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Historical Competitive Analysis
   Direct Response Advertisers
                          12.2.08
Purpose


• Analyze a number of Direct-to-Consumer advertisers to garner
  additional learning
   – Important to recognize category development stages

• Methodology
   – All spending reported by TNS for the periods of January 1995 –
     June 2008

    – Caveats
       • Quantitative data to be used directionally




                                                                      2
1995-2008 (YTD) Competitive Analysis

•   Executive Summary

•   Spending by Company

    – Gateway

    – Dell

    – Direct TV

    – DISH

    – E Trade

    – Jenny Craig

    – Nutri-System

    – Select Comfort




                                                    3
Executive Summary

Key Implications
• Overall the Brands built their business using various approaches
    − Utilized multiple forms of media to determine the best strategy
• Pressure levels seem to be driven by category and are relatively
  high
• TV approach varies among the Brands
    − TRP levels and the use of long form :60s/:120s seem to be
      category driven




                                                                        4
Total Spending by Company


Brand                1995         1996         1997       1998       1999         2000       2001       2002         2003       2004         2005         2006         2007         2008
Gateway          $     31.4   $     42.8   $     82.3   $ 167.2    $ 253.7    $    314.3   $ 243.3    $ 219.2    $    201.8   $ 111.1    $     53.5   $     32.9   $     13.4   $      0.1
Dell             $     15.5   $     21.8   $     55.8   $ 135.9    $ 193.1    $    245.9   $ 298.4    $ 441.5    $    495.5   $ 624.9    $    773.7   $    730.0   $    542.0   $    183.7
DirecTV          $     43.3   $     68.7   $     51.7   $   81.1   $   93.6   $    122.1   $ 147.3    $ 156.4    $    160.0   $ 210.7    $    239.0   $    255.2   $    269.7   $    170.5
DISH             $       -    $     17.6   $     28.6   $   17.2   $   29.7   $     89.7   $   57.3   $   43.9   $    102.7   $   75.8   $    115.6   $    162.1   $    169.1   $    106.2
E Trade          $      0.8   $      5.6   $     18.5   $   38.2   $ 129.5    $    105.0   $   56.3   $   55.0   $     46.8   $   86.4   $    137.8   $    181.5   $    270.1   $    185.3
Jenny Craig      $     39.4   $     37.3   $     37.9   $   33.1   $   22.6   $     30.3   $   29.4   $   23.7   $     30.5   $   29.7   $     25.6   $     36.2   $     46.1   $     30.4
Nutri-System     $      2.9   $      3.0   $      2.6   $    0.9   $    0.7   $      1.5   $    6.6   $    2.9   $      0.4   $    4.3   $     68.3   $    173.9   $    269.0   $    137.6
Select Comfort   $      7.5   $      8.5   $     11.7   $   15.3   $   34.2   $     24.9   $   26.1   $   35.7   $     66.5   $   91.7   $     86.6   $    102.6   $    145.1   $     61.9




*January – June 2008



                                                                                                                                                                                             5
Gateway and Dell




                   6
Category Findings


Dell and Gateway
• Dell and Gateway initially concentrated their advertising efforts in
   Magazines and later expanded their advertising efforts to a multi-media mix
   approach in addition to increasing TV weight levels
• Dell utilized a mix of :30s/:60s while Gateway favored :30s




                                                                                 7
Key Brand Findings


Gateway
• Gateway’s earlier media strategy was highly concentrated in Print.
  Investment in TV was minimal when compared to Magazines at $28.2MM in
  ’95
• Between 99-02 Gateway increased their advertising efforts by utilizing a
  multi-media approach (TV, Print, Radio, OOH and Online) in support the
  “People Rule” campaign, the introduction of the Gateway Plasma TV and
  lower PC prices
• Although :30 units were primarily used to carry Gateway’s message they
  also utilized a sparse mix of :10, :15, and :60 spots
    − 94% :30s
    − 4% :60s
    − 2% :15s
• YTD ‘08: Gateway decreased their advertising efforts significantly from
  previous years with Magazines accounting for 100% of total media spending




                                                                              8
Gateway Historical Insights
         1995                       1996                        1997                        1998                      1999



      $31.4MM                    $42.8MM                 $82.3MM       (+92%)      $167.2MM        (+103%)    $253.7MM       (+51%)
• Primarily magazines,     • Magazines continue        • Majority of $             • Media mix similar to    • Added Newspapers
  Network TV                 to be the dominate          Magazines, Network          the previous year         (26% SO$)
• Minimal investments in     media                       TV                        • Network TV up +89%      • Increased TV
  Cable, Spot TV and       • Increased Cable,          • Significantly increased   • Added B-to-B which        spending
  Nat’l Newspapers           Network TV and Nat’l        Cable and Nat’l             received the 3rd        • Spot TV up 47%
                             Newspapers spending         Newspapers                  highest allocation of   • 80% U.S.
                           • Added Spot Radio            investment                  dollars
                                                       • Added OOH




         2000                       2001                        2002                        2003                      2004



 $314.3MM        (+23%)     $243.3MM       (-23%)       $219.2MM       (-10%)       $201.8MM        (-8%)     $111.1MM       (-55%)

• Media mix remains        • Network TV down 34%       • Newspapers spending       • Reduced Network TV      • Network TV down 90%
  consistent               • Added Online                down 75%                    budget by 55%           • B-to-B down 73%
• Spot TV down 73%         • Significantly increased   • Network TV remained       • Increased Cable TV      • Magazines down 95%
  from YA                    SLN TV                      flat                        and Magazine spend      • Newspapers and
• Shifted dollars into                                                                                         Syndication saw slight
  Network TV (+80%)                                                                                            increases

                                                                                                                                        9
Gateway Historical Insights (continued)
         2005                       2006                      2007             Jan-June 2008



  $53.5MM       (-52%)       $32.9MM       (-39%)       $13.4MM      (-59%)      $.1MM   (-93%)
• Reduced Cable TV         • Eliminated               • Media mix consisted   • Magazines account
  budget by 50%              Newspapers from the        of only B-to-B,         for 100% of total
• Internet decreased         Media strategy             Magazines and           advertising spend
  significantly (-74%)     • Significant reductions     Internet
                             in Magazine and SYN      • Internet accounted
                             TV spending                for 76% of total
                                                        spending




                                                                                                    10
Gateway




                                                                        :10    :15     :30      :60


                   12000
                                                                              10,449
                                                                                                      9,884
                                                                                                                9,674
                   10000
                                                                                             8,538
                                                                  7,698
  Total TV TRPs*




                    8000
                                                                                                                        6,921

                    6000
                                                         4,799

                    4000
                                                3,083
                                                                                                                                 2,216
                    2000               1,416
                                                                                                                                          1,353
                              214
                      0
                            1995      1996     1997     1998     1999         2000      2001          2002     2003     2004     2005     2006
 Total Media
                              $31.4    $42.8    $82.3   $167.2    $253.7      $314.3         $243.3   $219.2   $201.8   $111.1    $53.5   $32.9
    $(MM)


                           *Spot TV TRPs nationalized
Gateway Dollars by Media Type

      Gateway          1995         1996         1997         1998         1999         2000         2001         2002         2003         2004         2005         2006         2007         2008
Network TV         $      2.1   $     12.1   $     27.5   $     52.2   $     64.7   $    116.7   $     77.7   $     77.4   $     35.1   $      3.7   $      0.2   $      1.7   $       -    $       -
Cable TV           $      0.1   $      1.9   $     12.4   $     20.9   $     36.1   $     48.2   $     37.9   $     53.6   $     75.5   $     64.5   $     32.4   $     22.1   $       -    $       -
Syndication        $        -   $        -   $      0.2   $      0.1   $      0.8   $      0.2   $      0.8   $      0.1   $      2.2   $      5.9   $      3.2   $      0.6   $       -    $       -
Spot TV            $      0.5   $      0.5   $      0.9   $      0.1   $     14.7   $      3.9   $      2.4   $      1.1   $      0.4   $      0.5   $      0.2   $      0.2   $       -    $       -
SLN TV             $        -   $        -   $        -   $        -   $      0.5   $      0.4   $     20.0   $      2.4   $      8.3   $        -   $        -   $        -   $       -    $       -
Magazines          $     28.2   $     26.5   $     28.8   $     36.5   $     28.5   $     26.8   $     14.4   $     11.3   $     20.8   $      1.1   $      4.3   $      0.9   $      1.9   $      0.1
B-to-B Magazines   $        -   $        -   $        -   $     34.4   $     23.1   $     15.5   $     11.2   $     16.4   $     14.0   $      3.9   $      4.5   $      4.2   $      1.3   $       -
Natl Newspapers    $      0.4   $      1.6   $     10.0   $     14.6   $     12.3   $     14.8   $      5.5   $      0.2   $      3.0   $      4.1   $      0.2   $        -   $       -    $       -
Local Newspapers   $        -   $        -   $        -   $        -   $     67.0   $     76.8   $     40.1   $     10.4   $      7.2   $     11.2   $      4.1   $        -   $       -    $       -
Hisp Newspapers    $        -   $        -   $        -   $        -   $      0.1   $        -   $      0.1   $      0.0   $        -   $        -   $        -   $        -   $       -    $       -
Network Radio      $        -   $        -   $        -   $        -   $        -   $        -   $        -   $        -   $        -   $        -   $        -   $      0.1   $       -    $       -
Spot Radio         $        -   $      0.2   $      2.4   $      8.3   $      3.5   $      2.7   $      2.6   $     13.5   $      2.7   $      0.1   $      0.1   $        -   $       -    $       -
Internet           $        -   $        -   $        -   $        -   $        -   $        -   $     24.2   $     32.4   $     32.6   $     16.1   $      4.2   $      3.1   $     10.2   $       -
Outdoor            $        -   $        -   $      0.1   $      0.1   $      2.6   $      8.3   $      6.3   $      0.3   $        -   $        -   $      0.1   $        -   $       -    $       -
TOTAL (MM)         $     31.4   $     42.8   $     82.3   $    167.2   $    253.7   $    314.3   $    243.3   $    219.2   $    201.8   $    111.1   $     53.5   $     32.9   $     13.4   $      0.1




                                                                                                                                                                                                       12
Gateway TRPs by Market
                  1995   1996 1997 1998    1999 2000 2001 2002 2003 2004 2005 2006
 ALBANY                  7     5    1      862   92  215   25   12   93   3
 ALBUQUERQUE       3     28     0          734 111 345     24   26    5   12    1
 ATLANTA          149    77     3   1     1,015 51   216 108    26    2    8    4
 AUSTIN                  6     0    5      210   80   5     7   22  261   17   0
 BALTIMORE        25     40    14  413     891   48  198   23    3   51
 BATON ROUGE                                               15    9
 BIRMINGHAM       13     17         1      967 126 303      8   11    4    3
 BOSTON           17     28   244   2     1,133 57   280   28    9  111    6   4
 BUFFALO                 13    6    3      646   48   6     2   11        10    1
 BURLINGTON                                                 1         2    1
 CEDAR RAPIDS                                         72   13   5    1    1    1
 CHAMPAIGN                                           143    0    5
 CHARLESTON, WV   6      55   4            687 101 303     12   10   73   32    4
 CHARLOTTE        13     35   13    2      817   59  157   27   17    4    4    1
 CHATTANOOGA                                         161   12    3        1
 CHICAGO          23     63   215   2      796 176    64  118   10   56    5   11
 CINCINNATI       35     49    2    2      778   76  226   16    5    5    0
 CLEVELAND        38     39    28   0      999 178 219      5   13    1    3    1
 COLORADO SPRGS                                      209    4   17        3
 COLUMBIA,SC                                         231   18    2    2   9    1
 COLUMBUS,OH      16     37   11    3      670   62   35   12   21         7    1
 DALLAS           51     48   1     4      807 502         14   30    5    7   8
 DAVENPORT                                                 10    5    1   0
 DAYTON           34     21    22          708   34  276   10   19   12   16    0
 DENVER           30     70   106   11     859 629 342 141      49   57   57    0
 DES MOINES       39     20          4     700   66  222   12    8    0    3    1
 DETROIT          25     62   36     0     865 124 287     42   27    5    1   10
 EL PASO                                             127   29   37   70   15   5
 EVANSVILLE                                                 2    7    2    3
 FLINT                         6           552   29  173        60
 FRESNO           6                 4      782 187 394      9   30    3    3
 FT. MYERS                                           203    9    9    3   4    0
 GRAND RAPIDS     9      10   30    9      556   83  306    4   13    7    0    0
 GREEN BAY        29     36   56            19   22   71    6   11         3
 GREENSBORO       9      26   1            769   82  249   12   21    0    7
 GREENVILLE, SC   13     24   19           678   66  117    7   11   84   67
 HARRISBURG       5      20    5    2      326 113    87    3    7    3    5    1
 HARTFORD         97     59   2            754   62  143    7   17    0    1    0
 HONOLULU                                             7    59   22    0    4    1
 HOUSTON          47     61    2    16     766 153 432     11   35    2   45    3
 HUNTSVILLE                                          136    8    8    2   6
 INDIANAPOLIS     47     64    5          1,035 89   288   12   16    3    2   0
 JACKSON          220                                220    8    2
 JACKSONVILLE                       8      851   91   60    6   21    9   11
 JOHNSTOWN                                                  5    6         2
 KANSAS CITY      20     52    4    1      683   31  238   10   14   41   12    1
 KNOXVILLE        2            4    1      821 101    9    25    4  104   47    1
 LAS VEGAS                5    4    4      990   88  247   16   79    3    2    3
 LEXINGTON        13     10                902   42   99   10   13    5    0   1
 LITTLE ROCK      10     20                696   79  239    2   10   90   48
                                                                                     13
Gateway TRPs by Market
 LOUISVILLE       51      74                   695      81     235    8     32      2      13     3
 MADISON                                                       138   7       7     11     26
 MEMPHIS          44      14            5      789      158    294   11     25      1      7      1
 MIAMI            12      28     20     4      969     1,142   389   15     39      1       3
 MILWAUKEE        35      79     16     1      870      56     263    3      7      6      1      1
 MINNEAPOLIS      39      67    286     10     893      421     12    5      3             2      2
 MOBILE           9              3      7      914      56     213   10     16      1      8      1
 NASHVILLE        36      76                   758      114    243   12     10     150    116     4
 NEW ORLEANS      55      66     2       1     862      99     221    7     30      2     22
 NEW YORK         35      94     33           1,060     134    107   38     13             2      1
 NORFOLK          13      9      22            650      115    230    6     18      1      1
 OKLAHOMA CITY    40      64                   669      106    190    4     39            15      1
 OMAHA            3       6                    647      57     225    3     10     10       2
 ORLANDO          19      51     1      10     649      78     193    1     40     6       6
 PADUCAH                                                             10      1
 PHILADELPHIA      28     36    144            784     70        8   36     15      5     12      3
 PHOENIX           35     25     3       1    1,097    108      71   19     22             2      4
 PITTSBURGH        55    102     18            698     65      270   20     25      2      6
 PORTLAND ME       1      1      2       1     272     77      287   21      2     55      3
 PORTLAND OR       96     59     14      8     560     83      219    7     10      3      1
 PROVIDENCE        9      12             1     691     71      229          26      6      3      2
 RALEIGH           28     43    151            750     23      194    11    25      3      7      3
 RICHMOND          14     35                   671     63      211   138    77     43     14      3
 ROANOKE           18     37     7       5     304     39      235    17     5      2      8
 ROCHESTER         7      1              1     599     92       4    12     14     1      5       1
 SACRAMENTO        26     59     15      5     927     240     257    13    31      2     10      4
 SALT LAKE CITY   183     69     1       3     724     176     517    40    60     41     78      5
 SAN ANTONIO       40     61     10      7     497     155     273    1     15      1     13      1
 SAN DIEGO         18     40     3       5     824     682      16    26    14     43      5      1
 SAN FRANCISCO     24     40     27      2     919     58      205    33     7      3      4
 SAVANNAH                                                      161   22     11     67      3
 SEATTLE          39      81    145            847     118     208   119    24            15
 SHREVEPORT                                                    170    9      8      2     14      2
 SOUTH BEND                                                           12    11             1
 SPOKANE                         10      8     838      65     215     4    21     62     63      5
 SPRINGFIELD MA
 SPRINGFIELD MO                                                216   11      6      1      2
 ST LOUIS         22      47     39      1     862      83     321   24     20     168    114     1
 SYRACUSE         20      35                   701      15           10      8      81      9
 TAMPA            36      45                   758      86    174     9     13      4      12     1
 TOLEDO           21      34     5             737      41    240     5      7     29     16      1
 TRI CITIES                                                          10      4      1
 TUCSON                                                       175    23     33     12     11
 TULSA                    22             4     601      34     2     4       7     31     63     16
 WACO                                                                 9      4      51     57
 WASHINGTON       62      95    197      9     901      57    236    12     14      3      7
 WEST PALM BCH    2       6      2      1      723      94    180    2      17             5
 WICHITA          20      26     8      7      578      69     10    3      16             2
 WILKES BARRE     42      75     18     40     289      91    220           10      4
 YOUNGSTOWN                                                          10      9
 % US             75.9% 76.8% 70.3% 52.3% 79.5%        79.5% 81.5% 85.1% 86.2% 66.6% 81.3% 55.4%
 National TRPs     214.3 1416.4 3082.8 4798.6 7703.1   10449 8537.8 9883.6 9674.3 6920.6 2215.6 1353.3
                                                                                                         14
Key Brand Findings

