A survey conducted in April 2012 with over 2,000 adults in the UK and US shows a three-year high in the perceived value of entertainment across various sources, particularly television and the internet. The study highlights that enjoyment and quality are the primary factors influencing entertainment purchases, with a notable shift towards utilizing multiple devices for viewing. Additionally, while social media platforms like Facebook are popular for discussing entertainment, audiences express a preference against automated notifications about their consumption.

1. Value and Engagement in
the Era of Social Entertainment
and Second Screens

2. Methodology
Research targets Nationally representative survey of adults (Ages 18+)
Geographies UK and US
Field Dates April 12 - April 15, 2012
Sample sizes Total n=2,022 (UK n=1,012; US n=1,010)
Total sample +2.18% (in 95 out of 100 cases); Country sample +3.08% (in
Margin of Error
95 out of 100 cases)

3. Setting the scene – 6 years of DERT research

4. Valuing Entertainment
4

5. Appreciation of Value at a Three-Year High
Value is up across all of the entertainment sources in 2012,
following 2011’s low.
40%
34% 36%
32% 32% 30% 30%
18%
14% 13% 13% 14%
Social networking Film producers/ Music companies Cable television Gaming Satellite television
sites Movie studios providers companies providers
2011 2012
Q8. Thinking about the entertainment provided by each of the following entities, how much value do you think they provide, in general?
Base: All respondents (n2022)

6. Entertainment Everywhere

7. Frequent Sources of Entertainment
TV and the internet remain the most used sources of entertainment
year-over-year, while cinema/movie viewership continues to decline
60% 57% 58% 60% 58%
55% 55% TV
49% 47%
50% TV 50%
45%
45% 45%
40% 40%
35% 32% 34%
35% Internet / Web* 32%
30%
30% 30%
27%
24% Internet / Web*
25% 25% 28%
20% 20%
15% 12% 15%
Cinema / Movies Cinema / Movies
10% 7% 10% 6%
3%
5% 1% 5%
0% 0%
2010
2010 2011
2011 2012
2012 2010
2010 2011
2011 2012
2012
Q4. What source of entertainment do you turn to most often? *NOTE: 2011 and 2012 Internet/Web data was calculated using the sum of data points for Internet –
Base: All respondents (n2022) news/information, Internet – download/stream movies, Social network, Online streaming music
service, and Video game on social network for comparison with 2010 data. 2012 also includes
Internet - download/ stream TV shows

8. Video Content: Watching Outside of the Box
Though the TV is still the center of the home, audiences are watching entertainment
programming and content on other devices other than TV.
Content on Devices Other than Television
54%
30%
18% 18%
14%
10% 9%
Laptop computer Desktop computer Gaming console Using a HDMI cable to connect my laptop to my television
Mobile phone Tablet (e.g. an iPad)
Online-streaming equipped television
Q6. Other than television, which devices are you using to watch entertainment programs?
Base: All respondents (n2022)

9. Video Content: Watching Outside of the Box
Though the TV is still the center of the home, audiences are watching entertainment
programming and content on other devices other than TV.
Content on Devices Other than Television
51%
40%
24%
20%
12% 14%
9%
Laptop computer Desktop computer Gaming console Using a HDMI cable to connect my laptop to my television
Mobile phone Tablet (e.g. an iPad)
Online-streaming equipped television
Q6. Other than television, which devices are you using to watch entertainment programs?
Base: All respondents (n2022)

10. What do consumers care
about?

11. Enjoyment and Quality Come First. Followed by ease of
purchase and ability to access immediately.
Purchase Drivers
% Extremely/Somewhat Important
70%
My personal enjoyment of the entertainment 89%
90%
67%
Excellent visual or sound quality of the
87%
entertainment
86%
65%
The hours of enjoyment the entertainment will
78%
provide
80%
59%
Being able to purchase the entertainment
76%
easily
75%
59%
Being able to access the entertainment
73%
immediately
74%
2010 2011 2012
Q7. Below are some things people might take into consideration when purchasing entertainment.
How important are each of the following things to you, when you are considering making an entertainment purchase ?
Base: UK respondents (n1012)

