CAGR $ Billions % Growth%

U.S. Multicultural Media Forecast 2019

Advertising & Brand Activation Marketing by Demographic, Platform, and Media Buying Strategies

Research conducted by 3 Demographics and . African American data licensed from: . Asian American . Hispanic American 12 Advertising & Brand Activation Platforms Advertising Brand Activation . Digital Media . Branded & Content . Out-of-Home . Experiential Research funded by . Print . Influencer and . . Promotions Radio in partnership with: . Television . Relationship . Other . Retailer 3 Media Buying Categories . Endemic vs. Non-Endemic . National vs. Local . English vs. Native Language 2016-18 Historical; 2019-20 Forecast

www.pqmedia.com August 2019 www.anaaimm.net Copyright Page

U.S. Multicultural Media Forecast 2019 Exclusive market research & strategic intelligence from PQ Media – Intelligent data for smarter business decisions In partnership with the Alliance for Inclusive and Multicultural Marketing at the Association of National Advertisers

Co-authored at PQM by: Editorial Support at AIMM by: Patrick Quinn – President & CEO Bill Duggan – Group Executive Vice President, ANA Leo Kivijarv, PhD – EVP & Research Director Claudine Waite – Director, Content Marketing, Committees & Conferences, ANA Carlos Santiago – President & Chief Strategist, Santiago Solutions Group

Except by express prior written permission from PQ Media LLC or the Association of National Advertisers, no part of this work may be copied or publicly distributed, displayed or disseminated by any means of publication or communication now known or developed hereafter, including in or by any: (i) directory or compilation or other printed publication; (ii) information storage or retrieval system; (iii) electronic device, including any analog or digital visual or audiovisual device or product. PQ Media and the Alliance for Inclusive and Multicultural Marketing at the Association of National Advertisers will protect and defend their copyright and all their other rights in this publication, including under the laws of copyright, misappropriation, trade secrets and unfair competition.

All information and data contained in this report is obtained by PQ Media from sources that PQ Media believes to be accurate and reliable. However, errors and omissions in this report may result from human error and malfunctions in electronic conversion and transmission of textual and numeric data. As a result, PQ Media is not responsible for any potential, perceived or real negative effects, loss of revenue, loss of profits, missed forecasts, or any other potential, perceived or real detrimental impacts to any individual person or business entity of any kind stemming from the use of any of the data and/or information contained in this report.

PQ Media LLC Association of National Advertisers PO Box 2815 10 Grand Central Stamford, CT 06906 155 East 44th Street 203-569-9449 New York, NY 10017 www.pqmedia.com 212-697-5950 www.ana.net

2 www.pqmedia.com www.anaaimm.net Section 1: Terms of Use by ANA, AIMM and Its Members U.S. Multicultural Media Forecast 2019

The following Terms of Use (the “TOU”) for the Report and all PQ Media (PQM) data, analysis and other content defined below in this section apply to ANA, its Alliance for Inclusive and Multicultural Marketing (AIMM), and their executives, officers, directors and employees (known collectively as the “Licensee” henceforth), as well as all current, dues-paying members of the ANA and AIMM, which include client-side marketers and marketing solutions providers and all their respective executives, officers, directors and employees (known collectively as the “Members” henceforth) who are granted access to a copy of the Report via a password-protected area of the ANA’s website. These TOU cover all content, data, analysis, information, charts, graphs, research methodologies, algorithms, databases, datasets, market research, support materials, notes, sources, opinion leader panels, forecasts, and any other related materials, resources or assets that were created previously by PQM, those that were developed specifically for this Report, and all content PQM has licensed into the new Report for use by Licensee and its Members (known collectively as the “Content” henceforth). The TOU specified in Section 1 and the ensuing subsections below permit ANA and AIMM to make the Report available through their website to Members only, and the ANA and AIMM will keep the Report’s content behind a password protected area of its site (except for a mutually agreed upon executive summary of the Report, which the Parties agree to make available for public consumption on the ANA’s website and shared with press outlets in the promotion of the Report). PQM expects the Licensee and Members to treat this Report and all the Content therein in the same manner they would treat any print, digital, hybrid or other media product or service (ex., book, software, information service) that is licensed from a third-party creator, publisher, developer, producer or content owner. Accordingly, PQM shall include in the Report the necessary copyright information and other information regarding the use and consumption of and access to the Report including, without limitation, the Permitted Uses and Prohibited Uses outlined below.

Permitted Use – The Licensee and Members may use the Content from the Report in perpetuity solely for Licensee’s or Members internal business purposes as set forth in this section, and Licensee may make available to Members in perpetuity a copy of the Report through a specific password-protected location on its website. To make a Permitted Use, the Licensee and Members may download the Report to a device (e.g., PC, laptop, tablet, smartphone) and he/she may display a digital copy or print a copy of the Report for his/her internal business purposes. Such purposes may include the use of summary or excerpted Content from the Report in a presentation made to clients employed at external organizations or in a presentation made to media industry stakeholders at a business trade show, provided that any summary use of Content from the Report appropriately cites PQM as the sole source and copyright owner of the Content, except for certain data and/or analysis that is jointly owned by PQM and the ANA or owned by the ANA and provided to PQM in connection with the Report, as specified in Section 2 – Copyright & Intellectual Property. For clarity, PQM agrees that the ANA and AIMM may print, distribute, email, share or mail hard copies of the Report to press outlets and ANA and AIMM Members, subject to the terms of this Agreement).

Prohibited Use – The Licensee and its Members are not permitted to use, copy, print, email, distribute or share the Report or portions of the Content in any form other than the specific uses described in the preceding Permitted Use section with any other individuals or entities that do not meet the definition of Licensee or Members specified in Section 1 – Terms of Use for ANA and AIMM and its Members. If Licensee or its Members would like to use or distribute the Report or any of its Content in a manner that diverges from the uses detailed in the Permitted Use section above, the Licensee or its Members must contact PQ Media to request written permission. Licensee or its Members are not permitted to modify or re-work the Report or its Content in any way, and he/she is prohibited from selling, leasing, renting or sub-licensing the Report in any manner.

Rights – The Licensee is granted the perpetual, nonexclusive, non-transferable right to use and distribute the Report to its Members through a password-protected section of ANA’s website, after which Members may use the Report in print or digital format for internal business purposes only, as described in the Permitted Use section. This right to “use the Report” is strictly limited to the authorized uses detailed in the Permitted Use section. PQM reserves all rights not expressly granted to Licensee and its Members in these TOU. Without limiting the generality of the foregoing, the Licensee acknowledges and agrees that, except as specifically set forth in this paragraph and the ANA Content, PQM retains all right, title and interest to all Content, as defined in the preceding Terms of Use section, that PQM solely developed for the Report, and covered by copyright law, as well as any other related materials and assets described in the Copyright & Intellectual Property section that follows.

3 www.pqmedia.com www.anaaimm.net Section 2: PQ Media’s Copyright & Intellectual Property U.S. Multicultural Media Forecast 2019

As stated in the Terms of Use section, PQM owns all the Content as it’s defined in Section 1, which includes all data, analysis, information, charts, graphs, research methodologies, algorithms, databases, datasets, market research, support materials, notes, sources, opinion leader panels, forecasts, and any other related materials, resources or assets that were created previously by PQM, and that were developed specifically for this Report, as well as all content PQM has licensed into the new Report for use by Licensee and its Members. Notwithstanding the foregoing, the ANA has the right to use in perpetuity any jointly owned content (as described below) in any form or manner and in any and all media now known or hereafter developed without the prior written consent of PQM. While the majority of the Content in the Report will be owned solely by PQM, due to PQM already owning the Content or because PQM will develop most of the additional data and analysis developed during the course of this project for the final Report, the exceptions will be certain data, analysis and information, as described below, that will either be jointly owned by PQM and the ANA or solely owned by the ANA (collectively, the “ANA Content”) Specific to data and/or analysis that is jointly owned by PQM and ANA, U.S. copyright law states that co-ownership of copyrighted works based on co-authorship is substantiated by evidence of each author contributing significant copyrightable subject matter to the work. That is, one is not a joint author where the contributions are limited to “ideas, refinements, and suggestions.” As it relates to this project, while PQM will research, analyze, synthesize and structure for publication most of the new data and information it does not already own, the ANA’s contribution will primarily be feedback to the data and analysis developed by PQM. However, due to its contribution to the Report, the ANA will jointly own with PQM the demographic and endemic/non-endemic definitions in the Report. In addition, ANA will own the slides it contributes to the Report that prominently display ANA copyrighted material, which will be included in the overall advertising & marketing and general multicultural trend sections. As funding sponsor of the Report, the ANA also will share a co-authorship and copyright credit with PQM that will appear in the Report, with the ANA and/or AIMM prominently displayed on select pages within the Report, particularly on the cover and copyright page. Due to PQM’s ownership of the lion’s share of Content in the Report and in accordance with the copyright statutes referenced above, the ANA is precluded from hiring another third-party vendor at any time in the future to prepare the same or substantially similar report or to issue an update to the Report that is based largely on PQM created and owned Content, while only a relatively small amount of the total contents of the Report will be created by the ANA. In addition, copyright law states there must be accountability among co-owners of copyrighted works, in that joint owners have an obligation to account to the other co-owner if one Party attempts to change the copyrighted Content in any manner, such as breaking up chapters or sections of the Report into individual deliverables for end-user consumption or for sale to non-members. The Licensee and its Members hereby acknowledge and agree that, except for the ANA Content, PQM does now and shall in perpetuity own all intellectual property rights to the Content, including related research methodologies, databases, datasets, market research and support materials, sources, opinion leader panels, analysis, charts, graphs, tables, algorithms, forecasts and projections, notes, and any other materials and assets created by PQM and/or included in the Report by PQM. The Licensee and acknowledges and agrees that they shall not at any time during the Term of this Agreement or at any time thereafter challenge, claim or contest the validity of any right, title or interest of PQM in and to the Content or any other of PQM’s data, analysis or other information licensed into the Report. Information “As Is” – All information and data contained in the Report are obtained by PQ Media from sources that PQ Media believes to be accurate and reliable. However, errors and omissions in the Report may result from human error, technical malfunctions, electronic or digital conversion glitches and/or transmission of textual and numeric data.

4 www.pqmedia.com www.anaaimm.net Multicultural media is an important concept for brands to embrace if they want to increase market share. Multicultural customers – African Americans, Asian Americans and Hispanic Americans – are the fastest growing demographic. Yet they are underrepresented in media buying. Brands need to shift away from bland, generic total market messaging and concentrate on delivering culturally relevant copy on media that are being consumed by multicultural audiences.

The U.S. Multicultural Media Forecast 2019 provides many of those answers for brands. It is the first report to examine the entire size of the multicultural media industry and to isolate growth trends that are driven by a multitude of opportunities and challenges in reaching these diverse audiences. The report highlights which media segments are the largest, and thus are still important to consider in delivering reach. But more importantly, the report also explores smaller media segments that are growing faster because they resonate with multicultural audiences and therefore offer higher engagement potential.

PQ Media is proud to have partnered with the Alliance for Inclusive and Multicultural Marketing (AIMM) to provide Association of National Advertiser (ANA) and AIMM members with the most comprehensive examination of multicultural media ever by demographics, media platforms and media buying strategies. The U.S. Multicultural Media Forecast 2019 provides strategic intelligence to AIMM and ANA members that will enable them to navigate through the ever-changing media landscape.

Patrick Quinn President & CEO PQ Media

5 www.pqmedia.com www.anaaimm.net When the ANA established the Alliance for Inclusive and Multicultural Marketing (AIMM) in late 2016 our mission was simple: to create a powerful voice that elevates multicultural and inclusive marketing to promote business growth in an increasingly diverse marketplace. Comprised of client-side marketers, advertising agencies, media/publishers, researchers, data companies, and industry trade associations, AIMM brings together the collective voice of the General, Hispanic, African-American, Asian-American and LGBTQ markets. Together, this working group of senior- level industry leaders is focused on upgrading and enhancing the effectiveness of how multicultural and inclusive marketing currently gets done. We all know the population growth trends, spending power and cultural influence of multicultural consumers. But as the AIMM team got deeper into our work, we were unclear on the fundamental questions: “How much media spend is targeted to multicultural audiences? Is that spend growing? Is it truly reflective of the size of this opportunity?” We commissioned PQ Media to find out. The ANA had previous experience with PQ Media. Several years ago the ANA acquired the Brand Activation Association, which focused mostly on brand activation marketing that both builds a brand’s image and drives consumer action via branded & content, experiential, influencer, promotion, relationship, and retailer marketing. So the ANA commissioned PQ Media to help us better understand the brand activation category and its respective segments. We believe that the new U.S. Multicultural Media Forecast 2019 report will be a landmark study for multicultural marketing. For years a number of smart companies have marketed to multicultural audiences, but those have been the exceptions, and to some extent discussion on multicultural marketing has “preached to the choir.” This new study identifies a clear opportunity for more marketers to engage multicultural consumers to drive business growth – and for those marketers still “sitting on the sidelines,” it should encourage them to “get in the game.” We learned so much from this study. We believe it will be of tremendous value to the marketing industry and serve as a catalyst for growth. Bill Duggan Group Executive Vice President Association of National Advertisers

6 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Objectives, Scope and Endemic/Non-Endemic Definition

7 www.pqmedia.com www.anaaimm.net Multicultural Media Forecast Objectives

PQ Media, in partnership with the Alliance for Inclusive and Multicultural Marketing (AIMM), will define, segment, size, analyze and forecast the growth of a specific set of multicultural media categories in the United States as described in the following objectives:

U.S. Multicultural Media Analysis • Size, Forecast Growth, & Develop Trends Analysis of Multicultural Media by: • Multicultural Demographic Segments • Media Sectors, Platforms & Channels • Media Buying Strategies • Historical (2016-18); Forecast (2019-20)

The ultimate goal of this project is to deliver a strong, credible and consistent market intelligence report that will educate, empower and provide AIMM and ANA’s members with actionable strategic intelligence.

8 www.pqmedia.com www.anaaimm.net Multicultural Media Forecast Scope

• Demographics • Advertising • Brand Activation • African American • Digital Media (Pure Play Only) • Branded & Content Marketing • Asian American • Social Media • Experiential Marketing • Hispanic American • Other Digital Media Advertising • Influencer Marketing • Out-of-Home Media • Promotional Marketing • Print Media • Relationship Marketing • Media Buying Strategies • Newspapers • Retailer Marketing • Endemic vs. Non-Endemic • Consumer Magazines • National vs. Local • Radio • Native/Bilingual vs. English Language • Television • Hispanic (Spanish) • Broadcast Television • Chinese American • Pay Television • Filipino American • Aggregate Other Media • Indian American • B2B Magazines, Entertainment Media*, Yellow Pages • Japanese American *Entertainment Media includes ads in console & digital videogames and on gaming, film, music, & book websites • Korean American • Vietnamese American • Rest of Asian American/African American

9 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic

Non-Endemic Media Buying is more difficult to define, but should include the following parameters:

PQ Media and AIMM agreed that U.S. Bureau of the Census data should be used to determine the over-index, whereby a media property must be twice the demographic’s share of the U.S. population. According to 2017 census data, the following is the share of the U.S. population by each multicultural group, and the over-index formula. • 18.1% of the overall audience is Hispanic, or 18% x 2 = 36% and above AC • 13.4% of the overall audience is African American, or 13.5% x 2 = 27% and above AC • 5.8% of the overall audience is Asian-Americans, or 6% x 2 = 12% and above AC (Formulas round to the nearest 0.5%)

For a more detailed definition of Non-Endemic Media Buying, please see slides 333-39 in the Appendix

10 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Executive Summary

11 www.pqmedia.com www.anaaimm.net Multicultural Media: 2018 Results & 2019-20 Forecast

2018 • U.S. total Multicultural Media revenues rose 5.6% to $25.86 billion, representing only 5.2% of overall advertising & marketing • Hispanic American Media was largest of three demographic categories, rising 5.3% to $17.94 billion ($905M realized revenues) • African American Media ranked second in size and growth, increasing 6.1% to $7.20 billion ($411M realized revenues) • Asian American Media grew the fastest, up 7% to $722 million ($47M realized revenues) • Advertising rose 5.5% to $13.05 billion; Brand Activation Marketing increased 5.6% to $12.81 billion • 2018 was buoyed by advertising & marketing associated with political elections, Winter Olympics and FIFA World Cup • Multicultural brand activation was smaller than advertising, the opposite of the overall advertising & marketing ecosystem • TV largest media platform at $7.67 billion, while smallest platform, Other Advertising, was fastest growing, up 12.5% • Endemic media buying accounted for 69% of revenues, but non-endemic grew faster, up 6.8% (definitions on Slide 10) • National media buying accounted for 62.5% of revenues, but local grew faster, rising 6.2% • English language accounted for 53.9% of revenues, and also grew faster than native language content, up 6%

2019 & 2020 • U.S. Multicultural Media is pacing to rise 4.5% in 2019 to $27.01 billion • 2019 growth will decelerate due to no international sporting events and federal elections • U.S. Multicultural Media is projected to increase 6.3% in 2020 to $28.72 billion • 2020 growth will be driven by the elections once again, as well as the Summer Olympics

12 www.pqmedia.com www.anaaimm.net Top 10 Multicultural Media Trends

1. Multicultural Media Under-represented in Advertising & Brand Activation Marketing Ecosystem

2. Shift Away from Total Market Approach in Media Buying Strategy Benefiting Multicultural Media

3. Multicultural Media Growth Could Be Stronger If Not for Endemic Traditional Media Growth Weakening

4. Traditional Multicultural Media Not Being Abandoned Because of Scale, High Media Usage and ROI

5. Non-Endemic Multicultural Media Gaining Traction as Content Publishers Increasing Use of Multicultural Professionals

6. Multicultural Populations Skew Younger than Overall Population, Tend to Be More Tech Savvy and Digitally Focused

7. English and Bilingual Campaigns Being Employed More than Native Language Outreach

8. Local Advertising & Marketing Gaining Market Share as Brands Target DMAs with Significant Multicultural Presence

9. Even Year Events Driving Growth Acceleration, Growth Deceleration in Odd Years

10. Multicultural Retail Faring Better than Overall Retail Market, Aiding Brand Activation Platforms like Retailer Marketing

13 www.pqmedia.com www.anaaimm.net Multicultural Media Revenues Rose 5.6% in 2018 to $25.86 Billion; Projected to Post 4.5% Gain in 2019 and 6.3% Increase in 2020 to $28.72 Billion

Multicultural Media Revenues, 2016-2020 Multicultural Media Revenue Growth, 2017-2020

$30 $28.72 $27.01 $25.86 2017 2.5% $24.50 $23.90

$20 2018 5.6%

4.7% CAGR $ Billions % Growth%

2019 4.5% $10

2020 6.3%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media CAGR – Compound Annual Growth Rate (4-Year Average)

14 www.pqmedia.com www.anaaimm.net Multicultural Media Revenue Share Significantly Under-Indexes the General Population While Multicultural is 37.3% of the Total Population, Multicultural Only 5.2% of Total Media

U.S. Population Share by Ethnicity in 2018 U.S. Advertising & Marketing Revenue Share by Ethnicity in 2018

5.8% 3.59%

13.4% 1.44% 0.14%

18.1% 62.7%

94.83%

Asian American African American Hispanic American All Others Asian American African American Hispanic American All Others

Source: U.S. Census Bureau Source: PQ Media

15 www.pqmedia.com www.anaaimm.net Hispanic American Media the Largest of the Three Demographic Categories in 2018; Asian American Media Posted the Fastest Growth, Although Lowest Realized Revenues

Multicultural Media Revenues/Share by Demographics in 2018 ($B) Multicultural Media Growth by Demographics in 2018 Realized Revenues $M) (2018 vs. 2017)

$0.72 Hispanic American 5.3% $975

$7.20

African American 6.1% $411

$17.94

Asian American 7.0% $47

Asian American African American Hispanic American

0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

16 www.pqmedia.com www.anaaimm.net Multicultural Media Trends Towards Advertising Slightly Over Brand Activation Marketing; Advertising 50.5% of Multicultural Media Compared with Only 35.8% in Overall Media

Share of Overall Media by Sector in 2018 Share of Multicultural Media by Sector in 2018

35.8%

49.5% 50.5%

64.2%

Advertising Brand Activation Advertising Brand Activation

Source: PQ Media Brand Activation Marketing Forecast 2017 Source: PQ Media

17 www.pqmedia.com www.anaaimm.net Overall Media and Multicultural Media Are Growing at Similar Rates; However, Multicultural Media Outpacing Advertising, Underpacing Brand Activation

Overall Media vs. Multicultural Media Overall Advertising vs. Multicultural Advertising Overall Brand Act. vs. Multicultural Brand Act. 10% 10% 10% Overall Media Overall Advertising Overall Brand Activation Multicultural Media Multicultural Advertising Multicultural Brand Activation 8% 8% 8%

6% 6% 6%

4% 4% 4%

2% 2% 2%

0% 0% 0% 2017 2018 2019 2020 2017 2018 2019 2020 2017 2018 2019 2020

Source: PQ Media Source: PQ Media Source: PQ Media

18 www.pqmedia.com www.anaaimm.net Television Was the Largest of the 12 Multicultural Media Platforms in 2018; Other Advertising Posted the Fastest Growth Due to Rapid Increase in eSports Sponsors

Multicultural Media Revenue by Media Platform in 2018 ($B) Multicultural Media Growth by Media Platform in 2018

Other Advertising (a) 12.5% Television Advertising $7.67 Branded/Content Marketing 11.6% Relationship Marketing $4.62 Influencer Marketing 11.6%

Promotional Marketing $3.08 Digital Ad (Pure Play) 10.1% Experiential Marketing 8.7% Experiential Marketing $2.67 Out-of-Home Advertising 7.3% Digital Advertising (Pure Play) $2.59 Brand Activation 5.6% Print Advertising $1.39 Total Multicultural Media 5.6% Radio Advertising $1.09 Advertising 5.5% Television Advertising Branded & Content Marketing $0.89 5.5% Retailer Marketing 5.3% Influencer Marketing $0.83 Radio Advertising 4.6% Retailer Marketing $0.72 Promotional Marketing 3.9% Out-of-Home Advertising $0.24 Relationship Marketing 2.9%

Other Advertising (a) $0.07 Print Advertising -4.2% -5% 0% 5% 10% 15% $0 $2 $4 $6 $8 $10 Source: PQ Media Source: PQ Media a) Other Advertising includes: Business-to-Business (B2B) Magazines, Local Directories, and Entertainment Media (e.g. In-Videogame ads, eSports sponsorships, ads on gaming, music, film and book websites)

19 www.pqmedia.com www.anaaimm.net Endemic Was the Larger of the Media Buying Categories in 2018; Non-Endemic Posted Faster Growth Due to Shifts in Traditional Media Budgets

Multicultural Media Rev/Share by Endemic/Non-Endemic in 2018 ($B) Multicultural Media Growth by Endemic/Non-Endemic in 2018

$8.02 Endemic 4.7%

$17.84

Non-Endemic 6.8%

Non-Endemic Endemic

0% 2% 4% 6% 8% Source: PQ Media Source: PQ Media See Slide 10 for definitions of non-endemic and endemic

20 www.pqmedia.com www.anaaimm.net National Was the Larger of the Two Media Buying Categories in 2018; Local Posted Faster Growth as Brands Target 75 Major Multicultural DMAs

Multicultural Media Revenues/Share by National/Local in 2018 ($B) Multicultural Media Growth by National/Local in 2018

National 5.2%

$9.70

$16.16

Local 6.2%

Local National

0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

21 www.pqmedia.com www.anaaimm.net English Language Media Was Larger than Native Language Media in 2018; English Also Posted Faster Growth as Brands Targeted Younger Demos

Multicultural Media Revenues/Share by English/Native in 2018 ($B) Multicultural Media Growth by English/Native in 2018

English 6.0%

$11.91

$13.95

Native 5.0%

Native/Bilingual Language English Language

0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

22 www.pqmedia.com www.anaaimm.net Multicultural Media Language Skewed by Almost-All-English African-American Demo; When African Americans Excluded, Native Language Accounted for 63.8% of Multicultural

Share of Multicultural Media by Language in 2018 Share of Multicultural Media by Language EXCLUDING African American in 2018

36.2%

46.1%

53.9%

63.8%

Native/Bilingual Language English Language Native/Bilingual Language English Language

Source: PQ Media Source: PQ Media

23 www.pqmedia.com www.anaaimm.net Select Global Opinion Leader Panel (GOLP) Insights

One size doesn’t fit all – we have to develop different multicultural messages for each demographic, as well as by subsets of the demographic like Millennial Hispanic Americans, Baby Boomer African Americans and Female Asian Americans Brand Executive

It’s all about “culture” – if you don’t address it, you’re not engaged. Hispanic-American Trade Organization Executive

Multicultural consumers have a “voice” through social media, and brands are becoming afraid of not listening. African-American Agency Executive

Brands need to be better educated about the multicultural audience because too many campaigns have become performance-based. Culturally-relevant messaging always increases engagement, and thereby return on investment (ROI) Asian-American Agency Executive

24 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 AIMM Recommendations

25 www.pqmedia.com www.anaaimm.net Report Implications

1. There is a clear opportunity for more marketers to engage Multicultural consumers to drive business growth. In what is perhaps the most significant finding in this study, Multicultural Media revenue – meaning total advertising & brand activation revenues (for both above- and below-the-line media) – significantly under-indexes the general population. This is especially notable for the many advertisers who are still on the sidelines, only reaching diverse segments through general market efforts and/or investing minimally compared to the size of the population and opportunity. • Multicultural consumers now comprise almost 40% of the total population, yet Multicultural Media investments comprise only 5.2% of total advertising & marketing revenues according to the PQ Media study. (See Slide 43 for definition of advertising & marketing operator revenues.)

2. Although 100% of the total population growth comes from Multicultural segments, marketers are significantly underspending to reach these consumers, and conversely, decidedly overspending to reach non-Multicultural consumers. • 95% of the media revenues are concentrated in non-Multicultural media when only 63% of the population base is non-Multicultural. More importantly, the non-Multicultural base is already in decline, and the decline is projected to continue to accelerate, putting brands at a greater growth risk than in the past. • The current allocation of resources of 5.2% of media revenues against almost 40% of the population base under-delivers the full growth potential of Multicultural consumers to brands. Although it is hard to say that marketers should be spending nearly 40% of media revenues against almost 40% of the consumer base, it is implausible that a 5.2% allocation could maximize brand growth.

26 www.pqmedia.com www.anaaimm.net Report Implications (cont.)

3. Marketer media allocation should reflect the fact that Multicultural consumers are not concentrated in great numbers in general media, with some exceptions (notably, African Americans). • Not enough marketers are investing in endemic media with messaging in languages and/or in culture. For the most part those who do invest in endemic media spend too little there. • Reaching out directly to Multicultural consumers in endemic media is critical to maximize growth. Examples of endemic media include Univision and NBCU Telemundo for Hispanic Americans; BET and Essence for African Americans; and AsianWeek and , and AsAmNews for Asian Americans.

4. Marketers should better leverage digital advertising to reach Multicultural consumers. • Currently, digital advertising represents only 10% of Multicultural Media revenues, but 18% of overall media revenues, per PQ Media’s analysis. Yet, Multicultural audiences use digital media more than the average population, over-indexing on messaging, digital video and streaming audio. Multicultural populations skew younger than the overall population and tend to be more tech-savvy, digitally focused and have a higher engagement. • Among the challenges marketers face in digital advertising is ensuring their ads are relevant to the user. Yet, AIMM research indicates that the digital data accuracy and coverage for Multicultural consumers is considerably lower than for other segments. That makes it harder to ensure the right message gets in front of the right consumer. Until digital online data quality is transparent, marketers will continue to face tough challenges understanding who they are targeting and which consumer segments are responding. Many Multicultural digital consumers are incorrectly identified as White Non-Hispanic, artificially inflating views, exposure, engagement and ROI. It’s important that marketers invest with care and demand more quality transparency from data providers.

27 www.pqmedia.com www.anaaimm.net Report Implications (cont.)

5. Brand activation should play a greater role in reaching Multicultural consumers. Brand activation platforms consist of branded & content marketing, experiential marketing, influencer marketing, promotional marketing, relationship marketing, and retailer marketing. • Brand activation revenue is lower than advertising revenue in Multicultural – about a 49/51 skew – versus 64/36 share in the general market. • Brand activation is important at the point of decision and provides a better opportunity for one-on-one engagement between the brand and the Multicultural consumers.

6. There is an opportunity to have Multicultural communication specialists work more in non-endemic media (i.e., general market media) to help craft communications to appeal to both general market and Multicultural audiences. • While endemic media buying accounts for 69% of Multicultural Media revenue, non-endemic is growing faster – 6.8% versus 4.7%. Non- endemic accounts for 29% of revenues in Hispanic American Media, 36% in African American Media and 44% in Asian American Media. This suggests an opportunity for Multicultural communications specialists to not only work in endemic media, but also non-endemic platforms and programs that have a high concentration of Multicultural audiences in order to craft communications that would appeal to both general market and Multicultural audiences.

28 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Table of Contents

29 www.pqmedia.com www.anaaimm.net Table of Contents

Slide(s) Title/Tables Slide(s) Title/Tables Slide(s) Title/Tables 1-6 Front Matter Executive Summary (cont.) Key Growth Trends, Drivers & Challenges (cont.) 1 Cover 22 Multicultural Media by English vs. Native Language 61 TV’s Death Has Been Exaggerated 2 Copyright 23 English vs. Native Language Excluding African American 62 Artificial Intelligence Market Intelligence 3-4 Terms & Conditions of Use 24 Select GOLP Insights 63 Smart Technology Marketing

5 PQ Media Insight 25-28 AIMM Recommendations 64 Retailer Woes Continue 6 Association of National Advertisers Insight 26-28 U.S. Multicultural Media Forecast 2019: Implications 65 Growth of Multicultural Media

7-10 Objectives, Scope & Definitions Endemic/Non-Endemic 29-35 Table of Contents 66-77 Top 10 General Multicultural Trends 11-44 Executive Summary 36-53 Methodology, Source Types & Select Definitions 67 Research Note: Other Sources 12 Multicultural Media Results & Forecast 37-39 PQ Media Research Methodology 68 Multicultural Population Growth 13 Top 10 Multicultural Media Trends 41-43 Select Primary & Secondary Source Types 69 Multicultural Categories Skew Younger 14 Multicultural Media Revenues & Growth 44-53 Select Definitions 70 Multicultural Buying Power

15 Multicultural Media Share vs. Population Share 54-77 Chapter 1: Key Growth Trends, Drivers & Challenges 71 Multicultural Digital Device Ownership 16 Multicultural Media by Demographics 54-65 Top 10 Advertising & Marketing Trends 72 Multicultural Engagement with Traditional Media 17 Multicultural Media by Sector vs. Overall Ad & Mrktg 56 Political Media Buying 73 Multicultural Digital Media Use 18 Multicultural Media Growth vs. Overall Media 57 Even Year International Sporting Events 74 Multicultural Psychographic Subsets 19 Multicultural Media by Media Platforms 58 Strong Economy 75 Multicultural Purchases that Over-Index 20 Multicultural Media by Endemic vs. Non-Endemic 59 Digital vs. Traditional KPIs 76 Multicultural Underrepresented in Media Content 21 Multicultural Media by National vs. Local 60 Digital Ad Fraud & Data Security 77 Multicultural Issues Driving Select Media Platforms

30 www.pqmedia.com www.ana.net Table of Contents (cont.)

