Europe Digital Media Industry Sector Report Note: This Document Is for Representation Purposes Only

Europe Digital Media Industry Sector report Note: This document is for representation purposes only. The facts and figures reported are masked. The report does not claim to accurately represent any industry, business entity, or person

S. No. Section Page X Sector overview ...... X X Market size and growth ...... X X Key segments ...... X-XX X.X Online advertising ………………………………………………………………………………………………… X-X X.X Digital TV ………………………………………………………………………………………………………….. X-XX XX- X Key trends …………………………………………………………………………………………………………………. XX X.X European media consumption landscape ……………………………………………………………………… XX X.X Device penetration in the UK XX X.X Digital burst XX XX- X.X Entertainment and Media industry M&A landscape XX X Key drivers ………………………………………………………………………………………………………………… XX

X Competitive landscape ...... XX X.X Commercial television groups in Europe ………………………………………………………………………. XX X.X Digital agencies in the UK ……………………………………………………………………………………….. XX X.X Media agencies in the UK ……………………………………………………………………………………….. XX X Appendix ...... XX X InsightBee disclaimer …………………………………………………………………………………………………… XX

• European digital market has gained momentum over the last couple of years despite slowdown from recession. It is expected to gain further pace with the adoption of digital technologies. Digital technologies not only alter the cost base of the companies but also enables creation of new kinds of products, services and business models. As per a analysis by Accenture, X% digitalization can contribute to X.X% increase in GDP. However, the growth in digital media is hampered by the lack of faith of leading EU companies in digital technology. Only XX%* of the EU executives feel that digital technology will transform the industry in the near term. • Currently the market can be broadly divided into two key segments: • Online advertising market: Online advertisement spending has grown from €XX.X bn in XXXX to €XXX.X bn in XXXX. In Europe, UK is the biggest advertisement market. • Digital TV market: Digital TV market has grown from €XX.X bn in XXXX to €XX.X bn in XXXX. Satellite TV and Digital Cable are the major segments contributing to this growth. • Major trends in the digital industry are: • Online media grew by XX% in XXXX since XXXX. It showed highest growth as compared to any other media segment : TV, Radio, newspapers and magazines. Programmatic ad buying is expected to be a major driver of online advertisement spending in the coming years. • The tendency of the european population for multi-tasking has increased. • Smartphones and Tablet penetration has grown to more than XX%. • M&A activity: • Cable & Satllite TV deals formed XX% of the top XX media deals by size in XXXX. This shows increasing transformation of the industry towards digital technology. • M&A activity is expected to increase further with US television majors’ interest in the European market.

Source:* Accelerating Europe´s Comeback, Accenture, XXXX

UK Digital Media market

UK Entertainment and Media industry (€ bn) Breakdown by digital and non-digital

84.0 €XXX.X operations – XXXX Note: Currency rate for XXXX: XGBP = X.XXXXEUR 82.0 Total:

80.0 €XXX.X

78.0

76.0

74.0 €XX.X Non-digital Digital XX% XX% 72.0

70.0

68.0

66.0 2014 2019

• The UK Entertainment and Media market is expected to grow at a CAGR of X.X% for the XXXX-XXXX period, reaching €XXX.Xbn in XXXX. Revenue from the Entertainment and Media industry’s digital operations is forecast to constitute half of the total industry revenue in XXXX, amounting to €XX.Xbn. Revenue growth will be fueled by increased Internet speeds and online advertising. • The fastest growing digital sectors will stem from the digitalisation of traditional media areas in TV advertising, out-of-home and book publishing. • In Europe, the UK will remain the largest online advertising market. In XXXX, the UK’s online advertising market stood at €X.Xbn and, for the XXXX-XXXX period, is expected to grow at a CAGR of XX.X%, reaching €XX.Xbn in XXXX.

