Everything You Need To Know About Movie Junkies

Elise Neel, November 2009 Agenda

. About comScore . The Entertainment Marketplace . Online Movie Ticket Buyers: Who Are They? . Online Movie Ticket Buyers: Search Activity . Mobile Movie Enthusiasts . DVD Buyers: Are They Different? . Case Study . Takeaways

© comScore, Inc. Proprietary and Confidential. 2 comScore is a digital measurement specialist, passively collecting online behaviors from over 2MM participants worldwide

A Global Measurement of Audience 360° View of Consumer Behavior and e-Commerce

Web Visiting and Viewing

Demographics Online Life Stages Transactions

Streaming Search Video Behavior

34 Individually Reported Countries Media Exposure 172 Countries with Sample Presence

© comScore, Inc. Proprietary and Confidential. 3 Study Methodology

© comScore, Inc. Proprietary and Confidential. 4 E-Commerce Data Capture

comScore uses “agents” to scrape information about a movie purchase from a page

Data we capture on e-commerce sites

•Items Purchased •Amount Paid •Quantity • Actual transactions •In Cart vs. Paid

© comScore, Inc. Proprietary and Confidential. 5 E-Commerce Data Capture

. Understand the impact of entertainment site visitation and advertising exposure on theater sales, using credit card receipts.

© comScore, Inc. Proprietary and Confidential. 6 Study Sample

. For this study, we examined the behavior of over 500K people . who purchased movie tickets online in September 2009.

© comScore, Inc. Proprietary and Confidential. 7 Entertainment Marketplace

© comScore, Inc. Proprietary and Confidential. 8 The Entertainment Marketplace

It’s a big market: Over $31MM is It’s an owned market: Together, spent each month online on movie movietickets.com and Fandango capture tickets. 99.8% of all movie tickets purchased online.

Average # of transactions per month 1.2 Average $$ spent on movie tickets* $27.63 Online movie tickets buyer reach 81% Monthly movie ticket spending** $31,200,000 20% 0.02%

fandango.com movietickets.com other ticket sites

It’s an adult dater’s market: Movie ticket purchasers are more likely to be mid-adults and live alone than the average user.

% Composition Index - Demographics

Persons 35-44 150 Lives alone 144 Person's 25-34 121

Source: comSCore custom eCommerce (*September 2009 only) and Product © comScore, Inc. Proprietary and Confidential. 9 Category Reports (**Monthly movie ticket spending reflects a rolling monthly average from October 2008 to September 2009). Online Movie Ticket Buyers: Who Are They?

© comScore, Inc. Proprietary and Confidential. 10 So Much for Chivalry

. Who are buying movie tickets online?

Women are more likely to plan the night out to the movies: movie ticket purchasers are 39% more likely to be female (Index 139)

Movie Ticket Buyers Total Internet

Male 67% 33% Female 52% 48%

© comScore, Inc. Proprietary and Confidential. 11 So Much for Chivalry

Nearly 50% of female ticket buyers are between the ages of 25-44 Females: 65+ Female Ticket Buyers by Age 1% Females: 55-64 5%

Females: 2-17 16% Females: 18-24 8% Females: 45-54 21%

Females: 25-34 22%

Females: 35-44 27%

© comScore, Inc. Proprietary and Confidential. 12 Movie ticket purchasers tend to live in Pacific and Mid-Atlantic regions

Hollywood doesn’t mess around: there are more movie tickets being bought online in the Pacific region per capita than any other US region

% Composition 344 Index to Total 36 39 Internet reach W.N. Central 112 New England % Composition 6% 55 Online Movie 20% Tickets Buyers 2% 20% Mid-Atlantic 5% 14% 103

19% 11% 3% 257 E.S. Central W.S. Central 16 140

© comScore, Inc. Proprietary and Confidential. 13 Leisure Lovers

Movie lovers are intense internet consumers: movie ticket purchasers over-index in site engagement across the internet in several “hands on” categories

% Reach Index Minutes per Visitor Index Movie Tickets Purchasers to Total Internet Movie Tickets Purchasers to Total Internet

Food (Community) 295 Movies (Entertainment) 328 Home 295 Food (Community) 267 News (Entertainment) 277 Home Furnishings 259 Home Furnishings 258 Online Travel Agents 243 Movies (Entertainment) 254 Newspapers 224 Online Travel Agents 234 e-mail 224 Maps 227 News/Research 224

