Citizen 2.0

Yahoo! Proprietary and Confidential. © 2007. All Rights Reserved.


RADICALLY RETHINKING DEMOCRACY IN THE DIGITAL AGE


From the

PEW / INTERNETPEW INTERNET & AMERICAN LIFE PROJECT

The number of Americans using the Internet for political news has grown 525% since 1996


From the



52 Million use the Internet to research policy issues


From the



50 Million Americans or 15% of all Americans cite the internet as their primary source of political information in 2006



From the



26 Million use the internet about politics daily, 140% increase from 2002




From the



25 Million have fact-checked the candidates online in 2006



26 Million use the internet about politics daily, 140% increase from 2002


From the




50 Million Americans or 15% of all Americans cite the internet as their primary source of political information

26 Million use the internet about politics daily, 140% increase since 2002

25 Million have fact-checked the candidates online in 2006

Yahoo! Proprietary and Confidential. © 2007. All Rights Reserved. 8

From the

INSTITUTE FOR POLITICS DEMOCRACY & THE INTERNET

Poli-fluentials are Newshounds

Internet enables them to take action

Blogs are mainstream

80%

78%

75%

41%

31%

15%

58%

61%

57%

21%

17%

8%

Seen a political video or animation on the Internet

Used a search engine to find information about

political issues or candidates

Added your name to an online petition

Printed out a list of political facts or talking points to use

or give to someone else

Left a comment on a political blog

Blogged about politics

Poli-fluentials

All Respondents


Uncertainty has grown three fold for the upcoming 2008 election

How did you vote in the 2004 Presidential Election? How do you plan to vote in 2008? 50%

42%

8%

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: In the 2004 presidential election, which political party did you vote for (for President of the United States)? Q: What political party do you expect to support in the 2008 presidential election? Boxed text indicates significantly higher differences at 95% level of confidence

43%

26%

31%

2004How I Voted

2008How I plan to vote

+289%

-38%

-14%

Independent/Undecided

Republican

Democrat



Gave rise to these questions

Has the Internet impacted citizen engagement in democracy?

How does the democratization of online information effect the political process?

Does the Internet accelerate citizen activism?

What are hot buttons for this election?


AGENDA

METHODOLOGY

THE EMERGENCE OF CITIZEN 2.0

THE MEDIA REVOLUTION

SPARKING THE SEARCH FOR INFORMATION

THE POWER OF CONNECTION

CONCLUSION & IMPLICATIONS



MethodologyQUALITATIVE

ETHNOGRAPHY 24 In Home Interviews of voters who are… Interested in Politics

Registered Voter/Voted in last Presidential election

Used the Internet for political information

Active in the community

13


MethodologyQUANTITATIVE

SURVEY Quantifying Key Trends

1,798 Surveys among:

Registered Voter

Voted in last Presidential election or Plan to vote if under 18

Recruited to represent national voter demographics

Boxes indicate significant difference at 95% level of confidence

Surveyed: August 2007

14

The Emergence of Citizen 2.0Radically rethinking democracy in the digital age



"Information is the currency of democracy" Thomas Jefferson



MORE INFORMATION BETTER, LESS BIASED INFORMATION

This can be summarized as the need for two things

17


A new voter has emerged: CITIZEN 2.0

SHARINGLike connecting with other voters, discussing and sharing information and political views

SKEPTICISMHighly skeptical about political news and want more balanced presentations in articles

SEARCHINGConnected searchers, avid users of the Internet and other sources to search information and learn about politics



Citizen 2.0 cannot be ignored – they represent more than half of voters

Sizing the Market

* Projections Based on 122M Voters from 2004 Presidential ElectionSource: 71% of US Americans Currently Online | PEW Internet Life Study March 2007

51%44.6MM

87MM

VotersOnline*

49%42.2MM

Citizen 2.0 Citizen Voter



There are few demographic differences…



There are few demographic differences…

Demographic Profile

* Projections Based on 122M Voters from 2004 Presidential ElectionSource: 71% of US Americans Currently Online | PEW Internet Life Study March 2007Base (1798): Citizen 2.0 (924): Citizen Voter (874)


GENDER Male 52% 46%

Female 48% 54%

AGE Mean 44 years 45 years

MARITAL STATUS

Single 32% 34%

Paired 68% 66%

EDUCATION College+ 84% 80%

HH SIZE No Children 57% 64%

Mean # Children 1.4 1

HH INCOME <$50K 36% 42%

>$50K 64% 58%

21


...mindset is the key differentiator

Strongly Agree/Agree with the following statements… (Top 2 Box on a 7pt. scale)