Source: ‘EU Online Advertising reaches landmark €XX.Xbn’ – IAB press release, May XXXX / ‘Global Entertainment & Media Outlook XXXX-XXXX’ – PwC, XXXX / ‘Media industry placed at the forefront of digital revolution’ – campaign.com (accessed on XX Jul) / Oanda.com

Online Advertising Segment

Europe Online Advertising market (€ bn)

35.0 30.0% Online ad spend YoY Growth €XX.X

30.0 €XX.X 25.0% €XX.X 25.0 €XX.X 20.0% XX.X% 20.0 €XX.X XX.X% XX.X% 15.0%

15.0 XX.X%

10.0%

10.0

5.0%

5.0

0.0 0.0% 2010 2011 2012 2013 2014

• Europe’s online advertising market grew X.X% y-o-y in XXXX to reach €XX.Xbn. This marks five consecutive years of double-digit growth for this segment. • All three broad categories of this segment –Display, Search and Classifieds and Directories– recorded positive y-o-y growth. The key growth drivers in these online advertising formats have been the shifting use of devices and changing consumption patterns. • Display advertising outperformed other categories with a growth rate of X.X% y-o-y in XXXX. In XXXX, the total value of the Display advertising market was €X.Xbn (XX% of the total market). • Search grew X.X% y-o-y, with a market value of €X.Xbn (X% of the total). It continues to be the largest online advertising format in terms of spend, but its growth rate has slowed in the past three years. • The Classifieds and Directories market grew X..X% to €X.Xbn (X% of the total). This category benefitted from the improvement in the economy, but is increasingly challenged by Paid-for-search and Data-driven Display to compete for advertising budgets. Source: ‘EU Online Advertising reaches landmark €XX.Xbn’ – IAB press release, May XXXX / ‘Insights on Digital Growth and Opportunities from Europe’ – IAB report, Sep XXXX / ‘Europe’s online advertising market grows to XX billion euros, now accounts for XX% of total spend: IAB’ – thenextweb.com (accessed on XX Jul XXXX) / ‘IAB Europe: Digital Ad Revenues Record Double Digit Growth’ – exchangewire.com (accessed on XX Jul XXXX)

Online Advertising Segment

Share of Online Advertising Formats Breakdown of Display Advertising XXXX Format – XXXX X%

Total: XX% Total: €XX.Xbn XX% €XX.Xbn

XX% XX%

Display Search Classifieds and Directories Other Mobile Online video Other

• Mobile and Online video advertising spend continue to show strong growth in XXXX and now command a significant portion of both the Display and Search advertising categories. Over XX% of growth in XXXX came from Mobile. • In the Display category, Mobile accounted for X% of the market in XXXX and recorded a y-o-y growth of XX.X%. Online video accounted for XX% of the Display market in XXXX. • The growth of Mobile and Online video reflects ongoing investments and innovation by the online advertising industry to meet advertiser needs. The shift in consumption trends will continue to drive further investments.

Source: ‘EU Online Advertising reaches landmark €XX.Xbn’ – IAB press release, May XXXX (accessed on XX Jul XXXX)

Online Advertising Segment

Europe Online Advertising market (€ bn) Share by country Top XX countries XXXX

10.0 X% €X.X 9.0 Total: X% XX%

8.0 €XX.Xbn X% XX% 7.0 X% 6.0 €X.X X% 5.0 €X.X XX% €X.X 4.0 XX%

3.0 XX% €X.X €X.X XX% 2.0 €X.X €X.X €X.X €X.X €X.X 1.0 UK Germany France Italy

0.0 Russia Netherlands Sweden Spain UK Germany France Italy Russia Netherlands Sweden Spain Denmark Norway Rest Denmark Norway Rest

• UK continues to lead the European Online Advertising market, with nearly X/X of the market share in XXXX. Germany stood second with an XX% share, while France came in third with a XX% share. • The Central and Eastern Europe region recorded strong growth, as Online Advertising is still benefitting from the improvement in broadband infrastructure and the increase in broadband penetration in this region, which brings more addressable audiences online. • However, growth in European Online Advertising continues to be driven by the most mature online advertising markets in Europe. This is a direct result of investments in various formats and targeting capabilities and developing data strategies in a cross-device environment.