Slide(s) Title/Tables Slide(s) Title/Tables Slide(s) Title/Tables 78-130 Chapter 2: Overall Multicultural Media Overall Multicultural Media (cont.) Overall Multicultural Media (cont.) 79 Multicultural Media Results & Forecast 100 Multicultural Pay TV Revenues & Growth 117-128 Multicultural Media by Media Buying Strategies 80-84 Top 10 Multicultural Media Trends 101 Multicultural Digital (Pure Play) Revenues & Growth 118 Definition: Endemic vs. Non-Endemic 85 Multicultural Media Revenues & Growth 102 Multicultural Social Media Revenues & Growth 119 Multicultural Media by Endemic/Non-Endemic Share 86 Multicultural Media Share vs. Population Share 103 Multicultural Other Digital Revenues & Growth 120 Multicultural Endemic Revenues & Growth 87 Multicultural Media by Demographics 104 Multicultural Print Revenues & Growth 121 Multicultural Non-Endemic Revenues & Growth 88-116 Multicultural Media Sectors & Platforms 105 Multicultural Newspapers Revenues & Growth 122 Multicultural Media by National/Local Share 89 Digital Media: Traditional Extensions vs. Pure Play 106 Multicultural Consumer Mag Revenues & Growth 123 Multicultural National Revenues & Growth 90 Multicultural Advertising Revenues & Growth 107 Multicultural Radio Revenues & Growth 124 Multicultural Local Revenues & Growth 91 Multicultural Brand Activation Revenues & Growth 108 Multicultural Out-of-Home Revenues & Growth 125 Multicultural Media by English/Native Language Share 92 Multicultural Media by Sector vs. Overall Ad & Mrktg 109 Multicultural Other Advertising Revenues & Growth 126 English vs. Native Language Excluding African Amer. 93 MC Ad & Brand Act Share of Overall Ad & Brand Act 110 Multicultural Media Platforms: Brand Activation 127 Multicultural English Language Revenues & Growth 94 Multicultural Media Growth vs. Overall Media 111 Multicultural Relationship Revenues & Growth 128 Multicultural Native Language Revenues & Growth 95 Multicultural Media by Media Platforms 112 Multicultural Promotions Revenues & Growth 129-130 GOLP Insights: Multicultural Media 96 Multicultural Media by Platforms vs. Overall Ad & Mrktg 113 Multicultural Experiential Revenues & Growth 97 Multicultural Media Platforms & Channels: Advertising 114 Multicultural Branded & Content Revenues & Growth 98 Multicultural Television Revenues & Growth 115 Multicultural Influencer Revenues & Growth 99 Multicultural Broadcast TV Revenues & Growth 116 Multicultural Retailer Revenues & Growth

31 www.pqmedia.com www.ana.net Table of Contents (cont.)

Slide(s) Title/Tables Slide(s) Title/Tables Slide(s) Title/Tables 131-181 Chapter 3: Hispanic American Media Hispanic American Media (cont.) Hispanic American Media (cont.) 132 Hispanic American Media Results & Forecast 153 Hispanic American Digital (Pure Play) Revenues & Growth 169-179 Hispanic American Media by Media Buying Strategies 133-137 Top 10 Hispanic American Media Trends 154 Hispanic American Social Media Revenues & Growth 170 Definition: Endemic vs. Non-Endemic 138 Hispanic American Media Revenues & Growth 155 Hispanic American Other Digital Revenues & Growth 171 Hispanic American Media by Endemic/Non-Endemic Share 139 Hispanic American Media Share vs. Population Share 156 Hispanic American Print Revenues & Growth 172 Hispanic American Endemic Revenues & Growth 140 Hispanic American Media by Demographics 157 Hispanic American Newspapers Revenues & Growth 173 Hispanic American Non-Endemic Revenues & Growth 141-168 Hispanic American Media Sectors & Platforms 158 Hispanic American Consumer Mag Revenues & Growth 174 Hispanic American Media by National/Local Share 142 Digital Media: Traditional Extensions vs. Pure Play 159 Hispanic American Radio Revenues & Growth 175 Hispanic American National Revenues & Growth 143 Hispanic American Advertising Revenues & Growth 160 Hispanic American Out-of-Home Revenues & Growth 176 Hispanic American Local Revenues & Growth 144 Hispanic American Brand Activation Revenues & Growth 161 Hispanic American Other Advertising Revenues & Growth 177 Hispanic Amer Media by English/Native Language Share 145 Hispanic American Media by Sector vs. Overall Ad & Mrktg 162 Hispanic American Media Platforms: Brand Activation 178 Hispanic American English Language Revenues & Growth 146 Hispanic American Media Growth vs. Overall Media 163 Hispanic American Relationship Revenues & Growth 179 Hispanic American Native Language Revenues & Growth 147 Hispanic American Media by Media Platforms 164 Hispanic American Promotions Revenues & Growth 180-181 GOLP Insights: Hispanic American Media 148 Hispanic Ameri Media by Platforms vs. Overall Ad & Mrktg 165 Hispanic American Experiential Revenues & Growth 149 Hispanic Amer Media Platforms & Channels: Advertising 166 Hispanic American Branded & Content Revenues & Growth 150 Hispanic American Television Revenues & Growth 167 Hispanic American Influencer Revenues & Growth 151 Hispanic American Broadcast TV Revenues & Growth 168 Hispanic American Retailer Revenues & Growth 152 Hispanic American Pay TV Revenues & Growth

32 www.pqmedia.com www.ana.net Table of Contents (cont.)

Slide(s) Title/Tables Slide(s) Title/Tables Slide(s) Title/Tables 182-232 Chapter 4: African American Media African American Media (cont.) African American Media (cont.) 183 African American Media Results & Forecast 204 African American Digital (Pure Play) Revenues & Growth 220-230 African American Media by Media Buying Strategies 184-188 Top 10 African American Media Trends 205 African American Social Media Revenues & Growth 221 Definition: Endemic vs. Non-Endemic 189 African American Media Revenues & Growth 206 African American Other Digital Revenues & Growth 222 African American Media by Endemic/Non-Endemic Share 190 African American Media Share vs. Population Share 207 African American Radio Revenues & Growth 223 African American Endemic Revenues & Growth 191 African American Media by Demographics 208 African American Print Revenues & Growth 224 African American Non-Endemic Revenues & Growth 192-219 African American Media Sectors & Platforms 209 African American Newspaper Revenues & Growth 225 African American Media by National/Local Share 193 Digital Media: Traditional Extensions vs. Pure Play 210 African American Consumer Mag Revenues & Growth 226 African American National Revenues & Growth 194 African American Advertising Revenues & Growth 211 African American Out-of-Home Revenues & Growth 227 African American Local Revenues & Growth 195 African American Brand Activation Revenues & Growth 212 African American Other Advertising Revenues & Growth 228 African American Media by English/Native Language Share 196 African American Media by Sector vs. Overall Ad & Mrktg 213 African American Media Platforms: Brand Activation 229 African American English Language Revenues & Growth 197 African American Media Growth vs. Overall Media 214 African American Relationship Revenues & Growth 230 African American Native Language Revenues & Growth 198 African American Media by Media Platforms 215 African American Promotions Revenues & Growth 231-232 GOLP Insights: African American Media 199 African Amer. Media by Platforms vs. Overall Ad & Mrktg 216 African American Experiential Revenues & Growth 200 African American Media Platforms & Channels: Advertising 217 African American Retailer Revenues & Growth 201 African American Television Revenues & Growth 218 African American Branded & Content Revenues & Growth 202 African American Broadcast TV Revenues & Growth 219 African American Influencer Revenues & Growth 203 African American Pay TV Revenues & Growth

33 www.pqmedia.com www.ana.net Table of Contents (cont.)

Slide(s) Title/Tables Slide(s) Title/Tables Slide(s) Title/Tables 233-303 Chapter 5: Asian American Media Asian American Media (cont.) Asian American Media (cont.) 234 Asian American Media Results & Forecast 255 Asian American Digital (Pure Play) Revenues & Growth 271-301 Asian American Media by Media Buying Strategies 235-239 Top 5 Asian American Media Trends & 6 Cultural Breakouts 256 Asian American Social Media Revenues & Growth 272 Definition: Endemic vs. Non-Endemic 240 Asian American Media Revenues & Growth 257 Asian American Other Digital Revenues & Growth 273 Asian American Media by Endemic/Non-Endemic Share 241 Asian American Media Share vs. Population Share 258 Asian American Print Revenues & Growth 274 Asian American Endemic Revenues & Growth 242 Asian American Media by Demographics 259 Asian American Newspapers Revenues & Growth 275 Asian American Non-Endemic Revenues & Growth 243-270 Asian American Media Sectors & Platforms 260 Asian American Consumer Mag Revenues & Growth 276 Asian American Media by National/Local Share 244 Digital Media: Traditional Extensions vs. Pure Play 261 Asian American Radio Revenues & Growth 277 Asian American National Revenues & Growth 245 Asian American Advertising Revenues & Growth 262 Asian American Out-of-Home Revenues & Growth 278 Asian American Local Revenues & Growth 246 Asian American Brand Activation Revenues & Growth 263 Asian American Other Advertising Revenues & Growth 279 Asian American Media by English/Native Language Share 247 Asian American Media by Sector vs. Overall Ad & Mrktg 264 Asian American Media Platforms: Brand Activation 280 Asian American English Language Revenues & Growth 248 Asian American Media Growth vs. Overall Media 265 Asian American Relationship Revenues & Growth 281 Asian American Native Language Revenues & Growth 249 Asian American Media by Media Platforms 266 Asian American Promotions Revenues & Growth 282 Asian American Media by Six Ethnic Breakouts 250 Asian American Media by Platforms vs. Overall Ad & Mrktg 267 Asian American Experiential Revenues & Growth 283 Asian Amer. Breakouts by English/Native Language Share 251 Asian American Media Platforms & Channels: Advertising 268 Asian American Retailer Revenues & Growth 284 Chinese American Media by English/Native Language Share 252 Asian American Television Revenues & Growth 269 Asian American Branded & Content Revenues & Growth 285 Chinese American English Language Revenues & Growth 253 Asian American Broadcast TV Revenues & Growth 270 Asian American Influencer Revenues & Growth 286 Chinese American Native Language Revenues & Growth 254 Asian American Pay TV Revenues & Growth

34 www.pqmedia.com www.ana.net Table of Contents (cont.)

Slide(s) Title/Tables Slide(s) Title/Tables Slide(s) Title/Tables Asian American Media (cont.) 304-351 Appendix 287 Indian American Media by English/Native Language Share 305-343 Segmentation & Definitions 288 Indian American English Language Revenues & Growth 306-312 Segmentation & Definitions: Demographic Categories 289 Indian American Native Language Revenues & Growth 313-331 Segmentation & Definitions: Media Platforms & Channels 290 Filipino American Media by English/Native Language Share 332-343 Segmentation & Definitions: Media Buying Strategies 291 Filipino American English Language Revenues & Growth 344-351 About the Authors 292 Filipino American Native Language Revenues & Growth 345-347 About PQ Media 293 Korean American Media by English/Native Language Share 348-349 About Alliance for Inclusive and Multicultural Marketing 294 Korean American English Language Revenues & Growth 350-351 About Association of National Advertisers 295 Korean American Native Language Revenues & Growth 352 Back Cover 296 Japanese Amer Media by English/Native Language Share 297 Japanese American English Language Revenues & Growth 298 Japanese American Native Language Revenues & Growth 299 Vietnamese Amer Media by English/Native Language Share 300 Vietnamese Amer English Language Revenues & Growth 301 Vietnamese Amer Native Language Revenues & Growth 302-303 GOLP Insights: Asian American Media

35 www.pqmedia.com www.ana.net United States Multicultural Media Forecast 2019 Methodology, Source Types & Select Definitions

36 www.pqmedia.com www.anaaimm.net PQ Media Research Methodology

PQ Media’s proven research methodology and proprietary mapping system – PQ Medianomics™ – utilizes proprietary data collection techniques, algorithmic models and analytical approaches to track, analyze and forecast spending, consumption and trends in all major media, platforms and channels of the media and entertainment industries. PQ Media’s system, driven by our SpendTrac, UsageTrac and InfoTrac databases, as well as our exclusive Global Opinion Leader Panel (GOLP), layers the impact of key data and variables, including economic, demographic, behavioral, technological and regulatory.

In defining, structuring, sizing and forecasting global industries and markets, such as multicultural media, PQ Media seeks input from our exclusive Global Opinion Leader Panel™, which includes more than a thousand executives at media and entertainment companies, financial institutions, consulting firms, media agencies and brands regarding various data and information driving key trends and growth in campaign media spending. We also examine thousands of public and private documents from more than 1,000 sources pertaining to regional and market-specific trends and data in multicultural media, the advertising & marketing ecosystem; economic sectors and demographic profiles; and any other factors, such as technology penetration rates, that might affect the multicultural media industry, overall advertising & marketing environment, the economy and consumer media usage behavior and spending patterns.

PQ Media’s proven econometric methodology is set apart from other media research sources in a number of important ways. For example, PQ Media doesn’t use standard rate card data and estimated impressions as the methodological foundation of our spending and growth algorithms. Our consistent, comprehensive and in-depth mapping of the entire media and entertainment landscape provides industry stakeholders with a complete picture of how the spending and usage patterns of consumers, businesses, brands and agencies are changing at an increasingly rapid pace, driven by technology innovation and emerging digital media.

37 www.pqmedia.com www.anaaimm.net PQ Media Research Methodology (cont.)

Specific to the U.S. Multicultural Media Forecast 2019, PQ Media interviewed over 100 GOLP members in confidence (who are not listed in this report to preserve their anonymity). We were fortunate to be introduced to many new national multicultural media GOLP stakeholders by executives at the ANA’s Alliance for Inclusive and Multicultural Marketing (AIMM). Other GOLP members were contacted after PQ Media analysts uncovered interesting information relating to a specific multicultural demographic category. For example, gambling is very popular among Asian Americans, and we reached out to a casino GOLP member to ascertain his/her company’s marketing budget aimed at this demographic and which specific advertising & marketing channels were used. Among the African-American community, diabetes and heart disease are concerns that led us to reach out to a health care GOLP member on marketing techniques used to reach this demographic. The current political environment that is impacting Hispanics required an inquiry to a GOLP member who discussed the rising marketing budgets for immigration information centers and legal defense funds. PQ Media also contacted other GOLP members to aid us on specific sections of the report, particularly relating to local non-endemic revenues. For example, our analysts spoke with media operators and agencies in cities that the U.S. Census Bureau data showed as being multiculturally over-indexed (2x) compared with the overall population. For example, we contacted media operators in Detroit, where African Americans over-index and are featured in media kits, to ascertain an approximate share of inventory that are considered “guaranteed” African- American media buys.

In a separate document accompanying this report, PQ Media lists over 40,000 primary and secondary sources (see following slides for types of sources). There were various methods used to collect data and information from these sources. To identify multicultural brands and products, we started with a content analysis of media operators’ content to ascertain which brands were associated with endemic and non-endemic multicultural content, such as ads on endemic television programs and radio formats, in ethnic newspapers and magazines, and retail outlets like bodegas, with point-of-purchase displays, product sampling, and loyalty programs. Content analysis was also employed to identify multicultural brands and products through agency case studies, advertising & marketing award ceremonies, and sponsorships of multicultural events.

To identify multicultural media operators and content, PQ Media analysts used a myriad of methods. They examined hundreds of directories that listed operators specific to an ethnic group, such as media aimed at Ethiopian Americans. They found lists that ranked multicultural content by revenues, usage and/or popularity, such as Michael Jackson’s estate ranking first among dead celebrities in annual brand licensing revenues. We identified leading influencers by recommendations from multicultural media providers, such as “must-read” blogs on Filipino-American cuisine, and their inclusion in award ceremonies, such as the Hispanic Heritage Awards, and important national institutions, like the Major League Baseball Hall of Fame.

38 www.pqmedia.com www.anaaimm.net PQ Media Research Methodology (cont.)

To develop our algorithms and forecasts, PQ Media expanded its InfoTrac database with information specific to the three demographics categories, media buying preferences, and media platform usage. Our analysts examined thousands of documents, including numerous publications from the AIMM, like The Case for Change. Many GOLP members shared reports cited in marketing plans and pitches, such as government data and demographic reports on multicultural media usage. We downloaded dozens of whitepapers with information on specific demographics, such as analysis of streaming audio usage among multicultural audiences. We included academic research because it offers groundbreaking studies in journals and conference papers on consumer behavior and media usage among specific demographics, such as a study published by one university on television advertising by food companies aimed at African American and Hispanic children.

In preparing the data for the report, PQ Media dealt with the following six issues:

Overall Advertising & Brand Activation Marketing Data: To avoid confusion, PQ Media is the exclusive source for any comparisons to the overall advertising & marketing industry. Data used in charts were extracted from the analysis of the U.S. market in the PQ Media Global Advertising & Marketing Forecast 2018-22 and the breakout of brand activation (see following bullet) from the PQ Media Brand Activation Forecast 2017.

Advertising & Brand Activation Media Channels: In comparing multicultural media to the overall advertising & marketing ecosystem, select channels were moved based on AIMM requests. For example, PQ Media includes online & mobile search in marketing media in our reports because this channel is used to engage at the point of decision rather than increase brand awareness, often a distinction that leads to a certain channel being placed into the advertising or marketing sector. AIMM requested that search be included with Digital Advertising (Pure Play). Specific to brand activation marketing (see Slides 46 & 50 for definition & platforms), the report listed above was sponsored by the ANA, which requested at the time that certain channels be moved into different brand activation platforms compared with the hierarchy of PQ Media’s aforementioned global advertising & marketing forecast. For example, point-of-purchase is included in retailer marketing in the brand activation report, but the channel is included in promotional marketing in the global advertising & marketing forecast.

Revenue vs. Internal Spending (See Segmentation & Definitions): When PQ Media prepared the 2016 and 2017 editions of the U.S. Brand Activation Forecast, we were asked to include internal spending by brands, such as the value that pharmaceutical companies include in their budgets for the free samples provided to doctors. In the multicultural report, that data is exclusively operator revenue, and excludes internal spending. It should be noted that numerous GOLP members referenced examples of internal spending that impacts marketing budgets, particularly the use of translation services for bilingual campaigns and hiring multicultural actors when broadcast ads with the same copy were produced in both English and the native languages.

39 www.pqmedia.com www.anaaimm.net PQ Media Research Methodology (cont.)

Total Market Approach: After the 2008-09 Great Recession, many brands switched from a multicultural media buying strategy to a total market approach for efficiency purposes. Total market approach is defined as a marketing approach followed by corporations with their trusted internal & external partners which proactively integrates diverse segment considerations. This is done from inception through the entire strategic process and execution, with the goal of enhancing value and growth effectiveness. In marketing communications this could lead to one fully integrated cross-cultural approach, individual segment approaches and/or both in many cases, but always aligned under one overarching strategy. As a result, these brands discontinued multicultural media buying, like buying time on a Univision program to reach Hispanic audiences. While, this practice is still in place, according to multiple GOLP members, numerous brands began to reverse their decision to exclude multicultural media approximately 18 months ago. These brands reported to our GOLP members that the use of the total market approach led to a decline in market share and/or less engagement with multicultural audiences. Total market approach is NOT included in the multicultural media data.

Non-Endemic Advertising & Marketing (See Segmentation & Definitions): PQ Media was extremely diligent in ascertaining whether a specific DMA or content met the criterion of being over-indexed (2x the U.S. Census Bureau data for the demographic). However, there were two instances in which PQ Media had to alter its algorithms. The first is specific to the Asian-American demographic, in which many brands reported that the breakout to a specific ethnicity, such as Korean Americans, proved to be too small to provide scale, so no effort was made to target this audience regardless whether it over-indexed. The exception was the Winter Olympics, held in South Korea that over- indexed by more than 10x, like Olympics-sanctioned sponsors . (The same phenomenon is expected during the 2020 Summer Olympics being held in Japan.) The second is specific to colleges and universities, in which there is a formula used by the U.S. Department of Education to determine whether an institution will be included in the “Minority Serving Institutions Program” because it over-indexes on specific multicultural student populations, most notably Historically Black Colleges & Universities (HBCUs).

Institutions/Celebrities Listed Both as a Brand & Operator: There are many instances in the accompanying source list document where an institution or celebrity will be listed two or more times. They are considered a brand when the institution or celebrity spent marketing dollars to reach a multicultural audience, like a college sponsoring a STEM recruiting conference or a celebrity with a cosmetic business. They are considered an operator when they generate revenues thorough media channels, like digital out- of-home ads on a college stadium scoreboard and basketball star signing a brand licensing agreement with a sneaker company. To distinguish when an institution or celebrity was generating revenue as an operator, PQ Media added “Brand Licensing” to the institution or person’s name.

PQ Media attempted to identify as many primary and secondary sources as possible related to multicultural media. The list of over 40,000 sources is found in a supplementary document included with the U.S. Multicultural Media Forecast 2019. To meet Sarbanes-Oxley requirements, all sources listed in the report were found in the public domain. Following is a list of select source types.

40 www.pqmedia.com www.anaaimm.net Select Primary & Secondary Source Types

Sources for Brands & Operators (ex. Toyota & Camry) Added-Value Graphic Packaging Consumer Event Marketing In-Store Coupons Non-Textual Content Marketing Ambient Out-of-Home Consumer Event Sponsorship In-Store Games & Contests Online Catalogs Artificial Intelligence Marketing Digital Custom Magazines In-Store Loyalty Programs Online Classifieds Augmented Reality Marketing Digital Games & Contests In-Store Mobile Beacons Online Consumer Magazines Big Data Analysis Digital Sampling Programs In-Store Product Sampling Online Coupons Blogs Digital-Only Content Marketing Internet of Things Marketing Online Daily Newspapers Brand Licensing Digital-Video-Recorders List Management Online Display Ads Branded Videos Direct Mail Cards & Envelopes Local Cable Networks Online Ethnic Newspapers Branded Webinars Direct Mail Coupon Packs Marketing Information Online Local Directories Branded Whitepapers Educational Book Websites Medical Office Print Materials Online Radio Networks Broadcast Radio Networks Educational Digital OOH Networks MMS Mobile Messaging Online Radio Stations Broadcast Radio Stations E-Mail Marketing Mobile Marketing Apps Online Rebates Broadcast Television Networks E-Mail Newsletters Mobile Classifieds Online Rich Media Broadcast Television Stations eSports Competitions Mobile Consumer Magazines Online Shoppers Business-to-Business (B2B) Media Free Video-on-Demand Mobile Coupons Online Television Networks B2B Conferences & Expos Gas Station DOOH Nets Mobile Daily Newspapers Online Television Stations B2B Databases Graphic Packaging Mobile Display Ads Online Traders B2B Digital Magazines Grassroots Marketing Mobile Ethnic Newspapers Online Video B2B Directories Health Club Digital OOH Network Mobile Local Directories Online Weekly Newspapers B2B Print Magazines Healthcare Databases Mobile Loyalty Programs Online Yellow Pages B2B Seminars Healthcare Digital OOH Nets Mobile Radio Networks Out-Bound Telemarketing B2B Trade Show Promotions In-Bound Telemarketing Mobile Radio Stations Over-the-Top Streaming Video B2B Trade Shows Incentive Programs Mobile Rebates Podcasts B2B Virtual Trade Shows In-Game Console Videogames Mobile Rich Media Point-of-Purchase Displays B2B Webinars In-Game Mobile Games Mobile Video Premiums Cable Networks In-Game Online Games Mobile Weekly Newspapers Print Catalogs Cinema Chains In-Store & Mall Digital Posters Mobile Yellow Pages Print Consumer Magazines Click-to-Call/Mobile Response In-Store & Mall Digital OOH Nets Movie Websites Print Coupons Consumer Book Websites In-Store & Mall Static Posters Music Websites Print Custom Magazines

41 www.pqmedia.com www.anaaimm.net Select Primary & Secondary Source Types (cont.)

Sources for Brands & Products (cont.) Sources for Media Operators (ex. Univision, AAAZA) Print Daily Newspapers Street Furniture Static Posters Advertising Agencies Healthcare Marketers Print Direct Response Subscription Music Services Ambient Out-of-Home Incentive Management Print Ethnic Newspapers Subscription Video Services B2B Mags/Publishers Local Directory Operators Print Rebates Syndicated TV Programs Bloggers Loyal Program Management Print Shoppers Transit Digital OOH Networks Brand Licensers Marketing Agencies Print Traders Transit Digital OOH Posters Broadcast Networks/Owners Marketing Information Cos. Print Weekly Newspapers Transit Static Posters Broadcast Stations/Owners Media Buying Firms Print Yellow Pages TV Long-Form Direct Response Cable Networks/Owners Mobile Music Distributors Product Placement in Dig Media TV Short-Form Direct Response Catalog Distributors Mobile Publishers Product Placement in Films Virtual Reality Marketing Cinema Ad Networks Mobile Search Engines Product Placement in Music Voice Assistance Marketing Console Videogame Publishers Mobile Video Distributors Product Placement in Print & Radio Word-of-Mouth Ambassadors Consumer Book Publishers Mobile Video Producers Product Placement in TV Word-of-Mouth Events Consumer Event Operators Multi-Channel Video Producers Product Placement in Videogames Word-of-Mouth Influencers Consumer Mags/Publishers Music Publishers Professional Book Websites Word-of-Mouth Sites Content Marketing Producers National Directory Operators Public Service Announcements Content Marketing Publishers National Multicultural Influencers Radio Direct Response Coupon Distributors Online Music Distributors Regional Sports Cable Networks Daily Newspapers/Publishers Online Publishers Retail Kiosks Digital OOH Billboard/Owners Online Search Roadside Digital Billboards Digital Place-based Nets/Owners Online Video Distribution Roadside Static Billboards Digital Videogame Publishers Online Video Publishers Satellite Radio Networks Direct Mail Houses Podcasters Search Engines e-Book Distributors Point-of-Purchase Signage SMS Inbound Messaging Educational Book Publishers Premiums Management SMS Outbound Messaging E-Mail Marketing Management Product Placement Agencies Social Media Sites Ethnic Newspapers/Publishers Product Sampling Management Sponsored Social Media Sites Film Production Studios Professional Book Publishers Sponsored Tweets Games & Contest Management Promo Products Distributors Street Furniture Digital Posters Graphic Packaging Specialist Promo Products Suppliers

42 www.pqmedia.com www.anaaimm.net Select Primary & Secondary Source Types (cont.)

Sources for Media Operators (cont.) Research Sources Public Relations Firms Academic Conventions Government Agencies Not-for-Profit Whitepapers Radio Networks/Owners Academic Cultural Bibliographies Government Publications Public Presentations by Media Operators Radio Stations/Owners Academic Journals Government Statistics Regional Multicultural Events Rebate Distributors Academic Multicultural Centers Government Whitepapers Regional Multicultural Orgs Regional Multicultural Influencers Academic Publications Mainstream Media (News Stories & Articles) Research Firm Publications Satellite Radio Academic Trade Mags Media Industry Conferences Research Firm Whitepapers Social Media Publishers Academic Trade Orgs Media Industry Directories Retail Conferences Specialty Directory Publishers Brand Marketing Conferences Media Industry Journals Retail Journals Telemarketers Brand Marketing Directories Media Industry Trade Mags Retail Trade Mags Trade Show Operators Brand Marketing Journals Media Industry Trade Orgs Retail Trade Orgs Traditional OOH Operators Brand Marketing Publications Media Industry Whitepapers Retail Whitepapers TV Direct Response Producers Brand Marketing Trade Mags Multicultural Books Securities & Exchange Comm. (SEC) Filings TV Production Studios Brand Marketing Trade Orgs Multicultural Conventions Technology Conferences Weekly Newspapers/Publishers Brand Marketing Whitepapers Multicultural Directories Technology Trade Mags Word-of-Mouth Agencies Consumer Behavior Conferences Multicultural Journals Technology Trade Orgs Yellow Page Publishers Consumer Behavior Journals Multicultural Trade Mags Technology Whitepapers Consumer Behavior Trade Mags Multicultural Trade Orgs Topic (ex. Health) Conferences Consumer Behavior Trade Orgs Multicultural Whitepapers Topic (ex. Health) Journals Consumer Behavior Whitepapers National Multicultural Events Topic (ex. Health) Trade Mags Foundation Whitepapers National Multicultural Orgs Topic (ex. Health) Trade Orgs Foundations Not-for-Profits Orgs Topic (ex. Health) Whitepapers

Supplementary document to full report: “Primary & Secondary Sources” (list of 41,652 sources) (Available only to AIMM and ANA members when downloading the full report)

43 www.pqmedia.com www.anaaimm.net Definitions: Operator Revenue & Growth Rates vs. Brand Spending

Media Operator Revenues: PQ Media uses this method to determine the size of the Multicultural Media industry. It includes contracted firms, such as media companies, agencies and other firms, that develop and/or distribute marketing messages, and which subsequently report their revenues as being generated by brand marketing. This methodology of collecting brand marketing data is considered more accurate than the method based on rate cards that do not take discounts into account, and therefore are often overinflated. It is also consistent with industry standards; for example, many trade organizations use audit results submitted by its members to size their respective industries. Growth Rates: Many slides will include two data points: a) the revenues generated by media operators as described above; and b) growth rates over the 2016-20 period. PQ Media will include a slide headline specific to 2018 as to which category (ex. Hispanic American, African American, or Asian American) was the largest and which category was the fastest growing. In many instances, the fastest growing category is also the smallest category, which indicates where budgets are shifting, but often the larger categories exhibited a higher increase in realized actual dollars. For example, in 2018 Asian American Media (AAM) rose 7% while Hispanic American Media (HAM) increased 5.3%, but AAM only realized a $47 million addition ($675M to $722M), while HAM realized a $905 million addition ($17.032B to $17.937B). Brand Spending: This data is not included in this report on Multicultural Media. It includes all other internal marketing budgets which relate to the development and distribution of marketing messages, such as translation service. It also does not include the value of brand products and services available through a brand marketing platform or channel, such as free samples given to doctors by pharmaceutical marketing reps. It does not include non-messaging budget items, such as salaries, capital expenditures for technology, and other miscellaneous items like reimbursed travel expense.

44 www.pqmedia.com www.anaaimm.net Definitions: Multicultural Media & African American Media

Multicultural Media is specific to three demographic categories: African American, Asian American and Hispanic American. Past AIMM analysis of multicultural media trends also included the LGTBQ community, but PQ Media and the AIMM agreed that it would be too difficult to avoid double counting when one of the cultural demographics includes LGTBQ messaging, such as community outreach to Hispanic gays in Houston.

Analysis of Multicultural Media will include 12 media platforms and three media buying strategies.

African American Media includes analysis of revenues generated by companies that target the Black community, including endemic media like the BET Network’s cadre of programs, advertising in Essence magazine, direct mail political campaigns sent using an African-American targeted list, etc., as well as non-endemic content which over-indexes in use by a formula described in a following slide, such as TV programs in which one or more African Americans are prominently featured (ex. Empire), which often leads to high African-American viewership, or cities in which the African-American population significantly over-indexes the U.S. population (ex. Detroit with an 86% share of African Americans).

To avoid double counting, Blacks from Latin American countries, also known as Afro Latino, will be included in the Hispanic- American demographic, since Spanish is most often the native language of those island countries.

45 www.pqmedia.com www.anaaimm.net Definitions: Asian American Media & Hispanic American Media

There aren’t many known U.S.-produced media properties that would be considered endemic. PQ Media included non-U.S.- produced media available to Asian Americans, such as Asian TV nets available through pay TV like Star India, and non-U.S. produced programs, such as Pokémon on the Cartoon Network, if these media properties met the non-endemic over-index criteria of Asian-American viewers.