Dell
• Dell’s initial media strategy was grounded primarily in Print (Magazines/Nat’l
   Newspapers)
• In 1998 Dell moved to a multi-media approach which included Network TV,
   Cable , Syndication, B-to-B, Local Print, Internet, OOH and Network Radio
   with Print continuing to receive the highest allocation of ad dollars
• Cable TV replaced magazines as the lead media vehicle in 2003 thru 2006
     − 9,200-12,600 TRPs
            58% :30s
            34% :60s
            8% :15s
• :60s/:30s were utilized earlier between ’96-2004. In 2004 Dell began funneling
   :15s into their unit mix and by ’08 :60s vanished




                                                                                   15
Dell Historical Insights
        1995                       1996                      1997                      1998                       1999



     $15.5MM                    $21.8MM               $55.8MM     (+155%)     $135.9MM        (+143%)     $193.1MM       (+42%)
• Magazines               • Shifted focus to Nat’l   • Increased Spot TV      • Magazines received       • Significantly increased
  accounted for nearly      Newspapers (86%            spend by $11.9MM         the highest allocation     Cable, Nat’l
  100% of total media       SO$)                     • Magazines and Nat’l      of dollars                 Newspapers, and
  spend                   • Added Nat’l Spot           Spot radio also saw    • Added B-to-B, Cable,       Network TV
                            Radio and Spot TV to       increases                Network, Spot and          investment
                            the media mix            • Added OOH                SYN                      • Added Newspapers




        2000                       2001                      2002                     2003                        2004



 $245.9MM      (+22%)      $298.4MM       (+21%)      $441.5MM      (+48%)     $495.5MM       (+12%)      $624.9MM       (+26%)

• Reduced Cable (-        • Magazines continue       • Cable TV spending is   • Cable replaced           • Reduced Network TV
  22%)                      to be the lead             up +254%                 Magazines                  spending
• Increased B-to-B,         medium                   • Local print spending   • Up 23% vs. YA            • Shifted focus to
  Magazines, Nat’l        • Introduce Online to        increased +195%        • Network TV and SYN         Online , Magazines
  Newspapers, Network       the media mix            • Network TV, Nat’l        decreased slightly         and local print
  TV and Newspaper $      • Increases can be           Newspapers and Spot                               • Internet spending
                            seen in Cable, Spot        TV also saw slight                                  +50%
                            and SYN while B-to-B,      increases
                            Network TV and
                            Newspapers saw
                            decreases
                                                                                                                                     16
Dell Historical Insights (continued)

        2005                     2006                    2007               Jan-June 2008



 $773.7MM      (+24%)      $730.0MM     (-6%)     $542.0MM      (-26%)     $183.7MM       (-67%)
• Media mix remains       • Newspaper spending   • Cable TV spending is   • Significant decreases
  constant                  cut by 36%             down -68%                seen throughout
• Reduced Cable, Nat’l    • Spot TV: 85% U.S.    • Network TV, SYN, and   • Spot TV: 43% U.S.
  Spot Radio and Spot     • Magazines, B-to-B      Internet spending
  TV spending               and Spot TV saw        decreased
• Spot TV: 70% U.S.         slight decreases




                                                                                                    17
Dell

                                                                                 :15     :30     :60


                   18,000
                                                                                                                     16,083
                   16,000                                                                                                     15,658
                                                                                                           13,935
                   14,000
                                                                                       11,763
                   12,000
  Total TV TRPs*




                                                                                                  10,654
                   10,000
                    8,000
                                                                         6,032                                                         5,338
                    6,000
                                                     3,137     3,795
                    4,000
                                                                                                                                                2,869
                                    1,210   1,505
                    2,000
                             83
                       0
                            1996    1997    1998     1999      2000      2001           2002      2003      2004      2005    2006     2007     2008
Total Media                 $21.8   $55.8   $135.9    $193.1   $245.9   $298.4          $441.5    $495.5    $624.9   $773.7   $730.0   $542.0   $183.7
   $(MM)                                                                                                                                        (YTD**)




                        *Spot TV TRPs nationalized
                        **January-June 2008
Dell Dollars by Media Type
         Dell          1995         1996         1997         1998         1999         2000         2001         2002         2003         2004         2005         2006         2007         2008
Network TV         $       -    $       -    $       -    $      5.3   $     28.5   $     40.4   $     28.8   $     53.1   $     39.3   $     24.9   $     76.6   $     95.3   $     52.5   $     22.0
Cable TV           $       -    $       -    $       -    $     14.3   $     31.3   $     24.6   $     29.7   $    105.0   $    129.0   $    187.4   $    172.5   $    209.5   $     66.8   $     10.0
Syndication        $       -    $       -    $       -    $      0.1   $      0.1   $      0.2   $      5.9   $      4.1   $      3.4   $      0.8   $        -   $      6.4   $      4.5   $        -
Spot TV            $       -    $      0.2   $     12.1   $      6.3   $      0.2   $      0.1   $      4.4   $      6.9   $      6.8   $      5.0   $      0.7   $      0.4   $      5.7   $      3.0
Magazines          $     15.1   $      1.0   $     11.2   $     58.7   $     75.0   $     81.9   $     99.1   $    113.3   $    119.5   $    138.6   $    157.1   $    150.2   $    166.4   $     55.1
B-to-B Magazines   $       -    $       -    $       -    $     46.6   $     33.4   $     40.7   $     35.2   $     32.7   $     30.3   $     18.0   $     20.5   $     16.8   $     18.3   $      9.7
Hisp Magazines     $       -    $       -    $       -    $        -   $        -   $        -   $        -   $        -   $      0.1   $        -   $      0.1   $      0.1   $      0.1   $      0.1
Natl Newspapers    $      0.4   $     18.8   $     29.0   $      4.3   $     14.7   $     35.6   $     45.5   $     32.6   $     34.8   $     53.1   $     72.9   $     41.0   $     45.8   $     20.4
Local Newspapers   $       -    $       -    $       -    $        -   $      9.5   $     22.3   $     15.3   $     45.2   $     46.6   $     61.3   $    115.4   $     73.4   $     78.3   $     27.6
Hisp Newspapers    $       -    $       -    $       -    $        -   $        -   $        -   $        -   $        -   $        -   $        -   $      0.1   $      0.1   $      0.1   $        -
Network Radio      $       -    $       -    $       -    $        -   $        -   $        -   $        -   $        -   $      2.2   $     12.2   $        -   $      0.7   $        -   $      0.8
Spot Radio         $       -    $      1.7   $      3.4   $      0.3   $      0.1   $      0.1   $      0.1   $      1.2   $      3.1   $      2.5   $      1.1   $      1.4   $      0.4   $        -
Internet           $       -    $       -    $       -    $        -   $        -   $        -   $     34.4   $     46.7   $     79.7   $    119.5   $    156.7   $    134.8   $    102.2   $     35.0
Outdoor            $       -    $       -    $      0.1   $      0.1   $      0.3   $      0.1   $      0.0   $      0.5   $      0.6   $      1.5   $      0.1   $      0.0   $      0.9   $      0.2
TOTAL (MM)         $     15.5   $     21.8   $     55.8   $    135.9   $    193.1   $    245.9   $    298.4   $    441.5   $    495.5   $    624.9   $    773.7   $    730.0   $    542.0   $    183.7




                                                                                                                                                                                                         19
Dell TRPs by Market
                 1995   1996 1997 1998     1999 2000 2001 2002 2003 2004 2005 2006   2007   2008
ALBANY                       301   0        6    1    14   10     7   7         1     2
ALBUQUERQUE                                 1     1    32  13    12   15  23   35     20
ATLANTA                                           0    35  30    14  171 189   11    380    333
AUSTIN                       113      246   6    21   31  901 583 152      4   14    550    331
BALTIMORE               33   249       2               9   59    28   9    1   14    500    397
BATON ROUGE                                            7    6    15   9    0                 2
BIRMINGHAM                                             31  10    30    8  12   20     28
BOSTON                       2,277    609   1    0    26   16    15 197    6   18    313    312
BUFFALO                       198          105   18   71   23    33  11    5    7     1
BURLINGTON                                             7    1     1             9     0
CEDAR RAPIDS                                           7   15     6  24    2    4     6
CHAMPAIGN                                              25   3     6        2    5     7
CHARLESTON, WV                              8          33  11     6    4   9    3      2
CHARLOTTE                     31       1    1    2   155   44    95  23    7   17     7
CHATTANOOGA                                            31  20     5    5  20    5
CHICAGO                      1,855    525        1   571 943 1,703 1,500   9   14    715    551
CINCINNATI                    148      9         0     8   52   38    8   11    8    10
CLEVELAND                              1         4    27   10   20    4    3   12    20      1
COLORADO SPRGS                                         20  13    12   14  18    6     6      2
COLUMBIA,SC                                            16  14    12    4   3    2
COLUMBUS,OH                   181                      15  12    36  17    7   11      5
DALLAS                       2,680   1,107  4    0    80  184 230 500     19   25    523    354
DAVENPORT                                                  15     1             1      7
DAYTON                                 3              54   38    71   9    5   25     21
DENVER                       1,692    246 280    4    27   22   57    5  245   36    455    437
DES MOINES                                  3          36  25   119    3   9    3      2
DETROIT                      3,112   1,690  3    2    48   72    39 325    3    4     53
EL PASO                                                15  23     6    7   6    7      6
EVANSVILLE                                                 16     7   1    7    1
FLINT                         4                       30   15     7   1         2
FRESNO                                      2     1    17  11     2    8   7   13    546
FT. MYERS                                              32  26    15    0   6   17     23
GRAND RAPIDS                  5             9    5    18   16    39   1   47    9      4
GREEN BAY                                              34  19    50    2  35   13      5     1
GREENSBORO                                        2    33  22    13   19   6   22     18
GREENVILLE, SC                                         54   4     5   12  35   28      5
HARRISBURG                             2         2     5   12   32    1        2      1
HARTFORD                     138       1          0   28   18    20   5   12    3      4
HONOLULU                                               20  56    18    4  42   20     14
HOUSTON                                6    2    0    13   23   591 163   21   24    590    396
HUNTSVILLE                                             16  40    26   37  49    5      2     0
INDIANAPOLIS                  23       1          2        26    16   7    0   25    579
JACKSON                                                20   6     2        5           1
JACKSONVILLE                           1    2     5    14  19    35  20    4    8     37
JOHNSTOWN                                                   5    6              1     1
KANSAS CITY                   54       4    5     0    24  26    33    5   2   25     31
KNOXVILLE                                   1          21  11     4    1   7   15     11
LAS VEGAS                                   8          39  62    47    4  12   11      3
LEXINGTON                                   8     1    71  16   178    3  17    3      0     5
LITTLE ROCK                                            13   8    98   12  15   15      1
LOS ANGELES                           326             758 805 668    17    2   14     22
LOUISVILLE                             1    3         53   14    12   9   50   59     11
MADISON                                                5    7     1   1   13    2      3
MEMPHIS                                     1          72  23    57   45   7   12     15           20
Dell TRPs by Market
MIAMI                     375      3        11       2        33     25     18    119      3     14      473      406
MILWAUKEE        192     3,273              14                39     15    135     5       1     4       29
MINNEAPOLIS                       1,040                       7      9     19     352      3     5       380      421
MOBILE                                               3        7      8      4     11      2      13       4
NASHVILLE                                                    219    24     24      3      42     26       8
NEW ORLEANS                                                   37     16     17    18                      7
NEW YORK                          379       2                663   1,032   751    14       1     25      32        2
NORFOLK                                     3                 12      9     6      1      11     12       4
OKLAHOMA CITY             37       4                 1        44     36     39     5      21     15       5        7
OMAHA                                       6                 11     26     21     3      8      13       4
ORLANDO                                              10       40    35     21     13      8      27      584      333
PADUCAH                                                               9     14     4       2     2
PHILADELPHIA                      372       3                 55     34    252    320     3      7       454      399
PHOENIX                  110                                  15    333     46    355      6     8       383      372
PITTSBURGH               44        4        24       28       59     18     12     3      5      21       3
PORTLAND ME                        3                          7     20      7      3             21       4
PORTLAND OR      247     145                5                 27    20     22      5       8     32       3
PROVIDENCE               229                13       8         6     10     15     6       6     26       6        2
RALEIGH                   49                 8       8        25     20    11      7      36     40      329
RICHMOND                                     5                61     16     41     9       14    6       355
ROANOKE                                                       27     22     13     1        1    6        8
ROCHESTER                                   11       1        26     14     7     15       19    7        5
SACRAMENTO                12                                  59     18    32      1       6     16       9        5
SALT LAKE CITY                              3        1        48     35     20    14      39     38      22
SAN ANTONIO      74      145                3                 89    90     47      6       3     34       2        2
SAN DIEGO                                   2                 53    22     23      3       1     16      363      333
SAN FRANCISCO            3,096    1,038                      621    266     10     4      174    9       379      335
SAVANNAH                                                      15     31     16     7       39    19       8
SEATTLE                  1,598    660       13       6        77    524    33     253     12     28      261      306
SHREVEPORT                                                    28     11     17     2             22       4
SOUTH BEND                                                          28      4      4      5      5        5
SPOKANE                                     1                17      10     31     2      15     11       7
SPRINGFIELD MA
SPRINGFIELD MO                                                12     16      3     17      2
ST LOUIS                 1,667    230       4                 19     30     29      2     68     49       1
SYRACUSE                           3                          11     16     17                    9      32
TAMPA                     77                2        6       176     37     31      4     24      9      41
TOLEDO                             1        5                 26     13      3      6             3      31
TRI CITIES                                                           15     10             9      2
TUCSON                                                        21     23     19      2      7     12
TULSA                              6                 3        26     11     38      7     16     38       4
WACO                                                                  9      9      5             4      269
WASHINGTON       190     3,226    1,309     3                 12     10     47     147            9      533      478
WEST PALM BCH                               3                 45     22     33      1      1     13      10
WICHITA                                     4        1        18     13     16                            9
WILKES BARRE                                4                 28      7     19     20     30      7       4
YOUNGSTOWN                                                           12     14      5     11      6
% US             5.6%    37.9%    50.9%    46.5%    25.9%    83.9% 86.8% 86.8% 84.2% 78.8% 85.0%         83.5%    43.4%
National TRPs       83    1,210    1,505    3,137    3,795    6,032 11,763 10,654 13,935 16,083 15,658    5,338    2,869


                                                                                                                           21
Direct TV and DISH




                     22
Category Findings

Direct TV and Dish
• Both Advertisers used a multi-media mix approach in the early stages to
    reach consumers
• Direct TV favored TV which received the highest allocation of media dollars
    followed by Magazines
     − Primarily :30 units in Network TV
• DISH’s initial media strategy was grounded primarily in National Print
• In 2001DISH shifted their media focus to a more localized approach by
    funneling more dollars into Spot TV, Radio and Local Newspapers
• Later DISH increased TV spending with Cable receiving the highest
    allocation




                                                                                23
Key Brand Findings

Direct TV
• Direct TV utilized a multi-media approach media mix of TV, Magazines, B-to-B,
    Nat’l/Local Print, Spot Radio in the earlier stages of their marketing efforts and
    later introduced Internet and OOH to the mix
• Direct TV invested heavily in TV and Magazines with Network TV receiving the
    highest allocation of media dollars YOY except for ‘03
     − Cable received the 2nd highest allocation followed by Magazines
• Although :30s were most commonly used throughout the reported time
    period Direct TV also utilized a unit mix of :15s, :45s and :60s
     − :60s were used in ’95 and ‘99 at lower levels
     − In 2001 Direct TV started using :60s to a larger degree
           • 808 TRPs in ’01 vs. 41 TRPs the previous year
     − :15s were introduced as part of the unit mix in 2006 and concentrated
        primarily in Cable and Network TV (65% Cable/36% Network)




                                                                                         24
Direct TV Historical Insights
        1995                       1996                        1997                       1998                       1999



     $43.3MM                $68.7MM       (+59%)        $51.7MM       (-25%)       $81.1MM       (+57%)        $93.6MM      (+15%)
• Media Mix consist of    • Media mix is              • Decreases seen           • Significantly increased   • Network TV and
  Cable TV, Magazines,      consistent with             throughout                 TV and Magazine             Syndication is down
  Nat’l Newspapers,         previous year             • Highest % reduction in     spending                  • Added Newspapers
  Radio, Spot TV and      • Significantly increased     Nat’l Spot Radio         • Added B-to-B
  Syndication               Magazine spend
• Spot TV: 79% U.S.         (+81%)




