Payday Loans

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Trends in Advertising Activity - Payday Loans

December 2013 Contents

• Key Facts

• Viewing Trends

• Advertising Activity

• Annex 1 – Methodology

1 Key Facts

Source: BARB/Infosys+/Nielsen Media Note: Figures have been rounded for illustrative purposes – please refer to the ‘Advertising Activity’ section for detailed analyses 2 Key Facts - Viewing

2012 Total TV Comm.TV Comm: Non-comm 2008 2012 Adults 4.3 2.8 Adults 66:34 66:34 commercial ABC1 Adults 3.5 2.2 - ABC1 Adults 63:37 61:39 C2DE Adults 5.2 3.6 C2DE Adults 68:32 70:30 4-15 2.4 1.7 4-15 74:26 73:27

Hours of viewing/day Hours 10-15 2.4 1.8 10-15 75:25 75:25 Commercial: Non

Viewing by daypart Commercial channel viewing by channel group • Around two-thirds of commercial channel viewing takes place pre- • Terrestrial channels account for almost two-fifths of adult viewing - 2100 across the adults demographic groups – this has remained this has been in decline as viewing to Portfolio channels has stable over time. ABC1 Adult viewing tends to be higher later in the increased to around a quarter of viewing. evening than Adults/C2DE Adults. • Among children, the share of viewing represented by the Terrestrial • Around four-fifths of Children’s viewing takes place pre-2100, falling channels falls to around a quarter and viewing to the Portfolio to around three-quarters among older children – this has also channels accounts for around 15% of viewing. Children’s channels remained stable over the analysis period account for almost a third of viewing amongst 4-15 year olds and a • In 2012, viewing to commercial channels peaked between 2100- fifth of viewing among 10-15 year olds. Music channels account for 2200 among adult demographic groups, between 2000-2100 among a greater share of children’s viewing than Adults. 10-15s and between 1900-2000 among 4-15s • The ‘Other Top 10 (PDL)’ channels accounted for 5-6% of viewing Children Adults Adults Terrestrial Children Portfolio Pre-2100 Sports Post-2100 Music Movies Children's Other

3 Key Facts - Payday Loans

2008 2011 2012 Spots by daypart, 2012 Spots by channel, 2012 Spots 17k 243k 397k 1% Terrestrial % total spots 0.1% 0.7% 1.2% 0600-0929 6% 9% Portfolio • Between 2008 and 2012 the volume of PDL spots shown increased from 15% 9% 0930-1659 17k to 397k, with a year-on-year increase of 64% between 2011 and 6% Sports 42% 2012. Music • PDL advertising increased to represent 7.3% of all Finance spots and 16% 1700-2059 24% 90.3% of all advertising related to Personal Loans in 2012. 55% Movies • Over the past two years, when the volume of PDL advertising has been at 2100-2259 11% 8% its highest, the majority of spots were aired during the day between 0600- Children's Commercial Spots Commercial 1659. 2300-2959 1% Other - Top 10 • Over the same period, significant proportions of PDL spots were aired across Music, Movie and ‘Top 10 Other’ channels – the greatest Other proportion were shown on ‘Other’ channels. Children’s channels accounted for 0.6% of PDL spots in 2012

Impacts by daypart, 2012* Impacts by channel, 2012* Impacts 2008 2011 2012 Per Terrestrial Person, 0600-0929 Portfolio 2012 Sports Adults 12m 4.2bn 7.5bn, 0.8% 152 0930-1659 Music ABC1 Adults 5m 1.5bn 2.7bn, 0.7% 103 1700-2059 Movies C2DE Adults 7m 2.7bn 4.8bn, 0.8% 208 2100-2259 Children's 4-15 3m 466m 596m, 0.6% 70 Other - Top 10 10-15 2m 249m 348m, 0.7% 84 2300-2959 Other • With 55.0% of PDL spots aired between 0930-1659, this daypart also accounted for over half of PDL impacts in 2012. A further 15.8% of PDL spots were shown between 1700-2059 and around a quarter of impacts were seen during this slot – this share was higher among children as the proportion Commercial Impacts Commercial of Child PDL impacts seen post-2100 was lower than Adults. • While PSB-owned channels accounted for 9.5% of PDL spots in 2012, these channels represented around a half of PDL impacts. Similarly the ‘Top 10 Other’ represented a greater proportion of impacts compared with spots, while the proportion of impacts seen across the Music, Movie and ‘Other’ channels was significantly lower than the share of spots shown across these channel groups in 2012. Among younger viewers the Music and the ‘Top 10 Other’ channels accounted for a notably higher proportion of Child PDL impacts compared against Adults as the PSB-owned channels accounted for smaller shares. In 2012, Children’s channels accounted for 3% of PDL impacts seen by 4-15 year olds, equivalent to 2 impacts per child over the year. * Based on data for Adults - figures have been rounded for illustrative purposes 4 Key Facts - Payday Loans

Comparative Analysis by Daypart, 2012

Comparative charts, Payday Loans - Adults Commercial channel viewing (Adults) Spots Impacts (Adults)

70.0%

60.0% 57.5% 55.0%

50.0%

40.0% 34.1%

27.2%

30.0%

23.7%

21.2%

20.0% 15.8%

14.5%

12.4% 9.2% 6.9% 6.3% 5.6% 10.0% 5.5% 5.1%

0.0% 0600-0929 0930-1659 1700-2059 2100-2259 2300-2959

Source: BARB/Nielsen Monitor. 5 Key Facts - Payday Loans

Comparative Analysis by Channel Group, 2012

Comparative charts, Payday Loans - Adults

Commercial channel viewing (Adults) Spots Impacts (Adults)

50.0% 41.7%

40.0% 38.6%

30.0% 26.9% 25.3% 23.8% 23.0% 22.7%

21.0% 20.0%

14.3%

10.5%

8.6%

7.9%

10.0% 6.1% 5.1% 5.0% 4.3% 4.2% 3.0% 2.8% 2.2% 1.5% 0.8% 0.6% 0.2% 0.0% Terrestrial Commercial Sports Music Movies Children's Other - Top Other - All Commercial PSB 10 (PDL) other Portfolio

Source: BARB/Nielsen Monitor. 6 Key Facts - Payday Loans

Comparative Analysis by Daypart, 2012

Comparative charts, Payday Loans – Children 4-15 Commercial channel viewing (Children 4-15) Spots Impacts (Children 4-15)

70.0%

60.0% 55.6% 55.0%

50.0%

39.3% 40.0% 31.1% 30.0%

30.0%

20.0% 15.8% 14.5% 14.0%

9.8% 9.2% 6.1% 5.8%

10.0% 5.5% 4.9% 3.3% 0.0% 0600-0929 0930-1659 1700-2059 2100-2259 2300-2959

Source: BARB/Nielsen Monitor. 7 Key Facts - Payday Loans

Comparative Analysis by Channel Group, 2012

Comparative charts, Payday Loans – Children 4-15

Commercial channel viewing (Children 4-15) Spots Impacts (Children 4-15)

50.0% 41.7% 40.0%

30.7%

30.0% 24.7%

24.1% 23.8%

19.7%

19.1%

20.0% 16.3% 15.8% 15.4%

10.8%

10.5%

8.6% 7.9%

10.0% 6.1% 4.6% 4.1% 3.5% 3.1% 3.0% 2.8% 2.4% 0.8% 0.6% 0.0% Terrestrial Commercial Sports Music Movies Children's Other - Top Other - All Commercial PSB 10 (PDL) other Portfolio

Source: BARB/Nielsen Monitor. 8 Key Facts - In context

Total commercial spots & impacts by category

• Within the Nielsen Media database, data for different product categories is classified using a 3-tier system of Major, Mid and Minor product categories.

• The Payday Loans ‘minor’ category sits within the Personal Loans ‘mid’ category, which itself sits within the Finance category. In 2008, the total Finance category accounted for 14.5% of commercial spots- the largest product category in terms of the amount of advertising shown. The Personal Loans ‘mid’ category accounted for 0.7% of total commercial spots and the Payday Loans ‘minor’ category accounted for 0.1% of all television advertising shown.

