News Digital Media Insight Report

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1 Based on the survey findings of 12,903 News Digital Media users online between May 20 and June July 2008

2 Introduction News Digital Media has grown rapidly over the past two years. We are now consumers first choice when it comes to news, sport and weather 1 and their go-to resource for things that interest and matter to them. As the number of unique browsers using our sites has grown to 9.7 million 2, it has become a challenge to define who our audiences are, what they do online and what they want. The News Digital Media Insight Report builds on the existing work of market research companies by directly asking our audiences about themselves. It is the largest ever survey of our online audience, with almost 13,000 respondents 3 from across our 23 sites. The findings confirm our view that the News Digital Media s audience is not a niche market but a significant group of affluent, motivated consumers. Sites that deliver large audiences usually have low engagement, but the results of this survey show that we ve built our audience to over 9.7 million unique browsers per month by creating deep, quality content. We are now in a position where we have a substantial audience with high engagement, and the quality of the content we produce is clearly the key to this relationship. Our audience doesn t just use the internet to find out the latest news, but to comment on that news. They research, shop, entertain themselves and relax online at levels far beyond those in the wider community. They spend twice as long online as the average Australian. And that only looks set to increase. The results show that it is the younger generation in Sydney and Melbourne who are showing us the future of consumption online - those who have grown up with the web use it more, as do those in the big cities. It seems to be only a matter of time before those coming behind this group will exhibit the same behavior. Our users are also starting to adopt mobile browsing. While the responses to our survey show that mobile browsing has started slowly, the diverse ways in which our audience are using mobile suggest that the arrival of devices such as the iphone which better cater to their needs will see a massive acceleration in take up. In the following report you have an opportunity to meet our audience: Aspiring Australians seeking the best for their families and increasingly finding it through digital media. I hope you find them as interesting and as exciting as we do. Richard Freudenstein Chief Executive Officer News Digital Media 1 Nielsen Online Market Intelligence news and weather category May Unique browsers according to Nielsen Online Site Census May Survey conducted from May 20 to June by Research Now on behalf of News Digital Media. Survey respondents were self-selected from existing users of all News Digital Media sites.

3 Profile of Respondents to Insight Survey 76 per cent live in the city 58 per cent female 73 per cent aged per cent employed 86 per cent visit a News Digital Media site at least once a week 65 per cent work in professional, managerial or supervisory roles 84 per cent are medium to big spenders 4 (compared to 78 per cent of online population) Our readers are Aspiring Australians. The market force that builds brands. And they are Always On. Use of Media - Breakfast - Weekdays 61% 60% Use of Media - Mid Morning - Weekdays 25% 30% 33% 38% 1% 5% 35% 29% 5% 24% 10% 1% Books Books 4 Roy Morgan, March 2008

4 Media Consumption News Digital Media s audience spends more time engaged with the internet than with any other media - 27 hours and 49 mins online in an average week - around 4.5 hours online each weekday, and 2.5 hours on Saturdays and Sundays. 81 per cent access the internet from home during the week and 90 per cent access the internet from home on weekends. ers of australianit.com.au spend the most time online. 98 per cent access the internet more than once a day and on average they access 4.6 times daily during the week. On the weekend 94 per cent access the internet more than once, doing so 3.4 times on average. The internet is the most widely used form of media for the middle of the day and the afternoon, complementing newspapers that are read in the morning and television viewing in the evening. People are spending an average 14 hours and 54 minutes each workday across different forms of media. Assuming that they eat and sleep as well as work, they must be multi-tasking their media consumption while they work and play. Our Aspirer audience is Always On. They have a much more frequent and rewarding relationship with online. It s their key source to learn, to discover and to relax. Average Time Per Week (hh:mm) 27:49 23:40 14:02 84% feel that children should be closely supervised when using the internet. 11:46 5:59 5:59 5:18 2:33 1:14 Accessing The ing Listening To The Radio Listening To ing Books Using A Mobile Phone ing ing Using A 47% Use of Media - Lunch Time - Weekdays 60% Use of Media - Afternoon - Weekdays 7% 19% 20% 17% 14% 1% 11% 39% 3 10% 9% 13% 3% Books Books

