THE MIND OF THE VIEWER. Nielsen Consumer Neuroscience June 2017
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1 THE MIND OF THE VIEWER Nielsen Consumer Neuroscience June 2017
2 NEUROMETRICS COMMITTEE KATHLEEN BOHAN JANICE FINKEL-GREEN JANET GALLENT MANUEL GARCIA BUZZ KNIGHT BILLY MCDOWELL BILL MOULT DAN MURPHY DEBBIE REICHIG BETH ROCKWOOD CERIL SHAGRIN HOWARD SHIMMEL HORST STIPP RICHARD ZACKON 2
3 WHY FOCUS ON THE MIND OF THE VIEWER? HYPOTHESIS STATEMENT: BENEFITS TO THE INDUSTRY: As more households include multi-platform devices as part of their regular viewing behavior, the industry definition of engagement* may need to expand to accommodate additional behaviors beyond the current watching and listening. * By which we mean the definition on viewing. Improve understanding of how multi-platform device use in a household may increase opportunities for exposure to content. Help inform the development of new technologies & metrics used to capture viewing behavior. 3
4 UNDERSTANDING THE MIND OF THE TV VIEWER: MULTIPLE METRICS INFORM HOLISTIC INSIGHTS Phase 1 In-Lab, n=202 Phase 2 In-Home, n=126 4
5 PHASE 1 IN-LAB SNAPSHOT Highlights of Research in the Lab
6 BEHAVIORS WHILE WATCHING TV ARE CONSTANTLY CHANGING AND COMPLEX Sample Individual Participants During Natural Viewing Behavior IN-LAB NATURAL EXPERIENCE r Ad Channel Change Content Co-Viewing w/ 2 nd Screen Ad, 2nd Screen, Conversation Ad, 2nd Screen Ad, Conversation Ad Channel Change, 2nd Screen, Conversation Channel Change, 2nd Screen, Channel Change, Conversation, Channel Change Content 2nd Screen, Conversation Content, 2nd Screen, Content, Conversation Content 6
7 FOR 70% OF ADS, SOLO VIEWERS WILL CHANGE THE CHANNEL WITHIN THE FIRST THREE SECONDS Co-Viewers Less Likely to Change Channel Due to Presence of Another Person IN-LAB CURATED EXPERIENCE 100% Percent of :30s Ads Remaining On TV Over Time 80% Co-Viewer (228 ads) 60% 40% Solo Viewer (208 Ads) 20% 0% 0:00:01 0:00:05 0:00:10 0:00:15 0:00:20 0:00:25 0:00:30 Length of Ad 7
8 ATTENTION TO ADS DROPS AMONG CO-VIEWERS WITH A SECOND SCREEN IN-LAB CURATED EXPERIENCE % Audience who Fixate on Ad at Least Once % Time Spent in Fixation on Ad 92% 75% 58% 25% Solo Viewer Solo Viewer Co-Viewer w/second Screen Co Viewer with Second Screen Solo Viewer Solo Viewer Co Viewer with Second Screen Co-Viewer w/second Screen 8
9 FOR CO-VIEWERS, EMOTIONAL RESPONSE FOR ADS IS IMPACTED BY CONVERSATION Among Solo Viewers, Content Stimulates Greater Response than Ads IN-LAB NATURAL EXPERIENCE Intensity Emotional Response Across All Content vs. Ads Content Ads SOLO VIEWING Solo Viewing CO-VIEWING Co-Viewing INTENSITY: Height of Peak response captured across all ad exposure vs. content exposure. Amplitude refers to peak of emotional arousal. 9
10 TV VIEWING BEHAVIOR IN THE HOME
11 IN A TYPICAL EVENING, THE TV IS ON WITH AN AVERAGE OF 77% OF THE TIME IN-HOME Percentage of Time TV was turned on vs off and the Participant was in vs out of the room for Evening Hours 4% 4% 2% 6% 15% 7% 2% 17% 4% 13% 12% 8% 72% 76% 79% 78% 5-7pm 7-8pm 8-10pm 10-11pm In Room; TV on In Room; TV Off Out of Room; TV on Out of Room; TV off Average Time TV is on and Person is in Room, per night: 3:07 hours *Only includes participants that are using the equipment during these time periods 11