        2000                       2001                       2002                        2003                       2004



 $122.1MM      (+30%)      $147.3MM       (+21%)       $156.4MM       (+6%)       $160.0MM        (+2%)       $210.7MM      (+32%)
• Increased Nat’l Spot   • Increased Cable,           • Spot TV down (-72%)      • Reduced Cable,            • Increased Syndication
  Radio spend              Spot TV and                • 79% U.S.                   Network and SLN TV          spending
  significantly            Newspapers                                              spending
• Added Network Radio    • Spot TV: 81% U.S.                                     • Shifted dollars into
  and SLN TV             • Eliminated Network                                      Magazines and Spot
                           Radio                                                   TV
                         • Added Internet to the
                           media mix


                                                                                                                                       25
Direct TV Historical Insights (continued)

        2005                      2006                  2007              Jan-June 2008



 $239.0MM      (+13%)      $255.2MM      (+7%)    $269.7MM     (+6%)     $170.5MM       (-37%)
• Network TV spending     • Network TV remains   • Network, Cable and   • Significantly reduced
  is up 64%                 dominant               Newspaper spending     Cable and Network
• Cable TV remained                                up                     TV Spending
  flat




                                                                                                  26
Direct TV




                                                                             :10    :15     :30   :45   :60

                  12,000                                                                                                                    11,116
                                                                                                                                  10,238              10,002
                  10,000



                   8,000
                                                                                                                         6,963
 Total TV TRPs*




                                                                                                        6,566   6,640
                                                                                   5,862      5,709
                   6,000


                                                     3,488
                   4,000
                                     3,227                           3,103
                                                             2,827
                            2,193            1,894
                   2,000



                      0
                           1995     1996     1997    1998    1999    2000          2001       2002      2003    2004     2005      2006      2007      2008
Total Media
   $(MM)                    $43.3   $68.7    $51.7   $81.1   $93.6   $122.1        $147.3     $156.4 $160.0     $210.7   $239.0    $255.2    $269.7    $170.5

                                                                                                                                                       (YTD**)


             *Spot TV TRPs nationalized
             **January-June 2008
Direct TV Dollars by Media Type

      Direct TV        1995         1996         1997         1998         1999         2000         2001         2002         2003         2004         2005         2006         2007         2008
Network TV         $     22.7   $     34.6   $     29.1   $     40.3   $     37.5   $     53.9   $     51.9   $     50.6   $     33.1   $     54.4   $     82.8   $    109.2   $    126.7   $     75.1
Cable TV           $      7.6   $     10.1   $      5.4   $     10.3   $     13.6   $     11.5   $     30.4   $     45.1   $     41.3   $     32.2   $     32.0   $     41.2   $     59.8   $     34.2
Syndication        $      2.6   $      6.2   $      3.4   $      8.1   $      2.3   $      0.1   $      0.3   $      1.1   $      9.7   $     40.0   $     28.0   $     17.4   $      3.2   $      1.2
Spot TV            $      2.7   $      3.2   $      1.1   $      2.8   $      1.9   $      5.5   $     17.7   $      4.9   $     22.3   $     37.2   $     33.1   $     39.8   $     31.7   $     38.4
SLN TV                          $        -   $        -   $        -   $        -   $     10.8   $     10.4   $     13.3   $      9.4   $     11.9   $     23.1   $     14.3   $      7.5   $      0.3
Magazines          $      5.9   $     10.7   $      9.0   $     15.6   $     22.8   $     14.8   $      8.6   $      6.5   $     11.3   $      4.8   $      8.8   $     15.0   $     14.7   $      9.0
B-to-B Magazines                $        -   $        -   $      0.4   $      1.9   $      2.1   $      1.9   $      1.2   $      1.2   $      1.1   $      1.7   $      2.1   $      1.9   $      1.2
Hisp Magazines                  $        -   $        -   $        -   $        -   $        -   $        -   $        -   $        -   $      0.1   $      0.1   $      0.3   $      0.2   $        -
Natl Newspapers    $      1.3   $      2.2   $      3.4   $      3.6   $      4.2   $      5.2   $      3.2   $      1.8   $      0.8   $      1.5   $      1.5   $      3.0   $      8.9   $      3.9
Local Newspapers                $        -   $        -   $        -   $      9.0   $      9.5   $     14.1   $     15.7   $     12.0   $     15.5   $     16.9   $      4.8   $      6.8   $      4.4
Hisp Newspapers                 $        -   $        -   $        -   $      0.1   $      0.0   $      0.4   $      0.5   $      0.5   $      0.4   $      0.3   $      0.2   $      0.5   $      0.1
Network Radio                   $        -   $        -   $        -   $        -   $      5.7   $        -   $      0.1   $      0.2   $      0.2   $      0.3   $      0.3   $      0.8   $      0.8
Spot Radio         $      0.4   $      1.7   $      0.3   $      0.1   $      0.3   $      3.0   $      2.3   $     10.2   $     14.2   $      9.7   $      8.6   $      2.2   $      3.5   $      0.6
Internet                        $        -   $        -   $        -   $        -   $        -   $      6.0   $      5.0   $      3.8   $      1.6   $      1.5   $      4.2   $      3.1   $      1.2
Outdoor            $       -    $        -   $        -   $        -   $        -   $        -   $      0.1   $      0.3   $        -   $      0.1   $      0.5   $      1.3   $      0.6   $      0.2
TOTAL (MM)         $     43.3   $     68.7   $     51.7   $     81.1   $     93.5   $    122.1   $    147.3   $    156.4   $    160.0   $    210.7   $    239.0   $    255.2   $    269.7   $    170.5




                                                                                                                                                                                                         28
Direct TV TRPs by Market
                  1995    1996 1997 1998 1999      2000 2001 2002     2003  2004    2005    2006   2007     2008
ALBANY            14       5          3    7        13    27   0       93   885     755     154     710     270
ALBUQUERQUE       21     371    31   18   16         0    14  39       19   762    2,549   4,211   1,629    415
ATLANTA          155     397    28  677    6       432 2,685 485     3,129 1,387   1,592   3,992   1,313     62
AUSTIN           280      15    3    13             1    389 117      178    49     150     222     124     652
BALTIMORE        120     851   386   12    5            1,101 58      693  1,879    479    3,715     79      44
BATON ROUGE                                                   78       10  1,038    895      27     703      27
BIRMINGHAM       441      74      44    37         440 2,485 150     1,027 3,346    716    1,163    344     306
BOSTON           33       60      37   443   304   556 1,194 337      384   943    1,990    169     396     436
BUFFALO          48       41      22    18          24   383 766      265  3,360   2,496    827    1,056    195
BURLINGTON                                                              7   499    1,355     93    1,794    924
CEDAR RAPIDS                                                            3   402    1,410    205     740       1
CHAMPAIGN                                                2        13   39  1,027   1,915    117    1,289    850
CHARLESTON, WV    7      124      4    26    4          181            57   993    3,609     69     465     364
CHARLOTTE        765     151      86   94    11    218 3,605     163  893  1,957   1,443   1,381    907     174
CHATTANOOGA                                                             7   664     494       7     112      59
CHICAGO          53       26      5     11   34    729 1,053     518 2,941 1,537   2,012    122    1,038   1,629
CINCINNATI       475     673     350   596   82    418 1,216      34  222   645     654     283    1,083    290
CLEVELAND         50     787     465   151    3     10 1,201     135  170   623    1,435   1,141   1,450    465
COLORADO SPRGS                                          16        20   51   478    1,855   3,395   1,037     55
COLUMBIA,SC                                              5         3  746  1,351    815    1,327    850     430
COLUMBUS,OH      336      34      4    430   54     2   823      231  468   521     461     231     208     104
DALLAS           140     244      62    35   12    126 1,661     209 2,446 1,993   1,948   4,667   1,956   3,327
DAVENPORT                                                               2   333    1,328     31     709      42
DAYTON            2       18            5    3     153   36            54  1,355   1,275     27     244    1,018
DENVER           70      465       28   23   5      1   855            13   393     290     286    1,026    920
DES MOINES       14       63       4    2          310   9        26  631   495     490     254     750      88
DETROIT          187     915     1,281 610   67    155 1,389     165   90   373    1,078    191     234     214
EL PASO                                                 18        13   28   533     426      19     342      28
EVANSVILLE                                                        4    15   939      70     401    1,765     49
FLINT            64       11      93   24    3      46             1   91  1,315   3,060    525     243     163
FRESNO           437      27       5    8           72    13      19    8  1,257    455    5,379   2,050   1,621
FT. MYERS                                                 18           45   482    1,400   1,652    591     155
GRAND RAPIDS     465      14      6    347    7     60    16      61  110   300     551      56      82      51
GREEN BAY         42     105     107    30    6     1              1  914  1,647    762     225     585     237
GREENSBORO       470      27      2     19   2     717 1,844      26  444  3,332    893    1,837   1,280    972
GREENVILLE, SC   551      13      12    22    4    640 1,403     121  787  2,577   2,367    635    1,587    547
HARRISBURG        22      65      5    240   20         178            37   791    3,303    631    1,326    692
HARTFORD         155     128     14    474    5     1    12           198  1,143   3,094    178     246     118
HONOLULU                                                19        2    11    6      134      19      15      14
HOUSTON          223      72      29   583   353   471 2,146     163  363  1,373   1,789    382    1,213   5,549
HUNTSVILLE                                                            129   239     364     776     996     235
INDIANAPOLIS     51       74     289   580   47    186   806     842   52   939    1,609      9      66      22
JACKSON                                                          441  149  1,154    395     770     370      18
JACKSONVILLE     15       9            13           3      1     446  672   512     182    3,921    222     226
JOHNSTOWN                                                         0         588     801      42      23       3
KANSAS CITY      520      556    231    93   66      0    839    419 288 1,014      416     247     309     241
KNOXVILLE         84       68     22    15    2      0     29    120 313 2,245      371      87     266     203
LAS VEGAS         20     1,101    22    22   15     35    170    271 971 1,879      121    4,447   1,153   2,709
LEXINGTON        59        80     3     7    18           122          14 1,372    2,054    219     967     760
LITTLE ROCK      81        32    13    248   78     240    52    991 1,411 1,920   1,039    295     277     190
LOS ANGELES      123       41     10    54   297   1,508 1,767   479 2,689 1,931   2,324   3,587   1,367   6,288
LOUISVILLE       214      990    362   154   74      3     41      7  264 1,382    1,588     31     168      95
MADISON                                                     4         168 640      3,027     35     844      44
                                                                                                                   29
Direct TV TRPs by Market
MEMPHIS          16        4        1        15            169   3,123    961    4,147   2,781
                                                                                          1,379    781    2,665  229
MIAMI            189       42               565      634   138   1,138   1,043   3,710   2,269
                                                                                          2,249   2,670   2,732 6,778
MILWAUKEE        370       22       45      598       12    4    2,674    418     491    1,345
                                                                                           323     213     360   243
MINNEAPOLIS      73       664       72       50       2     49    952     216     117     553
                                                                                           114      2      399    30
MOBILE            5                 15       5         5           16     14       85    1,413
                                                                                           283    2,233    511   103
NASHVILLE        24       1,093    306      181      67       61 1,493   2,300    289    1,076
                                                                                           827    3,886    199   150
NEW ORLEANS      91        109     177       36      272      2   235     138     128    3,712
                                                                                          1,142           1,188  882
NEW YORK         46         34      67      551       1       49  797     171    2,739   2,955
                                                                                          1,912    554     942  4,596
NORFOLK          17         13               14       6       4    22            1,148   3,848
                                                                                          1,016   5,456   1,414  408
OKLAHOMA CITY    12         84      83       90       8       5    37    301      583     649
                                                                                          1,974    458     902   659
OMAHA            54        426      39      241        3     109    5             124     520
                                                                                          1,975    109      72   108
ORLANDO          113        27      39       63      11      781  375    313     1,036   1,370
                                                                                          1,262     29     179   265
PADUCAH                                                                   1               896
                                                                                            97     949    1,335  158
PHILADELPHIA     57        30      59       580      401    1,003 1,427  22    152       1,986
                                                                                          2,067   1,172    465  1,458
PHOENIX          87       828      278       67      110     102  1,211  136   429        570
                                                                                           740    3,402   1,860 1,329
PITTSBURGH       94        56       9        44      439     209   860   443   471        708
                                                                                          2,388    215    1,523  489
PORTLAND ME      12        13       3        22        6             5           5        631
                                                                                          1,959    164    1,572  187
PORTLAND OR      516       30      26       283        6      4    175    1    213       1,106
                                                                                          1,928    228    1,087  244
PROVIDENCE       14        34      77        38               20    26         253        257
                                                                                           472     228     634  1,169
RALEIGH          379       19       4        18       10      85  2,047  424  1,161      2,471
                                                                                           707     130      73    57
RICHMOND         440       15       3        18        9      3     29        1,054      1,814
                                                                                           108    5,500    911   239
ROANOKE          29       415                14        9      1    243        1,011      1,532
                                                                                          1,080    320     183    17
ROCHESTER        221      943       18       19        9      7     16   10     27        599
                                                                                           127      46     205    39
SACRAMENTO       505       29       15       46       22     325   807   15   2,308      1,205
                                                                                          1,527   3,657   2,993 1,157
SALT LAKE CITY   236      809      116      700       54     248  1,506  513   835        725
                                                                                           150    4,793   1,947  108
SAN ANTONIO      466       8        88       48        9      69   811  1,449  679        314
                                                                                           172     424     421   452
SAN DIEGO        89        62       12      437       15      82   392    6     16        48
                                                                                           149      22     300   294
SAN FRANCISCO    75       149       20      100       69      52   751   385  2,060       608
                                                                                           536     118     765  1,643
SAVANNAH                                                                  1      6       1,146
                                                                                          1,960   2,843   1,317   28
SEATTLE           53       99       78      463        9     278   549   237   350        175
                                                                                          1,951      9     702    51
SHREVEPORT                                                           2   215  1,650      1,741
                                                                                          1,152   1,681   1,560  409
SOUTH BEND                                                                4      1        818
                                                                                          1,792    170      37    40
SPOKANE                   1,272     5        15       14      8    264          13        490
                                                                                          2,000   1,197   1,446  308
SPRINGFIELD MA                                                                             918     265     106     2
SPRINGFIELD MO                                                     330   197   118   797  1,365     20            1
ST LOUIS         107       13      64        30               96  1,909 1,227 1,012 1,539  992    3,942 1,449    370
SYRACUSE         20        89      45        35        2      2    322          63   794  1,129    265    917    550
TAMPA            313      846      312       14        8      3    672   91    713  1,099 1,336    208    768    403
TOLEDO           236       5        17       22        9      34    70          83   741  1,235     35    195   1,002
TRI CITIES                                                               12     27   610   666     79     238    72
TUCSON                                                             182    1    231   172    41    3,363   959    579
TULSA             6       1,199    676      134        2      2      3    7      7  1,431 1,237   2,109 2,980    568
WACO                                                                             7   532   591    1,620   894    132
WASHINGTON       116       50      64       105       30     897  2,285  20   2,324 1,418 1,241   2,169   152    512
WEST PALM BCH    71       903      579       52        2           688   644  1,329 1,061 1,788   2,950 1,154      1
WICHITA           6        62      87        6                2     20    1      2   501  1,819     11     40    312
WILKES BARRE     32        6       31        29               6     34    3    408   694   586      51    218     50
YOUNGSTOWN                                                                      11   885  1,537    509   1,719 1,847
% US             79.2%    79.1%    75.8%    79.5%    73.3% 74.1% 81.4% 76.2% 86.3% 86.8% 87.1%    86.5% 86.7% 87.1%
National TRPs     2,193    3,227    1,894    3,488    2,827 3,103 5,862 5,709 6,566 6,640 6,963   10,238 11,116 10,002



                                                                                                                         30
Key Brand Findings


DISH
• DISH utilized a Media mix of TV, Local/Nat’l Print, Radio OOH and Online
• Spot TV was seen throughout whereas Cable TV, Network and Syndication
   was absent for a few years
     − Minimum TRPs: 18 in ’99
     − Maximum TRPs: 5,287 in ‘08
• :30s were utilized earlier on then DISH began using a variety of unit lengths
   including :120s
     − Dish used 100% :60s in 97 and ’99 and then they were absent from the TV
       strategy until 2003




                                                                                  31
DISH Historical Insights
         1996                       1997                       1998                       1999                       2000



      $17.6MM                $28.6MM       (+63%)       $17.2MM       (-40%)       $29.7MM      (+73%)       $89.7MM       (+202%)
• Media mix consist        • Magazines received       • Eliminated Cable and     • Media Mix similar to     • Significantly increased
  primarily of Cable,        the highest allocation     Network TV                 previous year with the     Newspaper and Nat’l
  Network and Spot TV,       of $                                                  addition of                Spot Radio and Spot
  Magazines , Nat’l        • Highest % increase in                                 Newspapers                 TV investment
  Newspapers and Nat’l       Spot TV                                                                        • Spot TV: 61% U.S.
  Spot Radio               • Spot TV: 47% U.S.                                                              • Added Network Radio
                                                                                                              to the media mix




