1 Syndication 2006 April 2006
Syndicated Network Television Association 2
Syndication 2006 Strong Growth Clutter Advantage Improving Brand ROI Year-long Consistency Delivering Younger Viewers 3
Syndication Spending Is Up 8% 20 vs. 2004 +8% +1% Syndication Network 4 Source: TNS Stradegy. Spending for all categories, January December 20 vs. 2004 Broadcast Year
Syndication Spending Is Up 32% Over Five Years 20 vs. 2001 +32% +21% Syndication Network 5 Source: TNS Stradegy. Spending for all categories, January December 20 vs. 2001 Broadcast Year
Syndication: The 4 th Largest Network In Ad Revenue 20 $ Billions CBS 6.7 ABC NBC 5.9 5.8 Syndication 4.2 FOX 3.6 WB 1.0 UPN 0.5 6 Source: TNS Stradegy
Syndication: The 3rd Largest Network In Ratings 20 A18-49 Ratings ABC CBS Syndication NBC 192,187 189,001 174,548 157,754 FOX 79,719 WB UPN 23,043 15,147 7 Source: TNS Stradegy A18-49 GRPEs
Proven First-Runs 8
Syndication Ratings Are Up 5% A18-49 +5% +1% Syndication 6 Network Prime 9 Source: Nielsen A18-49 AA/GAA (000), Oct-Mar06 vs. Oct04-Mar.
Syndication: +11% Over The Past 5 Years Oct-Mar A18-49 115 Index 1 95 Syndication 6 Network Prime 85 '01-'02 '02-'03 '03-'04 '04-' '-'06 10 Source: Nielsen A18-49 US AA/GAA(000) Oct-Mar 01-02, 02-03, 03-04, 04-, -06. Excludes specials, sports & children programming.
Sitcoms: 16% More Laughs Oct-Mar A18-49 Index 140 120 100 80 Syndication Sitcoms Network Sitcoms 60 '01-'02 '02-'03 '03-'04 '04-' '-'06 11 Source: Nielsen A18-49 US AA/GAA(000) Oct-Mar 01-02, 02-03, 03-04, 04-, -06. Excludes specials, sports & children programming.
Syndication: A Dramatic 23% Improvement Oct-Mar A18-49 Index 130 110 90 Off Network Adventure/Dramas Network Adventure/Dramas 70 '01-'02 '02-'03 '03-'04 '04-' '-'06 12 Source: Nielsen A18-49 US AA/GAA(000) Oct-Mar 01-02, 02-03, 03-04, 04-, -06. Excludes specials, sports & children programming.
Syndication Day: 1/3 More Viewers Oct-Mar W25-54 130 Index 110 90 Syndication Day Network Day 70 '01-'02 '02-'03 '03-'04 '04-' '-'06 13 Source: Nielsen W25-54 US AA/GAA(000) Oct-Mar 01-02, 02-03, 03-04, 04-, -06. Excludes specials, sports & children programming.
Top Network For Adults 18-49 # of Shows in Top 10 Adults 18-49 Monday 1 3 3 3 4 4 2 1 2 2 5 2 4 4 3 1 1 Tuesday Wednesday Thursday 4 Friday 2 1 Syndication CBS Fox ABC NBC Source: Nielsen 9/26/-3/26/06 AA/GAA (000) Live Excludes specials, sports and children's programming 14
Syndication: 40% Of The Top Rated Telecasts During The Prime Season Top 50 Telecasts Oct Nov Dec Jan Feb Mar 17 19 21 21 22 19 33 31 29 29 28 31 10/03/- 10/09/ 11/07/- 11/13/ 12//- 12/11/ 01/02/06-01/08/06 01/30/06-02//06 2 nd Broadcast Week* Syndication 6 Network 03/06/06-03/12/06 Source: Nielsen. *Used second broadcast week of each month, except Feb used first week due to Olympics. Syn vs. 6 Network Total Day Live A18-49 (AA%/GAA%). Ranked by impressions. Excludes sports, specials, and children's programming. 15
Syndication: Leading The Networks 10/13/-10/09/ Top 50 Telecasts 11/07/-11/13/ 17 12 12 8 1 Syn CBS NBC ABC Fox 12//-12/11/ 19 12 7 6 6 Syn CBS NBC ABC Fox 1/02/06-1/08/06 21 21 11 9 6 3 13 7 5 4 Syn CBS NBC Fox ABC 1/30/06-2//06 Syn NBC CBS ABC Fox 3/06/06-3/12/06 22 19 11 13 6 6 5 7 6 5 Syn CBS NBC ABC Fox Syn CBS Fox NBC ABC 16 Source: Nielsen. Used second broadcast week of each month, except Feb used first week due to Olympics. Syn vs. 6 Network Total Day Live A18-49 (AA%/GAA%). Ranked by impressions. Excludes sports, specials, and children's programming.
