Marketing in an_age_of_social_mobility

© comScore, Inc. Proprietary.

Marketing in an Age of Social Mobility

Gian Fulgoni

Executive Chairman & Co-Founder

comScore, Inc.

© comScore, Inc. Proprietary. 2

Topics for Today

Consumers’ Path to Purchase

Rise of the Mobile Consumer

Social Networking and the Mobile

Consumer

Key Takeaways


Data sourced from comScore’s global panel of 2 million Internet users:

360°View of Person Behavior

2 Million Person Panel

CENSUS

Unified Digital Measurement™ (UDM)

Patent-Pending Methodology

1 Million Domains Participating Adopted by 90% of Top 100 U.S. Media Properties

PANEL

PERSON-Centric Panel with

WEBSITE-Census Measurement

Web Visiting &

Search Behavior

Online Advertising Exposure

Advertising Effectiveness

Demographics, Lifestyles & Attitudes

Media & Video Consumption

Transactions

Online & Offline

Buying

Mobile Internet Usage & Behavior

PANEL

V0411 Plus 5 Million TV Set Top Boxes for 3-Screen Measurement

© comScore, Inc. Proprietary. © comScore, Inc. Proprietary.

Consumers’ Path to Purchase

Targeting consumers using the right tools and channels

© comScore, Inc. Proprietary. 5 Source: Google ZMOT Handbook

The Shopper’s Multi-Channel Journey Today: Not so much a funnel,

more like a flight map

© comScore, Inc. Proprietary. 6 Source: comScore Survey – September 2012

comScore asked consumers to rate a wide variety of shopping tools, including

“traditional” tools such as newspapers and TV, as well as digital and mobile

shopping tools

“Traditional”

Shopping Tools

Digital

Shopping Tools

Mobile

Shopping Tools

• Direct mail

• Magazines

• Newspapers

• Radio

• Recommendations

from friends and

family

• Television

• Deal of the day sites

• Digital coupons

• Facebook

• Online circulars

• Online customer

reviews/ratings

• Online search engine

• Printable shopping lists

• Retailer or manufacturer

email

• Retailer website

• Twitter

• Mobile brand websites

• Mobile coupons

• Mobile location-based

services

• Mobile payments

• Mobile retailer websites

• Mobile search

• Retailer smartphone app

• Scannable QR codes

• Text alerts from a retailer

• Use of a smartphone in a

physical store

Shopping Tools Evaluated


Different tools for different purposes…and still an important role for

traditional media

Overall Rankings for Each Tool, by Statement (Ranking among tools, % Top-2 Box, 7-pt scale)

Source: comScore Survey – June 2013

“Saves Me Money” “Saves Me Time” “Helps Me With New

Ideas”

#1 Digital coupons Online search engine Online search engine

#2 Newspapers Recommendations from friends

and family

Recommendations from friends

and family

#3 Online search engine Digital coupons Retailer website

#4 Retailer or manufacturer email Newspapers Online circular

#5 Retailer website Retailer website Newspapers

#6 Recommendations from friends

and family Printable shopping lists Television

#7 Online circular Direct mail Direct mail

#8 Direct mail Online circular Retailer or manufacturer email

#9 Deal of the day Retailer or manufacturer email Digital coupons

#10 Online customer reviews/ratings Online customer reviews/ratings Deal of the day


Retail e-Commerce is on pace to easily eclipse $200 billion in 2013,

with $100 billion of spending through first six months of the year

$42 $53 $67 $82 $102

$123 $130 $130 $142 $162

$186

$100 $30 $40

$51 $61

$69

$77 $84 $80

$85

$94

$103

$58

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013(Q1-Q2)

Retail Travel

Desktop e-Commerce Dollar Sales ($ Billions) Source: comScore e-Commerce Measurement

$72 $93

$117

$143

$171

$200 $214 $209

$228

$289

$256

$158

Bil

lio

ns

($

)

+29%

+26%

+22%

+19%

+17%

+7%

-2%

+9%

+12%

+13%

+26%

+33%

+26%

+28%

+20%

+24% +24%

+13%

+20%

+12%

+6%

+9%

0%

-5%

+10%

+6%

+15%

+9%

+14%

+11%

+12%

+14%

+8%


The e-Commerce growth rate remains well ahead of growth in

consumer s’ discretionary spending

3% 3% 2% 2% 1%

-5% -5% -6% -6%

0% 4%

5% 6%

7% 6% 4% 4%

3% 6%

2% 2% 2% 1%

5%

Q32007

Q42007

Q12008

Q22008

Q32008

Q42008

Q12009

Q22009

Q32009

Q42009

Q12010

Q22010

Q32010

Q42010

Q12011

Q22011

Q32011

Q42011

Q12012

Q22012

Q32012

Q42012

Q12013

Q22013

Quarterly Retail & Food Services Sales Growth vs. YA

(excluding autos, gas and food/beverage)