         2001                       2002                       2003                      2004                        2005



  $57.3MM       (-36%)       $43.9MM       (-22%)     $102.7MM        (+134%)      $75.8MM      (-26%)       $115.6MM       (+52%)
• Hispanic Newspapers      • Magazines                • Newspapers receives      • Increased Syndication    • Significant increases
  and Nat’l Spot Radio       decreased                  the highest allocation   • Reduced Spot TV            in Cable, Magazines
  increased slightly         significantly from YA      of dollars(+89%)           activity                   and Nat’l Spot Radio
• Highest % reduction in   • Spot TV increased by     • Added Cable TV
  Magazines                  $17.5MM

                                                                                                                                        32
DISH Historical Insights (continued)
        2006                       2007               Jan-June 2008



 $162.1MM      (+40%)      $169.1MM       (+4%)      $106.2MM       (-37%)
• Syndication up 143%     • Highest % increase in   • Cable TV is the only %
                            Newspapers                increase
                          • Syndication was         • Added Syndication
                            absent from the
                            media mix




                                                                               33
DISH

                                                                     :10     :15   :30     :60     Other


                    6000
                                                                                                                                                 5,287

                    5000
                                                                                                                             4,280

                    4000
  Total TV TRPs*




                                                                                                 3,240

                    3000
                                                                                                                   2,516

                    2000
                                                                                                          1,715                        1,636


                    1000                                                           770
                            607
                                     211                     255
                                                                           149
                                              26      18
                       0
                            1996    1997     1998    1999    2000          2001    2002          2003      2004     2005     2006      2007       2008
  Total Media
              $17.6                  $28.6   $17.2   $29.7   $89.7         $57.3   $43.9         $102.7    $75.8    $115.6    $162.1    $169.1    $106.2
     $(MM)
                                                                                                                                                  (YTD**)


                   *Spot TV TRPs nationalized
                   **January-June 2008
                   ***Other includes :120+ units
DISH Dollars by Media Type
       DISH            1996         1997         1998         1999         2000         2001         2002         2003         2004         2005         2006         2007         2008
Network TV         $      3.4   $       -    $       -    $       -    $       -    $       -    $       -    $      0.9   $      0.2   $      0.8   $      6.3   $     13.6   $      7.4
Cable TV           $      1.2   $      0.9   $       -    $      0.0   $       -    $       -    $       -    $     14.4   $      9.1   $     17.1   $     28.7   $     13.9   $     16.8
Syndication        $        -   $       -    $       -    $      1.4   $       -    $       -    $       -    $        -   $     14.5   $     15.7   $     38.2   $        -   $      1.7
Spot TV            $      0.2   $      1.4   $      0.4   $      0.4   $      6.0   $      2.7   $     20.2   $     28.9   $     18.7   $     22.2   $     14.3   $     14.0   $     13.8
SLN TV             $        -   $       -    $       -    $      0.7   $      1.4   $       -    $       -    $      2.4   $        -   $     12.1   $     16.4   $     11.0   $     10.6
Magazines          $      5.9   $     18.6   $     11.2   $     14.4   $     24.2   $      9.7   $      1.0   $      0.5   $      0.7   $      4.1   $      9.0   $     21.6   $      4.9
B-to-B Magazines   $        -   $       -    $       -    $       -    $       -    $       -    $       -    $        -   $        -   $        -   $      0.4   $        -   $        -
Hisp Magazines     $        -   $       -    $       -    $       -    $       -    $       -    $       -    $        -   $      0.2   $      0.1   $      0.1   $      0.4   $      0.3
Natl Newspapers    $      6.3   $      7.7   $      4.7   $      3.5   $      6.1   $      4.1   $      1.9   $      4.3   $      3.6   $      2.8   $      1.1   $      4.2   $      7.3
Local Newspapers   $        -   $       -    $       -    $      8.4   $     30.1   $     23.8   $     19.7   $     37.3   $     24.2   $     26.3   $     21.6   $     48.5   $     29.2
Hisp Newspapers    $        -   $       -    $       -    $      0.1   $      0.2   $      0.3   $      0.8   $      0.8   $      1.0   $      1.0   $      0.7   $      0.5   $      0.4
Network Radio      $        -   $       -    $       -    $       -    $     14.4   $      8.0   $       -    $      0.1   $        -   $        -   $        -   $      3.9   $      0.1
Spot Radio         $      0.7   $       -    $      0.8   $      0.7   $      5.8   $      8.7   $      0.1   $     13.0   $      3.1   $     10.5   $      5.9   $     19.6   $      5.5
Internet           $        -   $       -    $       -    $       -    $       -    $       -    $      0.1   $      0.1   $      0.5   $      1.9   $     18.8   $     13.6   $      7.9
Outdoor            $        -   $       -    $       -    $       -    $      1.4   $       -    $      0.1   $      0.1   $      0.1   $      1.1   $      0.6   $      4.2   $      0.2
TOTAL (MM)         $     17.6   $     28.6   $     17.2   $     29.7   $     89.7   $     57.3   $     43.9   $    102.7   $     75.8   $    115.6   $    162.1   $    169.1   $    106.2




                                                                                                                                                                                            35
DISH TRPs by Market
                  1995   1996   1997 1998 1999 2000 2001      2002    2003 2004 2005 2006         2007 2008
 ALBANY                                               1        342     936 1,443 34                 19     6
 ALBUQUERQUE                                    7   119       2,590   6,923 1,541 2,397 1,060      258 1,463
 ATLANTA                                       826   15       2,024   7,062 442 962 987             71     3
 AUSTIN                   86         546   0         157      1,384   2,076 29          1,175     1,341 2,268
 BALTIMORE                                            12        48     104 129       1     0       108 142
 BATON ROUGE                                        192                      113     6     1         4    71
 BIRMINGHAM                                                   2,980   7,114 1,544 969 956                351
 BOSTON                   37          321         136    5              45    92     0    24               7
 BUFFALO                              145         42          1,065   2,505 1,544 933 847                 91
 BURLINGTON                                                   1,587   4,087 2,088 940      3         3     4
 CEDAR RAPIDS                                                         1,091 2,431 1,464 574        626 1,097
 CHAMPAIGN                                                             724 3,848 2,042 496         265 1,080
 CHARLESTON, WV                        1     1     9            47      22 4,963 1,160 101           1     4
 CHARLOTTE                                   1    827   341   1,713   3,390 595 108        5       402 136
 CHATTANOOGA                                                           840 2,441 916 608            34   404
 CHICAGO                              16    16     43         1,017    104 474 293 343             981 1,825
 CINCINNATI                                              309 747       629 200      32     9       302 238
 CLEVELAND                                        406   1,757 1,180    671    32    77   584       713     4
 COLORADO SPRGS                                                       3,154 479      3   101               5
 COLUMBIA,SC                                                           612 902      28    21       621 131
 COLUMBUS,OH                                15           78            547 362 196 1,023           953     3
 DALLAS                  176                1     946         2,140   6,273 2,150 1,040 1,554     1,465 2,932
 DAVENPORT                                                              36 2,594 1,211 1,010        27
 DAYTON                   3                             368    46      642 1,503 303      77        86     5
 DENVER                  227    335               852    69   2,168   6,417 3,327 3,219 1,775      503 1,527
 DES MOINES                                                    102    4,388 1,136 2,456 531        466 1,640
 DETROIT                        31                      220   1,452   1,931 1,064 2,373 1,203      539     1
 EL PASO                                                                 3   79    72    362       771
 EVANSVILLE                                                                 3,496 1,807 990                3
 FLINT                                                                  25 2,286          93         1     5
 FRESNO                                                 225   451     4,546 1,695 394     65       113 1,282
 FT. MYERS                                                     7       361 750      24    2              170
 GRAND RAPIDS                                            17 2,928     4,611 307 3,079 572               1,171
 GREEN BAY                                         128 1,175 308       523 452      48   901        39    31
 GREENSBORO                     28                 162 2,431 729       869 615 592        15      1,007 104
 GREENVILLE, SC                                     78   10 2,130     7,041 297 2,382      7       702     5
 HARRISBURG                                              4   1,108    1,908 649    92     19       316     2
 HARTFORD                       24                       5              12 1,170 37       2               10
 HONOLULU                                                1    736           1,060 91     143              10
 HOUSTON                        33          16    1,187 661            358 545 2,769 1,471        1,841 4,363
 HUNTSVILLE                                                            810 276             7             222
 INDIANAPOLIS                   27                697    49   2,489 4,713 1,222 2,819 2,029       246 1,262
 JACKSON                                                          4,154      417             122          1
 JACKSONVILLE                                       38        671 1,529      894     252      85    15     1
 JOHNSTOWN                                                     71  133      4,830   1,298      6   340 462
 KANSAS CITY                    55           0    1,121 32 2,768 2,126       366    2,652   1,871        194
 KNOXVILLE                                          78    51      1,611      420     750      23     1    44
 LAS VEGAS                                         461 297    57 1,126       115    1,087    439 176 968
 LEXINGTON                      106   84      2           15  270 6,285     1,856   2,312    388    15   929
 LITTLE ROCK                    158   13     37     24            3,478     2,138   4,285    121    11 1,341
 LOS ANGELES                    51           67    207 281 1,568 2,019       674    1,341   1,451 1,786 1,908
 LOUISVILLE                                 476   3,794 1,966 672 6,883     3,848   1,666    116    43    4
 MADISON                                                  35   6  1,101     2,254   1,178   1,072 958 1,333
                                                                                                                36
DISH TRPs by Market
 MEMPHIS                                                541          1,416    439      3       2          7
 MIAMI                    30               45     147                 32      805     663     708    330
                                                                                                       1,185
 MILWAUKEE                38                      15       79      12  14     363      72     233    334179
 MINNEAPOLIS              13                 1            227    1,877
                                                                     5,395   1,399   2,606   1,179   136249
 MOBILE                                            136              41,338   1,372     58     22      3   3
 NASHVILLE                81       10        2     439    335    2,373
                                                                     6,086   1,677   2,104   1,171      285
 NEW ORLEANS                                 1       1      1          45     856       4               218
 NEW YORK                 112                3     174     39         272      91     429   698   362    72
 NORFOLK                                     1      20                 86     512     235    5      3     3
 OKLAHOMA CITY            435     356                6     13    2,198
                                                                     5,917   1,797   2,584  704    55  1,087
 OMAHA                    108                              16        1,762   1,795     87    8          130
 ORLANDO                                                              236      24      34   12     84   161
 PADUCAH                                           525             184,192   2,672   2,082  741   175  1,175
 PHILADELPHIA             97                       125                79      312      32   442   312   724
 PHOENIX                  15               275     146     32    1,147
                                                                     3,408   1,055   1,975  770   127  1,539
 PITTSBURGH               36       5         1    1,114   354    1,608
                                                                     1,447    167    3,049  677           8
 PORTLAND ME                      133                                        1,024    599   610    44     7
 PORTLAND OR              38                82    1,288 1,246 2,267 7,038    2,910   3,293  15     69     2
 PROVIDENCE                                                                18 111      29    6      2     2
 RALEIGH                  52                       468           1,687 3,940  453     292   610  1,040  123
 RICHMOND                                          107                    871 414      89   18      2     1
 ROANOKE                                    70      76      8            3,459466    2,117  758   662   306
 ROCHESTER                3                                 8                2,505    365    2      2     2
 SACRAMENTO               12                       780           2,591 5,540 1,091   1,638 1,573   87  1,308
 SALT LAKE CITY           13               153    1,405   823    2,047 7,014  862    3,414  995   298  1,652
 SAN ANTONIO                                       29     470    1,697 1,712 1,028     71  1,376 1,859 1,459
 SAN DIEGO                182                      765      9              22  7       75   814   106   170
 SAN FRANCISCO    67      263                       55     11    1,034    176 225     230   142   519  1,375
 SAVANNAH                                                                 2832,093     84   40            1
 SEATTLE          24      48                       865    303     801      27 312    2,272   6     76     2
 SHREVEPORT                                                        56    3,472
                                                                             1,523   2,241  862         969
 SOUTH BEND                                                       760     843 821    2,346 1,311       1,081
 SPOKANE                                             2             33    5,089
                                                                             1,510    992   40         1,239
 SPRINGFIELD MA                                                                                     2     4
 SPRINGFIELD MO                                                    37     902  3,781 4,788 2,796  296  1,836
 ST LOUIS                 25                       981     97    2,869 6,743    837  2,446 1,510   70  1,342
 SYRACUSE                                          13             655     252  2,334  153    3      2     3
 TAMPA                    19       2                68     29       2    1,469   8     60   564    99     3
 TOLEDO                                                                  1,159 4,036 1,015  52    136     2
 TRI CITIES                                                                73  2,177   1     3     32  1,058
 TUCSON                                                          1,609 4,139    656     1    6      5    15
 TULSA                             3               28     100    1,513 5,167 2,063 1,125    268        1,271
 WACO                                                             786    3,004 1,243   5    443   530   157
 WASHINGTON               47       36                             844     137   158   420   375   101   213
 WEST PALM BCH                                             79    1,087     5     64    15    7      3     2
 WICHITA                  211      32                      12             848  2,204  970    2            4
 WILKES BARRE     20                                                            186   657   147   19     34
 YOUNGSTOWN                                                                80  2,152  238    3    554     1
 % US             11.4%   47.1%   14.7%    34.1% 60.9% 58.2% 57.4% 84.8% 86.8% 83.1% 84.9% 74.4% 86.5%
 National TRPs      607     211       26       18     255    149     770 3,240 1,715 2,516 4,280 1,636 5,287



                                                                                                               37
E-Trade




          38
Category Findings

•   E Trade’s initial media mix consisted primarily of Cable and National Print
•   Added Network and Spot TV in 1997, increased TRPs and markets each year
    except 2001-2003
•   In ‘99 E Trade significantly increased local TV weight in some of the top
    Financial DMAs such as Boston, New York, LA, San Francisco and
    Washington, DC
•   E Trade’s TV strategy included a unit mix of :10s, :15, :30s and :60s
     − E Trade began using a unit mix of :30s/:60s in ’99 but by 2005 they
         replaced :60s with :10 and :15 units
•   Although Online replaced TV as the dominant media TV and print continue
    to be strong secondary mediums




                                                                                  39
E Trade Historical Insights
         1995                        1996                       1997                     1998                        1999



      $0.8MM                 $5.6MM       (+600%)       $18.5MM       (+230%)     $32.8MM       (+77%)         $129.5    (+295%)
• 62% of $ in Cable        • Print had the lions       • Print remains the      • 50% of $ in Print & 49%   • 74% of $ in TV (28%
• Other medias:              share                       dominant media           of $ in TV                  U.S.)
  Magazines &              • +$4.9MM in Print          • Cable budget           • +$8.0MM Network TV        • +$43.8MM in Network
  Newspaper                • Cable TV remained           approximately the      • +$5.7 in Cable              TV
                             flat                        same                   • +$5.5MM in                • +$22.4MM in Cable
                                                       • Added Network TV &       Magazines                 • +$11.9MM in Spot TV
                                                         Spot TV                • -$2.9MM in Spot TV




        2000                        2001                        2002                     2003                       2004



 $105.0MM       (-19%)       $56.3MM       (-46%)        $55.0MM       (-2%)      $46.8MM       (-15%)       $86.4MM       (+85%)
• 43% of $ in Network TV   • 35% of $ in Online (1st   • 35% of $ in Online     • 65% of $ in Online        • 65% of $ in Online
• -$9.9MM Spot TV            time on plan)             • +$4.0 in Spot TV         (+$10.9MM)                  (+$25.9MM)
• -$6.7 in Cable &         • -$36.6MM in Network       • -$5.4MM in             • Network TV dropped        • +$8.8 in Network TV
                             TV                          Newspapers             • -$5.2MM in Print          • +3.5MM in Cable
                           • -$18.0MM in Cable
                           • -$10.2MM in Print
                                                                                                                                    40
E Trade Historical Insights (continued)
        2005                      2006                    2007               Jan-June 2008



 $137.8MM      (+59%)     $181.5MM       (+32%)    $270.1MM      (+49%)      $185.5MM       (-31)
• 51% of $ in Online     • 58% of $ in Online     • 69% of $ in Online     • 58% of $ in Online
  (+$15.2MM)               (+$35.3MM)               (+$80.0MM)               (-$78.1)
• +$20.5MM in Print      • +$12.5MM in Print      • +$17.3 in Network TV   • 21% of $ in Network TV
• +$10.8MM in Cable                               • -$5.6 in Cable           (+$9.8MM)
                                                                           • -$12.6MM in
                                                                             Magazines




                                                                                                      41
E-Trade



                                                                        :10     :15   :30     :60

                    4500
                                                         4,056
                    4000

                    3500
                                                                                                                                              3,111
                    3000                                         2,783
  Total TV TRPSs*




                                                                                                                                     2,739
                                                                                                                     2,587   2,610
                    2500

