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WHAT’S ON THEIR SCREENS. WHAT’S ON THEIR MINDS. Reaching & Engaging The Multi-Screen Consumer.
MAY 2010
advertising.microsoft.com/multi-screen
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Overview
Exploring A Multi-Screen World Time and place are no longer constraints when it comes to engaging with media, discovering and researching brands, and making purchase decisions. A recent study by Microsoft Advertising explored the behaviors and attitudes among consumers who use multiple screens to engage with media.
The Multi-Screen World: Marketing At The Crossroads Today’s consumers are empowered to take charge of the ways they interact with media—at home, at work, and everywhere in between. And as an ever-expanding universe of content and more powerful technologies continue to change the media landscape, marketers are challenged with making sense of it all. But as consumers’ behavior evolves, marketers have a rich opportunity to reach and engage them across multiple devices with impactful experiences that strengthen brands and produce business results. Understanding the way consumers use media and their attitudes about media and advertising will help marketers develop a strategy for engaging consumers in our multi-screen world. Ultimately, that knowledge can help marketers send more powerful and relevant messages than ever before.
Profiling The Multi-Screen Consumer Microsoft Advertising, in partnership with Wunderman (a WPP company), conducted a research study to explore the behavior and attitudes of Multi-Screen Consumers—people ages 18–64 who actively use TVs, computers, smartphones, and video game consoles to consume media. The study surveyed 1,200 of these consumers across the U.S. in the spring of 2010.
Research Findings Rapid adoption of digital technologies and devices is driving convergence as consumers use several screens to perform the same activities. And yet, we also see that each screen serves its own purpose— but that all of the screens consumers use work together to form a cohesive experience. The purchase funnel as we know it has changed. Multi-Screen media consumption means that purchase decisions take different paths, and each screen plays a critical role. Multi-Screen Consumers value connected experiences across the screens they use, and they have high expectations for the future of media and advertising experiences. Through multi-screen campaigns, marketers have the unique opportunity to engage their audiences with the right tone and message in the right environment—ensuring greater relevance and results.
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The Multi-Screen Consumer
Who Is The Multi-Screen Consumer? A recent Microsoft Advertising study surveyed more than 1,200 “Multi-Screen Consumers” to better understand their media behaviors and attitudes. A Multi-Screen Consumer is defined as an adult between the ages of 18 and 64 who has and uses a TV, computer, and smartphone, and who also accesses the internet at least 2–3 times each week using both their computer and smartphone. An estimated 33 million Americans with internet access are considered Multi-Screen Consumers.*
Embrace A Media Lifestyle The average Multi-Screen Consumer spends 54 hours a week engaged in activities on media devices.
Profile of Multi-Screen Consumers: Indices Compared to General Population EDUCATION College 159 No College 30
A High-Value Audience Compared to the 18–64 year-old general population, Multi-Screen Consumers: • Have both a higher discretionary income and a higher mean household income. • Are better educated, and more likely to have attended college.
AGE 18–24 years old 112 25–34 years old 90 35–49 years old 87 50–64 years old 117 GENDER Female 90 Male 111
• Are slightly more likely to be employed.
The sample included Gamers, both those whose gaming consoles do not have online gaming capabilities (9.9 percent of total sample), and those who do, such as Xbox 360 and PlayStation 3 (4.5 percent of total sample). They are referred to as “Online Gamers” throughout this paper.
EMPLOYMENT STATUS Employed 112 Not Employed 78 HOUSEHOLD INCOME Median household income 126
Gen Pop Data Source: U.S. Census, American Community Survey
* Estimation based on data from ‘2009 Nielsen Online and Broadband Usage Study’ and U.S. Census Data.
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The Multi-Screen Reality Convergence: The Sweet Spot Of Multi-Screen Multi-Screen Consumers, who used to turn to specific screens for specific activities, are increasingly engaging in activities across multiple screens. Convergence occurs as the functional benefits of each screen come together. Individual activities, from social networking to playing games to watching news highlights, are no longer restricted to a single screen.
A Perceptual Map: Where Screens And Activities Fall In The Minds of Consumers The chart below represents the screens most used to perform specific activities within the past 30 days, with the distances between activities and screens indicating the extent to which they are correlated. Activities are found closest to the screens that they are most often performed on. Also, a screen is located closer to another screen when the two share a number of common activities, as is seen with the computer and smartphone.