Source: ‘EU Online Advertising reaches landmark €XX.Xbn’ – IAB press release, May XXXX (accessed on XX Jul XXXX)

Digital TV segment

• Digital TV can be received: online (generally through Internet-based technologies and through IPTV and connected TVs), through a satellite dish (Digital Satellite Television), a cable line (Digital Cable Television) and through an over-the-air transmission television set (Digital Terrestrial Television). • The Pay TV market in Europe increased X%, from $XX.X (€XX.X) bn in XXXX to $XX.X (€XX.X) bn in XXXX. In XXXX, Satellite TV generated about XX% of the total Pay TV revenue, followed by Digital Cable TV, which generated XX%. In XXXX, Pay TV revenue was expected to increase X.X%, to $XX.X (€XX.X) bn, with IPTV showing the strongest growth; however, income from Satellite TV was expected to decline to $XX.X (€XX.X) bn from $XX.X (€XX.X) bn in XXXX. Revenue from Cable (digital and analog) was expected to decline by X.X% from $XX.X (€XX.X) bn in XXXX to $XX.X (€XX.X) bn in XXXX. However, revenue from Digital Cable TV was forecasted to grow X% in XXXX, reaching $XX.XX (€XX.X) bn.

Source: ‘Pay TV revenues in Europe from XXXX to XXXX, by platform (in billion USD)´ – statista.com (accessed on XX Jul XXXX) / Oanda.com exchange rate USD to EUR: XXXX = X.XXXX, XXXX = X.XXXX , XXXX = X.XXXX, XXXX = X.XXXX, XXXX = X.XXXX

Digital TV segment In XXXX: • Western Europe’s Pay TV revenue increased X% from $XX.X (€XX.X) bn in XXXX to $XX.X (€XX.X) bn. • Expected revenue in the UK was $X.X (€X.X) bn, followed by Germany with $X.X (€X.X) bn, France with $X.X (€X.X) bn , Italy with $X.X (€X.X) bn and Netherlands with $X.X (€X.X). UK is the highest Pay TV market. • Pay TV subscribers in Europe were expected to reach XXX.X million, compared to XXX.X million in XXXX. Western Europe's subscribers were expected to increase by X million, reaching XXX.X million subscribers. Germany, UK and France were forecasted as the top X markets, and Eastern Europe’s market subscriptions were expected to reach XXX.X million. • Digital TV penetration was expected to reach XX% of European TV households, compared to XX% in XXXX. • Eastern Europe: • Pay TV revenue in Eastern Europe is expected to increase to $XX.Xbn by XXXX, compared to $X.Xm in XXXX. Digital Pay TV revenue is expected to increase XX% between XXXX and XXXX, reaching $X.Xbn in XXXX.

Source: ‘Digital TV Eastern Forecasts’ – digitaltvresearch.com, Apr XXXX (accessed on XX Jul XXXX) / ´Digital TV Research breaks down pay TV-revenue for XXXX’ – zebraott.com, XX June XXXX (accessed on XX July XXXX)

Digital TV segment • Between XXXX and XXXX, Digital Cable revenue will more than double and IPTV will increase XX%. However, Satellite TV will only increase XX% due to increased competition and the growth of cheaper alternatives in Eastern Europe. • In XXXX, the number of digital Pay TV subscribers will increase from XX.X million in XXXX to XX.X million in Eastern Europe. It is expected to reach XX.X million in XXXX, which will comprise XX.X% of the total TV household subscribers. • Western Europe: • About XX% of households in Western Europe have access to Pay TV. Due to the improved economic climate, Pay TV subscribers increased from XX.X million in XXXX to XX.X million in XXXX. • Regional penetration is expected to reach XX.X% by XXXX. Although this penetration rate is lower than that of Eastern Europe, there has been a steady rise in the use of digital platforms. Therefore, Pay TV subscriptions are expected to increase by XX.X million between XXXX and XXXX, and in the same period digital subscribers are expected to increase XX.X%, reaching XX million. • By XXXX, UK’s expected Pay TV revenue will be $XX.Xbn and Germany’s will be $XX.Xbn.