23% 19%

11% 13%

6% -3% 0% -1%

-2%

3%

10% 9% 9%

11% 12%

14% 13% 14%

17%

15% 15%

14% 13%

16%

Q32007

Q42007

Q12008

Q22008

Q32008

Q42008

Q12009

Q22009

Q32009

Q42009

Q12010

Q22010

Q32010

Q42010

Q12011

Q22011

Q32011

Q42011

Q12012

Q22012

Q32012

Q42012

Q12013

Q22013

Quarterly Desktop e-Commerce Sales Growth vs. YA

Source: comScore e-Commerce Measurement


e-Commerce share of total consumer discretionary spending in Q2 2013

shows nearly a full point increase vs Y/A

4.3%

3.7% 4.0%

4.6%

5.1%

4.3% 4.5%

5.3%

5.9%

5.0%

5.3%

6.4% 6.7%

5.9%

6.3%

7.4% 7.3%

6.5% 6.6%

7.6% 7.7%

6.8% 6.9%

7.7% 8.1%

7.1% 7.1%

8.0%

8.6%

7.7% 7.6%

8.9%

9.4%

8.7%

8.7%

10.0%

10.6%

9.6%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

*Note: e-Commerce share is shown as a percent of DOC’s Total Retail Sales

excluding Food Service & Drinking, Food & Bev. Stores, Motor Vehicles & Parts,

Gasoline Stations and Health & Personal Care Stores.

Desktop e-Commerce Share of Corresponding Consumer Spending* Source: comScore for e-Commerce & U.S. Department of Commerce (DOC) for Retail

e-Commerce share peaks in

colder seasons (Q4 & Q1)

e-C

om

me

rce S

hare


Percentage of Retail e-Commerce Dollars Spent via Mobile (Smartphone & Tablet) Source: comScore E-commerce & M-commerce Measurement

At $4.7 Billion in Q2 2013, m-Commerce accounted for 9% of all

Retail e-Commerce – up vs. year ago despite sequential decline

9%

11% 11% 10%

9% 8%

9% 8%

6% 6%

3% 3%

2%

Q22013

Q12013

Q42012

Q32012

Q22012

Q12012

Q42011

Q32011

Q22011

Q12011

Q42010

Q32010

Q22010

$4.7B


In terms of discretionary spending, m-Commerce growth is

significantly outpacing e-Commerce & Bricks-and-Mortar

+5%

+16%

+24%

+0%

+5%

+10%

+15%

+20%

+25%

+30%

Total Discretionary Retail E-Commerce M-Commerce

Q2 2013 Y/Y Retail Spending Growth by Channel Source: Dept. of Commerce, comScore e-Commerce & m-Commerce Measurement


Rise of the Mobile Consumer

© comScore, Inc. Proprietary. 14 Source: comScore Device Essentials

Smartphones and Tablets have ushered in the Brave New

Digital World: Media Fragmentation is the New Reality

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

U.S

. T

ota

l D

ev

ice

Ow

ne

rs

140 MILLION

60 MILLION

+13%

YoY

+32%

YoY


Smartphones and Tablets have driven a doubling of time

spent with digital media over past 3 years

416 477

81

381

100

May 2010 U.S. May 2013 U.S.

Tablet

Smartphone

Desktop

+93%

Total Digital Media Time Spent (Billions of Minutes) by Platform Source: comScore Media Metrix Multi-Platform, U.S., May 2013 vs. May 2010

+370%

+15%


Engagement with Retail content has seen impressive growth across

all platforms, including desktop

43

34,872

17,136

+104%

+385%

14,475

2,660

12,914

4,966

Feb-2010 Feb-2013

N/A

+17% 16,992

U.S. Retail Site Usage in Minutes (MM) by Platform:

Desktop, Smartphone and Tablet Source: comScore Media Metrix Multi-Platform, U.S., February 2013

