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2016 Media Landscape
- 1. 2016 Media Landscape Trendsto watch for 2016
- 2. The number ofmessages PER DAY the average American sees.
- 3. Today, people spendmore time per day with digital than any other medium. And mobile is taking the lion’s share of that usage, continuing to gain TSL share. Conversely, TV is declining YOY, being surpassed by digital in 2013.
- 5. When it comesto consumer trends, nothing is more important than mobile devices. Today, mobile now accounts for 51% of time spent with digital media types.
- 6. And of U.S.adults who own a smartphone, 7% are “smartphone-dependent.” 12% of African Americans and 13% of Latinos are smartphone-dependent, compared with 4% of whites.
- 7. So it shouldcome as no surprise that mobile now accounts for 51% of time spent with digital media types And when engaging with consumers, this is the most relevant touch point advertisers can utilize.
- 8. 83% of respondents saythat when travelling, their mobile device is crucial when deciding where to eat! As location-based targeting opportunities grow, mobile devices are becoming more influential than the PC when it comes to making casual dining decisions!
- 10. And when discussing Mobile,it’s hard not to consider Social Media and the role it plays in the lives of consumers.
- 11. Today, the averageuser logs 1.72 hours per day on social platforms alone. In total time spent, that equates to 28% of all online activity!
- 12. That’s because atypical consumer has approximately 7 social apps on their phones. 42 minutes per day 34 minutes per day 20 minutes per day
- 13. And they areusing them to influence the decisions of their peers!
- 14. Confidential and/or Proprietary- Do Not Redistribute 92% of users read product reviews 89% of those users say that review influence their purchasing decisions! 72% of consumers saying they trust online reviews as much as WOM!
- 15. But with timespent within social media being so fragmented, how can marketers make the greatest impact on these social platforms?
- 16. With $9.6B being spentin the U.S. alone. A 31% increase from 2014! In 2015, Social network ad spending is projected to hit $23.68B worldwide across all platforms.
- 17. Unsurprisingly, Facebook dominates thepaid social space. In 2015, the company is expected to bring in $15.5B in total ad revenue worldwide. And with over 1.3B active users, this platform provides the most significant opportunity of any social network to engage with customers.
- 18. Twitter is alsogaining traction in the paid social sphere. The “Holy Grail” of one-to-one consumer interaction, the company is expected to bring in $2.09B in spend this year. And locally, McDonald’s is playing in the paid social space as well.
- 19. Nationally, McDonald’s hasgotten into the Snapchat space by pioneering the app’s new sponsored, location- triggered filters into the app. Among younger consumers, social media apps like Instagram and Snapchat are gaining momentum as the #2 and #3 most used platforms.
- 20. This direct linkto consumers is part of the evolution of marketing; allowing brands to work closely with influencers who then can help them reach other consumers indirectly.
- 21. As the social sphere continuesto push the boundaries Ultimately, this means that brands will have to “pay to play”! marketers will need to reconsider how to engage with its consumers in this space.
- 22. Paid social playsa crucial role in maintaining a brand’s reputation amongst their followers. It allows the message to pop to the top of the feed, guaranteeing eyeballs in this engaging space.
- 23. Not only isthe social space a platform to build reputation, it is also allows brands can maintain their existing relationships.
- 24. And while mobileis the most relevant touch point for consumers, video content still remains on top with digital vehicles accounting for 23% of time spent with video content
- 25. Among those digitaldevices, mobile has grown exponentially and now accounts for over half of time spent with all digital video consumption. And it’s not just newer, small-format devices that are contributing to the rise of digital video consumption.
- 26. It is projectedthat 35.5% of Americans will use a Connected TV this year.
- 27. Locally, the videostrategy has evolved to include the mobile video tactic. Plus, the opportunity to insert on Connected TV is being explored for 2016! As video consumption habits shift into the digital space, so too should our strategy follow suit.
- 28. Probably more pervasivethan video content is audio. Audio is found on just about every digital device a consumer owns; from their phones to their cars and, now, even their household appliances!
- 29. But when itcomes to streaming music, the top device used by consumers is mobile.
- 30. 83% of onlineaudio listenership comes from a mobile device With the majority of listening happening in the car while commuting to/from work.
- 31. Consequently, Pandora remainsthe largest player in the streaming audio space, accounting for 45% of market share. And across all platforms, the usage skews young. 77% of A12-24 and 61% of A25-54 stream audio on a weekly basis! 28% above the #2 and #3 players, iHeartRadio and iTunes Radio.
- 32. This lends itself wellto boosting engagement beyond a typical ad. By integrating social, they are now able to create a connection with consumers on-the-go. Brands continue to push the envelope when it comes to creative uses of outdoor. But digital vehicles are not the only way to connect with consumers on the go.
- 33. Another OOH technologicaltrend that is boosting engagement is beacon technology and this is expected to play a greater role in retail sales moving forward. Beacon technology allows mobile apps to “understand” their position on a micro-local scale and deliver hyper- contextual content to users based on location.