Hispanic American Media includes revenues generated by companies that are targeting various Hispanic American cultural groups, like Mexican Americans in Texas, Cuban Americans in Florida, and Puerto Rican Americans in New York. However, Hispanic American Media differs from Asian American Media, in that Hispanic ethnic groups all share a common language although there might be variations of select words in different dialects (ex. six ways to say “pea” in Spanish). As referenced earlier, Afro Latinos will be included in this category because most of the countries use Spanish as the official language.

Not included in this analysis is Brazilian Americans, who speak Portuguese rather than Spanish, regardless that the country is located in South America. If Brazilians had been included, the proper title of this section would have been Latino American Media, which would have also included variations of French language media used by immigrants from Haiti.

46 www.pqmedia.com www.anaaimm.net Definitions: Advertising & Brand Activation Marketing

Advertising includes revenues generated by companies that are contracted to run marketing messages on traditional and digital media platforms which are frequently combined with editorial or entertainment content to drive brand awareness. Advertising is also known as “Measured Media” or “Audited Media” because there are industry standards that require media companies to provide revenues in confidence to accounting firms and concurrently provide end-user measurement from third-party research firms that are accepted by key stakeholders, such as ad agencies. (See Slides 47-49 for the six advertising platforms and 77 channels.)

Brand Activation Marketing is marketing that both builds a brand’s image and drives a specific consumer behavior or action, as well as helps bring the brand to life through connecting and interacting with the consumer. It includes platforms and channels that converge to shape the way consumers experience a brand. What defines strong Brand Activation is the way various tactics are used together, synergistically, to drive results, consumer behavior and/or actions. These services are positioned near the point of decision, aimed to improve client or customer relations, or appear at locations that offer one-on- one interaction opportunities. (See Slide 50 for the six brand activation platforms and 27 channels.)

47 www.pqmedia.com www.anaaimm.net Advertising Platforms & Channels

• Digital Advertising (Pure Play) • Out-of-Home Media Advertising • Blogs • Ambient Out-of-Home Media • Digital-Only Video Sites (ex. YouTube) • Digital Billboards & Posters • Digital Industry Information Sites (ex. Sports) Display & Video Ads • Digital Place-based Advertising Networks • Digital Industry Vertical Classifieds (ex, Market Research Jobs) • Static Roadside Billboards • Digital Review Sites (ex. Travel) Display & Video Ads • Static Street Furniture Posters • Digital Service Sites (ex. Credit Score) Display & Video Ads • Transit Posters & Vehicle Wraps • In-Store Mobile Beacons • Print Advertising • MMS & SMS Texting • Digital News Aggregators • Mobile Apps • Digital Only News Publishers • Mobile & Online Search • Mobile Editions of Consumer Magazines • Podcasts • Mobile Editions of Daily Newspapers • Proximity Services • Mobile Editions of Weekly & Ethnic Newspapers • Smartphone & Tablet Boot-Up Ads & Scrolls • Online Editions of Consumer Magazines • Smart Technology Marketing (AI, AR, IoT, VA, VR) • Online Editions of Daily Newspapers • Social Media Sites (ex. Facebook) • Online Editions of Weekly & Ethnic Newspapers • Print Consumer Magazine Advertising • Print Daily Newspaper Advertising • Print Weekly & Ethnic Newspaper Advertising

48 www.pqmedia.com www.anaaimm.net Advertising Platforms & Channels (cont.)

• Radio Advertising • Television Advertising • Barter Syndication Programs • Barter Syndication Programs • Digital Only Radio Networks • DBS & Telco TV Avails • Digital Subscriptions Services to Access Radio Stations • DVR Ads • Digital Video Podcasts • Free Video-on-Demand Ads • Local Cable News Channels • In-Flight Entertainment Ads • Local & Regional Cable Sports Networks • Local Cable News Channels • Mobile & Online Sites of Satellite Radio Networks • Local & Regional Cable Sports Networks • Mobile & Online Sites of Terrestrial Radio Networks • Mobile & Online Sites of Local Cable Channels • Mobile & Online Sites of Terrestrial Radio Stations • Mobile & Online Sites of Local & Regional Sports Networks • National Cable Networks • Mobile & Online Sites of National Cable Networks • Terrestrial Television Networks • Mobile & Online Sites of Terrestrial Television Networks • Terrestrial Television Stations • Mobile & Online Sites of Terrestrial Television Stations • National Cable Networks • Streaming Video (Over-the-Top) TV Programming • Terrestrial Television Networks • Terrestrial Television Stations • YouTube Multichannel Networks (MCNs)

49 www.pqmedia.com www.anaaimm.net Advertising Platforms & Channels (cont.)

• Other Advertising • Digital Book Site Ads • Digital Business-to-Business Database Directories • Digital Film Site Ads • Digital Recorded Music Site Ads • In-DVD Promotions • In-Game Ads in Console & PC Disc Videogames • In-Game Ads in Internet Games • In-Game Ads in Mobile Games • Internet Yellow Pages • Local Mobile Directories • Local Online Directories • Mobile & Online Sites of Business-to-Business Magazines • Mobile Yellow Page Directories • National Online Directories • Print Business-to-Business Magazines • Print Yellow Page Directories

50 www.pqmedia.com www.anaaimm.net Brand Activation Marketing Platforms & Channels

• Content Marketing • Promotional Marketing • Digital-Only Content Marketing • Added-Value Specialized Packaging • Graphic Packaging & Change Marketing • Brand Licensing • Hybrid Print & Digital Content Marketing • Games, Contests & Sweepstakes • Non-Textual Content Marketing • Promotional Products, Premiums & Incentives • Product Placement in Digital, Music & Videogame Media • Product Sampling • Product Placement in Print & Radio Media • Print & Digital Coupon & Rebate Distribution (including FSIs) • Product Placement in Television & Film Media • Relationship Marketing • Experiential Marketing • Direct Mail, Catalogs, List Management & Database Marketing • Business-to-Business Live Events • E-Mail & Lead Generation Marketing • Cause-Related & Grassroots Marketing • Loyalty Programs • Consumer Event Marketing & Sponsorship • Marketing Information & Big Data Analysis • Trade Show Promotions • Retailer Marketing • Influencer Marketing • Point of Purchase & Point of Sales Displays • Customer Service & Telesales • Shopper Marketing Analysis • Public Relations & Corporate Communications • Trade Promotions • Word-of-Mouth Marketing (WoMM)

51 www.pqmedia.com www.anaaimm.net Definitions: National vs. Local

National includes campaigns targeting specific multicultural demographics, endemically and non-endemically, that are purchased on broadcast and cable television networks (including digital extensions), print magazines, national ethnic newspapers, pure-play digital media with a national audience, P-O-P displays and loyalty programs deployed in national chains, direct mail campaigns, catalogs, brand licensing of celebrities, and national event sponsorship opportunities, among others.

Additionally, PQ Media found that multicultural media revenues were generated in local markets that did not meet the over- index criterion, but had endemic media buying to reach small cultural enclaves, such Vietnamese in Oklahoma City.

52 www.pqmedia.com www.anaaimm.net Definitions: English Language vs. Native/Bilingual Language

English Language includes messaging aimed at multicultural audiences that were exclusively developed in the English language and distributed in English-language media.

Native/Bilingual Language are primarily endemic multicultural media messages that were exclusively developed in the native language or have a small bilingual component in which the native language content is translated into English. For example, GOLP members in the service professionals (ex. insurance) often develop bilingual materials because targeted older demographics who only speak in the native language often require feedback from children who primarily consume media in English.

Initially PQ Media and the AIMM believed this media buying analysis would only include Hispanic Americans and Asian Americans. However, PQ Media discovered that there is a growing market in African American Media in which recent African immigrants are targeted in their native languages, like Swahili for Kenyan Americans.

53 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Chapter 1: Key Growth Trends, Drivers and Challenges

54 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Top 10 Overall Advertising & Marketing Trends Driving Multicultural Media

55 www.pqmedia.com www.anaaimm.net 1. Political Media Buying Reaching New Heights In Era of Partisanship; Multicultural Important in Contentious States with Large Diverse Populations Like Florida

U.S. Political Media Buying Cycle During Presidential Election Years U.S. Political Media Buying by Media Platform During 2016 Election $10,000 Broadcast TV $3,376 $8,333 Direct Mail $1,578 $8,000 Internet $455 $7,240 Cable TV $427 $6,071 Radio $409 $6,000 Telemarketing $209 $171 $4,216 Event Marketing $ Millions $4,000 Market Research $152

$2,747 PR & Word of Mouth $108 Out of Home $105 $2,000 $1,216 Mobile $102 $801 $599 Newspapers $92 $308 $456 $102 $181 $49 Promotional Products $56 $ Millions $0 $0 $1,000 $2,000 $3,000 $4,000 1972 1976 1980 1984 1988 1992 1996 2000 2004 2008 2012 2016 2020E

Source: PQ Media Political Media Buying 2019 Source: PQ Media Political Media Buying 2016

56 www.pqmedia.com www.anaaimm.net 2. Olympics & FIFA Generate $750M-$1.25B in National TV Advertising Every Even Year; Drive Multicultural Media When in Native Country and When MC Teams Do Well

Estimated National Ad Revenue Generated During Olympics $1,500

$1,200 $1,150

$1,000 $1,000 $1,000 $930 $900 $925 $850 $800 $750 $750 $ Millions

$500

$0 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020E

Sources: PQ Media, NBCUniversal

57 www.pqmedia.com www.anaaimm.net 3. In July 2019, U.S. Recorded Longest Rebound in U.S. History (121 Mos.) Despite Tariffs; When Economy Strong, Brands Increase Budgets, Including on Multicultural Media

U.S. Economic Cycles From 1857 to July 2019: Rebounds vs. Recessions 125

100 Trump’s Tariffs Pose Risk to Global Trade, U.S. Economy: IMF 75 Reuters, June 14, 2018

Months 50 “Let us not understate the macroeconomic impact,” IMF Director 25 Christine Lagarde said, saying the tariffs 0 will have a larger economic toll if they prompt retaliation from trading partners like Canada and Germany. July 1921 July 1924 July 1980 July May 1954 May May 1885 May 1891 May April 1958 April 1888 June 1938 June June 1861 June 1908 June 2009 June June 1894 June 1897 June March 1879 March 1919 March 1933 March 1975 March 1991 March August 1904 August October 1945 October 1949 January 1912 January February 1961 February December 1854 December 1858 December 1867 December 1870 December 1900 December 1914 December 1927 November 1970 November 1982 November 2001 November

Month/Year Rebound Began

Source: National Bureau of National Research, World Bank

58 www.pqmedia.com www.anaaimm.net 4. Digital Gaining Share in All KPIs: Ad & Marketing, Use, and Consumer Spend on Media; Traditional Multicultural Media Operators Still Strong and Share Not Dropping as Rapidly

Share of Ad & Marketing: Traditional vs. Digital Share of Media Usage: Traditional vs. Digital Share of Consumer Spend: Traditional vs. Digital

100% 100% 100%

75% 75% 75%

50% 50% 50%

25% 25% 25%

0% 0% 0% 2012 13 14 15 16 17 18 19 20 21 2022 2012 13 14 15 16 17 18 19 20 21 2022 2012 13 14 15 16 17 18 19 20 21 2022

Traditional Ad & Marketing Traditional Media Usage Consumer Spend on Traditional Media Digital & Alt. Ad & Markeitng Digital Media Usage Consumer Spend on Digital Media PQ Media Global Advertising & Marketing Forecast 2018-22 PQ Media Global Consumer Media Usage & Exposure Forecast 2018-22 PQ Media Global Consumer Spending on Media Forecast 2018-22

Source: PQ Media Global Media & Tech Forecast Series 2018-22 Consumer spending on media includes the costs to access media content, such as purchasing a book, going to the movies, subscribing to a streaming service, cable access fees, purchasing a smartphone, buying a TV set, subscribing to a cloud service, mobile access plans, among others. Buying a print book would be considered traditional media, downloading an e-book would be digital media.

59 www.pqmedia.com www.anaaimm.net 5. But, Digital Media Under Siege by Brands For Ad Fraud and Data Security; Impacts Social Media Sites w/Large Contingency of Multicultural Members

Digital Ad Fraud, 2014-2019

Sources: Association of National Advertisers 2018-2019 Bot Baseline: Fraud in Digital Advertising PricewaterhouseCoopers Global Entertainment & Media Outlook 2018-22

60 www.pqmedia.com www.anaaimm.net 6. TV’s Death Has Been Exaggerated – It’s Now Called Over-the-Top or Streaming Video; Multicultural Media Trailing Mainstream Media in Developing On-Demand Sub Services

Source: FX Source: Nielsen IQ19 Total Audience Report

61 www.pqmedia.com www.anaaimm.net 7. Artificial Intelligence (AI) Increasingly Being Used in Big Data Marketing Info Analytics; Few Multicultural Agencies Using AI, But Considering in Future When MC Data Stronger

PQ Media’s Artificial Intelligence Marketing Information as a Share of Total Marketing & Big Data Information Revenues, 2013-2023 40% 39.5%

30%

20% % Share % 9.0% 10%

0.1% 0% 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Source: PQ Media

Artifical Intelligence Marketing & Big Data Information Share of Total Marketing & Big Data Information 2013-18 2018-23 Channel 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 CAGR CAGR Artifical Intelligence Marketing & Big Data Information Revenues ($ Millions) $35 $160 $525 $1,322 $2,784 $5,103 $8,444 $12,952 $18,753 $25,946 $33,684 Y-to-Y Growth % 357.1% 228.1% 151.8% 110.6% 83.3% 170.9% 65.5% 53.4% 44.8% 38.4% 29.8% 45.9% % Share of Marketing Info 0.1% 0.4% 1.2% 2.8% 5.4% 9.0% 13.7% 19.3% 25.8% 32.9% 39.5% Total Marketing & Big Data Information Revenues ($ Millions) $36,204 $39,658 $43,370 $47,512.24 $51,937 $56,671 $61,617 $66,980 $72,764 $78,862 $85,233 Y-to-Y Growth % 9.5% 9.4% 9.6% 9.3% 9.1% 9.4% 8.7% 8.7% 8.6% 8.4% 8.1% 8.5% Source: PQ Media

62 www.pqmedia.com www.anaaimm.net 8. Smart Technology Marketing (STM) Revenues Rose 393.4% in 2018 to $340.4 Million; Only a Handful of Multicultural Media Campaigns Incorporated Smart Tech Marketing

PQ Media’s Smart Technology Marketing Revenues, 2014-2023 PQ Media’s Smart Technology Marketing Growth, 2015-2023 $8,000 2015

$6,000 17

18 393.4% %

$4,000 Growth 19 $ Millions 20

21 83.5% CAGR $2,000 22

$340 2023 $0 0% 500% 1000% 1500% 2000% 2014 15 16 17 18 19 20 21 22 2023

Source: PQ Media U.S. Smart Technology Marketing 2019 Source: PQ Media U.S. Smart Technology Marketing Forecast 2019 STM includes the use of Artificial Intelligence (AI), Augmented Reality (AR), Internet of Things (IoT), Voice Assistance (VA) and Virtual Reality (VR) in preparing & distributing ad & marketing messages

63 www.pqmedia.com www.anaaimm.net 9. Retailers Continue to Shutter Brick-and-Mortar Stores, Malls Being Abandoned; Multicultural Retailer Marketing Not Impacted As Much Due to Local Ties to Community

Number of Stores Shuttered Per Year, 2000 to 2019* 10,000 *2019 is YTD (April) 8,640

7,500 6,163 5,994 5,864 5,077 5,000 4,475 4,442 3,917 3,081 3,084 2,645 2,795 2,480 2,003 2,140 2,056 2,500 1,975 1,704 1,766 1,343

0 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19*

Sources: Business Insider, Credit Suisse, Daily Caller, Fung Global Retail & Technology, National Retail Federation, Wells Fargo Securities

64 www.pqmedia.com www.anaaimm.net 10. Despite Being Under-Represented, Multicultural Media Driving Ad & Marketing Gains; Following Are the Reasons Why

Multicultural Media Revenues, 2016-2020 $30

$28.72

$28 $27.01

$25.86 $26

$ Billions $24.50 $23.90 $24

$22

$20 2016 2017 2018 2019 2020

Source: PQ Media

65 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Top 10 General Multicultural Trends Driving Multicultural Media

66 www.pqmedia.com www.anaaimm.net Research Note: Multicultural Media Trends

It is not the purpose of this section of the report to replicate excellent data and analysis done by others who have examined multicultural statistics like Census and Commerce data; surveyed different end users on multicultural trends, like brands, agencies and consumers; and/or prepared case studies of successful multicultural media campaigns. There are hundreds of documents that meet these criteria, such as the AIMM report, The Case for Change: Multicultural and Inclusive Marketing as a Business Imperative for Long Term Growth, and are listed in the supplementary document to this report, entitled, U.S. Multicultural Media Forecast 2019 Primary & Secondary Sources.

The top 10 multicultural trends listed in this section were those most often cited by the PQ Media Global Opinion Leader Panel members who provided insights for this report.

67 www.pqmedia.com www.anaaimm.net 1. Multicultural Population Becoming Larger Share of US Population; Asian Amer. Fastest Growing Up 4.9% CAGR Since 2010, Hispanic Up 4.2%, Blacks Up 1%

Multicultural Population Share of Overall Population Since 1960

20% 17.9%

15% 12.5% 12.9% 12.7% 11.7% 10.5% 10%

6.5% 5.6% 5% 3.8% 3.2% 1.5% 0.5% 0% African American Asian American (b) Hispanic American (c)

1960 1980 2000 2017 (a)

Sources: U.S. Census, Bureau a) 2017 data from the American Community Survey, all other data from the 10-Year Census b) Asian American INCLUDES Hawaiian & Pacific Islander c) Hispanic American double counts, INCLUDES Black Hispanics and Asian Hispanics

68 www.pqmedia.com www.anaaimm.net 2. Multicultural Categories Skew Younger than Caucasian Population; In Ages 0-to-4, White Americans a Minority in 2017, 0-to-9 by 2024

Sources: U.S. Census, Bureau American Community Survey, Statistical Atlas, Nielsen Corporation - The Multicultural Edge: Rising Super Consumers Caritas – The Changing Face of America: Understanding the New American Mainstream

69 www.pqmedia.com www.anaaimm.net 3. Multicultural Buying Power Was Estimated to Be $4.7 Trillion in 2018; Growing Almost Twice As Rapidly as Non-Hispanic White Population Buying Power

Sources: SSG & DMI in ANA’s Alliance for Inclusive and Multicultural Marketing’s The Case for Change: Multicultural & Inclusive Marketing as a Business Imperative for Long Term Growth

70 www.pqmedia.com www.anaaimm.net 4. Multicultural Consumers Over Index in Many Tech Device Ownership Categories; Share Higher than Total Pop in Smartphones, VG Consoles & Internet-Connected Devices

Source: Nielsen Corporation - The Nielsen Total Audience Report Q3 2018

71 www.pqmedia.com www.anaaimm.net 5. Multicultural Audiences More Engaged with Traditional Media than General Population; Hispanics Loyal to Telenovelas, African Americans Listen to Radio in Automobiles

Sources: Video Advertising Bureau – Committed: Exploring Multicultural Viewers’ Passionate Relationship with TV Programming Radio Advertising Bureau – Why Radio for African American Consumers

72 www.pqmedia.com www.anaaimm.net 6. Multicultural Audiences Use Digital Media More than Average Population; For Example, Over Indexing on Messaging, Digital Video, & Streaming Audio

Asian American Digital Device Use

Sources: Nielsen Corporation Nielsen: From Consumers to Creators: The Digital Lives of Black Consumers Nielsen: Asian Americans: Digital Lives & Growing Influence Radio Advertising Bureau: Why Radio for Hispanics

73 www.pqmedia.com www.anaaimm.net 7. One Size Doesn’t Fit All – Within Each Multicultural Categories There Are Subsets; Hispanics Don’t Shop at Same Grocer, Ties to Culture Differ Among Asian Americans

Source: Caritas – The Hispanic American Market Report: Understanding the New American Mainstream / The Asian American Market Report: Understanding the New American Mainstream

74 www.pqmedia.com www.anaaimm.net 8. Multicultural Consumers Over Index on Purchasing Select Products; Account for 2/3 of Dried Veggies & Grains Bought; Blacks Buy 85% of Ethnic Hair Care

Sources: Nielsen Corporation - The Multicultural Edge: Rising Super Consumers

75 www.pqmedia.com www.anaaimm.net 9. Non-Endemic Multicultural Media Impacted by Lack of Representation in Content; Although Improving, Minority Actors & Decision Makers Under Index Multicultural Pop

% Share of Multicultural Actors in Lead Roles in Film & TV, in 2017 % Share of Multicultural Executives in 2015 100% 3.0% 5.4% 5.9% 4.1% 4.9% 5.3% Mixed/Native Amer 3.4% 4.6% 3.0% 4.9% US Population 37% 63% 5.2% 6.2% 5.3% 7.2% Asian American 17.7% 9.0% 15.9% Hispanic American Directors (TV) 19% 81% 75% 12.7% 20.6% African American 12.4% Directors (Film) 82% White American 18% Writers (TV) 14% 86% 50% Writers (Film) 12% 88% 77.2% 71.8% 70.3% 61.7% 63.3% Film Studio Heads 8% 92% 25% Executive Producers (TV) 6% 94%

TV Network & Studio Heads 4% 96% 0% % Population % Film % Scripted % Scripted % Scripted 0% 25% 50% 75% 100% Broadcast TV Cable TV Streaming TV Multicultural White

Sources: UCLA Hollywood Diversity Report 2019 Reel Inequality: Hollywood Actors & Racism

76 www.pqmedia.com www.anaaimm.net 10. Local Endemic Media Rev Rising Due to Various Issues within MC Communities; More Marketing Materials Being Developed for Chronic Disease, Gambling, & Immigration

Immigration Arrests Heart Disease, Cancer & Diabetes by Race Gambling Addiction by Ethnicity 2017 vs. 2016 10% 100 81.60 8% 75 65.33 6.0% 6% 50 4%

% Share % 2.4% 2.2% 25

2% 1.4% Thousands

0% 0 Total Caucasian African Asian 2016 2017 Population American American American Sources USA News & World Repot Sources UCLA Gambling Studies Program U.S. Immigration & Customs Enforcement UCONN Health Center NICOS Chinese Health Coalition Source Center for Disease Control & Prevention’s National Council on Problem Gambling The Burden of Chronic Diseases & Their Risk Factors

77 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Chapter 2: Overall Multicultural Media

78 www.pqmedia.com www.anaaimm.net Multicultural Media: 2018 Results & 2019-20 Forecast

2018 • U.S. total Multicultural Media revenues rose 5.6% to $25.86 billion, representing only 5.2% of overall advertising & marketing • Hispanic American Media was largest of three demographic categories, rising 5.3% to $17.94 billion ($905M realized revenues) • African American Media ranked second in size and growth, increasing 6.1% to $7.20 billion ($411M realized revenues) • Asian American Media grew the fastest, up 7% to $722 million ($47M realized revenues) • Advertising rose 5.5% to $13.05 billion; Brand Activation Marketing increased 5.6% to $12.81 billion • 2018 was buoyed by advertising & marketing associated with political elections, Winter Olympics and FIFA World Cup • Multicultural brand activation was smaller than advertising, the opposite of the overall advertising & marketing ecosystem • TV largest media platform at $7.67 billion, while the smallest platform, Other Advertising, was fastest growing, up 12.5% • Endemic media buying accounted for 69% of revenues, but non-endemic grew faster, up 6.8% • National media buying accounted for 62.5% of revenues, but local grew faster, rising 6.2% • English language accounted for 53.9% of revenues, and also grew faster than native language content, up 6%

79 www.pqmedia.com www.anaaimm.net Top 10 Multicultural Media Trends

1. Multicultural Media Under-represented in Advertising & Brand Activation Marketing Ecosystem • Multicultural populations equaled 37.3% of the total U.S. population in 2018 • Yet, multicultural media accounted for only 5.2% of total U.S. advertising & brand activation revenues in 2018 • Total market approach is primary culprit according to many GOLP members, as too many Fortune 500 companies still using it • Weak multicultural metrics being cited as a cause, particularly poor identification data on programmatic and digital targeting • National campaigns decelerating as brands concentrate on the clutter of 75 DMAs with large multicultural populations • GOLP members state that multicultural media has lower CPMs than mainstream media despite being a narrower audience

2. Shift Away from Total Market Approach in Media Buying Strategy Benefiting Multicultural Media • Total Market media buying is the strategy of purchasing ad inventory that has a demographic mix similar to U.S. population • Total Market adversely affected multicultural media for many years after the 2008-09 Great Recession • Brands shifted budgets out of multicultural media because they believed the Total Market approach was more efficient • PQ Media GOLP members reported a shift away from Total Market starting in late 2017 • Brands were losing multicultural market share because the messaging lacked cultural nuances to drive engagement • As a result, many smaller multicultural agencies are reporting double-digit gains in revenues • But larger agencies w/multicultural divisions are reporting weaker gain due to a major client totally abandoning multicultural • These clients believe population has become diverse via inter-cultural marriages, and term “multicultural” becoming obsolete

80 www.pqmedia.com www.anaaimm.net Top 10 Multicultural Media Trends (cont.)

3. Multicultural Media Growth Could Be Stronger If Not for Endemic Traditional Media Growth Weakening • For many years, brands concentrated budgets on national media with audited results, like Nielsen for TV and AAM for print • Large agencies argued that a handful of multicultural media operators offered enough scale to justify an investment • Most adversely affected was Hispanic American Media, with Univision/Telemundo often receiving a 75% share of budgets • For African American Media, BET, Jet, Essence and Ebony were the primary mainstays of media buying • Competitors began to emerge, such TV Azteca American, TV One, and Oprah Winfrey’s Oxygen Network and O Magazine • With falling TV ratings and print subscriptions, brands have been switching to alternatives, like digital and brand activation • Asian American Media fragmented – no market leader emerged other than U.S. editions of country-specific pubs and nets

4. However, Traditional Media Not Being Abandoned Because of Scale, High Media Usage and ROI • Television is still the primarily medium of choice among multicultural consumers, particularly telenovelas for Hispanic viewers • Multicultural TV integrated product placements as ad revenues flatten, like a black-ish episode with a P&G storyline • Radio listenership among multicultural audiences skew higher than overall population and used often by political campaigns • Multicultural magazines offer opportunities for brands to be featured in articles, like O magazine’s “Oprah’s Favorite Things” • According to GOLP members, brands use experiential during cultural holidays, like Chinese New Year and Cinco de Mayo • Professional services, like insurance, are developing bilingual promotional materials when parents seek input from children • Immigrants rely on newspapers to stay abreast of events in their native countries, like VietAmerican in Riverside, CA

81 www.pqmedia.com www.anaaimm.net Top 10 Multicultural Media Trends (cont.)

5. Non-Endemic Multicultural Media Accelerating as Content Publishers Increase Use of Multicultural Professionals • Multiple sources have detailed how multicultural media professionals have suffered from racism for decades • For example, minorities under-represented in acting Academy Awards, as last Asian American won in 1984, Hispanic in 2000 • Books, such as The Hollywood Black Crow, provide data on multicultural directors getting smaller budgets and fewer films • There has been progress, bolstered by the success of shows/movies like Jane the Virgin, Crazy Rich Asians and black-ish • Feedback from GOLP members are that brands target high-rated programs with a multicultural cast or lead actor, like Empire • Analysis of multiple databases show that more multicultural professionals are receiving plum roles and recording contracts • Books with a multicultural theme are outselling the general market, with Oprah’s Book Club credited with starting the trend

6. Multicultural Populations Skew Younger than Overall Population, Tend to Be More Tech Savvy & Digitally Focused • According to GOLP members, brands and agencies are hiring younger multicultural executives who influence media buys • Culturally relevant and ad-supported blogs and podcasts have increased significantly during past two years • Blogs, such as Black Girl with Long Hair, are expanding and beginning to offer cultural products like shea butter • GOLP members state that social media outreach is often combined with word-of-mouth influencer campaigns • Multichannel digital video stars, like Asian American Anna Akana, being lured by streaming services like YouTube Red • Streaming audio subscription services, like Pandora, being used more frequently, according to GOLP members • GOLP members report higher use of streaming video, such as Netflix, which feature multicultural shows, like Mudbound

82 www.pqmedia.com www.anaaimm.net Top 10 Multicultural Media Trends (cont.)

7. English & Bilingual Campaigns Being Employed More than Native Language Outreach • Statistically, multicultural demographics skew younger than the general public, and thus more likely to be bilingual • Millennials (1977-1996) are the most coveted demographic and represent almost half of total multicultural population • i-Gens (1997-Present) are being targeted more often, and the multicultural population is already the majority in select ages • Younger demos prefer English-language content, but still use native-language media because they grew up with it • When native-speaking populations are targeted, brands develop bilingual materials because parents seek children’s advice • Endemic media operators, like Univision, are beginning to offer English-only and bilingual programs, like NewsBlues

8. Local Advertising & Marketing Gaining Market Share as Brands Target DMAs with Significant Multicultural Presence • According to GOLP members, the diverse nature of each multicultural category requires specific cultural messages • Multicultural agencies serving the Asian-American market are developing separate influencer networks based on language • Brands producing separate marketing materials by Hispanic ethnic groups, like Cubans in Miami and Puerto Ricans in NYC • Recent rise in immigrants from Africa have spurred enclaves in middle America like a Congolese community in Raleigh, N.C. • Concurrently, many immigrants find jobs in large cities, fueling a rise in cultural organizations like Ethiopians in Philly • These multicultural community centers and organizations are using direct mail and consumer events to drive membership • Large brands in major cities are increasingly hosting cultural festivals, such as 23 different Dragon Boat festivals nationwide • Political media buying is primarily done in states with contentious races, some with large multicultural populations, like Florida

83 www.pqmedia.com www.anaaimm.net Top 10 Multicultural Media Trends (cont.)