5 Snapshot - Our Media Lives Men spend more time on the internet than women both during the week and on weekends. The under-25s spend 89 per cent more time on the internet on an average weekday than the over 70s. People in Sydney spend more time on the internet than people in any other capital city an average of 5 hrs and 7 minutes every weekday; and just under three hours on weekends. On weekends, people in regional areas spend more time online than people in major cities. 74% of all respondents say the internet saves them time, and they are using it more and more. Time Spent on an Average Weekday (h:mm) ing Listening To Accessing The ing ing ing Books Listening To Using A Using A Mobile Phone Professionals, managers and supervisors Skilled, semi or unskilled manual workers 3:13 2:14 4:37 0:42 0:21 0:50 1:44 0:08 1:00 3:10 3:09 3:11 0:42 0:19 0:31 1:40 0:15 0:47 Students 2:45 1:13 5:19 0:37 0:15 1:27 2:39 0:13 1:08 Casual workers 3:28 1:50 3:53 0:40 0:25 0:46 1:54 0:08 0:40 Housewife/Homemaker 3:56 1:39 3:54 0:41 0:27 0:50 1:23 0:11 0:38 Retireees 4:45 2:41 4:21 0:59 0:30 1:11 1:17 0:18 0:21 Carers 4:42 1:44 5:36 0:30 0:27 0:46 1:44 0:06 1:25 Unemployed 5:27 1:24 6:09 0:44 1:04 1:07 1:45 0:38 0:41 54% 71% Use of Media - Evening - Weekdays 31% 24% 13% 13% 19% 45% Use of Media - After Dinner - Weekdays 68% 40% 18% 14% 5% 7% Books Books

6 Snapshot - Our Media Lives Time Spent on an Average Weekend Day (h:mm) Professionals, managers and supervisors Skilled, semi or unskilled manual workers ing Listening To Accessing The ing ing ing Books Listening To Using A 3:21 1:21 2:33 0:52 0:21 0:51 1:32 0:12 0:42 3:26 1:53 3:09 0:48 0:16 0:30 1:34 0:15 0:46 Students 2:36 0:54 4:01 0:37 0:16 1:07 2:10 0:19 1:02 Casual workers 3:10 1:15 2:42 0:49 0:21 0:40 1:24 0:12 0:38 Housewife/Homemaker 3:30 1:11 3:15 0:46 0:21 0:42 1:16 0:11 0:33 Retireees 4:28 1:59 3:08 1:06 0:21 0:50 1:06 0:06 0:17 Carers 3:48 1:24 3:45 0:41 0:14 0:52 2:05 0:12 0:40 Unemployed 4:38 1:24 5:10 0:49 0:21 0:55 1:34 0:26 0:33 Using A Mobile Phone Online Behaviour is the activity we do most often online, but banking, pre-purchase research, and keeping up with the latest news and weather are regarded as the most important functions of the internet particularly among high income households. Q. Rate the importance of the role of the internet in the following areas? Important (Very + Somewhat) Most Important to Managing your personal finances 75% s, mid mgmt & HHI 5 Researching products prior to buying 74% s, mid/high mgmt, Sydney Keeping up with latest news, weather 72% Sydney, ACT, NT, s, mid/high mgmt Making informed decisions 57% Sydney, s, mid/high mgmt Buying products and services 39% Sydney, NT, TAS, mid/high mgmt 23% 2 Use of Media - Breakfast - Weekends 49% 37% 23% 8% 1% 43% Use of Media - Mid Morning - Weekends 37% 3 37% 18% 14% 8% 3% Books Books 5 High Household Incomes - $70k+

7 Online Behaviour The internet is seen as the most useful source of information about technology, entertainment, travel, financial services, insurance and property and housing. Over 87 per cent of News Digital Media s audience research products they are considering buying online, and 79 per cent have purchased online. 74 per cent say the internet is important to research products online before they buy. They already know what they want before they enter a store, having done their research and made up their minds on the basis of what they discover online. Digital media is now the channel for reaching, activating or engaging with Aspiring Australians the medium and big spenders who are the critical mass that drive brand success. Trustworthiness The main barriers to researching and transacting online are to do with trust. People are more likely to buy or sell from the internet if they trust the site. They are happy to buy online if they trust the site and brands are well known. I feel confident using my credit card online with websites I trust 61% s, high HHI s I feel confident about the info on sites I trust 51% Retirees, students, HHI I never post personal details 4 Over 55 s, retirees Well known brands are more important 39% High HHI s, senior mgmt I am drawn to brands that allow me to buy online 33% s HHI s Having trust in a site is important before people will interact with the site, trust the content of the site or buy from the site. Only 15 per cent of people trust the content they read online, however trust for News Digital Media websites is much higher. Our audience are four times more likely to trust the content of the News Digital Media sites they visit than they are to trust general online information. They are more open to messages we deliver. The quality and range of our content means we have the unique ability to deliver 360 degree trusted coverage of the lifestyles, needs and interests of Aspiring Australians.

