This presentation showcases some of the results from a 45-minute Real-Time Large-Scale Focus Group™ run on April 3, 2014 with 106 MIllennials to understand their television watching habits and how technologies such as streaming are impacting their behaviors and perceptions, especially as it relates to impact on watching through cable service providers. In this session, we also explore MIllennials' feelings on paid providers of streaming content (Netflix, hulu Plus, Amazon Prime) to understand how these providers compare to one another in the eyes of the Millennial.

1. An Invoke Xperience Takeaways Report
April 2014
How are Millennials Watching
Television Programming?

2. © Invoke Solutions - Confidential| Introduction to Invoke
Why did we do this research?
Understand general perceptions and behaviors of Millennials regarding watching
television programming via cable providers and streaming apps, services and devices.
Gather feedback from Millennials regarding paid streaming service providers (Netflix,
hulu Plus, Amazon Prime).
Explore differences among different age groups within the Millennial demographic (18-
22 year-olds, 23-27 year-olds and 28-32 year-olds) regarding these topics.
What did we do?
Live 45-minute real-time Large-Scale Focus Group™ (106 participants).
Who did we talk to?
Millennials that watch at least 1 hour of television programming per day.
57% Age 18-27/43% Age 28-32
18-22 year olds (n=18), *note small sample size
23-27 year olds (n=42)
28-32 year olds (n=45)
Mix of male/female
Methodology

3. © Invoke Solutions - Confidential| Introduction to Invoke
Millennials do often prefer streaming to cable because of flexibility, lower cost and a
lack of commercials; however, cable is often seen as easier to access, offering more
current programming and providing a better experience because of its direct
connection to one’s television.
While streaming does work well for watching older shows and multiple shows in
succession, Millennials do often turn to cable for live programming (such as sports) and
recent episodes of current on-air shows.
Of the three streaming services tested (Netflix, hulu Plus and Amazon Prime), Netflix
scores highest with Millennials. For these Millennials, Netflix has a good variety of
programming, an attractive price point and/or does not show commercials.
Although many dislike nothing about Netflix, some would like a better selection (especially
of current programming) and/or would like to see the streaming and DVD delivery services
bundled.
Amazon Prime does not score as high as Netflix with Millennials of any age segment, but
those aged 28-32 do score it higher than hulu Plus. Often, Millennials like the included free
2-day shipping, but its high price point and/or lack of content are seen as negatives.
hulu Plus scores higher than Amazon Prime with 18-22 year olds. This service is often liked
for its more current content, but its inclusion of commercials is often a dislike.
Research Highlights

4. CABLE VS. STREAMING: GENERAL THOUGHTS

5. © Invoke Solutions - Confidential| Introduction to Invoke
Millennials are definitely watching television programming, so
we should pay attention
57% of Millennials
are watching over
5 hours of
television
programming a
day.
74% of Millennials say they watch more
television programming than their parents’
generation.
• 83% of 18-22 year-olds say this.
• 74% of 23-27 year olds.
• 69% of 28-32 year olds.
Q) Now, thinking about television programming, how many hours in a typical day do you spend watching television programming? Include time spent viewing on a television and/or
using an app/service…(n=105)
Q) Compared to your parents’ generation, how often would you say you watch television programming/shows in general (across devices and services)? (n=106)

6. © Invoke Solutions - Confidential| Introduction to Invoke
There is a slight preference towards streaming, especially
among younger Millennials
41% of Millennials prefer to watch television programming using an app, service and/or streaming device
rather than through a cable service provider, while 34% prefer to watch through a cable service provider (top
2 box).
50% of those aged 18-22 prefer to watch television programming using an app, service and/or
streaming device (compared to 39% that prefer cable).*
36% of those aged 23-27 prefer to watch television programming using an app, service and/or
streaming device. 38% have no preference and 26% prefer to watch through a cable service provider.
28-32 year-olds are essentially split with 40% preferring to use an app, service and/or streaming
device and 40% preferring to watch through their cable service provider. (Q11)
Q) Which of the following best describes you, personally? (n=106)
*please note small sample size of 18-22 year-olds
34%
16% 18%
25%
20% 21%
41%39%
17%
22%
11%
6%
44%
50%
26%
14% 12%
38%
24%
12%
36%
40%
18%
22% 20% 22%
18%
40%
Top 2 I very much prefer
watching television
programs through a
cable service
provider
I somewhat prefer
watching television
programs through a
cable service
provider
I have no preference I somewhat prefer
watching television
programs using an
app/service or
streaming device
I very much prefer
watching television
programs using an
app/service or
streaming device
Bottom 2
Total 18-22 year olds (18) 23-27 year olds (42) 28-32 year olds (45)