Source: ‘Pay TV makes steady progress in Western Europe´ - emarketer.com, XX May XXXX (accessed on XX Jul XXXX)

Television was the most important media in Europe in XXXX. However, Online recorded the highest growth. Growth since XXXX % +X% Television XX

% +XX% Online XX

% +X% Radio XX

% -X% Newspapers XX

% +XX% Magazines XX

Penetration Digital Source: ‘Insights on Digital Growth and Opportunities from Europe’ – IAB report, Sep XXXX

Smartphone penetration

XX%

XX% XX%

Tablet penetration

XX%

X% XX%

XXXX XXXX XXXX XXXX XXXX

Source: ‘Insights on Digital Growth and Opportunities from Europe’ – IAB report, Sep XXXX

Internet has become an ‘all consuming’ media device in Europe and is leading to a digital burst. People are increasingly using the power of Internet for multi-tasking, leading to a major shift in the consumption of digital media. The key drivers are: • Increasing penetration of mobile devices (smartphones/tablets) • Increasing broadband penetration

The following figures capture XXXX multi-tasking trends of European Internet users

XX% XX% XX%

XX% of Internet users XX% of Internet users XX% of Internet users watch television online listen to radio online read news online

Source: ‘Insights on Digital Growth and Opportunities from Europe’ – IAB report, Sep XXXX

The following table lists the top XX media deals by size that took place in Europe in XXXX. Cable and satellite deals dominated the M&A activity in the region.

Top XX European media deals by size – XXXX

Date Target Acquirer Sector Deal value (€ m) Country

Nov XX Ziggo NV (XX%) Liberty Global plc Cable & Satellite X,XXX Netherlands

Jul XX Grupo Corporativo ONO SA Vodafone Holdings Europe SLU Cable & Satellite X,XXX Spain

Nov XX Sky Deutschland AG (XX.X%) BSkyB Cable & Satellite X,XXX Germany

Jul XX Numericable Group (XX.X%) Altice SA Cable & Satellite X,XXX France

Nov XX Sky Italia Sr BSkyB Cable & Satellite X,XXX Italy

Oct XX Get AS TDC A/S Cable & Satellite X,XXX Norway

Trader Media Group Holdings Ltd Mar XX Apax Partners LLP Online X,XXX United Kingdom (XX.X%)

Sep XX VKontakte Ltd. (XX.X% Stake) Mail.ru Group Limited Online X,XXX Russia

Berliner Morgenpost, Hamburger Apr XX Funke Mediengruppe GmbH Publishing XXX Germany Abendblatt and others Endemol (XX% Stake), CORE Media, Twenty-First Century Fox, Apollo Dec XX Television XXX United Kingdom Shine Group Global Management

Note: Cable & Satellite / Television deals might not be XXX% digital and include some analog component Digital Source: ‘Reshaping Europe’s media landscape’ – PwC report, Jan XXXX

The following table lists the top XX media deals by size that took place in the UK in XXXX. Television and Marketing Services deals dominated the M&A activity in the region.

Top XX UK media deals by size – XXXX

Deal Value Date Target Acquiror Sector (€ m)

Mar XX Trader Media Group Holdings Ltd (XX.X%) Apax Partners LLP Online X,XXX

Endemol (XX% Stake), CORE Media, Shine Twenty-First Century Fox, Apollo Dec XX Television XXX Group Global Management

Aug XX AllXMedia Ltd Liberty Global, Discovery Holding Television XXX

Sep XX Channel X Broadcasting Ltd Viacom Inc Television XXX

Dec XX Perform Group PLC AI PG LLC Marketing Services XXX

Feb XX Mergermarket Ltd BC Partners Ltd BXB Media XXX

Oct XX Gorkana Group Limited Cision AB Marketing Services XXX

Jul XX CSC Media Group Ltd Sony Corp Television XXX

Aug XX Engine Group Ltd Lake Capital Partners Inc Marketing Services XXX

May XX Jobsite UK (Worldwide) Ltd Axel Springer SE Online XXX

Note: Marketing Services / Television / BXB Media deals might include some digital component Digital

Source: ‘Reshaping Europe’s media landscape’ – PwC report, Jan XXXX

• Cable & Satellite dominates in Europe whereas Television and Marketing Services in the UK: Majority of the top M&A deals in Europe in XXXX belonged to the Cable & Satellite sector. Of the top ten deals, the top six belonged to this sector, with a total deal volume of €XX,XXXm, comprising XX% of the total top ten deal value. On the other hand, the UK M&A deals in the media industry in XXXX were characterised by the dominance of the Television and Marketing Services sector. Of the top XX deals, seven belonged to these sectors combined (four in Television and X in Marketing Services), comprising a XX% share (€XX,XXXm) of the total top ten deal value.