Sent a link with content to person Sent an instant message Used a social network site Posted a comment on a blog Posted a product/service review online
Sent an email
SMARTPHONE SCREEN Made a purchase online Watched a user-generated video
COMPUTER SCREEN Played a game installed on a device (not connected online)
Played a game online
Key Observations: Watching video is the activity that comes closest to being a three-screen activity, as it is closely associated with computer, TV, and smartphone usage. The computer is the device that has converged most with other media devices. Multi-Screen Consumers define the role of the gaming console strictly by its recreational heritage. However, Online Gamers view it as having more expansive uses, such as watching video and accessing social media to engage with others.
Watched any kind of video
Watched a TV show or movie Ordered a movie or TV show on demand
TELEVISION SCREEN
GAMING CONSOLE SCREEN Used a TiVo or DVR
Marketer Opportunity Video is a compelling format to tell a cohesive story and drive engagement across all screens.
Individual Media Devices Remain Important In A Multi-Screen World Despite convergence, the activities Consumers most associate with individual devices indicate that they are considered to retain primary uses in their minds. TV The role of TV is generally limited to entertainment. It is typically seen as a lean-back screen, rather than an interactive one. It is important to note that half of Consumers use a DVR/TiVo and over one-fourth watch content on-demand, indicating that they prefer control in this environment as well.
Smartphone Users rely on the phone to stay in touch, not only through talk and text, but nearly half of Consumers also use it to connect with social networking sites. A full 70 percent use it to search for information on the go, indicating it is also seen as a primary resource for information, much like the computer.
Computer The computer is the device with the most utility. While it is still used for productivity tasks, it is also used for entertainment, socializing, and making purchases.
Gaming Console The gaming console is primarily used for entertainment. But 23 percent of Online Gamers also use it to watch video. Thirty-nine percent of Online Gamers also use their consoles to socialize, demonstrating that the console can be a communication device, not just a gaming device.
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The Multi-Screen Reality
Reach Them While They’re Young Younger Multi-Screen Consumers are an extremely promising audience segment. They spend more time with media and perform more interactive activities on devices across more screens.
Multi-Screen Media Are A Key Component Of Young Consumers’ Lives Younger Multi-Screen Consumers devote more time to using media devices to perform specific activities, from sending email to gaming to communicating with others. Consider this: Consumers 35 years or older spend approximately 49 hours per week using media devices to complete activities. In contrast, 18–24 year-olds spend 60 hours, and 25–34 year-olds rack up an impressive 67 hours per week. Older Consumer = Passive Viewer Older Multi-Screen Consumers are more likely than younger Consumers to use media to watch TV shows, movies, news, or sporting events, or simply read the news online. They are more likely than younger users to have mostly passive interactions with media. Younger Consumer = Active Viewer Conversely, younger Multi-Screen Consumers enjoy more interactive experiences with media. For instance, 18–34 year-olds are more likely to use media for interactive activities, such as shopping online, communicating with others through social networks, playing games, and sending instant messages.
Activities of Multi-Screen Consumers In Past 30 Days (Percent)
Average # Hours/Week In Each Activity
Ages (18–24)
Ages (25–34)
Ages (35–64)
Ages (18–24)
Ages (25–34)
Ages (35–64)
Made a purchase online
70
71
75
1.5
1.9
1.1
Watched any kind of video
74
75
71
3.6
3.0
2.2
Communicated with people through a social network site
76
71
65
5.3
4.5
2.9
Watched a user-generated video
72
70
64
2.6
2.5
1.2
Sent an instant message
62
61
53
3.8
3.3
1.4
Played a game online
66
63
47
3.5
5.3
2.5
Activities Of Multi-Screen Consumers By Age
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The Multi-Screen Reality
Gamers Are Game Changers A promising segment within Multi-Screen Consumers is Online Gamers, those who use either Xbox 360 or PlayStation 3 to play games and connect online. Of all Multi-Screen Consumers, Online Gamers currently have the most connected experiences across the computer, TV, and smartphone screens.
