website rose by
more than 20%
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31. 2014 Media Landscape :: Projected media costs
U.S. Ad Costs/Revenues inch ahead.
6% increases expected in 2014 (overall)
Politicals and Olympics are key considerations as well• Politicals and Olympics are key considerations as well
31

32. 2014 Media Landscape:: Big Data
Big data is critical to developing a customer-centric culture.
The cornerstone; part obstacle and part opportunity
Challenge Opportunityg pp y
32

33. The Broadmoor:: Using data for relevance
Combining data points for optimal target efficiency
Through Collective Media, and The Travel Channel, The Broadmoor
l d th i i t b ild f TV & O li t llayered their messaging to build frequency across TV & Online travelers
33

34. 2014 Media Landscape:: More Facebook changes
Vid h h f F b kVideo – the next change for Facebook.
Originally slated for summer release, but was postponed to this fall
• Rumors of a new video ad unit, presented to every user on the Facebook
platform, giving people no choice in receiving the ad
• Most likely short clips automatically playing without sound in News Feeds; a
click on the ad would turn on volume and expand into a takeoverclick on the ad would turn on volume and expand into a takeover
- Planning to charge between $1MM–$2.5MM for 15-second video ads. To
put things in perspective, 30-second ads for the 2013 Super Bowl hit a
record $4 million.
- Additional changes include:
o News Feed Updates
o Story Bumping
o Last Actoro Last Actor
o Chronological by Actor
o Cancellation of EdgeRank
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35. 2014 Media Landscape:: Multi-cultural is a must
M bil ( d i l) di h b id d h di i lMobile (and social) media have bridged the digital gap.
The American population has changed profoundly and will continue to evolve
in the years ahead.
I t f th d hi t h l ti l l bil• Impact of these new demographics on technology, particularly on mobile
and social media, is profound.
o Multi-cultural advertising is now a
cost of entry
C So Content is king online; Spanish
content on websites is a must
o Hispanic audience is now the early
adopter
o Mobile Internet use iso Mobile Internet use is
highest among Hispanic
Source: Experian Marketing Services 35

36. Thank You!
Jon Bross – jbross@vladimirjones.com
719 473 0704719.473.0704

37. Appendix

38. Resources
1. “Viacom Bundling TV, Digital Buys”: http://www.adweek.com/news/television/viacom-bundling-tv-
digital-buys-139096
2. “Mobile and TV Watching Set to Change the Landscape of 2012”:
http://blog.mojiva.com/2012/03/mobile-and-tv-watching-set-to-change.html
3. TV, Net Growth Propelled By Reach – On Any Screen: On Media
4. Tablets Capturing Newspaper Viewers: Center for Media Research
5. 30-60 Sec Video Ads Tops Engagement; 1-2 Minutes Tops Viewing: Center for Media Research
6. Group M, Nielsen Partner For TV, Internet Metrics:
http://www mediapost com/publications/article/170455/group-m-nielsen-partner-for-tv-internet-http://www.mediapost.com/publications/article/170455/group-m-nielsen-partner-for-tv-internet-
metrics.html?edition=44755#axzz2bOa5O6P0
7. Watch TV “On Your Own Schedule”?: Center for Media Research
8. “Streaming music seen as prime opportunity for advertisers”: IAB Smart Brief
9. The Cross Platform Report 6/2013 – Nielsen
“10. “Video Monetization Report”: Free Wheel
11. Pandora Teams With Strata, Mediaocean To Simplify Ad-Buying: Online Media Daily
12. “Daily habits of tablet users”: Mobile Matters
13. Print is Dead?: Forbes
14. Magna Global 2014 Projections14. Magna Global 2014 Projections
15. Crack the consumer code Hispanic market overview 2013
16. Cross-cultural report by Ogilvy and Mather
17. http://www.informationweek.com/software/productivity-applications/googles-growth-path-6-
challenges/232500078
18 eMarketer 2014 Forecast18. eMarketer 2014 Forecast
19. http://stateofthemedia.org/2012/mobile-devices-and-news-consumption-some-good-signs-for-
journalism/
38