Deal value (€ m) – Europe Deal value (€ m) – the UK

XX% XX%

Total top ten Cable & Satellite Total top ten Television + Marketing deals value deals value deals value Services deals value

• In Europe, corporates were the biggest buyers, while in the UK, private equity had more presence: The list of the biggest M&A deals in XXXX in Europe is dominated by corporate buyers. However, in contrast to this trend, private equity dominated the top M&A deals in the UK, with deals such as Apax Partners’ purchase of the remaining stake of Trader Media Group (now Auto Trader), and other large deals completed by BC Partners, Cision/Vocus (GTCR-owned) and Lake Capital Partners. The composition of the UK top ten list also highlights the high interest in UK assets by US corporates.

Source: ‘Reshaping Europe’s media landscape’ – PwC report, Jan XXXX

• US television majors will increase investments in Europe: US television majors will continue to invest in the media industry of Europe in an ongoing drive to grow their footprints and tap into Europe’s revenue potential. They plan to gain distribution options for their content and generate new content assets. Examples of this trend during the year XXXX included Liberty/Discovery acquiring AllXMedia, Discovery increasing its stake in Eurosport, and Sony buying CSC Media (including Chart Show TV).

• M&A activity in triple-play will increase: Telecoms will increasingly invest in deals to add television services to their portfolio of offerings. TV is typically seen as the differentiator within triple-play and the way to win and retain customers – and so telecoms players are continuing to develop their offerings, in part through acquisitions. A related ongoing trend during the year XXXX was consolidation between operators, with Liberty Global continuing to pursue this strategy – including acquiring Ziggo in XXXX.

• Publishers will continue to grow ‘digitally’: Rapid migration of readers and advertisers to digital devices will continue to generate much of the deal activity in the publishing sector, maintaining the trend seen in recent years. During XXXX there was significant digital-related deal activity from publishers including Future, Immediate Media, Springer, Mecom and many others. Companies will refocus their strategies and channelize their funds to create assets with stronger digital futures, thereby creating digital ‘winners’ and ‘losers’.

• Digital pure-play media companies will witness rapid growth: Digital pure-play companies will grow. Examples include Zoopla making its IPO in XXXX and Auto Trader planning to transact in XXXX. These companies are growing their revenues through increase online usage and expansion of their offerings, for example by offering data services and more personalised offerings.

(X/X)

Source: ‘Reshaping Europe’s media landscape’ – PwC report, Jan XXXX

• Marketing services deals will continue to target digital offerings: The growing social media is revolutionising the way marketing services companies operate. Leading marketing services businesses such as WPP and Publicis continue to make multiple acquisitions, often focused on growing their digital capabilities. There is also an increased interest from PE investors – e.g. Chicago-based PE fund GTCR added its UK based Gorkana in October XXXX. Another PE fund called Lake Capital acquired the Engine Group to combine it with other assets, creating a ‘XXst century’ marketing services group.

• BXB companies will continue expand their digital offerings: BXB information/data providers are expanding their product offerings by using new digital delivery methods. This makes their products more real-time, more relevant and more workflow-embedded than traditional print information. This has reinforced the ability of these businesses to generate cash from subscribers, in turn generating growing interest from acquirors. These developments are increasingly giving rise to M&A activity, with PE buyers especially prominent in this space. Deals of this type in the year XXXX included Bowmark buying Autodata, LDC buying Capital Economics and Mergermarket’s acquisition by BC Partners.

(X/X)

Source: ‘Reshaping Europe’s media landscape’ – PwC report, Jan XXXX

• Rapid and widespread uptake of mobile devices will fuel growth of digital media industry: Households are moving from solo-device centric to multi-device centric. On average, there is more than one device per household in Europe. As users become multi-device owners, digital media will continue to record high growths.

• Increasing mobile broadband penetration Increasing broadband penetration in the European region will continue to fuel digital media’s growth. People will have “everything, everywhere, anytime –all of the time” access to internet which will lead to the growth of mobile digital media, social networking and the like.