                    2000

                    1500
                                                 868                                                        982
                    1000
                                                                                       517
                     500                                                      352
                                  259
                                                                                                    131
                           35             60
                       0
                           1995   1996   1997    1998    1999    2000         2001    2002      2003        2004    2005     2006    2007     2008
 Total Media
    $(MM)                  $0.8   $5.6   $18.5   $38.2   $129.5 $105.0    $56.3       $55.0         $46.8   $86.4   $137.8 $181.5    $270.1    $185.3
                                                                                                                                               (YTD**)


*Spot TV TRPs nationalized
**January-June 2008
E Trade Dollars by Media Type
      E Trade          1995         1996         1997         1998         1999         2000         2001         2002         2003         2004         2005         2006         2007         2008
Network TV         $       -    $       -    $      4.0   $     12.0   $     55.8   $     45.3   $      8.7   $      8.6   $       -    $      8.8   $     14.2   $     12.2   $     29.5   $     39.3
Cable TV           $      0.5   $      0.6   $      0.7   $      6.4   $     28.8   $     22.1   $      4.1   $      5.1   $      6.9   $     10.3   $     21.1   $     19.2   $     13.6   $     10.2
Syndication        $       -    $       -    $        -   $        -   $        -   $        -   $      0.1   $        -   $       -    $        -   $      0.4   $        -   $        -   $        -
Spot TV            $       -    $       -    $      3.3   $      0.4   $     12.3   $      2.4   $      0.4   $      4.4   $      0.3   $        -   $      1.0   $      0.5   $      0.5   $      0.1
Magazines          $      0.1   $      1.5   $      5.6   $     11.1   $     13.1   $     11.6   $      4.8   $      4.7   $      0.4   $      4.2   $     18.0   $     25.9   $     28.3   $     19.6
B-to-B Magazines   $       -    $       -    $        -   $        -   $      0.2   $      0.7   $      0.2   $      0.2   $      0.1   $      0.1   $      0.3   $      0.1   $      0.1   $      0.1
Natl Newspapers    $      0.1   $      3.6   $      5.0   $      8.1   $     15.5   $     11.3   $      4.6   $      3.1   $      1.7   $      4.3   $     10.0   $     14.7   $     10.0   $      6.6
Local Newspapers   $       -    $       -    $        -   $        -   $      1.5   $      7.5   $     10.8   $      5.4   $      5.9   $      1.7   $      1.0   $      1.6   $      1.2   $      0.7
Network Radio      $       -    $       -    $        -   $        -   $        -   $      2.1   $        -   $        -   $       -    $        -   $      0.1   $      0.2   $        -   $        -
Spot Radio         $       -    $       -    $        -   $        -   $      0.1   $      0.1   $      0.2   $      1.7   $       -    $        -   $        -   $        -   $        -   $        -
Internet           $       -    $       -    $        -   $        -   $        -   $        -   $     19.8   $     19.6   $     30.5   $     56.4   $     71.6   $    106.9   $    186.9   $    108.8
Outdoor            $       -    $       -    $        -   $      0.2   $      2.1   $      1.9   $      2.7   $      2.3   $      1.2   $      0.5   $        -   $      0.1   $        -   $        -
TOTAL (MM)         $      0.8   $      5.6   $     18.5   $     38.2   $    129.5   $    105.0   $     56.3   $     55.0   $     46.8   $     86.3   $    137.8   $    181.5   $    270.1   $    185.3




                                                                                                                                                                                                         43
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive
WRITING SAMPLES: DRTV Competitive

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WRITING SAMPLES: DRTV Competitive