• In 2012, the Finance category accounted for 15.9% of commercial spots shown. The Personal Loans ‘mid’ category accounted for 1.3% of all spots and Payday Loan commercials represented 1.2% of all television advertising shown. This proportion suggests that, while the share of commercials represented by Payday Loan advertisers has grown from 0.1% in 2008 to 1.2% in 2012, the market remained a relatively small one in 2012, when compared against all the other activity across commercial television.

• In terms of exposure, the Finance category accounted for 10.1% of total Adult impacts in 2008 and 8.5% of impacts among 10-15 year olds. Within this, the Payday Loans ‘minor’ category was very small, with a share of 0.0% being recorded against all demographics.

• In 2012, the Finance category accounted for 12.4% of all Adult impacts – and 10.2% of 10-15 year old impacts. The Payday Loans ‘minor’ category represented 0.8% of all television impacts seen by Adults and 0.7% of television impacts seen by 10-15 year olds. This demonstrates that while audiences were exposed to a significant share of a wide range of finance related commercials, the proportion represented by Payday Loan commercials was relatively small. 9 Key Facts - In context

Total Commercial Advertising Spots, 2008

Category Spots, Share Millions General Insurance 8.0% Other Financial Services 1.9% TOTAL 31.8 100.0% Mortgages 0.8% Finance 4.6 14.5% Brand Building/Services 0.8% Personal Loans 0.7% Food 3.9 12.3% (Payday Loans 0.1%) Cosmetics & Personal Care 3.8 11.8% Money Transmission 0.6% Plastic Cards 0.6% Entertainment & Leisure 2.9 9.2% Life Protection 0.5% Household FMCG 2.5 7.9% Savings 0.4% Business Banking Services 0.1% Pharmaceutical 1.6 5.1% Pensions 0.1% Govt, Political, Social Org 1.5 4.8% Asset Management 0% Investments 0% Leisure Equipment 1.5 4.8% General Financial 0% Telecoms 1.2 3.8% Company Notices & Announcement 0% Drink 1.2 3.8% Motors 1.2 3.7% Retail 0.9 3.0% Travel & Transport 0.9 2.7% Media 0.8 2.5% Games & Consoles 0.8 2.4% All Other 2.5 7.8%

Source: BARB/Nielsen Monitor. Top 15 categories based on volume of spots in 2008 10 Key Facts - In context

Total Commercial Advertising Spots, 2012

Category Spots, Share Millions General Insurance 6.9% Other Financial Services 4.7% TOTAL 34.2 100.0% Personal Loans 1.3% (Payday Loans 1.2%) Finance 5.4 15.9% Money Transmission 0.6% Food 4.3 12.6% Life Protection 0.6% Entertainment & Leisure 3.9 11.4% Brand Building/Services 0.5% Business Banking Services 0.4% Cosmetics & Personal Care 2.7 8.0% Savings 0.4% Telecoms 2.2 6.5% Plastic Cards 0.4% Mortgages 0.1% Household FMCG 1.7 4.9% General Financial 0% Leisure Equipment 1.5 4.3% Asset Management 0% Travel & Transport 1.3 3.8% Drink 1.2 3.4% Pharmaceutical 1.2 3.4% Retail 1.1 3.2% Media 1.1 3.2% Motors 1.1 3.2% Household Equipment & DIY 0.9 2.6% Govt, Political, Social Org 0.8 2.4% All Other 3.8 11.2%

Source: BARB/Nielsen Monitor. Top 15 categories based on volume of spots in 2012 11 Key Facts - In context

Share of commercial impacts by category: 2008

100% All Other 10.4% 10.1% 10.6% 8.9% Games & Consoles 90% 1.8% 1.9% 1.8% 3.0% 3.0% 3.0% 3.0% 2.9% Media 2.9% 3.0% 2.9% 2.7% 80% 5.0% 4.9% 5.1% 4.2% Travel & Transport 4.3% 5.2% 5.5% 5.0% 3.8% Retail 70% 4.6% 4.8% 4.5% 4.0% 4.1% 4.2% 4.0% Motors 1.7% 1.6% 1.8% 7.6% 60% 3.6% 3.6% 3.6% Drink 5.0% 4.8% 5.1% 3.5% 3.6% Telecoms 50% 6.3% 6.1% 6.4% 6.4% Leisure Equipment 40% 10.7% 10.9% 10.6% 12.5% Govt, Political, Social Org 30% 10.5% 10.7% 10.3% Pharmaceutical 10.7% Household FMCG 20% 15.0% 14.9% 15.1% 13.4% Entertainment & Leisure Share of commercial impacts, % impacts, of Share commercial 10% Cosmetics & Personal Care 10.1% 10.0% 10.2% 8.5% 0% Food Adults ABC1 Adults C2DE Adults 10-15 year olds Finance Payday Loans 0% 0% 0% 0% (Minor category within Finance) Source: BARB/Nielsen Monitor. Top 15 categories based on volume of spots shown in 2008 12 Key Facts - In context

Share of commercial impacts by category: 2012

100% All Other 11.2% 11.2% 11.1% 12.0% Govt, Political, Social Org 90% 2.0% 1.9% 2.1% 1.6% 3.9% 3.9% 3.9% 3.0% Household Equipment & DIY 80% 4.2% 4.4% 4.0% 3.4% 2.5% 2.6% 2.5% 3.3% Motors 5.3% 5.3% 5.3% 4.6% 70% 2.5% Media 3.6% 3.5% 3.7% 3.9% 4.1% 4.3% 4.1% 3.6% Retail 3.9% 4.0% 3.9% 60% 1.6% 1.7% 1.5% 6.8% 4.6% 4.5% 4.7% Pharmaceutical 4.9% 50% 5.1% 5.2% 5.1% 4.9% Drink 9.2% 9.2% 9.1% 40% 9.3% Travel & Transport 11.8% 12.0% 11.6% Leisure Equipment 30% 12.5% Household FMCG 20% 14.6% 14.5% 14.7% 13.3% Telecoms Share of commercial impacts, % impacts, of Share commercial 10% Cosmetics & Personal Care 12.4% 12.1% 12.6% 10.2% Entertainment & Leisure 0% Adults ABC1 Adults C2DE Adults 10-15 year olds Food Payday Loans 0.8% 0.7% 0.8% 0.7% Finance (Minor category within Finance) Source: BARB/Nielsen Monitor. Top 15 categories based on volume of spots shown in 2012 13 Viewing trends

14 Summary

Viewing Trends Total TV viewing

• In 2012, total television viewing ranged from 2.4 hours/day among Children to 5.2 hours/day among C2DE Adults.

• In 2012, commercial channels accounted for 66.2% of Adult viewing • Commercial channels accounted for a lower proportion of viewing among ABC1 Adults, standing at 61.5% in 2012. • Viewing to commercial channels stood at 69.8%, in 2012, among C2DE Adults – up marginally from 67.9% in 2008.

• The share of viewing accounted for by commercial channels was higher among Children, standing at 73.4% in 2012. • A similar split in viewing was seen among Children aged 10-15 years, with 74.8% of their viewing in 2012 represented by commercial channels.

