Styleguide ProSiebenSat.1 Media AG

Beyond Broadcast
Innovative models of content delivery
Heiko Zysk, VP Governmental Relations & Head of European Affairs
ProSiebenSat.1 Media AG | January 2015
| January 28, 2015
Page 1
TV dominates media consumption in Germany while
digital is highly fragmented
Monthly net reach and usage duration 2014
100%
Net Reach 14+
Television
Commercial
Television
Internet
Total
50%
Usage Duration 14+
(hours per month)
0
10
20
30
40
50
60
70
| January 28, 2015
Basis: TV viewers 3+; internet users 6+; March 2014.
Source: AGF in cooperation with GfK / TV Scope / Comscore MyMetrix (internet at home & work w/o mobile usage)
80
90
100
110
120
130
140
Page 2
Stable TV viewing time expected – online video and TV-related
content will drive total video usage
Average daily usage in Germany – Ad relevant target group A 14-49
[In minutes, before planned panel adaptions]
240
Total video
usage
CAGR
2013-2018
+2%
TV viewing
time
CAGR
2013-2018
-1%
Online video &
TV-related
content
CAGR
2013-2018
+21%
200
160
120
80
40
0
2012
2013
2014E
2015E
2016E
2017E
2018E
P7S1 projection
| January 28, 2015
Page 3
Source: AGF/GfK Fernsehforschung, SevenOne Media Mediennutzungsstudie, comScore Video Metrix, SOM projection. Note: TV viewing time = viewing time on big screen (not incl. TV-related content online).
Video remains the preferred medium for young target groups
Average daily usage in Germany – Young target group A 14-29
[In minutes, before planned panel adaptions]
200
160
Total video
usage
CAGR
2013-2018
+2%
TV viewing
time
CAGR
2013-2018
-4%
Online video &
TV-related
content
CAGR
2013-2018
+18%
120
80
40
0
2012
2013
2014E
2015E
2016E
2017E
2018E
P7S1 projection
| January 28, 2015
Source: AGF/GfK Fernsehforschung, SevenOne Media Mediennutzungsstudie, comScore Video Metrix, SOM projection.
Page 4
Variety of viewer motivations…
Linear TV
SVoD/TVoD1
Lean back,
watching with family and
friends
“Audiovisual insurance“,
binging, convenience,
autonomy and cost
saving
Basic Pay TV
Ad-free enrichment of
lean back experience
Catch up
Ensure to stay tuned
UGC/SPC2
New content experience,
“snacking“, short format
driven
Page 5
| January 28, 2015
1 SVoD = Subscription Video on Demand; TVoD = Transactional Video on Demand
2 UGC = User Generated Content; SPC = Semi-Professional Content
… need to be covered…
Linear TV
SVoD/TVoD
#1
Catch up
1
#1
portfolio
#1
Basic Pay TV
3
channels
2
UGC/SPC
#2
3
Page 6
| January 28, 2015
1 maxdome is #1 SVoD player in Germany 2 MyVideo is #1 premium content video portal and #2 German video portal behind YouTube
Note: Excluding Premium Pay
3 Studio71 is #2 MCN Studio in Germany
… on any screen or device.
Mobile devices
Game consoles
New devices,
dongles, etc.
Devices
Smart TVs
Distribution
channels
4)
3
~90%
of devices –
maxdome
on 1st
page1
| January 28, 2015
Apps
available
on > 95%
devices2
3
maxdome
on >35%
connected
consoles
1 First page placement on Smart TVs of Samsung, LG, Sony, Philips, Panasonic sold in 2014; 2 7TV Apps available from Android: 4.0, iOS: 7.0, Windows Phone 8: WP 8.0;
3 Maxdome (already on PS3/PS4) & My Video app launch in Q3 on Xbox One with a connection Rate > 75%; 4 Amazon fire TV – launch announced for Q4
maxdome
– launch
partner on
top 2 new
devices
Page 7
Show case “7 Connect”
Live stream
Polling
Twitter
Social
News
| January 28, 2015
Page 8
Everybody “likes” us.
No.1
in catch-up: “Germany’s next Topmodel”
with 37m video views
No.1
on Facebook with 22m total fans: more than any
other German media company
No.1
on Twitter with 880,000 followers for ProSieben:
more than any other German TV channel
| January 28, 2015
No.1 in catch-up: Source: AGF Streaming, Meedia.de (May 19, 2014); No.1 in Facebook: 22m total fans for all P7S1 sites
Page 9
MyVideo is No. 1 in premium content.
in premium content
unique users
monthly premium video views
| January 28, 2015
Page 10
No.1 in premium content: MyVideo AGOF Video UU: 5.17m vs. Clipfish professional content 1.97m (Ø Jan-May 2014); Unique User: incl. Songtexte.com and AMPYA (AGOF Internet Facts Jul 2014); Video
views: Ø Jan-Sep 2014, incl. mobile browser and apps, incl. AT + CH
We launched Studio71 one year ago as our own
Multi Channel Network
Development
and production
Scouting and
aggregation
Channel
management
>195
channels
launched
| January 28, 2015
Ad and
concept sales
Other 3rd
party
Page 11
Within only one year we have grown to be the 2nd largest MCN
in Germany with 200m monthly video views
Video views in m
No.2
193
MCN in
Germany
164
168
170
May
Jun
Jul
200
144
124
24
Sep 2013
Oct
Nov
103
Jan
Feb
41
36
22
104
Dec
| January 28, 2015
Mar
Apr
Aug
Sep 2014
Page 12
We have launched and aggregated more than 195 channels
and follow a unique three pillar content strategy
A
Own TV based channels
| January 28, 2015
B
C
Own original channels
Aggregated channels
60
16
120
channels
channels
channels
Page 13
ProSieben Entertainment Pad: Entertainment all in
Bundle offer by Asus / Intel and P7S1
8’’ tablet for EUR 149, including EUR 100
vouchers for digital P7S1 services
Pre-installed P7 entertainment bar with
over 34 product offerings: 7TV, maxdome,
MyVideo, Deezer, etc.
| January 28, 2015
Page 14
Provide sufficient inventory to further foster growth
“Traditional” inventory sold to
advertisers by SevenOne Media
Idle TV ad
inventory that
can be utilized
for digital
investments and
cooperation
| January 28, 2015
We can provide sufficient
media inventory to foster
growth since media
capacity will grow through
• Price increases
• New niche channels
with growing ratings
• More efficient TV
media campaigns
Page 15
Media for Revenue / Media for Equity
6 successful exits2:
No.1 media investor
in Germany1
Category leaders built:
Zalando
Lieferando, Tirendo, Lactostop,
Holiday Insider, Shopkick, Zalando
Services beyond media
(M4R/E+)
Global scouting
network
European media
partnership
| January 28, 2015
1 Based on estimated cross-media volume
2 Exit proceeds
Page 16
“ProSiebenSat.1 Welt”:
International app-based live channel
Interest in Germanlanguage content remains a
niche market outside
Germany, Austria and
Switzerland – and is not a
“pan-European” interest.
VPNs and foreign-based
streaming services make it
harder to establish viable
cross-border paid services.
Potentially interesting markets inside as well as outside of the EU
| January 28, 2015
Page 17
Thank you for your attention.
| January 28, 2015
Page 18