• Shift in consumer behavior and information usage Consumers are increasingly spending more time on their devices looking for information and news. For example, shoppers are increasingly using their smartphones to look for information online before buying the products in retail stores. This is leading to a shift in the marketing strategies of marketers as well, being termed “the shift from products to markets”. Consequently, marketers and companies will continue to develop strategies to enhance users’ digital media experience.

• Increasing convergence of technology, communications and social media This is leading to a world without clear segmentation. Everything is being driven by data and automated communications. With the increased adoption of Big Data, companies are finding new ways to connect with individuals.

• Shift from print-first to digital-first The position of digital in communications and advertising has increased continuously. Today, in Western Europe, the size of Internet Advertising is equal to the advertising spend in Newspaper and Magazine combined. Companies are focusing their investments on creating more digital content to cater for rapidly evolving consumer usage shifts.

Source: ‘European Digital Media Landscape to XXXX’ – EMGE & Co. Ltd., Wessenden report, Jun XXXX

Programmatic digital display ad • Programmatic advertisement buying –an automated advertisement spending (€ m) buying method– will be the major driver of online advertising spending in Europe.

2500 • Spending on programmatic ad placements grew by XXX.X% y-o-y to Western Europe reach €X,XXX.Xm. As a result, programmatic buying was associated with Total: an estimated XX.X% of online display ad spending in XXXX, vis-à-vis Central and Eastern €X,XXX.X XX.X% in XXXX. Europe 2000 €XXX.X • Western Europe accounts for the majority of programmatic ad spending. In XXXX, its share was XX% of the total spend, while Central and Eastern Europe accounted for just X%. Programmatic ad spending in Western Europe grew XXX.X% y-o-y in XXXX, while in Central and Eastern Europe it grew XXX.X% y-o-y.

1500 • Growth in video ads via programmatic mechanisms is expected to maintain a CAGR of XX.X% for the XXXX-XXXX period. Total: • The key drivers for increasing programmatic ad spending are: €XXXX.X

1000 • Improved targeting €XXXX.X XXX.X • Real-time action • Waste reduction • Personalised ads

500 €XXXX.X • Faster go-to-market • Campaign tracking • Cheaper advertising • Better value impressions 0 • More creative advertising 2012 2013

Source: ‘Programmatic Will Be Key to Europe's Digital Ad Market’ – emarketer.com, X Oct XXXX (accessed on XX Jul XXXX)

Commercial television groups in Europe Company/Brand Revenue in Revenue Net margin Total assets Geographic presence FYXXXX (€ growth (y-o- FYXXXX FYXXXX m) y) British Sky Broadcasting Ltd X,XXX X.X% XX.X% XXXX UK, Ireland, Italy, Germany, Austria Germany, France, USA, Netherland, RTL Group X,XXX (X.X)% XX.X% X,XXX Belgium, UK, Ireland Gruppo Mediaset X,XXX (X.X)% X.X% X,XXX Italy, Spain

ProSiebenSat. X Media AG X,XXX X.X% XX.X% X,XXX Germany, UK, USA, Australia, Switzerland

Groupe TFX X,XXX X.X% XX.X% X,XXX France

ITV plc X,XXX X.X% XX.X% X,XXX UK, Germany, France, Australia, Nordics France, Germany, UK, Australia, New Groupe Canal Plus X,XXX X.X% XX.X% X,XXX Zealand, Africa, Poland, Vietnam, Sweden, Denmark, Baltic, Czech Republic, Modern Times XXX XX.X% X.X% XXX Bulgaria, Norway Bulgaria, Croatia, Czech Republic, Romania, Central European Media Enterprise XXX X.X% (XX.X)% XXX Slovak Republic, Slovenia

• British Sky Broadcasting is the leadingX European television group. It derived XX% of its revenue from retail subscriptions in XXXX. • RTL Group the second largest group in terms of revenue; however, it generated €XXXm in XXXX from digital revenue. On the other hand, ProSiebenSat. X Media AG generated XX.X% (€XXXm) of its revenue from digital and adjacent content in XXXX. • Groupe TFX has the highest net margin among the television group mentioned above.