9. Even Year Events Driving Growth Acceleration and Growth Deceleration in Odd Years • In 2018, many political campaigns, particularly related to the Democratic party, targeted African Americans and Hispanics • Numerous GOLP members at multicultural agencies reported a significant increase in political clients compared with 2016 • These GOLP members also suggested that the multicultural political campaigns were becoming more localized • Based on PQ Media’s expertise on political media buying, we are projecting even a larger influx of political dollars in 2020 • Meanwhile, international sporting events spur growth, such as the FIFA World Cup in 2018 on Hispanic American Media • Also in 2018, Korean American Media saw a bump in revenues during the 2018 Winter Olympics held in South Korea • Similar bump expected in 2020 to Japanese American Media during Summer Olympics in Tokyo

10. Multicultural Retail Faring Better than Overall Retail Market, Aiding Brand Activation like Retailer Marketing • Multiple sources have highlighted that the 2016-19 period has been the worse for brick-and-mortar stores ever • Well-known retail brands have been shuttered or declared bankruptcies, such as Sears, Radio Shack and Toys R’ Us • Specialty, multicultural retailers have reported fewer closures, including some that have increased footprints • Hispanic bodegas are staples in multicultural neighborhoods with most closings caused by new city taxes or rent increases • Meanwhile, many communities have a plethora of Asian marts specializing in products not available from grocery chains • Big box retailers, like Walmart and Target, are using big data to target multicultural consumers • Retailers with native-speaking customer service representative often have a higher market share than competitors

84 www.pqmedia.com www.anaaimm.net Multicultural Media Revenues Rose 5.6% in 2018 to $25.86 Billion; Projected to Post 4.5% Gain in 2019 and 6.3% Increase in 2020 to $28.72 Billion

Multicultural Media Revenues, 2016-2020 Multicultural Media Revenue Growth, 2017-2020

$30 $28.72 $27.01 $25.86 2017 2.5% $24.50 $23.90

$20 2018 5.6%

4.7% CAGR $ Billions % Growth%

2019 4.5% $10

2020 6.3%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media CAGR – Compound Annual Growth Rate (4-Year Average)

85 www.pqmedia.com www.anaaimm.net Multicultural Media Revenue Share Significantly Under-Indexes the General Population While Multicultural is 37.3% of the Total Population, Multicultural Only 5.2% of Total Media

U.S. Population Share by Ethnicity in 2018 U.S. Advertising & Marketing Revenue Share by Ethnicity in 2018

5.8% 3.59%

13.4% 1.44% 0.14%

18.1% 62.7%

94.83%

Asian American African American Hispanic American All Others Asian American African American Hispanic American All Others

Source: U.S. Census Bureau Source: PQ Media

86 www.pqmedia.com www.anaaimm.net Hispanic American Media the Largest of the Three Demographic Categories in 2018; Asian American Media Posted the Fastest Growth, Although Lowest Realized Revenues

Multicultural Media Rev/Share by Demographics in 2018 ($B) Multicultural Media Growth by Demographics in 2018 Realized Revenues $M) (2018 vs. 2017)

$0.72 Hispanic American 5.3% $975

$7.20

African American 6.1% $411

$17.94

Asian American 7.0% $47

Asian American African American Hispanic American

0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

87 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Multicultural Media Sectors & Platforms

88 www.pqmedia.com www.anaaimm.net Digital Media – Traditional Brand Extensions vs. Pure Play

In many instances, traditional multicultural media operators (ex. Univision, Essence, The China Press) will bundle all distribution channels into one media buying packaging, such as a television network’s on-air broadcast ad buy including digital services such as online and mobile video, free video-on-demand (VOD) and/or over-the-top (OTT) streaming services. The digital services are considered “brand extensions” of the traditional media content, such as a television program. The difficulty lies in extrapolating the share of revenue generated by the digital brand extensions when the advertising & marketing media buy is bundled. To avoid double counting any traditional media company’s revenues generated by digital media are included in the traditional media data.

Meanwhile, there are digital media publishers with no ties to traditional media companies or platforms, most notably in mainstream media by companies like Facebook (social media) and Google (search). In multicultural media, examples would include leading blogs, podcasts, multi-channel networks on YouTube, cultural information sites, twitter accounts of key influencers, and mobile apps, often in the native language of the consumer. These types of digital sites are considered “pure play.” As a result, to avoid double counting, only the pure-play revenues are included in the digital media data.

89 www.pqmedia.com www.anaaimm.net Multicultural Advertising Revenues Rose 5.5% in 2018 to $13.05 Billion; Projected to Post 3.2% Gain in 2019; and 6.2% Increase in 2020 to $14.31 Billion

Multicultural Advertising Revenues, 2016-2020 Multicultural Advertising Revenue Growth, 2017-2020

$15 $14.31 $13.48 $13.05 2017 0.8% $12.27 $12.37

$10 2018 5.5%

3.9% CAGR $ Billions % Growth%

2019 3.2% $5

2020 6.2%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

90 www.pqmedia.com www.anaaimm.net Multicultural Brand Activation Revenues Rose 5.6% in 2018 to $12.81 Billion; Projected to Post 5.7% Gain in 2019; and 6.4% Increase in 2020 to $14.41 Billion

Multicultural Brand Activation Revenues, 2016-2020 Multicultural Brand Activation Revenue Growth, 2017-2020

$15 $14.41 $13.54 $12.81 2017 4.3% $12.13 $11.63

$10 2018 5.6%

5.5% CAGR $ Billions % Growth%

2019 5.7% $5

2020 6.4%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

91 www.pqmedia.com www.anaaimm.net Multicultural Media Trends Towards Advertising Over Brand Activation Marketing; Advertising 50.5% of Multicultural Media Compared with only 35.8% in Overall Media

Share of Overall Media by Sector in 2018 Share of Multicultural Media by Sector in 2018

35.8%

49.5% 50.5%

64.2%

Advertising Brand Activation Advertising Brand Activation

Source: PQ Media Brand Activation Marketing Forecast 2017 Source: PQ Media

92 www.pqmedia.com www.anaaimm.net Multicultural Advertising Accounted for 6.7% Share of Overall Advertising in 2018; Multicultural Brand Activation Marketing Accounted for 4.2% of Overall Brand Activation

U.S. Advertising Revenue Share by Ethnicity in 2018 US Brand Activation Marketing Revenue Share by Ethnicity in 2018

4.4% 3.1%

2.1% 1.0%

0.2% 0.1%

93.3% 95.8%

Asian American African American Hispanic American All Others Asian American African American Hispanic American All Others

Source: PQ Media Source: PQ Media

93 www.pqmedia.com www.anaaimm.net Overall Media and Multicultural Media Are Growing at Similar Rates However, Multicultural Media Out-pacing Advertising, Underpacing Brand Activation

6% 6% 6%

4% 4% 4%

2% 2% 2%

0% 0% 0% 2017 2018 2019 2020 2017 2018 2019 2020 2017 2018 2019 2020

Source: PQ Media Source: PQ Media Source: PQ Media

94 www.pqmedia.com www.anaaimm.net Television Was the Largest of the 12 Multicultural Media Platforms in 2018; Other Advertising Posted the Fastest Growth Due to Rapid Increase in eSports Sponsors

Multicultural Media Revenue by Media Platform in 2018 ($B) Multicultural Media Growth by Media Platform in 2018

Television Advertising Television Advertising $7.67 5.5% Relationship Marketing Relationship Marketing $4.62 2.9% Promotional Marketing Promotional Marketing $3.08 3.9% Experiential Marketing Experiential Marketing $2.67 8.7% Digital Ad (Pure Play) Digital Advertising (Pure Play) $2.59 10.1% Print Advertising Print Advertising $1.39 Print Advertising -4.2% Radio Advertising Radio Advertising $1.09 4.6% Branded/Content Marketing Branded & Content Marketing $0.89 11.6% Influencer Marketing Influencer Marketing $0.83 11.6% Retailer Marketing Retailer Marketing $0.72 5.3% Out-of-Home Advertising 7.3% Out-of-Home Advertising $0.24 Other Advertising (a) 12.5% Other Advertising (a) $0.07 -5% 0% 5% 10% 15% $0 $2 $4 $6 $8 $10 Source: PQ Media Source: PQ Media a) Other Advertising includes: Business-to-Business (B2B) Magazines, Local Directories, and Entertainment Media (e.g. In-Videogame ads, eSports sponsorships, ads on gaming, music, film and book websites)

95 www.pqmedia.com www.anaaimm.net Multicultural TV, Promotions, Experiential, Print, Radio & Retailer Over-Index Overall Media; Relationship, Digital, Branded & Content, Influencer, OOH & Other Under-Index

Comparison of Share of Multicultural Media vs. Overall Media by Media Platforms in 2018

29.6% Television Advertising 16.7% 17.9% Relationship Marketing 19.3% 11.9% Promotional Marketing 9.3% 10.3% Experiential Marketing 9.5% 10.0% Digital Advertising (Pure Play) 18.0% Multicultural Media 5.4% Print Advertising 3.7% Overall Media 4.2% Radio Advertising 2.7% 3.4% Branded & Content Marketing 5.9% 3.2% Influencer Marketing 7.2% 2.8% Retailer Marketing 2.7% 0.9% Out-of-Home (OOH) Media 1.7% 0.3% Other Advertising 3.2% 0% 5% 10% 15% 20% 25% 30% Sources: PQ Media, PQ Media Global Advertising & Marketing Forecast 2018-22, PQ Media Brand Activation Marketing Forecast 2017

96 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Multicultural Media Platforms & Channels: Advertising (Listed in Order by Size)

97 www.pqmedia.com www.anaaimm.net Multicultural Television Advertising Rose 5.5% in 2018 to $7.67 Billion; Projected to Post 1.4% Gain in 2019; and 5.7% Increase in 2020 to $8.22 Billion

Multicultural Television Advertising Revenues, 2016-2020 Multicultural Television Advertising Revenue Growth, 2017-2020 $9 $8.22 $7.77 $7.67 2017 -1.3% $7.37 $7.27

$6 2018 5.5%

2.8% CAGR $ Billions % Growth%

2019 1.4% $3

2020 5.7%

$0 -2% 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Television Advertising channels included in this data

98 www.pqmedia.com www.anaaimm.net Multicultural Broadcast Television Revenues Rose 5.9% in 2018 to $5.72 Billion; Projected to Post 0.9% Gain in 2019; and Increase 6.2% in 2020 to $6.13 Billion

Multicultural Broadcast Television Advertising Revenues & Growth, 2016-2020 $8 9% 2.7% CAGR

$6.13 $6 $5.72 $5.77 6% $5.50 $5.40 6.2% % Growth 5.9%

$4 3% $ Billions

0.9% $2 0%

-1.9% $0 -3% 2016 2017 2018 2019 2020 Multicultural Broadcast TV Revenues ($) Multicultural Broadcast TV Growth (%) Source: PQ Media

99 www.pqmedia.com www.anaaimm.net Multicultural Pay Television Revenues Rose 4.1% in 2018 to $1.95 Billion; Projected to Post 2.7% Gain in 2019; and Increase 4.5% in 2020 to $2.09 Billion

Multicultural Pay Television Advertising Revenues & Growth, 2016-2020 $2.5 5% 2.9% CAGR $2.09 $1.95 $2.00 $2.0 $1.87 $1.87 4.5% 4% 4.1% % Growth $1.5 3%

2.7% $ Billions $1.0 2%

$0.5 1%

0.3% $0.0 0% 2016 2017 2018 2019 2020 Multicultural Pay TV Revenues ($) Multicultural Pay TV Growth (%) Source: PQ Media

100 www.pqmedia.com www.anaaimm.net Multicultural Digital Advertising (Pure Play) Rose 10.1% in 2018 to $2.59 Billion; Projected to Post 11.6% Gain in 2019; and 11% Increase in 2020 to $3.21 Billion

Multicultural Digital Advertising (Pure Play) Revenues, 2016-2020 Multicultural Digital Advertising (Pure Play) Revenue Growth, 2017-2020 $4

2017 11.0% $3.21

$3 $2.89 $2.59 $2.35 2018 10.1%

$2.12 %

$2 Growth 10.9% CAGR $ Billions

2019 11.6%

2020 11.0%

$0 2016 2017 2018 2019 2020 0% 5% 10% 15%

Source: PQ Media Source: PQ Media Digital Advertising (Pure Play) is specific to content sites exclusively available on digital devices, such as social media, search, mobile apps, and SMS/MMS texting. The digital brand extensions of traditional media companies, such as ads placed on ESPN.com and ESPN Mobile, are included in the traditional media platform (ex., Pay TV). See Slide 47 for the list of Digital Advertising (Pure Play) channels included in this data

101 www.pqmedia.com www.anaaimm.net Multicultural Social Media Revenues Rose 12.1% in 2018 to $1.11 Billion; Projected to Post 13.2% Gain in 2019; and Increase 12.2% in 2020 to $1.41 Billion

Multicultural Social Media Advertising Revenues & Growth, 2016-2020

$1.5 $1.41 15% 12.6% CAGR $1.26 13.0% 13.2% $1.11 12.2% $0.99 12.1%

$1.0 10% % Growth $0.88 $ Billions

$0.5 5%

$0.0 0% 2016 2017 2018 2019 2020 Multicultural Social Media Revenues ($) Multicultural Social Media Growth (%) Source: PQ Media

102 www.pqmedia.com www.anaaimm.net Multicultural Other Digital Advertising Revenues Rose 8.7% in 2018 to $1.48 Billion; Projected to Post 10.4% Gain in 2019; and Increase 10% in 2020 to $1.79 Billion

Multicultural Other Digital Advertising (a) Revenues & Growth, 2016-2020 $2.0 12% 9.7% CAGR $1.79 $1.63 $1.48 10.4% 10.0% $1.5 9% $1.36 8.7% $1.24 % Growth 9.5%

$1.0 6% $ Billions

$0.5 3%

$0.0 0% 2016 2017 2018 2019 2020 Multicultural Other Digital Advertising Revenues ($) Multicultural Other Digital Advertising Growth (%) Source: PQ Media a) Other Digital Advertising includes search, mobile marketing apps, SMS/MMS texting ads, and display, classified, & rich media ads purchased on cultural websites

103 www.pqmedia.com www.anaaimm.net Multicultural Print Advertising Fell 1.6% in 2018 to $1.39 Billion; Projected to Post 2.9% Drop in 2019; and 1.1% Decrease in 2020 to $1.34 Billion

Multicultural Print Advertising Revenues, 2016-2020 Multicultural Print Advertising Revenue Growth, 2017-2020 $2.0

-4.2% 2017

$1.48 $1.5 $1.42 $1.39 $1.35 $1.34 -1.6% 2018

$1.0 -2.5% CAGR $ Billions % Growth%

-2.9% 2019

$0.5

-1.1% 2020

$0.0 -6% -4% -2% 0% 2% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Print Advertising channels included in this data

104 www.pqmedia.com www.anaaimm.net Multicultural Newspaper Revenues Fell 2.9% in 2018 to $706 Million; Projected to Post 4.2% Drop in 2019; and Decrease 2.3% in 2020 to $660 Million

Multicultural Newspaper Advertising Revenues & Growth, 2016-2020 $1.000 2% -3.8% CAGR

$0.771 $0.750 $0.727 $0.706 0% $0.676 $0.660 % Growth

$0.500 -2% $ Billions -2.3% -2.9% $0.250 -4% -4.2%

-5.8% $0.000 -6% 2016 2017 2018 2019 2020 Multicultural Newspaper Revenues ($) Multicultural Newspaper Growth (%) Source: PQ Media

105 www.pqmedia.com www.anaaimm.net Multicultural Consumer Magazine Revenues Fell 0.3% in 2018 to $688 Million; Projected to Post 1.6% Drop in 2019; and Be Flat (0%) in 2020 to $678 Million

Multicultural Consumer Magazine Advertising Revenues & Growth, 2016-2020 $1.000 2% -1.1% CAGR

$0.750 $0.707 0% $0.690 $0.688 $0.678 $0.678

-0.3% 0.0% % Growth

$0.500 -1.6% -2% $ Billions -2.4%

$0.250 -4%

$0.000 -6% 2016 2017 2018 2019 2020 Multicultural Consumer Magazine Revenues ($) Multicultural Consumer Magazine Growth (%) Source: PQ Media

106 www.pqmedia.com www.anaaimm.net Multicultural Radio Advertising Rose 4.6% in 2018 to $1.09 Billion; Projected to Post 3.1% Gain in 2019; and 5% Increase in 2020 to $1.18 Billion

Multicultural Radio Advertising Revenues, 2016-2020 Multicultural Radio Advertising Revenue Growth, 2017-2020 $1.5

2017 0.9% $1.18 $1.13 $1.09 $1.03 $1.04 $1.0 2018 4.6%

3.4% CAGR $ Billions % Growth%

2019 3.1% $0.5

2020 5.0%

$0.0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Radio Advertising channels included in this data

107 www.pqmedia.com www.anaaimm.net Multicultural Out-of-Home Media Advertising Rose 7.3% in 2018 to $241 Million; Projected to Post 6.3% Gain in 2019; and 7.6% Increase in 2020 to $275 Million

Multicultural Out-of-Home Advertising Revenues, 2016-2020 Multicultural Out-of-Home Advertising Revenue Growth, 2017-2020 $0.300 $0.275 $0.256 2017 4.9% $0.241 $0.224 $0.214

$0.200 2018 7.3%

6.5% CAGR $ Billions % Growth%

2019 6.3% $0.100

2020 7.6%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Out-of-Home Advertising channels included in this data

108 www.pqmedia.com www.anaaimm.net Multicultural Other Advertising Rose 12.5% in 2018 to $72 Million; Projected to Post 12.8% Gain in 2019; and 13.3% Increase in 2020 to $92 Million

Multicultural Other Advertising (a) Revenues, 2016-2020 Multicultural Other Advertising Revenue Growth, 2017-2020 $0.100 $0.092 2017 11.7% $0.082

$0.075 $0.072

$0.064 2018 12.5% $0.058

$0.050 12.6% CAGR $ Billions % Growth%

2019 12.8%

$0.025

2020 13.3%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media a) Other Advertising includes: Business-to-Business (B2B) Magazines, Local Directories, and Entertainment Media (ex. In-Videogame ads, eSports sponsors, ads on game, music, film & book websites)

109 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Multicultural Media Platforms: Brand Activation (Listed in Order by Size)

110 www.pqmedia.com www.anaaimm.net Multicultural Relationship Marketing Rose 2.9% in 2018 to $4.62 Billion; Projected to Post 3.1% Gain in 2019; and 3.7% Increase in 2020 to $4.94 Billion

Multicultural Relationship Marketing Revenues, 2016-2020 Multicultural Relationship Marketing Revenue Growth, 2017-2020 $6

2017 1.3% $4.94 $4.76 $4.62 $4.43 $4.49

$4 2018 2.9%

2.8% CAGR $ Billions % Growth%

2019 3.1% $2

2020 3.7%

$0 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Relationship Marketing channels included in this data

111 www.pqmedia.com www.anaaimm.net Multicultural Promotional Marketing Rose 3.9% in 2018 to $3.08 Billion; Projected to Post 4.3% Gain in 2019; and 4.6% Increase in 2020 to $3.36 Billion

Multicultural Promotional Marketing Revenues, 2016-2020 Multicultural Promotional Marketing Revenue Growth, 2017-2020 $4

$3.36 2017 3.6% $3.21 $3.08 $2.96 $3 $2.86

2018 3.9%

$2 4.1% CAGR $ Billions % Growth%

2019 4.3%

2020 4.6%

$0 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Promotional Marketing channels included in this data

112 www.pqmedia.com www.anaaimm.net Multicultural Experiential Marketing Rose 8.7% in 2018 to $2.67 Billion; Projected to Post 8.3% Gain in 2019; and 9.1% Increase in 2020 to $3.16 Billion

Multicultural Experiential Marketing Revenues, 2016-2020 Multicultural Experiential Marketing Revenue Growth, 2017-2020 $4

2017 7.2% $3.16 $3 $2.90 $2.67 $2.46 2018 8.7% $2.29

$2 8.3% CAGR $ Billions % Growth%

2019 8.3%

2020 9.1%

$0 0% 4% 8% 12% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Experiential Marketing channels included in this data

113 www.pqmedia.com www.anaaimm.net Multicultural Branded & Content Marketing Rose 11.6% in 2018 to $890 Million; Projected to Post 11.1% Gain in 2019; and 12.1% Increase in 2020 to $1.11 Billion

Multicultural Branded & Content Marketing Revenues, 2016-2020 Multicultural Branded & Content Marketing Revenue Growth, 2017-2020 $1.5

2017 9.9%

$1.11

$0.99 $1.0 $0.89 2018 11.6% $0.80 $0.73 11.2% CAGR $ Billions % Growth%

2019 11.1% $0.5

2020 12.1%

$0.0 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Branded & Content Marketing channels included in this data

114 www.pqmedia.com www.anaaimm.net Multicultural Influencer Marketing Rose 11.6% in 2018 to $832 Million; Projected to Post 11.2% Gain in 2019; and 12.3% Increase in 2020 to $1.04 Billion

Multicultural Influencer Marketing Revenues, 2016-2020 Multicultural Influencer Marketing Revenue Growth, 2017-2020 $1.5

2017 9.9%

$1.04 $1.0 $0.93 2018 11.6% $0.83 $0.75 11.2% CAGR

$ Billions $0.68 % Growth%

2019 11.2% $0.5

2020 12.3%

$0.0 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Influencer Marketing channels included in this data

115 www.pqmedia.com www.anaaimm.net Multicultural Retailer Marketing Rose 5.3% in 2018 to $719 Million; Projected to Post 5.8% Gain in 2019; and 6% Increase in 2020 to $806 Million

Multicultural Retailer Marketing Revenues, 2016-2020 Multicultural Retailer Marketing Revenue Growth, 2017-2020 $1.000

2017 5.4% $0.806 $0.760 $0.750 $0.719 $0.682 $0.647 2018 5.3%

$0.500 5.6% CAGR $ Billions % Growth%

2019 5.8%

$0.250

2020 6.0%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Retailer Marketing channels included in this data

116 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Multicultural Media by Media Buying Strategies

117 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic

Non-Endemic Media Buying is more difficult to define, but should include the following parameters:

For a more detailed definition of Non-Endemic Media Buying, please see slides 333-39 in the Appendix

118 www.pqmedia.com www.anaaimm.net Endemic Media Buying Accounted for 69% of All Multicultural Media Revenue in 2018; However, Non-Endemic Is Gaining Market Share As Brands Engage with Younger Demos

Share of Multicultural Media by Endemic and Non-Endemic Media Buying, 2016, 2018, 2020

2016 2018 2020

30.3% 31.0% 31.8%

69.7% 69.0% 68.2%

Non-Endemic Endemic Non-Endemic Endemic Non-Endemic Endemic

Source: PQ Media Source: PQ Media Source: PQ Media

119 www.pqmedia.com www.anaaimm.net Multicultural Endemic Media Buying Rose 5% in 2018 to $17.84 Billion; Projected to Post 3.9% Gain in 2019; and 5.7% Increase in 2020 to $19.60 Billion

Multicultural Endemic Media Buying Revenues, 2016-2020 Multicultural Endemic Media Buying Revenue Growth, 2017-2020 $20 $19.60 $18.53 $17.84 $16.65 $16.99 2017 2.0%

$15

2018 5.0%

$10 4.2% CAGR $ Billions % Growth%

2019 3.9%

2020 5.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

120 www.pqmedia.com www.anaaimm.net Multicultural Non-Endemic Media Buying Rose 6.8% in 2018 to $8.02 Billion; Projected to Post 5.7% Gain in 2019; and 7.5% Increase in 2020 to $9.12 Billion

Multicultural Non-Endemic Media Buying Revenues, 2016-2020 Multicultural Non-Endemic Media Buying Revenue Growth, 2017-2020 $20

2017 3.6%

$15

2018 6.8%

$10 5.9% CAGR

$ Billions $9.12

$8.48 Growth% $8.02 $7.51 $7.25 2019 5.7%

2020 7.5%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

121 www.pqmedia.com www.anaaimm.net National Buying Accounted for 62.5% of All Multicultural Media Revenue in 2018; However, Local Is Gaining Market Share As Brands Concentrate on Select DMAs

Share of Multicultural Media by National and Local Media Buying, 2016, 2018, 2020

2016 2018 2020

37.0% 37.5% 38.0%

63.0% 62.5% 62.0%

Local National Local National Local National

Source: PQ Media Source: PQ Media Source: PQ Media

122 www.pqmedia.com www.anaaimm.net Multicultural National Media Buying Rose 5.2% in 2018 to $16.16 Billion; Projected to Post 4% Gain in 2019; and 5.9% Increase in 2020 to $17.80 Billion

Multicultural National Media Buying Revenues, 2016-2020 Multicultural National Media Buying Revenue Growth, 2017-2020 $20

$17.80 $16.82 2017 2.0% $16.16 $15.07 $15.37 $15

2018 5.2%

$10 4.3% CAGR $ Billions % Growth%

2019 4.0%

2020 5.9%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

123 www.pqmedia.com www.anaaimm.net Multicultural Local Media Buying Rose 6.2% in 2018 to $9.70 Billion; Projected to Post 5.2% Gain in 2019; and 7% Increase in 2020 to $10.92 Billion

Multicultural Local Media Buying Revenues, 2016-2020 Multicultural Local Media Buying Revenue Growth, 2017-2020 $20

2017 3.4%

$15

2018 6.2% $10.92 $10.20 $10 $9.70 5.4% CAGR $ Billions $8.83 $9.13 % Growth%

2019 5.2%

2020 7.0%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

124 www.pqmedia.com www.anaaimm.net English Language Media Buying Accounted for 53.9% of Multicultural Revenue in 2018; English Language Also Gaining Market Share from Native/Bilingual Language Messaging

Share of Multicultural Media by English Language & Native/Bilingual Media Buying, 2016, 2018, 2020

2016 2018 2020

46.6% 46.1% 45.5%

53.4% 53.9% 54.5%

Native/Bilingual Language English Language Native/Bilingual Language English Language Native/Bilingual Language English Language

Source: PQ Media Source: PQ Media Source: PQ Media

125 www.pqmedia.com www.anaaimm.net Multicultural Media Language Skewed by Almost-All-English African-American Demo; When African Americans Excluded, Native Language Accounted for 63.8% of Multicultural

Share of Multicultural Media by Language in 2018 Share of Multicultural Media by Language EXCLUDING African American in 2018

36.2%

46.1%

53.9%

63.8%

Native/Bilingual Language English Language Native/Bilingual Language English Language

Source: PQ Media Source: PQ Media

126 www.pqmedia.com www.anaaimm.net Multicultural English Language Rose 6% in 2018 to $13.95 Billion; Projected to Post 5.1% Gain in 2019; and 6.8% Increase in 2020 to $15.64 Billion

Multicultural English Language Revenues, 2016-2020 Multicultural English Language Revenue Growth, 2017-2020 $20

2017 3.1% $15.64 $14.65 $15 $13.95 $13.16 $12.76 2018 6.0%

$10 5.2% CAGR $ Billions % Growth%

2019 5.1%

2020 6.8%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

127 www.pqmedia.com www.anaaimm.net Multicultural Native/Bilingual Language Rose 5% in 2018 to $11.83 Billion; Projected to Post 3.7% Gain in 2019; and 5.7% Increase in 2020 to $12.97 Billion

Multicultural Native/Bilingual Language Revenues, 2016-2020 Multicultural Native/Bilingual Language Revenue Growth, 2017-2020 $20

2017 1.8%

$15 $13.07 $12.36 $11.91 2018 5.0% $11.14 $11.34

$10 4.1% CAGR $ Billions % Growth%

2019 3.7%

2020 5.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

128 www.pqmedia.com www.anaaimm.net GOLP Insights: Multicultural Media

Getting multicultural media to grow requires two things. First is a HR component in which diversity is addressed. Second is teaching new hires Multicultural Marketing 101 on how to reach audiences with culturally-relevant messages. Multicultural Agency Executive

It’s a struggle for multicultural media because many large agencies dropped multicultural divisions, particularly when the multicultural expert retired or left the company and the agency didn’t replace him/her. Multicultural Media Operator

Show me the data – show me the case studies. Multicultural media is in an identity crisis in that they can’t keep using the same arguments in the echo chamber. General Media Operator

Buying multicultural endemic media is easy, but lazy. You get more engagement when a culturally relevant message is developed that targets the experiences of the multicultural audience. Brand Executive

129 www.pqmedia.com www.anaaimm.net GOLP Insights: Multicultural Media (cont.)

We’re closely monitoring the Census process due to the possible inclusion of controversial citizenship questions. If included, it would skew the results and in a worse-case scenario lead to a decline in multimedia media budgets in 2021. General Marketing Agency Executive

There is a concern over the 2020 Census, but we’re hoping that agencies deal with more mid-level brand executives who know there are other places for annual multicultural data, like the American Community Survey. Multicultural Consultant

We don’t look at it so much as multicultural marketing, but more so as “today’s family,” because the data shows a significant rise in inter-cultural marriages, particularly among Millennials, who are a coveted target audience. Brand Executive

We’ll become a “digital-first” firm in reaching multicultural audiences, preferring social media and influencers, although traditional media still has its place to provide scale, like radio and direct mail. Brand Executive

There are more diverse places to put multicultural media messages, and to receive feedback for future campaigns. General Marketing Agency Executive

130 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Chapter 3: Hispanic American Media

131 www.pqmedia.com www.anaaimm.net Hispanic American Media: 2018 Results & 2019-20 Forecast

2018 • U.S. total Hispanic American Media revenues rose 5.3% to $17.94 billion, representing 3.6% of total advertising & marketing • Hispanic American Media was largest of the three demographic categories, but it was the slowest growing • Hispanic American Media increased by $905 million in realized revenue compared with 2017 • 2018 was buoyed by advertising & marketing associated with the elections, particularly in Florida and the Southwest • Advertising rose 5.5% to $8.56 billion; Brand Activation Marketing increased 5.2% to $9.38 billion • Hispanic American brand activation larger than advertising, similar to the overall advertising & marketing ecosystem • Television was largest media platform at $5.43 billion and Branded & Content Marketing the fastest growing, rising 11.5% • Endemic media buying accounted for 71.4% of revenues, but non-endemic grew faster, up 6.6% • National media buying accounted for 65.2% of revenues, but local grew faster, rising 5.8% • Hispanic language accounted for 63.5% of revenues, but English language grew faster, up 5.9%

2019 & 2020 • U.S. Hispanic Media is pacing to rise 4.1% in 2019 to $18.67 billion • 2019 growth will decelerate primarily due to no federal elections • U.S. Hispanic American Media is projected to increase 6.1% in 2020 to $19.80 billion • 2020 growth will be driven by the elections once again, as well as the FIFA World Cup, similar to 2016

132 www.pqmedia.com www.anaaimm.net Top 10 Hispanic American Media Trends

1. Analog Television Becoming Smaller Share of Budgets • For many years, broadcast networks & station revenues accounted for more than 50% of Hispanic American Media budgets • Justifications used during their heyday included the largest endemic audience and audited metrics missing elsewhere • Despite the popularity of telenovelas, ratings have fallen sharply during past decade along with the overall television market • Concurrently, younger demos coveted by agencies are becoming a larger share of Hispanic market • Younger generations are not as loyal to endemic media, instead gravitating to non-endemic English-language content • Brands are increasingly shifting budgets to digital and brand activation channels popular with younger demos

2. However, Television’s Death Is Greatly Exaggerated • GOLP members reported that overall television media buys continue to grow, once digital and streaming video factored in • Selected types of programs on major Hispanic networks are also doing fine, particularly soccer (futbol) • For example, inventory for the 2016 FIFA World Cup sold out quickly, which should be repeated during the 2020 World Cup • In 2018, Univision and Telemundo announced a “ramp up” in product placement integrations into plots • In 2020, political campaigns will use Hispanic television extensively in competitive states, like Arizona • Hispanic YouTube stars are being sponsored, such as LuzuVlogs, Nicole Guerriero and Bethany Mota • Streaming services, such as Hulu, have begun to offer Hispanic programming services, like La Tele Online • Most cable, satellite, and telco TV providers also offer Hispanic packages, such as Optimum’s Hispano

133 www.pqmedia.com www.anaaimm.net Top 10 Hispanic American Media Trends (cont.)

3. English-Language Media Becoming More Important in Omnichannel Campaigns, But with Some Caveats • According to our GOLP members, many brands are concentrating solely on targeting Hispanic-American Millennials • Studies show that Hispanic Millennials watch more English language than native language content • Univision, particularly, was cognizant of the different viewing habits, launching English-language nets Fusion TV and El Ray • Non-endemic shows that do well usually have Hispanic actors, such as Jane the Virgin and Brooklyn Nine-Nine • Unfortunately, there aren’t many mainstream television programs with Hispanic actors being cast • Hispanic Millennials have not forsaken native-language TV, as some telenovelas have better ratings than mainstream shows • Streaming services offer popular native-language programs, including La Casa de Papel ( Money Heist) and Ingobernable

4. Local Media Is Gaining Share Over National Media Due to Nuances of Cultural Background • Numerous brands prefer regional buys over national media with a large share of Hispanic population in only 75 of 210 DMAs • For many years, brands concentrated almost solely on placing ads on TV and radio stations and Hispanic newspapers • This strategy worked in the 1960s and 1970s when most Hispanic Americans came from Mexico, Cuba and Puerto Rico • Hispanic audiences are more diverse due to unrest/catastrophes, with immigrants from nations like Venezuela and Honduras • This has led to culturally specific messaging that resonate with select audiences like shoppers at Dominican bodegas • Brands are becoming more attuned to sponsoring country-specific events, like Colombian festivals in Charlotte and NYC • Personal injury lawyer ads over index on media, like Hispanic TV stations, located near minority low-income communities

134 www.pqmedia.com www.anaaimm.net Top 10 Hispanic American Media Trends (cont.)

