MULTINATIONAL DELOITTE SURVEY FINDS MILLENNIALS VIEW THEIR COMPUTER AS MORE OF AN...
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MULTINATIONAL DELOITTE SURVEY FINDS MILLENNIALS VIEW THEIR COMPUTER AS MORE OF
AN ENTERTAINMENT DEVICE THAN THEIR TELEVISION
State of the Media Democracy 2009 Survey Reveals Global Media Consumption
Trends Ranging from Advertising Effectiveness to Digital Content Creation
LAS VEGAS, Jan. 7 /PRNewswire/ -- According to a soon-to-be released
multinational survey commissioned by Deloitte, three-quarters of Millennials
(ages 14 to 25) view the computer as more of an entertainment device than
their television. Across borders and cultures, these prized young consumers
are demonstrating striking similarities in their media consumption preferences
and behaviors -- truly a "global early-adopter generation."
Deloitte's third edition State of the Media Democracy survey assesses the
preferences of more than 8,800 consumers, ages 14 to 75, from Brazil, Germany,
Japan, the United Kingdom and the United States, on a variety of topics that
range from the impact of online and offline advertising to the rise of
user-generated content on the Internet to the significant use of cell phones
as an entertainment platform. Select survey findings will be released
tomorrow at the 2009 International Consumer Electronics Show (CES) in Las
Vegas, Nevada.
Across the five surveyed countries, Millennials are the most active in gaming,
music and Internet use for socializing. Eighty percent of Millennials are
regularly searching, downloading and listening to music over the Internet,
while 73 percent are also regularly socializing online (via social networking
sites, chat rooms or message boards). Additionally, the majority of
Millennials -- 59 percent on average -- use their mobile phone as an
entertainment device, versus an average of 33 percent of all consumers. At
the same time, they are spending one-third less time watching their television
than are other generations.
"It's clear that Millennials are influencing the evolution of digital content,
and technology in general, on a broad, international scale," said Ed Moran,
Deloitte director of product innovation. "This generation of consumers was
the first to be raised on the Internet and is united across borders and
cultures by their digital media preferences, so the implications for global
marketers are unprecedented."
"The growing influence of Millennials is clear: they are influencing both the
industry landscape and the media consumption habits of other generations,"
said Ken August, Deloitte vice chairman and U.S. Media and Entertainment
leader. "What is less clear is the degree to which Millennial spending power
will ebb with the economic sea change we're experiencing. Boomers (ages 43 to
61) already possess more discretionary income than any other generation.
While marketers have always been aware of the Boomers' importance, focus on
this age cohort may well increase on a relative basis in the future,
significantly reworking the traditional marketing script."
Additional survey findings also include:
TV Advertising Reigns Supreme, While Online Advertising Vies with Newspapers
and Magazines
Consumers across geographies rank television advertising as having the most
impact on their buying decisions. Magazine, online and newspaper ads occupy a
second tier of influence across all countries -- with radio advertising
influence only placing as high as fifth. According to the survey, online
advertising ranks as the second most influential in Germany (57 percent) and
Japan (61 percent). The United States (48 percent), United Kingdom (45
percent) and Brazil (45 percent) rank online advertising as the third most
influential, behind magazine advertising.
A small but notable percentage of consumers surveyed in all five countries
consider cell phone advertising the most influential form of advertising --
ranking as high as fifth in Brazil (19 percent). In Japan, ads in blogs are
rated as fifth most influential (13 percent), while in the United Kingdom, ads
in video games and social networking sites are tied for ninth most influential
(6 percent). German consumers rank billboard or outdoor advertising as sixth
most influential (21 percent). Search engine results and banner advertising
are the two most influential forms of internet advertising across all five
countries.
"It really is the best of times and the worst of times for advertisers," said
Moran. "Never have there been more, or more measurable ways to reach a
consumer with your message -- television, online, magazines and social
networks are all potent platforms. But effectively leveraging these media
platforms requires companies to understand emerging consumer preferences,
behaviors and technologies and to employ new tactics when targeting these
consumers on a global level."