Source: Annual reports, company website assessed on XX Jul XXXX / Oanda.com exchange rates XXXX GBP to EUR: X.XXXX (British sky), X.XXX (ITV), SEK X.XXXXX, USD X.XXXXXX XBased on XXXX revenue

Digital agencies in the UK Company name Fee income Fee income Owner Top clients FYXXXX (€ m) y-o-y growth

SapientNitro XXX X.X% Publicis Groupe RBS, TUI, Sky, Unilever, Tesco

Jaguar LandRover, Home Retail Group, Nationwide, BP IBM Interactive Experience XX X.X% IBM Castrol, Visa

AKQA XX X.X% WPP Barclays, BUPA, Nike, Beiersdorf, Mini

Tribal Worldwide London XX X.X% Omnicom Volkswagen, Morrisons, Exxon Mobil, Fitness First, Unilever

Virgin Atlantic Airways, Barclays, AstraZeneca, Lloyds TSB, DigitasLBi XX (X.X)% Publicis Groupe Honda

Deloitte Digital UK XX XX.X% Deloitte LLP Roche, Virgin Media, BBC UK, Diageo

Santander, BskyB, Apple Distribution International, BMW, Engine XX XX.X% Engine Holding LLC Home Office

BAE Systems Applied XX XX.X% BAE Systems Three, Transport for London, Network Rail, Vodafone, EE Intelligence

iProspect XX XX.X% Dentsu Aegis UK Limited Adidas, Diageo, ASDA, Kellogg's, British Gas

Salmon XX X.X% WPP

ASICS, The Co-operative Group, Virgin Trains East Coast, Amaze XX XX.X% St Ives Group plc Toyota Motor Group: Lexus and Toyota, Unilever

IKEA, Royal Bank of Scotland Group, Telefónica UK, M&C Saatchi UK Group XX XX.X% M&C Saatchi plc Source: NL Agency, Ministry of Economic Affairs, Agriculture and Innovation, ¨United Kingdom – the Digital Media Industry´, XXXX, ExchangeTransport rate for XXXX for London,: EUR X.XXXXX Walgreens Boots Alliance

Source: Econsultancy, Top XXX Digital Agencies report XXXX

Media agencies in the UK Company name UK income from Digital UK staff members Owner FYXXXX (€ m)

Mediacom XXX XXX Mediacom

Essence Digital XX XX Independent

Neo@Ogilvy XX.X XX WPP

Media Contacts XX XX Havas Digital

Steak XX XX Dentsu

Brilliant Media XX XX Mediacom

Harvest Digital XX XX Independent

Mindshare Media (UK) X XXX WPP

AgendaXX Digital X XX Independent

TwoFour X XXX Independent

Positive Digital XX XX Independent

Search Laboratory XX XX Independent

• Mediacom generated highest share of revenues from digital income. Two of the top XX agenciesX are owned by Mediacom.

Source: NL Agency, Ministry of Economic Affairs, Agriculture and Innovation, ¨United Kingdom – the Digital Media Industry´, XXXX, Exchange rate for XXXX : EUR X.XXXXX X Based on digital revenue

UK mobile advertising revenue (€ bn) UK outdoor advertising revenue (€ bn)

7.0 €X.X 1.0 €X.X

0.9

6.0

0.8

5.0 0.7

0.6

4.0

0.5 €X.X

3.0

€X.X 0.4

0.3 2.0

0.2

1.0

0.1

0.0 0.0 2014 2019 2014 2019

UK digital music streaming revenue (€ bn) UK digital music downloading revenue (€ bn)

1.4 0.6 €X.X €X.X 0.5 1.2

0.5

1.0 0.5

0.5

0.8

0.5

0.6 0.5 €X.X

0.5 0.4

€X.X 0.5 0.2

0.5

0.0 0.5 2014 2019 2014 2019

Source: IAB press release, May XXXX / PwC report – ‘Global Entertainment & Media Outlook XXXX-XXXX’, XXXX / Oanda.com

The information contained in this report has been obtained from sources believed to be reliable. Efforts have been made to validate the information from multiple sources, but the accuracy cannot be guaranteed. The author and InsightBee disclaim all warranties as to the accuracy, completeness or adequacy of such information. InsightBee shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof.