1. O N E S T E P A H E A D
Welcome
We will be starting the session at 12:30 EST.
There is no sound at the moment.
All participants will be muted throughout the session, so please use the
chat function in the bottom of the screen to communicate – private and public
messaging is available.
We will do our best to respond to questions in the session, but please feel
free to email onestepahead@cheproximity.com.au for any additional
information afterwards.
2. W H O I S P R E S E N T I N G ?
Presenter
Ben Shepherd
Chief Media Officer
4. O N E S T E P A H E A D
What we will be covering today
Past
Present
Future
The Comfortable Normalcy of a sluggish economy
Jan 1 - March 11
Alert > Alarmed to Alarmed > Alert
March 12 – June 30
Adjustment and Adapting
July 1 - onwards
6. “What’s going on in China?”
“Now Wuhan is in lockdown – WTF?”
The first Australian case
“What’s the fuss, isn’t it just like the flu?”
“I can’t get toilet paper – how crazy!”
“Work have asked us to work from home.”
“This is really serious … “
10. T H E M E O N E
Media consumption retained the same
main headlines as 2019
Continued growth
of SVOD.
TV consumption in decline. Digital remains ubiquitous.
1 2 3
11. T H E M E O N E
And like 2019, the ad market was in recession
across January and February
Source: Mumbrella, March 2020
19. Cancellations of events
Restrictions of movement
100-200% increase in Coronavirus search intent
Media consumption remained as normal
Foot traffic saw small immaterial declines
Alert not alarmed
Phase 2.1: March 12-16
21. Limited restrictions
Footy
Search interest declines
TV consumption up 10-20%
Foot traffic down 25-35%
Retail, automotive, discretionary categories all bracing
Alert or alarmed?
Phase 2.2: March 17-22
22.
23.
24. Morrison changed the tone 9pm Sunday 22 March
Footy gone
Search interest spikes
TV consumption up 10-20%
Foot traffic down 70%+
Road traffic down 30%+
Alarmed.
Phase 2.3: March 22-March 30
26. Source: Roy Morgan, April 2020
0
20
40
60
80
100
120
1 2 3 4 5 6 7 8 9 10 11 12 13
2020
March 8
27. 0
20
40
60
80
100
120
140
January February March April May June July August September October November December
Roy Morgan Consumer Confidence average by month – 2008/2009
2009 2008
Rudd stimulus 2009
We are here 2020
Lehman 2008 Auto bailout 2008
Bank bailout 2008
28. Centrelink search volume
Source: Google Analytics, April 2020
As economic reprocussions hit fast, Centrelink search volume had a one
day increase of 1000% on 22nd March, after steadily rising across March
30. A new world of considerations
Reduced movement
Increased home time
No travel/events/
shared experience
Confusion and uncertainty
Rise in unemployment
31. Reduced movement Media channel recalibration.
Increased TV consumption.
Many. advertising messages
seem incongruent.
Impact is affected.
Reduced discretionary spend.
Increased home time
No travel/events/
shared experience
Confusion and uncertainty
Rise in unemployment
A new world of considerations
32. • TV viewership is up across all demos.
• +35 much higher than -35.
• News programming is dominating.
• Programming production has been affected – huge
flow on affects to TV in H2.
• SVOD consumption so high its breaking the NBN.
• BVOD seeing high single digit increases since
increased social restrictions.
Video - headlines
33. Linear TV is increasing in terms of hourly consumption
Source: Oztam, March 2020
For 35+, an increase throughout the day and into the evening. Under 35’s remain
steady. This bucks years of downward trends on live viewing.
34. Netflix, Stan – Search Volume
Source: Google Analytics, April 2020
Last weekend saw Netflix reach its highest search volumes in the last 5 years in Australia. Stan has also
seen a 60-80% increase in search volume over the past month, as SVOD services capture an even greater
share of TV eyeballs.
0
20
40
60
80
100
120
3/3/20
4/3/20
5/3/20
6/3/20
7/3/20
8/3/20
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10/3/20
11/3/20
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25/3/20
26/3/20
27/3/20
28/3/20
29/3/20
30/3/20
31/3/20
1/4/20
netflix: (Australia) Stan: (Australia)
35. 9Now, 7Plus, Tenplay – Search Volume
Source: Google Analytics, April 2020
Queries for the main BVOD services are up and down – no clear trends evident in
search volume. However, Oztam VPM data shows 10-15% increases in BVOD usage.
0
20
40
60
80
100
120
3/3/20 4/3/20 5/3/20 6/3/20 7/3/20 8/3/20 9/3/20 10/3/2011/3/2012/3/2013/3/2014/3/2015/3/2016/3/2017/3/2018/3/2019/3/2020/3/2021/3/2022/3/2023/3/2024/3/2025/3/2026/3/2027/3/2028/3/2029/3/2030/3/2031/3/20 1/4/20
9Now: (Australia) 7Plus: (Australia) tenplay: (Australia)
36. BVOD sees 30% increase in 3 week period
Source: Oztam, April 2020
BVOD consumption as measured by Oztam increased dramatically week on week
from March 14 onwards.