Total Internet Index = 100

© comScore, Inc. Proprietary and Confidential. 14 Movie ticket purchasers are home bodies

Ticket buyers use the internet more than most to focus on that which is closest to them: their home, their head and their huge appetite

Minutes per Visitor Index Movie Tickets Purchasers to Total Internet

267 259 195 186 Average minutes 36 21 117 spent per movie 28 ticket purchaser, monthly

Food (Community) Home Education Home Furnishings

Allrecipes iVillage Home Pearson Educ. The Home Depot Top 5 sites Foodnetwork.com eHow Home HotChalk Lowes.com (in reach %) Cooks.com AOL Home Classesusa.com Williams-Sonoma About.com Food About.com Home About.com Educ. Ikea AOL Food HGTV.com Courseadvisor Walmart for Home

© comScore, Inc. Proprietary and Confidential. 15 Movie ticket purchasers are busy planning their lives online

Movie ticket consumers spend ample time booking flights, reading the news and conducting their research online

Minutes per Visitor Index Movie Tickets Purchasers to Total Internet

243 224 224 166 Average minutes spent per movie 53 57 54 ticket purchaser, 117 monthly

Online Travel Agents Newspapers Business News/Research Directories/Resources

Expedia Inc New York Times Yahoo! Finance Wikimedia Sites Top 5 sites Orbitz Tribune Newsp. AOL Money Answers.com (in reach %) Priceline.com Advance Internet Dow Jones Maps Travelocity McClatchy Corp MSN Money Yahoo! Answers Kayak.com USA Today Manta.com Craigslist, inc.

© comScore, Inc. Proprietary and Confidential. 16 A more engaged socialite audience

People buying tickets online are connectors: they are more engaged in online conversations than the average internet user

Minutes per Visitor Index Movie Tickets Purchasers to Total Internet

224 184 165 125 Average minutes spent per movie 682 380 143 362 ticket purchaser, monthly

e-mail Conversational Media Community Instant Messengers Yahoo! Mail Facebook.com Glam Media Yahoo! Messenger Top 5 sites Windows Hotmail MySpace Sites Disney Online AIM.com/AIM App (in reach %) Google Gmail Blogger iVillage.com Windows Live Mes. MySpace Mail WordPress AOL Living Meebo, Inc AOL Email TechnoratiTotalMedia Internet IndexShine = 100 MySpace IM

© comScore, Inc. Proprietary and Confidential. 17 Online Movie Ticket Buyers: Search Activity

© comScore, Inc. Proprietary and Confidential. 18 In Sept, there were nearly 120 Million Movie related searches

Movie searches represent ~1% of total searches across the web monthly (on average)

Total Entertainment Movies Searches (Millions)

117 MM

101 MM

*movies sites defined as falling in the Entertainment – Movies subcategory; source: © comScore, Inc. Proprietary and Confidential. 19 comScore Marketer Search Helps Define Primary Site Purpose

People are mostly using navigational terms to get to the specified movie site before finding more details about a film

Top 10 search terms Top 10 movies sites*, by total search Top 10 search terms leading to IMDB.com clicks (Millions) leading to Fandango

Imdb imdb.com 121.0 Fandango Imdb.com Fandango Movies Network 16.9 Movies.com “Name” “Name” Biography Moviefone 10.1 Fandango.com Imbd Hollywood.com Network 9.3 Movie times Megan Fox Yahoo! Movies 8.0 Movie theaters Inglorious bastards UGO Film-TV 6.6 New movies True blood Rottentomatoes.com 4.6 www.fandango.com New moon TotalFilm 4.5 Fandango movie Alice in wonderland Fandago Flixster.com 2.8 Gi joe Fandango theaters MSN Movies 1.1

*movies sites defined as falling in the Entertainment – Movies subcategory; source: © comScore, Inc. Proprietary and Confidential. 20 comScore Marketer Using search for film discovery plays a key role in the online movie purchase process

Top 10 Search Phrases Day of Movie Ticket Purchase: Searchers

1. fandango 2. yahoo mail 3. this is it 4. 5. this is it movie tickets 6. facebook 7. craigslist 8. regal cinemas 9. fandango.com 10. movie tickets

© comScore, Inc. Proprietary and Confidential. 21 How did users arrive at movie tickets sites?