Consume More Media Online Gamers spend slightly more time engaging with media to perform activities each week than other Multi-Screen Consumers, approximately 57 hours per week (vs. approximately 54 hours for all Multi-Screen Consumers). Consume Less Lean-Back Media Online Gamers spend less time absorbing content in a lean-back environment (e.g., watching TV and movies) than all Multi-Screen Consumers. They spend more time interacting with content and connecting with others as they play games, send text messages, post reviews, or comment on blogs. Lead Convergence More than other groups, Online Gamers are performing activities on multiple screens. Convergence among devices is happening more quickly among this segment. For them, watching videos has already become a three-screen activity, fully experienced through the computer, TV, and smartphone. Are Social Influencers Online Gamers spend more time than other Multi-Screen Consumers engaging in activities that allow them to express their opinions and influence others, such as posting product and service reviews and commenting on blogs. They share their opinions and converse with others across all media devices. Forty-four percent of Online Gamers connect to others through their gaming console. Live Outside The Box Online Gamers have turned the TV screen into an interactive and social screen as they experience it through gaming consoles. They believe that gaming consoles provide media experiences that are interactive (66 percent) and social (39 percent).
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Attitudes Toward Media Device Usage
Each Screen Has A Distinct Personality While convergence is occurring between the ways that screens are being used, Multi-Screen Consumers still think of each screen as having its own distinct personality. These personalities have implications for the Consumer’s state of mind when engaging with media and advertising on each screen.
Computer: An Entertaining Way To Get Things Done The computer is still seen as an ‘informative’ (67 percent) and ‘productive’ (65 percent) engine, but it has lost its purely pragmatic and functional stigma. Instead, it is associated with a wide range of attributes outside the realm of efficiency, including being ‘entertaining’ (58 percent) and ‘fun’ (58 percent). It is even more ‘fun’ than TV (58 percent vs. 48 percent). The computer is about more than getting things done, and Consumers want to be engaged as they interact. Smartphone: Trendy, Smart, Sophisticated The smartphone is largely viewed as being ‘cool’ (61 percent), ‘stylish’ (59 percent), and ‘trendsetting’ (59 percent). Also, Multi-Screen Consumers see the smartphone as being as ‘intelligent’ (56 percent) as the computer, and the most ‘sophisticated’ (54 percent) of all of the devices. Multi-Screen Consumers believe it has evolved with the times to stay relevant to their needs and, consequently, expect their interactions with content on this device to be equally progressive. Gaming Console: The Fun Way To Connect Among Online Gamers, the gaming console is viewed as being ‘fun’ (71 percent), ‘entertaining’ (65 percent), and ‘engaging’ (50 percent), and is the most ‘fun’ and ‘engaging’ of all the devices. While it is slightly less ‘entertaining’ than TV, it is unique in that it is a more interactive and engaging form of entertainment. It also differs from TV because it is a ‘sociable’ (42 percent) device that allows Consumers to feel connected to others. TV: The Lean-Back Medium TV is most associated with entertainment (69 percent). Yet unlike the gaming console, it is not seen as a ‘fun’ device and is actually the least engaging media device. Only 38 percent of Multi-Screen Consumers consider it to be ‘engaging.’
Marketer Opportunity Leverage creative and tonality that reflect the personality of the individual devices to better resonate with consumers’ expectations for individual devices and their state of mind when using them.
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Attitudes Toward Media Device Usage
Screens Play Well With Others Convergence has not led to cannibalization among media devices because no two devices fully meet the same set of needs and provide identical benefits. Rather, all screens work together to complement each other and create a more robust experience.
Computer & Smartphone: The Dynamic Duo Both the computer and smartphone meet Consumers’ informational needs. Yet the computer provides a more productive/efficient experience with an excellent screen or picture, while the smartphone experience is more personalized and convenient.
Is productive/efficient (80 percent) Has an excellent screen or picture (76 percent)
TV & Gaming Console: Sit Up And Play Or Kick Back And Watch While both the TV and gaming console provide entertainment, the TV experience is seen as more lazy while the gaming console entertainment experience is interactive and social.
Is a ‘lazy’ device (38 percent)
Meets Informational Needs Both the computer and smartphone are used to: Learn more about brands/products/services (88 percent and 36 percent) Pass along information (83 percent and 75 percent)
Entertainment: Both the TV and gaming console are used for entertainment (78 percent and 71 percent)
Find out information in real time (81 percent and 62 percent)
Is personalized (79 percent) Provides convenience (84 percent)
Provides interactive experience (68 percent) Used to socialize (39 percent) Allows me to connect with a wide range of people (44 percent)
n=1240 (Gaming console rated only by Online Gamers, n=500)
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Opportunity: Creating Connected Experiences
Turning Learning Into Better Results The purchase funnel as we know it has changed. Multi-Screen media consumption means that every purchase decision takes a different path, and each screen plays a critical role. Digital screens should not be restricted to lower-funnel marketing objectives—they produce results across the entire funnel. Each screen has unique potential to deliver impactful experiences that drive awareness and strengthen brand measures. Digital screens, especially the computer and smartphone, remain vital resources for Consumers as they build preferences and make purchases.
