The Blog

GLOBALLY, CINEMA AND INTERNET AD SPEND ARE ON THE RISE

Ad spending rose 3.3 percent year-over-year, from January to September 2012, according to Nielsen’s quarterly Global AdView Pulse report. Though advertisers continue to spend the most on television ads, Internet and cinema ad spend grew the most during the period at 7.7 percent and 9.2 percent, respectively.

 

INTERNET

Display Internet advertising benefited from budget increases by advertisers in the financial, fast-moving consumer goods (FMCG) and telecommunications categories. Telecommunications companies, which saw the greatest percentage increase in advertising spend for the year-to-date, increased their display Internet ad investments by more than 25 percent during the period. Display Internet advertising even increased in Western Europe’s beleaguered advertising market, rising 9 percent during the first three quarters of 2012. In fact, display advertising was the sole media type to experience spending growth in the region.

 

CINEMA

Cinema advertising is resurging in Asia Pacific, as advertisers seize the opportunity to engage a captive audience. Third-quarter regional ad spending spiked a remarkable 54.7 percent, contributing to a 12.3 percent global jump. Other markets, such as Latin America and Europe, reported year-over-year declines (-5.5% and -4.5%, respectively) in cinema ad spending.

 

TELEVISION

Television advertising’s 4.3 percent year-to-date rise marked an increase from 3.1 percent for the first half of the year. Double-digit growth in North American Q3 spending (13.6%) led the overall growth. With a 61.8 percent share of spend in all media types, television’s ad spend growth underscores television’s standing as the predominant communication medium for advertisers.

 

PRINT

Magazines were the only media type to experience a decrease in ad spending (-1.3%) from January to September 2012, and newspapers experienced little change (0.8%) over the period. Comparing Q3 2012 to Q3 2011, both types of print media saw a decrease in ad spend: 1.8 percent for magazines and 0.6 percent for newspapers. Though the Asia Pacific region increased its investment in magazine advertising (up 5.3% YTD)–supported by key markets, like China (+10.6%) and Japan (+3.8%)–advertisers in both North America (-3.2%) and Europe (-6.8%) reduced their ad budgets for magazines.

 

 

 

 

 

 

METHODOLOGY

Nielsen Global AdView Pulse measures ad spending for TV, newspapers, magazines, radio, outdoor, cinema and Internet display advertising. Some markets may exclude select media due to data availability.

 

The external data sources for the other countries included in the report are:

Argentina: IBOPE

Brazil: IBOPE

Croatia: Nielsen in association with Ipsos

Egypt: PARC (Pan Arab Research Centre)

France: Yacast

Greece: Media Services

Hong Kong: admanGo

Japan: Nihon Daily Tsushinsha

Kuwait: PARC (Pan Arab Research Centre)

Lebanon: PARC (Pan Arab Research Centre)

Mexico: IBOPE

Pan-Arab Media: PARC (Pan Arab Research Centre)

Portugal: Mediamonitor

Saudi Arabia: PARC (Pan Arab Research Centre)

Spain: Arce Media

Switzerland: Nielsen in association with Media Focus

UAE: PARC (Pan Arab Research Centre)

 

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Smartphones: Still Room to Grow in Emerging Countries

While smartphones have gone mainstream in many regions around the globe, adoption among emerging countries is still developing. According to new research from Nielsen, China is the only country among the high-growth BRIC (Brazil, Russia, India, China) markets where smartphones are predominant, owned by two-thirds of Chinese mobile subscribers as of the first half of 2012. In contrast, feature phones—devices with no touchscreen, QWERTY keypad or operating system—are still dominant in India and Russia, owned by 80 percent and 51 percent of mobile subscribers, respectively. There’s no clear favorite type of mobile device in Brazil, with mobile ownership split between 44 percent feature phones, 36 percent smartphones and 21 percent multimedia phones (touchscreen and/or QWERTY keypad, but no operating system).

Much in the same manner as social media, smartphones–with their advanced functionality and access to a multitude of apps–influence everything from consumers’ interaction with both brands and each other, to and shopping and purchase decisions.

Methodology

China and Russia – Online survey of 3,900 mobile subscribes aged 16 and older who were asked to identify what type of mobile device they own. Due to the online-only methodology in China, which excludes a large portion of China’s rural population, smartphone penetration may skew high.