12 PEOPLE TEND TO LEAVE THE TV ROOM MORE FREQUENTLY DURING EARLY EVENING IN-HOME Number of Times Participant Leaves Room per Hour 4 Number of Times per Hour pm - 7pm n=96 5-7pm 7pm - 8pm n= pm 8pm - 10pm n= pm 10pm - 11pm n= pm 12
13 SECOND SCREEN AND OTHER ACTIVITIES COMPETE FOR ATTENTION AT LEAST 40% OF THE TIME IN-HOME Environment in the Room 8% 3% 5% 14% Percentage of Time 37% 49% 47% 30% 24% 21% 47% 19% TV off TV on only Coded Activity with no Gaze on Second Screen Gaze on Second Screen (with or without Coded Activity) 25% 25% 26% 21% 5pm - 7pm 7pm - 8pm 8pm - 10pm 10pm - 11pm 5-7pm 7-8pm 8-10pm 10-11pm Participant is in the room GAZE & OTHER BEHAVIOR 13
14 EMOTIONAL RESPONSE WHEN VIEWING TV OR USING SECOND SCREEN AT PARITY Second Screen & TV offer a range of experiences, some more immersive than others IN-HOME Emotional Response When TV is On (Average Peaks per Minute & Amplitude) Average Percentile Rank of Emotional Response TV only Gaze on Second Screen (with or without Coded Activity) INTENSITY: Height of Peak response captured across all ad exposure vs. content exposure. Amplitude refers to peak of emotional arousal. 14
15 IMPACT OF THE SECOND SCREEN
16 GAZE ON SECOND SCREEN INCREASES DURING ADS IN-HOME Gaze Patterns as Percentage of Total Time between 5-11pm 14% 17% 3% 4% 39% 23% 59% 40% Content Ads On TV Second Screen Other Person Other *Other includes looking around the room and looking at reading materials TV is on and participant is in the room GAZE 16
17 SECOND SCREEN USE SIGNIFICANTLY DECREASES INCIDENCE OF CHANNEL CHANGING BEHAVIOR IN-HOME Average Changes per Hour Not Using Second Screen Using Second Screen Number of Changes per Hour Between 5-11pm 17
18 COMMUNICATION APPS ARE MOST POPULAR WHILE USING 2 ND SCREEN DEVICE IN-HOME Apps Used During Second Screen Time (Among Android Users) 33% 21% 19% 12% 8% Communication Web Browser Social Networking Games Productivity Other 4% (SMS/MMS, , Skype, Messenger, Hangouts) (Google, Chrome, Firefox Internet Explorer) (Facebook, Linkedin, Tinder, Pinterest, Snapchat, Reddit, Instagram) (Facebook, Linkedin, Tinder, Pinterest, Snapchat, Reddit, Instagram) (Phone related features including calendar, settings) (Entertainment, Lifestyle, News & magazines, Business & finance, Travel & local) Apps Used During 2 nd Screen 18
19 WHEN USING A SECOND SCREEN, SOCIAL NETWORKING MORE PREVALENT AMONG SOLO VIEWERS IN-HOME Passive Metering During 2 nd Screen Usage Solo Viewing Co-Viewing 11% 3% 9% 29% 13% 2% 11% 39% 20% 14% 27% 19% Communication Web Browsing Social Networking Games Productivity Other *Solo Viewing includes any participant who watches TV alone regardless of household composition. Data among Android users only. TV is on and participant is in the room % OF TIME ON 2 ND SCREEN 19
20 SAMPLE PARTICIPANT USING SECOND SCREEN WHILE WATCHING PRIME TIME PROGRAMMING IN-HOME > Participant 133, F, 18-24, People Meter, Android, African American Content Ad v v v v v v v v v Apps 7:30 8:08 v v v 8:09 8:16 8:17 v v v v v v v v 8:59 v 8:318:33 8:56 8:44 9:30 v v v v v v v v 9:40 10:20 10:32 v v 10:51 10:58 7:30:00 PM 8:00:00 PM 8:30:00 PM 9:00:00 PM 9:30:00 PM 10:00:00 PM 10:30:00 PM 11:00:00 PM SMS/MMS v v Facebook Messenger v Facebook v Google v YouTube v Calendar v v Wish v Snapchat Google Chrome 20