1. Generating Brand Awareness
2. Building Consideration And Preference
3. Encouraging Purchase
Impactful brand stories can be told across all screens
All screens act as decisionmaking resources
Computer and smartphone are key points of purchase
• All media devices are associated with entertainment and storytelling, as evidenced by video being a three-screen activity.
• The computer remains the primary vehicle for learning about brands, products, and services (88 percent), but the TV (32 percent), smartphone (36 percent), and even gaming console (11 percent) are also being leveraged.
• 89 percent of Multi-Screen Consumers have made a purchase via their computer, and 30 percent have done so on their smartphone.
• Connected experiences across media devices improve Consumers’ perceptions of the content provider.
• The smartphone is frequently used to make buying decisions when Consumers are away from home (65 percent); it is most often used to make decisions about restaurants, theaters, and entertainment.
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Opportunity: Creating Connected Experiences
Many Screens, Singular Consistency Although Multi-Screen Consumers believe that individual media devices have a unique function, personality, and purpose, they expect their media experiences across screens to be consistent and connected.
69 percent of Multi-Screen
Consistency Exists Today Currently, Multi-Screen Consumers report a very consistent experience across devices (59 percent) and feel they can access similar content from any device (64 percent).
Consumers believe that being able to access similar content across screens makes the content more useful and their media experience more relevant and informative.
The Value Of Connected Experiences Across Screens Multi-Screen Consumers crave a connected experience across devices and believe that it provides numerous benefits, including making the content more useful (69 percent) and their media experience more relevant and informative (69 percent). Younger Multi-Screen Consumers are most likely to value consistency across screens, believing that it greatly improves their media experience. Seventy-five percent of 18–24 year-olds believe having the ability to access content across multiple screens makes content much more useful.
Marketer Opportunity Marketers can boost their audience’s opinions about them by providing consistent experiences across multiple screens—from the content that they make available to the advertising that they employ across screens.
More Consistent Experiences Improve Opinions Of Media Providers Multi-Screen Consumers think more favorably of content providers that deliver similar content across multiple media devices, with 62 percent of Multi-Screen Consumers and nearly 75 percent of Younger Consumers saying that a consistent experience generates positive feelings about the provider. Reactions To Multi-Screen Experience Top-2-Box (Agree Completely/Somewhat) Ratings Of Agreement (Percent)
61 64 58
71 67 61
75 73 66
72 71 67
74 72 56
71 68 61
I have a very consistent experience across the various types of screens I use
Can access similar content across any of these screens
Ability to access similar content across multiple screens makes content much more useful
Ability to access similar content across multiple screens makes my media experience more relevant and informative
Being able to access similar content across multiple screens improves my opinion of the content provider
Though different screens work differently, they combine to provide a cohesive experience
Ages 18–24 (n=253)
Ages 25–34 (n=259)
Learn more: advertising.microsoft.com/multi-screen
Ages 35–64 (n=728)
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Opportunity: Creating Connected Experiences
Getting Your Message Across How They Feel About What You’re Saying Across all screens, Multi-Screen Consumers report that advertising that is both targeted and relevant improves their media experience.
18–34 Year-Olds Like Advertising. They Really Do. 18–34 year-olds are more accepting of advertising on the computer, smartphone, and gaming console than their older counterparts. For this younger segment, value is key; show them value and they will be willing to listen. Compared to 35–64 year-olds, 18–34 year-olds are more likely to: • Find ads fun to watch on a computer (36 percent vs. 22 percent), smartphone (32 percent vs. 16 percent), and gaming console (36 percent vs. 14 percent). • Like ads on their computer (33 percent vs. 19 percent), smartphone (29 percent vs. 13 percent), and gaming console (32 percent vs. 11 percent). • Believe ads are more meaningful and relevant across all screens: computer (40 percent vs. 25 percent), TV (52 percent vs. 40 percent), smartphone (30 percent vs. 14 percent), and gaming console (34 percent vs. 12 percent).