15 In 2012, total television viewing ranged from 2.4 hours/day among Children to 5.2 hours/day among C2DE Adults

Average hours of viewing: Total TV, 2008-2013

6 5.1 5.2 5.2 Adults 5 4.6 4.6 4.3 4.3

4.3 4.0 4.0 Adults ABC1 4 3.4 3.4 3.5 3.5 3.5

3 Adults C2DE 2.5 2.5 2.3 2.3 2.4 2.4 2.4 2 2.2 2.2 2.4

Average hours/day Average Children 4-15 1 Children 10-15 0 2008 2009 2010 2011 2012

Source: BARB/Infosys+. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 16 In 2012, commercial channels accounted for 66.2% of Adult viewing

Share of viewing: Commercial vs Non-commercial, Adults

4.0 4.0 4.3 4.3 4.3 Avg hrs/day 100% 90%

33.5% 33.4% 80% 34.3% 33.5% 33.8% 70% Non-commercial 60% 50% 40% Commercial 66.5% 66.6% 30% 65.7% 66.5% 66.2% Share of viewing, of% Share viewing, 20% 10% 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Non-commercial = All BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 17 Commercial channels accounted for a lower proportion of viewing among ABC1 Adults, standing at 61.5% in 2012

Share of viewing: Commercial vs Non-commercial, Adults ABC1

3.4 3.4 3.5 3.5 3.5 Avg hrs/day 100% 90% 80% 37.3% 36.8% 37.3% 37.6% 38.5% 70% Non-commercial 60% 50% 40% Commercial 30% 62.7% 63.2% 62.7% 62.4% 61.5% Share of viewing, of% Share viewing, 20% 10% 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Non-commercial = All BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 18 Viewing to commercial channels stood at 69.8%, in 2012, among C2DE Adults – up marginally from 67.9% in 2008

Share of viewing: Commercial vs Non-commercial, Adults C2DE

4.6 4.6 5.1 5.2 5.2 Avg hrs/day 100% 90%

32.1% 30.9% 30.6% 30.5% 30.2% 80% 70% Non-commercial 60% 50% 40% Commercial 67.9% 69.1% 69.4% 69.5% 69.8% 30% Share of viewing, of% Share viewing, 20% 10% 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Non-commercial = All BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 19 The share of viewing accounted for by commercial channels was higher among Children, standing at 73.4% in 2012

Share of viewing: Commercial vs Non-commercial, Children 4-15

2.3 2.3 2.5 2.5 2.4 Avg hrs/day 100% 90% 26.2% 24.9% 27.6% 27.4% 26.6% 80% 70% Non-commercial 60% 50% 40% Commercial 73.8% 75.1% 72.4% 72.6% 73.4% 30% Share of viewing, of% Share viewing, 20% 10% 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Non-commercial = All BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 20 A similar split in viewing was seen among Children aged 10-15 years, with 74.8% of their viewing in 2012 represented by commercial channels Share of viewing: Commercial vs Non-commercial, Children 10-15

2.2 2.2 2.4 2.4 2.4 Avg hrs/day 100%

90% 25.2% 23.0% 25.9% 25.8% 25.2% 80% 70% Non-commercial 60% 50% Commercial 40% 74.8% 77.0% 74.1% 74.2% 74.8% 30% Share of viewing, of% Share viewing, 20% 10% 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Non-commercial = All BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 21 The proportion of viewing represented by commercial channels, in 2012, ranged from 61.5% among ABC1 Adults to 74.8% among older children Share of viewing: Commercial vs Non-commercial, 2012

4.3 3.5 5.2 2.4 2.4 Avg hrs/day 100%

90% 26.6% 25.2% 30.2% 80% 33.8% 38.5% 70% Non-commercial 60% 50% 40% Commercial 69.8% 73.4% 74.8% 30% 66.2% 61.5% Share of viewing, of% Share viewing, 20% 10% 0% Adults Adults ABC1 Adults C2DE Children 4-15 Children 10-15

Source: BARB/Infosys+. Non-commercial = All BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 22 Summary

Viewing Trends Commercial channel viewing – by daypart

• The time spent watching commercial channels, in 2012, ranged from 3.6 hours/day among C2DE Adults to 1.7 hours/day among Children.

• In 2012, viewing to commercial channels peaked between 2100-2200 among adult demographic groups, between 2000-2100 among 10-15 year olds and between 1900-2000 among Children aged 4-15.

• 66.4% of Adult viewing to commercial channels, in 2012, took place between 0600-2100 – the share of viewing by daypart remained fairly stable over the analysis period. • Among ABC1 Adults, 64.7% of their commercial viewing in 2012 took place pre-2100, with a greater proportion of their viewing (23.4%) taking place between 2100-2300 compared with all Adults(21.2%). • Compared against ABC1 Adults, a greater proportion of commercial channel viewing among C2DE Adults took place between 0600-1700 (33.9% vs. 30.0%) and post-2300(12.8% vs. 11.9%).

• In 2012, 80.2% of Children’s viewing to commercial channels took place pre-2100. • Over a quarter of viewing to commercial channels among older children took place post-2100 in 2012 – this share remained relatively stable over the analysis period.

23 The time spent watching commercial channels, in 2012, ranged from 3.6 hours/day among C2DE Adults to 1.7 hours/day among Children

Average hours of viewing: Commercial channels, 2008-2012

4 3.6 3.6 3.6 Adults 3.1 3.2 2.9 2.9 2.8 3 2.7 2.6 Adults ABC1

2.1 2.2 2.2 2.2 2.2 2 1.8 1.7 1.7 1.8 1.7 Adults C2DE 1.8 1.8 1.8 1.7 1.7

Average hours/day Average 1 Children 4-15

Children 10-15 0 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 24 In 2012, viewing to commercial channels peaked between 2100-2200 among adult demographic groups, between 2000-2100 among 10-15 year olds and between 1900-2000 among Children aged 4-15 Average minutes of viewing per hour: Commercial channels, 2012 25

Adults 20

Adults ABC1 15

Adults C2DE 10

Children 4-15

Average minutes/hour Average 5

Children 10-15

0 07:00 08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00 24:00 25:00 26:00 27:00 28:00 29:00 30:00

------06:00 07:00 08:00 09:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00 24:00 25:00 26:00 27:00 28:00 29:00

Source: BARB/Infosys+. Analysis excludes all BBC channels. 25 66.4% of Adult viewing to commercial channels, in 2012, took place between 0600-2100 – share of viewing by daypart remained fairly stable over the analysis period Share of viewing by daypart: Commercial channels, Adults

2.6 2.7 2.9 2.9 2.8 Avg hrs/day

100% 12.2% 12.3% 12.5% 12.6% 12.4% , % 90% 2300-3000 80% 21.2% 21.5% 21.1% 21.3% 21.2%

daypart 70% 2100-2300 60% 50% 35.5% 35.0% 34.4% 34.2% 34.1% 1700-2100 40% 30% 0930-1700

20% 26.2% 26.4% 27.0% 26.7% 27.2%

Share of viewing ofby Share viewing 10% 0600-0930 0% 4.9% 4.8% 5.0% 5.1% 5.1% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 26 Among ABC1 Adults, 64.7% of their commercial viewing in 2012 took place pre-2100, with a greater proportion of their viewing taking place between 2100-2300 compared with Adults Share of viewing by daypart: Commercial channels, ABC1 Adults

2.1 2.2 2.2 2.2 2.2 Avg hrs/day

100% 12.3% 12.5% 12.0% 12.2% 11.9% , % 90% 2300-3000 80% 23.1% 23.2% 23.3% 23.6% 23.4%

daypart 70% 2100-2300 60%

50% 35.4% 35.1% 35.1% 34.7% 34.7% 1700-2100 40% 30% 0930-1700

20% 24.3% 24.4% 25.0% 24.8% 25.3%

Share of viewing ofby Share viewing 10% 0600-0930 0% 4.8% 4.7% 4.6% 4.7% 4.7% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 27 Compared against ABC1 Adults, a greater proportion of commercial channel viewing among C2DE Adults took place between 0600-1700 and post-2300 Share of viewing by daypart: Commercial channels, C2DE Adults

3.1 3.2 3.6 3.6 3.6 Avg hrs/day

100% 12.1% 12.2% 12.8% 12.9% 12.8% , % 90% 2300-3000 80% 19.9% 20.2% 19.7% 19.8% 19.6%

daypart 70% 2100-2300 60% 50% 35.5% 34.9% 34.0% 33.8% 33.7% 1700-2100 40% 30% 0930-1700 20% 27.6% 27.8% 28.2% 28.0% 28.6%

