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Americans Are Crazy For Digital Devices, Time Consumption Is Up

2/11/2014

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by Mark Walsh, Monday, February 10, 2014

Americans own an average of four digital devices (including high-definition TVs) and spend 60 hours a week consuming media across them collectively.

“The number of digital devices and platforms available to today’s consumers has exploded in recent years. As a result, today’s consumer is more connected than ever, with more access to and deeper engagement with content and brands,” stated a Nielsen blog post today on its Digital Consumer report.

Among the key findings by category:

General device ownership and media consumption
-The majority of U.S. households now own high-definition televisions (83%), Internet-connected computers (80%) and smartphones (65%). Nearly half also own digital video recorders (49%) and gaming consoles (46%).

-Average monthly time spent using the browser and/or apps on their smartphones has also grown by nearly 10 hours, ranking second only to live television in the amount of time spent on media. Consumers have increased their monthly time spent viewing time-shifted TV content by almost two hours.

Second-screen activities
-84% of smartphone and tablet owners say they use their devices as second screens while watching TV. In addition to multitasking, they’re using smartphones and tablets to shop, look up TV show-related information and check sports scores, among other things. 

-Tablet owners are more likely to use their devices as a second screen for all of the activities examined -- with the exception of email/texting friends about the program.  

Social media activities
-Nearly two-thirds (64%) of overall social media users say they use social sites at least once a day on their computer, and almost half (47%) do so on smartphones. 

-More than half (56%) of adults ages 25-34 use social media at work. 

Mobile shopping activities
-More than four in five (87%) smartphone and tablet owners are using a mobile device for shopping activities
-Two-thirds of smartphone owners use their device to do price checks, and almost half (49%) use mobile coupons.

Hispanic connected consumers
-Latinos spend more time than the average U.S. consumer viewing video on digital devices, at more than eight hours watching online video each month -- over 90 minutes longer than the U.S. average.

-Hispanics are adopting smartphones at a higher rate than any other demographic group: nearly three in four Latinos own smartphones (72%), and half (49%) said they planned to upgrade/replace their smartphones in the next six months.

The information was compiled from various Nielsen reports, including its NetView, VideoCensus, and Mobile NetView panel data from the third quarter of 2013. TV-related data came from its national panel of TV homes and includes time-shifted viewing.

Nielsen said the Digital Consumer report is a combination of two previously separate studies: The Social Media Report and The U.S. Consumer Usage Report. It plans to issue the merged report annually.

 
"Mobile devices" photo from Shutterstock.


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Rentrak Gets CBS' Rating, Becomes First Broadcast Net To Use It As 'Currency'

1/17/2014

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by Joe Mandese, Thursday, January 16, 2014

In an important vote of confidence for the Nielsen TV ratings rival, CBS has signed a contract to begin using Rentrak’s “advanced demographics” ratings as a form of TV advertising “currency.”
The timing of the deal is significant, because it comes as Madison Avenue begins planning for the 2014-15 network upfront buying season, and when it's beginning to look like Nielsen is approaching global domination of the rest of the media audience measurement business.

While Rentrak has signed contracts with numerous agencies and broadcast groups to date, CBS is the first of the major broadcast networks to begin utilizing Rentrak's TV Essentials service as an official part of the audience data it utilizes to negotiate and guarantee advertising deals with agencies and advertisers.

The agreement, which includes a subscription for CBS’ sister network, CBS Sports Network, was described as “a major advancement” by Rentrak, which said CBS will also have access to its automotive audience data, including hourly ratings delivered against more than 230 networks and automobile make/model purchase behaviors.

“As more advertisers move beyond age/sex demographics for their media buying, there’s been a shift to combine viewing data with product-purchase data to create comprehensive evaluation tools,” stated David Poltrack, chief research officer of CBS, who has been a long-time proponent of the shift from demographics to consumer purchasing behavior data.

“Working with Rentrak, our goal is to advance this transition to a new era in television advertising execution,” he added.


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Nielsen Consents, Agrees To Divest PPM's Cross-Platform Measurement Tech

9/24/2013

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by Joe Mandese, Tuesday, September 24, 2013 


As part of the decree settling the Federal Trade Commission's review of its $1.3 billion acquisition of Arbitron, Nielsen will divest a key component of its portable people meter technology that has been part of the cross-platform audience measurement system being developed by Arbitron and comScore for ESPN. Nielsen will not effectively enter into a joint venture with comScore on that project, as previously reported, but will license the technology to comScore for a period up to eight years, which would use it to develop its own service.

If comScore passes on that option, the decree requires Nielsen to license the technology to another competitor, assuming another company wants to develop a new cross-platform measurement system based on the parameters of the FTC's decree. comScore Monday stated that it was "pleased that the FTC has taken steps to preserve fair competition within the media measurement industry," and said it is in the process of negotiating an agreement with Nielsen to "acquire the technology and license the data cited in the decree, to comply with the license and divestiture process set forth by the FTC."

While one FTC commissioner, Joshua D. Write, dissented, stating: “there is reason to believe the proposed transaction will substantially lessen competition,” the settlement will allow Nielsen to complete its acquisition of Arbitron on Sept. 30th, effectively putting Nielsen back in the radio audience measurement business and expanding its role in other media, including out-of-home.

During a call with analysts and reporters Monday morning to explain the settlement, Nielsen CEO David Calhoun said Nielsen is "obliged" to sustain that relationship, even if it decides down the road that it no longer wants to support the portable people meter technology for its own reasons.

However, Calhoun said Nielsen is eager to begin integrating Arbitron's portable people meter technology into its measurement of out-of-home media, but said it would be up to Nielsen's clients to determine whether it gets included in TV advertising "currency." Historically, advertisers and agencies have been reluctant to make out-of-home audiences an explicit part of their TV audience estimates, asserting that it was an implied part of what they've always paid for, even if it was not measured.

A bigger impact of the out-of-home measurement, Calhoun suggested, might be in retooling so-called "marketing mix models" that many marketers use to help determine how much of their marketing budgets they allocate to various media.

In a final ironic note, the Nielsen executives said that Arbitron, which is primarily known for its audience measurement of an audio medium -- radio -- would be reported as part of Nielsen's "Watch" business operations.


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