5. Social Media and Influencer Marketing Becoming More Important for Brands to Engage with Hispanic Consumers • According to Nielsen, Hispanic consumer over-index on technology devices, like smartphones and videogame consoles • Hispanic Americans trail the overall population in Netflix use, but they use Instagram and SnapChat more than non-Hispanics • As previously mentioned, Hispanics have embraced YouTube multi-channel networks hosted by Latinos • Our Hispanic GOLP members all agreed that most social media campaigns also include word-of-mouth influencers • Larger brands favor national influencers, such as celebrities like Jennifer Lopez and Eva Longoria • Smaller brands prefer local influencers, particularly popular radio disc jockeys in the largest Hispanic DMAs • Some GOLP members have developed internal databases of national and local influencers to use across all media platforms

6. Experiential and Content Marketing Have Gained Traction in Omnichannel Campaigns • According to PQ Media, experiential marketing provides one-on-one engagement impervious to ad-skipping technology • Brands have always linked marketing campaigns to important Hispanic dates and events, like Hispanic Heritage Month • Brands expanding into festivals focused on family and food, such as the Los Angeles Taste of Ecuador Food Festival • PQ Media reports that content marketing is growing rapidly due to high engagement with messages tailored to consumers • Content marketing among best tools to develop culturally-relevant examples that resonate with Hispanic audiences • For example, Vive Mejor developed a website that requested Spanish translations of popcorn that yielded 12 variations • More brands using non-print content, like Disney producing online videos during Hispanic celebrations at its parks

135 www.pqmedia.com www.anaaimm.net Top 10 Hispanic American Media Trends (cont.)

7. Political Campaigns Will Substantially Increase Hispanic Budgets During 2020 Election • Fewer Hispanics voted during the 2016 campaign than in 2012, and Democrats particularly will be targeting a higher turnout • Every political media buying channel will be utilized, not just TV, such as promotional product hats with Spanish wording • Both parties are already allocating monies to states in which the presidential election will be considered a toss up • There are 21 Republican Senate seats on the ballot compared with only nine in 2018, as well as 12 Democratic seats • Most direct mail and telemarketing will be done bilingually to target all generations • In smaller DMAs with a large Hispanic communities, Latino music radio stations will see an influx of political dollars

8. Like the Overall Print Industry, Hispanic Newspapers and Magazines Are Struggling • Spanish language daily print newspapers circulation has fallen by about 50% since over the last five years • From 2014 to 2017, La Opinion circ fell from 64M to 24M, El Nuevo Herald dropped from 50M to 32M • However, circulation declines softened in 2018 because many consumers kept subscriptions to avoid fake news elsewhere • Declines at weeklies not at steep as there are often aimed at small cultural communities, such as the La Prensa Colombina • Consumer magazine circulation had also fallen, but not as deeply as the newspaper industry • Celebrity magazines most popular genre, often with editions of US or Spanish magazines, like People en Espanol and Hola! • Aggregate Hispanic magazine circ gets a boost periodically when one magazine registers best circ gains among all US mags • This happened in 2011 when Poder absorbed defunct Hispanic subs, and in 2017 when Hola! debuted Hola USA!

136 www.pqmedia.com www.anaaimm.net Top 10 Hispanic American Media Trends (cont.)

9. Hispanic Retail Marketing Going Through an Evolution as Studies Reveal a “Food Desert” • During the Obama administration, First Lady Michelle Obama became an advocate to curb obesity, particularly in children • Funding for obesity research rose, and dozens of studies revealed that obesity is highest in low income neighborhoods • Studies found that low-income kids only had access to fast food and too few local markets carried fruits and vegetables • To combat this epidemic, city and state agencies increased marketing budgets and partnered with bodega owners • For example, the New York City Department of Health persuaded 1,000 owners to place calorie posters near registers • Bilingual educational materials were distributed at pediatric offices, since many Hispanic households are multi-generational • For older demographics, weight loss ads showing up in digital out-of-home venues like subways and health clubs

10. Current and Future Political Environment Affecting Hispanic Media • President Trump’s policy towards immigration is leading to a rise in marketing spending by legal defense funds • Native-language content marketing is increasing in select industries, like agriculture and services, to explain hiring positions • Some GOLP members very concerned with 2020 Census and the controversial question on citizenship • If the questions are allowed to stay, the consensus is that Hispanics will be under represented in final tally • Historically, brands increase multicultural spending the year after a census because the data shows a bigger population gain • However, if the census data in 2020 reveals a smaller population gain, brands will decrease Hispanic budgets • Some GOLP members not as concerned, stating that the annual American Community Survey data has been consistent

137 www.pqmedia.com www.anaaimm.net Hispanic American Media Revenues Rose 5.3% in 2018 to $17.94 Billion; Projected to Post 4.1% Gain in 2019; and 6.1% Increase in 2020 to $19.80 Billion

Hispanic American Media Revenues, 2016-2020 Hispanic American Media Revenue Growth, 2017-2020 $20 $19.80 $18.67 $17.94 $16.69 $17.03 2017 2.1%

$15

2018 5.3%

$10 4.4% CAGR $ Billions % Growth%

2019 4.1%

2020 6.1%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media CAGR – Compound Annual Growth Rate (4-Year Average)

138 www.pqmedia.com www.anaaimm.net Hispanic American Media Revenue Share Significantly Under-Indexes General Population; Hispanic Americans Are 18.1% of the Total Population, But 3.6% of Total Media

U.S. Population Share by Ethnicity in 2018 U.S. Advertising & Marketing Revenue Share by Ethnicity in 2018 3.6% 5.8%

13.4% 1.4% 0.1%

18.1% 62.7%

94.8%

Asian American African American Hispanic American All Others Asian American African American Hispanic American All Others

Source: U.S. Census Bureau Source: PQ Media

139 www.pqmedia.com www.anaaimm.net Hispanic American Media Largest of the Three Demographic Categories in 2018; Hispanic American Media Posted Slowest Growth, But Generated $975M in Realized Rev

Multicultural Media Rev/Share by Demographics in 2018 ($B) Multicultural Media Growth by Demographics in 2018 Realized Revenues $M) (2018 vs. 2017)

$0.72 Hispanic American 5.3% $975

$7.20

African American 6.1% $411

$17.94

Asian American 7.0% $47

Asian American African American Hispanic American 0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

140 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Hispanic American Media Sectors & Platforms

141 www.pqmedia.com www.anaaimm.net Digital Media – Traditional Brand Extensions vs. Pure Play

142 www.pqmedia.com www.anaaimm.net Hispanic American Advertising Revenues Rose 5.5% in 2018 to $8.55 Billion; Projected to Post 2.7% Gain in 2019; and 6.1% Increase in 2020 to $9.32 Billion

Hispanic American Advertising Revenues, 2016-2020 Hispanic American Advertising Revenue Growth, 2017-2020 $12

2017 0.0% $9.32 $8.78 $9 $8.55 $8.11 $8.11

2018 5.5%

$6 3.5% CAGR $ Billions % Growth%

2019 2.7%

2020 6.1%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

143 www.pqmedia.com www.anaaimm.net Hispanic American Brand Activation Revenues Rose 5.2% in 2018 to $9.38 Billion; Projected to Post 5.4% Gain in 2019; and 6% Increase in 2020 to $10.48 Billion

Hispanic American Brand Activation Revenues, 2016-2020 Hispanic American Brand Activation Revenue Growth, 2017-2020 $12

$10.48 2017 4.0% $9.89 $9.38 $8.92 $9 $8.58

2018 5.2%

$6 5.1% CAGR $ Billions % Growth%

2019 5.4%

2020 6.0%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

144 www.pqmedia.com www.anaaimm.net Hispanic American Media Relies More on Brand Activation than Advertising; However, the Share is 12 Percentage Points Less than Overall Advertising & Marketing

Share of Overall Media by Sector in 2018 Share of Hispanic American Media by Sector in 2018

35.8%

47.7% 52.3%

64.2%

Advertising Brand Activation Advertising Brand Activation

Source: PQ Media Brand Activation Marketing Forecast 2017 Source: PQ Media

145 www.pqmedia.com www.anaaimm.net Overall Media Growth Slightly Outpacing Hispanic American Media, Except 2020; Hispanic American Media Outpacing Advertising, Underpacing Brand Activation

Overall Media vs. Hispanic American Media Overall Advertising vs. Hispanic Am Advertising Overall Brand Act. vs. Hispanic Am Brand Act. 10% 10% 10% Overall Media Overall Advertising Overall Brand Activation Hispanic American Media Hispanic American Advertising Hispanic American Brand Activation 8% 8% 8%

6% 6% 6%

4% 4% 4%

2% 2% 2%

0% 0% 0% 2017 2018 2019 2020 2017 2018 2019 2020 2017 2018 2019 2020

Source: PQ Media Source: PQ Media Source: PQ Media

146 www.pqmedia.com www.anaaimm.net TV Largest of 12 Hispanic American Media Platforms, Over 30% of Revenues in 2018; Branded & Content Marketing Fastest Growing, Up 11.5%, Driven by TV Product Placement

Hispanic American Media Revenues by Media Platforms in 2018 Growth of Hispanic American Media by Media Platforms in 2018

Television Advertising $5.43 Television Advertising 5.6%

Relationship Marketing $3.34 Relationship Marketing 2.3%

Promotional Marketing $2.33 Promotional Marketing 3.9%

Experiential Marketing $2.12 Experiential Marketing 8.1%

Digital Advertising (Pure Play) $1.69 Digital Ad (Pure Play) 9.8%

Print Advertising $0.84 Print Advertising -3.0%

Branded & Content Marketing $0.64 Branded/Content Marketing 11.5%

Influencer Marketing $0.59 Influencer Marketing 11.0%

Radio Advertising $0.42 Radio Advertising 4.2%

Retailer Marketing $0.35 Retailer Marketing 4.4%

Out-of-Home Advertising $0.13 Out-of-Home Advertising 7.0% $ Billions Other Advertising (a) $0.04 Other Advertising (a) 10.9%

$0 $2 $4 $6 -5% 0% 5% 10% 15%

Source: PQ Media a) Other Advertising includes: Business-to-Business (B2B) Magazines, Local Directories, and Source: PQ Media % Growth Entertainment Media (e.g. In-Videogame ads, eSports sponsorships, ads on music, film & book sites)

147 www.pqmedia.com www.anaaimm.net Hispanic TV, Promo, Experiential & Print Over-Index Total Media; Relationship, PP Digital, Brand/Content, Radio, Influencer, Retailer and OOH Under-Index

Comparison of Share of Hispanic American Media vs. Overall Media by Media Platforms in 2018

30.3% Television Advertising 16.7% 18.6% Relationship Marketing 19.3% 13.0% Promotional Marketing 9.3% 11.8% Experiential Marketing 9.5% 9.4% Digital Advertising (Pure Play) 18.0% Hipanic American Media 4.7% Print Advertising 3.7% Overall Media 2.4% Radio Advertising 2.7% 3.6% Branded & Content Marketing 5.9% 3.3% Influencer Marketing 7.2% 2.0% Retailer Marketing 2.7% 0.7% Out-of-Home (OOH) Media 1.7% 0.2% Other Advertising 3.2% 0% 5% 10% 15% 20% 25% 30% 35% Sources: PQ Media, PQ Media Global Advertising & Marketing Forecast 2018-22, PQ Media Brand Activation Marketing Forecast 2017

148 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Hispanic American Media Platforms & Channels: Advertising (Listed in Order by Size)

149 www.pqmedia.com www.anaaimm.net Hispanic American Television Advertising Rose 5.6% in 2018 to $5.43 Billion; Projected to Post 0.8% Gain in 2019; and 5.8% Increase in 2020 to $5.80 Billion

Hispanic American Television Advertising Revenues, 2016-2020 Hispanic American Television Advertising Revenue Growth, 2017-2020 $6 $5.80 $5.43 $5.48 $5.24 $5.14 2017 -1.8%

$4 2018 5.6%

2.6% CAGR $ Billions % Growth%

2019 0.8% $2

2020 5.8%

$0 -2% 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Television Advertising channels included in this data

150 www.pqmedia.com www.anaaimm.net Hispanic American Broadcast Television Revenues Rose 5.8% in 2018 to $5.07 Billion; Projected to Post 0.7% Gain in 2019; and Increase 6% in 2020 to $5.40 Billion

Hispanic American Broadcast Television Advertising Revenues & Growth, 2016-2020 $8 9% 2.6% CAGR

6.0% $6 5.8% 6% $5.40 $5.06 $5.09 $4.88 $4.78 % Growth

$4 3% $ Billions

$2 0.7% 0%

-1.9% $0 -3% 2016 2017 2018 2019 2020 Hispanic American Broadcast TV Revenues ($) Hispanic American Broadcast TV Growth (%) Source: PQ Media

151 www.pqmedia.com www.anaaimm.net Hispanic American Pay Television Revenues Rose 3.6% in 2018 to $375 Million; Projected to Post 2.9% Gain in 2019; and Increase 3.9% in 2020 to $401 Million

Hispanic American Pay Television Advertising Revenues & Growth, 2016-2020 $0.500 4% 2.5% CAGR 3.9% 3.6% $0.401 $0.386 $0.400 $0.375 3% $0.363 $0.362 2.9% % Growth $0.300 2% $ Billions $0.200 1%

$0.100 0%

-0.3%

$0.000 -1% 2016 2017 2018 2019 2020 Hispanic American Pay TV Revenues ($) Hispanic American Pay TV Growth (%) Source: PQ Media

152 www.pqmedia.com www.anaaimm.net Hispanic American Digital Advertising (Pure Play) Rose 9.8% in 2018 to $1.69 Billion; Projected to Post 11.4% Gain in 2019; and 10.7% Increase in 2020 to $2.09 Billion

Hispanic American Digital Ad (Pure Play) Revenues, 2016-2020 Hispanic American Digital Ad (Pure Play) Revenue Growth, 2017-2020 $2.5

$2.09 2017 10.5%

$2.0 $1.89 $1.69 $1.54 2018 9.8% $1.5 $1.40 %

Growth 10.6% CAGR $ Billions $1.0 2019 11.4%

$0.5 2020 10.7%

$0.0 2016 2017 2018 2019 2020 0% 5% 10% 15% Source: PQ Media Source: PQ Media Digital Advertising (Pure Play) is specific to content sites exclusively available on digital devices, such as social media, search, mobile apps, and SMS/MMS texting. The digital brand extensions of traditional media companies, such as ads placed on ESPN.com and ESPN Mobile, are included in the traditional media platform (ex., Pay TV). See Slide 47 for the list of Digital Advertising (Pure Play) channels included in this data

153 www.pqmedia.com www.anaaimm.net Hispanic American Social Media Revenues Rose 12.3% in 2018 to $612 Million; Projected to Post 13.4% Gain in 2019; and Increase 12% in 2020 to $777 Million

Hispanic American Social Media Advertising Revenues & Growth, 2016-2020 $1.000 20% 12.6% CAGR

$0.777 $0.750 $0.694 15% 12.8% $0.612 % Growth 13.4% $0.545 12.3% $0.483 12.0% $0.500 10% $ Billions

$0.250 5%

$0.000 0% 2016 2017 2018 2019 2020 Hispanic American Social Media Revenues ($) Hispanic American Social Media Growth (%) Source: PQ Media

154 www.pqmedia.com www.anaaimm.net Hispanic American Other Digital Ad Revenues Rose 8.4% in 2018 to $1.08 Billion; Projected to Post 10.3% Gain in 2019; and Increase 9.9% in 2020 to $1.31 Billion

Hispanic American Other Digital Advertising (a) Revenues & Growth, 2016-2020 $1.5 15% 9.5% CAGR $1.31 $1.19 $1.08 $1.00

$1.0 $0.91 10% % Growth 10.3% 9.9% 9.3% 8.4% $ Billions

$0.5 5%

$0.0 0% 2016 2017 2018 2019 2020 Hispanic American Other Digital Advertising Revenues ($) Hispanic American Other Digital Advertising Growth (%) Source: PQ Media a) Other Digital Advertising includes search, mobile marketing apps, SMS/MMS texting ads, and display, classified, & rich media ads purchased on cultural websites

155 www.pqmedia.com www.anaaimm.net Hispanic American Print Advertising Fell 3% in 2018 to $836 Million; Projected to Post 4.2% Drop in 2019; and 2.5% Decrease in 2020 to $781 Million

Hispanic American Print Advertising Revenues, 2016-2020 Hispanic American Print Advertising Revenue Growth, 2017-2020 $1.000 $0.916 $0.862 $0.836 -5.9% 2017 $0.801 $0.781 $0.750

-3.0% 2018

$0.500 -3.5% CAGR $ Billions % Growth%

-4.2% 2019

$0.250

-2.5% 2020

$0.000 -8% -6% -4% -2% 0% 2% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Print Advertising channels included in this data

156 www.pqmedia.com www.anaaimm.net Hispanic American Newspaper Revenues Fell 3.5% in 2018 to $571 Million; Projected to Post 4.9% Drop in 2019; and Decrease 2.9% in 2020 to $527 Million

Hispanic American Newspaper Advertising Revenues & Growth, 2016-2020 $0.750 0% -4.5% CAGR $0.634 $0.592 $0.571 $0.543 $0.527

$0.500 -3% % Growth -2.9% -3.5% $ Billions -4.9% $0.250 -6%

-6.6%

$0.000 -9% 2016 2017 2018 2019 2020 Hispanic American Newspaper Revenues ($) Hispanic American Newspaper Growth (%) Source: PQ Media

157 www.pqmedia.com www.anaaimm.net Hispanic American Consumer Magazine Revenues Fell 1.9% in 2018 to $265 Million; Projected to Post 2.6% Drop in 2019; and an 1.6% Decline in 2020 to $254 Million

Hispanic American Consumer Magazine Advertising Revenues & Growth, 2016-2020 $0.300 0% $0.282 -2.6% CAGR $0.270 $0.265 $0.258 $0.254

-1.6%

$0.200 -2% % Growth -1.9%

-2.6% $ Billions

$0.100 -4%

-4.3%

$0.000 -6% 2016 2017 2018 2019 2020 Hispanic American Consumer Magazine Revenues ($) Hispanic American Consumer Magazine Growth (%) Source: PQ Media

158 www.pqmedia.com www.anaaimm.net Hispanic American Radio Advertising Rose 4.2% in 2018 to $423 Million; Projected to Post 2.8% Gain in 2019; and 4.8% Increase in 2020 to $456 Million

Hispanic American Radio Advertising Revenues, 2016-2020 Hispanic American Radio Advertising Revenue Growth, 2017-2020 $0.500 $0.456 $0.435 $0.423 2017 -0.7% $0.409 $0.406 $0.400

2018 4.2% $0.300

2.8% CAGR $ Billions % Growth%

$0.200 2019 2.8%

$0.100 2020 4.8%

$0.000 -2% 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Radio Advertising channels included in this data

159 www.pqmedia.com www.anaaimm.net Hispanic American Out-of-Home Media Rose 7% in 2018 to $131 Million; Projected to Post 5.7% Gain in 2019; and 7.2% Increase in 2020 to $148 Million

Hispanic American Out-of-Home Media Revenues, 2016-2020 Hispanic American Out-of-Home Media Revenue Growth, 2017-2020 $0.150 $0.148 $0.138 $0.131 2017 4.3% $0.122 $0.117

$0.100 2018 7.0%

6.1% CAGR $ Billions % Growth%

2019 5.7% $0.050

2020 7.2%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Out-of-Home Advertising channels included in this data

160 www.pqmedia.com www.anaaimm.net Hispanic American Other Advertising Rose 10.9% in 2018 to $34 Million; Projected to Post 11.2% Gain in 2019; and 11.6% Increase in 2020 to $47 Million

Hispanic American Other Advertising (a) Revenues, 2016-2020 Hispanic American Other Advertising Revenue Growth, 2017-2020 $0.050 $0.047

$0.042 2017 10.5%

$0.040 $0.038

$0.034 $0.031 2018 10.9% $0.030

11.1% CAGR $ Billions % Growth%

$0.020 2019 11.2%

$0.010 2020 11.6%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

161 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Hispanic American Media Platforms: Brand Activation (Listed in Order by Size)

162 www.pqmedia.com www.anaaimm.net Hispanic American Relationship Marketing Rose 2.3% in 2018 to $3.34 Billion; Projected to Post 2.6% Gain in 2019; and 3.2% Increase in 2020 to $3.54 Billion

Hispanic American Relationship Marketing Revenues, 2016-2020 Hispanic American Relationship Marketing Rev Growth, 2017-2020 $4

$3.54 $3.43 $3.34 2017 0.9% $3.24 $3.27

2018 2.3%

$2 2.2% CAGR $ Billions % Growth%

2019 2.6%

2020 3.2%

$0 0% 1% 2% 3% 4% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Relationship Marketing channels included in this data

163 www.pqmedia.com www.anaaimm.net Hispanic American Promotional Marketing Rose 3.9% in 2018 to $2.33 Billion; Projected to Post 4.3% Gain in 2019; and 4.6% Increase in 2020 to $2.54 Billion

Hispanic American Promotional Marketing Revenues, 2016-2020 Hispanic American Promotional Marketing Reve Growth, 2017-2020 $3

$2.54 2017 3.6% $2.43 $2.33 $2.24 $2.17

$2 2018 3.9%

4.1% CAGR $ Billions % Growth%

2019 4.3% $1

2020 4.6%

$0 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Promotional Marketing channels included in this data

164 www.pqmedia.com www.anaaimm.net Hispanic American Experiential Marketing Rose 8.1% in 2018 to $2.12 Billion; Projected to Post 7.7% Gain in 2019; and 8.4% Increase in 2020 to $2.48 Billion

Hispanic American Experiential Marketing Revenues, 2016-2020 Hispanic American Experiential Marketing Rev Growth, 2017-2020 $3

2017 6.7% $2.48 $2.29 $2.12 $1.96 $2 $1.84 2018 8.1%

7.7% CAGR $ Billions % Growth%

2019 7.7% $1

2020 8.4%

$0 0% 4% 8% 12% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Experiential Marketing channels included in this data

165 www.pqmedia.com www.anaaimm.net Hispanic American Branded & Content Marketing Rose 11.5% in 2018 to $640 Million; Projected to Post 10.9% Gain in 2019; and 12% Increase in 2020 to $795 Million

Hispanic American Branded & Content Marketing Revs, 2016-2020 Hispanic American Branded/Content Marketing Rev Growth, 2017-2020 $1.000

2017 9.8% $0.795

$0.750 $0.710

$0.640 2018 11.5% $0.574 $0.523 $0.500 11.0% CAGR $ Billions % Growth%

2019 10.9%

$0.250

2020 12.0%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Branded & Content Marketing channels included in this data

166 www.pqmedia.com www.anaaimm.net Hispanic American Influencer Marketing Rose 11% in 2018 to $593 Million; Projected to Post 10.6% Gain in 2019; and 11.7% Increase in 2020 to $733 Million

Hispanic American Influencer Marketing Revenues, 2016-2020 Hispanic American Influencer Marketing Revenue Growth, 2017-2020 $1.000

2017 9.2%

$0.750 $0.733 $0.656 $0.593 2018 11.0% $0.534 $0.489 $0.500 11.2% CAGR $ Billions % Growth%

2019 10.6%

$0.250

2020 11.7%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Influencer Marketing channels included in this data

167 www.pqmedia.com www.anaaimm.net Hispanic American Retailer Marketing Rose 4.4% in 2018 to $354 Million; Projected to Post 4.8% Gain in 2019; and 5.1% Increase in 2020 to $390 Million

Hispanic American Retailer Marketing Revenues, 2016-2020 Hispanic American Retailer Marketing Revenue Growth, 2017-2020 $0.400 $0.390 $0.371 $0.354 $0.339 2017 4.3% $0.325

$0.300

2018 4.4%

$0.200 4.7% CAGR $ Billions % Growth%

2019 4.8%

$0.100

2020 5.1%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Retailer Marketing channels included in this data

168 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Hispanic American Media by Media Buying Strategies

169 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic

Non-Endemic Media Buying is more difficult to define, but should include the following parameters:

For a more detailed definition of Non-Endemic Media Buying, please see slides 333-39 in the Appendix

170 www.pqmedia.com www.anaaimm.net Endemic Media Buying Accounted for 71.4% of All Hispanic American Media Revs in 2018; Non-Endemic Is Gaining Market Share As Brands Seek to Connect with Younger Demos

Share of Hispanic American Media by Endemic & Non-Endemic Media Buying, 2016, 2018, 2020

2016 2018 2020

28.0% 28.6% 29.3%

72.0% 71.4% 70.7%

Non-Endemic Endemic Non-Endemic Endemic Non-Endemic Endemic

Source: PQ Media Source: PQ Media Source: PQ Media

171 www.pqmedia.com www.anaaimm.net Hispanic American Endemic Media Buying Rose 4.8% in 2018 to $12.80 Billion; Projected to Post 3.5% Gain in 2019; and 5.6% Increase in 2020 to $13.99 Billion

Hispanic American Endemic Media Buying Revenues, 2016-2020 Hispanic American Endemic Media Buying Revenue Growth, 2017-2020 $15 $13.99 $13.25 $12.80 2017 1.6% $12.02 $12.22

$10 2018 4.8%

3.9% CAGR $ Billions % Growth%

2019 3.5% $5

2020 5.6%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

172 www.pqmedia.com www.anaaimm.net Hispanic American Non-Endemic Media Buying Rose 6.6% in 2018 to $5.14 Billion; Projected to Post 5.4% Gain in 2019; and 7.3% Increase in 2020 to $5.81 Billion

Hispanic American Non-Endemic Media Buying Revs, 2016-2020 Hispanic American Non-Endemic Media Buying Rev Growth, 2017-2020 $15

2017 3.1%

$10 2018 6.6%

5.6% CAGR $ Billions % Growth% $5.81 $5.41 $5.14 2019 5.4% $4.82 $5 $4.67

2020 7.3%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

173 www.pqmedia.com www.anaaimm.net National Buying Accounted for 65.2% of All Hispanic American Media Revenue in 2018; However, Local Is Gaining Market Share Due to Brands Concentrating More on 75 DMAs

Share of Hispanic American Media by National & Local Media Buying, 2016, 2018, 2020

2016 2018 2020

34.4% 34.8% 35.2%

65.6% 65.2% 64.8%

Local National Local National Local National

Source: PQ Media Source: PQ Media Source: PQ Media

174 www.pqmedia.com www.anaaimm.net Hispanic American National Media Buying Rose 5% in 2018 to $11.70 Billion; Projected to Post 3.7% Gain in 2019; and 5.7% Increase in 2020 to $12.83 Billion

Hispanic American National Media Buying Revenues, 2016-2020 Hispanic American National Media Buying Revenue Growth, 2017-2020 $15

$12.83 2017 1.7% $12.13 $11.70 $10.95 $11.14

$10 2018 5.0%

4.0% CAGR $ Billions % Growth%

2019 3.7% $5

2020 5.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

175 www.pqmedia.com www.anaaimm.net Hispanic American Local Media Buying Rose 5.8% in 2018 to $6.24 Billion; Projected to Post 4.7% Gain in 2019; and 6.7% Increase in 2020 to $6.97 Billion

Hispanic American Local Media Buying Revenues, 2016-2020 Hispanic American Local Media Buying Revenue Growth, 2017-2020 $15

2017 2.8%

$10 2018 5.8%

$6.97 5.0% CAGR $ Billions

$6.53 Growth% $6.24 $5.74 $5.90 2019 4.7% $5

2020 6.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

176 www.pqmedia.com www.anaaimm.net Native Language Media Buying Accounted for 63.5% of Hispanic American Revs in 2018; English Language Media is Gaining Market Share As Brands Seek to Engage w/Millennials

Share of Hispanic American Media by English Language & Native/Bilingual Media Buying, 2016, 2018, 2020

2016 2018 2020

36.1% 36.5% 37.0%

63.9% 63.5% 63.0%

Native/Bilingual Language English Language Native/Bilingual Language English Language Native/Bilingual Language English Language

Source: PQ Media Source: PQ Media Source: PQ Media

177 www.pqmedia.com www.anaaimm.net Hispanic American English Language Rose 5.9% in 2018 to $6.55 Billion; Projected to Post 4.8% Gain in 2019; and 6.7% Increase in 2020 to $7.33 Billion

Hispanic American English Language Revenues, 2016-2020 Hispanic American English Language Revenue Growth, 2017-2020 $15

2017 2.7%

$10 2018 5.9%

$7.33 $6.86 5.0% CAGR $ Billions

$6.55 Growth% $6.03 $6.19 2019 4.8% $5

2020 6.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

178 www.pqmedia.com www.anaaimm.net Hispanic American Native Language Rose 5% in 2018 to $11.39 Billion; Projected to Post 3.7% Gain in 2019; and 5.7% Increase in 2020 to $12.47 Billion

Hispanic American Native/Bilingual Language Revs, 2016-2020 Hispanic American Native/Bilingual Language Rev Growth, 2017-2020 $15

$12.47 2017 1.7% $11.80 $11.39 $10.66 $10.85 $10 2018 5.0%

4.0% CAGR $ Billions % Growth%

2019 3.7% $5

2020 5.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

179 www.pqmedia.com www.anaaimm.net GOLP Insights: Hispanic American

Agencies have to be business partners, not just marketing partners, because understanding the needs of the client allows the agency to develop culturally-relevant campaigns that will become the “heart and soul to the pocketbook.” Hispanic American Agency Executive

It’s all about “culture” – if you don’t address it, you’re not engaged. Hispanic American Trade Organization Executive

It’s important to identify the “champions” of multicultural media who understand how to make the relationship between the content and the audience personal. Hispanic America Media Operator

Budgets are shifting to digital media, but multicultural is not being served. Digital media buying is about programmatic technology, which is based on credit card information, but Hispanics don’t use credit cards as much as the general population. Hispanic American Media Reporter

Because the Hispanic duopoly (Univision and Telemundo) have lost audiences over the past few years, it has led to a perception that brands undervalue the entire Hispanic American Media industry. Hispanic American Agency Executive

180 www.pqmedia.com www.anaaimm.net GOLP Insights: Hispanic American Media (cont.)