Share of viewing ofby Share viewing 10% 0600-0930 0% 5.0% 4.9% 5.2% 5.4% 5.3% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 28 In 2012, 80.2% of Children’s viewing to commercial channels took place pre-2100

Share of viewing by daypart: Commercial channels, Children 4-15

1.7 1.7 1.8 1.8 1.7 Avg hrs/day 100% 5.5% 5.4% 6.4% 5.9% 5.8%

, % 90% 13.7% 14.0% 15.0% 14.7% 14.0% 2300-3000 80%

daypart 70% 2100-2300 60% 39.7% 39.7% 38.8% 39.1% 39.3% 50% 1700-2100 40% 30% 0930-1700 31.2% 31.2% 30.5% 30.5% 31.1% 20%

Share of viewing ofby Share viewing 10% 0600-0930 9.9% 9.7% 9.2% 9.7% 9.8% 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 29 Over a quarter of viewing to commercial channels among older children took place post-2100 in 2012 – this share remained relatively stable over the analysis period Share of viewing by daypart: Commercial channels, Children 10-15

1.7 1.7 1.8 1.8 1.8 Avg hrs/day

100% 7.3% 7.0% 8.5% 8.0% 8.0% , % 90% 2300-3000 17.5% 17.8% 80% 19.2% 19.0% 18.6%

daypart 70% 2100-2300 60% 40.0% 40.2% 38.9% 39.4% 39.6% 50% 1700-2100 40% 30% 0930-1700 20% 28.0% 28.2% 27.4% 27.2% 27.5%

Share of viewing ofby Share viewing 10% 0600-0930 7.2% 6.8% 0% 6.0% 6.3% 6.3% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 30 In 2012, C2DE Adults watched more than double the amount of commercial television than Children – almost a fifth of children’s viewing took place post-2100 Share of viewing by daypart: Commercial channels, 2012

2.8 2.2 3.6 1.7 1.8 Avg hrs/day

100% 5.8% 12.4% 11.9% 12.8% 8.0% , % 90% 14.0% 2300-3000 80% 18.6% 21.2% 23.4% 19.6%

daypart 70% 2100-2300 60% 39.3% 39.6% 33.7% 50% 34.1% 34.7% 1700-2100 40% 30% 0930-1700 31.1% 20% 27.2% 25.3% 28.6% 27.5%

Share of viewing ofby Share viewing 10% 0600-0930 9.8% 0% 5.1% 4.7% 5.3% 6.3% Adults Adults ABC1 Adults C2DE Children 4-15 Children 10-15

Source: BARB/Infosys+. Analysis excludes all BBC channels. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 31 Summary

Viewing Trends Commercial channel viewing – by channel group

• The PSB-owned channels accounted for a greater proportion of commercial channel viewing among adult demographic groups than Children, who spent a greater proportion of their time watching Music channels, as well as Children’s channels. The ‘Other Top 10’ channels accounted for around 5-6% of viewing.

• Among Adults, the proportion of commercial channel viewing represented by the Terrestrial channels fell from 48.4% in 2008 to 38.6% in 2012 as viewing to the PSB portfolio channels increased from 15.3% to 23.0%. The ‘Other Top 10’ channels accounted for 5.0% of viewing. • Commercial channel viewing among ABC1 Adults followed a similar trend with the PSB-owned channels accounting for 60.0% of viewing in 2012. Viewing to Sports channels and the ‘Top 10 Other’ was marginally higher among ABC1s than All Adults. • The PSB-owned channels represented 62.7% of commercial channel viewing among C2DE Adults in 2012 compared with 66.5% in 2008. Compared against ABC1 Adults, viewing to the PSB portfolio channels has been higher while viewing to Sports and the ‘Top 10 Other’ channels has been lower.

• While viewing to commercial channels followed a similar trend among Children, the share accounted for by the PSB-owned channels stood at 39.5%, in 2012, compared with 61.6% among Adults. Children’s channels accounted for 30.7% of Children’s viewing in 2012. • Compared with 4-15 year olds, viewing to the PSB portfolio and Music channels has been higher among older children. The PSB-owned channels accounted for 44.5% of viewing in 2012, down from 47.5% in 2008. Children’s channels accounted for 19.1% of viewing among 10-15 year olds and the ‘Top 10 Other’ channels accounted for a further 6.4% of viewing.

32 Among Adults, the proportion of commercial channel viewing represented by the Terrestrial channels fell from 48.4% in 2008 to 38.6% in 2012 as viewing to the PSB portfolio channels increased from 15.3% to 23.0% - and in 2012 the ‘Other Top 10’ accounted for 5.0% of viewing Share of viewing by channel group: Commercial channels, Adults

2.6 2.7 2.9 2.9 2.8 Avg hrs/day 100% Other - All other 90% 20.3% 20.6% 22.0% 20.8% 21.0% Other - Top 10 (PDL) 80% 4.0% 4.6% 4.6% 2.8% 4.7% 5.0% 2.9% 2.8% 2.6% 2.7% 2.8% 70% 2.9% 2.7% 2.9% 3.0% Children's 4.7% 5.1% 4.9% 5.1% 5.1% 60% 15.3% 16.7% Movies 50% 18.6% 21.6% 23.0% 40% Music 30% Sports 48.4% 45.5% 20% 43.0% 40.7% 38.6% Commercial PSB Portfolio 10% Share of viewing by channel group, % group, by channel of viewing Share 0% Terrestrial Commercial 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. ‘Other – Top 10’ based on Top 10 channels for airing Payday Loans spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 33 Commercial channel viewing among ABC1 Adults followed a similar trend with the PSB-owned channels accounting for 60.0% of viewing in 2012 - viewing to Sports channels and the ‘Top 10 Other’ was marginally higher among ABC1s than All Adults Share of viewing by channel group: Commercial channels, ABC1 Adults

2.1 2.2 2.2 2.2 2.2 Avg hrs/day 100% Other - All other 90% 22.1% 21.9% 21.6% 20.6% 20.3% 80% Other - Top 10 (PDL) 4.7% 5.3% 5.4% 5.2% 5.7% 2.7% 2.7% 2.6% 2.9% 3.0% 70% 3.3% 3.3% 2.8% 3.1% 2.9% Children's 6.0% 6.8% 6.6% 60% 5.9% 6.4% Movies 14.8% 50% 16.0% 17.6% 19.8% 21.6% 40% Music 30% Sports 44.9% 42.7% 42.4% 20% 39.8% 38.4% Commercial PSB Portfolio 10% Share of viewing by channel group, % group, by channel of viewing Share Terrestrial Commercial 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. ‘Other – Top 10’ based on Top 10 channels for airing Payday Loans spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 34 The PSB-owned channels represented 62.7% of commercial channel viewing among C2DE Adults in 2012 down from 66.5% in 2008 - compared against ABC1 Adults, viewing to the PSB portfolio channels has been higher while viewing to Sports and the ‘Top 10 Other’ channels has been lower Share of viewing by channel group: Commercial channels, C2DE Adults

3.1 3.2 3.6 3.6 3.6 Avg hrs/day 100% Other - All other 90% 19.0% 19.7% 22.2% 20.9% 21.4%

80% 3.5% Other - Top 10 (PDL) 2.8% 4.2% 4.2% 4.6% 2.6% 2.9% 4.3% 2.6% 2.7% 2.6% 2.8% 2.6% 70% 4.0% 2.7% 3.0% Children's 4.1% 4.1% 3.9% 4.0% 60% 15.6% 17.2% 19.3% Movies 50% 22.8% 24.0% 40% Music 30% Sports 50.8% 47.4% 20% 43.4% 41.3% 38.8% Commercial PSB Portfolio 10% Share of viewing by channel group, % group, by channel of viewing Share 0% Terrestrial Commercial 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. ‘Other – Top 10’ based on Top 10 channels for airing Payday Loans spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 35 While viewing to commercial channels followed a similar trend among Children, the share accounted for by the PSB-owned channels stood at 39.5%, in 2012, compared with 61.6% among Adults – Children’s channels accounted for the greatest proportion of viewing Share of viewing by channel group: Commercial channels, Children 4-15