  • 1. Historical Competitive Analysis Direct Response Advertisers 12.2.08
  • 2. Purpose • Analyze a number of Direct-to-Consumer advertisers to garner additional learning – Important to recognize category development stages • Methodology – All spending reported by TNS for the periods of January 1995 – June 2008 – Caveats • Quantitative data to be used directionally 2
  • 3. 1995-2008 (YTD) Competitive Analysis • Executive Summary • Spending by Company – Gateway – Dell – Direct TV – DISH – E Trade – Jenny Craig – Nutri-System – Select Comfort 3
  • 4. Executive Summary Key Implications • Overall the Brands built their business using various approaches − Utilized multiple forms of media to determine the best strategy • Pressure levels seem to be driven by category and are relatively high • TV approach varies among the Brands − TRP levels and the use of long form :60s/:120s seem to be category driven 4
  • 5. Total Spending by Company Brand 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Gateway $ 31.4 $ 42.8 $ 82.3 $ 167.2 $ 253.7 $ 314.3 $ 243.3 $ 219.2 $ 201.8 $ 111.1 $ 53.5 $ 32.9 $ 13.4 $ 0.1 Dell $ 15.5 $ 21.8 $ 55.8 $ 135.9 $ 193.1 $ 245.9 $ 298.4 $ 441.5 $ 495.5 $ 624.9 $ 773.7 $ 730.0 $ 542.0 $ 183.7 DirecTV $ 43.3 $ 68.7 $ 51.7 $ 81.1 $ 93.6 $ 122.1 $ 147.3 $ 156.4 $ 160.0 $ 210.7 $ 239.0 $ 255.2 $ 269.7 $ 170.5 DISH $ - $ 17.6 $ 28.6 $ 17.2 $ 29.7 $ 89.7 $ 57.3 $ 43.9 $ 102.7 $ 75.8 $ 115.6 $ 162.1 $ 169.1 $ 106.2 E Trade $ 0.8 $ 5.6 $ 18.5 $ 38.2 $ 129.5 $ 105.0 $ 56.3 $ 55.0 $ 46.8 $ 86.4 $ 137.8 $ 181.5 $ 270.1 $ 185.3 Jenny Craig $ 39.4 $ 37.3 $ 37.9 $ 33.1 $ 22.6 $ 30.3 $ 29.4 $ 23.7 $ 30.5 $ 29.7 $ 25.6 $ 36.2 $ 46.1 $ 30.4 Nutri-System $ 2.9 $ 3.0 $ 2.6 $ 0.9 $ 0.7 $ 1.5 $ 6.6 $ 2.9 $ 0.4 $ 4.3 $ 68.3 $ 173.9 $ 269.0 $ 137.6 Select Comfort $ 7.5 $ 8.5 $ 11.7 $ 15.3 $ 34.2 $ 24.9 $ 26.1 $ 35.7 $ 66.5 $ 91.7 $ 86.6 $ 102.6 $ 145.1 $ 61.9 *January – June 2008 5
  • 7. Category Findings Dell and Gateway • Dell and Gateway initially concentrated their advertising efforts in Magazines and later expanded their advertising efforts to a multi-media mix approach in addition to increasing TV weight levels • Dell utilized a mix of :30s/:60s while Gateway favored :30s 7
  • 8. Key Brand Findings Gateway • Gateway’s earlier media strategy was highly concentrated in Print. Investment in TV was minimal when compared to Magazines at $28.2MM in ’95 • Between 99-02 Gateway increased their advertising efforts by utilizing a multi-media approach (TV, Print, Radio, OOH and Online) in support the “People Rule” campaign, the introduction of the Gateway Plasma TV and lower PC prices • Although :30 units were primarily used to carry Gateway’s message they also utilized a sparse mix of :10, :15, and :60 spots − 94% :30s − 4% :60s − 2% :15s • YTD ‘08: Gateway decreased their advertising efforts significantly from previous years with Magazines accounting for 100% of total media spending 8
  • 9. Gateway Historical Insights 1995 1996 1997 1998 1999 $31.4MM $42.8MM $82.3MM (+92%) $167.2MM (+103%) $253.7MM (+51%) • Primarily magazines, • Magazines continue • Majority of $ • Media mix similar to • Added Newspapers Network TV to be the dominate Magazines, Network the previous year (26% SO$) • Minimal investments in media TV • Network TV up +89% • Increased TV Cable, Spot TV and • Increased Cable, • Significantly increased • Added B-to-B which spending Nat’l Newspapers Network TV and Nat’l Cable and Nat’l received the 3rd • Spot TV up 47% Newspapers spending Newspapers highest allocation of • 80% U.S. • Added Spot Radio investment dollars • Added OOH 2000 2001 2002 2003 2004 $314.3MM (+23%) $243.3MM (-23%) $219.2MM (-10%) $201.8MM (-8%) $111.1MM (-55%) • Media mix remains • Network TV down 34% • Newspapers spending • Reduced Network TV • Network TV down 90% consistent • Added Online down 75% budget by 55% • B-to-B down 73% • Spot TV down 73% • Significantly increased • Network TV remained • Increased Cable TV • Magazines down 95% from YA SLN TV flat and Magazine spend • Newspapers and • Shifted dollars into Syndication saw slight Network TV (+80%) increases 9
  • 10. Gateway Historical Insights (continued) 2005 2006 2007 Jan-June 2008 $53.5MM (-52%) $32.9MM (-39%) $13.4MM (-59%) $.1MM (-93%) • Reduced Cable TV • Eliminated • Media mix consisted • Magazines account budget by 50% Newspapers from the of only B-to-B, for 100% of total • Internet decreased Media strategy Magazines and advertising spend significantly (-74%) • Significant reductions Internet in Magazine and SYN • Internet accounted TV spending for 76% of total spending 10
  • 11. Gateway :10 :15 :30 :60 12000 10,449 9,884 9,674 10000 8,538 7,698 Total TV TRPs* 8000 6,921 6000 4,799 4000 3,083 2,216 2000 1,416 1,353 214 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 Total Media $31.4 $42.8 $82.3 $167.2 $253.7 $314.3 $243.3 $219.2 $201.8 $111.1 $53.5 $32.9 $(MM) *Spot TV TRPs nationalized
  • 12. Gateway Dollars by Media Type Gateway 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Network TV $ 2.1 $ 12.1 $ 27.5 $ 52.2 $ 64.7 $ 116.7 $ 77.7 $ 77.4 $ 35.1 $ 3.7 $ 0.2 $ 1.7 $ - $ - Cable TV $ 0.1 $ 1.9 $ 12.4 $ 20.9 $ 36.1 $ 48.2 $ 37.9 $ 53.6 $ 75.5 $ 64.5 $ 32.4 $ 22.1 $ - $ - Syndication $ - $ - $ 0.2 $ 0.1 $ 0.8 $ 0.2 $ 0.8 $ 0.1 $ 2.2 $ 5.9 $ 3.2 $ 0.6 $ - $ - Spot TV $ 0.5 $ 0.5 $ 0.9 $ 0.1 $ 14.7 $ 3.9 $ 2.4 $ 1.1 $ 0.4 $ 0.5 $ 0.2 $ 0.2 $ - $ - SLN TV $ - $ - $ - $ - $ 0.5 $ 0.4 $ 20.0 $ 2.4 $ 8.3 $ - $ - $ - $ - $ - Magazines $ 28.2 $ 26.5 $ 28.8 $ 36.5 $ 28.5 $ 26.8 $ 14.4 $ 11.3 $ 20.8 $ 1.1 $ 4.3 $ 0.9 $ 1.9 $ 0.1 B-to-B Magazines $ - $ - $ - $ 34.4 $ 23.1 $ 15.5 $ 11.2 $ 16.4 $ 14.0 $ 3.9 $ 4.5 $ 4.2 $ 1.3 $ - Natl Newspapers $ 0.4 $ 1.6 $ 10.0 $ 14.6 $ 12.3 $ 14.8 $ 5.5 $ 0.2 $ 3.0 $ 4.1 $ 0.2 $ - $ - $ - Local Newspapers $ - $ - $ - $ - $ 67.0 $ 76.8 $ 40.1 $ 10.4 $ 7.2 $ 11.2 $ 4.1 $ - $ - $ - Hisp Newspapers $ - $ - $ - $ - $ 0.1 $ - $ 0.1 $ 0.0 $ - $ - $ - $ - $ - $ - Network Radio $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 0.1 $ - $ - Spot Radio $ - $ 0.2 $ 2.4 $ 8.3 $ 3.5 $ 2.7 $ 2.6 $ 13.5 $ 2.7 $ 0.1 $ 0.1 $ - $ - $ - Internet $ - $ - $ - $ - $ - $ - $ 24.2 $ 32.4 $ 32.6 $ 16.1 $ 4.2 $ 3.1 $ 10.2 $ - Outdoor $ - $ - $ 0.1 $ 0.1 $ 2.6 $ 8.3 $ 6.3 $ 0.3 $ - $ - $ 0.1 $ - $ - $ - TOTAL (MM) $ 31.4 $ 42.8 $ 82.3 $ 167.2 $ 253.7 $ 314.3 $ 243.3 $ 219.2 $ 201.8 $ 111.1 $ 53.5 $ 32.9 $ 13.4 $ 0.1 12
  • 13. Gateway TRPs by Market 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 ALBANY 7 5 1 862 92 215 25 12 93 3 ALBUQUERQUE 3 28 0 734 111 345 24 26 5 12 1 ATLANTA 149 77 3 1 1,015 51 216 108 26 2 8 4 AUSTIN 6 0 5 210 80 5 7 22 261 17 0 BALTIMORE 25 40 14 413 891 48 198 23 3 51 BATON ROUGE 15 9 BIRMINGHAM 13 17 1 967 126 303 8 11 4 3 BOSTON 17 28 244 2 1,133 57 280 28 9 111 6 4 BUFFALO 13 6 3 646 48 6 2 11 10 1 BURLINGTON 1 2 1 CEDAR RAPIDS 72 13 5 1 1 1 CHAMPAIGN 143 0 5 CHARLESTON, WV 6 55 4 687 101 303 12 10 73 32 4 CHARLOTTE 13 35 13 2 817 59 157 27 17 4 4 1 CHATTANOOGA 161 12 3 1 CHICAGO 23 63 215 2 796 176 64 118 10 56 5 11 CINCINNATI 35 49 2 2 778 76 226 16 5 5 0 CLEVELAND 38 39 28 0 999 178 219 5 13 1 3 1 COLORADO SPRGS 209 4 17 3 COLUMBIA,SC 231 18 2 2 9 1 COLUMBUS,OH 16 37 11 3 670 62 35 12 21 7 1 DALLAS 51 48 1 4 807 502 14 30 5 7 8 DAVENPORT 10 5 1 0 DAYTON 34 21 22 708 34 276 10 19 12 16 0 DENVER 30 70 106 11 859 629 342 141 49 57 57 0 DES MOINES 39 20 4 700 66 222 12 8 0 3 1 DETROIT 25 62 36 0 865 124 287 42 27 5 1 10 EL PASO 127 29 37 70 15 5 EVANSVILLE 2 7 2 3 FLINT 6 552 29 173 60 FRESNO 6 4 782 187 394 9 30 3 3 FT. MYERS 203 9 9 3 4 0 GRAND RAPIDS 9 10 30 9 556 83 306 4 13 7 0 0 GREEN BAY 29 36 56 19 22 71 6 11 3 GREENSBORO 9 26 1 769 82 249 12 21 0 7 GREENVILLE, SC 13 24 19 678 66 117 7 11 84 67 HARRISBURG 5 20 5 2 326 113 87 3 7 3 5 1 HARTFORD 97 59 2 754 62 143 7 17 0 1 0 HONOLULU 7 59 22 0 4 1 HOUSTON 47 61 2 16 766 153 432 11 35 2 45 3 HUNTSVILLE 136 8 8 2 6 INDIANAPOLIS 47 64 5 1,035 89 288 12 16 3 2 0 JACKSON 220 220 8 2 JACKSONVILLE 8 851 91 60 6 21 9 11 JOHNSTOWN 5 6 2 KANSAS CITY 20 52 4 1 683 31 238 10 14 41 12 1 KNOXVILLE 2 4 1 821 101 9 25 4 104 47 1 LAS VEGAS 5 4 4 990 88 247 16 79 3 2 3 LEXINGTON 13 10 902 42 99 10 13 5 0 1 LITTLE ROCK 10 20 696 79 239 2 10 90 48 13
  • 14. Gateway TRPs by Market LOUISVILLE 51 74 695 81 235 8 32 2 13 3 MADISON 138 7 7 11 26 MEMPHIS 44 14 5 789 158 294 11 25 1 7 1 MIAMI 12 28 20 4 969 1,142 389 15 39 1 3 MILWAUKEE 35 79 16 1 870 56 263 3 7 6 1 1 MINNEAPOLIS 39 67 286 10 893 421 12 5 3 2 2 MOBILE 9 3 7 914 56 213 10 16 1 8 1 NASHVILLE 36 76 758 114 243 12 10 150 116 4 NEW ORLEANS 55 66 2 1 862 99 221 7 30 2 22 NEW YORK 35 94 33 1,060 134 107 38 13 2 1 NORFOLK 13 9 22 650 115 230 6 18 1 1 OKLAHOMA CITY 40 64 669 106 190 4 39 15 1 OMAHA 3 6 647 57 225 3 10 10 2 ORLANDO 19 51 1 10 649 78 193 1 40 6 6 PADUCAH 10 1 PHILADELPHIA 28 36 144 784 70 8 36 15 5 12 3 PHOENIX 35 25 3 1 1,097 108 71 19 22 2 4 PITTSBURGH 55 102 18 698 65 270 20 25 2 6 PORTLAND ME 1 1 2 1 272 77 287 21 2 55 3 PORTLAND OR 96 59 14 8 560 83 219 7 10 3 1 PROVIDENCE 9 12 1 691 71 229 26 6 3 2 RALEIGH 28 43 151 750 23 194 11 25 3 7 3 RICHMOND 14 35 671 63 211 138 77 43 14 3 ROANOKE 18 37 7 5 304 39 235 17 5 2 8 ROCHESTER 7 1 1 599 92 4 12 14 1 5 1 SACRAMENTO 26 59 15 5 927 240 257 13 31 2 10 4 SALT LAKE CITY 183 69 1 3 724 176 517 40 60 41 78 5 SAN ANTONIO 40 61 10 7 497 155 273 1 15 1 13 1 SAN DIEGO 18 40 3 5 824 682 16 26 14 43 5 1 SAN FRANCISCO 24 40 27 2 919 58 205 33 7 3 4 SAVANNAH 161 22 11 67 3 SEATTLE 39 81 145 847 118 208 119 24 15 SHREVEPORT 170 9 8 2 14 2 SOUTH BEND 12 11 1 SPOKANE 10 8 838 65 215 4 21 62 63 5 SPRINGFIELD MA SPRINGFIELD MO 216 11 6 1 2 ST LOUIS 22 47 39 1 862 83 321 24 20 168 114 1 SYRACUSE 20 35 701 15 10 8 81 9 TAMPA 36 45 758 86 174 9 13 4 12 1 TOLEDO 21 34 5 737 41 240 5 7 29 16 1 TRI CITIES 10 4 1 TUCSON 175 23 33 12 11 TULSA 22 4 601 34 2 4 7 31 63 16 WACO 9 4 51 57 WASHINGTON 62 95 197 9 901 57 236 12 14 3 7 WEST PALM BCH 2 6 2 1 723 94 180 2 17 5 WICHITA 20 26 8 7 578 69 10 3 16 2 WILKES BARRE 42 75 18 40 289 91 220 10 4 YOUNGSTOWN 10 9 % US 75.9% 76.8% 70.3% 52.3% 79.5% 79.5% 81.5% 85.1% 86.2% 66.6% 81.3% 55.4% National TRPs 214.3 1416.4 3082.8 4798.6 7703.1 10449 8537.8 9883.6 9674.3 6920.6 2215.6 1353.3 14
  • 15. Key Brand Findings Dell • Dell’s initial media strategy was grounded primarily in Print (Magazines/Nat’l Newspapers) • In 1998 Dell moved to a multi-media approach which included Network TV, Cable , Syndication, B-to-B, Local Print, Internet, OOH and Network Radio with Print continuing to receive the highest allocation of ad dollars • Cable TV replaced magazines as the lead media vehicle in 2003 thru 2006 − 9,200-12,600 TRPs 58% :30s 34% :60s 8% :15s • :60s/:30s were utilized earlier between ’96-2004. In 2004 Dell began funneling :15s into their unit mix and by ’08 :60s vanished 15
  • 16. Dell Historical Insights 1995 1996 1997 1998 1999 $15.5MM $21.8MM $55.8MM (+155%) $135.9MM (+143%) $193.1MM (+42%) • Magazines • Shifted focus to Nat’l • Increased Spot TV • Magazines received • Significantly increased accounted for nearly Newspapers (86% spend by $11.9MM the highest allocation Cable, Nat’l 100% of total media SO$) • Magazines and Nat’l of dollars Newspapers, and spend • Added Nat’l Spot Spot radio also saw • Added B-to-B, Cable, Network TV Radio and Spot TV to increases Network, Spot and investment the media mix • Added OOH SYN • Added Newspapers 2000 2001 2002 2003 2004 $245.9MM (+22%) $298.4MM (+21%) $441.5MM (+48%) $495.5MM (+12%) $624.9MM (+26%) • Reduced Cable (- • Magazines continue • Cable TV spending is • Cable replaced • Reduced Network TV 22%) to be the lead up +254% Magazines spending • Increased B-to-B, medium • Local print spending • Up 23% vs. YA • Shifted focus to Magazines, Nat’l • Introduce Online to increased +195% • Network TV and SYN Online , Magazines Newspapers, Network the media mix • Network TV, Nat’l decreased slightly and local print TV and Newspaper $ • Increases can be Newspapers and Spot • Internet spending seen in Cable, Spot TV also saw slight +50% and SYN while B-to-B, increases Network TV and Newspapers saw decreases 16
  • 17. Dell Historical Insights (continued) 2005 2006 2007 Jan-June 2008 $773.7MM (+24%) $730.0MM (-6%) $542.0MM (-26%) $183.7MM (-67%) • Media mix remains • Newspaper spending • Cable TV spending is • Significant decreases constant cut by 36% down -68% seen throughout • Reduced Cable, Nat’l • Spot TV: 85% U.S. • Network TV, SYN, and • Spot TV: 43% U.S. Spot Radio and Spot • Magazines, B-to-B Internet spending TV spending and Spot TV saw decreased • Spot TV: 70% U.S. slight decreases 17
  • 18. Dell :15 :30 :60 18,000 16,083 16,000 15,658 13,935 14,000 11,763 12,000 Total TV TRPs* 10,654 10,000 8,000 6,032 5,338 6,000 3,137 3,795 4,000 2,869 1,210 1,505 2,000 83 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Total Media $21.8 $55.8 $135.9 $193.1 $245.9 $298.4 $441.5 $495.5 $624.9 $773.7 $730.0 $542.0 $183.7 $(MM) (YTD**) *Spot TV TRPs nationalized **January-June 2008