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Please indicate your level of agreement/disagreement with the following statements using a scale of 1-7, where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree.” Boxed text indicates significantly higher differences at 95% level of confidence

88%

72%

63%

58%

35%

58%

38%

31%

20%

9%

Knowing what is going on politically is the responsibility

of every citizen

The Internet empowers groups of people to get

together and act

I pay attention to ads regarding political candidates

& social issues

Politics and social issues are a big part of who I am

I connect with people online to discuss political

candidates/social issues

Citizen 2.0

Citizen Voter

22


Citizen 2.0 believes local community activism is critically important…

Strongly Agree/Agree with the following statements about local community… (Top 2 Box on a 7pt. scale)

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Please indicate your level of agreement/disagreement with the following statements using a scale of 1-7, where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree.” Boxed text indicates significantly higher differences at 95% level of confidence

52%

42%

41%

37%

31%

21%

11%

11%

10%

7%

Every citizen should volunteer somewhere

My contribution to social/political organizations

is important

Community involvement is important to who I am

Social/ political organizations really need

my help

I’m usually the person that gets my friends to pitch in

Citizen 2.0

Citizen Voter


39%34%

22%19% 17%

7%

…and Citizen 2.0 is significantly more likely to volunteer time and contribute money

Thinking about the past 4 years, which of the following have you done…

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: In the past 4 years, have you ever volunteered for an organization related to political/social issues that interest you? Q: In the past 4 years, have you ever contributed money to a political campaign? Q: In the past 4 years, have you ever performed volunteer work for a political campaign? Boxed text indicates significantly higher differences at 95% level of confidence

Did volunteer work for an organization

Contributed money to campaign

Did volunteer work for a political campaign

Citizen 2.0

Citizen Voter


Citizen 2.0 has strong opinions on corporate policy…


Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Please think about political policy on US Corporations. First, using a scale of 1-7, where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree,” please tell us how you feel about each of the following:Boxed text indicates significantly higher differences at 95% level of confidence

73%

63%

61%

55%

46%

36%

26%

50%

42%

36%

27%

24%

16%

10%

The government should take steps to regulate imports from

China

Oil companies do not pay their fair share of taxes

Corporations will "buy" our legislators at the consumer's

expense

Tariffs and import taxes when doing business with other

countries

Companies should be prohibited from doing business in countries

that underpay workers

When corporations make big profits, it’s good for our economy

Laws requiring companies to adhere to strict environmental is

often bad for our economy

Citizen 2.0

Citizen Voter

25


…and is twice as likely to act on their beliefs

Definitely act in support or opposition…(Top 2 Box on a 7pt. scale)

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Now, please think about how likely you are to “act” (e.g., talk about with others, write a letter, donate time money, etc.) regarding these issues (either “for” or “against”). Please use a scale of 1-7, where 1 represents “I definitely would not do anything about this issue”, and 7 represents “I would definitely act (either in support or opposition) of this statement”. Boxed text indicates significantly higher differences at 95% level of confidence

61%

51%

47%

45%

44%

36%

40%

34%

28%

24%

18%

19%

15%

17%

The government should take steps to regulate imports from

China

Oil companies do not pay their fair share of taxes

Corporations will "buy" our legislators at the consumer's

expense

Tariffs and import taxes when doing business with other

countries

Companies should be prohibited from doing business in countries

that underpay workers

When corporations make big profits, it’s good for our economy

Laws requiring companies to adhere to strict environmental is

often bad for our economy

Citizen 2.0

Citizen Voter

26

The Media RevolutionThe impact of the Internet on democracy



Startling consistency…

Whether conservative or liberal, libertarian or socialist, people today tend to feel that the traditional media is broken

“the mainstream media is biased towards liberals"biased towards conservatives"celebrity obsessed"follows one story a day"slow"a monologue"



…they trust the Internet

People are now looking to the Internet as their most trusted, most used resource

“internet politics means I can go as deep as I want"is fast"means interaction"means I can have immediate influence"allows for a multiplicity of views"can get me closer to politicians and their true views"



Provide the tool needed for a media revolution

Americans of all political beliefs believe the Internet has changed the political process by providing:

Easily accessible in-depth information on issues and candidates, from local to global

An opportunity for politicians to speak directly to their constituents with minimum intermediary interference

A more active role for voters through increased opportunity for: dialogue with other voters, advocacy around issues, and direct communication with politicians



In general, most voters use multiple media sources to learn about candidates and issues