* Note: Feb-2010 Mobile is estimated based on earliest observed comScore smartphone

engagement data calibrated by number of smartphone users at that time


Engagement with Coupon sites has seen tremendous growth across

all platforms, including desktop

43

4,929

782

+530%

+385%

172

610

2,962

683

Feb-2010 Feb-2013

N/A

+645% 1,284

* Note: Feb-2010 Mobile is estimated based on earliest observed comScore smartphone

engagement data calibrated by number of smartphone users at that time

U.S. Coupon Site Usage in Minutes (MM) by Platform:

Desktop, Smartphone and Tablet Source: comScore Media Metrix Multi-Platform, U.S., February 2013


Multi-platform: Maps have benefitted massively from phone usage

but desktop access has declined

43

5,811

2,303

Time Spent on Map Sites

(Millions of Minutes) Source: comScore Media Metrix & Mobile Metrix, US

-13%

+152%

+386%

1,406

897

1,217

4,355

239

Feb-2010 Feb-2013

N/A


43

Multi-platform: Desktop consumption of Weather content has declined

markedly, but because of extensive phone use, overall engagement from

digital platforms has increased

Feb-2010 Feb-2013

4,169

3,641

Time Spent on Weather Sites


-46%

+15%

+385%

3,214

427

1,723

2,073

373 N/A


Multi-platform: Engagement with Sports content has seen strong growth

across all platforms, including desktop

43

12,388

7,208

Time Spent on Sport Sites

(Millions of Minutes)

Source: comScore Media Metrix & Mobile Metrix, US

+72%

+385%

6,479

729

3,537

1,052

Feb-2010 Feb-2013

N/A

+20% 7,799


Rise of the Digital Omnivore

On behalf of NBC, comScore measured how

consumers were using multiple platforms to view

Olympic content

The Billion Dollar Research Lab


Billion Dollar Lab Headlines

TV is King

Alternative screens additive

Not a “zero sum game”

Digital complements TV

Social Media amplifies event and engages viewers

Cross Platform and Simultaneous Use

“The New Normal”

^


SOURCE TV: Nielsen Cross Platform Report, US, Q1 2013

SOURCE Internet: comScore Media Metrix Multi-Platform, US, Q1 2013

Total time spent online equals one-third of time spent watching TV,

suggesting need to keep media channels & ad spend in perspective

TV

Internet (Desktop +Mobile)

48,361

16,466

Monthly Total Hours Spent Watching TV vs. Multi-Platform Internet Use in Q1 2013

(Millions of Hours)

Note: TV includes Live and Timeshifted viewing.

Internet includes Desktop, Smartphone and Tablet consumption.

Internet = 33% of time

spent watching TV


4hr 19min 4hr 28min 5hr 6hr 7min

50 min

59 min

55 min 51 min

40 min

47 min

TV Only TV + PC/LaptopOnly

TV + PC/Laptop +Mobile Only

TV + PC/Laptop +Mobile + Tablet

More Screens = More Time Spent on Every Device

Average Time Spent Per Day Following Olympics

4hr 19min

Source: comScore Single Source Multi-Platform Study. A18+. 7/27/12 – 8/12/12. Total Day. Screen Status Definitions: TV+PC Only = Followed the Olympics on TV and

PC but not on Mobile or Tablet, TV+PC+Mobile = Followed the Olympics on TV, PC and Mobile but not on Tablet, TV+PC+Mobile+Tablet = Followed the Olympics on all

4 screens.

5hr 18min

6hr 50min

8hr 29min

TV

Only TV +

PC/Laptop

TV +

PC/Laptop +

Mobile

TV +

PC/Laptop +

Mobile +

Tablet

Tablet

Mobile PC/Laptop

TV


Multi-platform: Simultaneous viewing

Source: comScore Single Source Multi-Platform Study

55%

45%

Men Women

Gender

Age

53% 54% 54%

18-24 25-54 55+

75%

25%

TV Only TV + Second Screen

Device Usage Time When Watching TV

Multi Screen Olympic Viewers (TV + 1 other platform): 100%

Simultaneous Viewers (TV + Second Screen): 54%

Olympics Followers


Watching TV/Video continues to be the fastest growing mobile content

category, increasing 161% in the past year

0

10

20

30

40

50

60

70

80

Fastest Growing Mobile Content Categories by Number of Mobile Subscribers (Millions)

Source: comScore MobiLens, US

Jun-2012

Jun-2013

+161%

+41%

+41%

+39%

+37%

+37%

+37%

+34%

+34%

+32%


Despite increased adoption of showrooming due to mobile

devices, it is not yet an every-day activity for consumers

More than 1 in 3 online

consumers have

showroomed…

However, among these

consumers, most only

showroom ‘sometimes’

or ‘occasionally’

Among smartphone

owners, 40% have

used their phone for

showrooming

Unsurprisingly, most

owners use their

smartphone during

showrooming to search

for better prices (53%

of smartphone owners)

9%

77%

12%

Only for majorpurchases

Sometimes /Occasionally

Often

35%

% who have ever showroomed

Q. Based on this definition, have you ever done this activity? (seen

an item in-store but instead purchased online)

Q. When thinking of your online shopping and the previous

questions, which statement best describes when you use

showrooming?