1.7 1.7 1.8 1.8 1.7 Avg hrs/day 100% Other - All other 90% 17.1% 16.5% 18.9% 16.6% 15.8% 4.6% 80% 3.2% 3.7% 3.6% 4.1% Other - Top 10 (PDL) 70% Children's 29.0% 29.1% 27.4% 29.0% 30.7% 60% Movies 50% 3.2% 3.0% 2.8% 3.1% 2.9% 3.2% 2.6% 2.9% 3.5% 3.0% 2.8% Music 40% 3.3% 3.1% 3.3% 3.1% 11.5% 13.2% 13.6% 14.4% 30% 15.4% Sports 20% Commercial PSB Portfolio 29.8% 28.2% 28.2% 26.6% 10% 24.1% Share of viewing by channel group, % group, by channel of viewing Share Terrestrial Commercial 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. ‘Other – Top 10’ based on Top 10 channels for airing Payday Loans spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 36 Compared with 4-15 year olds, viewing to the PSB portfolio and Music channels has been higher among older children – PSB-owned channels accounted for 44.5% of viewing in 2012 and Children’s channels represented 19.1% of viewing Share of viewing by channel group: Commercial channels, Children 10-15

1.7 1.7 1.8 1.8 1.8 Avg hrs/day 100% Other - All other 90% 18.3% 18.1% 20.5% 18.5% 18.7%

4.3% Other - Top 10 (PDL) 80% 4.8% 4.7% 5.5% 6.4% 70% 18.4% 18.1% Children's 17.6% 17.7% 19.1% 60% 3.6% 3.3% 3.1% 3.4% Movies 4.1% 4.5% 3.6% 4.1% 3.6% 50% 3.8% 3.4% 4.0% 3.8% 3.6% 3.8% 14.7% Music 40% 16.4% 17.0% 18.0% 19.1% 30% Sports 20% 32.9% 31.2% 29.9% 28.8% Commercial PSB Portfolio 10% 25.5% Share of viewing by channel group, % group, by channel of viewing Share Terrestrial Commercial 0% 2008 2009 2010 2011 2012

Source: BARB/Infosys+. Analysis excludes all BBC channels. ‘Other – Top 10’ based on Top 10 channels for airing Payday Loans spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution. 37 The PSB-owned channels accounted for a greater proportion of commercial channel viewing among adult demographic groups than Children, who spent a greater proportion of their time watching Music channels, as well as Children’s channels Share of viewing by channel group: Commercial channels, 2012

100% Other - All other

, % 15.8% 90% 21.0% 20.3% 21.4% 18.7% 80% 4.6% Other - Top 10 (PDL) 5.0% 5.7% 4.6% 6.4% 2.8% 3.0% 2.6% daypart 70% 3.0% 2.9% 3.0% Children's 5.1% 6.6% 4.0% 30.7% 19.1% 60% 3.6% Movies 23.0% 24.0% 3.8% 50% 21.6% 3.5% 2.8% 3.8% 40% 3.1% Music 19.1% 15.4% 30% Sports 20% 38.6% 38.4% 38.8% 24.1% 25.5% Commercial PSB Portfolio Share of viewing ofby Share viewing 10% 0% Terrestrial Commercial Adults Adults ABC1 Adults C2DE Children 4-15 Children 10-15

39 Summary

Advertising Activity: Payday Loans Commercial Spots

• Between 2008 and 2012, the total number of commercial spots aired increased from 31.8m to 34.2m – over this period the share of spots represented by Payday Loan advertising increased from 0.1% to 1.2%.

• Between 2008 and 2012 the volume of PDL spots shown increased from 17k to 397k, with a year-on- year increase of 64% between 2011 and 2012.

• PDL advertising increased to represent 7.3% of all Finance spots and 90.3% of all advertising related to Personal Loans in 2012.

• Over the past two years, when the volume of PDL advertising has been at its highest, the majority of spots were aired during the day between 0600-1659.

• Over the same period, significant proportions of PDL spots were aired across Music, Movie and ‘Top 10 Other’ channels, with the majority shown across ‘Other’ channels. Less than 1% (0.6%) of PDL spots were shown across Children’s channels in 2012, down from 5.3% in 2011

40 Between 2008 and 2012, the total number of commercial spots aired increased from 31.8m to 34.2m – over this period the share of spots represented by Payday Loan advertising increased from 0.1% to 1.2% Number of total spots Share of total spots

31.8m 32.7m 32.7m 32.9m 34.2m 0.4 0.1% 0.0% 0.2% 0.7% 1.2% 35.0 0.2 100% 0.0 0.0 0.1 90% 30.0 80% 25.0 Payday 70% Loans 20.0 60% All other 50% 99.9% 100.0% 99.8% 99.3% 98.8% 31.8 32.6 32.7 32.6 33.8 15.0 categories 40% 10.0 30% 20% 5.0 10% Number of Number spots (millions) commercial

0.0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor - Analysis excludes HD variants. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

41 Between 2008 and 2012 the volume of PDL spots shown increased from 17k to 397k, with a year-on-year increase of 64% between 2011 and 2012 Number of Spots(000s): Payday Loans

400 397

300 243

200

100 77

Number Number of spots, 000s 17 11 0 2008 2009 2010 2011 2012

-36% +625% +215% +64% Yr/Yr%

Source: BARB/Nielsen Monitor - Analysis excludes HD variants. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

42 PDL advertising increased to represent 7.3% of all Finance spots and 90.3% of all advertising related to Personal Loans in 2012

Payday Loan spots: Share of Total Finance Payday Loan spots: Share of Personal Loans spots spots

10% 100%

8% 80%

6% 60%

4% 89.7% 90.8% 90.3% 7.3% 40% 5.2% 2% 20% 39.1% 1.7% 0.4% 0.2% 7.9%

0% 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor - Analysis excludes HD variants. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

43 Over the past two years, when the volume of PDL advertising has been at its highest, the majority of spots were aired during the day between 0600-1659 Spots by daypart: Payday Loans Share of spots by daypart: Payday Loans

17k 11k 77k 243k 397k

400 100% 2.9% 1.7% 2300-2959 58 15.7% 14.5% 90% 16.2% 22 30.0% 80% 5.6% 5.5% 300 2100-2259 63 70% 15.6% 15.8% 10.9% 38 60% 1700-2059 200 14 50% 18.2% 93.3% 38 70.5% 218 40% 52.9% 55.0% 0930-1659 30% 29.1% 100 128 12 20% 54 0600-0929 10%

Number of Number spots (000s) commercial 37 11.7% 10.6% 10.2% 9.2% 10 8 25 3.7%

0% 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor - Analysis excludes HD variants. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

44 Over the same period, significant proportions of PDL spots were aired across Music, Movie and ‘Top 10 Other’ channels, with the majority shown across ‘Other’ channels – 0.6% of PDL spots were shown across Children’s channels in 2012, down from 5.3% in 2011 Spots by channel group: Payday Loans Share of spots by channel group: Payday Loans

17k 11k 77k 243k 397k 400 Other - All other100%

Other - Top 10 90% (PDL) 35.0% 33.2% 166 80% 41.7% 300 Children's 50.7% 49.0% 70% Movies 60% 9.4% 12.2% 81 42 5.3% 10.5% 200 2 50% 14.2% Music 8.2% 0.6% 31 18.3% 7.9% 30 40% 4.6% Sports 13 30% 100 20 95 41.5% 20.1% 7.3% 25.6% 23.8% Commercial 20% 10.2% 38 62 24 PSB Portfolio 3.1% 5.7% 6.1% 14 14 Terrestrial 10% 15.3% 6.1% Number of Number spots (000s) commercial 8 6 22 34 9.0% 8.6% 4 5 Commercial 6.5% 5.9%

0% 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor - Analysis excludes HD variants. ‘Other – Top 10’ based on Top 10 channels for airing PDL spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

45 Summary

Advertising Activity: Payday Loans Impacts • Exposure to PDL advertising rose significantly from 1.3bn Adult impacts in 2010 to 7.5bn impacts in 2012 – representing 0.8% of total television impacts. • ABC1 Adult impacts: 0.5bn in 2010 to 2.7bn in 2012 • C2DE Adult impacts: 0.8bn in 2010 to 4.8bn in 2012 • Children: 153m impacts in 2010 to 596m in 2012 • Children 10-15: 74m impacts in 2010 to 348m impacts in 2012

• With 55.0% of PDL spots aired between 0930-1659, this daypart also accounted for over half of PDL impacts in 2012. A further 15.8% of PDL spots were shown between 1700-2059 and around a quarter of impacts were seen during this slot – this share was higher among children as the proportion of Child PDL impacts seen post- 2100 was lower than Adults.

