INTERNATIONAL ADVERTISING SURVEY IAA FEBRUARY 2007

INTERNATIONAL ADVERTISING SURVEY

IAA

FEBRUARY 2007

2

The IAA Italian Chapter, in collaboration with Nextplora, conducted a Survey on the Advertising / MediaMarket Development.

The main information areas of the survey were as follows:

Impact of digital marketing and online advertising on the media mix– Rebalancing the marketing mix: new tools on stage?

Content mobile: new perspectives– Will the new media bring new money to the advertising market or will they grab market share from

the old ones?

Media and technologies: new training’s needs– The usage of the new technologies in the advertising needs to specific skills.

Informative goals

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Methodology

Methodology: Self-completed online questionnaire with C.A.W.I. methodology, based on Nextplora Dynamic Survey System, an proprietary platform ideal to create dynamic questionnaires and conduct C.A.W.I. fieldworks.

Survey technique: self-completion online questionnaire and data acquirement via C.A.W.I. using Nextplora Dynamic Survey System.

The questionnaire can be structured with: Dynamic filters Closed and open-ended questions

Sample: sample of 421 cases, representative of the worldwide Internet population.

Field: From 13th December 2006 to 23th February 2007.

MARKET VISION

5

PERCEIVED INNOVATION PERCEIVED INNOVATION Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly

innovative / 4=Innovative/ 3=Stable / 2=Low innovative/ 1=Very low innovative

Top two:

49%

Top two:

30%

Top two:

62%

Top two:

34%

Top two:

28%

Top two:

85%

perceived innovation

Base: Totale campione

15%5%

16%7% 5%

46%34%

25%

46%

27% 23%

39% 37%33%

38%

24%

41%38%

8% 9%16%26%

11%21%

23%

6% 4%3% 6% 3% 4% 11%1% 3%

47%

0%

25%

50%

75%

100%

Television Radio Outdoor /Poster

Press Cinema Internet /online

New Media

Highly innovative Innovative Stable Low innovative Very low innovative

Top two:

84%

Internet, online adv, search engine and new media in general obtain the highest degree of perceived innovation

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PERCEIVED INNOVATION – TELEVISION -PERCEIVED INNOVATION – TELEVISION -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

49%

Top two:

33%

Top two:

52%

Top two:

47%

Top two:

66%

Top two:

72%

* Not much cases: qualitative information

perceived innovation tv


15% 8% 12% 7%21% 24%

34%25%

40%40%

21%

33%

33%

32% 34%

21%24%

50%

16%33%

14% 15%14% 5%

29%

3% 2% 5%

48%45%

0%

25%

50%

75%

100%

Total Corporateclient (advinvestor)

Adv Industry Europe Asia / Pacific Middle East North America

Industry Geographical location


7

PERCEIVED INNOVATION – RADIO -PERCEIVED INNOVATION – RADIO -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

30%

Top two:

31%

Top two:

38%

Top two:

52%


5% 5% 7% 14%25% 25%

26%21% 21%

38% 42%47%

53%35%

38%

57%

26% 33% 15% 23% 17%

5%7%

6% 7% 3%

31%38%

10% 5% 14%

0%

25%

50%

75%

100%





8

PERCEIVED INNOVATION – OUTDOOR / POSTER -PERCEIVED INNOVATION – OUTDOOR / POSTER -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

62%

Top two:

69%

Top two:

79%

Top two:

67%Top two:

58%

Top two:

65%

Top two:

72%


perceived innovation OUTDOOR


16% 8%23% 15%

31% 24%36%

46%50%

46%50%

48%43%

36%

24%17%

20%18%

14%24% 21%

11% 25%9% 16% 3% 10% 7%3% 2%2% 3%

0%

25%

50%

75%

100%





9

PERCEIVED INNOVATION – PRESS -PERCEIVED INNOVATION – PRESS -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

34%

Top two:

33%

Top two:

38%

Top two:

43%Top two:

33%

Top two:

34%


7% 8% 6% 5% 7% 10%

27% 25% 27% 29% 31% 33%

21%

41% 33%45% 40% 38%

38%

50%

21%25%

19% 24% 21% 10% 21%

4% 8% 3% 2% 3% 10% 7%

0%

25%

50%

75%

100%





10

PERCEIVED INNOVATION – CINEMA -PERCEIVED INNOVATION – CINEMA -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

28%

Top two:

27%

Top two:

31%

Top two:

33%Top two:

16%

Top two:

23%

Top two:

28%


5% 8% 7% 2% 10% 19%7%

23% 8% 20% 21%21%

14%21%

38%

33%

40%37% 28%

43% 50%

23%33%

21% 26% 28%14% 14%

11% 17% 13% 15% 14% 10% 7%

0%

25%

50%

75%

100%





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PERCEIVED INNOVATION – INTERNET / ONLINE -PERCEIVED INNOVATION – INTERNET / ONLINE -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

85%

Top two:

92%

Top two:

87%

Top two:

67%Top two:

58%

Top two:

96%

Top two:

93%


perceived innovation INTERNET


46%33%

50% 57% 52%29%

57%

39%

25%

42%39%

35%

38%

36%

8%

33%

3% 3%10%

10%

7%6% 8% 3%24%

5% 2%

0%

25%

50%

75%

100%





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PERCEIVED INNOVATION – NEW MEDIA -PERCEIVED INNOVATION – NEW MEDIA -Please rank the degree of your personal “perceived innovation” of each of the following media using a scale where 5=Highly


62438 21Casi n. 12 (*) 124 29 14 (*)

Top two:

84%

Top two:

90%

Top two:

93%

Top two:

67%Top two:

67%

Top two:

91%

Top two:

93%


47% 42%54% 60%

48%38%

57%

37%25%

36% 31% 45%

29%

36%

9%

17%

7% 5% 3%

24%

7%4%8%

3%5%

3%2%

0%

25%

50%

75%

100%





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PROJECTIONS ON ADV MEDIA INVESTMENTS – WITHIN 1 / 2 / 3 / 5 YEAR -PROJECTIONS ON ADV MEDIA INVESTMENTS – WITHIN 1 / 2 / 3 / 5 YEAR -Based on your experience and market view, please give your best estimated projection on advertising investments in the following

media. Please use a scale where 5=High Increase / 4=Low Increase / 3=Flat / 2=Low decrease / 1=High decrease

Internet, online adv, search engine and new media in general, will rise above the other media in adv investments in the next 5 years

projections


14%8% 7% 7% 6%14%14%7% 7% 4% 5% 4% 2% 3% 4%

28%

34%

50%47%43%

32%36%

39%40% 44%

11%9% 8% 13%14%10%7% 12%8% 11%

21%24%9% 12%

21%24%

2% 2% 2% 2% 4% 3% 3% 3%

13%17%13%13%16%

54%56%

54% 51%41%45%52%57%

28%29%32%31%

36%38%

34%25%

45%41%

26%21%29%30%23%22%

41% 42%37%34%

28%24%20%20%21%24%20%21%

33%

38% 46% 40%

37%

52%49%

50%

22%18%21%26%

28%26%

15%11%19%

25%

0%

25%

50%

75%

100%

1 Y

2 Y

3 Y 5 Y

1 Y

2 Y

3 Y 5 Y

1 Y

2 Y

3 Y 5 Y

1 Y

2 Y

3 Y 5 Y

1 Y

2 Y

3 Y 5 Y

1 Y

2 Y

3 Y 5 Y

1 Y

2 Y

3 Y 5 Y

Television Radio Outdoor / Poster Press Cinema Internet / online New Media

High increase Low increase Flat Low decrease Hight decrease

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MEDIA ADV SHARE 1 YEAR / 3 YEARS / % YEARSMEDIA ADV SHARE 1 YEAR / 3 YEARS / % YEARSBased on your experience and market view, please rank the following media according to their advertising share in 3 / 5 / 10 years.