Brands are too risk aversive – a CMO lasts less than 24 months and becomes conservative, repeating last year’s campaign. Hispanic American Agency Executive

There are so many cultural moments, like important sports matches, that brands need to think long-term in targeting Hispanics by reinventing creative methods that would engage them because that would be considered “out-of-box” and unique. Hispanic American Agency Executive

Local is very important in reaching Hispanic Americans because of “shared experiences.” Hispanic American Agency Executive

We’re lucky to be in a solid economy because multicultural media is one of the first budget cuts when there is a downturn. Hispanic American Agency Executive

We’re shifting from native language media to English language because our Hispanic target audience is getting younger and prefer using mainstream media. . Brand Executive

181 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Chapter 4: African American Media

182 www.pqmedia.com www.anaaimm.net African American Media: 2018 Results & 2019-20 Forecast

2018 • U.S. total African American Media revenues rose 6.1% to $7.20 billion, representing 1.4% of total advertising & marketing • African American Media ranked second in both size and growth among the demographic categories • African American Media increased by $411 million in realized revenue compared with 2017 • 2018 was buoyed by advertising & marketing associated with the political elections • Advertising rose 5.5% to $4.08 billion; Brand Activation Marketing increased 6.8% to $3.12 billion • African American advertising larger than brand activation, opposite the overall advertising & marketing ecosystem • Television was the largest media platform at $2.01 billion and influencer Marketing the fastest growing, rising 13.5% • Endemic media buying accounted for 64.3% of revenues, but non-endemic grew faster, up 7% • National media buying accounted for 57.5% of revenues, but local grew faster, rising 6.8% • Almost all African American media is English language, although there is a rise in media aimed at African immigrants

2019 & 2020 • U.S. African American Media is pacing to rise 5.3% in 2019 to $7.58 billion • 2019 growth will decelerate due primarily to no federal elections • U.S. African American Media is projected to increase 6.8% in 2020 to $8.09 billion • 2020 growth will be driven by the elections once again, as well as the Summer Olympics

183 www.pqmedia.com www.anaaimm.net Top 10 African American Media Trends

1. African American Cable Network Programming Weak, with Brands Shifting to Non-Endemic Programs • African-American TV networks (Aspire, BET, Bounce, Oxygen, TV One, VH1), do not generate ratings similar to Hispanic TV • Most programming consists of reruns of shows with African-American casts, like Martin or unscripted programming • 60 of the nearly 500 scripted shows on TV in 2019 star Black actors, of which only 18 are on African-American networks • Some networks have increased programming budgets recently, with new shows like American Soul and David Makes Man • Recent success of films like The Black Panther and Green Book, have increased interest in studios targeting Black demos • GOLP members reported an increase in non-endemic broadcast programs like Empire and How to Get Away with Murder • Unscripted African American programs, like Braxton Family Values and Growing Up Hip Hop, have gained a loyal audience • Brands are also open to more product placement deals, such as an episode of black-ish with a Procter & Gamble plotline

2. African American Magazines Still Influence, But Suffering from Subscription Losses and Weakening Ad Revenue • Since the Great Recession, black magazines (Ebony, Essence, Jet, O) have exhibited about an annual 10% loss in readers • Primary advertising in these magazines are health, beauty and apparel, according to PQ Media’s content analysis • Brands are using product placement in African-American mags by being featured in articles, like new lipstick trends • Brands are also sponsoring advertorials, content marketing inserts about a topic like skin cancer with their products featured • Book industry marketing is noticeable in African-American magazines, such as Essence’s “Five Books to Read this Month” • Other brand categories, like houseware and pets, covet spots in article recommendations, like O’s “Oprah’s Favorite Things”

184 www.pqmedia.com www.anaaimm.net Top 10 African American Media Trends (cont.)

3. Social Media Use Up Among African Americans, But Influencer Marketing More Engaging • African-American GOLP members reported that brands are requesting more social media campaigns • Ads on major sites like Facebook, not as successful as with the general population because Blacks under index in usage • Although improving, there is still a “digital divide” affecting low-income household’s ability to access digital content • Research shows that African-American purchase decisions are being driven by influencers on blogs and podcasts • Black bloggers often concentrate on a topic, such as fashion blogger Tiffaney Battle and food blogger Tasha Edwards • Similarly, podcasts also are theme-focused, although culture dominates, like Black on the Air and Two Dope Queens • Celebrities, like Michelle Obama, LeBron James and Pharrell Williams, are part of grassroot influencer campaigns • African-American GOLP members reported that popular DJs from urban and R&B stations are used as local influencers

4. Experiential Marketing Supplementing Influencer Marketing Campaigns • As stated earlier, PQ Media reports that experiential marketing is growing substantially because of one-on-one engagement • GOLP members stated that events, like the Essence Beauty Carnival, often have African-American influencers in attendance • Many of the traditional media companies sponsor the largest consumer events, like the O Magazine’s “Girl’s Getaway Cruise” • Local festivals becoming popular, such as six Kinfolks Soul Food Festival in places like Evans, GA and Nashville, TN • The recent influx of immigrants from Africa have led to new events, such as the Zimbabwean Summer Festival in Chicago • Major brands sponsor concert tours by African-American artists, such as Beyonce’s partnerships with L’Oreal and Pepsi

185 www.pqmedia.com www.anaaimm.net Top 10 African American Media Trends (cont.)

5. Women Are the Dominant Demographic in the African-American Community, More than Millennials • African-American GOLP members stated that 25% to 50% of their assignments are campaigns aimed at women • Research shows females control 70% of household budgets in the overall U.S. population, but higher in Black homes • Health and beauty products over index in African American Media compared with overall media buying • PQ Media identified approximately two dozen “Black Girl” sites, such as Black Girls Talking and Big Mouth Black Girl • Many African-American celebrities have developed health & beauty products; most notably, Rihanna’s Fenty Beauty • Analysis reveals a high number of hair care products aimed at this demo, like hairology and Carol’s Daughter • Some brands are shifting to targeting younger women with a more diverse messages to account for interracial relationships

6. Due to Socioeconomic Gains Among Black Consumers, African American Retail Outperforming Overall Retail Market • With more African Americans in executive positions, household incomes rising among Black households • Economic growth is spurred by events targeting Black firms, like the Conference of African-American Financial Professionals • With shows like Finding Your Roots, African-American consumers embracing their heritage more than previous generations • This has led to an increase in retailers who specialize in African and African-American products, like It’s a Black Thing • Essence and O often profile African-American retail owners in the magazines, helping to drive sales • Many of the health and beauty items sold specifically to African Americans are considered “must-haves” vs. “nice-to-haves” • A new subset of African-American retail is stores catering to new African immigrants, like the Royal Somalia

186 www.pqmedia.com www.anaaimm.net Top 10 African American Media Trends (cont.)

7. Radio an Important Medium to Reach African American Consumers with Endemic and Non-Endemic Formats • Approximately 1,000 of the 17,000 radio stations in the U.S. have formats favored by African Americans • Hip Hop/R&B, Gospel, Smooth Jazz and Blues are the endemic formats, and account for 70% of the stations • However, other than Hip-Hop, these stations generate very little ad revenue, or are ad-free owned by non-profits like colleges • Non-endemic formats include Urban Contemporary and Jazz, the latter falling into the group with little revenue or non-profit • DJs important influencers, but their numbers have declined since the Telecom Act of 1996 led to more syndicated programs • Behemoths like iHeart (formerly Clear Channel) purchased over 1,000 stations and started to syndicate programming • Despite the loss of local icons, brands use radio to reach African Americans because they over-index on radio listenership • During the past 18 months, GOLP members reported budgets shifting to digital radio with rapid growth in Black subscribers

8. Political Media Buying Will Lift African American Advertising & Marketing in 2020 • Democrats, in particular, were disappointed in the drop of voter participation among African Americans during 2016 election • Some campaigns aimed at this demo will push for higher voter turnout to overcome voter suppression and gerrymandering • More African-American candidates are expected in 2020 at the local level, prompted by the efforts of Stacey Abrams (GA) • National media like BET and O will be proactive in marketing “Get Out the Vote” campaigns • Brand activation platforms will exhibit higher growth than advertising, particularly event marketing and telemarketing • Unfortunately for Democrats, African-American populations over-index in too many states that Republicans carry

187 www.pqmedia.com www.anaaimm.net Top 10 African American Media Trends (cont.)

9. Traditional Brand Activation at a Crossroads, As Brands Are Unsure of Relevance to African-American Consumers • Relationship and promotional marketing are exhibiting among the weakest growth rates of the 12 media platforms examined • Other than brand licensing, most channels are posting low to declining growth when aimed at African Americans • For example, there are only a handful of print catalogs aimed at African Americans, and infomercials rarely target Blacks • Meanwhile, coupon use in low income neighborhoods historically drops when the economy is strong • Brand licensing is the most successful channel, with many African-American celebrities and athletes sharing their likeness • Basketball stars signing lucrative sneaker deals, while deceased recording artists, like Michael Jackson, generate millions • Growth in small African American subsets, such as African immigrants, drive native language marketing materials

10. One Issue Generating Accelerating Growth Among African American Media Is Health Care • The Affordable Care Act (ACA) is important to the African-American community, particularly lower income neighborhoods • Spending has risen on marketing campaigns in key states in which efforts are being made to eliminate it • The ACA is important in combating three major risk factors for African Americans: heart disease, diabetes and obesity • GOLP members report an increase in marketing materials at doctor offices with more patients since the ACA was enacted • African Americans are affected by “food deserts,” when healthy food access is limited due to lack of major grocery franchises • Government agencies are, therefore, increasing marketing dollars to educate African Americans on better diets • One recent study critical of national food brands, like cereal and QSRs, who over-index on TV advertising to minority kids

188 www.pqmedia.com www.anaaimm.net African American Media Revenues Rose 6.1% in 2018 to $7.02 Billion; Projected to Post 5.3% Gain in 2019; and 6.8% Increase in 2020 to $8.09 Billion

African American Media Revenues, 2016-2020 African American Media Revenue Growth, 2017-2020 $9 $8.09 $7.58 2017 3.4% $7.20 $6.79 $6.57

$6 2018 6.1%

5.4% CAGR $ Billions % Growth%

2019 5.3% $3

2020 6.8%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media CAGR – Compound Annual Growth Rate (4-Year Average)

189 www.pqmedia.com www.anaaimm.net African American Media Revenue Share Significantly Under-Index vs. General Population African Americans Are 13.4% of Total Population, But Only 1.4% of Total Media

U.S. Population Share by Ethnicity in 2018 U.S. Advertising & Marketing Revenue Share by Ethnicity in 2018

5.8% 3.6% 13.4% 1.4%

0.1%

18.1% 62.7%

94.8%

Asian American African American Hispanic American All Others Asian American African American Hispanic American All Others

Source: U.S. Census Bureau Source: PQ Media

190 www.pqmedia.com www.anaaimm.net African American Media Ranks Second in Size of the Three Demo Categories in 2018; African American Media Also Ranked Second in Growth, with Realized Revenue of $411M

Multicultural Media Rev/Share by Demographics in 2018 ($B) Multicultural Media Growth by Demographics in 2018 Realized Revenues $M) (2018 vs. 2017)

$0.77 Hispanic American 5.3% $975

$7.58

African American 6.1% $411

$17.94

Asian American 7.0% $47

Asian American African American Hispanic American

0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

191 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 African American Media Sectors & Platforms

192 www.pqmedia.com www.anaaimm.net Digital Media – Traditional Brand Extensions vs. Pure Play

193 www.pqmedia.com www.anaaimm.net African American Advertising Revenues Rose 5.5% in 2018 to $4.08 Billion; Projected to Post 4.1% Gain in 2019; and 6.2% Increase in 2020 to $4.51 Billion

African American Advertising Revenues, 2016-2020 African American Advertising Revenue Growth, 2017-2020 $6

2017 2.0%

$4.51 $4.25 $4.08 $4 $3.79 $3.87 2018 5.5%

4.4% CAGR $ Billions % Growth%

2019 4.1% $2

2020 6.2%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

194 www.pqmedia.com www.anaaimm.net African American Brand Activation Revenues Rose 6.8% in 2018 to $3.12 Billion; Projected to Post 6.2% Gain in 2019; and 7.5% Increase in 2020 to $3.58 Billion

African American Brand Activation Revenues, 2016-2020 African American Brand Activation Revenue Growth, 2017-2020 $6

2017 5.3%

$4 $3.58 2018 6.8% $3.33 $3.12 $2.92 $2.78 6.6% CAGR $ Billions % Growth%

2019 6.7% $2

2020 7.5%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

195 www.pqmedia.com www.anaaimm.net African American Media Relies More on Advertising than Brand Activation; Advertising Is 56.7% of African American Media Compared with 35.8% in Overall Media

Share of Overall Media by Sector in 2018 Share of African American Media by Sector in 2018

35.8% 43.3%

56.7% 64.2%

Advertising Brand Activation Advertising Brand Activation

Source: PQ Media Brand Activation Marketing Forecast 2017 Source: PQ Media

196 www.pqmedia.com www.anaaimm.net African American Media Is Outpacing Overall Media Growth African American Ad & Brand Activation Also Outpacing Overall Ad & Brand Activation

Overall Media vs. African American Media Overall Advertising vs. African Am Advertising Overall Brand Act. vs. African Am Brand Act. 10% 10% 10% Overall Media Overall Advertising Overall Brand Activation African American Media African American Advertising African American Brand Activation 8% 8% 8%

6% 6% 6%

4% 4% 4%

2% 2% 2%

0% 0% 0% 2017 2018 2019 2020 2017 2018 2019 2020 2017 2018 2019 2020

Source: PQ Media Source: PQ Media Source: PQ Media

197 www.pqmedia.com www.anaaimm.net Television Largest of the 12 African American Media Platforms, Almost 28% of Revenues; Influencer Marketing Fastest Growing, Up 13.5% in 2018, Driven by Word-of-Mouth

African American Media Revenues by Media Platforms in 2018 Growth of African American Media by Media Platforms in 2018

Television Advertising $2.01 Television Advertising 4.9%

Relationship Marketing $1.19 Relationship Marketing 4.7%

Digital Advertising (Pure Play) $0.78 Digital Ad (Pure Play) 10.7%

Promotional Marketing $0.67 Promotional Marketing 4.0%

Radio Advertising $0.65 Radio Advertising 4.8%

Print Advertising $0.51 Print Advertising 0.4%

Experiential Marketing $0.50 Experiential Marketing 11.3%

Retailer Marketing $0.33 Retailer Marketing 6.5%

Branded & Content Marketing $0.22 Branded/Content Marketing 12.2%

Influencer Marketing $0.21 Influencer Marketing 13.5%

Out-of-Home Advertising $0.11 Out-of-Home Advertising 7.7% $ Billions Other Advertising (a) $0.03 Other Advertising (a) 12.5%

$0 $1 $2 $3 -5% 0% 5% 10% 15%

198 www.pqmedia.com www.anaaimm.net African American TV, Promotions, Print, Radio & Retailer Over-Index Overall Media; Relationship, Experiential, Digital, Brand/Content, Influencer, OOH & Other Under-Index

Comparison of Share of African American Media vs. Overall Media by Media Platforms in 2018

27.9% Television Advertising 16.7% 16.5% Relationship Marketing 19.3% 9.3% Promotional Marketing 9.3% 7.0% Experiential Marketing 9.5% 10.8% Digital Advertising (Pure Play) 18.0% African-American Media 7.0% Print Advertising 3.7% Overall Media 9.0% Radio Advertising 2.7% 3.1% Branded & Content Marketing 5.9% 2.9% Influencer Marketing 7.2% 4.6% Retailer Marketing 2.7% 1.5% Out-of-Home (OOH) Media 1.7% 0.4% Other Advertising 3.2% 0% 5% 10% 15% 20% 25% 30% Sources: PQ Media, PQ Media Global Advertising & Marketing Forecast 2018-22, PQ Media Brand Activation Marketing Forecast 2017

199 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 African American Media Platforms & Channels: Advertising (Listed in Order by Size)

200 www.pqmedia.com www.anaaimm.net African American Television Advertising Rose 4.9% in 2018 to $2.01 Billion; Projected to Post 2.4% Gain in 2019; and 5.3% Increase in 2020 to $2.17 Billion

African American Television Advertising Revenues, 2016-2020 African American Television Advertising Revenue Growth, 2017-2020 $3

2017 -0.5%

$2.17 $2.01 $2.06 $2 $1.93 $1.92 2018 4.9%

3.0% CAGR $ Billions % Growth%

2019 2.4% $1

2020 5.3%

$0 -2% 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Television Advertising channels included in this data

201 www.pqmedia.com www.anaaimm.net African American Broadcast Television Revenues Rose 7.3% in 2018 to $514 Million; Projected to Post 2.1% Gain in 2019; and Increase 7.4% in 2020 to $564 Million

African American Broadcast Television Advertising Revenues & Growth, 2016-2020 $0.750 8% 3.4% CAGR 7.4% 7.3% $0.564 $0.514 $0.525 $0.494 $0.479

$0.500 4% % Growth

$ Billions 2.1%

$0.250 0%

-3.0% $0.000 -4% 2016 2017 2018 2019 2020 African American Broadcast TV Revenues ($) African American Broadcast TV Growth (%) Source: PQ Media

202 www.pqmedia.com www.anaaimm.net African American Pay Television Revenues Rose 4.1% in 2018 to $1.50 Billion; Projected to Post 2.5% Gain in 2019; and Increase 4.6% in 2020 to $1.61 Billion

African American Pay Television Advertising Revenues & Growth, 2016-2020 $2.0 5% 4.6% 2.9% CAGR 4.1% $1.61 $1.6 $1.50 $1.54 4% $1.44 $1.44 % Growth $1.2 3% 2.5% $ Billions $0.8 2%

$0.4 1%

0.3%

$0.0 0% 2016 2017 2018 2019 2020 African American Pay TV Revenues ($) African American Pay TV Growth (%) Source: PQ Media

203 www.pqmedia.com www.anaaimm.net African American Digital Advertising (Pure Play) Rose 10.7% in 2018 to $777 Million; Projected to Post 12.1% Gain in 2019; and 11.6% Increase in 2020 to $972 Million

African American Digital Ad (Pure Play) Revenues, 2016-2020 African American Digital Ad (Pure Play) Revenue Growth, 2017-2020 $1.000 $0.972

$0.871 2017 12.0% $0.777 $0.750 $0.702 $0.627 2018 10.7% %

$0.500 Growth 11.6% CAGR $ Billions 2019 12.1%

$0.250

2020 11.6%

$0.000 2016 2017 2018 2019 2020 0% 5% 10% 15% Source: PQ Media Source: PQ Media Digital Advertising (Pure Play) is specific to content sites exclusively available on digital devices, such as social media, search, mobile apps, and SMS/MMS texting. The digital brand extensions of traditional media companies, such as ads placed on ESPN.com and ESPN Mobile, are included in the traditional media platform (ex., Pay TV). See Slide 47 for the list of Digital Advertising (Pure Play) channels included in this data

204 www.pqmedia.com www.anaaimm.net African American Social Media Revenues Rose 11.6% in 2018 to $413 Million; Projected to Post 13.1% Gain in 2019; and Increase 12.6% in 2020 to $526 Million

African American Social Media Advertising Revenues & Growth, 2016-2020 $0.600 15% 13.5% 12.7% CAGR 13.1% $0.526

11.6% $0.467 12.6% $0.413

$0.400 $0.370 10% % Growth $0.326 $ Billions

$0.200 5%

$0.000 0% 2016 2017 2018 2019 2020 African American Social Media Revenues ($) African American Social Media Growth (%) Source: PQ Media

205 www.pqmedia.com www.anaaimm.net African American Other Digital Advertising Revenues Rose 9.6% in 2018 to $364 Million; Projected to Post 11% Gain in 2019; and Increase 10.4% in 2020 to $446 Million

African American Other Digital Advertising (a) Revenues & Growth, 2016-2020

$0.500 15% 10.3% CAGR $0.446 $0.404 $0.400 12% $0.364 $0.332 11.0% $0.301 10.3% 10.4% % Growth $0.300 9.6% 9% $ Billions $0.200 6%

$0.100 3%

$0.000 0% 2016 2017 2018 2019 2020 African American Other Digital Advertising Revenues ($) African American Other Digital Advertising Growth (%) Source: PQ Media a) Other Digital Advertising includes search, mobile marketing apps, SMS/MMS texting ads, and display, classified, & rich media ads purchased on cultural websites

206 www.pqmedia.com www.anaaimm.net African American Radio Advertising Rose 4.8% in 2018 to $649 Million; Projected to Post 3.2% Gain in 2019; and 5.1% Increase in 2020 to $704 Million

African American Radio Advertising Revenues, 2016-2020 African American Radio Advertising Revenue Growth, 2017-2020 $0.800

$0.704 $0.670 2017 2.0% $0.649 $0.607 $0.619 $0.600

2018 4.8%

$0.400 3.8% CAGR $ Billions % Growth%

2019 3.2%

$0.200

2020 5.1%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Radio Advertising channels included in this data

207 www.pqmedia.com www.anaaimm.net African American Print Advertising Rose 0.4% in 2018 to $505 Million; Projected to Post 1.3% Drop in 2019; and 0.8% Increase in 2020 to $502 Million

African American Print Advertising Revenues, 2016-2020 African American Print Advertising Revenue Growth, 2017-2020 $0.600

$0.511 -1.6% $0.503 $0.505 $0.499 $0.502 2017

$0.400 2018 0.4%

-0.4% CAGR $ Billions % Growth%

2019 -1.3% $0.200

2020 0.8%

$0.000 -3% -2% -1% 0% 1% 2% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Print Advertising channels included in this data

208 www.pqmedia.com www.anaaimm.net African American Newspaper Revenues Fell 1.1% in 2018 to $94 Million; Projected to Post 2.7% Drop in 2019; and Decrease 0.3% in 2020 to $91 Million

African American Newspaper Advertising Revenues & Growth, 2016-2020 $0.120 2% -1.8% CAGR

$0.098 $0.095 $0.094 $0.092 $0.091 $0.090 0%

-0.3% % Growth

-1.1% $0.060 -2% $ Billions

-2.7% -3.1% $0.030 -4%

$0.000 -6% 2016 2017 2018 2019 2020 African American Newspaper Revenues ($) African American Newspaper Growth (%) Source: PQ Media

209 www.pqmedia.com www.anaaimm.net African American Consumer Magazine Revenues Rose 0.7% in 2018 to $411 Million; Projected to Post 1% Drop in 2019; and Rise 1% in 2020 to $411 Million

African American Consumer Magazine Advertising Revenues & Growth, 2016-2020 $0.500 2% -0.1% CAGR

$0.413 $0.408 $0.411 $0.407 $0.411 $0.400 1% 1.0% 0.7% % Growth $0.300 0% $ Billions $0.200 -1% -1.0% -1.2%

$0.100 -2%

$0.000 -3% 2016 2017 2018 2019 2020 African American Consumer Magazine Revenues ($) African American Consumer Magazine Growth (%) Source: PQ Media

210 www.pqmedia.com www.anaaimm.net African American Out-of-Home Media Advertising Rose 7.7% in 2018 to $105 Million; Projected to Post 6.9% Gain in 2019; and 8% Increase in 2020 to $121 Million

African American Out-of-Home Ad Revenues, 2016-2020 African American Out-of-Home Ad Revenue Growth, 2017-2020 $0.150

2017 5.7% $0.121 $0.112 $0.105 $0.100 $0.097 $0.092 2018 7.7%

7.1% CAGR $ Billions % Growth%

2019 6.9% $0.050

2020 8.0%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Out-of-Home Advertising channels included in this data

211 www.pqmedia.com www.anaaimm.net African American Other Advertising Rose 12.5% in 2018 to $32 Million; Projected to Post 12.7% Gain in 2019; and 13.1% Increase in 2020 to $40 Million

African American Other Advertising (a) Revenues, 2016-2020 African American Other Advertising Revenue Growth, 2017-2020 $0.050

2017 12.0% $0.040 $0.040 $0.036

$0.032 2018 12.5% $0.030 $0.028 $0.025 12.6% CAGR $ Billions % Growth%

$0.020 2019 12.7%

$0.010 2020 13.1%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

212 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 African American Media Platforms: Brand Activation (Listed in Order by Size)

213 www.pqmedia.com www.anaaimm.net African American Relationship Marketing Rose 4.7% in 2018 to $1.19 Billion; Projected to Post 4.4% Gain in 2019; and 5.2% Increase in 2020 to $1.31 Billion

African American Relationship Marketing Revenues, 2016-2020 African American Relationship Marketing Rev Growth, 2017-2020 $1.5

$1.31 2.4% $1.24 2017 $1.19 $1.14 $1.11

$1.0 2018 4.7%

4.1% CAGR $ Billions % Growth%

2019 4.4% $0.5

2020 5.2%

$0.0 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Relationship Marketing channels included in this data

214 www.pqmedia.com www.anaaimm.net African American Promotional Marketing Rose 4% in 2018 to $669 Million; Projected to Post 4.3% Gain in 2019; and 4.6% Increase in 2020 to $730 Million

African American Promotional Marketing Revenues, 2016-2020 African American Promotional Marketing Revenue Growth, 2017-2020 $1.000

2017 3.9%

$0.730 $0.750 $0.698 $0.669 $0.643 $0.619 2018 4.0%

$0.500 4.2% CAGR $ Billions % Growth%

2019 4.3%

$0.250

2020 4.6%

$0.000 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 509 for the list of Promotional Marketing channels included in this data

215 www.pqmedia.com www.anaaimm.net African American Experiential Marketing Rose 11.3% in 2018 to $503 Million; Projected to Post 10.5% Gain in 2019; and 11.7% Increase in 2020 to $621 Million

African American Experiential Marketing Revenues, 2016-2020 African American Experiential Marketing Revenue Growth, 2017-2020 $0.750

9.2% $0.621 2017

$0.556

$0.503 $0.500 $0.452 2018 11.3% $0.414

10.7% CAGR $ Billions % Growth%

2019 10.5% $0.250

2020 11.7%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Experiential Marketing channels included in this data

216 www.pqmedia.com www.anaaimm.net African American Retailer Marketing Rose 6.5% in 2018 to $330 Million; Projected to Post 7% Gain in 2019; and 7.1% Increase in 2020 to $378 Million

African American Retailer Marketing Revenues, 2016-2020 African American Retailer Marketing Revenue Growth, 2017-2020 $0.500

2017 6.9%

$0.400 $0.378 $0.353 $0.330 $0.310 2018 6.5% $0.300 $0.290

6.8% CAGR $ Billions % Growth%

$0.200 2019 7.0%

$0.100 2020 7.1%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Retailer Marketing channels included in this data

217 www.pqmedia.com www.anaaimm.net African American Branded & Content Marketing Rose 12.2% in 2018 to $220 Million; Projected to Post 11.8% Gain in 2019; and 12.8% Increase in 2020 to $278 Million

African American Branded & Content Marketing Revs, 2016-2020 African American Branded & Content Marketing Rev Growth, 2017-2020 $0.300 $0.278

2017 10.7% $0.246

$0.220

$0.196 $0.200 $0.177 2018 12.2%

11.9% CAGR $ Billions % Growth%

2019 11.8% $0.100

2020 12.8%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Branded & Content Marketing channels included in this data

218 www.pqmedia.com www.anaaimm.net African American Influencer Marketing Rose 13.5% in 2018 to $210 Million; Projected to Post 12.9% Gain in 2019; and 13.9% Increase in 2020 to $270 Million

African American Influencer Marketing Revenues, 2016-2020 African American Influencer Marketing Revenue Growth, 2017-2020 $0.300 $0.270 2017 12.1% $0.237

$0.210 $0.200 $0.185 2018 13.5% $0.165

13.1% CAGR $ Billions % Growth%

2019 12.9% $0.100

2020 13.9%

$0.000 0% 4% 8% 12% 16% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Influencer Marketing channels included in this data

219 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 African American Media by Media Buying Strategies

220 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic

Non-Endemic Media Buying is more difficult to define, but should include the following parameters:

For a more detailed definition of Non-Endemic Media Buying, please see slides 333-39 in the Appendix

221 www.pqmedia.com www.anaaimm.net Endemic Media Buying Accounted for 64.3% of All African American Media Revs in 2018; Non-Endemic Is Gaining Market Share As More Black Actors Appear in Favorite Shows

Share of African American Media by Endemic & Non-Endemic Media Buying, 2016, 2018, 2020

2016 2018 2020

35.1% 35.7% 36.4%

64.9% 64.3% 63.6%

Non-Endemic Endemic Non-Endemic Endemic Non-Endemic Endemic

Source: PQ Media Source: PQ Media Source: PQ Media

222 www.pqmedia.com www.anaaimm.net African American Endemic Media Buying Rose 5.5% in 2018 to $4.63 Billion; Projected to Post 4.8% Gain in 2019; and 6.2% Increase in 2020 to $5.15 Billion

African American Endemic Media Buying Revenues, 2016-2020 African American Endemic Media Buying Revenue Growth, 2017-2020 $10

2017 2.9% $8

2018 5.5% $6 $5.15 $4.85 $4.63 4.8% CAGR $ Billions

$4.26 $4.39 Growth% $4 2019 4.8%

$2 2020 6.2%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

223 www.pqmedia.com www.anaaimm.net African American Non-Endemic Media Buying Rose 7% in 2018 to $2.57 Billion; Projected to Post 6.2% Gain in 2019; and 7.8% Increase in 2020 to $2.94 Billion

African American Non-Endemic Media Buying Revenues, 2016-2020 African American Non-Endemic Media Buying Revenue Growth, 2017-20 $10

2017 4.4% $8

2018 7.0% $6

6.3% CAGR $ Billions % Growth%

$4 2019 6.2% $2.94 $2.57 $2.73 $2.30 $2.40 $2 2020 7.8%

$0 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

224 www.pqmedia.com www.anaaimm.net National Buying Accounted for 57.5% of All African American Media Revenue in 2018; However, Local Is Gaining Market Share As Brand Activation Connects Communities

Share of African American Media by National & Local Media Buying, 2016, 2018, 2020

2016 2018 2020

41.8% 42.5% 43.1%

58.2% 57.5% 56.9%

Local National Local National Local National

Source: PQ Media Source: PQ Media Source: PQ Media

225 www.pqmedia.com www.anaaimm.net African American National Media Buying Rose 5.5% in 2018 to $4.14 Billion; Projected to Post 4.8% Gain in 2019; and 6.2% Increase in 2020 to $4.61 Billion

African American National Media Buying Revenues, 2016-2020 African American National Media Buying Revenue Growth, 2017-2020 $10

2017 2.8% $8

2018 5.5% $6

$4.61 4.8% CAGR $ Billions

$4.34 Growth% $4.14 $3.82 $3.93 $4 2019 4.8%

$2 2020 6.2%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

226 www.pqmedia.com www.anaaimm.net African American Local Media Buying Rose 6.8% in 2018 to $3.06 Billion; Projected to Post 5.9% Gain in 2019; and 7.6% Increase in 2020 to $3.49 Billion

African American Local Media Buying Revenues, 2016-2020 African American Local Media Buying Revenue Growth, 2017-2020 $10

2017 4.3% $8

2018 6.8% $6

6.1% CAGR $ Billions % Growth%

$4 $3.49 2019 5.9% $3.24 $3.06 $2.75 $2.87

$2 2020 7.6%

$0 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

227 www.pqmedia.com www.anaaimm.net English Language Media Buying Accounted for 99.9% of African American Revs in 2018; Native/Bilingual Is Very Slightly Increasing Market Share Due to Local Campaigns

Share of African American Media by English Language & Native/Bilingual Media Buying, 2016, 2018, 2020

2016 0.12% 2018 0.14% 2020 0.15%

99.88% 99.86% 99.85%

Native/Bilingual Language English Language Native/Bilingual Language English Language Native/Bilingual Language English Language

Source: PQ Media Source: PQ Media Source: PQ Media

228 www.pqmedia.com www.anaaimm.net African American English Language Rose 6% in 2018 to $7.19 Billion; Projected to Post 5.3% Gain in 2019; and 6.7% Increase in 2020 to $8.08 Billion

African American English Language Revenues, 2016-2020 African American English Language Revenue Growth, 2017-2020 $10

2017 3.4% $8.08 $8 $7.57 $7.19 $6.78 $6.56 2018 6.0% $6

5.4% CAGR $ Billions % Growth%

$4 2019 5.3%

$2 2020 6.7%

$0 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

229 www.pqmedia.com www.anaaimm.net African American Native Language Rose 11.4% in 2018 to $10 Million; Projected to Post 10.3% Gain in 2019; and 11.6% Increase in 2020 to $12 Million

African American Native/Bilingual Language Revenues, 2016-2020 African American Native/Bilingual Language Rev Growth, 2017-2020 $0.015

2017 9.4% $0.012 $0.011 $0.010 $0.010 $0.009 2018 11.4% $0.008 10.7% CAGR $ Billions % Growth%

2019 10.3% $0.005

2020 11.6%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

230 www.pqmedia.com www.anaaimm.net GOLP Insights: African American Media

Multicultural consumers have a “voice” through social media and brands are becoming afraid of not listening. . African-American Agency Executive

We’ve moved away from “Total Market” approach because we missed the conversation. Brand Executive

African Americans are very open to brands that attempt to personalize messages that incorporate the culture. Brand Executive

It’s important to use African-American “influencers of culture” because the messaging is so authentic. Brand Executive

Best opportunity to reach African Americans is to be agile, as well as comfortable with being “incompatible to the norm.” African-American Agency Executive

231 www.pqmedia.com www.anaaimm.net GOLP Insights: African American Media (cont.)

