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1 NEWSLETTER 14th Edition, October 2007 This Edition: Data Highlight Watching Habit Grows 25% while Fasting Looking at 5-year trend: As TV Population Grows, Total Rating Goes Down, Number of Spot Goes Up Different City, Different Viewers Run Modules Easier with Task Scheduler TAM Certified Training for Public in 2008 FAQ about TV Audience Measurement i xãxüá xãxüá Ëenthusiasm Data Highlight Watching Habit Grows 25% while Fasting in in Sahur time (2 to 4.30 AM). Based on target audience, the viewing pattern during Sahur time is higher in all target audience, either among children, teenagers, or adults (above 20 years old) with children leading TV viewing between 6 AM to 9 PM. The viewing habit is also high during 10 AM to Breakfasting time, while during 11 PM to Sahur time, the pattern is similar to regular period. Market: Jakarta, Surabaya, & Bandung TAM Method Training This month: Thu, Oct 25 Time : 2-5 PM Please contact our Client Service team for your participation. watching TV is very amazing, particularly in Sahur time, during the first two weeks of Ramadhan. Based on AGB Nielsen Media Research daily rating in three cities (Jakarta, Surabaya, and Bandung) which represents 80% of TV population in 10 coverage areas, the number of audience in the first 12 days of Ramadhan (13-24 September) increase 25% compared to the regular period (1-12 September). This is higher than the same period during last Ramadhan which only reported 19% increase. Among all target audience, the biggest increase is among children (5-14 years old) and teenagers (15-19), with 32% and 35% increase respectively. The viewing pattern also shows upward movement almost in all time, particularly Sahur time Throughout the days, number of viewers in Sahur time escalates 12 times from individuals to individuals. Its peak is at 4 AM with individuals. A huge increase also occurs at Breakfasting (5-7 PM). Number of viewer increase 35% from individuals to individuals, but then decrease 2.5% at 7-9 PM during Tarawih time. NEWSLETTER p.1

2 NEWSLETTER Data Highlight 14th Edition, October 2007 attention of teenagers and adults. As number of viewers increases, number of spot also rockets 5 times compared to regular period; from 1121 spots to 7554 spots during Sahur time. Number of Viewers by daypart Children viewers represent the biggest increase during Sahur time, with 22 times jump compared to regular period; from individuals to individuals. The same trend is also found for teenage viewers, with 19 times increase compared to regular period; from individuals to individuals. To attract more viewers, TV stations put extra broadcast hours for some program genres, especially Entertainment (comedy) and Religious (preach). Though both programs are the most broadcasted program, programs with high number of viewers are still drama series/sinetron (particularly among kids) such as Para Pencari Tuhan, Eneng dan Kaos Kaki Ajaib(R), and 1101 Kisah Sungguh Terlalu(R). Apart from these, soccer match also grabs the Buka Puasa time Though the increase during Breakfasting is not as high as Sahur time, but there is 50% increase, both in kids and teens viewers. Number of kids increases from to individuals, whereas number of teens increases from people to people. In terms of programming, drama series/sinetron, Movies (FTV), Preach, and Filler (religious) are the most common during Breakfasting. Though drama series/sinetron and FTV are still the most watched program, Preach is also the kind of program that magnetizes viewer s attention. In fact, among kids, Filler (religious) and Preach beat Sinetron in gaining viewers. Similar to Sahur time, number of commercial spots also increase (although the percentage is not as fantastic as Sahur time) which is only 22% from spots during regular period to spots. But, this is still only half of the story. With the closing of Ramadhan next week, we will be able to see the whole picture.* Looking at 5-year trend As TV Population Grows, Total Rating Goes Down, Number of Spot Goes Up As AGB Nielsen Media Research increases its survey coverage areas in the last five years ( ), and followed by the increasing number of TV population in each city, total rating or percentage of audience who watch TV seems to gradually go down. Do these factors correlate? Tracking TV population based on five cities (Jakarta, Surabaya, Medan, Semarang, and Bandung) in the last five years, the number grows by 9% on average every year. In 2003, 1% rating represented individuals, while in 2007 (until August), 1% rating represents individuals. On the other hand, average rating of national TV stations (all time, all people) goes down from 15% in 2003 to 13% in continued > NEWSLETTER p.2

3 NEWSLETTER Data Highlights 14th Edition, October 2007 With more cities added to the coverage area, from 8 cities in 2003 to 10 cities in 2007, number of audience also grows 9% on average every year. Thus, while 1% rating represented individuals in 2003, it represents individuals in Similar to the above trend, average rating also went down from 15% in 2003 to 13% in (commercial products only) in national TV stations in order to reach the GRP target. In 2003, the number of commercial spot is , while in 2006 it reached spots. This indicates a 41% increase over 3 years. Until August 2007 (with 4 months to go until December), number of spot already reaches Thus, by December 2007 it may presumably reach spots. Related to the cost to gain one rating point or CPRP (cost per rating point), the declining (average) rating seems to cause a 72% increase in CPRP. On average, if 1 CPRP cost Rp ,- in 2003, it is now Rp ,- in 2007 (note: this cost calculation is based on gross rate card, excluding bonus/discounts). Similarly, CPM or the cost to grab 1000 viewers also increases. However, with only 2.6% average increase in CPM in the last 5 years, it is much smaller than average population increase which is 9%. As average rating decrease, and as number of TV station grows which make competition fiercer, target GRP (Gross Rating Point) set by advertisers becomes harder to reach. This may in turn lead to the growing number of spots This escalating increase in terms of number of advertising spot causes ad clutter which in turn causes more viewers switching to other channels during commercial break. Thus, commercial rating drops and advertisers need to add more spots to reach target GRP. It is a never-ending cycle which causes loss on all 3 sides. Advertisers have to buy more spots, TV stations have to give more bonus spots, while TV viewers are turned off by the ad clutter. Isn t it time for re-thinking our communication strategy and expectations?* Different City, Different Viewers Local TVs do not only present different perspective to their viewers through its local contents. Still viewed as alternative viewing to national terrestrial stations, viewing pattern for local TV stations is quite different. Local TVs have their peak viewing in different day parts, while viewing on national TVs tend to be heavy during prime time (6 to 10 PM) only. In this edition, we will look at local TVs located outside Java (excluding Banjarmasin). In Medan, there are Deli TV and SpaceToon; Makassar TV and Fajar TV in Makassar; and PAL TV and Sriwijaya TV in Palembang. NEWSLETTER Based on July-September 2007, local TVs viewing pattern in Medan tends to be lower than Makassar and Palembang. In Medan, viewers grow in the morning until noon. Though it tends to fluctuate at noon to night time, the biggest number of viewers is reached during night time. Meanwhile in Makassar, local TV prime time seems to fall in the afternoon, after which viewing tends to decline. Palembang also has different viewing habit. Number of viewers jump at noon, early prime time, and at night after 9 PM. continued > p.3

