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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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US Total Media Ad Spend Inches Up, Pushed by Digital

8/22/2013

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TV remains top ad medium in the country
eMarketer expects US advertisers to spend $171.01 billion on paid media this year, up 3.6% over 2012 spending levels, according to our most recent forecast of US ad spending.

The 3.6% growth rate will be down somewhat from last year’s 4.3% increase, attributable largely to boosts from the Summer Olympics and a national election season. Spending growth for 2014 will be up, with help from the Winter Olympics, midterm elections and the FIFA World Cup, as growth rates hover between 3.1% and 4.1% for the rest of the forecast period.

eMarketer expects TV to continue to capture the largest share of paid ad spending in the US for the foreseeable future, though its percentage of total spending will drop slightly, from 39.1% in 2012 to 38.8% this year and 38.2% in 2017, as spending on TV ads grows more slowly than spending on paid media as a whole.

Digital media will gain the most share during the forecast period, rising from 22.3% of total spending in 2012 to nearly a quarter this year and 31.1% by 2017. Mobile alone will grow ad spending even more quickly than digital as a whole; mobile is expected to account for 15.8% of all ad spending by 2017, or $31.1 billion.

Among digital formats, video remains the fastest-growing—though still from a small base compared to giants like search or banners. And even with the rapid rise of digital video viewership and ad spending, levels of spending on online and mobile video fall far below spending on TV. Even by 2017, eMarketer expects digital video spending to reach only around one-eighth of what is spent on television ads.


eMarketer forecast in June 2013 that total media ad spending would be up 3.4% this year to $170.69 billion. The upward revision to the forecast was primarily a result of upward revisions to expected spending on mobile advertising this year.

eMarketer bases its forecast of US ad spending on the analysis of various elements related to the ad spending market, including macro-level economic conditions; historical trends of the advertising market; historical trends of each medium in relation to other media; reported revenues from major ad publishers; estimates from other research firms; consumer media consumption trends; and eMarketer interviews with executives at ad agencies, brands, media publishers and other industry leaders.


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Media Growth Up, Cable Leads Drive

8/22/2013

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Media Growth Up, Cable Leads Drive
by Wayne Friedman, Wednesday, August 21, 2013

Total media growth is now up nearly 10% through the first six months of the year in terms of advertising revenue -- and up 2% in July -- with national cable TV still commanding the highest share and healthy gains.

The Standard Media Index, which culls data from media agencies amounting to an estimated 60% of total agency spend, says national cable networks grew 5% in ad revenues versus the same time period of a year ago. Looking at just the month of July of this year, cable TV networks posted a 16% hike.

At the same time, broadcast TV networks witnessed a 15% decline -- mostly due to the absence of higher national TV advertising dollars from the London Summer Olympics of a year ago.

For the first half of the year, spot TV is 2% higher (an 8.1% share), syndicated TV is flat (a 2.2% share), and local cable 9% is higher (a 1.9% share).

Overall, all of U.S. TV is 4% higher in ad revenues, with a 60.1% for the first half of 2013. SMI also says that overall media spending in July was up 2%.

Digital media continues to drive upward -- adding 13% in July and 23% for the first six months of the year. It commands a 24% share of media -- second only to national TV cable networks, which have a 25.8% share. Broadcast TV has a 21.3% share -- in third place overall from January to July 2013.

Other media show continued strong results for the first six months of the year: magazine revenues grew 15% (a 5.5% share); Radio was 7% improved (a 4.8% share); out-of-home was 12% higher (a 3.8% share); and newspapers grew 15% (a 1.5% share).
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