- 34. Political Season andit’s Impact on Local Media
- 35. A projected $4.4billion will be spent on TV during the 2016 election cycle, including $3.3 billion on local broadcast alone! During a political window, candidates can purchase inventory at the lowest unit rate and many DMA’s get political spending from multiple states.
- 36. In the Tri-Statearea, Primary political windows are slated March, April and July with the general election opening September 7th. During these times in particular, local inventory will be tight and the chances of being pre- empted will increase. Therefore, staying ahead of the game and booking schedule early will be of the utmost importance in order to secure inventory.
- 38.
Editor's Notes
- #3 3,000. It’s a big number. What you do think this number represents? This is the number of messages
- #4 Overall, media usage continues to shift from more traditional vehicles into newer, more personalized digital vehicles. Therefore, it’s imperative that we keep up to date with usage trends so we can ensure that we are where our consumers are to remain relevant to them. (Click) Today, people spend more time per day with digital than any other medium. (Click) And mobile is taking the lion’s share of that usage, continuing to gain TSL share. (Click) Conversely, TV is declining YOY, having been surpassed by digital in 2013.
- #5 Because of this ever-changing landscape, being able to target our consumers directly will be an important piece of the 2016 media landscape. Because these digital vehicles that are gaining more and more share of time spent among consumers, we can glean insights into our consumer like never before. With this data we can optimize our digital campaigns and amplify our traditional buys to allow McDonald’s to relevantly target their consumers. At the end of the day, it’s about reformatting the experience that they have always had with the brand but playing in their space on new devices.
- #6 When it comes to consumer trends, again, nothing is more important than their mobile devices. (Click) So important that today, it now accounts for 51% of time spent with digital media types. This means that consumers are much more accessible than ever before, allowing brands to have intimate, one-on-one connections with their consumers. Sources: http://www.smartinsights.com/mobile-marketing/mobile-marketing-analytics/mobile-marketing-statistics/
- #7 Smartphone-dependent, meaning they have no other way of accessing online/digital content. Source: http://www.pewinternet.org/2015/04/01/us-smartphone-use-in-2015/
- #8 Source: http://www.emarketer.com/Article.aspx?R=1012258
- #9 Source: http://screenwerk.com/2014/02/13/report-mobile-apps-more-likely-to-impact-dining-decisions-than-online/
- #10 As the local mobile plan evolves, location-based targeting is being incorporated to allow McDonald’s to communicate with consumers throughout their day on a locally relevant basis. A good example of this is the Waze app, which will ping a consumer with local deals within a specific area while also giving you driving directions! This is just one of many platforms currently being utilized/explored for local plans.
- #11 http://www.adweek.com/socialtimes/time-spent-online/613474
- #12 http://www.adweek.com/socialtimes/time-spent-online/613474
- #13 (Before reading first bubble) However, while consumers are more accessible via their phones, their time is actually extremely fragmented in this space. (Read first bubble) A typical consumer has approximately 7 social apps on their phones at any one time. Among those apps (click) Facebook is the top social network with individuals spending 42 minutes per day on this app alone (click) followed by Tumblr at 43 minutes (click) and Instagram at 20 minutes per day. http://dazeinfo.com/2015/01/12/social-media-addiction/ http://www.adweek.com/socialtimes/social-media-minutes-day/503160
- #14 And they are actually using those apps to influence the decisions of their peers. (Click) From Twitter (click) to Yelp, consumers are voicing their opinions on products, services and experiences that they have in the market. Therefore, it’s imperative that brands move into this space in order to help drive positive conversations to build relationships with customers.
- #17 (after slide build) By putting dollars towards social media, brands are able to amplify their organic social media content, allowing them to break through the clutter within feeds and improving their impact with consumers.
- #18 http://marketingland.com/social-media-advertising-set-explode-next-3-years-121691 http://www.emarketer.com/Article/Social-Network-Ad-Spending-Hit-2368-Billion-Worldwide-2015/1012357 http://www.growthmachines.co/742/ Take Facebook for instance. They’re not only the biggest social network and driver od social referral traffic, but were also one of the first to introduce paid social media ads in 2004.
- #19 Insert Local Twitter page! Locally, McDonald’s engages with consumers through their local Twitter handles. In conjunction with organic growth, your media partners are implementing paid social into their plans to push foot traffic to these local handles. Moving forward, paid social will continue to grow, allowing follower bases to increase and, as a result, the opportunity for consumer relationships to strengthen.
- #22 Therefore, as the social sphere continues to push the boundaries, (click) marketers will need to reconsider how to engage with its consumers in this space. (Click) Ultimately, this means that brands will have to “Pay to Play”. So really, to be effective in this space brands need to go beyond just organic posts and put dollars behind their social media.
- #23 Paid social really plays a crucial role in maintaining a brand’s reputation amongst their follower. (Click) By putting dollars into this space, this allows the message to pop to the top of the feed, guaranteeing eyeballs in this engaging space. This means that you can push the conversations that you want consumers to know about to the front of their feeds, essentially influencing their opinions of the brand. Q: If asked why we focus on Twitter vs FB… A: We have more access and ownership with twitter locally than we currently do with Facebook.