Please use number only. Each columns must sum up to 100%

Television will show the highest share in the next 5 years. A good position is obtained also by press

Domanda

Base

37 34 32 37 34 30 35 33 31

8 8 89 10 11 8 8 8

10 11 1111 12 12 11 11 11

28 25 24

31 28 27 29 26 24

44 3

43

3 44

4

7 10 12

5 8 10 7 10 12

6 8 10 3 5 7 6 8 10

0%

25%

50%

75%

100%

1 Year 3 Years 5 Years 1 Year 3 Years 5 Years 1 Year 3 Years 5 Years

T otale Corporate client Other

T elevision Radio Outdoor / Poster Press Cinema Internet / online New Media

NEW MEDIA ADVERTISING

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PROJECTIONS ON NEW MEDIA EVOLUTIONPROJECTIONS ON NEW MEDIA EVOLUTIONHow much do you agree with the following sentences? Answer using a scale where 5=I strongly agree, 4=I agree, 3= I don’t agree

neither I disagree, 2= I disagree, 1= I strongly disagree

General agreements about Adv on IpTv and mobile phone as additional to traditional tv, and about the possibility that the consumer will permit to receive adv msg via sms/mms in order to access to free digital content

perception


20% 14% 15% 12% 13%

51%49% 45%

40%

18%

18%

10%19% 19% 24%

12%4% 4% 1% 1%

56%

18%

23%14%

0%

25%

50%

75%

100%

Adv on IpTV, mob.phone will be addit.

to Netw TV

Network TV willlose audiences inthe next 3 years

Adv revenues fromNetwork TV will

decrease

Video-mob phonewill spread as

mobile phone did

Cons. would permitto receive adv msg

sms/mms

I strongly agree I agree I don't agree neither i disagree I disagree I strongly disagree

Top two:

72%

Top two:

63%

Top two:

60%

Top two:

52%

Top two:

70%

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MEDIA IMPACT IN THE 3 YEARS TIMEMEDIA IMPACT IN THE 3 YEARS TIMECould you rank the following media in terms of their impact in 3 years time? Please use a five scale from 5 to 1 where 5=Most

important and 1=Less important

The results show that Pay Per View Tv, more than the other media, will have a strong impact on adv revenues generated but also in audience and consumer favourability.

Domanda

Base

3,32,9

2,8 2,93,2

3,5 3,53,13,0 3,1 3,3

3,02,8

3,2 3,1 3,02,7

2,9 3,0 2,92,6

2,8 2,83,0

2,0

2,52,7

2,2

1

2

3

4

5

T otal RevenuesGenerated MT

Adv Revenuesgenerated

Audience / UsersBase

Consumerfavourability

Mobile tv Pay Per View T vOn Demand T vPersonal Video RecWeb T vProduct PlacementWeb Social Networks

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ADV BREAK OVERALL LIKING BY THE EDITORIAL CONTENTS AND MEDIAADV BREAK OVERALL LIKING BY THE EDITORIAL CONTENTS AND MEDIAHow would you rate consumer will like the following advertising break into the editorial contents on the following media? Please

use a five scale from 5 to 1 where 5=Most important and 1=Less important

The interviews show that Mobile tv is the most important channel for the traditional adv and also for sponsorship, as Web Tv. A good position is obtained by Pay per view tv for One Ad per Adv break

3,5

3,0

3,5

1,9

3,23,0

1,92,3 2,3 2,4

1,7

2,9 2,8

3,3

2,7

2,3

2,8

2,1

2,8 2,6

1,8

3,13,0 3,12,9

2,02,1

2,8

1

2

3

4

5

TraditionalAdvertising Break

(more ads)

One Ad perAdvertising Break

Sponsorship(beginnning/end of

programming)

Premium Charge inexchange of no

advertising

Mobile tv Pay Per View TvOn Demand TvPersonal Video RecWeb TvProduct PlacementWeb Social Networks

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PERCEPTIONS ON MEDIA ASSETSPERCEPTIONS ON MEDIA ASSETSWhich of the following statement do you agree more with?

19%35% 42%

19%

11%

19%

61%

40%55%

0%

25%

50%

75%

100%

Media comes before creativity Creativity always comes first Marketing budget sets the rule

I strongly agree I strongly disagree Depends on strategy

General agreements on the statement: “Marketing budget sets the rule”. The market strategy determines the rule of media and creativity in every projects

PROFESSIONAL RESOURCES

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THE MOST REQUESTED JOB PROFILES IN THE MEDIA / ADVERTISING INDUSTRY THE MOST REQUESTED JOB PROFILES IN THE MEDIA / ADVERTISING INDUSTRY Which are the most requested job profiles in the media / advertising Industry among the following? Could you rank them?