India – In-person interviews with 3,900 mobile subscribers aged 16 and older who were asked to identify what type of mobile device they own.

Brazil – Phone interviews with 1,000 mobile subscribers aged 16 and older who were asked to identify what type of mobile device they own.

 

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AD SPEND BY SECTOR: CONSUMER GOODS MARKETERS SPEND BIG

Despite moderate global growth in advertising spending, fast-moving consumer goods (FMCG) companies continued to invest—and invest more—according to Nielsen’s quarterly Global AdView Pulse report. The largest sector by ad spend market share, with roughly a quarter of all dollars spent (25.1%), FMCG saw a six percent increase in ad spend in 2012 through September. FMCG was joined by telecom, media and automotive as the top sectors for year-over-year ad growth.

 

FMCG: FMCG spending grew most in Q3 (9.6%), driven largely by increases in food and drink advertising. Advertising in the Middle East and Africa contributed significantly to these gains, with a regional year-to-date increase in FMCG spending of 41 percent.

 

Telecommunications: Telecommunications advertising unsurprisingly continued to lead the sectors for growth in year-to-date advertising spend (+6.6%).

 

Media: Within the media sector, broadcasters spent 8.3 percent more in ad spending for 2012 to date. This jump may be in part due to an increase in broadcasters advertising on their own channels, as they promote their content and fill spots not sold to other advertisers.

 

Automotive: Q3 is traditionally big for the automotive industry, as the sector saw a 6 percent increase in the first three quarters of 2012 over the same period in 2011.

 

 

 

 

 

Download the Q3 2012 Global AdView Pulse Report here.

 

METHODOLOGY

Nielsen Global AdView Pulse measures ad spending for TV, newspapers, magazines, radio, outdoor, cinema and Internet display advertising. Some markets may exclude select media due to data availability.

 

The external data sources for the other countries included in the report are:

Argentina:  IBOPE

Brazil:  IBOPE

Croatia:  Nielsen in association with Ipsos

Egypt:  PARC (Pan Arab Research Centre)

France:  Yacast

Greece:  Media Services

Hong Kong:  admanGo

Japan:  Nihon Daily Tsushinsha

Kuwait:  PARC (Pan Arab Research Centre)

Lebanon:  PARC (Pan Arab Research Centre)

Mexico:  IBOPE

Pan-Arab Media: PARC (Pan Arab Research Centre)

Portugal:  Mediamonitor

Saudi Arabia:  PARC (Pan Arab Research Centre)

Spain:  Arce Media

Switzerland:  Nielsen in association with Media Focus

UAE:  PARC (Pan Arab Research Centre)

 

SOURCE

Emerging Markets in Asia-Pacific Propel Digital Ad Spend Growth in the Region

Indonesia will lead in growth, but from a small base

Asia-Pacific is already a digital ad giant, with expenditures in the region having reached $27.3 billion last year, according to eMarketer’s forecast for digital ad spending. The region is expected to become the second-largest digital ad market in the world by the end of this year, surpassing Western Europe by nearly $2 billion.

The major emerging markets of Indonesia, China and India will increase faster than Asia-Pacific’s overall regional growth through 2016, while mature markets in Australia, Japan and South Korea will continue to increase at a steady but unspectacular clip.

India and China will see growth of around 30% each this year, and maintain a pace of increase of about 20% or higher throughout the forecast period. The amount marketers will devote towards digital ad spending in Indonesia is forecast to see especially high growth, though this will be primarily due to the fact that the country recorded only $140 million in digital advertising last year.

Having achieved a peak 25% increase last year, Asia-Pacific will experience considerable growth throughout the forecast period, eMarketer estimates, spurred largely by digital ad spend growth in these emerging markets.

By 2014, marketers in China will invest more in digital advertising than their counterparts in Japan and the UK, as China pushes ahead to the No. 2 spot in worldwide digital ad expenditures. Despite their high growth rates, India and Indonesia will continue to account for the smallest share of digital ad dollars in the region.

China’s share of digital ad spending in Asia-Pacific is expected to rise to 36.1% in 2016 from 27% in 2012, while Japan’s share will drop from 35.1% to 25.8%. The two countries will account for the lion’s share of digital ad spending in the region through 2016, according to eMarketer’s forecast.