Attitudes Toward Advertising On Each Device Top-2-Box (Agree Completely/Somewhat) Ratings Of Agreement (Percent Of Multi-Screen Consumers Ages 18–49) Most Positive Reaction
Most Negative Reaction
32 54 28 30
29 46 25 26
54 64 39 31
35 48 25 27
50 54 40 33
36 29 43 38
58 43 62 43
Are fun to watch
I like ads on my (device)
Regularly notice it
More meaningful and relevant
Helpful if targeted to my preferences
I rarely notice it
Very annoying
Computer
TV
Smartphone
Learn more: advertising.microsoft.com/multi-screen
Marketer Opportunity Multi-Screen Consumers are open to advertising that is informative and relevant. Marketers have a rich opportunity to effectively engage consumers with stronger creative and storytelling on screens beyond the TV.
Gaming Console
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Opportunity: Creating Connected Experiences
Consumers Are Looking To You For Bigger And Better Ideas Multi-Screen Consumers feel that the media and advertising industries are successfully delivering valuable experiences across devices today. Nevertheless, they expect substantial improvements in media and advertising content in the future. Eight in ten Multi-Screen Consumers expect significant improvement in the delivery of media and advertising across devices. An equal number believe that future improvements will increase their engagement across different devices.
The More Connected The Consumer, The Greater The Expectation Younger Multi-Screen Consumers and Online Gamers, the most active segments, are especially satisfied with today’s connected experiences. They are also the most optimistic and have the highest expectations for improvements in media and advertising experiences in the future.
Expectations For Future Advancements In The Delivery of Media & Advertising Across Different Devices (Percent)
40 33 35 34
54 51 49 36
Tremendous improvements
Improvement
5 13 11 14
2
3
5 16
Gradual improvements
Little or no improvement
Ages 18–24 (n=253)
Ages 25–34 (n=259)
Ages 35–49 (n=369)
Ages 50–64 (n=359)
Expectations For How Future Advancements In Media & Advertising Will Increase Their Engagement Across Different Devices (Percent)
34 28 28 26
54 52 51 35
9 16 14 23
3
3
7 16
Tremendous improvements in engagement
Improvement in engagement
Gradual improvements in engagement
Little or no improvement in engagement
Ages 18–24 (n=253)
Ages 25–34 (n=259)
Ages 35–49 (n=369)
Ages 50–64 (n=359)
Marketer Opportunity Consumers have high expectations for marketers today and in the future. Developing a strong multi-screen advertising strategy that creates a consistent experience across screens can improve audience perceptions about your brand.
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What It All Means
Translating Consumer Behavior Into Marketing Strategy Advancements in technology are shaping the way media is consumed. Screens are used in multiple ways, providing multiple opportunities for marketers. More than ever, an intimate knowledge of Multi-Screen Consumers and their multifaceted use of digital screens is required.
Consumers have high expectations for marketers and their messages today and in the future. That makes developing a strong multi-screen advertising strategy a key to future success. To improve your target audience’s perceptions about your brand, it’s important to give them information they can use—in the right tone given their environment—wherever they are, however they engage. Multi-Screen Consumers highly value experiences that are cohesive and connected across the screens that define their media experiences. By working with the right media partners, marketers ensure that all of the touch points through which consumers experience their brands are meaningful, relevant, and consistent. • Sixty-nine percent of Multi-Screen Consumers believe that being able to access similar content (media and advertising) across screens makes the content more useful and their media experience more relevant and informative. Marketers and Agencies need to work with their media partners now to stay in tune with this shifting behavior to ensure they are meeting—and even exceeding—consumer expectations for how they want to engage and learn about brands and products relevant to them.
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Learn More For more information on how advertisers are executing multi-screen campaigns to engage with consumers, visit us at www.advertising.microsoft.com/multi-screen. Methodology Microsoft Advertising partnered with Wunderman (a WPP company) to conduct a deep dive into the attitudes and behaviors of Multi-Screen Consumers. The survey was conducted from March 29 to April 5, 2010. Respondents were drawn from the online panel of Survey Sampling, Inc. with results tabulated by Russell Research. About Microsoft Advertising Microsoft Advertising provides advertisers and publishers with media, tools and services designed to drive deep and profitable engagement with their audiences. This includes a global media network of Microsoft properties such as MSN, Windows Live, Bing, Xbox LIVE, and partner properties such as WSJ.com and Verizon. The Microsoft Advertiser and Publisher Suites simplify planning and management of campaigns and content, offering a range of services that help advertisers and publishers untangle the complexities of digital media and get more out of their marketing and content investments. Microsoft Advertising makes buying and selling media simple, smart and cost-effective across media and devices spanning 42 markets and 21 languages.
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