4 NEWSLETTER 14th Edition, October 2007 Data Highlights Looking at the pattern, it is shown that local TVs compete with national TVs during non-prime time. Viewing pattern is not the only analysis to know viewer s habit. To be closer to the viewer, we also need to know their profile. In fact, local TVs have different audience profile compared to national TVs. Local TVs in Medan attract Female, Palembang s steal Male, and Makassar s able to magnetize both. They are all watched by viewers from upper class. From their age, Medan and Palembang are watched by kids and teens aged 5-19 years old, while Makassar is watched by older age bracket, i.e above 20 years old. Related to age, local TVs in Medan and Palembang attract students, whereas local TVs in Makassar are more attractive for workers (white collar and blue collar).* Run Modules Easier with Task Scheduler Task Scheduler is one of Arianna s facilities which enable user in processing module(s) automatically. It runs like the Director function in Mediasuite, but much better. Once the parameters are set, we can assign specified day of week or time for Arianna to run the analysis automatically. At first, users have to select new task in Task Scheduler icon to put in every used modules in order to be processed automatically based on schedule. Automatic process can only be run after users define the processing time, whether once, daily, weekly, or monthly. User can also define the time when the modules must be run. continued > NEWSLETTER p.4

5 NEWSLETTER 14th Edition, October 2007 After setting out the schedule, user must then select Workspace Action to export the processed data to Excel format. This command can be applied to each module that will be processed. The task scheduler function then will run automatically as it is scheduled. Every task that is made will be revealed in the tasks list as shown on the right: As a result, Task Scheduler makes the regular running process easier. Just sit back and voila!* TAM Certified Training for Public in 2008 training modules. The participant can be from TV Industry, Ad Agency, Production House, Advertiser, University student or Lecturer. The registration can be individually or Company group with maximum 10 people per class. In detail, the Training Modules are: Day 1: TAM Methodology Training with demo on: Meter Technology, Pollux (TAM data production), TV Event (TV monitoring system), etc. Day 2: ARIANNA Software hands-on Training on Basic Viewing Behavior Analysis Modules In response to public demand for knowledge about TAM methodology and Arianna software application in the industry, AGB Nielsen will launch Certified TAM & Arianna Training Program in It is a Local Certification Training Program which will be held for 3 days for its Day 3: ARIANNA Software hands-on Training on Basic Post Evaluation Analysis Modules. For more information on the certified program, please contact our Marketing Service team: Ardiansyah (239), Christina (228), or Hellen (193). NEWSLETTER p.5

6 NEWSLETTER 14th Edition, October 2007 FAQ about TV Audience Measurement (Q) What is Program Rating? (A) Program Rating is the average numbers of audience during a television program expressed as a percentage of the total group sampled or potential. Program Rating point can be based on the smallest time unit of 1 minute. Program Rating (%) = Audience during a TV program x 100% Universe (Q) Now, why do we need program ratings at all? (A) Simply because the networks, stations, programs, producers are in the business of entertaining people. And they want to know whether the people watch their show or not. (Q) When is program rating used? (A) Every time we want to know how many persons view/watch a certain program across a defined time period. (Q) What is Share (of Audience)? (A) The percent of TV usage attributable to a program. Share = Program Rating x 100% Total rating (Q) When can we use audience share? (A) Share can be used when we want to quantify the percentage of audience of a certain program compared to other programs within the same time period. (Q) What is Index? (A) A deeper measurement than just ratings to identify the efficiency of a particular program of day part in reaching a certain target audience. Index = Target Audience Rating Points x 100% Rating Total (Q) When do we use Index analysis? (A) Index is used when we need to know the a program efficiency in reaching a certain target audience. If Index < 100 : less effective > 100 : more effective = 100 : effective (Q) If the rating is low, won t that affect the decision making at all? (A) Often that s true, but it is by no means always true. Some broadcasters decide to continue such programs without any expectation of getting the highest ratings. Some decide to stop. It all depends on their main objective. (Q) But just because a program gets the most votes doesn t mean it s the best? (A) Of course not. Obviously quality and popularity don t necessarily go hand-in-hand. (Q) Does TAM measure the quality of the shows? (A) No. Definitely not. The measurement will just tell us how many people watching them or the quantity. (Q) How many hours a day do you record the data? (A) We do that all day round, 24 hours period from 2:00am on a day to 1:59 on the next day. It is defined to accommodate the polling mechanism of the People Meter system and to standardize data processing in terms of time segment across the markets. Sunday is set as the first day of a research day. to be continued... NEWSLETTER p.6

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