The Cell Phone as an Entertainment Device
Cell phones have evolved from being a status symbol for the business elite to
a ubiquitous multifunctional accessory. A third of consumers surveyed across
all five countries state that they use their cell phone as an entertainment
device -- nearly 50 percent in Brazil, 34 percent in Japan, 33 percent in the
United Kingdom, 32 percent of in the United States and 26 percent in Germany.
Camera and text messaging are the most commonly used phone features overall,
except in Japan where e-mailing is much more common than texting (88 percent
versus 31 percent of Japanese consumers using these features
frequently/occasionally).
Across all countries, consumers surveyed are using their cell phones to watch
user-generated videos (like YouTube) -- 20 percent in the United Kingdom and
United States -- as well as professionally created content (TV, movies, news)
-- 33 percent in Japan. Early-adopter Millennials are the primary drivers of
beyond-just-calling feature applications -- texting, video, gaming, music
downloading and listening and social networking.
Digital Demand Will Create New Revenue Opportunities for Technology Vendors
Rising consumer demand for digital content -- from numerous sources, in
different formats, and across multiple platforms -- will create a new revenue
stream for technology vendors as new distribution infrastructure is built out.
Television remains the top choice across all five countries for video viewing
but the personal computer, cell phone and handheld portable devices are
gaining in popularity among video consumers. Consumers surveyed not only view
video on all these devices, but also watch television programming and download
music, and they want the ability to move that content to any device
seamlessly. Seventy-five percent of respondents in Brazil want this ability,
as do 49 percent in both the United States and Japan, 44 percent in the United
Kingdom and 31 percent in Germany.
To access much of that content, consumers spend a lot of time online. In a
typical seven-day week, consumers surveyed in Germany are online for just
personal interests/social reasons 11.3 hours per week, compared with 12 hours
in the United States., 13.2 in the United Kingdom , and 16.4 in Japan. The
most eye-opening comparison came from Brazil -- where consumers spend
approximately 9.8 hours a week watching television but almost double that --
19.3 hours a week -- pursuing personal/social interests online.
Deloitte Leaders to Discuss Findings at 2009 International CES Show
State of the Media Democracy survey findings will be discussed first-hand by
Deloitte executives at the 2009 International Consumer Electronics Show on
January 7-9. If you are a member of the press and wish to schedule a meeting,
please contact Stacy Schwartz (contact information above). If you are a
client or prospective client and wish to schedule a meeting, please contact
Jodi Gray (408-704-2051 or jogray@deloitte.com).
Additionally, Ed Moran will be moderating a SuperSession panel based on the
survey findings, which will be sponsored by Daily Variety. "The Great Rewrite:
How Digitization and Changing Consumer Behaviors are Revising the
Entertainment Industry's Script" will take place Friday, January 9 from 10:30
a.m. to 11:30 a.m. at LVCC North Hall (N255-257).
About the Survey
Deloitte's third edition State of the Media Democracy survey - now for the
first time factoring in multinational survey respondents - was commissioned by
Deloitte's Media and Entertainment practice and conducted by Harrison Group,
an independent research company, between September 17 and October 20, 2008.
The online survey polled 8,824 consumers between the ages of 14 and 75, across
five different countries: Brazil, Germany, Japan, United Kingdom and the
United States. The survey results have a margin of error of plus or minus
five percentage points. For more information on Deloitte's State of Media
Democracy survey, please visit http://www.deloitte.com/us/realitycheck.
About Deloitte
As used in this press release, "Deloitte" means Deloitte LLP and Deloitte
Services LP, a separate subsidiary of Deloitte LLP. Please see
www.deloitte.com/us/about for a detailed description of the legal structure of
Deloitte LLP and its subsidiaries.
Charles Zinkowski Stacy Schwartz
Hill & Knowlton Hill & Knowlton
(212) 885-0630 (office) (310) 633-9455 (office)
(917) 332-7547 (cell) (310) 766-0328 (cell)
charles.zinkowski@hillandknowlton.com stacy.schwartz@hillandknowlton.com
SOURCE Deloitte
Charles Zinkowski, +1-212-885-0630, cell, +1-917-332-7547,
charles.zinkowski@hillandknowlton.com, or Stacy Schwartz, +1-310-633-9455,
cell, +1-310-766-0328, stacy.schwartz@hillandknowlton.com, both of Hill &
Knowlton
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