This document summarizes key trends in the 2016 media landscape. It notes that mobile media now accounts for over half of time spent with digital media, with smartphones becoming increasingly important. It also discusses the rise of social media, with users spending over an hour per day on platforms. Major trends highlighted include the growth of mobile and video consumption, the importance of audio streaming via mobile devices, and the increased spending on political advertising and its impact on local media inventory.

1. 2016 Media Landscape
Trends to watch for 2016

2. The number of messages PER DAY the average American sees.

3. Today, people spend more time
per day with digital than any other
medium.
And mobile is taking the lion’s
share of that usage, continuing to
gain TSL share.
Conversely, TV is declining YOY,
being surpassed by digital in 2013.

5. When it comes to consumer trends, nothing is more
important than mobile devices.
Today, mobile now accounts for 51% of time spent with
digital media types.

6. And of U.S. adults who own a smartphone, 7% are “smartphone-dependent.”
12% of African Americans and 13% of Latinos are smartphone-dependent, compared
with 4% of whites.

7. So it should come as no
surprise that mobile now
accounts for 51% of time
spent with digital media
types
And when engaging with
consumers, this is the
most relevant touch point
advertisers can utilize.

8. 83%
of respondents say that
when travelling, their mobile
device is crucial when
deciding where to eat!
As location-based targeting
opportunities grow, mobile
devices are becoming more
influential than the PC when
it comes to making casual
dining decisions!

10. And when discussing
Mobile, it’s hard not to
consider Social Media and
the role it plays in the lives
of consumers.

11. Today, the average user logs 1.72 hours per day on
social platforms alone.
In total time spent, that equates to 28% of all online
activity!

12. That’s because a typical consumer has approximately 7 social apps on their phones.
42 minutes
per day
34 minutes
per day
20 minutes
per day

13. And they are using them to influence the decisions of their peers!

14. Confidential and/or Proprietary - Do Not Redistribute
92% of users read
product reviews
89% of
those users
say that
review
influence
their
purchasing
decisions!
72% of consumers saying they trust online
reviews as much as WOM!

15. But with time spent within social media being so fragmented, how can
marketers make the greatest impact on these social platforms?

16. With
$9.6B being spent in the
U.S. alone.
A 31% increase
from 2014!
In 2015, Social network ad
spending is projected to
hit $23.68B worldwide
across all platforms.

17. Unsurprisingly, Facebook
dominates the paid social
space.
In 2015, the company is
expected to bring in $15.5B in
total ad revenue worldwide.
And with over 1.3B active
users, this platform provides
the most significant opportunity
of any social network to engage
with customers.

18. Twitter is also gaining traction in
the paid social sphere.
The “Holy Grail” of one-to-one
consumer interaction, the
company is expected to bring in
$2.09B in spend this year.
And locally, McDonald’s is playing
in the paid social space as well.

19. Nationally, McDonald’s has gotten into the Snapchat
space by pioneering the app’s new sponsored, location-
triggered filters into the app.
Among younger consumers, social media apps
like Instagram and Snapchat are gaining
momentum as the #2 and #3 most used platforms.

20. This direct link to consumers is part of the
evolution of marketing; allowing brands to work
closely with influencers who then can help them
reach other consumers indirectly.

21. As the social
sphere
continues to
push the
boundaries
Ultimately,
this means
that brands
will have to
“pay to play”!
marketers will
need to
reconsider how
to engage with
its consumers in
this space.

22. Paid social plays a
crucial role in
maintaining a
brand’s reputation
amongst their
followers.
It allows the
message to pop to
the top of the feed,
guaranteeing
eyeballs in this
engaging space.

23. Not only is the social space a
platform to build reputation, it is
also allows brands can maintain
their existing relationships.

24. And while mobile is the most relevant touch point for consumers, video
content still remains on top with digital vehicles accounting for 23% of
time spent with video content

25. Among those digital devices, mobile has grown exponentially and now
accounts for over half of time spent with all digital video consumption.
And it’s not just newer, small-format devices that are
contributing to the rise of digital video consumption.

26. It is projected that 35.5% of Americans will use a Connected TV this year.

27. Locally, the video strategy
has evolved to include the
mobile video tactic. Plus,
the opportunity to insert on
Connected TV is being
explored for 2016!
As video consumption
habits shift into the digital
space, so too should our
strategy follow suit.

28. Probably more pervasive than video content is audio.
Audio is found on just about every digital device a consumer owns; from their phones to
their cars and, now, even their household appliances!

29. But when it comes
to streaming
music, the top
device used by
consumers is
mobile.

30. 83% of online audio
listenership comes from a
mobile device
With the majority of listening
happening in the car while
commuting to/from work.

31. Consequently, Pandora remains the largest player in the
streaming audio space, accounting for 45% of market share.
And across all platforms, the usage skews young.
77% of A12-24 and 61% of A25-54 stream audio
on a weekly basis!
28% above the #2 and #3 players, iHeartRadio and iTunes
Radio.

32. This lends
itself well to
boosting
engagement
beyond a
typical ad.
By integrating social,
they are now able to
create a connection
with consumers
on-the-go.
Brands
continue to push the
envelope when it
comes to creative
uses of outdoor.
But digital
vehicles are not
the only way to
connect with
consumers on
the go.

33. Another OOH technological trend that is boosting engagement is
beacon technology and this is expected to
play a greater role in retail sales moving forward.
Beacon technology
allows mobile apps to
“understand” their
position on a micro-local
scale and deliver hyper-
contextual content to
users based on location.

34. Political Season and it’s Impact
on Local Media

35. A projected $4.4 billion will be
spent on TV during the 2016
election cycle, including
$3.3 billion on local
broadcast alone!
During a political window,
candidates can purchase
inventory at the lowest unit rate
and many DMA’s get political
spending from multiple states.

36. In the Tri-State area,
Primary political windows
are slated March, April
and July with the general
election opening
September 7th.
During these times in
particular, local inventory
will be tight and the
chances of being pre-
empted will increase.
Therefore, staying ahead
of the game and booking
schedule early will be of
the utmost importance in
order to secure inventory.

38. Questions?