7. © Invoke Solutions - Confidential| Introduction to Invoke
• “I can watch a program any
time I want while streaming,
and can usually ‘marathon’
my favorite shows.” (Age 23-
27)
• “I find it easier and I my
favorite shows are always
available at the time I want
them.” (Age 18-22)
• “Binge watching!” (Age 28-
32)
Millennials prefer streaming often because of flexibility, cost
and/or absence of commercials…
Often, Millennials like how
streaming enables them to
watch what they
want, when they want.
• “I like the convenience of
watching TV through a
streaming device, and the cost
is SO much better than cable.”
(Age 23-27)
• “It's cheaper to use a service
and I can choose when I watch.”
(Age 28-32)
• “Same as my previous answer.
It is cheaper and more
convenient.” (Age 28-32)
Some prefer streaming
because they do not want to
deal with the expense of
cable.
• “Because I'm able to watch
TV on my own schedule and
there are less/no
commercials.” (Age 18-22)
• “No or fewer commercials.”
(Age 23-27)
• “I can skip through all the
commercials using a
streaming device.” (Age 28-
32)
A few Millennials
specifically like the
absence of commercials
in streaming.
Q) Why do you say that? (n=43)

8. © Invoke Solutions - Confidential| Introduction to Invoke
• “It is always at my hands
and easy to access.” (Age
23-27)
• “It's just easier to turn on
the TV and let it fade into
the background while I do
something else.” (Age 18-
22)
• “It's just the easiest way to
watch TV, you just hit the
remote and it's there. “ (Age
23-27)
…But cable does offer ease, current episodes and/or the ability
to watch directly through a TV for some Millennials
Millennials often prefer
cable simply because it’s
easier than streaming.
• “I can watch the shows live.
Often times with services like
Netflix or Hulu, you have to
wait so long until you can
watch an episode of
something.” (Age 28-32)
• “Because I prefer to watch
newer episodes over continuous
repeats.” (Age 18-22)
• “They usually have the newest
shows.” (Age 23-27)
Some prefer cable because
they can watch current
episodes.
• “I prefer to watch things on
my television screen rather
than tablet/phone/laptop.”
(Age 18-22)
• “Because TV is a little bit
bigger than any other
device…” (Age 23-27)
• “I like watching on my big
screen TV in HD quality with
no lag time.” (Age 28-32)
A few like cable because
they can watch it directly
through their TV.
Q) Why do you say that? (n=35)

9. © Invoke Solutions - Confidential| Introduction to Invoke
While Millennials do like catching up on old shows through
streaming, they do prefer cable often for live programming
Created on wordle.netCreated on wordle.net
Q) What TV shows or types of programs, if any, do you prefer to watch using an APP, SERVICE OR STREAMING DEVICE rather than through a cable service provider? (n=104)
Q) What TV shows or types of programs, if any, do you prefer to watch THROUGH A CABLE SERVICE PROVIDER rather than using an app, service or streaming device? (n=103)
Millennials often prefer to watch older shows via
streaming instead of cable, with quite a few
noting that they “catch up” on these shows they
may have missed or like to watch multiple
episodes at a time (a couple use words such as
“marathoning” or “binging” to describe this.
Some Millennials note watching original
programming (such as “House of Cards”) via
streaming.
Cable is often preferred for live program, with
Millennials very often mentioning sports
specifically.
Shows currently running are also mentioned.
Millennials are often turning to cable for shows
with newer episodes they do not want to miss.
Shows such as “Game of Thrones” and “Walking
Dead” are often mentioned in this context.
Additionally, Millennials sometimes say shows
with a lot of action are better on cable (often
because of watching them in HD or on a bigger
screen.)
What do you prefer to watch via streaming? What do you prefer to watch via cable?