21 WHAT IS THE IMPACT OF CO-VIEWING WHEN WATCHING TV?
22 ON AVERAGE 39% OF THE TIME IS SPENT CO-VIEWING, MOST OFTEN AMONG YEAR OLDS IN-HOME Co-Viewing vs Solo Viewing: Percentage of Time per Age Group Percentage of Time 61% 61% 55% 39% 39% 45% 75% 25% Solo Viewing Co-Viewing Overall Total Solo Viewing includes any participant who watches TV alone regardless of household composition Co-Viewing includes any participant who is watching TV with someone else in the room regardless of household composition Note: Of Total Sample, 12% of participants live alone, 88% live with others TV is on and participant is in the room 22
23 CO-VIEWING DECREASES GLANCES TO SECOND SCREEN IN-HOME Median Number Of Second Screen Glances Per Hour, Per Person Occasions for Channel Changing pm - 11pm Solo Viewing Co-Viewing *Solo Viewing includes any participant who watches TV alone regardless of household composition TV is on and participant is in the room # NUMBER OF GLANCES 23
24 DURING ADS, CO-VIEWERS SPEND MORE TIME ON TV AND LESS TIME ON SECOND SCREEN IN-HOME Gaze Patterns as Percentage of Total Time During Ads SOLO-VIEWING CO-VIEWING 16% 45% 38% 11% 43% 17% 31% On TV Second Screen Other Person Other *Other includes looking around the room and looking at reading materials TV is on and participant is in the room 24
25 INCIDENCE OF CHANNEL CHANGING BEHAVIOR WHILE CO-VIEWING DECREASES IN-HOME Average Channel Changes per Hour Number of Channel Changes per Hour Solo Viewing w/no 2nd Screen Co-Viewing w/no 2nd Screen 25
26 CONVERSATION MORE LIKELY DURING ADS THAN CONTENT IN-LAB Percentage of Total Time Spent in Conversation During Ads vs. Content 9% Brackets around the conversation 7% 3% 4% 4% 7% ADS CONTENT Conversation Related to Ad Conversation Related to Content Laughing or Personal Conversation 26
27 PRESENCE OF ANOTHER VIEWER INCREASES EMOTIONAL RESPONSE TO ADS Among Solo Viewers, Content Stimulates Greater Response than Ads IN-HOME Intensity Emotional Response Across All Content vs. Ads Content Ads SOLO VIEWING Solo Viewing CO-VIEWING Co-Viewing INTENSITY: Height of Peak response captured across all ad exposure vs. content exposure. Amplitude refers to peak of emotional arousal. Normalized z-scores for complete experience. 50 is the mean. Meaningful Differences between Content & Ads among Solo Viewers. 27
28 GAZE PATTERNS SHIFT BACK TO TV & OTHER PERSON WHEN CO-VIEWER ARRIVES IN ROOM IN-HOME Sample Household During Natural Viewing Behavior Solo Viewer 7:30 PM Adult Co-viewer 8:00 PM 1 or 2 Child Co-viewers Present 8:30 PM 7:30:00 PM 8:00:00 8:00:01 PM + + 8:30:00 8:30:01 PM TV Second Screen Other Person Other 28
29 SWITCHING BEHAVIOR MAY BE A FUNCTION OF AGE RATHER THAN EXPERIENCE Comparison of two data sets, looking at natural consumer behavior with different media platforms Number of Platform Switches per Hour 17 Day in The Life (2011) 27 Number of Platform Switches per Hour 18 Mind of the Viewer (2017) Digital Immigrants (Age 31-55) Digital Natives (Age 22-27) Appox. Match for 'Immigrant' Cohort Approx. Match for 'Native' Cohort
30 EXECUTIVE SUMMARY
