Broadband Extends the Reach of Traditional TV
       The Broadband Consumer is Young, Affluent and Highly Educated

    Nielsen Analytics today
released a new report revealing that advertisers and television programmers
are finding new and more lucrative advertising opportunities with broadband
video. The study also determined that the use of broadband video actually
extends the reach of traditional TV, and that broadband consumers are
young, affluent, highly educated, and tend to have high speed web access
virtually 24/7, making it an integral part of their lifestyle.
    The study, "Whatever, Whenever, Wherever: How Broadband is Redefining
the Economics of Television", is authored by industry analyst, Larry
Gerbrandt, the head of Nielsen Analytics, and completed in partnership with
Scarborough Research.
    Editor's Note: Broadband Video -- also known as web video, Internet
video
    or broadband television -- is streaming video fed from a web site.
    "By researching controlled broadband access, this study concludes that
programmers have the opportunity to create new revenue models to benefit
content owners and their affiliated stations," said Larry Gerbrandt,
general manager and senior vice president of Nielsen Analytics. "Such
ad-supported models are uniquely adaptable to the broadband environment and
are potentially superior to existing models because they can take full
advantage of the digital environment. With broadband streams, for example,
fast forwarding through commercials can be disabled making it more likely
the consumers will watch the spots and possibly interact with them."
    Despite growing numbers of prime time television shows being streamed
(or pre-viewed) on network web sites, or the increasing popularity of user
generated content (UGC), there has been no measurable negative impact on
traditional television viewing. Video on PCs and iPods actually is
expanding the audience of traditional TV programs, supported by the fact
that total TV usage was at a record high in U.S. households at 8 hours, 14
minutes a day during the 2005-2006 TV season according to Nielsen Media
Research data. Household viewing has risen more than an hour a day over the
past decade -- or more than a half hour more per person.
    "Advertisers and programmers using broadband have a unique advantage in
the increasingly competitive advertising world," continued Gerbrandt. "Ad
models can be customized and managed in a broadband environment, and
interactivity can be embedded into the program in such a way as to enhance
engagement which does not take viewers away from the enjoyment of the
program."
    Broadband Video Advertising Models
    There is a general consensus that viewers prefer short web-served ads,
though the market is split between 15-second and 30-second pre-rolls per
program segment. Furthermore, because broadband video offers levels of
interactivity and viewer engagement not possible in a traditional TV spot,
that argues for a higher CPM.
    But television -- especially the ad-supported kind -- works according
to a very different revenue model, and systems such as broadband streaming
and downloading, could represent a new frontier to be explored and
exploited. However, the posting of copyrighted content to web sites still
presents challenges that remain to be litigated.
    About the Broadband Consumer
    Broadband access across the U.S. has reached critical mass and is
having a clear impact on user behavior.
    -- According to Scarborough Research, a local market consumer research
       company, broadband consumers tend to have high speed web access
       virtually 24/7 -- at work, at home and increasingly across an array of
       portable devices such as laptops, PDAs and mobile phones.  While only
       about 9% of US adults report spending 20 hours or more a week on the
       Internet, this number nearly doubles, to 17%, among those with
       broadband access at home.

    -- There is a strong correlation between education and Internet access,
       and the same holds true for broadband connections.  Of the roughly
       one-third (33 percent) of U.S. adults reside in households without any
       Internet connection, 69% have only a high school degree or less.  The
       comparable percentage for those in broadband households is one-third or
       33%.  Of all US adults, almost a quarter (24 percent) have a college
       degree or greater. This number increases to 35% among adults with
       broadband Internet access at home.  Moreover, the overwhelming majority
       of those with post-graduate degrees have an Internet connection, and
       most of those have a broadband connection.

    -- Broadband consumers are upscale.  According to Scarborough's findings,
       17% of consumers have an annual household income of $100,000 or more,
       compared to 28% of those with broadband connectivity. Less than a
       quarter (21 percent) of all consumers live in homes worth $300,000 or
       more; but the figure is 30% for those consumers with broadband in their
       household.

    -- There is a clear generational divide in broadband adoption.  The 18-34
       demographic represents 34% of those with broadband connectivity in
       their household. Though consumers 55+ are less likely than their 18-34
       or 35-54 year-old counterparts to be broadband customers, broadband
       penetration among this older age group will likely increase. The 35-54
       demographic is currently most likely to have home broadband access (45
       percent).

    How to Order
    "WHATEVER, WHENEVER, WHEREVER: How Broadband is Redefining the
Economics of Television" is available for purchase on-line at the Nielsen
Online Store at http://www.nielsenmedia.com. For more information about Nielsen
Analytics, please email NielsenAnalytics@vnuinc.com, or call 323.860.4659.
For a limited time, this analysis is available for $795. (U.S. Dollars).
    About Nielsen Analytics
    Nielsen Analytics is focused on creating leading edge research,
analysis, strategic advisory and valuation services to companies in the
media and entertainment space with a particular focus on the convergence of
content delivery and consumer media technology. Nielsen Analytics utilizes
the full portfolio of sister companies including Nielsen Media Research
(television ratings), Nielsen Entertainment (motion picture, home video,
music and interactive entertainment), and Nielsen//NetRatings (Internet
usage) to deliver a whole media point of view. Nielsen Analytics is part of
The Nielsen Company (http://www.nielsen.com), a global leader in information
services for the media and entertainment industries.
    About Scarborough Research
    Scarborough Research, an MRC accredited media and marketing service,
(http://www.scarborough.com, info@scarborough.com) measures the lifestyle and
shopping patterns, media behaviors, and demographics of American consumers.
Products and services include local market consumer insight studies in 80
Top- Tier Markets and several Mid-Tier Markets, Scarborough USA+ (a
national database), Hispanic studies, customer relationship management and
database integration solutions. With more than 30 years of experience,
Scarborough measures 1,700 categories and serves a broad client base of
approximately 3,500 subscribers including marketers, advertising agencies,
electronic and print media, broadcast and cable television, radio stations,
sports teams and leagues, and out-of-home companies. Surveying more than
210,000 adults annually, Scarborough is a joint venture between Arbitron
Inc. (http://www.arbitron.com) and The Nielsen Company (http://www.nielsen.com).


 

Broadband Medium Of The Future

       Broadband is a transmission medium capable of supporting a wide range of frequencies, typically from audio up to video frequencies. It can carry multiple signals by dividing the total capacity of the medium into multiple, independent bandwidth channels, where each channel operates only on a specific range of frequencies. In general, broadband refers to telecommunication in which a wide band of frequencies is available to transmit information.

Today's Worthwhile information:

Caudwell Communications, telephony business from the Caudwell Group and owners of mobile phone company Phones4u announced in October their new phone line and broadband internet package. The broadband home service is known as Homecall. The main advantage of Homecall over other services is that they can combine all your needs. A single bill every month includes your phone bill and internet bill. Because of their ties with Phones4u they often provide mobile phone promotions and their standard package includes free international and local calls, and cheap mobile phone calls! Homecall don't provide their ADSL themselves though, they do it through Tiscali Broadband.
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Internet is the World Wide Web. Broadband is the medium that carries it. Internet is the international computer network linking together thousands of individual networks. Broadband is the transmitter of these signals. The most popular features of the Internet include electronic mail (of course you know e-mail), discussion groups (called newsgroups or bulletin boards, where users can post messages and look for responses on a system called Usenet). There is also the online conversations or chats, adventure and role-playing games and information retrieval You can also find electronic commerce (e-commerce) in the Net where you can buy and sell stuff at the click of a button. On the other hand, broadband
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