How Voters Use Media SourcesCANDIDATES

That I don't know

Learn More About

Full Platform

ISSUES

Important to me

I need to know about

SOURCES

TV Programs

Search

Candidate Websites

TV Ads

Newspapers

Friends and Family

News Websites



Citizen 2.0 is much more engaged in media…

People & Traditional sources used to gather information and learn about politics in the past 3 months…

Base Range (1730 to 1798): Citizen 2.0 (905 to 924): Citizen Voter (825 to 874)Q: Here is a list of sources that others like you have said they use to gather information and learn about political issues and political candidates. Thinking of the past 3 months, please indicate which you have used to learn about political issues/candidates by selecting “Yes” or “No” to each.Boxed text indicates significantly higher differences at 95% level of confidence

93%

29%

90%

73%

70%

58%

49%

47%

34%

76%

14%

80%

57%

63%

45%

34%

32%

24%

Friends or family

City officials or community organizations

Television programs

Newspapers

Television ads

Magazine/Newspaper ads

Magazines

Radio ads

Outdoor advertising

Citizen 2.0

Citizen Voter

32


…and significantly more likely to leverage online sources

Online sources used to gather information and learn about politics in the past 3 months…

Base Range (1730 to 1798): Citizen 2.0 (905 to 924): Citizen Voter (825 to 874)Q: Here is a list of sources that others like you have said they use to gather information and learn about political issues and political candidates. Thinking of the past 3 months, please indicate which you have used to learn about political issues/candidates by selecting “Yes” or “No” to each.Boxed text indicates significantly higher differences at 95% level of confidence

87%

82%

56%

51%

40%

33%

71%

58%

31%

22%

20%

23%

News websites

Search engines

Candidate websites

Blogs and Politically Based Websites

Online Political Groups

Internet display advertising

Citizen 2.0

Citizen Voter

33


Give me an ‘authentic’ politician!

Voters have been asking for this since politics began, even though some have called it ‘the ultimate oxymoron’!

CANDIDATE

BLOGS

WEB VIDEOS

REGULAREMAILS

LONG FORMPOLICY

STATEMENTSMORE

WAYS TO CONNECT

WITH VOTER

MORE WAYS FOR VOTER TO

ADD TO NARRATIVE


88%

76%68%

45%

28%

18%

Citizen 2.0 seeks unbiased, non-partisan coverage in political news…


Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Take a look at the list below and tell us how much you agree or disagree with each statement, using a scale of 1-7 where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree”.Boxed text indicates significantly higher differences at 95% level of confidence

I want balanced coverage when I read political news and articles

It is important to learn about opposing political viewpoints that I don’t believe in

I enjoy learning about opposing political viewpoints that are not my own

Citizen 2.0

Citizen Voter

35


90%

65%53%

46%

31% 32%

…and authenticity from political leaders


Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Take a look at the list below and tell us how much you agree or disagree with each statement, using a scale of 1-7 where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree”. Boxed text indicates significantly higher differences at 95% level of confidence

I am looking for authenticity in political leaders

I don’t feel like I get enough information from speeches

There is little truth in politics today

Citizen 2.0

Citizen Voter

36


Sparking The Search for InformationHow Citizen 2.0 finds what they are looking for



A multitude of issues will impact how citizens vote in 2008



Citizen 2.0 uses a number of media sources to formulate opinions on issues

Is influential in formulating my opinion on political/social issues(Strong Agree/Agree - Top 2 Box on a 5pt. scale)

Base Range (482 to 1468): Citizen 2.0 (299 to 810): Citizen Voter (183 to 658)Q: Again, thinking about these resources, please give each one a score between 1 and 5, where a ‘1’ means you ‘strongly disagree’ that the statement applies to the resource and ‘5’ means you ‘strongly agree’ that it applies to the resource when it comes to political information. Please select one score per resource for each attribute. Boxed text indicates significantly higher differences at 95% level of confidence

62%

58%

53%

50%

50%

38%

46%

39%

40%

42%

46%

27%

Search Engines

Candidate Websites

Television Programs

Newspapers

News Websites

Display Ads

Citizen 2.0

Citizen Voter

39


Citizen 2.0 relies on search engines to comb the Internet for political information


Base Range (1789 to 1798): Citizen 2.0 (919 to 924): Citizen Voter (870 to 874)Q: Please indicate your level of agreement/disagreement with the following statements using a scale of 1-7, where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree.” Q: How often do you use a search engine to look for information about political issues?Q: How often do you use a search engine to look for information about political candidates?Boxed text indicates significantly higher differences at 95% level of confidence