12. Popularity of the content and being the first to have it, rises in
importance this year.
Purchase Drivers
% Extremely/Somewhat Important
53%
The number of devices with which I can access
47%
the entertainment
45%
44%
Popularity of the entertainment 29%
41%
48%
Having unrestricted ability to share or make
34%
copies of the entertainment legally
33%
43%
Being one of the first to have new entertainment 14%
23%
2010 2011 2012
Q7. Below are some things people might take into consideration when purchasing entertainment. How important are each of the
following things to you, when you are considering making an entertainment purchase ?
Base: All respondents (n2022)

13. UK respondents are willing to sacrifice sharing to get free
entertainment; but won’t compromise on privacy
Willingness to Sacrifice for
Free Entertainment
Advertisement-free entertainment 48%
The ability to share the entertainment 41%
The ability to access the entertainment on
34%
multiple devices
The ability to access the entertainment on the
18%
device of my choice
Visual or sound quality of the entertainment 9%
Privacy of my personal information 8%
None 15%
2012
Q10. Which of the following would you be willing to sacrifice in order to get your entertainment for free?
Base: UK respondents (n1012)

14. The Power of Me: Social
networks and Influence

15. Facebook: The entertainment soap box
Over ¾ of Americans and Britons say they have used Facebook, with the majority
saying it is the forum for them to discuss entertainment content
Sites Used to Discuss Entertainment Content
58%
50%
27%
15% 14% 15% 12%
5% 2% 5%
Q15. Which social media sites do you use to discuss entertainment content that you have watched or listened to?
Base: All respondents who use any social media sites (n1837)

16. Liking Content: Not just a status update
When enjoying entertainment, Britons are more likely to tell friends and family.
Influence isn’t just restricted to social networks. Americans are more internet-focused
and will spread their feedback online
Actions Taken if Enjoy Entertainment 88%
68% will take action if they
Tell a friend 63% enjoy a piece of
66% entertainment
Tell a family member 63%
33%
Search for more information 34%
29% Use Facebook to Discuss
“Like” it on Facebook 38%
Entertainment Content:
23%
Share a link about it on a social network… 29% 50%
17%
Send an internet link about it to friends/… 22% 58%
11%
“Tweet” about it on Twitter 11%
“Check-in” to an app or website (e.g.… 3%
7%
12%
None of the above 11%
Q12. Which of the following do you do if you enjoy a piece of entertainment content (e.g. television program, movie, music video, song, playlist, etc.)? Base: All respondents (n2022)
Q15. Which social media sites do you use to discuss entertainment content that you have watched or listened to? Base: All respondents who use any social media sites (n1837)

17. Disliking content: Americans more active
When not enjoying entertainment, the majority of Britons are more likely to tell
friends and family - again showing the importance of real-world conversations.
Americans still more likely to leave criticism online
Actions Taken if Don’t Enjoy Entertainment
56%
Tell a friend 49%
53%
Tell a family member 49%
21%
Comment about it on Facebook 25%
10%
“Tweet” about it on Twitter 12%
Share a link about it on a social network
site
9%
12% 74%
Write a negative review or comment 6%
about it on an online website (e.g.… 12% will take action if they
enjoy a piece of
“Check-in” to an app or website (e.g. 3%
entertainment
GetGlue, Zeebox) 7%
26%
None of the above 26%
Q12. Which of the following do you do if you enjoy a piece of entertainment content (e.g. television program, movie, music video, song, playlist, etc.)?
Base: All respondents (n2022)

18. The Conversation Curve
Audiences are much more likely to comment about entertainment content after they have
watched, listened or played. Brands should consider how to amplify and sustain this curve.
Likelihood of commenting
on a social network
Before During After
34%
16% 16%
Before During After
I have viewed/listened to it I am viewing/listening to it I have viewed/listened to it
Q19. Which types of content are you likely to comment about on a social media networks (like Twitter or Facebook) before you have
viewed/listened to it, while you are viewing/listening to it and after you have viewed/listened to it?
Base: All respondents who use any social media sites (n1837)