10. STREAMING PROVIDERS

11. © Invoke Solutions - Confidential| Introduction to Invoke
Overall, Netflix is most appealing to Millennials across age
segments though younger and older do differ on other providers
90% of total Millennials like Netflix and 80% would be
likely to use this service, making it the highest-scoring
service across both key measures for watching television
programming. Amazon Prime and hulu Plus score at
essential parity for total Millennials (above, top 2 box).
While Netflix remains the top-scoring service provider among
all three age groups, those aged 18-22* do score Amazon
Prime over hulu Plus while those aged 28-32 score hulu Plus
higher.
When compared directly, 75% of total Millennials rank
Netflix as their #1 streaming service out of the three
tested. All age segments rank Netflix as #1 as well. The
other two providers rank at parity with one another
among total Millennials.
Again, younger Millennials lean more towards Amazon Prime
over hulu Plus* while older Millennials appear to rank hulu
Plus #1 more often than Amazon Prime.
Top 2 box
Age Breaks
M=Total Millennials)
M 18-22 23-27 28-32 M 18-22 23-27 28-32 M 18-22 23-27 28-32
Likability 90% 100% 98% 80% 62% 78% 59% 61% 61% 56% 59% 66%
Likelihood to Use 80% 89% 93% 64% 44% 61% 44% 36% 40% 29% 38% 47%
% Rank Service #1 (out of three tested)
Q) How much do you like this app/service in terms of using it to watch television programs? (n=103-104)
Q) How likely would you be to use this app/service for watching television programs? (n=103-106)
Q) Looking at all the different apps/services to your left, please rank them from 1 to 3 with 1 being the app/service you would most like to use to watch television programs and 3 being the least… (n=99)
*please note small sample size of 18-22 year-olds
20%
20%
60%
5%
8%
88%
6%
17%
78%
11%
14%
75%
Hulu Plus (paid
subscription)
Amazon Prime
Netflix
Total (Rank 1) 18-22 year olds (18)
23-27 year olds (40) 28-32 year olds (40)

12. © Invoke Solutions - Confidential| Introduction to Invoke
• “Selection is great, many adult shows as well as kid
shows.” (Age 18-22)
• “Tons of titles, huge library. No commercials at all.”
(Age 18-22)
• “Everything. Over 60,000 titles and no commercials.”
(Age 23-27)
• “The older shows and movies that are no longer being
aired and the original series such as ‘House of Cards,’
‘Lilyhammer,’ and ‘Orange is the New Black.’” (Age
18-22)
• “The price is right and the shows are awesome. They
have original (and amazing!) programming.” (Age 23-
27)
• “I love the vast selection of the library as well as the
Netflix only shows (‘Lilyhammer,’ ‘Orange is the New
Black,’ ‘House of Cards’).” (Age 28-32)
• “I wish they would put more seasons of certain shows
up sooner. Sometimes I feel like it takes almost a year
before a new one comes out.” (Age 23-27)
• “I would like more options that are currently airing on
TV rather than having to wait to see the newer
shows.” (Age 18-22)
• “doesn't have current season, often have to wait until
the week before or of to completely catch up to the
current season before it begins.” (Age 28-32)
• “Having both DVD and Streaming services be priced
originally priced at 7.99 instead of 7.99 of each
separately.” (Age 18-22)
• “More selection of content would be great.” (Age 23-
27)
• “It used to be way better when they combined
streaming WITH mailing out a physical DVD that isn't
available for streaming.” (Age 28-32)
Millennials often like the selection, lack of commercials and/or
lack of commercials afforded them with Netflix
Millennials often like Netflix’s
variety of shows, price and/or lack
of commercials. A few mention the
movies and original programming as
positives.
Q) What, if anything, do you LIKE about this app/service? (n=106)
Q) What, if anything, do you DISLIKE or would you change about this app/service? (n=104)
Several dislike nothing about
Netflix, but some would like more
current content. A few want a better
overall selection and/or would like
the DVDs and streaming bundled.

