FocusMedia Hongkong Reaching Business Executives in a Captive Environment 2nd Independent Ad Recall Measurement Study (February 2005)

Transcription

1 FocusMedia Hongkong Reaching Business Executives in a Captive Environment 2nd Independent Ad Recall Measurement Study (February 2005)

2 Table of Contents Page No. Background Objectives Methodology Ad Recall Percentage Ad Recall Rate Detailed Findings Frequency of Taking Elevator Waiting Time of Taking Elevator Frequency of Watching LCD TV Network Advantages of Advertising on LCD TV Network versus Key Traditional Media Exposure of advertising on LCD TV Network versus Key Traditional Media Ability to Recall advertising on LCD TV Network versus Key Traditional Media Demographics of the Respondents

3 Background Focus Media China launched in Jan In Nov 2004, Goldman Sachs and 3i invested US$ 30 million as part of Focus Media China s pre-ipo investment round. Focus Media Hong Kong, the television network that reaches business executives in a captive environment was launched on 1 st April 04. Network s 1 st building was installed 1 st week of Jun 04; the 100 th building was installed 1 st week of Oct 04. In Feb 05, over 170 buildings with over 450 TV monitors were installed. Network started selling advertising 1 st week of Oct 04. Advertisers wanted to know the network s traffic and reach. In Oct 04, an independent Traffic Count survey was conducted based on a 15% sample size (18 buildings) out of 120 buildings. The results: Daily reach of over 800,000 business executives (based on 120 buildings). Based on 174 buildings, the daily reach exceeds 1.1 million business executives. Advertisers wanted to know if their advertising will be seen by these business executives and how many times would it be seen and if they would recall the advertising, what are the advantages of this medium over other traditional media, etc. In Dec 04, an independent Ad Recall Measurement study was conducted by Mercado Solutions Associates. In Feb 05, the second independent Ad Recall Measurement study was conducted by Strategic Focus Research & Consultancy. 3

4 The objectives of study are: Objectives To measure the Ad Recall of the advertising being broadcasted on the television network at the prime business & commercial buildings; To understand the behaviors of these business executives when taking the elevators at these buildings; To evaluate the effectiveness of the medium in reaching business executives and its advantages over traditional media, and; To study the audience demographics. 4

5 Study Design Sample Size/Location Target Respondents Mechanics Methodology With permission from landlords, interviewers were stationed at the elevator waiting lobby and approached every n th respondent leaving the buildings. 10% sample size (15 buildings) of the last officially announced total number of buildings (150 buildings) under the television network located in the 6 prime business districts of Hong Kong (Sheung Wan, Admiralty, Central, Wanchai, Causeway Bay and Tsim Sha Tsui). People who go to work in the selected buildings. 203 successful interviews conducted. Advertisers from five major product categories participated and ran a four-week campaign prior to the study. Date of Study 3 rd Feb

6 Ad Recall Percentage (% of respondents recall seeing the advertising) Lindt Chocolate 36.0% 70.9% Fancl House Fitness Drink 30.0% 70.4% Samsung Digital Camera 33.5% 69.4% Omega Watch 25.6% 65.0% Sunlife Insurance 23.2% 63.1% Un-Aided Aided 6

7 Ad Recall Rate (Un-Aided) Lindt Chocolate 24.7% 16.4% 35.6% 23.3% Fancl House Fitness Drink 11.5% 26.2% 24.6% 37.7% Samsung Digital Camera 7.4% 20.6% 51.5% 20.6% Om ega Watch 7.7% 36.5% 44.2% 11.5% Sunlife Insurance 6.4% 31.9% 44.7% 17.0% 1-5 times 6-10 times times Above 15 times Base: All respondents who recalled seeing the respective ad (Un-aided) 7

8 Ad Recall Rate (Aided) Lindt Chocolate 43.1% 21.5% 22.9% 12.5% Fancl House Fitness Drink 37.8% 21.7% 17.5% 23.1% Samsung Digital Camera 40.4% 14.9% 29.1% 15.6% Om ega Watch 40.9% 28.8% 23.5% 6.8% Sunlife Insurance 35.9% 32.8% 19.5% 11.7% 1-5 times 6-10 times times Above 15 times Base: All respondents who recalled seeing the respective ad (Aided) 8

9 Ad Recall Rate (Average) Lindt Chocolate 8.0 times Fancl House Fitness Drink 8.8 times Samsung Digital Camera 8.7 times Omega Watch 7.7 times Sunlife Insurance 8.1 times Average Ad Recall Rate = 8.3 times Base: All respondents who recalled seeing the respective ads (Un-Aided & Aided) 9

10 Number of times taking elevator on a daily basis 4 times or less 43.8% 5-6 times 29.1% 7-8 times 15.3% 9-10 times 6.9% More than 10 times 4.9% Average = 5.9 times per day 10

11 Waiting time per elevator ride >0.5-1 min 38.9% >1-1.5 mins 35.0% >1.5-2 mins 10.8% More than 2 mins 15.3% Average = 1.2 minutes of waiting time per elevator ride 11

12 Frequency of Watching LCD TV Network (Out of 10 times Taking Elevators) Below 4 times 17.7% 5-6 times 10.3% 7-8 times 11.8% 9-10 times 59.6% Average = 7.9 times out of 10 times 12

13 Advantages of Advertising on LCD TV Network versus Key Traditional Media Not wasting my time 95.1% Captive environment with no distraction 90.1% More opportunites to see the ad 85.2% Reaching audience while they are on the move 80.8% Precisely targeting the business executives at work 78.3% 13 Note: Figures add up to more than 100% as respondents could give multiple answers

14 Exposure of Advertising on LCD TV Network versus Key Traditional Media Television 53.2% 33.0% 13.8% Outdoor electronic media 52.2% 33.5% 14.3% Newspaper / Magazine 48.3% 28.6% 23.2% More than About the same Less than Note: % in individual bar may not add up to 100% due to rounding of figures 14

15 Ability to Recall Advertising on LCD TV Network versus Key Traditional Media Television 34.5% 43.3% 22.2% Outdoor electronic media 42.9% 45.3% 11.8% Newspaper / Magazine 46.8% 30.5% 22.7% More than About the same Less than Note: % in individual bar may not add up to 100% due to rounding of figures 15

16 Demographics of the Respondents 45 or above Age and Sex 6.4% 8.9% % 12.3% % 35.5% % 7.4% Female Male 17

17 Demographics of the Respondents Education Bachelor Degree/ Masters/PHD 54.7% Secondary/Post Secondary/Diploma 45.3% 18

18 Demographics of the Respondents Occupation Chairman/President/ CEO/Managing Director/Director/ General Manager 26.6% Department Head/ Vice President/ Manager/Executive 33.0% Officer/Secretary 36.9% Others 3.4% 19