8 Trustworthiness Most Trusted Sites 6 NEWS.com.au 73% Foxsports.com.au 81% CareerOne.com.au 78% carsguide.com.au 73% truelocal.com.au 6 moshtix.com.au 79% theaustralian.com.au 80% australianit.com.au 77% dailytelegraph.com.au 68% heraldsun.com.au 73% couriermail.com.au 69% AdelaideNow.com.au 71% PerthNow.com.au 69% mercury.com.au 67% taste.com.au 83% notebookmagazine.com 74% vogue.com.au 70% overlander.com.au 68% Travel is the most commonly purchased product online, with 30% of all respondents having made a purchase in the past four weeks and with an average spend of over $1,000. Online Purchasing 6 Based on site visitors only

9 Trends - Mobile The emergence of mobile browsing has been slow to date just 5 per cent access the internet via their mobile phone during the week and 4 per cent on weekends. But use among early adopters is rapidly spreading beyond . Of those who do use mobile internet, 64 per cent check , 55 per cent read breaking news and 47 per cent search for local information. Over 60% say that they can t imagine life without the internet. In general, more males than females are accessing the internet via mobile phone. Males also dominate the use of mobile access for reading financial reports, breaking news and sports information, whereas it is predominantly females who are accessing social networking sites on their mobiles. Consumer opinion is divided about mobile advertising. 37 per cent would be more likely to access mobile internet if advertising meant content was free; 32 per cent said they were less likely; and 31 per cent couldn t say. Students, mid/senior managers and the under-35s are the ones most likely to accept advertising. 50% of respondents would use the internet more if their connection was faster. Trends social networking 42 per cent say the internet is not essential in organising their social lives but 74 per cent value the ability of the internet to help them stay in touch 97 per cent use 50 per cent use social networking sites 49 per cent use instant messaging 30% Use of Media - Lunch Time - Weekends 27% 21% 1 12% 7% 10% 3% 53% 39% Use of Media - Afternoon - Weekends 39% 28% 21% 12% 18% 8% Books Books

10 Loyalty to our sites is strong % of Visitors Who Visit Site at Least Weekly NEWS.com.au 8 Foxsports.com.au 84% PerthNow.com.au 84% dailytelegraph.com.au 83% heraldsun.com.au 83% AdelaideNow.com.au 82% theaustralian.com.au 79% australianit.com.au 79% couriermail.com.au 78% mercury.com.au 74% CareerOne.com.au 60% taste.com.au 60% carsguide.com.au 53% vogue.com.au 4 truelocal.com.au 44% overlander.com.au 43% notebookmagazine.com 40% getprice.com.au 40% NEWS.com.au is our most popular site. 58% of visitors visit NEWS.com.au several times a day for latest news, weather and entertainment and 8 of visitors visit the site at least once a week. 49% 70% Use of Media - Evening - Weekends 29% 23% 10% 8% 12% 7% 39% Use of Media - After Dinner - Weekends % 33% 19% % % 9% % Books Books 10

11 Appealing to Aspiring Australians: NEWS.com.au heraldsun.com.au dailytelegraph.com.au theaustralian.com.au CareerOne.com.au Foxsports.com.au truelocal.com.au couriermail.com.au taste.com.au AdelaideNow.com.au PerthNow.com.au Appealing to men: australianit.com.au Foxsports.com.au carsguide.com.au theaustralian.com.au dailytelegraph.com.au Appealing to women: vogue.com.au notebookmagazine.com.au taste.com.au truelocal.com.au moshtix.com.au Appealing to higher managers: australianit.com.au theaustralian.com.au getprice.com.au Foxsports.com.au carsguide.com.au couriermail.com.au Appealing to the under 25 s: moshtix.com.au vogue.com.au CareerOne.com.au taste.com.au dailytelegraph.com.au Appealing to the s: moshtix.com.au taste.com.au dailytelegraph.com.au CareerOne.com.au NEWS.com.au The News Digital Media Insight Report is based on the survey findings of 12,903 News Digital Media users online between May 20 and June 16, Survey conducted by Research Now on behalf of News Digital Media, with survey links placed on each News Digital Media site. Findings reflect a slight female bias in respondents. To advertise on the News Digital Media network NSW Danny Bass VIC Kirsten Fengler QLD Sheridan Comino

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