Users are not just using search to arrive at sites like fandango and movietickets.com. Entertainment, Services, and Retail sites are also driving traffic

Referral Type Referring Site Category

Non-referred 46% 34% 48% Non-Referred/Other 39% Organic Search 28% 23% Search/Navigation 31% Other Referred 20% 24% 39% 10% Entertainment 29% Other Search 3% 1% Services 3% WebMail 1% 4% 3% Retail 2% Paid Search 1% 2% 0%

© comScore, Inc. Proprietary and Confidential. 22 Mobile Movie Enthusiasts

© comScore, Inc. Proprietary and Confidential. 23 12 million Americans accessed movie information on their mobile browsers in September

1/3 of all people looking up 18-24 year olds are the most likely entertainment listings on their phones group to look up entertainment info access fandango.com via a mobile on their phones, whether using an browser. Movie info is top priority for app or a browser. those seeking mobile entertainment

% Composition Index Top Entertainment Listings Sites Users who access movie listings on a accessed via mobile phones mobile browser or app, versus total mobile Subscribers (MM), (Mobile Internet Reach %) subscribers Fandango 4.0 (5.4%) 13-17 121 Yahoo! 18-24 144 2.2 (3.0%) Movietickets 2.0 (2.7%) 25-34 150 Moviefone.com 2.0 (2.7%) 35-44 109 IMDB 1.5 (2.0%) 45-54 58 Ticketmaster 1.3 (1.8%) 55-64 28 Citysearch 1.1 (1.5%)

© comScore, Inc. Proprietary and Confidential. 24 Ethnicity plays a role in mobile movie site visitation

The Caucasian audience consistently under-indexed in visitation of the three major mobile movie browser destinations in September

Browser Visitation Index Mobile Browser Visitation To Total Internet

337

272 241 237 219 232 195 179 165

83 80 66

Caucasian African American Asian Hispanic Fandango Moviefone.com Movietickets

© comScore, Inc. Proprietary and Confidential. 25 Phone features are a critical component to movie information gathering

SMS is an important tool used by minority segments for accessing movie information with Hispanic and Asian groups more than 3X more likely than the total mobile internet

SMS Movie Information Index Accessed Movie Information Via SMS To Total Internet

Hispanic 310

Asian 302

African American 236

Caucasian 72

© comScore, Inc. Proprietary and Confidential. 26 Ease of information access makes Smartphone penetration high

The non-Smartphone user is 50% less likely to access movie information on these three key sites than the total mobile internet user. Fandango shows strength across all major operating systems

Smartphone Visitation Index 671 Accessed Movie Web Sites Via Smartphone To Total Internet

433 388 355 368 358 342 327 339 340 309 313 297 306 269 218 194 165

57 63 62

Fandango Moviefone Movietickets.com

© comScore, Inc. Proprietary and Confidential. 27 DVD Buyers: Are They Different?

© comScore, Inc. Proprietary and Confidential. 28 DVD buyer demographics reveal an equal split between genders

DVD Buyer Demographics Males and Females are equal contributors to both online and offline DVD purchases Male 46% Female 54%

DVD Heavy/Light Purchases

Heavy 34% Heavy buyers (1+ purchase per Light month) represent 1/3 of all online 66% and offline purchases

© comScore, Inc. Proprietary and Confidential. 29 Retired? Build your DVD collection

Heavy DVD buyers over index in the older, more affluent segments

Heavy DVD Buyers Index Heavy DVD Buyers To Total Internet

Graduate Degree 369

HHI $100K+ 148

Males 65+ 134

Females 65+ 242

Females 45-54 166

Females 25-54 127

© comScore, Inc. Proprietary and Confidential. 30 Who’s not buying?

Lower income, minority and teen segments under index for purchasing at least one DVD per month

Light DVD Buyers Index Light DVD Buyers To Total Internet

HHI Under $25K 72

Teens (12-24) 67

African Americans 39

Hispanic 18

© comScore, Inc. Proprietary and Confidential. 31 Home Entertainment purchases are separate from movie tickets

Counter to intuition, people are either going online to buy movie tickets, or shopping for home entertainment – but they’re rarely doing both: we estimate <5% of online movie ticket buyers also make a High Definition or Blu-ray purchase

BLU-RAY buyers as a % of total Movies/Videos buyers

7% 8% 7% Average = 6%

3%

Jun-09 Jul-09 Aug-09 Sep-09

© comScore, Inc. Proprietary and Confidential. 32 Cognographics of DVD Buyers

Offline DVD Buyers Indexed Against Online DVD Buyers Indexed Against Total Internet Total Internet

