A presentation made in New York in 2011, looking at Macro Trends, Digital TV and opportunities for marketers.

1. The Future of Commercial Television
August, 2011

2. Macro Trends
The Future of Digital TV
Big Opportunities
Today’s Agenda

3. We’ve All Heard About The “Death Of Television”

4. But Rumors of Television’s Demise Are Greatly Exaggerated!
“…Americans watched more television than ever in 2010, according to the
Nielsen Company. Total viewing of broadcast networks and basic cable channels rose
about 1 percent for the year, to an average of 34 hours per person per week. The
generation-long shift to cable from broadcast continued, but subtly, as the smallest of
the big four broadcast networks, NBC, still retained more than twice as many viewers
as the largest basic cable channel, USA.”

5. The Landscape Has Changed And Will Continue To Do So
Consumer
Media
Technology

6. Always On(line)
Time shifting
Screen shifting
Connected
Multi-tasking
Consumers
Control

7. Technology
Screens
Boxes
Enablers
Content Ubiquity and Interactivity

8. Fragmentation
Disintermediation
New Media Companies
Changing Models
Media
Democratization

9. What Do These Trends Mean To Us?

10. Personalized
Everywhere
Anytime
Addressable
Social
Transactional
The Future of TV
Me TV

11. Current: Personalized Content in Aggregate
94MM+
Video
Views
23MM+
Channel
Views
1.7BN+
Total
Upload
Views
PERSONALIZED

12. Future: Micro-Segmentation & Targeting
From User Selected Content to Algorithm Delivered Content
PERSONALIZED

13. Current: From TV Screen to PC Screen
“It will never
make money…”
EVERYWHERE

14. Future: To Every Screen
TV is Ubiquitous, Portable (and in the Cloud)
100ft 10ft 3ft 1ft
EVERYWHERE

15. 15
Source: All data represent monthly figures based on Nielsen Fusion for audience overlap and unduplication, Nielsen Media Research (N-Power) for cable audience reach and Nielsen Netview for online audience reach. Oct '09 (most
recent) Nielsen Fusion unduplication patterns applied across Jan '10 Nielsen Media Research cable monthly reach and Jan '10 Nielsen Netview online monthly reach. Unique mobile audience estimates based on Dec '09 Nielsen
Mobile Total Web Report including reported mobile-online unduplication factors.; Nielsen NetRatings Jan 2010. Nielsen Mobile, June 2010; Nielsen’s NPower , Cume Analysis, Jan 2010, (Total Day M-Su 6a-6a) Persons 2+, (1 minute
qualifier).; Omniture and DFP, June 2010; Apple App Store, Sep. 2010;Android Market Place, Sep. 2010; RIM App World, Sep 2010
1.8 BILLION
page views per month
Every Screen: The Weather Channel
EVERYWHERE

16. "
85M+"
consumers use "
2+ platforms "
of The Weather Channel
Source: Magid TWC Segmentation Study, 4Q 2010.
Every Screen: Co-Ordinated Cross-Platform Devices
EVERYWHERE

17. Current: Contextually Based Advertising
http://www.nds.com/solutions/dynamic_advertising.php
ANYTIME

18. Future: Contextually and Behaviorally Based Advertising
On Demand is Commonplace
ANYTIME

19. Current: Location-Based
ADDRESSABLE

20. Future: Data-Driven Messaging
From One Size Fits All to Tailored Messages
ADDRESSABLE

21. Current: Social Provides Earned Media & Increased Engagement
SOCIAL
36MM+
Likes
600M+
Check-­‐ins

22. Future: Native Social Experiences
Viewers Adding Their Own Layer of Narrative to Content
SOCIAL

23. Current: Smartphones
TRANSACTIONAL

24. Future: SmartTVs
The Rise of tCommerce
TRANSACTIONAL

25. Tailored Messages
Ubiquitous and Portable
On Demand
From Mass to Micro Targeting
Shared Experience
T-Commerce
In Summary

26. Moving From Passive Viewing to Active Viewing
ROI and KPIs
Sustainable Brand Experiences
Orchestrating Owned, Earned, Paid
Shared Social Control
How do we Monetize?

27. 1. Dynamic Insertion
2. Multi-Screen Content
3. Social Applications
4. T- Commerce
Big Opportunities

28. 1. Dynamic Insertion
Increase Response: Right Message - Right User - Right Context
By 2015, Addressable Ad Spend Will Top $11.5bn in the US
NATIONAL :30
SEGMENT #1 :30
SEGMENT #3 :30
SEGMENT #2 :30
SEGMENT #4 :30
ROI
&
KPIS
SUS
BR
EX
SHARED
SOC
CON
OEP

29. 2. Multi-Screen Content
Provide Access to Content Across Screens/ Devices to Fit Consumer Lifestyles
ROI
&
KPIS
SUS
BR
EX
SHARED
SOC
CONT
OEP
Glee Karaoke app lets fans sing
their favorite songs from the show
Weather Channel provides
information on any screen
ABC’s iPad app lets you watch –
and interact – with your favorite
shows wherever you are

30. 3. Social Applications
Create a Lean-Forward Experience Through Peripheral Comms & Content
ROI
&
KPIS
SUS
BR
EX
SHARED
SOC
CONT
OEP
#TheGleeProject is visible throughout Oxygen broadcasts
101,055 followers of @TheGleeProject
14,000 Tweets were sent this July during the first ever
presidential debate held entirely on Twitter.

31. 4. T- Commerce
Closed Loop Integration Enables Immediate Commerce Opportunities
ROI
&
KPIS
SUS
BR
EX
SHARED
SOC
CONT
OEP
HSN, Inc – a $3Bn retailer
across TV, online, mobile,
catalog & retail stores – also
offers HSN Shop by Remote
which is available in over
30MM homes.

32. Closing Thoughts
TV is not dead – it is alive and thriving
TV is Digital
“The Future” is already underway
You can shape what’s next!

33. Thank You
Francis Anderson