31 EXECUTIVE SUMMARY DISTRACTING ENVIRONMENT In the home, TV s are on for 77% of the evening from 5-11pm. When TV is on, consumers are distracted by second screens and other activities at least 40% of the time. IMPACT OF CO-VIEWING Co-viewing minimizes the incidence of channel changing behavior as well as other forms of distraction. During ads, co-viewers spend more time viewing TV screen & less time on second screen. EMOTIONAL RESPONSE IN DISCONTINOUS VIEWING RELIABILITY OF IN-LAB TESTING Emotional Response to second screen is comparable with the TV experience. There is an opportunity for brands to connect with co-viewers who are talking about ads & content. Data sets uncovered strong similarities between behavior in a lab environment vs. home suggesting that in-lab studies provide more data reliability than previously thought. 31
32 EXECUTIVE SUMMARY DISTRACTING ENVIRONMENT In the home, TV s are on for 77% of the evening from 5-11pm. When TV is on, consumers are distracted by second screens and other activities at least 40% of the time. IMPACT OF CO-VIEWING Co-viewing minimizes the incidence of channel changing behavior as well as other forms of distraction. During ads, co-viewers spend more time viewing TV screen & less time on second screen. EMOTIONAL RESPONSE IN DISCONTINOUS VIEWING RELIABILITY OF IN-LAB TESTING Emotional Response to second screen is comparable with the TV experience. There is an opportunity for brands to connect with co-viewers who are talking about ads & content. Data sets uncovered strong similarities between behavior in a lab environment vs. home suggesting that in-lab studies provide more data reliability than previously thought. 32
33 EXECUTIVE SUMMARY DISTRACTING ENVIRONMENT In the home, TV s are on for 77% of the evening from 5-11pm. When TV is on, consumers are distracted by second screens and other activities at least 40% of the time. IMPACT OF CO-VIEWING Co-viewing minimizes the incidence of channel changing behavior as well as other forms of distraction. During ads, co-viewers spend more time viewing TV screen & less time on second screen. EMOTIONAL RESPONSE IN DISCONTINOUS VIEWING RELIABILITY OF IN-LAB TESTING Emotional Response to second screen is comparable with the TV experience. There is an opportunity for brands to connect with co-viewers who are talking about ads & content. Data sets uncovered strong similarities between behavior in a lab environment vs. home suggesting that in-lab studies provide more data reliability than previously thought. 33
34 EXECUTIVE SUMMARY DISTRACTING ENVIRONMENT In the home, TV s are on for 77% of the evening from 5-11pm. When TV is on, consumers are distracted by second screens and other activities at least 40% of the time. IMPACT OF CO-VIEWING Co-viewing minimizes the incidence of channel changing behavior as well as other forms of distraction. During ads, co-viewers spend more time viewing TV screen & less time on second screen. EMOTIONAL RESPONSE IN DISCONTINOUS VIEWING RELIABILITY OF IN-LAB TESTING Emotional Response to second screen is comparable with the TV experience. There is an opportunity for brands to connect with co-viewers who are talking about ads & content. Data sets uncovered strong similarities between behavior in a lab environment vs. home suggesting that in-lab studies provide more data reliability than previously thought. 34
35 THANK YOU Dr. Carl Marci, Chief Neuroscientist Naomi Nuta, VP, Client Services Rachel Newmiller, Manager, Client Service David Gwozdz, Analyst, Operations Dr. Randall Rule, Senior Scientist Kelly Bristol, Director, Data Science Eliana Gerson, Associate Manager, Client Service Megan Kay Walsh, Manager, Panel Team
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