New Programs Original Programs The Rachael Ray Show Off Network Shows 17
18 MEDIA CONFERENCE AND TRADE SHOW Clutter my biggest issue. It s the saddest and the stupidest thing we ve done to our Industry. Just why is it that we are hell-bent on irritating the very people that we re trying to sell products and services to? Jean Pool EVP-COO Universal McCann; Chair, AAAA Media Policy Committee
A Major Threat To TV Advertising Clutter is cited as the #1 problem with primetime TV Problems with Primetime TV Rank Response 1. Too many ads 32% 2. The quality of programming 22% 3. Too much sex and/or violence 20% 4. Too many reruns 15% 5. Too much profanity 4% Source: AAAA/Harris Interactive, 2006. 19
NATIONAL TELEVISION 20
21 What is the combined number of automotive, restaurant, and Wireless commercials that ran in 20?
More A And B Positions 96% 94% % A and B Positions 80% 78% 77% Sitcoms Ent News Talk Game Court 22 Source: SNTA /06 Member Survey. Percentages based on :30 unit basis.
Syndication Has Short Breaks Length of National Breaks Monday-Friday Strips Average 2:11 23 Source: SNTA /06 Member Survey
Exclusive National Pods Are Even Shorter Length of National Breaks Monday-Friday Strips Exclusive National Pods 1:24 24 Source: SNTA /06 Member Survey
Less Commercials = Better Recall Relative Index Adult Unaided Ad Recall by Number of Commercials in Break 1-3 commercials 157 +34% Advantage 4-6 commercials 117 25 Source: TV Dimensions 20 CAB/Nielsen Media Research Study April 2000 Primetime
Twice The Recall Of Longer Breaks Relative Index Adult Unaided Ad Recall by Number of Commercials in Break 1-3 commercials 157 4-6 commercials 117 7-9 commercials 86 10+ commercials Same 79 26 Source: TV Dimensions 20 CAB/Nielsen Media Research Study April 2000 Primetime
The Study By The AAAA, ANA and Nielsen Confirms: Syndication is the Leader In Audience Retention! Syndication best retains the program audience 3 to 4 times more than network or cable Across all demographic groups measured Syndication is stronger at the daypart level Syndication outperforms both network and cable for key program genres like sitcoms, dramas, news, feature films, and info./advice 27 Source: AAAA/ANA, Nielsen Media Research August, 20
More Efficient Than Network Prime CPM Index vs. Prime A18-49 Drama/Adventure Sitcoms Feature Films 120 120 120 100 100 100 80 80 80 60 60 60 40 20 0 Net. Prime Syndication 40 20 0 Net. Prime Syndication 40 20 0 Net. Prime Syndication 28 Source: CMR, All Advertisers Jan-Dec (B) Equivalent :30
Improves Delivery & Reach Brand X Nov 20% Syndication / Equal Dollars A18-49 GRPs 438 130 +14% GRPs Reach +6% Reach 383 308 69 73 Network Prime Only Network Prime + Syndication Network Prime Only Network Prime + Syndication Syndication Network Prime 29 Source: IMS Telecume, Nielsen, CMR
78% of Syndication Viewership is Live % Watching Live 78 Syndication 30 Source: Nielsen TIVO HH Oct Excludes sports & children programming Weighted by telecasts
ROI: The #1 Marketer Concern For The Third Year In A Row Syndication s ROI Advantage Better Recall Greater Audience Retention More GRPs Higher Reach Watching Live 31 Source: ANA Annual Survey, Issues Facing Senior Marketing Executives, 3/27/06
Year Round Consistency 32