  • 19. Dell Dollars by Media Type Dell 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Network TV $ - $ - $ - $ 5.3 $ 28.5 $ 40.4 $ 28.8 $ 53.1 $ 39.3 $ 24.9 $ 76.6 $ 95.3 $ 52.5 $ 22.0 Cable TV $ - $ - $ - $ 14.3 $ 31.3 $ 24.6 $ 29.7 $ 105.0 $ 129.0 $ 187.4 $ 172.5 $ 209.5 $ 66.8 $ 10.0 Syndication $ - $ - $ - $ 0.1 $ 0.1 $ 0.2 $ 5.9 $ 4.1 $ 3.4 $ 0.8 $ - $ 6.4 $ 4.5 $ - Spot TV $ - $ 0.2 $ 12.1 $ 6.3 $ 0.2 $ 0.1 $ 4.4 $ 6.9 $ 6.8 $ 5.0 $ 0.7 $ 0.4 $ 5.7 $ 3.0 Magazines $ 15.1 $ 1.0 $ 11.2 $ 58.7 $ 75.0 $ 81.9 $ 99.1 $ 113.3 $ 119.5 $ 138.6 $ 157.1 $ 150.2 $ 166.4 $ 55.1 B-to-B Magazines $ - $ - $ - $ 46.6 $ 33.4 $ 40.7 $ 35.2 $ 32.7 $ 30.3 $ 18.0 $ 20.5 $ 16.8 $ 18.3 $ 9.7 Hisp Magazines $ - $ - $ - $ - $ - $ - $ - $ - $ 0.1 $ - $ 0.1 $ 0.1 $ 0.1 $ 0.1 Natl Newspapers $ 0.4 $ 18.8 $ 29.0 $ 4.3 $ 14.7 $ 35.6 $ 45.5 $ 32.6 $ 34.8 $ 53.1 $ 72.9 $ 41.0 $ 45.8 $ 20.4 Local Newspapers $ - $ - $ - $ - $ 9.5 $ 22.3 $ 15.3 $ 45.2 $ 46.6 $ 61.3 $ 115.4 $ 73.4 $ 78.3 $ 27.6 Hisp Newspapers $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 0.1 $ 0.1 $ 0.1 $ - Network Radio $ - $ - $ - $ - $ - $ - $ - $ - $ 2.2 $ 12.2 $ - $ 0.7 $ - $ 0.8 Spot Radio $ - $ 1.7 $ 3.4 $ 0.3 $ 0.1 $ 0.1 $ 0.1 $ 1.2 $ 3.1 $ 2.5 $ 1.1 $ 1.4 $ 0.4 $ - Internet $ - $ - $ - $ - $ - $ - $ 34.4 $ 46.7 $ 79.7 $ 119.5 $ 156.7 $ 134.8 $ 102.2 $ 35.0 Outdoor $ - $ - $ 0.1 $ 0.1 $ 0.3 $ 0.1 $ 0.0 $ 0.5 $ 0.6 $ 1.5 $ 0.1 $ 0.0 $ 0.9 $ 0.2 TOTAL (MM) $ 15.5 $ 21.8 $ 55.8 $ 135.9 $ 193.1 $ 245.9 $ 298.4 $ 441.5 $ 495.5 $ 624.9 $ 773.7 $ 730.0 $ 542.0 $ 183.7 19
  • 20. Dell TRPs by Market 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 ALBANY 301 0 6 1 14 10 7 7 1 2 ALBUQUERQUE 1 1 32 13 12 15 23 35 20 ATLANTA 0 35 30 14 171 189 11 380 333 AUSTIN 113 246 6 21 31 901 583 152 4 14 550 331 BALTIMORE 33 249 2 9 59 28 9 1 14 500 397 BATON ROUGE 7 6 15 9 0 2 BIRMINGHAM 31 10 30 8 12 20 28 BOSTON 2,277 609 1 0 26 16 15 197 6 18 313 312 BUFFALO 198 105 18 71 23 33 11 5 7 1 BURLINGTON 7 1 1 9 0 CEDAR RAPIDS 7 15 6 24 2 4 6 CHAMPAIGN 25 3 6 2 5 7 CHARLESTON, WV 8 33 11 6 4 9 3 2 CHARLOTTE 31 1 1 2 155 44 95 23 7 17 7 CHATTANOOGA 31 20 5 5 20 5 CHICAGO 1,855 525 1 571 943 1,703 1,500 9 14 715 551 CINCINNATI 148 9 0 8 52 38 8 11 8 10 CLEVELAND 1 4 27 10 20 4 3 12 20 1 COLORADO SPRGS 20 13 12 14 18 6 6 2 COLUMBIA,SC 16 14 12 4 3 2 COLUMBUS,OH 181 15 12 36 17 7 11 5 DALLAS 2,680 1,107 4 0 80 184 230 500 19 25 523 354 DAVENPORT 15 1 1 7 DAYTON 3 54 38 71 9 5 25 21 DENVER 1,692 246 280 4 27 22 57 5 245 36 455 437 DES MOINES 3 36 25 119 3 9 3 2 DETROIT 3,112 1,690 3 2 48 72 39 325 3 4 53 EL PASO 15 23 6 7 6 7 6 EVANSVILLE 16 7 1 7 1 FLINT 4 30 15 7 1 2 FRESNO 2 1 17 11 2 8 7 13 546 FT. MYERS 32 26 15 0 6 17 23 GRAND RAPIDS 5 9 5 18 16 39 1 47 9 4 GREEN BAY 34 19 50 2 35 13 5 1 GREENSBORO 2 33 22 13 19 6 22 18 GREENVILLE, SC 54 4 5 12 35 28 5 HARRISBURG 2 2 5 12 32 1 2 1 HARTFORD 138 1 0 28 18 20 5 12 3 4 HONOLULU 20 56 18 4 42 20 14 HOUSTON 6 2 0 13 23 591 163 21 24 590 396 HUNTSVILLE 16 40 26 37 49 5 2 0 INDIANAPOLIS 23 1 2 26 16 7 0 25 579 JACKSON 20 6 2 5 1 JACKSONVILLE 1 2 5 14 19 35 20 4 8 37 JOHNSTOWN 5 6 1 1 KANSAS CITY 54 4 5 0 24 26 33 5 2 25 31 KNOXVILLE 1 21 11 4 1 7 15 11 LAS VEGAS 8 39 62 47 4 12 11 3 LEXINGTON 8 1 71 16 178 3 17 3 0 5 LITTLE ROCK 13 8 98 12 15 15 1 LOS ANGELES 326 758 805 668 17 2 14 22 LOUISVILLE 1 3 53 14 12 9 50 59 11 MADISON 5 7 1 1 13 2 3 MEMPHIS 1 72 23 57 45 7 12 15 20
  • 21. Dell TRPs by Market MIAMI 375 3 11 2 33 25 18 119 3 14 473 406 MILWAUKEE 192 3,273 14 39 15 135 5 1 4 29 MINNEAPOLIS 1,040 7 9 19 352 3 5 380 421 MOBILE 3 7 8 4 11 2 13 4 NASHVILLE 219 24 24 3 42 26 8 NEW ORLEANS 37 16 17 18 7 NEW YORK 379 2 663 1,032 751 14 1 25 32 2 NORFOLK 3 12 9 6 1 11 12 4 OKLAHOMA CITY 37 4 1 44 36 39 5 21 15 5 7 OMAHA 6 11 26 21 3 8 13 4 ORLANDO 10 40 35 21 13 8 27 584 333 PADUCAH 9 14 4 2 2 PHILADELPHIA 372 3 55 34 252 320 3 7 454 399 PHOENIX 110 15 333 46 355 6 8 383 372 PITTSBURGH 44 4 24 28 59 18 12 3 5 21 3 PORTLAND ME 3 7 20 7 3 21 4 PORTLAND OR 247 145 5 27 20 22 5 8 32 3 PROVIDENCE 229 13 8 6 10 15 6 6 26 6 2 RALEIGH 49 8 8 25 20 11 7 36 40 329 RICHMOND 5 61 16 41 9 14 6 355 ROANOKE 27 22 13 1 1 6 8 ROCHESTER 11 1 26 14 7 15 19 7 5 SACRAMENTO 12 59 18 32 1 6 16 9 5 SALT LAKE CITY 3 1 48 35 20 14 39 38 22 SAN ANTONIO 74 145 3 89 90 47 6 3 34 2 2 SAN DIEGO 2 53 22 23 3 1 16 363 333 SAN FRANCISCO 3,096 1,038 621 266 10 4 174 9 379 335 SAVANNAH 15 31 16 7 39 19 8 SEATTLE 1,598 660 13 6 77 524 33 253 12 28 261 306 SHREVEPORT 28 11 17 2 22 4 SOUTH BEND 28 4 4 5 5 5 SPOKANE 1 17 10 31 2 15 11 7 SPRINGFIELD MA SPRINGFIELD MO 12 16 3 17 2 ST LOUIS 1,667 230 4 19 30 29 2 68 49 1 SYRACUSE 3 11 16 17 9 32 TAMPA 77 2 6 176 37 31 4 24 9 41 TOLEDO 1 5 26 13 3 6 3 31 TRI CITIES 15 10 9 2 TUCSON 21 23 19 2 7 12 TULSA 6 3 26 11 38 7 16 38 4 WACO 9 9 5 4 269 WASHINGTON 190 3,226 1,309 3 12 10 47 147 9 533 478 WEST PALM BCH 3 45 22 33 1 1 13 10 WICHITA 4 1 18 13 16 9 WILKES BARRE 4 28 7 19 20 30 7 4 YOUNGSTOWN 12 14 5 11 6 % US 5.6% 37.9% 50.9% 46.5% 25.9% 83.9% 86.8% 86.8% 84.2% 78.8% 85.0% 83.5% 43.4% National TRPs 83 1,210 1,505 3,137 3,795 6,032 11,763 10,654 13,935 16,083 15,658 5,338 2,869 21
  • 22. Direct TV and DISH 22
  • 23. Category Findings Direct TV and Dish • Both Advertisers used a multi-media mix approach in the early stages to reach consumers • Direct TV favored TV which received the highest allocation of media dollars followed by Magazines − Primarily :30 units in Network TV • DISH’s initial media strategy was grounded primarily in National Print • In 2001DISH shifted their media focus to a more localized approach by funneling more dollars into Spot TV, Radio and Local Newspapers • Later DISH increased TV spending with Cable receiving the highest allocation 23
  • 24. Key Brand Findings Direct TV • Direct TV utilized a multi-media approach media mix of TV, Magazines, B-to-B, Nat’l/Local Print, Spot Radio in the earlier stages of their marketing efforts and later introduced Internet and OOH to the mix • Direct TV invested heavily in TV and Magazines with Network TV receiving the highest allocation of media dollars YOY except for ‘03 − Cable received the 2nd highest allocation followed by Magazines • Although :30s were most commonly used throughout the reported time period Direct TV also utilized a unit mix of :15s, :45s and :60s − :60s were used in ’95 and ‘99 at lower levels − In 2001 Direct TV started using :60s to a larger degree • 808 TRPs in ’01 vs. 41 TRPs the previous year − :15s were introduced as part of the unit mix in 2006 and concentrated primarily in Cable and Network TV (65% Cable/36% Network) 24
  • 25. Direct TV Historical Insights 1995 1996 1997 1998 1999 $43.3MM $68.7MM (+59%) $51.7MM (-25%) $81.1MM (+57%) $93.6MM (+15%) • Media Mix consist of • Media mix is • Decreases seen • Significantly increased • Network TV and Cable TV, Magazines, consistent with throughout TV and Magazine Syndication is down Nat’l Newspapers, previous year • Highest % reduction in spending • Added Newspapers Radio, Spot TV and • Significantly increased Nat’l Spot Radio • Added B-to-B Syndication Magazine spend • Spot TV: 79% U.S. (+81%) 2000 2001 2002 2003 2004 $122.1MM (+30%) $147.3MM (+21%) $156.4MM (+6%) $160.0MM (+2%) $210.7MM (+32%) • Increased Nat’l Spot • Increased Cable, • Spot TV down (-72%) • Reduced Cable, • Increased Syndication Radio spend Spot TV and • 79% U.S. Network and SLN TV spending significantly Newspapers spending • Added Network Radio • Spot TV: 81% U.S. • Shifted dollars into and SLN TV • Eliminated Network Magazines and Spot Radio TV • Added Internet to the media mix 25
  • 26. Direct TV Historical Insights (continued) 2005 2006 2007 Jan-June 2008 $239.0MM (+13%) $255.2MM (+7%) $269.7MM (+6%) $170.5MM (-37%) • Network TV spending • Network TV remains • Network, Cable and • Significantly reduced is up 64% dominant Newspaper spending Cable and Network • Cable TV remained up TV Spending flat 26
  • 27. Direct TV :10 :15 :30 :45 :60 12,000 11,116 10,238 10,002 10,000 8,000 6,963 Total TV TRPs* 6,566 6,640 5,862 5,709 6,000 3,488 4,000 3,227 3,103 2,827 2,193 1,894 2,000 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Total Media $(MM) $43.3 $68.7 $51.7 $81.1 $93.6 $122.1 $147.3 $156.4 $160.0 $210.7 $239.0 $255.2 $269.7 $170.5 (YTD**) *Spot TV TRPs nationalized **January-June 2008
  • 28. Direct TV Dollars by Media Type Direct TV 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Network TV $ 22.7 $ 34.6 $ 29.1 $ 40.3 $ 37.5 $ 53.9 $ 51.9 $ 50.6 $ 33.1 $ 54.4 $ 82.8 $ 109.2 $ 126.7 $ 75.1 Cable TV $ 7.6 $ 10.1 $ 5.4 $ 10.3 $ 13.6 $ 11.5 $ 30.4 $ 45.1 $ 41.3 $ 32.2 $ 32.0 $ 41.2 $ 59.8 $ 34.2 Syndication $ 2.6 $ 6.2 $ 3.4 $ 8.1 $ 2.3 $ 0.1 $ 0.3 $ 1.1 $ 9.7 $ 40.0 $ 28.0 $ 17.4 $ 3.2 $ 1.2 Spot TV $ 2.7 $ 3.2 $ 1.1 $ 2.8 $ 1.9 $ 5.5 $ 17.7 $ 4.9 $ 22.3 $ 37.2 $ 33.1 $ 39.8 $ 31.7 $ 38.4 SLN TV $ - $ - $ - $ - $ 10.8 $ 10.4 $ 13.3 $ 9.4 $ 11.9 $ 23.1 $ 14.3 $ 7.5 $ 0.3 Magazines $ 5.9 $ 10.7 $ 9.0 $ 15.6 $ 22.8 $ 14.8 $ 8.6 $ 6.5 $ 11.3 $ 4.8 $ 8.8 $ 15.0 $ 14.7 $ 9.0 B-to-B Magazines $ - $ - $ 0.4 $ 1.9 $ 2.1 $ 1.9 $ 1.2 $ 1.2 $ 1.1 $ 1.7 $ 2.1 $ 1.9 $ 1.2 Hisp Magazines $ - $ - $ - $ - $ - $ - $ - $ - $ 0.1 $ 0.1 $ 0.3 $ 0.2 $ - Natl Newspapers $ 1.3 $ 2.2 $ 3.4 $ 3.6 $ 4.2 $ 5.2 $ 3.2 $ 1.8 $ 0.8 $ 1.5 $ 1.5 $ 3.0 $ 8.9 $ 3.9 Local Newspapers $ - $ - $ - $ 9.0 $ 9.5 $ 14.1 $ 15.7 $ 12.0 $ 15.5 $ 16.9 $ 4.8 $ 6.8 $ 4.4 Hisp Newspapers $ - $ - $ - $ 0.1 $ 0.0 $ 0.4 $ 0.5 $ 0.5 $ 0.4 $ 0.3 $ 0.2 $ 0.5 $ 0.1 Network Radio $ - $ - $ - $ - $ 5.7 $ - $ 0.1 $ 0.2 $ 0.2 $ 0.3 $ 0.3 $ 0.8 $ 0.8 Spot Radio $ 0.4 $ 1.7 $ 0.3 $ 0.1 $ 0.3 $ 3.0 $ 2.3 $ 10.2 $ 14.2 $ 9.7 $ 8.6 $ 2.2 $ 3.5 $ 0.6 Internet $ - $ - $ - $ - $ - $ 6.0 $ 5.0 $ 3.8 $ 1.6 $ 1.5 $ 4.2 $ 3.1 $ 1.2 Outdoor $ - $ - $ - $ - $ - $ - $ 0.1 $ 0.3 $ - $ 0.1 $ 0.5 $ 1.3 $ 0.6 $ 0.2 TOTAL (MM) $ 43.3 $ 68.7 $ 51.7 $ 81.1 $ 93.5 $ 122.1 $ 147.3 $ 156.4 $ 160.0 $ 210.7 $ 239.0 $ 255.2 $ 269.7 $ 170.5 28
  • 29. Direct TV TRPs by Market 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 ALBANY 14 5 3 7 13 27 0 93 885 755 154 710 270 ALBUQUERQUE 21 371 31 18 16 0 14 39 19 762 2,549 4,211 1,629 415 ATLANTA 155 397 28 677 6 432 2,685 485 3,129 1,387 1,592 3,992 1,313 62 AUSTIN 280 15 3 13 1 389 117 178 49 150 222 124 652 BALTIMORE 120 851 386 12 5 1,101 58 693 1,879 479 3,715 79 44 BATON ROUGE 78 10 1,038 895 27 703 27 BIRMINGHAM 441 74 44 37 440 2,485 150 1,027 3,346 716 1,163 344 306 BOSTON 33 60 37 443 304 556 1,194 337 384 943 1,990 169 396 436 BUFFALO 48 41 22 18 24 383 766 265 3,360 2,496 827 1,056 195 BURLINGTON 7 499 1,355 93 1,794 924 CEDAR RAPIDS 3 402 1,410 205 740 1 CHAMPAIGN 2 13 39 1,027 1,915 117 1,289 850 CHARLESTON, WV 7 124 4 26 4 181 57 993 3,609 69 465 364 CHARLOTTE 765 151 86 94 11 218 3,605 163 893 1,957 1,443 1,381 907 174 CHATTANOOGA 7 664 494 7 112 59 CHICAGO 53 26 5 11 34 729 1,053 518 2,941 1,537 2,012 122 1,038 1,629 CINCINNATI 475 673 350 596 82 418 1,216 34 222 645 654 283 1,083 290 CLEVELAND 50 787 465 151 3 10 1,201 135 170 623 1,435 1,141 1,450 465 COLORADO SPRGS 16 20 51 478 1,855 3,395 1,037 55 COLUMBIA,SC 5 3 746 1,351 815 1,327 850 430 COLUMBUS,OH 336 34 4 430 54 2 823 231 468 521 461 231 208 104 DALLAS 140 244 62 35 12 126 1,661 209 2,446 1,993 1,948 4,667 1,956 3,327 DAVENPORT 2 333 1,328 31 709 42 DAYTON 2 18 5 3 153 36 54 1,355 1,275 27 244 1,018 DENVER 70 465 28 23 5 1 855 13 393 290 286 1,026 920 DES MOINES 14 63 4 2 310 9 26 631 495 490 254 750 88 DETROIT 187 915 1,281 610 67 155 1,389 165 90 373 1,078 191 234 214 EL PASO 18 13 28 533 426 19 342 28 EVANSVILLE 4 15 939 70 401 1,765 49 FLINT 64 11 93 24 3 46 1 91 1,315 3,060 525 243 163 FRESNO 437 27 5 8 72 13 19 8 1,257 455 5,379 2,050 1,621 FT. MYERS 18 45 482 1,400 1,652 591 155 GRAND RAPIDS 465 14 6 347 7 60 16 61 110 300 551 56 82 51 GREEN BAY 42 105 107 30 6 1 1 914 1,647 762 225 585 237 GREENSBORO 470 27 2 19 2 717 1,844 26 444 3,332 893 1,837 1,280 972 GREENVILLE, SC 551 13 12 22 4 640 1,403 121 787 2,577 2,367 635 1,587 547 HARRISBURG 22 65 5 240 20 178 37 791 3,303 631 1,326 692 HARTFORD 155 128 14 474 5 1 12 198 1,143 3,094 178 246 118 HONOLULU 19 2 11 6 134 19 15 14 HOUSTON 223 72 29 583 353 471 2,146 163 363 1,373 1,789 382 1,213 5,549 HUNTSVILLE 129 239 364 776 996 235 INDIANAPOLIS 51 74 289 580 47 186 806 842 52 939 1,609 9 66 22 JACKSON 441 149 1,154 395 770 370 18 JACKSONVILLE 15 9 13 3 1 446 672 512 182 3,921 222 226 JOHNSTOWN 0 588 801 42 23 3 KANSAS CITY 520 556 231 93 66 0 839 419 288 1,014 416 247 309 241 KNOXVILLE 84 68 22 15 2 0 29 120 313 2,245 371 87 266 203 LAS VEGAS 20 1,101 22 22 15 35 170 271 971 1,879 121 4,447 1,153 2,709 LEXINGTON 59 80 3 7 18 122 14 1,372 2,054 219 967 760 LITTLE ROCK 81 32 13 248 78 240 52 991 1,411 1,920 1,039 295 277 190 LOS ANGELES 123 41 10 54 297 1,508 1,767 479 2,689 1,931 2,324 3,587 1,367 6,288 LOUISVILLE 214 990 362 154 74 3 41 7 264 1,382 1,588 31 168 95 MADISON 4 168 640 3,027 35 844 44 29