BASE: Achieved sample (cases n. 139)

Top two:

62%

Top two:

70%

Top two:

56%

Top two:

45%

Top two:

25%

Top two:

11%

importance profession


17% 14% 20%9% 3% 2%

45% 42%

50%

36%

22%9%

35% 38%27%

44%

51%

54%

3% 6% 3% 9%20%

24%

1% 4% 12%1%1%1%

0%

25%

50%

75%

100%

Copy writer GraphicDesigner

Media Planner Digital planner Short movieproducer

Other

Most critical Very critical Important Less important Not important

Media planner rises above the other job profiles in the media / adv industry. A good position is obtained also by the copy writer

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EVALUATIONS ABOUT YOUNG ADV / MEDIA PROFESSIONALS AND MARKETEERS EDUCATIONEVALUATIONS ABOUT YOUNG ADV / MEDIA PROFESSIONALS AND MARKETEERS EDUCATIONDo you think young advertising / media professionals and marketeers received an adequate and consistant education from their

employers?

education


12% 11% 12%

45% 42% 44%

43% 48% 44%

0%

25%

50%

75%

100%

Advertising agenciesemployers

Media agencies employers Corporate clientsemployers

Very much Just enough Not enough

Top two:

57%

Top two:

56%

Top two:

53%

The young Adv agencies but also the Corporate clients employers received an adequate and consistant education on their job

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CONTRIBUTIONS ON ADV EDUCATION AND TRAINING PROGRAMSCONTRIBUTIONS ON ADV EDUCATION AND TRAINING PROGRAMSDoes your company give any financial contribution to undertake advertising education and training programs?

62137 21Casi n. 12 (*) 124 29 14 (*)

Top two:

93%

Top two:

93%

Top two:

86%

Top two:

100%Top two:

100%

Top two:

96%


General agreements about the companies’ contribution to the adv education and training programs for their employers (Top two boxes 93%)

contribution education


70%50%

73% 69% 76%57%

86%

23%50%

20% 27%

7% 7%

10% 43%

14%3%

14%

0%

25%

50%

75%

100%

Total Corporate client(adv investor)



Yes No I do not know

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MARKET VISION

Internet, online advertising, search engine and new media in general obtain the highest degree of perceived innovation (85 and 84%, respectively).

Based on the common market view, they will rise above the other classical media in advertising investments in the next 5 years.

As regards the media’s advertising share in 3 / 5 / 10 years, television will show the highest share in the next 5 years. A good position will be obtained also by press.

THE IMPACT OF DIGITAL MARKETING AND ONLINE ADV ON THE MEDIA MIX

General agreements for the sentences about new media advertising: – adv on IpTv and mobile phone will be additional to traditional TV and not

substitute (Top Two boxes 72%)– consumers would permit to receive advertising message via sms/mms in order to access to free

digital content (video clip, news, music track, etc.) (Top Two boxes 70%)

Talking about the media impact in 3 years time, Pay Per View Tv - more than the other media – are quoted as the media that will have a strong impact on adv revenues but also in audience and consumer favourability.

Executive Summary 1/3

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Consumer would prefer traditional advertising and also sponsorship on Mobile tv, while Web Tv only for sponsorship. Pay Per View tv is the most important channel for One Ad per Advertising break.

The statements suggested about new media market obtain general agreements on the following items: – Marketing budget sets the rule (“I strongly agree” 42%)– Market strategy defines roles of media and creativity in each project

PROFESSIONAL RESOURCES

Media planner rises above the other profiles in the media / adv industry as the most requested job (Top Two boxes 70%). A good position is obtained also by the copy writer (Top Two boxes 62%).

The young Adv agencies but also the Corporate clients employers received an adequate and consistant education on their job (Top Two boxes 57 and 56%, respectively).In confirmation, the survey shows general agreements on the companies’ contribution to advertising education and training programs for their employers (Top two boxes 93%).


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KEY FACT

The impact of digital marketing and online advertising rebalancing the marketing media mix.Internet, search engine and new media in general (Mobile tv, Web tv, ect.) - characterized by the highestdegree of innovation - will rise above the classical media in adv investments in the future; moreoverconsumers permit to receive adv messages on mobile phones and Pay Per View Tv.

New media are universally recognized as the main channels to convey advertising .

The usage of the new technologies in the advertising needs to specific skills: many mediaCompanies give financial contribution to undertake advertising education and training programs speciallyfor young employers.


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Documents

INTERNATIONAL ADVERTISING SURVEY IAA FEBRUARY 2007