- #24 But it’s not just about influencing the reputation of a brand. (click) The social space is also a great platform to build a brand’s reputation in that it allows brands to maintain their existing relationships by responding to the good/bad posts, retweeting positive posts, etc.
- #25 And while mobile is the most relevant touch point for consumers, video content still remains on top with digital vehicles accounting for 23% of time spent with video content. Again, it’s important to note that consumers now have greater access to video content considering the increase of technology in the digital space.
- #26 Among those digital devices, mobile has seen exponential growth (92% since 2011) and now accounts for over HALF of the time spent with all digital video consumption. (click) However, it’s not just the newer, small-format devices that are contributing to the rise of digital video consumption. Sources: http://www.emarketer.com/Article/Majority-of-US-Internet-Users-Use-Connected-TV-by-2015/1010908 http://www.emarketer.com/Article/Video-Quality-Problems-Say-Bye-Bye-Millennial-Binge-Viewers/1012735 So think about smartphones – you wouldn’t watch a movie on a smartphone normally. Handheld devices are good for short form video, whereas TV screens are the opposite.
- #27 TV’s are actually getting smarter! The new TVs with internet connectivity allow your larger format screens to enter the digital arena. In fact, it is projected that 35.5% of American will use a Connected TV this year. This brings the digital realm into the household, allowing families and other large groups to have the same experience they are used to, just customized to them. Sources: http://www.emarketer.com/Article/Majority-of-US-Internet-Users-Use-Connected-TV-by-2015/1010908 http://www.emarketer.com/Article/Video-Quality-Problems-Say-Bye-Bye-Millennial-Binge-Viewers/1012735 So think about smartphones – you wouldn’t watch a movie on a smartphone normally. Handheld devices are good for short form video, whereas TV screens are the opposite.
- #28 So, as consumers shift their video consumption habits into the digital space, so too should our strategy follow suit. (click) Locally, the video strategy has evolved to include the mobile video tactic (as we know this is where consumers are heading). Plus, the opportunity to insert on Connected TV is being explored for 2016. It’s all about staying relevant with our consumers! Sources: http://www.emarketer.com/Article/Majority-of-US-Internet-Users-Use-Connected-TV-by-2015/1010908 http://www.emarketer.com/Article/Video-Quality-Problems-Say-Bye-Bye-Millennial-Binge-Viewers/1012735 So think about smartphones – you wouldn’t watch a movie on a smartphone normally. Handheld devices are good for short form video, whereas TV screens are the opposite.
- #29 Probably more pervasive than video content is audio. (click) Audio is found on just about every digital device a consumer owns; from their phones to their cars and, now, even their household appliances. Sources: http://www.emarketer.com/Article/Majority-of-US-Internet-Users-Use-Connected-TV-by-2015/1010908 http://www.emarketer.com/Article/Video-Quality-Problems-Say-Bye-Bye-Millennial-Binge-Viewers/1012735 So think about smartphones – you wouldn’t watch a movie on a smartphone normally. Handheld devices are good for short form video, whereas TV screens are the opposite.
- #31 Furthermore, 83% of online audio listenership comes from a mobile device (click) with the majority of listening happening in the care while commuting to/from work. Because of how pervasive audio it, this is a crucial touch point for brands to tap into to establish relevance as your brand can help customize the user’s experience.
- #32 But Pandora isn’t the only player in this space. Other platforms like Spotify and apple Music are making huge dents in this space. Across all vendors and channels, 77% of A12-24 and 61% of A25-54 stream audio on a weekly basis.
- #33 For bigger format media such as OOH, consumer engagement is much more difficult to achieve. (Click) Therefore, brands are continuing to push the envelope with it comes to creative uses of outdoor. (click) By integrating social media into this vehicle, they are now able to create a connection with consumers-on-the-go. (Clikc) This lends itself well to boosting engagement beyond a typical ad as consumers can see their social media posts shared on such a large screen! This tells consumers that brands are listening to their input and embracing the conversation being had behind-the-scenes.
- #36 A major thing to note for the 2016 fiscal year is that Political spending will be on the rise! (Click) A projected $4.4 billion will be spent on TV alone during the 2016 election cycle, including $3.3 billion on local broadcast alone! What does this mean for you? (Click) During a political window, candidates can purchase inventory at the lowest unit rate and many DMAs get political spending from multiple states. If these political windows fall in our local marketing windows, stations will be seeing more spending/activity that normal, meaning that our rates will need to increase in order to compete.
- #37 In (your market name here), the Primary political windows are slated for (month), (month), and (month), with the general election opening September 7th. (Click) During these times in particular, local inventory will be tight and the chances of being pre-empted will increase as there will be more spending to battle against than normal. (Click) Therefore, we have to stay ahead of the game and book schedules early in order to secure inventory for our local buys. However, during these times, the need to rethink the marketing strategy will be crucial. By shifting more dollars into vehicles such as Digital and OOH we can counter the loss in the TV space as these vehicles tend to have less of an inventory issue during political windows.
- #38 Here is a screenshot of the local political calendar for your market. You can see that (window, window, window) fall within our local window time periods. Therefore, to reiterate the point made earlier, we will need to rethink the strategy for these windows in order to counterbalance the inventory issues in TV.