% among showroomers

Source: comScore Survey – July 2013

Q. For which of the following do you regularly use your mobile

device while showrooming? - Searching for better prices


Social Networking and the Mobile Consumer


170,917

43

15,320

Desktop consumption of Social Networking content has increased, but

because of extensive phone use, overall engagement from digital platforms

has exploded by 143%

Jun-2010 Jun-2013

70,284

Time Spent on Social Networking Sites


+17%

+143%

+385%

50,434

19,850

59,237

96,360

N/A


Social Networking is the sixth most popular mobile activity

0

20

40

60

80

100

120

140

160

180

200

Top Mobile Content Categories by Number of Mobile Subscribers (Millions)

Source: comScore MobiLens, US

Jun-2012

Jun-2013

+6%

+21%

+8%

+23% +20% +19% +15% +23% +19% +22%


21

27

43

24

28

73

7

9

7

8

11

72

18

10

9

29

23

38

Pinterest.com

Tumblr.com

Linkedin

Instagram.com

Twitter.com

Facebook.com

Selected Social Networking Properties Multi-Platform Audiences Unique Visitors (Millions) by Platform

Source: comScore Media Metrix Multi-Platform, US, Jun-2013

Desktop Only Desktop + Mobile Mobile Only

Some social networking properties extend their audience reach significantly

through mobile channels. For many properties, nearly half of their visitors use

mobile, while mobile-only access in a month averages 33%

182

63

61

60

47

46


Mobile devices are a key access platform for many social sites,

representing two-thirds of time on Facebook and nearly all of time

spent on Instagram and Foursquare


1%

3%

10%

17%

35%

66%

70%

83%

99%

97%

90%

83%

65%

34%

30%

17%

PC Share of Minutes Mobile Share of Minutes


The Issue with Fan Page Measurement: Fans Don’t Return to Fan Page


Fans and Friends of Fans exposed to earned brand impressions on Facebook

exhibit higher brand engagement, e.g. site visitation, than the average Internet

user

Why do friends of fans have a higher orientation toward the brand?

1. Birds of a feather flock together

2. Trusted persuasion

Baseline

Internet

User

Friends

Friends

Friends

Source: comScore Social Esessentials May2011


Paid Media Lift: Evidence that Facebook paid ad campaigns can drive

lifts in purchasing – both online and in-store

Retailer Premium Facebook Ad Lift: % of Exposed Group Purchasing Online and In-Store

Weeks 1-4 Following Paid Media Exposure

Source: comScore AdEffx Action Lift, U.S., Sept-Dec 2011

0.19%

0.38%

0.49% 0.61%

0.11% 0.20%

0.32% 0.39%

0.46%

0.84%

1.18%

1.47%

0.37%

0.69%

1.00%

1.27%

0.00%

0.40%

0.80%

1.20%

1.60%

Week 1 Weeks 1-2 Weeks 1-3 Weeks 1-4

% R

ea

ch

of

Ex

po

se

d a

nd

C

on

tro

l G

rou

ps

Online - Exposed Online - Control In-Store - Exposed In-Store - Control

+16%

+56%


The vast majority of Pinterest users are women, making it an ideal site for merchants in the apparel, home furnishings and food markets

Pinterest.com Audience Composition by Gender


29% 34%

20%

71% 66% 80%

Total Digital Desktop Only Mobile Only

Female

Male


Key Takeaways

While the consumer’s path to purchase has been disrupted by digital

technology, there is still a prominent role for traditional media.

Mobile devices have exploded onto the scene but have not yet been

integrated into consumers’ path to purchase in the same manner as

traditional and other digital media.

But it’s just a matter of time!

E-Commerce growing 3X faster than all consumer spending and now

accounts for $1 in every $10 of consumers’ discretionary spending.

Social networks have become mainstream and offer a myriad ways for

marketers to reach consumers.

Mobile devices now account for a substantial portion of the time spent on

social networking sites.

Advertising on Facebook has been proven to lift consumer buying

Keep a close eye on Pinterest!

© comScore, Inc. Proprietary.

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