13. © Invoke Solutions - Confidential| Introduction to Invoke
• “I love how it includes discounted shipping on
purchases made through Amazon. I am a frequent
Amazon shopper, and the free 2 day shipping is a
great perk.” (Age 28-32)
• “I like that it also includes the free 2-day shipping and
it's discounted for college students.” (Age 18-22)
• “I like that there is free 2-day shipping and no
commercials with unlimited streaming.” (Age 23-27)
• “Tons of free movies to stream and the free shipping.”
(Age 18-22)
• “It offers commercial free streaming.” (Age 23-27)
• It also links up with Amazon's products, giving free
shipping. No commercials.” (Age 23-27)
• “I really like that there are absolutely no
commercials!” (Age 28-32)
• “The price is a little shocking, if they showed it as a
monthly rate it'd seem like a better competitive
value.” (Age 18-22)
• “It is pretty expensive (even though you mainly get it
for the shipping bonus), and there isn't enough
content.” (Age 23-27)
• “100 a year its expensive, while Netflix might be more
over a year I like the smaller payments and the ability
to leave when I want.” (Age 28-32)
• “I dislike the new price hike.” (Age 18-22)
• “The price is too high.” (Age 23-27)
• “The price. $99 I believe is a lot to pay for the year.”
(Age 28-32)
• “The cost is a bit much and it doesn't offer as much
shows as hulu Plus.” (Age 18-22)
• “There's a limited selection available. I can't find all of
the TV shows I watch on it.” (Age 18-22)
Millennials often like how Amazon Prime couples streaming
with free 2-day shipping, but some see the cost as too high
Free 2-day shipping is most often
what Millennials like about Amazon
Prime. A lack of commercials and/or
available movies are also mentioned.
Q) What, if anything, do you LIKE about this app/service? (n=103)
Q) What, if anything, do you DISLIKE or would you change about this app/service? (n=99)
Some Millennials, however, see the
price of Amazon Prime as too high
and there is also concern over the
selection not being as good as
Netflix or hulu Plus.

14. © Invoke Solutions - Confidential| Introduction to Invoke
• “Ability to stream current shows that are on air and
have new episodes.” (Age 18-22)
• “Releases new shows right after they air.” (Age 18-22)
• “You get to watch the latest episodes of your favorite
show that you are trying to keep up to date.” (Age 18-
22)
• “I would say the cost.” (Age 18-22)
• “Low cost subscription is always good.” (Age 23-27)
• “Inexpensive monthly fee, programming from many
different stations, available on lots of devices.” (Age
23-27)
• “I like that it has current episodes of shows.” (Age 23-
27)
• “Can access through many devices.” (Age 28-32)
• The fact that current programs are available quicker
then other services, the price is great.” (Age 28-32)
• “I don't like the commercials. There shouldn't be any
commercials if I'm paying for it.” (Age 18-22)
• “The commercials! I can't believe they would have
them. Especially on a streaming service. Crazy!” (Age
23-27)
• “You are telling me that if I pay monthly, I will still be
watching commercials? I don’t think so.” (Age 28-32)
• “With hulu Plus I don't like, of course, still having to
watch commercials through something you pay for.
That's my main complaint.” (Age 18-22)
• “I don’t understand why there are any commercials
when you are paying for the service and would
remove that.” (Age 23-27)
• “Not a big selection of movies.” (Age 18-22)
• “Wish it had more movies.” (Age 23-27)
While streaming current episodes is a positive for hulu Plus, the
presence of commercials often turns Millennials off
Millennials respond very positively
to having current episodes available
on hulu Plus. The low price and
access across devices are also
positives of the service.
Q) What, if anything, do you LIKE about this app/service? (n=102)
Q) What, if anything, do you DISLIKE or would you change about this app/service? (n=101)
The main thing Millennials dislike
about hulu Plus is the presence of
commercials, especially since it is a
pay service. A few wish the service
offered more movies.

15. © Invoke Solutions - Confidential| Introduction to Invoke
“Thanks for looking through the results. Definitely
some interesting stuff here. Please let me know if
you have any further questions about Invoke or our
services.”
Wayne Goodreau
ABOUT INVOKE
Since 1999, Invoke has helped
its clients better understand
their customers’ perceptions of
their brands, advertising and
communications.
2013 Ogilvy Award for Excellence
in Advertising
2013 “Hottest Companies in
Boston” Award
Wayne Goodreau
Senior Research Director
If Wayne could only choose 5 movies to watch for the rest
of his life, he would choose (in no particular order)
Goodfellas, Caddyshack, Jaws, Empire Strikes Back and
It’s a Wonderful Life.