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Spending on TV grew 8% in 2010: Neilsen Research
Spending on TV grew 8% in 2010: Neilsen Research
By: iMedia News Bureau

In this ever changing world nothing is constant and media is an interface that well defines dynamism. Old media and new media in union or intersection largely showcase number of changing trends that the consumer today is undergoing. Several reports are published every day commenting and highlighting the usage of various medium and how the audience is reacting to this interface.

Consumer’s craving for media continues to grow. Advent of 3G along with new and enhanced technologies only stimulate the demand for video content. As a global trend it is being observed that an average viewer watched 34 hours 39 minutes of TV per week in Q4 2010, a year-over-year increase of two minutes. The heaviest users of traditional TV are adults 65+ (47 hours 33 minutes per week), followed by adults 50-64 (43 hours per week). Trailing all other age groups, teens age 12-17 watch the least amount of TV (23 hours 41 minutes per week).

The increase in viewing time indicates that more and more people remained hooked on to television creating a fruitful avenue for advertisers to exhibit their brands and plan to leave the television budget alone and untouched. Over the 2010-2011 TV seasons, several trends have emerged in what and how consumers are watching.

According to a report by Neilsen timeshifting continues to be a significant factor in how consumers watch TV, especially with the increase in DVRs possessed by various househols. In Q4 2010, the heaviest timeshifters were adults 35-49, watching 3 hours 8 minutes of timeshifted TV a week. Teens ranging from age 12-17 watch the least amount of timeshifted TV per week, just 1 hour 31 minutes and the adults age 18-24 are close behind, watching 1 hour 32 minutes of timeshifted TV per week I US. With the recording options available with Indian audiences as well and all the DTH companies using it as a USP, Indians will soon get into this habit of timeshifting and which will lay emphasis on how they are consuming TV content. The report further reveals that Hispanic TV households own the fewest DVRs. As of February 2011, 28.8% of Hispanic TV households owned a DVR, whereas 36% of Asian TV households owned a DVR.

Mobile Video viewing has increased 41 percent from last year. The heaviest users of mobile video are teens ages 12-17 who watch 7 hours 13 minutes of mobile video a month. In Q4 2010, 301 million Americans used a mobile phone; 24.7 million mobile subscribers watched video on a mobile phone, a 41% increase from last year. The growing popularity of mobile video is due, in part, to the rapid adoption of media-friendly mobile devices, including smartphones, which make up 30% of the marketplace. Mobile subscribers on average watched 4 hours 20 minutes of mobile video a month (Q4 2010). Younger consumers ages 12-17 are the heaviest mobile video viewers, watching 7 hours 13 minutes of mobile video a month (Q4 2010).

Viewing video online also continues to increase. In January 2011 143.9 million Americans viewed video online. 143.9 million Americans viewed video online in January 2011, spending an average of 4 hours 39 minutes viewing video on PCs/laptops.

The TV audience for sports is expanding. Sports telecasts continue to drive large—as well as lucrative—audiences. World Cup 2011 became the most viewed online property also advertisers had to pay record breaking money to have their brands on board. The audience overlap between visitors to network and broadcast media sites and social networking & blog sites is significant. In January 2011 alone, 49 percent of social networking & blog site visitors also visited TV network and broadcast media sites. In January 2011, 40% of Americans active online (79.5 million consumers) visited TV network and broadcast media sites. During that same time, 49% of Social Networking & Blog Site visitors, also visited TV network and broadcast media sites. Social Networking & Blog Site visitors account for 151.7 million.

Television advertising spend was the largest medium for all ad spending in 2010, accounting for $69 billion. Spending on TV grew 8% in 2010. Ad dollars spent in primetime specifically increased 6% from 2009 to $20 billion, accounting for 43% of spending. Ad dollars spent in primetime specifically increased 6% from 2009 to $20 billion, accounting for 43% of spending.

The 30-second commercial remains the television advertising standard in primetime, accounting for 53% of all commercials (2010). However, commercials are getting shorter; the number of commercials 30-seconds or less increased 12%, while the number of commercials 35 seconds or more decreased 6%. Commercials that air during drama/adventure shows generate the strongest brand recall, as consumers who are engaged in the programming also remain attentive during the commercials. Reality shows follow, with relatively stronger brand recall than sitcoms.

 

Tags: Television, Timeshifting, 3G, DVR, Smartphones, Video Online, Advertising, Sports Telecasts, Brand Recall, Commercials