A regional deep-dive into digital, luxury and video by Teads Insights

1. LUXURY INSIGHTS:
EUROPE
August 2015

2. Overview
Digital audience behaviour in Europe
Source: eMarketer, Ipsos
European affluent spend
1 hour 44 min
per day on digital media
79%
of European affluent own a
smartphone
85%
of UK internet users have
bought online fashion and
apparel in 2014
88%
81%
71%
60%
49%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
UK Germany France Spain Italy
Digital buyer penetration in Europe
(% of internet users), 2015:

3. Why digital advertising?
Source: eMarketer, McKinsey
European affluent consumers shop online
62%
of British luxury shoppers
purchased luxury products
online from Selfridges
1 out of 2
UK luxury buyers typically
use a search engine to find
luxury products
57%
of German luxury shoppers
made a purchase at a brand-
owned online shop in the
previous year
497
395 357
69
0
100
200
300
400
500
600
UK France Germany Italy
Online luxury fashion market size by country
(million €), 2015:
28.98
32.24
36.09 39.1 41.77 44.11
0
5
10
15
20
25
30
35
40
45
50
2013 2014 2015 2016 2017 2018
Digital ad spending in Western Europe
($ billions):

4. Video advertising
68%
of Italian mobile video
viewers watched short
video clips in 2014
British internet users
spend
34 hours
online every month
Source: eMarketer
Europeans consume video on multiple devices
In-stream video ad
spending was up
+42%
in France in 2015 vs. 2014
6%
64%
53%
71%
78%
47% 45%
39%
55%
68%
47%
62%
46%
61%
73%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
UK Germany France Spain Italy
Digital video viewers per device
(% of internet users), 2014:
Computer Mobile phone Tablet

5. Ad effectiveness
Video advertising effectively reaches luxury shoppers
Source: eMarketer, NRS, Ipsos
71%
of Brits say they are
‘constantly looking at
screens these days’
Video is the
1st
ad format that suits luxury
goods according to luxury
buyers
71%
of UK adults read digital
magazines and newspapers 59% 59%
46%
66% 64%
0%
10%
20%
30%
40%
50%
60%
70%
UK Germany France Spain Italy
Percentage of internet users who read
news online, 2014:
55%
of luxury buyers in mature markets
combine online and offline research
before buying luxury products

6. Path to purchase
Luxury shoppers look for information and make purchases online
Source: eMarketer, McKinsey
Women’s luxury fashion is
expected to grow by 18%
between 2014 and 2018 in
the UK
German and British luxury
buyers intended to make
50% of luxury purchases
for apparel & accessories
online in 2015
Convenience
is the main reason why British and
German luxury buyers like to purchase
luxury products online
59% of European social media users
look on social media to find more about
the latest trends before shopping
84%
of German internet users access luxury
and lifestyle websites on their computer
38%
of EU-5 smartphone buyers
purchased clothing and
accessories in 2014

7. Teads vs. Facebook
Compared performance among affluent internet users
75.0% 77.8%
70.1%72.9% 68.2%
46.6%
UK Spain France
Reach
20.7%
32.0%
39.6%
18.4%
22.4%
9.3%
UK Spain France
% of exclusive users
Teads Facebook
Source: Comscore MMX, July 2015 : Mediametrie NetRatings, June 2015

8. Teads vs. Youtube
Compared performance among affluent internet users
Source: Comscore MMX, July 2015 : Mediametrie NetRatings, June 2015
75.0% 77.8%
70.1%
53.4% 58.2%
49.1%
UK Spain France
Reach
40.3% 41.1% 40.4%
16.2%
21.2%
14.9%
UK Spain France
% of exclusive users
Teads Youtube

9. PLEASE CONTACT :
insights@teads.tv