Many brands targeting African Americans are small and don’t have the budget to buy major media. Therefore, they’re using streaming services, like Hulu, that have a lower CPM rate, but which are exhibiting a rise in African-American users. African-American Agency Executive

“Old school” still works like radio, out-of-home, and direct mail, in reaching African Americans in hyper-local campaigns. African-American Agency Executive

Celebrities, particularly musicians, are becoming important as influencers, which is also driving experiential sponsored events. African-American Media Operator

There are two things about multicultural audiences that seem to resonate more than anything: food and music. If you can incorporate those two elements somewhere into an omnichannel campaign, you’re more likely to engage with people. National Trade Organization Executive

Brands are afraid of making a mistake in targeting African Americans after the Pepsi/Kendall Jenner controversy. National Trade Organization Executive

232 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Chapter 5: Asian American Media

233 www.pqmedia.com www.anaaimm.net Asian American Media: 2018 Results & 2019-20 Forecast

2018 • Total U.S. Asian American Media revenues rose 7% to $722 million, representing 0.1% of total advertising & marketing • Asian American Media is by far the smallest of the three demographic categories, but it is the fastest growing category • Asian American Media increased by $47 million in realized revenue compared with 2017 • 2018 was buoyed by advertising & marketing associated with the Winter Olympics in South Korea • Advertising rose 7.5% to $419 million; Brand Activation Marketing increased 6.3% to $303 million • Asian American advertising larger than brand activation, opposite the overall advertising & marketing ecosystem • Television was the largest media platform at $146 million, Other Advertising was the fastest growing, rising 37.5% • Endemic media buying accounted for 56.4% of revenues, but non-endemic grew faster, up 8.5% • Local media buying accounted for 54.6% of revenues, and it grew faster than national, rising 7.6% • Native language accounted for 71.8% of revenues, but English language grew faster, up 7.8% • Chinese American were the largest of six cultural breakouts at $186M, Korean American grew the fastest, rising 12.8%

2019 & 2020 • U.S. Asian American Media is pacing to rise 6.4% in 2019 to $768 million • 2019 growth will decelerate due to no international sporting events, only regional Asian sports championships • U.S. Asian American Media is projected to increase 7.5% in 2020 to $826 million • 2020 growth will be driven by the Winter Olympics in Japan and the federal elections

234 www.pqmedia.com www.anaaimm.net Top 5 Asian American Media Trends and 6 Cultural Breakouts

1. Asian American Media Struggling with an Aggregate Identify, Like Hispanic, Because of So Many Cultural Differences • There are 48 Asian nations, but this analysis did not include Middle East nations and countries bordering Europe, like Turkey • Some multicultural GOLP members do little to no business in Asian American Media due to so many cultures and languages • Marketing programs are aimed at individual ethnic groups, not Asian American as one single entity in most instances • For example, early campaigns used stereotypes of affluent and educated Asian Americans, according to GOLP members • Instead, individual cultural programs are developing marketing materials, like dozens of Chinatowns to drive tourism • For years non-endemic media not a major factor as there were very few Asian-American acting roles (other than war related) • But that is changing slowly, such as Sandra Oh cast in Grey’s Anatomy in 2005 and Fresh Off the Boat debuting in 2015 • Recent census data suggests Asian Americans are the fastest growing ethnic demo, so brands have begun to take notice

2. Endemic Media Primarily Culturally Specific, Non-Endemic Media Can Cross Cultural Boundaries • Most Asian American populations, such as Sri Lanka Americans, are very small and are not targeted by US brands • Brands target six ethnicities with over one million population in the U.S.: China, India, Philippines, Vietnam, Korea, and Japan • Endemic native language materials developed by national brands primarily for China and India as they offer the largest scale • Most endemic media locally produced, like Chinese newspapers in San Francisco and direct mail to Vietnamese in Houston • Non-endemic media is often national, such as TV ads on The Walking Dead, and the marketing of Crazy Rich Asians • Professional services often do bilingual marketing campaigns, because immigrant parents seek their children’s input

235 www.pqmedia.com www.anaaimm.net Top 5 Asian American Media Trends and 6 Cultural Breakouts (cont.)

3. Digital Media Usage by Asian Americans Surpass Other Two Demographics Due to Higher Device Penetration • Because Asian Americans skew higher economically, research shows a higher digital penetration rate in high income homes • Many digital devices manufacturers, like Sony, are in Asia, thus Asian Americans are aware of product launches • In countries with almost 100% digital penetration, relatives and friends alert Asian Americans to latest digital trends • For example, eSports took off in Asia years before the US market, thus many U.S. eSports teams have an Asian American • Furthermore, US brands have noticed these Asian American gamers and have signed them to lucrative sponsorship deals • On social media, blogs and podcasts are the best way to connect with Asian-American iGens and Millennials • Two of the more popular blog and podcast genre are related to music, like K-Pop Gossip, and cartoons, like The Anime Man

4. Primary Methods to Distribute Culturally Relevant Messaging Is Through Local, Native Language Materials • There are few Asian TV networks in the U.S., thus Asian Americans watch Pay TV cable networks from native lands • Large brands know of this phenomenon and ask their International divisions to place ads on native language networks • There are a handful of Asian-American TV and radio stations, but many are being sold and the new owners change formats • Thus, ethnic newspapers, like The Korean Times, have thrived as local businesses, like churches, are major advertisers • In cultural enclaves, community orgs, like The Mongolian Society, rely on festival events and direct mail to drive membership • Asian brands have a strong retail marketing network, with hundreds of “Asian Marts” in each large city and its suburbs • Meanwhile, large grocery chains, like Shop-Rite, are marketing their Asian products in FSIs to the diversifying populations

236 www.pqmedia.com www.anaaimm.net Top 5 Asian American Media Trends and 6 Cultural Breakouts (cont.)

5. An Issue Relevant in Local Asian American Media Is Gambling with Gains Fueled by High Engagement • GOLP members in the casino industry confirmed they actively target Asian Americans more than any other ethnicity • For example, Native-American casinos market to Asian Americans in native languages to bus service to remote locations • In states not known for Asian Americans, like Oklahoma, new casinos target cultural groups like Malaysians who live there • However, Asian American communities began to lament about adverse effects, particularly among recent immigrants • Non-profits, like the Chinese Community Problem Gambling Project, were started to develop health marketing guides • Government agencies, like the Washington Gambling Commission, also developed language-specific marketing materials • Mental health institutions published native-language brochures in DMAs with Asian American communities, like Irvine, CA

• Six Asian American Media Cultural Breakouts (in order of media revenues) • Chinese American Media* • Indian American Media • Filipino American Media • Korean American Media • Japanese American Media • Vietnamese American Media *Chinese American Media does not include Hong Kong American Media or Taiwanese American Media

237 www.pqmedia.com www.anaaimm.net Top 5 Asian American Media Trends and 6 Cultural Breakouts (cont.)

1. Chinese American Media Trends • GOLP members state that Mandarin and Cantonese are the primary native languages used in Chinese American Media • Influencer marketing is more locally-focused in Chinese American Media than overall multicultural media • Chinese brands used product placement in US movies to reach Chinese Americans in films financed by Chinese investors • However, Chinese brands now in a quandary in marketing in the US given the tense political negotiations on tariffs

2. Indian American Media Trends • As a British colony with English as an official language, native language not used as much in Indian American Media • However, marketing of India-produced movies is big business in the US as there are 13 language-based Indian studios • Brand activation is fueled by affluent Indian-American organizations, like the Indian Medical Association of New England • GOLP members report mobile apps are popular with Indian Americans that allow them to access products made in India

3. Filipino American Media Trends • There are a handful of national traditional Filipino American Media, like the Filipino Reporter and The Filipino Channel • However, local media is the major method to reach Filipinos in diverse locations like Alaska, Arkansas and Brooklyn • Marketing health care has become important, like the Filipino American Community Health Initiative of Chicago, • Many Filipino Americans become aware of brands via blogs originating in the Philippines, like Mommy Bloggers Philippines

238 www.pqmedia.com www.anaaimm.net Top 5 Asian American Media Trends and 6 Cultural Breakouts (cont.)

4. Korean American Media Trends • Korean American Media jumped in 2018 during the Winter Olympics in South Korea, as its team exceeded expectations • Numerous Korean brands had sponsorship agreements with teams & athletes on products purchased here • Traditional media outlets like Korean-American TV, newspapers and magazines increased ad dollars covering the games • During the rest of the year, GOLP members stated that social media and influencer marketing are gaining traction

5. Japanese American Media Trends • Japanese American Media will register a significant increase in revenues in 2020 when Japan hosts the Summer Olympics • International brands with a U.S. division are coveting “official” sponsorships, which will be marketed heavily in the U.S. • There are more Vietnamese Americans in U.S. than Japanese Americans, but brands seek the latter who are more affluent • But the outreach is small compared with Chinese Americans who provide better scale, according to GOLP members

6. Vietnamese American Media Trends • Vietnamese Americans under-index other Asian ethnicities because population more likely to be in low-income communities • Brand activation used more than advertising as there are very few Vietnamese TV and print outlets in the U.S. • Organizations, like the Richmond Vietnamese Association, are primarily brands that use events to drive member engagement • Social media is gaining in popularity, particularly food blogs like Catherine’s Viet Food Cooking and The Viet Vegan

239 www.pqmedia.com www.anaaimm.net Asian American Media Revenues Rose 7% in 2018 to $722 Million; Projected to Post 6.4% Gain in 2019; and 7.5% Increase in 2020 to $826 Million

Asian American Media Revenues, 2016-2020 Asian American Media Revenue Growth, 2017-2020 $1.000

2017 5.0% $0.826 $0.800 $0.768 $0.722 $0.675 $0.643 2018 7.0% $0.600

6.5% CAGR $ Billions % Growth%

$0.400 2019 6.4%

$0.200 2020 7.5%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media CAGR – Compound Annual Growth Rate (4-Year Average)

240 www.pqmedia.com www.anaaimm.net Asian American Media Revenue Share Significantly Under-Indexes the General Population; Asian Americans Are 5.8% of Total Population, But Only 0.1% of Total Media

U.S. Population Share by Ethnicity in 2018 U.S. Advertising & Marketing Revenue Share by Ethnicity in 2018

5.8% 3.6%

13.4% 1.4% 0.1%

18.1% 62.7%

94.8%

Asian American African American Hispanic American All Others Asian American African American Hispanic American All Others

Source: U.S. Census Bureau Source: PQ Media

241 www.pqmedia.com www.anaaimm.net Asian American Media the Smallest of the Three Demographic Categories in 2018; Asian American Media Posted the Fastest Growth Rate, But Only $47M in Realized Rev

Multicultural Media Rev/Share by Demographics in 2018 ($B) Multicultural Media Growth by Demographics in 2018 Realized Revenues $M) (2018 vs. 2017) $0.77

Hispanic American 5.3% $975

$7.58

African American 6.1% $411

$17.94

Asian American 7.0% $47

Asian American African American Hispanic American

0% 2% 4% 6% 8%

Source: PQ Media Source: PQ Media

242 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Asian American Media Sectors & Platforms

243 www.pqmedia.com www.anaaimm.net Digital Media – Traditional Brand Extensions vs. Pure Play

244 www.pqmedia.com www.anaaimm.net Asian American Advertising Revenues Rose 7.5% in 2018 to $419 Million; Projected to Post 6.6% Gain in 2019; and 7.9% Increase in 2020 to $481 Million

Asian American Advertising Revenues, 2016-2020 Asian American Advertising Revenue Growth, 2017-2020 $0.500 $0.481 $0.446 $0.419 2017 5.1% $0.400 $0.389 $0.371

2018 7.5% $0.300

6.8% CAGR $ Billions % Growth%

$0.200 2019 6.6%

$0.100 2020 7.9%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

245 www.pqmedia.com www.anaaimm.net Asian American Brand Activation Revenues Rose 6.3% in 2018 to $303 Million; Projected to Post 6.2% Gain in 2019; and 7.1% Increase in 2020 to $345 Million

Asian American Brand Activation Revenues, 2016-2020 Asian American Brand Activation Revenue Growth, 2017-2020 $0.500

2017 4.9% $0.400

$0.345 $0.322 $0.303 2018 6.3% $0.285 $0.300 $0.272

6.1% CAGR $ Billions % Growth%

$0.200 2019 6.2%

$0.100 2020 7.1%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

246 www.pqmedia.com www.anaaimm.net Asian American Media Relies More on Advertising than Brand Activation; Advertising 58% of Asian American Media Compared with only 35.8% in Overall Media

Share of Overall Media by Sector in 2018 Share of Asian American Media by Sector in 2018

35.8% 42.0%

58.0% 64.2%

Advertising Brand Activation Advertising Brand Activation

Source: PQ Media Brand Activation Marketing Forecast 2017 Source: PQ Media

247 www.pqmedia.com www.anaaimm.net Asian American Media Is Outpacing Overall Media Growth Asian American Ad Outpacing Overall Ad, Brand Activation Posting Similar Growth

Overall Media vs. Asian American Media Overall Advertising vs. Asian Amer. Advertising Overall Brand Act. vs. Asian Amer. Brand Act. 10% 10% 10% Overall Media Overall Advertising Overall Brand Activation Asian American Media Asian American Advertising Asian American Brand Activation 8% 8% 8%

6% 6% 6%

4% 4% 4%

2% 2% 2%

0% 0% 0% 2017 2018 2019 2020 2017 2018 2019 2020 2017 2018 2019 2020

Source: PQ Media Source: PQ Media Source: PQ Media

248 www.pqmedia.com www.anaaimm.net Television Largest of the 12 Asian American Media Platforms, Over 30% of Revenues; Other Advertising Fastest Growing, Up 37.5% in 2018, Driven by eSports Sponsorships

Asian American Media Revenues by Media Platforms in 2018 Growth of Asian American Media by Media Platforms in 2018

Television Advertising $0.220 Television Advertising 6.7%

Digital Advertising (Pure Play) $0.118 Digital Ad (Pure Play) 11.8%

Relationship Marketing $0.086 Relationship Marketing 4.0%

Promotional Marketing $0.076 Promotional Marketing 4.6%

Print Advertising $0.053 Print Advertising 2.4%

Experiential Marketing $0.049 Experiential Marketing 10.2%

Retailer Marketing $0.035 Retailer Marketing 4.2%

Branded & Content Marketing $0.030 Branded/Content Marketing 9.8%

Influencer Marketing $0.029 Influencer Marketing 10.7%

Radio Advertising $0.019 Radio Advertising 4.1%

Out-of-Home Advertising $0.006 Out-of-Home Advertising 5.8% $ Billions Other Advertising (a) $0.003 Other Advertising (a) 37.5%

$0.000 $0.050 $0.100 $0.150 $0.200 $0.250 0% 10% 20% 30% 40%

249 www.pqmedia.com www.anaaimm.net Asian American TV, Promotions, Print, & Retailer Over-Index Overall Media; Relation, Experiential, Digital, Radio, Brand/Cont, Influence, OOH & Other Under-Index

Comparison of Share of Asian American Media vs. Overall Media by Media Platforms in 2018

30.5% Television Advertising 16.7% 11.9% Relationship Marketing 19.3% 10.5% Promotional Marketing 9.3% 6.8% Experiential Marketing 9.5% 16.3% Digital Advertising (Pure Play) 18.0% Asian American Media 7.3% Print Advertising 3.7% Overall Media 2.7% Radio Advertising 2.7% 4.1% Branded & Content Marketing 5.9% 4.0% Influencer Marketing 7.2% 4.8% Retailer Marketing 2.7% 0.8% Out-of-Home (OOH) Media 1.7% 0.4% Other Advertising 3.2% 0% 5% 10% 15% 20% 25% 30% 35% Sources: PQ Media, PQ Media Global Advertising & Marketing Forecast 2018-22, PQ Media Brand Activation Marketing Forecast 2017

250 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Asian American Media Platforms & Channels: Advertising (Listed in Order by Size)

251 www.pqmedia.com www.anaaimm.net Asian American Television Advertising Rose 6.7% in 2018 to $220 Million; Projected to Post 5.2% Gain in 2019; and 7.1% Increase in 2020 to $248 Million

Asian American Television Advertising Revenues, 2016-2020 Asian American Television Advertising Revenue Growth, 2017-2020 $0.300

2017 3.3% $0.248 $0.232 $0.220 $0.207 $0.200 $0.200 2018 6.7%

5.5% CAGR $ Billions % Growth%

2019 5.2% $0.100

2020 7.1%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Television Advertising channels included in this data

252 www.pqmedia.com www.anaaimm.net Asian American Broadcast Television Revenues Rose 7% in 2018 to $146 Million; Projected to Post 5.2% Gain in 2019; and Increase 7.5% in 2020 to $165 Million

Asian American Broadcast Television Advertising Revenues & Growth, 2016-2020 $0.200 8% 5.7% CAGR 7.5% 7.0% $0.165 $0.153 $0.150 $0.146 6% $0.132 $0.136 5.2% % Growth

$0.100 4% $ Billions 3.0%

$0.050 2%

$0.000 0% 2016 2017 2018 2019 2020 Asian American Broadcast TV Revenues ($) Asian American Broadcast TV Growth (%) Source: PQ Media

253 www.pqmedia.com www.anaaimm.net Asian American Pay Television Revenues Rose 6% in 2018 to $75 Million; Projected to Post 5.2% Gain in 2019; and Increase 6.2% in 2020 to $84 Million

Asian American Pay Television Advertising Revenues & Growth, 2016-2020 $0.100 8% 5.3% CAGR $0.084 $0.079 $0.075 $0.075 $0.071 6% 6.2% $0.068 6.0% % Growth 5.2%

$0.050 4% $ Billions 3.7%

$0.025 2%

$0.000 0% 2016 2017 2018 2019 2020 Asian American Pay TV Revenues ($) Asian American Pay TV Growth (%) Source: PQ Media

254 www.pqmedia.com www.anaaimm.net Asian American Digital Advertising (Pure Play) Rose 11.8% in 2018 to $118 Million; Projected to Post 11.3% Gain in 2019; and 11.5% Increase in 2020 to $147 Million

Asian American Digital Advertising (Pure Play) Revs, 2016-2020 Asian American Digital Advertising (Pure Play) Rev Growth, 2017-2020 $0.200

2017 11.1%

$0.147 $0.150 $0.131 $0.118 2018 11.8%

$0.106 % $0.095 $0.100 Growth 11.4% CAGR $ Billions 2019 11.3%

$0.050

2020 11.5%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020 Source: PQ Media Source: PQ Media Digital Advertising (Pure Play) is specific to content sites exclusively available on digital devices, such as social media, search, mobile apps, and SMS/MMS texting. The digital brand extensions of traditional media companies, such as ads placed on ESPN.com and ESPN Mobile, are included in the traditional media platform (ex., Pay TV). See Slide 47 for the list of Digital Advertising (Pure Play) channels included in this data

255 www.pqmedia.com www.anaaimm.net Asian American Social Media Revenues Rose 12.5% in 2018 to $88 Million; Projected to Post 11.9% Gain in 2019; and Increase 12.2% in 2020 to $111 Million

Asian American Social Media Advertising Revenues & Growth, 2016-2020 $0.150 15% 12.6% CAGR

12.5% 12.2% 11.8% 11.9% $0.111 $0.099

$0.100 10% % Growth $0.088 $0.078 $0.070 $ Billions

$0.050 5%

$0.000 0% 2016 2017 2018 2019 2020 Asian American Social Media Revenues ($) Asian American Social Media Growth (%) Source: PQ Media

256 www.pqmedia.com www.anaaimm.net Asian American Other Digital Advertising Revenues Rose 10.1% in 2018 to $30 Million; Projected to Post 9.5% Gain in 2019; and Increase 9.6% in 2020 to $36 Million

Asian American Other Digital Advertising (a) Revenues & Growth, 2016-2020 $0.040 12% 9.5% CAGR $0.036 10.1% $0.033 9.6% 9.0% $0.030 $0.030 9.5% 9% $0.027

$0.025 % Growth

$0.020 6% $ Billions

$0.010 3%

$0.000 0% 2016 2017 2018 2019 2020 Asian American Other Digital Advertising Revenues ($) Asian American Other Digital Advertising Growth (%) Source: PQ Media a) Other Digital Advertising includes search, mobile marketing apps, SMS/MMS texting ads, and display, classified, & rich media ads purchased on cultural websites

257 www.pqmedia.com www.anaaimm.net Asian American Print Advertising Rose 2.4% in 2018 to $53 Million; Projected to Post 1.5% Gain in 2019; and 2.1% Increase in 2020 to $55 Million

Asian American Print Advertising Revenues, 2016-2020 Asian American Print Advertising Revenue Growth, 2017-2020 $0.060 $0.054 $0.055 $0.052 $0.053 $0.051 2017 1.2%

$0.040 2018 2.4%

1.8% CAGR $ Billions % Growth%

2019 1.5% $0.020

2020 2.1%

$0.000 0% 1% 2% 3% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Print Advertising channels included in this data

258 www.pqmedia.com www.anaaimm.net Asian American Newspaper Revenues Rose 2.5% in 2018 to $41 Million; Projected to Post 1.6% Gain in 2019; and Increase 2.1% in 2020 to $42 Million

Asian American Newspaper Advertising Revenues & Growth, 2016-2020 $0.050 5% 1.9% CAGR

$0.041 $0.042 $0.040 $0.041 $0.040 $0.039 4% % Growth $0.030 3%

$ Billions 2.5% $0.020 2% 2.1%

1.6% $0.010 1.3% 1%

$0.000 0% 2016 2017 2018 2019 2020 Asian American Newspaper Revenues ($) Asian American Newspaper Growth (%) Source: PQ Media

259 www.pqmedia.com www.anaaimm.net Asian American Consumer Magazine Revenues Rose 2.1% in 2018 to $12 Million; Projected to Post 1.2% Gain in 2019; and Increase of 2% in 2020 to $13 Million

Asian American Consumer Magazine Advertising Revenues & Growth, 2016-2020 $0.020 4% 1.5% CAGR

$0.015 3% $0.013 $0.013 % Growth $0.012 $0.012 $0.012

2.1% 2.0% $0.010 2% $ Billions

$0.005 1.2% 1%

0.8%

$0.000 0% 2016 2017 2018 2019 2020 Asian American Consumer Magazine Revenues ($) Asian American Consumer Magazine Growth (%) Source: PQ Media

260 www.pqmedia.com www.anaaimm.net Asian American Radio Advertising Rose 4.1% in 2018 to $19 Million; Projected to Post 3.9% Gain in 2019; and 4.3% Increase in 2020 to $21 Million

Asian American Radio Advertising Revenues, 2016-2020 Asian American Radio Advertising Revenue Growth, 2017-2020 $0.025

$0.021 2017 2.8% $0.020 $0.020 $0.019 $0.019 $0.018

2018 4.1% $0.015

3.7% CAGR $ Billions % Growth%

$0.010 2019 3.9%

$0.005 2020 4.3%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 48 for the list of Radio Advertising channels included in this data

261 www.pqmedia.com www.anaaimm.net Asian American Out-of-Home Media Advertising Rose 5.8% in 2018 to $5.5 Million; Projected to Post 5.5% Gain in 2019; and 6% Increase in 2020 to $6.2 Million

Asian American Out-of-Home Advertising Revenues, 2016-2020 Asian American Out-of-Home Advertising Revenue Growth, 2017-2020 $0.008

2017 4.0%

$0.0062 $0.006 $0.0058 $0.0055 $0.0052 $0.0050 2018 5.8%

$0.004 5.3% CAGR $ Billions % Growth%

2019 5.5%

$0.002

2020 6.0%

$0.000 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 47 for the list of Out-of-Home Advertising channels included in this data

262 www.pqmedia.com www.anaaimm.net Asian American Other Advertising Rose 37.5% in 2018 to $3 Million; Projected to Post 36.4% Gain in 2019; and 33.3% Increase in 2020 to $5 Million

Asian American Other Advertising (a) Revenues, 2016-2020 Asian American Other Advertising Revenue Growth, 2017-2020 $0.006

$0.005 2017 33.3%

$0.004 $0.004 2018 37.5%

$0.003 35.1% CAGR $ Billions % Growth%

2019 36.4% $0.002 $0.002 $0.002

2020 33.3%

$0.000 0% 10% 20% 30% 40% 50% 2016 2017 2018 2019 2020

263 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Asian American Media Platforms: Brand Activation (Listed in Order by Size)

264 www.pqmedia.com www.anaaimm.net Asian American Relationship Marketing Rose 4% in 2018 to $86 Million; Projected to Post 4% Gain in 2019; and 5.2% Increase in 2020 to $94 Million

Asian American Relationship Marketing Revenues, 2016-2020 Asian American Relationship Marketing Revenue Growth, 2017-2020 $0.100 $0.094 $0.089 $0.086 2017 3.0% $0.082 $0.080

$0.075

2018 4.0%

$0.050 4.0% CAGR $ Billions % Growth%

2019 4.0%

$0.025

2020 5.2%

$0.000 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Relationship Marketing channels included in this data

265 www.pqmedia.com www.anaaimm.net Asian American Promotional Marketing Rose 4.6% in 2018 to $76 Million; Projected to Post 4.4% Gain in 2019; and 4.9% Increase in 2020 to $83 Million

Asian American Promotional Marketing Revenues, 2016-2020 Asian American Promotional Marketing Revenue Growth, 2017-2020 $0.100

3.1% $0.083 2017 $0.079 $0.076 $0.072 $0.075 $0.070

2018 4.6%

$0.050 4..3 CAGR $ Billions % Growth%

2019 4.4%

$0.025

2020 4.9%

$0.000 0% 2% 4% 6% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Promotional Marketing channels included in this data

266 www.pqmedia.com www.anaaimm.net Asian American Experiential Marketing Rose 10.2% in 2018 to $49 Million; Projected to Post 9.8% Gain in 2019; and 11% Increase in 2020 to $60 Million

Asian American Experiential Marketing Revenues, 2016-2020 Asian American Experiential Marketing Revenue Growth, 2017-2020 $0.075

2017 8.0% $0.06

$0.05 $0.05 $0.050 $0.04 2018 10.2% $0.04

9.8% CAGR $ Billions % Growth%

2019 9.8% $0.025

2020 11.0%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Experiential Marketing channels included in this data

267 www.pqmedia.com www.anaaimm.net Asian American Retailer Marketing Rose 4.2% in 2018 to $35 Million; Projected to Post 4.1% Gain in 2019; and 4.5% Increase in 2020 to $38 Million

Asian American Retailer Marketing Revenues, 2016-2020 Asian American Retailer Marketing Revenue Growth, 2017-2020 $0.050

2017 3.4%

$0.040 $0.038 $0.036 $0.035 $0.033 $0.032 2018 4.2% $0.030

4.0% CAGR $ Billions % Growth%

$0.020 2019 4.1%

$0.010 2020 4.5%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Retailer Marketing channels included in this data

268 www.pqmedia.com www.anaaimm.net Asian American Branded & Content Marketing Rose 9.8% in 2018 to $30 Million; Projected to Post 9.2% Gain in 2019; and 10.5% Increase in 2020 to $36 Million

Asian American Branded & Content Marketing Revenues, 2016-2020 Asian American Branded & Content Marketing Rev Growth, 2017-2020 $0.050

2017 8.4% $0.040 $0.036 $0.033 $0.030 2018 9.8% $0.030 $0.027 $0.025 9.5% CAGR $ Billions % Growth%

$0.020 2019 9.2%

$0.010 2020 10.5%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Branded & Content Marketing channels included in this data

269 www.pqmedia.com www.anaaimm.net Asian American Influencer Marketing Rose 10.7% in 2018 to $29 Million; Projected to Post 10.3% Gain in 2019; and 10.9% Increase in 2020 to $36 Million

Asian American Influencer Marketing Revenues, 2016-2020 Asian American Influencer Marketing Revenue Growth, 2017-2020 $0.050

2017 9.2% $0.040 $0.036

$0.032 2018 10.7% $0.030 $0.029 $0.026 $0.024 10.3% CAGR $ Billions % Growth%

$0.020 2019 10.3%

$0.010 2020 10.9%

$0.000 0% 5% 10% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media See Slide 50 for the list of Influencer Marketing channels included in this data

270 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Asian American Media by Media Buying Strategies

271 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic

Non-Endemic Media Buying is more difficult to define, but should include the following parameters:

For a more detailed definition of Non-Endemic Media Buying, please see slides 333-39 in the Appendix

272 www.pqmedia.com www.anaaimm.net Endemic Media Buying Accounted for 56.4% of All Asian American Media Revs in 2018; Non-Endemic Is Gaining Market Share As Brands Seek to Engage with Younger Demos

Share of Asian American Media by Endemic & Non-Endemic Media Buying, 2016, 2018, 2020

2016 2018 2020

42.4% 43.6% 44.9%

55.1% 57.6% 56.4%

Non-Endemic Endemic Non-Endemic Endemic Non-Endemic Endemic

Source: PQ Media Source: PQ Media Source: PQ Media

273 www.pqmedia.com www.anaaimm.net Asian American Endemic Media Buying Rose 5.9% in 2018 to $407 Million; Projected to Post 5.3% Gain in 2019; and 6.2% Increase in 2020 to $455 Million

Asian American Endemic Media Buying Revenues, 2016-2020 Asian American Endemic Media Buying Revenue Growth, 2017-2020 $0.600

2017 3.9%

$0.455 $0.429 $0.407 $0.400 $0.385 $0.370 2018 5.9%

5.3% CAGR $ Billions % Growth%

2019 5.3% $0.200

2020 6.2%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

274 www.pqmedia.com www.anaaimm.net Asian American Non-Endemic Media Buying Rose 8.5% in 2018 to $315 Million; Projected to Post 7.9% Gain in 2019; and 9.3% Increase in 2020 to $371 Million

Asian American Non-Endemic Media Buying Revs, 2016-2020 Asian American Non-Endemic Media Buying Rev Growth, 2017-2020 $0.500

2017 6.5% $0.400 $0.371 $0.340 $0.315 2018 8.5% $0.290 $0.300 $0.273

8.0% CAGR $ Billions % Growth%

$0.200 2019 7.9%

$0.100 2020 9.3%

$0.000 0% 4% 8% 12% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

275 www.pqmedia.com www.anaaimm.net Local Media Buying Accounted for 54.6% of All Asian American Media Revenue in 2018; Local Is Also Gaining Market Share Due Targeting Unique Ethnic Groups in Specific DMAs

Share of Asian American Media by National & Local Media Buying, 2016, 2018, 2020

2016 2018 2020

45.9% 45.4% 44.6%

54.1% 54.6% 55.4%

Local National Local National Local National

Source: PQ Media Source: PQ Media Source: PQ Media

276 www.pqmedia.com www.anaaimm.net Asian American National Media Buying Rose 6.3% in 2018 to $328 Million; Projected to Post 5.8% Gain in 2019; and 6.3% Increase in 2020 to $369 Million