49%

60%

55%

17%

27%

24%

I do online searches to find out all I can about political candidates &

social issues

…information about political issues

…information about political candidates

I use search engines weekly to look for…

Citizen 2.0

Citizen Voter

40


Citizens pay special attention to media relating to their most important issues…

With issues most important to you, what do you do to find more information…

Base Range (1743 to 1751): Citizen 2.0 (910 to 915): Citizen Voter (833 to 836)Q: You indicated that you are interested in <INSERT SELECTION>. Below please indicate what you do to find information related to this social/political issue.Boxed text indicates significantly higher differences at 95% level of confidence

89%

86%

79%

76%

72%

70%

73%

66%

50%

55%

I like to read articles online regarding this issue

I watch TV programs about this issue

I pay special attention to ads regarding this issue on

TV, print or radio

I do online searches to find out all I can about this issue

I pay special attention to ads regarding this issue

online

Citizen 2.0

Citizen Voter

41


76%

51%…and specifically leverages the Internet to find out where candidates stand on issues


Base (1751): Citizen 2.0 (915): Citizen Voter (836)Q: You indicated that you are interested in <INSERT SELECTION>. Below please indicate what you do to find information related to this social/political issue.Boxed text indicates significantly higher differences at 95% level of confidence

Citizen 2.0

I went online to see where a presidential candidate stood on this issue

Citizen Voter

42


ENGAGEMENT

SIZE OF AUDIENCE

RIGHT AUDIENCE

General Sites Official Sites TV Program Magazines Newspapers

Search Cell Phone Alerts Email RSS Feed

Blogs Photo Sites Video Sites Instant Messaging Message Boards User Created Community Sites

43

Create opportunities to leverage spark events to engage targeted voters with an amplified message


62%82%

38%18%

The large majority of Citizen 2.0 will chase issues that 'spark' their interest…

Think about the last time you saw a social/political ad that sparked your interest, what did you do?

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Please think about the last time you saw an advertisement (television, printed, online, or radio) regarding a social or political issue that sparked your interest. Which of the following did you do? Please select all that apply.Boxed text indicates significantly higher differences at 95% level of confidence

Citizen 2.0

I took no action or haven’t seen anything that has moved me to act

Citizen Voter

I looked for more information

44


…and the opportunity to leverage the Internet to specifically reach Citizen 2.0

Think about the last time you saw a social/political ad that sparked your interest, what did you do?

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Please think about the last time you saw an advertisement (television, printed, online, or radio) regarding a social or political issue that sparked your interest. Which of the following did you do? Please select all that apply. Boxed text indicates significantly higher differences at 95% level of confidence

48%

47%

45%

19%

15%

15%

32%

24%

30%

8%

6%

6%

…spoke with friends or family about issue

...did an online search to learn more

…read news stories online

…read an opinion on a blog

…contact the organization directly

…discussed via IM, chat, or email.

Citizen 2.0

Citizen Voter

45


The Power of Connection Leveraging Word-of-Mouth



Online political communities form around shared views, opportunities for dialogue and advocacy around issues and candidates Deeper understanding of the issues, the kind of long-form info that the broadcast media doesn’t

give enough time to.

Politicians positions at length, unedited. A true understanding of where they stand on the issues

Information about issues that they are concerned with – the ultimate use of ‘pull’ technology of net, rather than push technology of TV/print

The online space creates “political communities” that aren’t just on the Internet

The Internet does NOT reduce in-person interaction, it facilitates it! Online political communities begin via the Internet but often evolve to

include in-person coalitions

Online/offline activities are not used exclusively but rather in coordination

47


The Internet provides a tool with the reach and targeting needed to get a political community started…

OisteDrink Liberally/Bull MooseSan Fernando Valley Republicans Club

sfvrc.org

Meetup

48


24%

18% 17%

8% 7%5%

Citizen 2.0 is far more likely to be connected to networks of other voters…

Thinking about the past 3 months, which of the following have you done…

Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Have you done any of the following in the past 3 months?Boxed text indicates significantly higher differences at 95% level of confidence

Attended a group meeting of like-minded political people

Attended a rally or fund raiser for a political candidate

Joined a political group online (such as a Yahoo! Group or the like)

Citizen 2.0

Citizen Voter

49


74%

60%52%

35%

…especially around issues that are most important to them


Base Range (1751): Citizen 2.0 (915): Citizen Voter (836)Q: You indicated that you are interested in <INSERT SELECTION>. Below please indicate what you do to find information related to this social/political issue.Boxed text indicates significantly higher differences at 95% level of confidence