• While PSB-owned channels accounted for 9.5% of PDL spots in 2012, these channels represented around a half of PDL impacts. Similarly the ‘Top 10 Other’ represented a greater proportion of impacts compared with spots, while the proportion of impacts seen across the Music, Movie and ‘Other’ channels was significantly lower than the share of spots shown across these channel groups in 2012. • Among younger viewers the Music and the ‘Top 10 Other’ channels accounted for a notably higher proportion of Child PDL impacts compared against Adults as the PSB-owned channels accounted for smaller shares. • While Children’s channels accounted for 0.6% of PDL spots aired in 2012, these channels represented 3.0% of PDL impacts seen by 4-15 year olds (an average of 2 impacts per child over the year) - this is likely to be linked to substantial viewing levels to these channels. These channels represented 0.9% of PDL impacts seen by 10-15 year olds.

46 Exposure to PDL advertising rose significantly from 1.3bn Adult impacts in 2010 to 7.5bn impacts in 2012 – representing 0.8% of total television impacts Number of Impacts: Payday Loans, Adults

0.0% 0.0% 0.1% 0.4% 0.8% %of total imps 0.0% 0.1% 1.4% 4.1% 6.3% %of Finance imps 0.4% 22.2% 82.7% 80.3% 79.7% % of Pers.Loans imps 8.0 7.5 7.0

bn 6.0 5.0 4.2 4.0 3.0

2.0 1.3 1.0 Number of Number impacts, 0.0 0.1 - 2008 2009 2010 2011 2012 =152 impacts Source: BARB/Nielsen Monitor. per individual - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

47 With 55.0% of PDL spots aired between 0930-1659, this daypart also accounted for the greatest share of impacts in 2012 – a further 15.8% of PDL spots were shown between 1700-2059 and 23.7% of impacts were seen during this slot Impacts by daypart: Payday Loans, Share of impacts by daypart: Payday Loans, Adults Adults

0.0bn 0.1bn 1.3bn 4.2bn 7.5bn 8 (12m) (131m) 100% 2.4% 1.5% 6.3% 2300-2959 7.0% 7 0.5 90% 19.9% 16.4% 6.7% 6.9%

bn 0.5 80% 20.0% 23.7% 6 2100-2259 1.8 70% 18.2% 5 60% 4 0.3 1700-2059 50% 27.6% 94.4% 0.3 73.9% 40% 55.4% 3 0.8 57.5% 4.3 0930-1659 30% Number of Number impacts, 2 20% 2.3 31.6% 0.2 10% 1 0600-0929 11.0% 1.0 2.8% 3.0% 7.0% 5.6%

0% 0.1 0.5 0.4

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

48 While PSB-owned channels accounted for 9.5% of PDL spots in 2012, these channels represented 52.2% of impacts – similarly the ‘Top 10 Other’ represented a greater proportion of impacts compared with spots Impacts by channel group: Payday Loans, Share of impacts by channel group: Payday Adults Loans, Adults 0.0bn 0.1bn 1.3bn 4.2bn 7.5bn (12m) (131m) Other - All other 8 100% 15.4% 7 Other - Top 10 90% 22.6% 22.7%

bn 1.7 (PDL) 34.5% 34.6% 80% 14.5% 6 Children's 70% 18.5% 14.3% 1.1 8.1% 6.6% 2.2% 5 Movies 60% 5.4% 2.1% 4.2% 2.4% 4.4% 24.2% 4.5% 4.3% 4 0.3 50% 4.6% 0.9 Music 40% 3.5% 25.3% 3 0.8 1.9 46.9% 34.9% 21.2% Sports 30% 10.3% Number of Number impacts, 2 0.2 20% 0.9 12.4% Commercial PSB 24.2% 26.9% 1 0.5 2.0 10% Portfolio 12.0% 16.4% 11.6% 0.3 1.0

0.2 Terrestrial 0%

0 Commercial 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor. ‘Other – Top 10’ based on Top 10 channels for airing PDL spots in 2012. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

49 2.7bn PDL impacts in 2012 represented 0.7% of all television advertising seen by ABC1 Adults – equivalent to 103 impacts per ABC1 Adult over the course of the year Number of Impacts: Payday Loans, ABC1 Adults

0.0% 0.0% 0.1% 0.4% 0.7% %of total imps 0.0% 0.1% 1.3% 3.9% 5.9% %of Finance imps 0.5% 20.7% 82.3% 80.6% 78.7% % of Pers.Loans imps 3.0 2.7 bn 2.0 1.5

1.0 0.5

Number of Number impacts, 0.0 0.0 0.0 2008 2009 2010 2011 2012 =103 impacts Source: BARB/Nielsen Monitor. per individual - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

50 As with Adults, in 2012, over half of PDL impacts were seen by ABC1 Adults between 0930-1659, with a further quarter seen between 1700-2059 Impacts by daypart: Payday Loans, ABC1 Share of impacts by daypart: Payday Loans, Adults ABC1 Adults

0.0bn 0.0bn 0.5bn 1.5bn 2.7bn (5m) (49m) 3 100% 2.2% 1.6% 2300-2959 7.4% 6.4% 90% 20.1% 16.3% 7.4% 0.2 7.5% bn 0.2 80% 21.3% 24.5% 2100-2259 70% 18.0% 2 0.7 60% 1700-2059 94.7% 50% 29.8% 0.1 74.0% 0.1 40% 52.8% 0.3 56.1% 1 30% 1.5 0930-1659 Number of Number impacts, 20% 28.2% 0.8 0.1 10% 0600-0929 11.0% 0.4 3.9% 3.0% 7.0% 5.6%

0.2 0.1 0%

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

51 While the PSB-owned channels accounted for 48.5% of PDL impacts seen by ABC1 Adults in 2012, this was lower than the proportion seen across these channels by Adults (52.2%) as a greater proportion was seen across the ‘Top 10 Other’ (16.7% vs. 14.3%) Impacts by channel group: Payday Loans, Share of impacts by channel group: Payday ABC1 Adults Loans, ABC1 Adults

0.0bn 0.0bn 0.5bn 1.5bn 2.7bn 3 (5m) (49m) Other - All other 100% 17.4% Other - Top 10 90% 22.6% 22.5%

bn (PDL) 32.8% 0.6 80% 44.7% Children's 16.2% 70% 16.7% 2 20.5% 0.4 Movies 60% 6.6% 0.3% 6.0% 25.7% 2.8% 4.4% 7.3% 5.7% Music 50% 6.0% 4.9% 0.3 0.2 6.6% 40% 3.9% 0.4% 23.1% Sports 32.8% 17.7% 1 0.3 0.6 30% 32.5% 12.1% Number of Number impacts, 0.1 Commercial PSB 20% Portfolio 11.3% 0.3 22.7% 25.4% 0.2 0.7 10% 0.1 Terrestrial 15.2% 14.2% 11.4% 0.1 0.3 Commercial