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What Facebook Paid Messages Could Mean for Brands

Paid messages may make the service more relevant and appealing to social media marketers

In its quest to drum up new sources of revenue, social network giant Facebook is currently testing a paid messages program that will enable users to reach out to those outside their network of friends for a fee of $1 per message. Although the service is early in the testing phase, it holds potential to alter the messaging function for both brands and consumers alike.

According to a December study by AYTM Market Research, 26% of surveyed US Facebook users reported sending and receiving messages often. Moreover, 35% said they sometimes used the messaging feature. The survey showed that only 13% of users never used the service.

Facebook is currently only testing paid messages for individuals, but should the program take off, it is likely that brand marketers will want in on the action. The pay option lets a user pay $1 via credit card to send a message to a Facebook user outside of his or her friend base. AYTM surveyed Facebook users about this capability and found the vast majority in opposition—90% of users said they would definitely not pay $1 to send messages to users outside their network. Brands might be less opposed to the option, however.

To date, social media marketers have not relied much on the message function to interact with Facebook users. Messages work differently for brand pages than they do for individual Facebook users. Brands are able to respond to a user’s wall post on their page via a personal message. They are also able to respond to an individual’s private message, but they aren’t able to message users of their own accord.

Data from the Relevancy Group indicated that in April 2012, 46% of US marketers reportedly used Facebook messaging as a marketing tactic. However, when looking toward the next 12 months, only 19% said they planned to continue using Facebook private messages.

When announcing its experiment with paid messages, Facebook stated that changes to communication tools are actually designed to bring more relevant messages to a user’s inbox. Facebook also recently added inbox filters so users can choose who they receive messages from and cut down on unwanted spam.

If Facebook’s experiments with paid messages are successful and they result in increased consumer usage of the messaging function, it’s likely marketer demand for a similar paid function will grow. Now that marketers can pay to appear on a user’s newsfeed, the ability to send relevant and targeted private messages to likers of their brand—rather than simply respond to user posts or messages—may soon be on the horizon.

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Nielsen Tops of 2012: Digital

 

Smartphone owners became the majority of mobile phone users for the first time this year, growing from 49 percent of mobile subscribers in Q1 2012, to 56 percent by Q3 2012. Mobile app usage also continued to grow. Among the top 10 mobile apps, Twitter was the fastest growing Android app, and the Facebook Messenger app grew the most among iPhone apps.

Google remained the top Web brand, with an average 172 million unique visitors each month between January and October 2012, followed by Facebook, which garnered an average of 153 million visits each month. Online video continued to grow in 2012, but YouTube remained the top online video source, averaging 132 million unique viewers during the year.

 

Market share of Smartphone Operating Systems, during Q3 2012 in the US

Top 10 U.S. Web Brands of 2012
Rank Site Avg # of Unique Visitors
per Month
 1 Google 172,649,000
 2 Facebook 152,996,000
 3 Yahoo! 141,579,000
 4 YouTube 128,341,000
 5 MSN/WindowsLive/Bing 127,822,000
 6 Microsoft 92,764,000
 7 AOL Media Network 86,638,000
 8 Amazon 78,128,000
 9 Wikipedia 76,031,000
 10 Ask Search Network 73,361,000
Source: Nielsen. Data from January 2012 – October 2012 (Total). Ranked on average monthly unique audience.Read as:  During 2012, 172.6 million people, on average, visited Google.

 

Top 10 U.S. Online Destinations for Video of 2012
Rank Site Avg # of Unique Viewers
per month
Avg # of  Streams
per month
 1 YouTube 132,468,000  15,004,387,000
 2 Yahoo! 39,725,000  354,024,000
 3 VEVO 37,714,000  547,615,000
 4 AOL Media Network 24,563,000  446,363,000
 5 Facebook 23,910,000  111,737,000
 6 MSN/WindowsLive/Bing 22,601,000  215,803,000
 7 The CollegeHumor Network 20,164,000  72,519,000
 8 Hulu 14,627,000  832,515,000
 9 ESPN Digital Network 13,081,000  245,667,000
 10 Perform Group 11,554,000  71,396,000
Source: Nielsen. Data from January 2012 – October 2012 (Total). Ranked on average monthly unique viewers.Read as:  During 2012 132.5 million people, on average, streamed video from YouTube each month.

 

Top Android Apps of 2012
Rank Apps Avg Unique Users YTD Change %
1 Google Search 46,386,000 54%
2 Gmail 44,516,000 45%
3 Facebook 42,379,000 48%
4 Google Maps 41,976,000 41%
5 YouTube 32,223,000 70%
6 Pandora Radio 11,600,000 55%
7 Twitter 10,674,000 122%
8 Adobe Reader 10,354,000 64%
9 Advanced Task Killer 9,569,000 -11%
10 The Weather Channel 8,983,000 59%
Source: Nielsen, Data from January – October 2012 (Android only). Ranked on average monthly unique users.Read as: During 2012 46 million Android smartphone owners used the Google Search app on average each month, growing their unique users 54% between January and October 2012.

 

Top 10 iPhone Apps of 2012
Rank Apps Avg Unique Users YTD Change %
1 Maps 32,365,000 23%
2 Facebook 28,585,000 51%
3 YouTube 22,626,000 -4%
4 Stocks 21,080,000 51%
5 Weather 20,531,000 41%
6 Facebook Messenger 10,458,000 544%
7 The Weather Channel 10,446,000 54%
8 Twitter 9,748,000 47%
9 Pandora Radio 9,563,000 47%
10 Instagram 6,910,000 197%
Source: Nielsen, Data from January – October 2012 (iOS only). Ranked on average monthly unique users.Read as: During 2012 28 million iPhone owners used the Facebook app on average each month, growing their unique users 51% between January and October 2012. SOURCE

Mobile Devices Empower Today’s Shoppers In-Store and Online

December 4, 2012

With 2012 marking the first holiday shopping season where the majority of mobile subscribers own smartphones, today’s shoppers are better equipped than ever to find the best deals and get feedback about products on their shopping lists—anytime, anywhere. From pre-purchase research, to sharing an exciting find with friends, new data from Nielsen shows that smartphone and tablet owners are embracing their devices to make the most of their shopping experience.

It’s no secret smartphone owners bring their handsets just about everywhere they go, and Nielsen found that mobile shoppers like to use their devices for in-store activities. In fact, 78 percent of mobile shoppers say they’ve used their smartphone to find a store, and another 63 percent have checked prices online while shopping. Overall, smartphone owners are three times more likely to use their handset for some in-store activities, like claiming mobile coupons (39%) or using shopping lists (40%), compared to tablet owners.

Tablet owners, on the other hand, prefer to use their devices for online shopping at home. Nearly half of tablet owners bought products using their devices, of whom nine out of ten say they made these purchases while shopping in their homes. Tablet owners are also more likely to use their devices to research products before making purchases (68%) and for reading online reviews (53%).

At checkout, more than a quarter of mobile shoppers use their devices for payment, regardless of which device they’re using. Overall, mobile shoppers tend to stay connected even after their purchases, with 18 percent of tablet owners writing reviews about the products, and 22 percent of smartphone owners commenting about their purchase through social media.

 

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ArabNet Riyadh 2012 Conference to discuss the Boom in Arabic Digital Content in Saudi Arabia

Juniper Research: Expected income from e-books to rise to $9.7 Bn by 2016.

Users in Saudi Arabia generate 40% of Arabic tweets and 35% of Arabic web content

70% of Internet users in Saudi Arabia conduct their search in Arabic

Ritadh Noember 4, 2012: Digital expert Omar Christidis, Founder of ArabNet, the hub for Arab digital professionals and entrepreneurs explained that KSA is currently the largest digital market in the MENA region – with almost 40% of all Arabic tweets, half of Wikipedia’s Arabic content and 35% of all Arabic content on the web coming from Saudi Arabia. Furthermore, more than 70% of internet users in Saudi Arabia conduct their searches in Arabic, and almost 60% of the Kingdom’s users access Facebook through Arabic accounts. Additionally, Saudi Arabia has one of the highest mobile penetration rates in the world.

He also explained that in spite of the fact that Arabic is the 7th most popular language on the Web, Arabic content on the web is no more that 2% globally. We are seeing increasing initiatives to create Arabic content, especially in Saudi Arabia. Arabic online video is one of the hot sectors in Saudi Arabia, which has the highest per capita daily consumption of YouTube in the world. . Young Saudi production studios, like UTURN Entertainment and C3 Films are disrupting the media industry, releasing shows on YouTube that are garnering more than 1 million views per episode.

Omar Christidis, the founder of Arabnet, also added that Arabic digital content will
be one of the main themes addressed at the ArabNet Riyadh conference, taking place
at the Four Seasons Riyadh on November 21-21 and hosted by the Badir Technology Incubation Program, part of the King Abdulaziz University of Science and Technology. More than 50 expert speakers and 600 attendees will gather to discuss the latest trends and opportunities in the Saudi Arabian web and mobile business. The Conference is organized by Arabnet that has already staged a number of successful digital events in Beirut and Cairo. The conference will also highlight content Arabization and localization initiatives like that of Taghreedat which is partnering with Twitter and the Wikimedia Foundation. Abdullah Mando, CEO of UTURN, and Abdulaziz Al-Shalan, Marketing Manager of C3 Films, will be at ArabNet Riyadh to discuss monetization models for online video businesses as well as how to build and grow audiences and produce original and effective video content for web.

Similarly, the rapid uptake of tablets has also opened new opportunities for mobile content publishing and has increased demand for e-books. Global revenues from e- books are forecast to grow to $9.7bn by 2016, according to Juniper Research, and the percentage of revenues generated by publishing houses and book retailers from e- book sales is on the rise. In the Middle East, companies like Flagship Pro and Ertiqa are working closely with publishers to ensure that Arabic books and content are available for Arabic tablet users. Seventy percent of the titles in Rufoof Online, a digital library app developed by Flaghsip Pro, are in Arabic, and the company is working with English publishers to translate exclusive and original content into Arabic. The availability of these apps is opening new markets and possibilities for Arabic content developers and publishers which will be explored at ArabNet Riyadh by Badr Ward, CEO of Ertiqa, and Shadi Hassan, Founder and Managing Director of Flagship Pro, among others.

The growth in demand for content via mobile, be it apps, games or e-books is in turn leading to an increase in demand for mobile advertising. This year alone, global mobile ad spending is expected to rise 62% to $6.4 billion. In the Middle East many clients
are hesitant to venture into mobile advertising, but this is starting to change with the successes that mobile advertising campaigns are achieving. Wael AlFayez, Managing Director of Numu Multimedia, the digital arm of the Saudi Research and Marketing Group, explains that the campaigns his company has run on mobile generated more than double the rates of engagement as web. “We are in the process of educating the market on the importance of mobile and how it has changed the way we consume media. Saudi Arabia has one of the highest mobile penetration rates in the world, which makes mobile the right tool for brands to reach their target audience,” says AlFayez, who will be speaking at ArabNet Riyadh along with Wael Quader, CEO of Nuqoush Mobile Media Group among others.

ArabNet Riyadh will also explore the latest in e-commerce, social media, and gaming. The conference will also highlight the most promising Saudi and Arab entrepreneurs, who will compete in ArabNet’s signature competitions, the Ideathon and Startup Demo, and have the chance to pitch their ideas and companies in front of investors
and the media. “There’s no doubt that Saudi Arabia is now living a new beginning in terms of entrepreneurship, especialtoly in the fields of web and mobile, and I think
this is the right time to encourage Saudi youth both financially and morally,” says Faris AlRashid, Chairman of Oqal, an angel investor network based in Riyadh. The Ideathon Competition, sponsored by Qualcomm, is targeted at individuals with promising ideas for a web or mobile business, while the Startup Demo targets nascent digital companies with strong business potential.

In Any Language, Content is Still King

October 29, 2012
Hispanic consumers in the U.S. spent more than five hours a month per person watching video on a mobile phone during the first quarter of 2012, a 22 percent increase in usage over a year ago, according to Nielsen’s Cross-Platform Report. With video now available across a variety of devices, it’s to be expected that Hispanic consumers want more content options, a topic explored in a recent Nielsen consumer study commissioned by Univision.

When it comes to digital video—specifically content viewed through a subscription service such as Netflix, an ad-supported service like Hulu Plus, or purchased individually through a service like iTunes—60 percent of Spanish-speaking U.S. Hispanic consumers surveyed feel there’s a lack of Spanish-language content. Of course, more content across of variety of genres would be ideal, but the most valued include music videos and TV shows, according to 40 and 39 percent of the U.S. Hispanic consumers who responded, respectively.