  • 30. Direct TV TRPs by Market MEMPHIS 16 4 1 15 169 3,123 961 4,147 2,781 1,379 781 2,665 229 MIAMI 189 42 565 634 138 1,138 1,043 3,710 2,269 2,249 2,670 2,732 6,778 MILWAUKEE 370 22 45 598 12 4 2,674 418 491 1,345 323 213 360 243 MINNEAPOLIS 73 664 72 50 2 49 952 216 117 553 114 2 399 30 MOBILE 5 15 5 5 16 14 85 1,413 283 2,233 511 103 NASHVILLE 24 1,093 306 181 67 61 1,493 2,300 289 1,076 827 3,886 199 150 NEW ORLEANS 91 109 177 36 272 2 235 138 128 3,712 1,142 1,188 882 NEW YORK 46 34 67 551 1 49 797 171 2,739 2,955 1,912 554 942 4,596 NORFOLK 17 13 14 6 4 22 1,148 3,848 1,016 5,456 1,414 408 OKLAHOMA CITY 12 84 83 90 8 5 37 301 583 649 1,974 458 902 659 OMAHA 54 426 39 241 3 109 5 124 520 1,975 109 72 108 ORLANDO 113 27 39 63 11 781 375 313 1,036 1,370 1,262 29 179 265 PADUCAH 1 896 97 949 1,335 158 PHILADELPHIA 57 30 59 580 401 1,003 1,427 22 152 1,986 2,067 1,172 465 1,458 PHOENIX 87 828 278 67 110 102 1,211 136 429 570 740 3,402 1,860 1,329 PITTSBURGH 94 56 9 44 439 209 860 443 471 708 2,388 215 1,523 489 PORTLAND ME 12 13 3 22 6 5 5 631 1,959 164 1,572 187 PORTLAND OR 516 30 26 283 6 4 175 1 213 1,106 1,928 228 1,087 244 PROVIDENCE 14 34 77 38 20 26 253 257 472 228 634 1,169 RALEIGH 379 19 4 18 10 85 2,047 424 1,161 2,471 707 130 73 57 RICHMOND 440 15 3 18 9 3 29 1,054 1,814 108 5,500 911 239 ROANOKE 29 415 14 9 1 243 1,011 1,532 1,080 320 183 17 ROCHESTER 221 943 18 19 9 7 16 10 27 599 127 46 205 39 SACRAMENTO 505 29 15 46 22 325 807 15 2,308 1,205 1,527 3,657 2,993 1,157 SALT LAKE CITY 236 809 116 700 54 248 1,506 513 835 725 150 4,793 1,947 108 SAN ANTONIO 466 8 88 48 9 69 811 1,449 679 314 172 424 421 452 SAN DIEGO 89 62 12 437 15 82 392 6 16 48 149 22 300 294 SAN FRANCISCO 75 149 20 100 69 52 751 385 2,060 608 536 118 765 1,643 SAVANNAH 1 6 1,146 1,960 2,843 1,317 28 SEATTLE 53 99 78 463 9 278 549 237 350 175 1,951 9 702 51 SHREVEPORT 2 215 1,650 1,741 1,152 1,681 1,560 409 SOUTH BEND 4 1 818 1,792 170 37 40 SPOKANE 1,272 5 15 14 8 264 13 490 2,000 1,197 1,446 308 SPRINGFIELD MA 918 265 106 2 SPRINGFIELD MO 330 197 118 797 1,365 20 1 ST LOUIS 107 13 64 30 96 1,909 1,227 1,012 1,539 992 3,942 1,449 370 SYRACUSE 20 89 45 35 2 2 322 63 794 1,129 265 917 550 TAMPA 313 846 312 14 8 3 672 91 713 1,099 1,336 208 768 403 TOLEDO 236 5 17 22 9 34 70 83 741 1,235 35 195 1,002 TRI CITIES 12 27 610 666 79 238 72 TUCSON 182 1 231 172 41 3,363 959 579 TULSA 6 1,199 676 134 2 2 3 7 7 1,431 1,237 2,109 2,980 568 WACO 7 532 591 1,620 894 132 WASHINGTON 116 50 64 105 30 897 2,285 20 2,324 1,418 1,241 2,169 152 512 WEST PALM BCH 71 903 579 52 2 688 644 1,329 1,061 1,788 2,950 1,154 1 WICHITA 6 62 87 6 2 20 1 2 501 1,819 11 40 312 WILKES BARRE 32 6 31 29 6 34 3 408 694 586 51 218 50 YOUNGSTOWN 11 885 1,537 509 1,719 1,847 % US 79.2% 79.1% 75.8% 79.5% 73.3% 74.1% 81.4% 76.2% 86.3% 86.8% 87.1% 86.5% 86.7% 87.1% National TRPs 2,193 3,227 1,894 3,488 2,827 3,103 5,862 5,709 6,566 6,640 6,963 10,238 11,116 10,002 30
  • 31. Key Brand Findings DISH • DISH utilized a Media mix of TV, Local/Nat’l Print, Radio OOH and Online • Spot TV was seen throughout whereas Cable TV, Network and Syndication was absent for a few years − Minimum TRPs: 18 in ’99 − Maximum TRPs: 5,287 in ‘08 • :30s were utilized earlier on then DISH began using a variety of unit lengths including :120s − Dish used 100% :60s in 97 and ’99 and then they were absent from the TV strategy until 2003 31
  • 32. DISH Historical Insights 1996 1997 1998 1999 2000 $17.6MM $28.6MM (+63%) $17.2MM (-40%) $29.7MM (+73%) $89.7MM (+202%) • Media mix consist • Magazines received • Eliminated Cable and • Media Mix similar to • Significantly increased primarily of Cable, the highest allocation Network TV previous year with the Newspaper and Nat’l Network and Spot TV, of $ addition of Spot Radio and Spot Magazines , Nat’l • Highest % increase in Newspapers TV investment Newspapers and Nat’l Spot TV • Spot TV: 61% U.S. Spot Radio • Spot TV: 47% U.S. • Added Network Radio to the media mix 2001 2002 2003 2004 2005 $57.3MM (-36%) $43.9MM (-22%) $102.7MM (+134%) $75.8MM (-26%) $115.6MM (+52%) • Hispanic Newspapers • Magazines • Newspapers receives • Increased Syndication • Significant increases and Nat’l Spot Radio decreased the highest allocation • Reduced Spot TV in Cable, Magazines increased slightly significantly from YA of dollars(+89%) activity and Nat’l Spot Radio • Highest % reduction in • Spot TV increased by • Added Cable TV Magazines $17.5MM 32
  • 33. DISH Historical Insights (continued) 2006 2007 Jan-June 2008 $162.1MM (+40%) $169.1MM (+4%) $106.2MM (-37%) • Syndication up 143% • Highest % increase in • Cable TV is the only % Newspapers increase • Syndication was • Added Syndication absent from the media mix 33
  • 34. DISH :10 :15 :30 :60 Other 6000 5,287 5000 4,280 4000 Total TV TRPs* 3,240 3000 2,516 2000 1,715 1,636 1000 770 607 211 255 149 26 18 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Total Media $17.6 $28.6 $17.2 $29.7 $89.7 $57.3 $43.9 $102.7 $75.8 $115.6 $162.1 $169.1 $106.2 $(MM) (YTD**) *Spot TV TRPs nationalized **January-June 2008 ***Other includes :120+ units
  • 35. DISH Dollars by Media Type DISH 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Network TV $ 3.4 $ - $ - $ - $ - $ - $ - $ 0.9 $ 0.2 $ 0.8 $ 6.3 $ 13.6 $ 7.4 Cable TV $ 1.2 $ 0.9 $ - $ 0.0 $ - $ - $ - $ 14.4 $ 9.1 $ 17.1 $ 28.7 $ 13.9 $ 16.8 Syndication $ - $ - $ - $ 1.4 $ - $ - $ - $ - $ 14.5 $ 15.7 $ 38.2 $ - $ 1.7 Spot TV $ 0.2 $ 1.4 $ 0.4 $ 0.4 $ 6.0 $ 2.7 $ 20.2 $ 28.9 $ 18.7 $ 22.2 $ 14.3 $ 14.0 $ 13.8 SLN TV $ - $ - $ - $ 0.7 $ 1.4 $ - $ - $ 2.4 $ - $ 12.1 $ 16.4 $ 11.0 $ 10.6 Magazines $ 5.9 $ 18.6 $ 11.2 $ 14.4 $ 24.2 $ 9.7 $ 1.0 $ 0.5 $ 0.7 $ 4.1 $ 9.0 $ 21.6 $ 4.9 B-to-B Magazines $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 0.4 $ - $ - Hisp Magazines $ - $ - $ - $ - $ - $ - $ - $ - $ 0.2 $ 0.1 $ 0.1 $ 0.4 $ 0.3 Natl Newspapers $ 6.3 $ 7.7 $ 4.7 $ 3.5 $ 6.1 $ 4.1 $ 1.9 $ 4.3 $ 3.6 $ 2.8 $ 1.1 $ 4.2 $ 7.3 Local Newspapers $ - $ - $ - $ 8.4 $ 30.1 $ 23.8 $ 19.7 $ 37.3 $ 24.2 $ 26.3 $ 21.6 $ 48.5 $ 29.2 Hisp Newspapers $ - $ - $ - $ 0.1 $ 0.2 $ 0.3 $ 0.8 $ 0.8 $ 1.0 $ 1.0 $ 0.7 $ 0.5 $ 0.4 Network Radio $ - $ - $ - $ - $ 14.4 $ 8.0 $ - $ 0.1 $ - $ - $ - $ 3.9 $ 0.1 Spot Radio $ 0.7 $ - $ 0.8 $ 0.7 $ 5.8 $ 8.7 $ 0.1 $ 13.0 $ 3.1 $ 10.5 $ 5.9 $ 19.6 $ 5.5 Internet $ - $ - $ - $ - $ - $ - $ 0.1 $ 0.1 $ 0.5 $ 1.9 $ 18.8 $ 13.6 $ 7.9 Outdoor $ - $ - $ - $ - $ 1.4 $ - $ 0.1 $ 0.1 $ 0.1 $ 1.1 $ 0.6 $ 4.2 $ 0.2 TOTAL (MM) $ 17.6 $ 28.6 $ 17.2 $ 29.7 $ 89.7 $ 57.3 $ 43.9 $ 102.7 $ 75.8 $ 115.6 $ 162.1 $ 169.1 $ 106.2 35
  • 36. DISH TRPs by Market 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 ALBANY 1 342 936 1,443 34 19 6 ALBUQUERQUE 7 119 2,590 6,923 1,541 2,397 1,060 258 1,463 ATLANTA 826 15 2,024 7,062 442 962 987 71 3 AUSTIN 86 546 0 157 1,384 2,076 29 1,175 1,341 2,268 BALTIMORE 12 48 104 129 1 0 108 142 BATON ROUGE 192 113 6 1 4 71 BIRMINGHAM 2,980 7,114 1,544 969 956 351 BOSTON 37 321 136 5 45 92 0 24 7 BUFFALO 145 42 1,065 2,505 1,544 933 847 91 BURLINGTON 1,587 4,087 2,088 940 3 3 4 CEDAR RAPIDS 1,091 2,431 1,464 574 626 1,097 CHAMPAIGN 724 3,848 2,042 496 265 1,080 CHARLESTON, WV 1 1 9 47 22 4,963 1,160 101 1 4 CHARLOTTE 1 827 341 1,713 3,390 595 108 5 402 136 CHATTANOOGA 840 2,441 916 608 34 404 CHICAGO 16 16 43 1,017 104 474 293 343 981 1,825 CINCINNATI 309 747 629 200 32 9 302 238 CLEVELAND 406 1,757 1,180 671 32 77 584 713 4 COLORADO SPRGS 3,154 479 3 101 5 COLUMBIA,SC 612 902 28 21 621 131 COLUMBUS,OH 15 78 547 362 196 1,023 953 3 DALLAS 176 1 946 2,140 6,273 2,150 1,040 1,554 1,465 2,932 DAVENPORT 36 2,594 1,211 1,010 27 DAYTON 3 368 46 642 1,503 303 77 86 5 DENVER 227 335 852 69 2,168 6,417 3,327 3,219 1,775 503 1,527 DES MOINES 102 4,388 1,136 2,456 531 466 1,640 DETROIT 31 220 1,452 1,931 1,064 2,373 1,203 539 1 EL PASO 3 79 72 362 771 EVANSVILLE 3,496 1,807 990 3 FLINT 25 2,286 93 1 5 FRESNO 225 451 4,546 1,695 394 65 113 1,282 FT. MYERS 7 361 750 24 2 170 GRAND RAPIDS 17 2,928 4,611 307 3,079 572 1,171 GREEN BAY 128 1,175 308 523 452 48 901 39 31 GREENSBORO 28 162 2,431 729 869 615 592 15 1,007 104 GREENVILLE, SC 78 10 2,130 7,041 297 2,382 7 702 5 HARRISBURG 4 1,108 1,908 649 92 19 316 2 HARTFORD 24 5 12 1,170 37 2 10 HONOLULU 1 736 1,060 91 143 10 HOUSTON 33 16 1,187 661 358 545 2,769 1,471 1,841 4,363 HUNTSVILLE 810 276 7 222 INDIANAPOLIS 27 697 49 2,489 4,713 1,222 2,819 2,029 246 1,262 JACKSON 4,154 417 122 1 JACKSONVILLE 38 671 1,529 894 252 85 15 1 JOHNSTOWN 71 133 4,830 1,298 6 340 462 KANSAS CITY 55 0 1,121 32 2,768 2,126 366 2,652 1,871 194 KNOXVILLE 78 51 1,611 420 750 23 1 44 LAS VEGAS 461 297 57 1,126 115 1,087 439 176 968 LEXINGTON 106 84 2 15 270 6,285 1,856 2,312 388 15 929 LITTLE ROCK 158 13 37 24 3,478 2,138 4,285 121 11 1,341 LOS ANGELES 51 67 207 281 1,568 2,019 674 1,341 1,451 1,786 1,908 LOUISVILLE 476 3,794 1,966 672 6,883 3,848 1,666 116 43 4 MADISON 35 6 1,101 2,254 1,178 1,072 958 1,333 36
  • 37. DISH TRPs by Market MEMPHIS 541 1,416 439 3 2 7 MIAMI 30 45 147 32 805 663 708 330 1,185 MILWAUKEE 38 15 79 12 14 363 72 233 334179 MINNEAPOLIS 13 1 227 1,877 5,395 1,399 2,606 1,179 136249 MOBILE 136 41,338 1,372 58 22 3 3 NASHVILLE 81 10 2 439 335 2,373 6,086 1,677 2,104 1,171 285 NEW ORLEANS 1 1 1 45 856 4 218 NEW YORK 112 3 174 39 272 91 429 698 362 72 NORFOLK 1 20 86 512 235 5 3 3 OKLAHOMA CITY 435 356 6 13 2,198 5,917 1,797 2,584 704 55 1,087 OMAHA 108 16 1,762 1,795 87 8 130 ORLANDO 236 24 34 12 84 161 PADUCAH 525 184,192 2,672 2,082 741 175 1,175 PHILADELPHIA 97 125 79 312 32 442 312 724 PHOENIX 15 275 146 32 1,147 3,408 1,055 1,975 770 127 1,539 PITTSBURGH 36 5 1 1,114 354 1,608 1,447 167 3,049 677 8 PORTLAND ME 133 1,024 599 610 44 7 PORTLAND OR 38 82 1,288 1,246 2,267 7,038 2,910 3,293 15 69 2 PROVIDENCE 18 111 29 6 2 2 RALEIGH 52 468 1,687 3,940 453 292 610 1,040 123 RICHMOND 107 871 414 89 18 2 1 ROANOKE 70 76 8 3,459466 2,117 758 662 306 ROCHESTER 3 8 2,505 365 2 2 2 SACRAMENTO 12 780 2,591 5,540 1,091 1,638 1,573 87 1,308 SALT LAKE CITY 13 153 1,405 823 2,047 7,014 862 3,414 995 298 1,652 SAN ANTONIO 29 470 1,697 1,712 1,028 71 1,376 1,859 1,459 SAN DIEGO 182 765 9 22 7 75 814 106 170 SAN FRANCISCO 67 263 55 11 1,034 176 225 230 142 519 1,375 SAVANNAH 2832,093 84 40 1 SEATTLE 24 48 865 303 801 27 312 2,272 6 76 2 SHREVEPORT 56 3,472 1,523 2,241 862 969 SOUTH BEND 760 843 821 2,346 1,311 1,081 SPOKANE 2 33 5,089 1,510 992 40 1,239 SPRINGFIELD MA 2 4 SPRINGFIELD MO 37 902 3,781 4,788 2,796 296 1,836 ST LOUIS 25 981 97 2,869 6,743 837 2,446 1,510 70 1,342 SYRACUSE 13 655 252 2,334 153 3 2 3 TAMPA 19 2 68 29 2 1,469 8 60 564 99 3 TOLEDO 1,159 4,036 1,015 52 136 2 TRI CITIES 73 2,177 1 3 32 1,058 TUCSON 1,609 4,139 656 1 6 5 15 TULSA 3 28 100 1,513 5,167 2,063 1,125 268 1,271 WACO 786 3,004 1,243 5 443 530 157 WASHINGTON 47 36 844 137 158 420 375 101 213 WEST PALM BCH 79 1,087 5 64 15 7 3 2 WICHITA 211 32 12 848 2,204 970 2 4 WILKES BARRE 20 186 657 147 19 34 YOUNGSTOWN 80 2,152 238 3 554 1 % US 11.4% 47.1% 14.7% 34.1% 60.9% 58.2% 57.4% 84.8% 86.8% 83.1% 84.9% 74.4% 86.5% National TRPs 607 211 26 18 255 149 770 3,240 1,715 2,516 4,280 1,636 5,287 37
  • 38. E-Trade 38
  • 39. Category Findings • E Trade’s initial media mix consisted primarily of Cable and National Print • Added Network and Spot TV in 1997, increased TRPs and markets each year except 2001-2003 • In ‘99 E Trade significantly increased local TV weight in some of the top Financial DMAs such as Boston, New York, LA, San Francisco and Washington, DC • E Trade’s TV strategy included a unit mix of :10s, :15, :30s and :60s − E Trade began using a unit mix of :30s/:60s in ’99 but by 2005 they replaced :60s with :10 and :15 units • Although Online replaced TV as the dominant media TV and print continue to be strong secondary mediums 39
  • 40. E Trade Historical Insights 1995 1996 1997 1998 1999 $0.8MM $5.6MM (+600%) $18.5MM (+230%) $32.8MM (+77%) $129.5 (+295%) • 62% of $ in Cable • Print had the lions • Print remains the • 50% of $ in Print & 49% • 74% of $ in TV (28% • Other medias: share dominant media of $ in TV U.S.) Magazines & • +$4.9MM in Print • Cable budget • +$8.0MM Network TV • +$43.8MM in Network Newspaper • Cable TV remained approximately the • +$5.7 in Cable TV flat same • +$5.5MM in • +$22.4MM in Cable • Added Network TV & Magazines • +$11.9MM in Spot TV Spot TV • -$2.9MM in Spot TV 2000 2001 2002 2003 2004 $105.0MM (-19%) $56.3MM (-46%) $55.0MM (-2%) $46.8MM (-15%) $86.4MM (+85%) • 43% of $ in Network TV • 35% of $ in Online (1st • 35% of $ in Online • 65% of $ in Online • 65% of $ in Online • -$9.9MM Spot TV time on plan) • +$4.0 in Spot TV (+$10.9MM) (+$25.9MM) • -$6.7 in Cable & • -$36.6MM in Network • -$5.4MM in • Network TV dropped • +$8.8 in Network TV TV Newspapers • -$5.2MM in Print • +3.5MM in Cable • -$18.0MM in Cable • -$10.2MM in Print 40
  • 41. E Trade Historical Insights (continued) 2005 2006 2007 Jan-June 2008 $137.8MM (+59%) $181.5MM (+32%) $270.1MM (+49%) $185.5MM (-31) • 51% of $ in Online • 58% of $ in Online • 69% of $ in Online • 58% of $ in Online (+$15.2MM) (+$35.3MM) (+$80.0MM) (-$78.1) • +$20.5MM in Print • +$12.5MM in Print • +$17.3 in Network TV • 21% of $ in Network TV • +$10.8MM in Cable • -$5.6 in Cable (+$9.8MM) • -$12.6MM in Magazines 41
  • 42. E-Trade :10 :15 :30 :60 4500 4,056 4000 3500 3,111 3000 2,783 Total TV TRPSs* 2,739 2,587 2,610 2500 2000 1500 868 982 1000 517 500 352 259 131 35 60 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Total Media $(MM) $0.8 $5.6 $18.5 $38.2 $129.5 $105.0 $56.3 $55.0 $46.8 $86.4 $137.8 $181.5 $270.1 $185.3 (YTD**) *Spot TV TRPs nationalized **January-June 2008
  • 43. E Trade Dollars by Media Type E Trade 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Network TV $ - $ - $ 4.0 $ 12.0 $ 55.8 $ 45.3 $ 8.7 $ 8.6 $ - $ 8.8 $ 14.2 $ 12.2 $ 29.5 $ 39.3 Cable TV $ 0.5 $ 0.6 $ 0.7 $ 6.4 $ 28.8 $ 22.1 $ 4.1 $ 5.1 $ 6.9 $ 10.3 $ 21.1 $ 19.2 $ 13.6 $ 10.2 Syndication $ - $ - $ - $ - $ - $ - $ 0.1 $ - $ - $ - $ 0.4 $ - $ - $ - Spot TV $ - $ - $ 3.3 $ 0.4 $ 12.3 $ 2.4 $ 0.4 $ 4.4 $ 0.3 $ - $ 1.0 $ 0.5 $ 0.5 $ 0.1 Magazines $ 0.1 $ 1.5 $ 5.6 $ 11.1 $ 13.1 $ 11.6 $ 4.8 $ 4.7 $ 0.4 $ 4.2 $ 18.0 $ 25.9 $ 28.3 $ 19.6 B-to-B Magazines $ - $ - $ - $ - $ 0.2 $ 0.7 $ 0.2 $ 0.2 $ 0.1 $ 0.1 $ 0.3 $ 0.1 $ 0.1 $ 0.1 Natl Newspapers $ 0.1 $ 3.6 $ 5.0 $ 8.1 $ 15.5 $ 11.3 $ 4.6 $ 3.1 $ 1.7 $ 4.3 $ 10.0 $ 14.7 $ 10.0 $ 6.6 Local Newspapers $ - $ - $ - $ - $ 1.5 $ 7.5 $ 10.8 $ 5.4 $ 5.9 $ 1.7 $ 1.0 $ 1.6 $ 1.2 $ 0.7 Network Radio $ - $ - $ - $ - $ - $ 2.1 $ - $ - $ - $ - $ 0.1 $ 0.2 $ - $ - Spot Radio $ - $ - $ - $ - $ 0.1 $ 0.1 $ 0.2 $ 1.7 $ - $ - $ - $ - $ - $ - Internet $ - $ - $ - $ - $ - $ - $ 19.8 $ 19.6 $ 30.5 $ 56.4 $ 71.6 $ 106.9 $ 186.9 $ 108.8 Outdoor $ - $ - $ - $ 0.2 $ 2.1 $ 1.9 $ 2.7 $ 2.3 $ 1.2 $ 0.5 $ - $ 0.1 $ - $ - TOTAL (MM) $ 0.8 $ 5.6 $ 18.5 $ 38.2 $ 129.5 $ 105.0 $ 56.3 $ 55.0 $ 46.8 $ 86.3 $ 137.8 $ 181.5 $ 270.1 $ 185.3 43