37. • It’s a wait and watch situation for the next 3-6 months.
• Retail – impacted.
• Transit – impacted.
• Airport – impacted.
• Large Format – impacted.
• Street Furniture – impacted.
• Out of Home likely to go backwards 30% in CY20,
recover in 21
Out of Home - headlines
38. Train Timetable – Search Volume (90 days)
Source: Google Analytics, April 2020
Train timetable search volume an average was consistent from January to the start of March,
however it has dropped 75-85% since then as less and less people move about in public.
0
20
40
60
80
100
120
3/1/20
5/1/20
7/1/20
9/1/20
11/1/20
13/1/20
15/1/20
17/1/20
19/1/20
21/1/20
23/1/20
25/1/20
27/1/20
29/1/20
31/1/20
2/2/20
4/2/20
6/2/20
8/2/20
10/2/20
12/2/20
14/2/20
16/2/20
18/2/20
20/2/20
22/2/20
24/2/20
26/2/20
28/2/20
1/3/20
3/3/20
5/3/20
7/3/20
9/3/20
11/3/20
13/3/20
15/3/20
17/3/20
19/3/20
21/3/20
23/3/20
25/3/20
27/3/20
29/3/20
31/3/20
39. Westfield – Search Volume
Source: Google Analytics, April 2020
Search terms for the shopping centre operator ‘Westfield’ have also sharply dropped since
March 14 – down 65% to 1 April 2020.
0
20
40
60
80
100
120
3/3/20 4/3/20 5/3/20 6/3/20 7/3/20 8/3/20 9/3/20 10/3/20 11/3/20 12/3/20 13/3/20 14/3/20 15/3/20 16/3/20 17/3/20 18/3/20 19/3/20 20/3/20 21/3/20 22/3/20 23/3/20 24/3/20 25/3/20 26/3/20 27/3/20 28/3/20 29/3/20 30/3/20 31/3/20 1/4/20
40. City movement – Traffic density
Source: ABC News, from Google, April 2020
Search terms for the shopping centre operator ‘Westfield’ have also sharply dropped since
March 14 – down 65% to 1 April 2020.
Melbourne Sydney
41. City movement – reduction in activities
Source: ABC News, from Google, April 2020
All activities are seeing drops aside residential time spent – significant in retail, recreation and transit.
42. • Events are postponed for the foreseeable future.
• SITG and T20 WC planned for October.
• Concert, sports, exhibitions, arts, theatre – off indefinitely.
• Ripples of current activity will impact sponsorship and events
through to mid 2021.
Sponsorship/Events - headlines
43. • Traffic is up.
• Demand down.
• Suitability is a nuanced consideration.
• Connectivity/social platforms seeing much higher
engagement (on top of already high engagement)
Addressable/Biddable - headlines
44. “For the first time in
history, you’re probably
going to have the
highest point of media
usage in the history of
the United States and
the lowest point of
advertising in the US.”
45. • News is more important than ever.
• Digital is best suited to deliver in real time.
• Expect significant reduction in print advertising in C20 –
likely to be a survival challenge for the sector
Print - headlines
49. • Radio reporting consumption increases
• Spotify up approx. 15% according to company claims
• Podcasts continue to push mainstream.
• Audio likely to be an important source of companionship and
entertainment next 3 months.
Audio - headlines
52. Q420
Walk
Q121
Walk Fast
Q320
Crawl
• Advertising will recover in line with consumer
confidence as well as citizen movement. Both are
inter-dependant.
• Q3 will be softly softly approach … what to say,
when to say, how to say it, where to say it.
• Home based media will continue to be up
on normal levels – TV, SVOD, social media,
communications
• Ambient media will be dependent on citizen
movement.
• Advertising will continue to be tactical and
immediate demand driven.
• Q4 2019 was a big change in retail rhythm – Xmas
starting in October, retail peaking at Black Friday,
December seeing a pullback in advertising.
• Q4 is biggest advertising/media quarter for every
format – out of home, retail, cinema in particular
rely on this for their year.
• Q4 is really an unknown – all depends on how
much society returns to normal in terms of
movement, and in terms of appetite to purchase –
and how this impacts retail in particular.
• Media will keep being tactical – Q4 is tactical
generally, dominated by retail and CPG … all
leading up to key moments across November and
December.
• The tactical competition will be intense.
• Beginning of the bounce
55. Is it the role of advertisers to
fund the free media?
Who are the long term
beneficiaries of any
behavioural change? Non ad
funded media?
What channels and activities
don’t get turned back on?