I connect with people OFFLINE who have similar beliefs about this issue

I connect with people ONLINE who have similar beliefs about this issue

Citizen 2.0

Citizen Voter

50


51%39%

25%29%22%

9%

Citizen 2.0 also actively leverages social media to participate in politics

I've done the following in the past 3 months…

Base Range (899 to 1798): Citizen 2.0 (547 to 909): Citizen Voter (352 to 813)Q: Have you done any of the following in the past 3 months?Boxed text indicates significantly higher differences at 95% level of confidence

Posted a comment to an entry of something political

Written on your personal blog regarding something political in nature

Posted a question to a political official online

Citizen 2.0

Citizen Voter

51


Citizen 2.0 blasts apart the myth that political conversation is taboo…


Base (1798): Citizen 2.0 (924): Citizen Voter (874)Q: Take a look at the list below and tell us how much you agree or disagree with each statement, using a scale of 1-7 where 1 represents “Strongly Disagree” and 7 represents “Strongly Agree”.Boxed text indicates significantly higher differences at 95% level of confidence

71%

65%

61%

60%

9%

9%

5%

8%

I enjoy discussing politics among my family

and friends

I often discuss my political views because

someone else has brought up the topic

I enjoy discussing politics among my

colleagues

It is important to connect with others that share

my political beliefs

Citizen 2.0

Citizen Voter

52


…and will have significantly more conversations around their political beliefs

51% 87MM VotersOnline*

49%


Number of conversations where politics have come up with friends and family in the past month…

44.6MM 42.2MMVotersOnline*

10.2 5.7Avg Number

of Political Conversations in past month

x x

455MM 198MMNumber

of Political Conversations

per month

* Projections Based on 122M Voters from 2004 Presidential ElectionSource: 71% of US Americans Currently Online | PEW Internet Life Study March 2007Blue/Red boxes indicate significantly higher/lower differences at 95% level of confidenceBase (1121): Citizen 2.0 (662): Citizen Voter (459)Q: In the past month, how many times have your political views come up in conversation with friends, family members, or colleagues?

53


Citizen 2.0 Effective ConnectednessSummary & Implications



Summary

Citizen 2.0 voters represent 51% of American voters Citizen 2.0 voters are no different demographically; however they are

considerably different in terms of skepticism towards traditional media and are more engaged with searching and sharing political information with friends and family

The Internet impacts citizen engagement in democracy Citizen 2.0 is more highly engaged in many media sources and significantly

more likely to leverage online sources, with 87% visiting news sites to learn about politics and 82% using online search to find political information

When "spark events" happen, 82% of Citizen 2.0 voters will chase stories and look for additional information As Citizen 2.0 chases a spark event, they will hone in on the information

available, seeking an “authentic” source

The Internet provides a tool for amplifying political messages Citizen 2.0 is part of large social media networks and will activate these

networks to discuss issues important to them, candidates and spark events Citizen 2.0 blasts apart the myth that political conversation is taboo; they

enjoy talking about their political beliefs and will have twice as many politically charged conversations as the average voter

55


Implications

Connect, Engage & Drive Action Online Leverage the power of the Internet to connect directly with Citizen 2.0 Develop a robust online presence so when Citizen 2.0 searches for political

information, it’s you they find Provide opportunity for deep engagement – Citizen 2.0 wants to be an

active participant in your political campaign

Have a Holistic Online-Offline StrategyOnline conversations and communities have the potential to become strong local offline campaigners and contributors. Engage with online political communities and provide an in-person presence

for their offline, in-person gatherings

Leverage Spark Events For Greater Reach Develop strategies to act fast around spark events that provide opportunity for your campaign to amplify its stance on issues. Citizen 2.0 will chase spark events and spread what they find to their large

social media networks – spark events present incredible opportunity to reach broad networks of engaged voters

Connect with your feet on the street amplifiersCitizen 2.0 has twice the number of conversations around politics and social issues than the traditional voter on an ongoing basis, and they enjoy the challenge of "talking politics" and convincing their friends.

56


Study Commissioned By:

Richard Kosinski

VP, Political Advertising, Yahoo!

[email protected]

Research inquiries may be directed to:

Edwin H. Wong

Yahoo!

3333 Empire Avenue, Blg 5-2nd Floor

Burbank, CA 91504

p: 818.524.4507

[email protected]

Citizen 2.0 Team:

Edwin H. Wong Director of Customer Insights Organization, Yahoo!

Christina MautzSenior Marketing Manager, Yahoo!

Glenn R. KesslerCo-Founder and Managing Partner, HCD Research

Peter SmithVice President, HCD Research

Erin CarboneAnalyst, HCD Research

Chris HubbleCEO, Hall & Partners

Liam DaleyPartner, Hall & Partners

Jon McNeillAccount Manager, Hall & Partners

Technology

Citizen 2.0