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

52 Exposure to PDL advertising among C2DE Adults rose from 2.7bn impacts in 2011 to 4.8bn impacts in 2012, accounting for 0.8% of total television impacts Number of Impacts: Payday Loans, C2DE Adults

0.0% 0.0% 0.1% 0.5% 0.8% %of total imps 0.0% 0.2% 1.4% 4.2% 6.6% %of Finance imps 0.4% 23.1% 82.9% 80.2% 80.3% % of Pers.Loans imps 5.0 4.8

4.0 bn

3.0 2.7

2.0

1.0 0.8

Number of Number impacts, 0.0 0.1 0.0 2008 2009 2010 2011 2012 =208 impacts Source: BARB/Nielsen Monitor. per individual - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

53 Representing over half of PDL impacts in 2012, the volume of impacts seen by C2DE Adults between 0930-1659 rose from 1.5bn in 2011 to 2.8bn in 2012 – impacts also rose from 0.5bn to 1.1bn over the same period during the 1700-2059 slot, accounting for 23.3% of exposure Impacts by daypart: Payday Loans, Share of impacts by daypart: Payday Loans, C2DE Adults C2DE Adults 0.0bn 0.1bn 0.8bn 2.7bn 4.8bn (7m) (82m) 5 100% 2.6% 1.5% 6.7% 6.2% 0.3 2300-2959 90% 19.7% 6.2% 6.6% 0.3 16.4% 4bn 80% 19.3% 23.3% 1.1 2100-2259 70% 18.3% 3 60% 0.2 1700-2059 50% 26.0% 94.2% 0.2 73.8% 0.5 40% 56.8% 2 58.3% 2.8 0930-1659 30% Number of Number impacts, 20% 34.1% 1 1.5 0.1 10% 0600-0929 11.0% 0.6 2.0% 3.1% 7.0% 5.6%

0.3 0.3 0%

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

54 Due to differences in viewing habits, the PSB-owned channels represented a higher proportion of PDL impacts in 2012 among C2DE Adults (54.3%) compared with Adults (52.2%) Impacts by channel group: Payday Loans, Share of impacts by channel group: Payday C2DE Adults Loans, C2DE Adults 0.0bn 0.1bn 0.8bn 2.7bn 4.8bn 5 (7m) (82m) Other - All other 100% 14.1% 90% 22.5% 22.7% 1.1 Other - Top 10 27.2% bn (PDL) 35.7% 4 80% 13.5% Children's 13.0% 0.6 70% 6.0% 9.0% 17.4% Movies 60% 5.1% 4.0% 3 3.4% 3.5% 0.2 23.3% 4.2% 50% 3.5% 0.6 Music 40% 3.3% 26.6% 2 1.3 57.0% 36.4% 23.1% 0.5 Sports 30% 9.2%

Number of Number impacts, 0.1 Commercial PSB 1 0.6 20% 13.1% Portfolio 25.0% 27.7% 0.3 1.3 10% 17.8% Terrestrial 0.2 0.7 9.7% 11.7% Commercial

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

55 PDL advertising accounted for 0.6% of all television advertising seen by Children – 596m impacts in 2012 represented 70 impacts per child over the course of the year Number of Impacts: Payday Loans, Children 4-15

0.0% 0.0% 0.2% 0.5% 0.6% %of total imps 0.0% 0.3% 1.8% 5.5% 6.3% %of Finance imps 1.0% 35.3% 90.2% 88.4% 83.1% % of Pers.Loans imps 596 600

500 466

400

300

200 153

100

Number Number of impacts, millions 23 3 0 2008 2009 2010 2011 2012 =70 impacts Source: BARB/Nielsen Monitor. per individual - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

56 While 23.7% of PDL impacts were seen by Adults between 1700-2100 in 2012, this daypart represented 30.0% of Child impacts – a smaller proportion of PDL impacts were seen by Children post-2100 compared with Adults Impacts by daypart: Payday Loans, Share of impacts by daypart: Payday Loans, Children 4-15 Children 4-15 3m 23m 153m 466m 596m 600 100% 2.1% 0.9% 20 3.3% 3.3% 29 2300-2959 3.8% 4.9% 90% 13.7% 14.2% 500 80% 11.9% 22.9% 15 179 30.0% 18 2100-2259 70% 400 107 60% 28.5% 1700-2059 50% 93.7% 300 77.7% 40% 56.3% 55.6% 200 263 331 30% 0930-1659 41.0% 22 20% Number of Number impacts, millions 100 10% 119 0600-0929 13.7% 4.9% 4.2% 6.8% 6.1%

64 0% 21 10 37

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

57 In 2012, Music and the ‘Top 10 Other’ channels accounted for a notably higher proportion of Child PDL impacts compared against Adults as the PSB-owned channels accounted for smaller shares – Children’s channels accounted for 3.0% of PDL impacts, an average of 2 impacts per child over the year Impacts by channel group: Payday Loans, Share of impacts by channel group: Payday Children 4-15 Loans, Children 4-15

3m 23m 153m 466m 596m 600 Other - All other 100% 7.9% 12.3% 13.8% 114 90% 19.1% Other - Top 10 11.3% 26.4% 500 (PDL) 80% 18.5% Children's 64 117 70% 19.7% 400 21.7% 86 Movies 60% 3.0% 18 49.5% 20.1% 2.4% 50% 10.8% 300 64 Music 82.1% 1.7% 94 24 8.8% 4.1% 40% 28.5% Sports 3.2% 200 41 30% 6.5% 24.7% 15 147 1.6% 20.4% 40 Commercial 20% 5.8% 100 of Number impacts, millions 95 PSB Portfolio 18.6% 33 10% 9.6% 44 Terrestrial 13.6% 16.3% 97 6.4% 63 Commercial 5.2% 4.5%

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

58 Accounting for 0.7% of total television advertising exposure, 348m PDL impacts represented 84 impacts per 10-15 year old across the year Number of Impacts: Payday Loans, Children 10-15

0.0% 0.0% 0.1% 0.5% 0.7% %of total imps 0.1% 0.2% 1.7% 5.5% 7.2% %of Finance imps 1.5% 27.4% 88.6% 87.6% 83.2% % of Pers.Loans imps 400 348

300 249

200

100 74

9 Number Number of impacts, millions 2 0 2008 2009 2010 2011 2012 =84 impacts Source: BARB/Nielsen Monitor. per individual - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

59 As with all children, exposure to PDL advertising among 10-15 year olds was relatively higher during the 1700-2059 slot in 2012 compared with Adults and lower post-2100 Impacts by daypart: Payday Loans, Share of impacts by daypart: Payday Loans, Children 10-15 Children 10-15

2m 9m 74m 249m 348m

400 100% 2.2% 1.1% 4.4% 4.2% 2300-2959 14.1% 4.8% 5.5% 90% 16.7% 15 19 10.7% 80% 26.0% 300 29.9% 2100-2259 70% 104 11 60% 27.6% 12 200 1700-2059 50% 94.5% 65 75.8% 40% 55.2% 54.8% 0930-1659 30% 191 42.9% 100 138 20% Number of Number impacts, millions 12 10% 0600-0929 9.7% 56 4.7% 3.2% 5.7% 5.6%

0% 9 24 20

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

Source: BARB/Nielsen Monitor. - New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution.

