JULY 22, 2013

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Media
As Online Streaming Grows, Primetime Viewing Remains Most Popular Time
According to a new study by Ipsos Media CT, one out of three adults 18-49 stream video online at least once a day. Digital natives (18-34) are twice as likely as adults 35-49 to watch online video at least once a day (40% versus 21%). Sitcoms, animated comedies, and serialized dramas are the most popular types of streamed content. Even online, primetime is king: 35% report watching online video between 8pm and midnight. Much like television, this time period has the highest overall online viewership. The most popular content formats during online primetime are: full length movies (62%), cable or broadcast network content (45%), online series under 10 minutes (38%), user-generated videos (28%) and original series over 10 minutes (19%).
So what? As expected, digital natives continue to lead the way for digital video consumption. Given the explosive growth of digital video overall and the important place it holds among younger media consumers, Condé Nast Entertainment is well positioned to cultivate fans of CN brands among a younger audience.
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Retail/Shopping/Commerce
How People Shop and What Drives Purchase Intent
A new report from Nielsen summarizes the results of a global survey of consumer shopping behavior in 58 countries around the world and identifies what drives category purchasing intent. Nielsen reviewed seven purchasing criteria: packaging design, price, function, advertisement, brand, quality and place of production. Across the beauty and health, food and beverages, mobile/personal electronics, and non-FMCG categories, price and quality tended to be the most important purchase criteria, followed by function. Brand and design played a more significant role in the purchase decisions for clothes, jewelry and mobile phones. When it comes to loyalty, consumers showed high levels of commitment to certain products within a category, including shampoo, deodorant, coffee and drinks. TV was the most influential source to obtain product-related information on health and beauty and household products, while the internet was the go-to source for mobile phones, personal electronics, home appliances and cars.
So what? With more and more products to choose from and retail channels to buy from, the modern consumer needs to cut through the clutter to find the products that meet their needs. Across countries and categories, media – both traditional and digital – remains a major source for information and inspiration for purchase. The study is limited by the fact that it only asked people what information sources are important to them, but did not observe their actual behavior. For example, while many people say they are not susceptible to advertisements, behavioral research shows that they are. Nonetheless, it is still interesting to see what consumers consider to be the most valuable sources of product information.
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Advertising
Millward Brown: Mobile Audiences Receptive to Marketing When Done Right
Millward Brown recently published a research report on consumer experiences with mobile ads. The top finding was that consumers who participate in reward-based advertising have much higher engagement levels with marketing than those who do not. When comparing ad engagement levels between a group who participated in reward-based ads and those who did not, the participating group was more than twice as likely to click/interact with an in-app ad and 75% more likely to visit the brand's website. Those findings point to the fact that consumers are OK with ads in apps on mobile if they are finding value in it -- here in a very literal sense.
So what? This study from Millward Brown reflects findings of other studies that speak to the importance of interactivity in digital advertising. As advertisers expand their presence within Condé Nast's digital editions, they might find that adding some level of interactive reward within their ads might significantly improve engagement levels.
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Mobile/Tablets
The Majority of American Adults Now Own a Smartphone
56% of American adults now own a smartphone, reports the Pew Research Center. 35% of Americans have a cell phone that is not a smartphone, and the remaining 9% do not own a cell phone at all. Smartphone ownership is particularly high among young adults – 81% of Americans ages 25-34 are smartphone owners. For older adults, household income still plays an important role in smartphone adoption – the higher their income level, the more likely they are to be owners. Android and iPhone owners are equally common within the smartphone owner population as a whole, although this ratio differs across various demographic groups. Those at higher income and education brackets are much more likely to own an iPhone, while African Americans are more likely than whites or Latinos to own an Android device.
So what? As smartphone penetration continues to grow, consumers’ media consumption habits are constantly changing. Visits to our digital properties are becoming increasingly mobile: for example, one in three visits to Glamour and Self are now coming from a mobile phone. Condé Nast is staying ahead of this trend by mobifying our sites and making more digital editions available on iPhones, to ensure that smartphone owners have a unique and satisfying user experience.
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Quick Takes
Tiger Woods is Once Again the World's Highest Paid Athlete
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Nearly One in Five US Households Are Now Broadcast Only
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New Car Sales Were Up 9% in June; Sales Are Up Nearly 8% for the Year
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Americans Watched 20 Billion Online Video Ads Last Month
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Condé Nast
Feedback, questions, ideas for future issues? Please contact:

Phil Paparella
Condé Nast Research & Insights | Associate Director
1166 6th Avenue, 14th fl. | NY, NY 10036 | office 212.790.6044 | philip_paparella@condenast.com

Contributors:
Tamar Rimmon | Senior Manager, Digital Analytics
Robyn Hightower | Manager, Research & Insights