19. The biggest shift in preferences is being able to use social
networks to interact with entertainment
Preferences for Interacting with Entertainment
% Strongly/Somewhat Agree Change
from 2011
I would like to use my computer to access 52%
additional online content related to my
entertainment 47%
I would like to see entertainment provide me 30%
with the ability to interact real-time with the
content 33% +3%
I would like to use social networks such as 25%
Facebook or Twitter to interact with
entertainment 31% +6%
I like being able to interact with entertainment 23%
such as being able to vote for my favorite
contestants on reality TV or music talent… 31% +8%
I would like to use my mobile phone or device 29%
to interact with entertainment 29%
2011 2012
Q9. Please indicate your level of agreement with the following statements?
Base: UK respondents (n1012)

20. Incentivising audiences on social networks
Audiences would like free merchandise in order to encourage them to watch content. But if the
content is available for free, how can a business model that supplements content with free
merchandise survive? What is the cost of free?
Encouraging Viewership of Content on Social Media Sites
Give you free merchandise if you comment 47%
about them 49%
Conduct contests to win free stuff 40%
(clothes, vacations, etc.) 42%
21%
Offer sales on their merchandise
26%
15%
Direct you to their company website
17%
13%
Offer interactions with celebrity talent
15%
30%
Don't know
27%
UK/US
Average
Q16. What could entertainment companies do on social media sites that would encourage you to watch their entertainment content?
Base: All respondents who use any social media sites (n1837)

21. US more likely to feel positive about recommendations
Britons are more likely to find brand recommendations on a social network
invasive, whereas Americans would appreciate the recommendation
Brands Recommending Entertainment Content
39%
Find this invasive 26%
26%
Appreciate the recommendation 32%
24%
Watch/ listen to the content 32%
Feel negatively towards the brand/ 15%
company 11%
Feel positively towards the brand/ 11%
company 21%
17%
Don't know 21%
Q17. How would you feel if a brand or company got in touch with you on a social network and recommended entertainment
content based on their understanding of your likes and dislikes?
Base: All respondents who use any social media sites (n1837)

22. Automated services do not replace the voice of the
individual
Consistent with British opinions and recent stories about the decline in use of Facebook auto—
sharing apps – British people do not like automated recommendations or sharing features.
Likelihood to Use Automatic Notifications
13%
27%
Likely
20%
Neither likely nor unlikely
21%
Unlikely
67%
52%
Q18. If social networks could automatically notify your friends about content you are consuming how likely would you be to use this feature?
Base: All respondents who use any social media sites (n1837)

23. What does this mean
for brands?

24. The Key Themes of the ME
Value is Up
Value is at three year high, in the study. According to the trade body, the Digital
Entertainment Group, U.S. consumers spent $4.5 billion (£2.7 billion) on home
entertainment in the first quarter of 2012, an increase of 2.5% from a year ago.
Shift in Frequent Sources of Entertainment
Television and the Internet remain the most utilized sources of entertainment year-over-
year. However, audiences are increasingly turning to other devices to watch
entertainment. Over half of survey respondents turn to their laptop to watch
entertainment.
Enjoyment and Quality Come First
This year, personal enjoyment and visual and sound quality remain the top purchase
drivers of entertainment. But won’t compromise on privacy when it comes to getting
their entertainment for free.
Social Opportunities Peak in the Conversation Curve
50% of consumers use Facebook to comment or discuss entertainment content.
Most conversations peak after an audience has watched, listened or played, not
before or during – consider how best to engage with your audience online.
Technology Can’t Dictate Taste
Audiences do not like automatic notifications that share what content they have
watched/listened/played with their social graph. Audiences wary of receiving automatic
notifications from brands. Personalization and tone of voice must cut through the noise.
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25. #socialent
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