60 In 2012, the Terrestrial channels accounted for 13.2% of PDL impacts seen by older children compared with 26.9% among Adults as Music and ‘Top 10 Other’ channels represented significantly higher shares – Children’s channels represented 0.9% of PDL impacts Impacts by channel group: Payday Loans, Share of impacts by channel group: Payday Children 10-15 Loans, Children 10-15

2m 9m 74m 249m 348m 400 Other - All other100% 10.9% 11.6% 15.0% 19.7% Other - Top 10 90% (PDL) 32.5% 69 80% 19.2% 300 Children's 23.8% 70% 22.2% 77 Movies 60% 0.9% 37 24.0% 7.9% 2.0% 30.0% 1.5% 200 3 50% 84.2% 12.0% 59 Music 11.6% 42 4.1% 40% 10.3% 3.5% 20 14 1.9% Sports 30% 10.0% 29 25.9% 100 7.1% 26.0% 9 90 Commercial 20% 28.2% Number of Number impacts, millions PSB Portfolio 24 65 10% 12.9% 22 Terrestrial 13.2% 5.7% 10.6% 7 46 Commercial 4.8% 4.6%

26 0%

0 2011 2008 2009 2010 2012 2011 2008 2009 2010 2012

61 Annex 1: Methodology

62 Methodology – Data sources

• Viewing analysis – Source: BARB – Audiences: Adults 16+, ABC1 Adults, C2DE Adults, Children 4-15, Children 10-15 – 2008-2012 – New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution

• Spot analysis – Source: Nielsen Monitor – 2008-2012 – Analysis based on product category 36.13.10-Payday Loans – To avoid multiple counting of commercial spots across the terrestrial channel regions, the following were taken as indicative of the network based on advice from Nielsen Media: • ITV1 / ITV1+1= ITV1 Granada / ITV+1 Granada • ITV Breakfast /ITV Breakfast +1 = ITV Breakfast North West/ ITV Breakfast +1 North West • C4 / C4+1 = C4 North West/ C4+1 North West • Five / Five+1 = Five East/ Five+1 East – HD variants of channels have been excluded from analysis - +1 channel variants have been included in the analysis

• Impacts analysis – Source: Nielsen Monitor – Audiences: Adults 16+, ABC1 Adults, C2DE Adults, Children 4-15, Children 10-15 – 2008-2012 – Analysis based on product category 36.13.10-Payday Loans – All impacts across all channels – New BARB panel introduced 1st Jan 2010. As a result pre and post panel change data must be treated with caution

63 Methodology – Terminology

• Spots: ‘Advertising spots’ are a measure of the number of commercials aired on television – an ‘advertising spot’ means one occasion on which an advertisement is broadcast. Analysis of spots provides some context with regards to how the volume of advertising broadcast has changed and the impact this has on the amount of advertising viewed.

• Impacts: While advertising spots provide a measure of the amount of advertising shown, we assess ‘advertising impacts’ as a measure of the advertising seen. An ‘advertising impact’ is a measure of viewing to a commercial spot. For example, ten impacts could be achieved by ten people viewing a single advertisement, by one person seeing the advertisement ten times, or by five people seeing the advertisement twice, etc.

• Commercial airtime: The definition of commercial airtime excludes all BBC channels.

• Dayparts: Dayparts refer to different portions of the day. BARB data is reported on the basis that 06:00 is the start of the day, with the day ending at 05:59 the following morning. Because of this, data post 2359 is reported as 2400 (12am), 2500 (1am), 2600 (2am), etc. The time 29:59 refers to 05:59 of the following day.

64 Methodology – Channel groups

BBC Commercial PSB Digital BBC1 (SD+HD) ITV +1 BBC2 ITV News ITV2 (inc HD) Terrestrial Commercial ITV2 +1 ITV ITV3 (inc HD) ITV HD ITV3 +1 CH4 ITV4 (inc HD) CH5 ITV4 +1 BBC DIGITAL CH4 +1 BBC3 4Music BBC4 4seven BBC HD E4 BBC News E4+1 BBC Parliament Film4 CBeebies Film4 +1 CBBC More4 More4 +1 CH5 +1 5* 5* +1 5 USA 5 USA +1

Note: Not all channels listed may have been active during /for the whole duration of the analysis period. The ITV-owned children’s channel, CITV, has been included in the ‘Children’s’ channel group. 65 Methodology – Channel groups SPORTS MUSIC MOVIES CHILDREN’S All In Sport (ceased 01/01/07) Bedroom TV (ceased 30/09/08) more>movies/movies mix CITV (inc.CITV Bfast from 07/06/10) attheraces Bliss more>movies/movies mix+1 CITV Bfast (includ.under CITV from 07/06/10) BT Sports 1 Brit Hits (ceased 26/01/09) MGM HD CITV Bfas +1 (ceased 16/03/08) BT Sports 2 Bubble Hits (ceased 13/02/09) Movies 24 Boomerang ESPN America BuzMuzik Movies 24 + Boomerang +1 ESPN Channel AKA Movies4Men Cartoon Network ESPN Classic Channel Starz Movies4Men+1 Cartoon Network Too Eurosport Chart Show TV Movies4Men2 Cartoonito Eurosport 2 Chart Show TV + 1 (ceased 29/05/12) Movies4Men2 +1 Disney Channel Eurosport HD Clubland TV Simply Movies (ceased 15/06/09) Disney Channel +1 Extreme Sports Channel Chart Show Dance TCM Disney Cinemagic Fight Network (ceased 03/12/08) Flava TCM 2 Disney Cinemagic +1 Golf TV (ceased 31/12/07) Kerrang Sony Movies Disney XD LFC TV Kiss TV Sony Movies +1 Disney XD +1 Motors TV Magic TV True Movies 1 Kix MUTV MTV True Movies 2 Kix Power Racing UK (ceased 31/12/09) MTV +1 Horror Channel Nick JR Setanta Golf (ceased 23/06/09) MTV Rocks Horror Channel +1 Nick Jr +1 Setanta Sports 1 (ceased 23/06/09) MTV Base World Movies TV (ceased 07/11/08) Nick Jr 2 Setanta Sports 2 (ceased 23/06/09) MTV Dance Sky Movies Showcase Nickelodeon Setanta Sports News (ceased 23/06/09) MTV Hits Sky Movies Crime & Thriller Nickelodeon +1 SportsXchange (ceased 01/01/09) MTV Music Sky Movies Action & Adventure Nicktoons Trace Sports MTV Live Sky Movies Classics NickToons Replay Sky Sports 1 Musflash TV (ceased 01/04/08) Sky Movies Comedy Nicktoonsters (ceased 31/07/09) Sky Sports 2 NME TV (ceased 05/01/12) Sky Movies Disney Disney Junior Sky Sports 3 OMusic (ceased 18/01/10) Sky Movies Drama & Romance Disney Junior Plus Sky Sports F1 p-rock (ceased) Sky Movies Family POP Sky Sports Active Lo 1-9 Rock-on TV (ceased end Nov 08) Sky Movies Select Pop +1 (ceased 18/05/09) Sky Sports Active Hi 1-5 Rockworld TV (ceased 23/01/09) Sky Movies Greats Pop Girl Sky Sports Active Other Scuzz Sky Movies SciFi/Horror Tiny Pop Sky Sports News Smash Hits Sky Movies 9 (ceased 03/04/07) Tiny Pop +1 Sky Sports 4 The Box Sky Movies 10 (ceased 03/04/07) Sky Premiership Plus (ceased 08/05/07) The Vault Sky Movies Premiere VIVA Sky Movies Premiere +1 VH1 Sky Box Office (Movies) MTV Classic Shorts TV (ceased 01/01/10) Vintage TV TCM +1 Greatest Hits TV heat Planet Pop Heart TV Capital TV Note: Not all channels listed may have been active during /for the whole duration of the analysis period. The ITV-owned children’s channel, CITV, has been included in the ‘Children’s’ channel group. Analysis of activity during children’s airtime is based on dedicated Children's channels only – it excludes activity during children’s slots on terrestrial channels. 66 Methodology – Channel groups

Top 10 'Other' – Payday Loans Based on 2012 Spots Astra - UKTV Dave Astra - Dave ja vu Astra - GOLD Astra - GOLD +1 Astra - Watch Astra - Watch +1 Astra - Comedy Central Astra - Comedy Central +1 Astra - Really Astra - Comedy Central Extra

Top 10 ‘Other’ based on the Top 10 channels for showing category spots in 2012 – excludes channels allocated to channel groups (Terrestrial commercial, Commercial PSB Digital, Sports, Music and Movies).