While cost of digital services can be a barrier to use, the survey also found that some Spanish-speaking U.S. Hispanic consumers are still willing to pay for the Spanish-language content they really want. Twenty-one percent of respondents said they are willing to pay for new movies, while 15 percent said they wouldn’t mind paying or paying extra for sports content. Among those surveyed, episodes of current TV shows are also considered one of the most valued and appealing forms of digital content.

Spanish-language Digital Content

Most Wanted

Most Willing to Purchase
Music Videos 40.0% Movies (New Releases) 21.4%
TV Episodes (Current Season) 39.0% Sports 14.8%
TV Episodes (Past Seasons) 38.5% TV Episodes (Current Season)

12.8%

Methodology: A survey of over 1,000 adults aged 18-49 of Hispanic origin who speak at least some Spanish and have an Internet connection at home or on a mobile device. Respondents were also involved in making decisions about their household’s television and/or Internet services.

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5 Better Ways to Network on Twitter and LinkedIn

Social media is like a professional cocktail hour — a way to connect, share and interact with others beyond the confines of your cubicle. But now, it feels more like an epic college kegger — the kind where you find yourself wandering in a sea of red cups, the clamor of rowdy partygoers drowning out any real conversation and eliminating the chance to forge relationships that don’t involve tacos at 3 a.m.

So, how do you bring that party back down to a reasonable size, and actually connect with people you want to talk to? Half the battle is being able to sift through the noise. Here are a few easy ways to identify and jump into the right conversations with the right people for you and your professional interests.

1. Find the Authors of the Content You Read

Who are the social influencers in your area of expertise? Identifying these people is particularly useful in seeking out great conversations. One of the best places to start is the blogs or websites you go to for content. Check out the authors — people who contribute to online publications usually have a social presence, too. Follow them on Facebook and Twitter, and take the time to let them know what you think. Comment on their articles or blogs, then take it a step further and tweet some feedback. Giving a compliment with some added insight on the topic goes a long way.

2. Become an Author Yourself

There’s no better way to join the conversation in your field than by writing on the topic — either on your own blog or for industry publications. Not only will you have something to readily share and discuss on your social networks, you’ll likely have people in your field reach out to you with comments and ideas of their own.

If you don’t consider yourself a wordsmith, stick to what you know. Think about what questions you get asked most often about what you do, and write down your thoughts. Once you get started, you’ll be surprised how much you truly have to say.

3. Leverage Twitter Keyword Searches

Twitter can be a great source of information, but it can also be one of the “noisiest” places on the web. So a great way to find people, filter tweets and join a conversation is to search for keywords related to the topics in which you are interested. For example, if you work in social media, the most obvious place to start would be a keyword like “social media.”

It seems simple, but this isn’t a perfect science, and it requires some trial and error to see which keywords get you the results you want (for example, you might try “social media marketing” or “Twitter marketing”). Play around with different versions, and join the conversation when you find something of interest. Reply to people’s tweets and give your feedback or comments. Did someone link out to an article and give her opinion? Tell her that you agree or disagree and why.

4. Join Relevant LinkedIn Groups

LinkedIn groups are great forums for career-related discussions — members often share articles, ask questions and start online conversations with each other. Do a quick group search on LinkedIn, and you’re likely to get a long list of niche groups within your field. That said, do your research to make sure that any group you’re looking at is a good fit for your goals and interests before you request to join. (If you work in healthcare marketing, for example, a general marketing group might not be the best fit.) If the group is open (vs. invite-only), take a look around at the discussions and members to get a feel for the content and makeup of the group and see if it’s a good fit.

5. Meet the People Who are Looking at You

Even if you haven’t upgraded your LinkedIn account, if your settings allow others to see who you are when you look at their profiles, you should be able to see who’s looking at yours. Scan this once a week and take a peek at who has viewed your profile.

When it’s appropriate, connect with these people, thinking about why they might have taken the time to look at your profile. Are they in your field? In your community? A recruiter? Reaching out to engage in conversation not only shows you’re paying attention, but also shows you’re open to forming new professional relationships.

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