1 Hulu 145 1 Hulu 169 2 Disney Online 121 Video 2 Encyclopaedia Britannica 159 3 Encyclopaedia Britannica 120 3 .COM* 153 4 Federated Media 119 4 NETFLIX.COM 152 5 NetShelter Technology 117 Retailers 5 The Mozilla Organization 143 6 Best Buy Sites 117 6 Federated Media Publishing 134 7 Weatherbug Property 116 7 Best Buy Sites 132 8 Gorilla Nation 115 8 Alloy Digital Network 132 9 JCPenney Sites 112 Education 9 Internet Brands, Inc. 131 10 Pearson Education 112 10 UPS Sites 128 11 Break Media 112 11 Fantasy Sports Ventures 124 12 Viacom Digital 111 Teens 12 The Washington Post Company 122 13 Experian Interactive 110 13 Amazon Sites 122 14 Glam Media 110 14 Capital One 121 15 Photobucket.com LLC 110 Community 15 Break Media 120 16 WordPress 108 16 Photobucket.com LLC 119 17 Examiner.com Sites 107 17 Time Warner - Excluding AOL 119 18 The Washington Post 106 18 Wikimedia Foundation Sites 119 19 The Mozilla Organization 106 19 NFL Internet Group 117 20 Alloy Digital Network 105 20 USPS.COM 117

© comScore, Inc. Proprietary and Confidential. 33 Majority of time online is spent with major internet brands

Site distribution of the two purchase audiences are nearly identical with the majority of time spent on large, premium portals and sites

Offline DVD Buyers Online DVD Buyers Total Minutes, Top 10 Total Minutes, Top 10

1 Yahoo! Sites 8,219 1 Yahoo! Sites 5,783 2 Google Sites 6,655 2 Google Sites 4,501 3 Microsoft Sites 4,537 3 Microsoft Sites 3,903 4 FACEBOOK.COM 3,462 4 AOL LLC 2,268 5 AOL LLC 2,874 5 FACEBOOK.COM 2,172 6 Fox Interactive Media 1,673 6 eBay 1,067 7 eBay 1,120 7 Fox Interactive Media 858 8 EA Online 1,000 8 craigslist, inc. 746 9 ESPN 891 9 EA Online 405 10 Viacom Digital 602 10 Viacom Digital 393

© comScore, Inc. Proprietary and Confidential. 34 45M Internet users purchased a VHS or DVD in the past 6 months

With 36M purchasing offline and 23M purchasing online, the erratic but climbing sales numbers show promise

# of Internet users who purchased a VHS or DVD online or offline in the past 6 months

47,500 47,000 46,500 46,000 45,500 45,000 44,500 44,000 43,500

© comScore, Inc. Proprietary and Confidential. 35 Case Study

© comScore, Inc. Proprietary and Confidential. 36 Search activity spikes after movie release for Zombieland while visitation to key movie sites spike before release

Searchers searching on Zombieland 281,360

41,514

Day 2 4 6 8 10 12 14 16 18 Day 2 4 6 8

Pre- Campaign Period Movie Release

809,474 Visits to Zombieland sites*

Day 2 4 6 8 10 12 14 16 18 Day 2 4 6 8

Pre- Campaign Period Movie Release

*Analyzed Zombieland pages on IMDB, Zombieland.com, MSN, Yahoo, Fandango, © comScore, Inc. Proprietary and Confidential. 37 Moviefone and YouTube Takeaways

© comScore, Inc. Proprietary and Confidential. 38 Key Takeaways

. Theatrical – Females between the ages of 25-54 are heavy online ticket buyers – Community, Home, Education and Travel content are congregating points for the online ticket buyer – The role of search pre-release and post-release should be carefully considered; how should messaging and destinations change? . Mobile – Minority groups and Smartphone owners use their mobile device as a fact finding tool . Home Entertainment – Older age segments index extremely high for heavy DVD purchases while the younger, minority and less affluent segments skew remarkably low – Online and offline DVD buyers are heavy consumers of Video, Retail, Education and Community content

© comScore, Inc. Proprietary and Confidential. 39 Thank You!

Elise Neel, VP Marketing Solutions 360.448.7680 [email protected] @furiousfeet

© comScore, Inc. Proprietary and Confidential. 40