Consistent Throughout The Year 130 120 Syndication 4 Network Prime 110 100 90 80 70 60 Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- Oct- Nov- Dec- 33 Source: Nielsen January-December 20 Live A18-49 PRJ Index Vs. Average Excludes sports and specials
REPEATS: Over 40% Of Prime Network % First-Run vs. Repeats 6 Network Prime 41% 59% Oct04-Sep Repeats First Run 34 Source: Nielsen Oct04-Sep (B) 6 Network Prime, Excludes sports, specials & children programming
The Year In Thirds % First-Run vs. Repeats 6 Network Prime 100% 80% 12% 8% 14% 22% 60% 40% 88% 92% 86% 78% 20% 0% Oct- 04 Nov- 04 Dec- 04 Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- First Run Repeats 35 Source: Nielsen Oct04-Sep (B) 6 Network Prime, Excludes sports, specials & children programming
The Year In Thirds % First-Run vs. Repeats 6 Network Prime 100% 80% 12% 8% 14% 22% 52% 60% 79% 76% 80% 40% 88% 92% 86% 78% 20% 0% Oct- 04 Nov- 04 Dec- 04 Jan- Feb- Mar- Apr- May- 21% 24% 20% Jun- Jul- Aug- 48% Sep- First Run Repeats 36 Source: Nielsen Oct04-Sep (B) 6 Network Prime, Excludes sports, specials & children programming
The Year In Thirds % First-Run vs. Repeats 6 Network Prime 100% 80% 12% 8% 39% 30% 14% 40% 33% 22% 52% 60% 79% 76% 80% 40% 20% 0% 88% 92% Oct- 04 Nov- 04 61% Dec- 04 70% Jan- 86% Feb- 60% Mar- 67% Apr- 78% May- 21% 24% 20% Jun- Jul- Aug- 48% Sep- First Run Repeats 37 Source: Nielsen Oct04-Sep (B) 6 Network Prime, Excludes sports, specials & children programming
Repeats Lose 42% Of Their First Run Rating Adults 18-49 Rating 3.3 1.9 Network First-Run Network Repeats 38 Source: Nielsen Oct04-Sep. 6 Network Prime A18-49 AA%, Repeats vs. Non-Repeats. Excludes sports, specials, children programming, programs < 5 min. and gaps.
Syndication Delivers Younger Viewers 39
Top Network For Adults 18-34 # of Shows in Top 10 Adults 18-34 2 4 4 4 3 1 2 1 2 5 2 4 4 1 1 6 1 3 Syndication CBS Fox ABC NBC Monday Tuesday Wednesday Thursday Friday Source: Nielsen 9/26/-3/26/06 AA/GAA (000) Live Excludes specials, sports and children's programming 40
Syndication: Better Than The Networks 3.1 Adult 18-34 Rating 2.4 2.0 Syndication Top 10 Syndication Top 20 UPN & WB Top 10 41 Source: Nielsen 9/26/-3/26/06 AA/GAA (000) Live Excludes specials, sports and children's programming
Syndication: Lower CPM Than Network Prime Adult 18-34 Efficiency Index 120 100 80 60 40 20 0 UPN & WB Prime Syndication 42 Source: TNS Media Stradegy 20 Excludes specials, sports and children's programming
Syndication s Advantage Is Clear 95% % Clearance 83% 65% Syndication Median CW My Network TV 43 Source: Syndication median based on SNTA member programming. CW and My Network TV figures reported in TVBR 4/20/06.
Syndication: The Highest Audience Retention % Commercial Rating of Total Program Adults 18-34 Syndication 96.6 Prime FOX Prime CBS Prime ABC 94.5 94.4 95.2 Prime NBC 93.6 Prime WB 92.7 Prime UPN 91.3 44 Source:Nielsen NPOWer Nov Commercials +Promos excludes sports,kids and specials
Syndication Sitcoms: The Young Adult Reach Leader Potential Reach Adults 18-34 Syndication Sitcoms 65 Prime ABC 57 Prime CBS Prime Fox 49 50 Prime NBC 55 Prime UPN 19 Prime WB 28 Prime UPN & WB MTV Cable Total 38 39 45 Source: IMS Telecume, Nielsen Persons Cume Study
Syndication 2006 Strong Growth Clutter Advantage Improving Brand ROI Year-long Consistency Delivering Younger Viewers 46
47 Syndicated Television: Watch Us Perform