Asian American National Media Buying Revenues, 2016-2020 Asian American National Media Buying Revenue Growth, 2017-2020 $0.500

2017 4.5% $0.400 $0.369 $0.347 $0.328 $0.308 $0.295 2018 6.3% $0.300

5.7% CAGR $ Billions % Growth%

$0.200 2019 5.8%

$0.100 2020 6.3%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

277 www.pqmedia.com www.anaaimm.net Asian American Local Media Buying Rose 7.6% in 2018 to $394 Million; Projected to Post 6.9% Gain in 2019; and 8.5% Increase in 2020 to $458 Million

Asian American Local Media Buying Revenues, 2016-2020 Asian American Local Media Buying Revenue Growth, 2017-2020 $0.500 $0.458

$0.422 2017 5.4% $0.394 $0.400 $0.366 $0.348

2018 7.6% $0.300

7.1% CAGR $ Billions % Growth%

$0.200 2019 6.9%

$0.100 2020 8.5%

$0.000 0% 3% 6% 9% 12% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

278 www.pqmedia.com www.anaaimm.net Native Language Media Buying Accounted for 71.8% of Asian American Revenue in 2018; English Language Gaining Market Share Because Younger Demos Prefer English Content

Share of Asian American Media by English Language & Native/Bilingual Media Buying, 2016, 2018, 2020

2016 2018 2020

27.6% 28.2% 28.7%

72.4% 71.8% 71.3%

Native/Bilingual Language English Language Native/Bilingual Language English Language Native/Bilingual Language English Language

Source: PQ Media Source: PQ Media Source: PQ Media

279 www.pqmedia.com www.anaaimm.net Asian American English Language Rose 7.8% in 2018 to $204 Million; Projected to Post 7.6% Gain in 2019; and an 8.2% Increase in 2020 to $237 Million

Asian American English Language Revenues, 2016-2020 Asian American English Language Revenue Growth, 2017-2020 $0.500

2017 6.4% $0.400

2018 7.8% $0.300

$0.237 7.5% CAGR $ Billions

$0.219 Growth% $0.204 $0.189 $0.200 $0.177 2019 7.6%

$0.100 2020 8.2%

$0.000 0% 4% 8% 12% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

280 www.pqmedia.com www.anaaimm.net Asian American Native Language Rose 6.7% in 2018 to $518 Million; Projected to Post 5.9% Gain in 2019; and 7.3% Increase in 2020 to $589 Million

Asian American Native/Bilingual Language Revenues, 2016-2020 Asian American Native/Bilingual Language Rev Growth, 2017-2020 $0.600 $0.589 $0.549 $0.518 2017 4.5% $0.486 $0.465

$0.400 2018 6.7%

6.1% CAGR $ Billions % Growth%

2019 5.9% $0.200

2020 7.3%

$0.000 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

281 www.pqmedia.com www.anaaimm.net Chinese American is the Largest Asian-American Ethnic Group, Reaching $186M; Korean American Fastest Growing in 2018, Up 12.8% Due to Winter Olympics Held There

Asian American Media Revenues by Ethnic Groups in 2018 Growth of Asian American Media by Ethnic Groups in 2018

Chinese American $0.186 Chinese American 7.1%

Indian American $0.157 Indian American 5.9%

6.8% Filipino American $0.079 Filipino American

Korean American 12.8% Korean American $0.051

Japanese American 5.6% Japanese American $0.037

Vietnamese American 6.4% Vietnamese American $0.037 $ Billions 0% 5% 10% 15% $0.000 $0.050 $0.100 $0.150 $0.200 $0.250

Source: PQ Media Source: PQ Media % Growth

282 www.pqmedia.com www.anaaimm.net In 2018, Chinese Americans Used Most Native Langue Media (83.8%); Indian American Highest in English Language Usage (33.0%)

Share of Media by English Language & Native/Bilingual Media Buying in 2018

Chinese Indian Filipino American 16.2% American American 33.0% 30.6%

67.0% 69.4% 83.8%

Chinese Language English Language Indian Language English Language Filipino Language English Language Source: PQ Media Source: PQ Media Source: PQ Media

Korean Japanese Vietnamese American 21.5% American 21.1% American 25.3%

78.5% 78.9% 74.7%

Korean Language English Language Japanese Language English Language Vietnamese Language English Language Source: PQ Media Source: PQ Media Source: PQ Media

283 www.pqmedia.com www.anaaimm.net Chinese American Media Rose 7.1% in 2018 to $186 Million; Projected to Post 7.3% Gain in 2019; and 8% Increase in 2020 to $216 Million

Chinese American Media Revenues, 2016-2020 Chinese American Media Revenue Growth, 2017-2020 $0.3

2017 4.9%

$0.216 $0.200 $0.2 $0.186 2018 7.1% $0.174 $0.166

6.8% CAGR $ Billions % Growth%

2019 7.3% $0.1

2020 8.0%

$0.0 0% 3% 6% 9% 12% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

284 www.pqmedia.com www.anaaimm.net Chinese American English Language Revenues Rose 8.6% in 2018 to $30 Million; Projected to Post 8.9% Gain in 2019; and Increase 9.4% in 2020 to $36 Million

Chinese American English Language Revenues & Growth, 2016-2020 $0.200 12% 8.5% CAGR

$0.150 9.4% 9% 8.9%

8.6% % Growth

6.9% $0.100 6% $ Billions

$0.050 3% $0.033 $0.036 $0.026 $0.028 $0.030

$0.000 0% 2016 2017 2018 2019 2020 Chinese American English Language Revenues Chinese American English Language Growth Source: PQ Media

285 www.pqmedia.com www.anaaimm.net Chinese American Native Language Revenues Rose 6.8% in 2018 to $156 Million; Projected to Post 7% Gain in 2019; and Increase 7.7% in 2020 to $180 Million

Chinese American Native Language Revenues & Growth, 2016-2020 $0.200 7.7% 8% 6.3% CAGR 7.0% $0.180 6.8% $0.167 $0.156 $0.146 $0.150 $0.140 6% % Growth 4.5%

$0.100 4% $ Billions

$0.050 2%

$0.000 0% 2016 2017 2018 2019 2020 Chinese American Native Language Revenues Chinese American Native Language Growth Source: PQ Media

286 www.pqmedia.com www.anaaimm.net Indian American Media Rose 5.9% in 2018 to $157 Million; Projected to Post 5.1% Gain in 2019; and 6.2% Increase in 2020 to $175 Million

Indian American Media Revenues, 2016-2020 Indian American Media Revenue Growth, 2017-2020 $0.3

2017 4.2%

$0.2 5.9% $0.175 2018 $0.165 $0.157 $0.148 $0.142 5.3% CAGR $ Billions % Growth%

2019 5.1% $0.1

2020 6.2%

$0.0 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

287 www.pqmedia.com www.anaaimm.net Indian American English Language Revenues Rose 6.6% in 2018 to $52 Million; Projected to Post 6.4% Gain in 2019; and Increase 6.7% in 2020 to $59 Million

Indian American English Language Revenues & Growth, 2016-2020 $0.200 8% 6.3% CAGR

6.6% 6.7% $0.150 6.4% 6% % Growth 5.4%

$0.100 4% $ Billions

$0.055 $0.059 $0.049 $0.052 $0.050 $0.046 2%

$0.000 0% 2016 2017 2018 2019 2020 Indian American English Language Revenues Indian American English Language Growth Source: PQ Media

288 www.pqmedia.com www.anaaimm.net Indian American Native Language Revenues Rose 5.5% in 2018 to $105 Million; Projected to Post 4.5% Gain in 2019; and Increase 5.9% in 2020 to $116 Million

Indian American Native Language Revenues & Growth, 2016-2020 $0.200 8% 4.9% CAGR

5.9% $0.150 5.5% 6% % Growth $0.116 $0.110 $0.105 $0.099 $0.100 $0.096 4.5% 4%

$ Billions 3.5%

$0.050 2%

$0.000 0% 2016 2017 2018 2019 2020 Indian American Native Lanaguge Revenues Indian American Native Language Growth Source: PQ Media

289 www.pqmedia.com www.anaaimm.net Filipino American Media Rose 6.8% in 2018 to $79 Million; Projected to Post 5.7% Gain in 2019; and 7% Increase in 2020 to $89 Million

Filipino American Media Revenues, 2016-2020 Filipino American Media Revenue Growth, 2017-2020 $0.3

2017 4.5%

$0.2 2018 6.8%

6.0% CAGR $ Billions % Growth%

2019 5.7% $0.1 $0.089 $0.079 $0.083 $0.071 $0.074

2020 7.0%

$0.0 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

290 www.pqmedia.com www.anaaimm.net Filipino American English Language Revenues Rose 7.6% in 2018 to $24 Million; Projected to Post 6.6% Gain in 2019; and Increase 7.8% in 2020 to $28 Million

Filipino American English Language Revenues & Growth, 2016-2020 $0.200 8% 6.9% CAGR 7.8% 7.6%

6.6% $0.150 6%

5.7% % Growth

$0.100 4% $ Billions

$0.050 2% $0.026 $0.028 $0.021 $0.022 $0.024

$0.000 0% 2016 2017 2018 2019 2020 Filipino American English Language Revenues Filipino American English Language Growth Source: PQ Media

291 www.pqmedia.com www.anaaimm.net Filipino American Native Language Revenues Rose 6.4% in 2018 to $55 Million; Projected to Post 5.3% Gain in 2019; and Increase 6.6% in 2020 to $61 Million

Filipino American Native Language Revenues & Growth, 2016-2020 $0.100 8% 5.6% CAGR

6.4% 6.5%

$0.075 6% 5.3%

$0.061 % Growth $0.058 $0.055 $0.049 $0.051 $0.050 4% $ Billions 4.0%

$0.025 2%

$0.000 0% 2016 2017 2018 2019 2020 Filipino American Native Language Revenues Filipino American Native Language Growth Source: PQ Media

292 www.pqmedia.com www.anaaimm.net Korean American Media Rose 12.8% in 2018 to $51 Million; Projected to Post 4.8% Gain in 2019; and 8.9% Increase in 2020 to $58 Million

Korean American Media Revenues, 2016-2020 Korean American Media Revenue Growth, 2017-2020 $0.3

2017 4.4%

$0.2 2018 12.8%

7.6% CAGR $ Billions % Growth%

2019 4.8% $0.1

$0.058 $0.051 $0.054 $0.044 $0.045 2020 8.9%

$0.0 0% 3% 6% 9% 12% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

293 www.pqmedia.com www.anaaimm.net Korean American English Language Revenues Rose 14.6% in 2018 to $11 Million; Projected to Post 6.8% Gain in 2019; and Increase 10.6% in 2020 to $13 Million

Korean American English Language Revenues & Growth, 2016-2020 $0.200 16% 9.6% CAGR

14.6%

$0.150 12% % Growth 10.6%

$0.100 8% $ Billions

6.7% 6.8%

$0.050 4%

$0.009 $0.010 $0.011 $0.012 $0.013 $0.000 0% 2016 2017 2018 2019 2020 Korean American English Language Revenues Korean American English Language Growth Source: PQ Media

294 www.pqmedia.com www.anaaimm.net Korean American Native Language Revenues Rose 12.3% in 2018 to $40 Million; Projected to Post 4.2% Gain in 2019; and Increase 8.4% in 2020 to $45 Million

Korean American Native Language Revenues & Growth, 2016-2020 $0.200 16% 7.1% CAGR

12.3% $0.150 12% % Growth

8.4% $0.100 8% $ Billions

3.8% 4.2% $0.045 $0.050 $0.040 $0.042 4% $0.035 $0.036

$0.000 0% 2016 2017 2018 2019 2020 Korean American Native Language Revenues Korean American Native Language Growth Source: PQ Media

295 www.pqmedia.com www.anaaimm.net Japanese American Media Rose 5.6% in 2018 to $37 Million; Projected to Post 5.2% Gain in 2019; and 13.2% Increase in 2020 to $43 Million

Japanese American Media Revenues, 2016-2020 Japanese American Media Revenue Growth, 2017-2020 $0.3

2017 3.6%

$0.2 2018 5.6%

6.6% CAGR $ Billions % Growth%

2019 4.4% $0.1

$0.043 $0.034 $0.035 $0.037 $0.038 2020 13.2%

$0.0 0% 3% 6% 9% 12% 15% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

296 www.pqmedia.com www.anaaimm.net Japanese American English Language Revenues Rose 6.2% in 2018 to $8 Million; Projected to Post 5.2% Gain in 2019; and Increase 14.1% in 2020 to $9 Million

Japanese American English Language Revenues & Growth, 2016-2020 $0.200 16% 7.4% CAGR

14.1% $0.150 12% % Growth

$0.100 8% $ Billions

6.2% 5.2% $0.050 4% 4.3%

$0.007 $0.007 $0.008 $0.008 $0.009 $0.000 0% 2016 2017 2018 2019 2020 Japanese American English Language Revenues Japanese American English Language Growth Source: PQ Media

297 www.pqmedia.com www.anaaimm.net Japanese American Native Language Revenues Rose 5.5% in 2018 to $29 Million; Projected to Post 4.2% Gain in 2019; and Increase 13% in 2020 to $34 Million

Japanese American Native Language Revenues & Growth, 2016-2020 $0.200 16% 6.4% CAGR

13.0%

$0.150 12% % Growth

$0.100 8% $ Billions

5.5%

4.1% $0.050 3.4% 4% $0.034 $0.027 $0.027 $0.029 $0.030

$0.000 0% 2016 2017 2018 2019 2020 Japanese American Native Language Revenues Japanese American Native Language Growth Source: PQ Media

298 www.pqmedia.com www.anaaimm.net Vietnamese American Media Rose 6.4% in 2018 to $37 Million; Projected to Post 5.8% Gain in 2019; and 7.2% Increase in 2020 to $42 Million

Vietnamese American Media Revenues, 2016-2020 Vietnamese American Media Revenue Growth, 2017-2020 $0.3

2017 4.8%

$0.2 2018 6.4%

6.1% CAGR $ Billions % Growth%

2019 5.8% $0.1

$0.039 $0.042 $0.033 $0.035 $0.037 2020 7.2%

$0.0 0% 3% 6% 9% 2016 2017 2018 2019 2020

Source: PQ Media Source: PQ Media

299 www.pqmedia.com www.anaaimm.net Vietnamese American English Language Revenues Rose 7.2% in 2018 to $9 Million; Projected to Post 6.6% Gain in 2019; and Increase 8.1% in 2020 to $11 Million

Vietnamese American English Language Revenues & Growth, 2016-2020 $0.200 12% 6.9% CAGR

$0.150 9% % Growth 8.1% 7.2% $0.100 6.6% 6% $ Billions 5.5%

$0.050 3%

$0.0083 $0.0087 $0.0093 $0.0100 $0.0108 $0.000 0% 2016 2017 2018 2019 2020 Vietnamese American English Lanaguge Revenues Vietnamese American English Language Growth Source: PQ Media

300 www.pqmedia.com www.anaaimm.net Vietnamese American Native Language Revenues Rose 6.2% in 2018 to $28 Million; Projected to Post 5.5% Gain in 2019; and Increase 6.9% in 2020 to $31 Million

Vietnamese American Native Language Revenues & Growth, 2016-2020 $0.200 8% 5.8% CAGR

6.9% $0.150 6% 6.2%

5.5% % Growth

$0.100 4% $ Billions 4.0%

$0.050 2% $0.031 $0.025 $0.026 $0.028 $0.029

$0.000 0% 2016 2017 2018 2019 2020 Vietnamese American Native Lanaguage Revenues Vietnamese American Native Language Growth Source: PQ Media

301 www.pqmedia.com www.anaaimm.net GOLP Insights: Asian American

Number of specialized multicultural agencies and operators has grown significantly over the past few years because brands no longer believe in the “Total Market” approach because they lost multicultural market share. Multicultural Media Reporter

It’s hard to target the Asian-American audience because it is too fragmented. National Trade Organization Executive

Because Asian Americans are so fragmented by culture, campaigns need to be nimble, which many large agencies are not, and use media that are relevant to Asian Americans, like social media attention to smaller events with a mobile followup. Asian-American Agency Executive

There are vast opportunities to target multicultural consumers, but there have to be “cuts” of the data to reveal the needs of specific cultural groups and to develop marketing materials that meet those specific needs. Brand Executive

Data is getting better in identifying Asian-American traits, but it lags the Hispanic-American and African-American markets. Multicultural Research Executive

302 www.pqmedia.com www.anaaimm.net GOLP Insights: Asian American Media (cont.)

Asian American Media – “Wait in Line” – it’s where Hispanic Media was 20 years ago in relationship to agency knowledge. National Trade Organization Executive

Biggest challenge is the lack of national outlets that allow brands to have scale in reaching various Asian-American ethnicities. Asian-American Research Executive

Younger Asian Americans are exploring their culture, which is leading to an increase in new brands and services being developed that address their cultural identity needs. Asian-American Agency Executive

Influencers are becoming more important because a majority of Asian-American consumers live in only a handful of DMAs. Asian-American Trade Organization Executive

Brands need to be better educated about the multicultural audience because too many campaigns have become performance-based. Culturally-relevant messaging always increases engagement, and conversely return on investment. Asian American Agency Executive

303 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Appendix

304 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Segmentation & Definitions

305 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Segmentation & Definitions: Demographic Categories

306 www.pqmedia.com www.anaaimm.net Definitions: Operator Revenue vs. Brand Spending

Brand Spending: This data is not included in this report on Multicultural Media. It includes all other internal marketing budgets which relate to the development and distribution of marketing messages, such as translation service. It also does not include the value of brand products and services available through a brand marketing platform or channel, such as free samples given to doctors by pharmaceutical marketing reps. It does not include non-messaging budget items, such as salaries, capital expenditures for technology, and other miscellaneous items like reimbursed travel expense.

307 www.pqmedia.com www.anaaimm.net Definitions: Growth Rates & CAGR

Growth Rates: Many slides will include two data points: a) the revenues generated by media operators as described in the previous slide; and b) growth rates over the 2016-20 period. PQ Media will include a slide headline specific to 2018 as to which category (ex. Hispanic American, African American, or Asian American) was the largest and which category was the fastest growing. In many instances, the fastest growing category is also the smallest category, which indicates where budgets are shifting, but often the larger categories exhibited a higher increase in realized actual dollars. For example, in 2018 Asian American Media (AAM) rose 7% while Hispanic American Media (HAM) increased 5.3%, but AAM only realized a $47 million addition ($675M to $722M), while HAM realized a $905 million addition ($17.032B to $17.937B).

CAGR: CAGR stands for Compound Annual Growth Rate. It’s a mathematical formula that provides the mean average of growth over a specific period of time. For this report, the CAGR is based on four years of growth.

308 www.pqmedia.com www.anaaimm.net Definitions: Multicultural Media

Multicultural Media is specific to three demographic categories: African American, Asian American and Hispanic American. Past AIMM analysis of multicultural media trends also included the LGTBQ community, but PQ Media and the AIMM agreed that it would be too difficult to avoid double counting when one of the cultural demographics is includes LGTBQ messaging, such as community outreach to Hispanic gays in Houston. As shown on the following pages, analysis of Multicultural Media will include 12 media platforms and three media buying strategies.

309 www.pqmedia.com www.anaaimm.net Definitions: African American Media

African American Media includes analysis of revenues generated by companies that target the Black community, including endemic media like the BET Network’s cadre of programs, advertising in Essence magazine, direct mail political campaigns sent using an African-American targeted list, etc., as well as non-endemic content in which an African American which over-indexes by a formula described later in the appendix, such as TV programs in which one or more African Americans is prominently featured (ex. Empire), or cities in which the African Americans population significantly over-indexes the U.S. population, such as Detroit with an 86% share of African Americans. To avoid double counting, Blacks from Latin American countries, also known as Afro-Latino, will be included in the Hispanic-American demographic, since Spanish is most often the native language of those island countries.

310 www.pqmedia.com www.anaaimm.net Definitions: Asian American Media

Asian American Media includes analysis of revenues generated by companies targeting various Asian-American ethnic groups. There are 19 different countries of origin, each with its own language and often multiple dialects, like 50 “official” languages in China and India, respectively. An aggregate total was estimated if there were multiple dialects, such as Mandarin and Cantonese in China. AIMM requested data on native/bilingual language relating to the six largest Asian-American communities: China, India, Japan, Korea, Philippines and Vietnam There aren’t many known U.S.-produced media properties that would be considered endemic. PQ Media included non-U.S.-produced media available to Asian Americans, such as Asian TV nets available through pay TV, like as Star India, if it includes advertising aimed towards U.S. audiences. There also are not many non-endemic media properties produced in the U.S., such as Crazy Rich Asians and Fresh Off the Boat. Thus, non-U.S. produced programs will be included as well, such as Pokémon on the Cartoon Network if these media properties met the over-index criteria of non- endemic media with a significant share of the viewers being Asian-American

311 www.pqmedia.com www.anaaimm.net Definitions: Hispanic American Media

Hispanic American Media includes revenues generated by companies that are targeting various Hispanic-American ethnic groups, such as Mexican Americans in Texas, Cuban Americans in Florida, and Puerto Rican Americans in New York. However, Hispanic American Media differs from Asian American media, in that these ethnic groups share a common language although there might be variations of select words (ex. six different ways to say “pea” in Spanish).

As referenced earlier, Afro-Latino will be included in this category because most of the countries of origin use Spanish as the official language.

312 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Segmentation & Definitions: Media Platforms & Channels

313 www.pqmedia.com www.anaaimm.net Definitions: Advertising

Advertising (AD) includes revenues generated by companies that are contracted to run marketing messages on traditional and digital media platforms which are frequently combined with editorial or entertainment content to drive brand awareness. Advertising is also known as “Measured Media” or “Audited Media” because there are industry standards that require media companies to provide revenues in confidence to accounting firms, and concurrently provide end-user measurement from third-party research firms that are accepted by key stakeholders, such as ad agencies. (See Slides 315-317 for the six advertising platforms and 77 channels.)

314 www.pqmedia.com www.anaaimm.net Advertising Platforms & Channels

315 www.pqmedia.com www.anaaimm.net Advertising Platforms & Channels (cont.)

316 www.pqmedia.com www.anaaimm.net Advertising Platforms & Channels (cont.)

317 www.pqmedia.com www.anaaimm.net Definitions: Digital Advertising (Pure Play)

Digital Advertising (Pure Play): To avoid revenue duplication in the media platforms, Digital Advertising (Pure Play) is specific to online and mobile sites that are not connected to traditional media brands, such as Google, Facebook, YouTube, TripAdvisor and e-Harmony. Advertising revenues generated by the digital extensions of traditional media brands (ex., CBS.com) are included in that traditional media platform (ex., Television) Digital Advertising (Pure Play) is defined as internet and mobile messages that were developed and distributed via computers and wireless devices and used to drive brand awareness and acquisition of new consumers. Some messages are repurposed for digital devices, such as re-editing a 1-minute TV ad down to a 15-second mobile pre-roll. Often the messages have an interactive component requiring a consumer action, such as a click-through. The AIMM has requested a specific breakout for Social Media Advertising, websites with primarily consumer-generated content, including brand reviews. It should be noted that PQ Media does not include programmatic within Digital Advertising (Pure Play). Programmatic is a media buying process used to purchase various types of digital media channels, such as online display and mobile video, as well as traditional media like broadcast TV.

318 www.pqmedia.com www.anaaimm.net Definitions: Out-of-Home Media Advertising

Out-of-Home (OOH) Media Advertising, also known as outdoor advertising, combines the advertising revenues from traditional OOH operators of static billboards, street furniture and transit (ex. Lamar), digital OOH operators which specialize in digital billboards & posters and digital place- based advertising networks, and ambient OOH operators who place ads on objects or use unique methods, like ticket stubs and beach sand. Out-of-Home Media is an advertising vehicle that focuses of reaching mobile and "on-the-go" target audiences in captive and transient venues and locations in less cluttered environments outside the home, including driving in a car, in transit hubs and vehicles, like airports and on subways, in locations that offer services and products, such as doctor offices and retail outlets, and in entertainment and institutional venues, like sporting arenas, college campuses and office buildings.

319 www.pqmedia.com www.anaaimm.net Definitions: Print Advertising

Print Advertising combines advertising revenues from newspaper publishers (ex. Gannett/USA Today) that that are developed and placed in daily, Sunday, weekly, ethnic and specialty print editions with revenues from magazine publishers (ex. Meredith/Sports Illustrated) that are developed and placed in weekly, bi-weekly, monthly, quarterly of special edition print publications aimed specifically at consumers. (Business-to-business magazines found in Other Advertising). It also includes the digital brand extensions of print publications (ex. Cosmo.com, NYT Mobile) that include graphic interface banners often with an interactive component and classified textual digital ads most often associated with employment, real estate, and automotive. Print advertising also includes digital-only news & information sites (ex. Huffington Post) and news & information aggregators (ex. Yahoo! News) Print Advertising is an advertising vehicle that focuses on building relationships with end-users through subscription services and is a medium which require high engagement due to the textual content. Brands can target specific audiences by sections (ex. men reading sports pages) and special interest titles (ex. Women’s Health)

320 www.pqmedia.com www.anaaimm.net Definitions: Radio Advertising

Radio Advertising combines advertising revenues generated by terrestrial radio stations and networks (ex. WFAN, American Urban) that are distributed over the airwaves and listened to on various conventional receivers, including multi-functional stereo receiver, clock radios, transistor radios & boom boxes and car radios, with ads developed and distributed by satellite radio (ex. SiriusXM), as well as the digital audio ads on the brand extensions of radio stations and networks (ex. WLS.com) and streaming audio subscription services that provide access to radio programming (ex. Pandora) Radio Advertising is an advertising vehicle that provides brands the opportunity to verbally engage with audiences through use of audio techniques that enhance messages, like sound effects. The two major media buying strategies are reach and frequency. Reach is defined as engaging with as many listeners as possible in a given week, sometimes hearing the ad message only once. Frequency is defined as engaging with loyal listeners who tune in throughout the week and hear the same ad message multiple times.

321 www.pqmedia.com www.anaaimm.net Definitions: Television Advertising

Television Advertising combines advertising revenues generated by terrestrial television networks and stations (ex. NBC, WCBS), national & local cable networks (ex., TNT, MSG, Optimum News Channel 12), the digital extensions of TV networks and channels (ABC.com, ESPN Mobile), specialty ads available only on satellite and telco TV services (ex. DBS avails), over-the-top ads on subscription streaming video service and pay TV digital subscription services (ex. Netflix, TiVo, Comcast free video-on-demand (VOD)), and ads embedded into in-flight entertainment systems (ex. JetBlue). Television Advertising is an advertising vehicle that provides brands the opportunity to demonstrate a product (ex. car driving, movie trailer) and provides among the largest audiences, known as scale or reach, like during the Super Bowl. With the advent of streaming subscription video services, consumers can “binge” watch all episodes of a new program (ex. Orange Is the New Black), allowing brands to use the frequency strategy discussed in radio advertising.

322 www.pqmedia.com www.anaaimm.net Definitions: Other Advertising

Other Advertising combines the advertising revenue of three media platforms not often associated with Multicultural Media, but which are periodically used by brands in special situations. Business-to-Business Magazine Advertising includes ads that are developed and placed in weekly, bi-weekly, monthly, quarterly or special edition print publications aimed specifically at business, government and education end users. It also includes the digital extensions of print publications, such as graphic interface banner ads, classifieds and industry-specific vendor databases, like a construction magazine listing of electricians and electrical supplies. Entertainment Media Advertising combines the revenues from videogame advertising, including console, hand-held, internet and mobile games, as well as eSports sponsorships. Also included are advertising revenues generated at digital film & home video, videogame review sites, recorded music and consumer book sites, including digital-only film and music subscription services. Local Directory Advertising includes local print directory listings, such as yellow pages, normally published only once a year. It also includes the digital extensions of yellow page publishers, as well as digital-only consumer directories for local companies, like a restaurants in the area by food type.

323 www.pqmedia.com www.anaaimm.net Definitions: Brand Activation Marketing

Brand Activation Marketing is marketing that both builds a brand’s image and drives a specific consumer behavior or action, as well as helps bring the brand to life through connecting and interacting with the consumer. It includes platforms and channels that converge to shape the way consumers experience a brand. What defines strong Brand Activation is the way various tactics are used together, synergistically, to drive results, consumer behavior and/or actions. These services are positioned near the point of decision, aimed to improve client or customer relations, or appear at locations that offer one-on-one interaction opportunities. (See Slide 325 for the six brand activation platforms and 27 channels.)

324 www.pqmedia.com www.anaaimm.net Brand Activation Platforms & Channels

325 www.pqmedia.com www.anaaimm.net Definitions: Branded & Content Marketing

Branded & Content Marketing involves various methods to tell the brand story. More marketers are adapting their advertising to storytelling to create stickiness and emotional bonding with end users. Content Marketing, also known as custom content and native advertising, often includes entertainment and editorial content that is sponsored exclusively by one brand. To avoid confusion with PQ Media’s Global Media & Tech Forecast Series’ reports on content marketing and branded entertainment, the product placement sector of branded entertainment has been combined with content marketing for this report per AIMM’s request. PQ Media distinguishes content marketing as fully- sponsored brand messages which would not exist if not for the brand’s investment, whereas branded entertainment is the placement of brand messages into existing media content that would still be produced regardless of brand integrations. Product placement is a marketing tactic in which the objective is to place or integrate brand names, logos or specific products within the non-ad content of various media. The goal of advertisers utilizing product placement is to prominently place or creatively integrate brands or products into particular story lines to promote brand awareness, favorable brand attitudes and purchase intention.

326 www.pqmedia.com www.anaaimm.net Definitions: Experiential Marketing

Experiential Marketing combines the revenues from four marketing channels including, business- to-business live events (ex. trade shows & expos, seminars, conferences), trade show promotions (ex. VIP sponsored interviews, ad in programs, sponsored networking & social events), consumer event sponsorships (ex. sports arena naming rights, concert tours, auto race teams & cars), and consumer marketing (ex. festivals & parades, home & boat shows, bridal fairs) Experiential Marketing includes events and individual experiences that promote one-on-one engagement with target audiences. Its importance lies in its ability to stimulate an emotional connection and reinforce an essence of the brand. To avoid confusion with PQ Media’s Global Media & Tech Forecast Series’ report on branded entertainment, experiential marketing had been labeled event marketing until the 2018 edition.

327 www.pqmedia.com www.anaaimm.net Definitions: Influencer Marketing

Influencer Marketing combines the revenues from multiple marketing channels include customer service, telesales (in-bound and out-bound), public relations, including lobbyists, corporate communications and word-of-mouth marketing. To avoid double counting, social media advertising is not included here, but is found in the Digital Advertising (Pure Play) platform, per the request of the AIMM. In addition, word-of-mouth (WoM) ambassador programs (ex. BzzAgent) are including here and not in the Pure-Play Digital Advertising platform because most WoM campaigns are done offline as discussed in the PQ Media Word-of-Mouther Marketing Forecast Series. Influencer Marketing reflects the empowerment that technology has given today’s consumer. Traditional marketing has been directed one way – to the consumer – whereas today’s marketing needs to be a two-way dialogue that includes the customer.

328 www.pqmedia.com www.anaaimm.net Definitions: Promotional Marketing

Promotional Marketing includes multiple marketing channels, including added-value specialized packaging, brand licensing, promotional products, premiums, incentives, product sampling, coupons (including newspaper FSIs), rebates and games, contests & sweepstakes. It also includes any digital brand extensions of these channels, such as online and mobile coupons and rebates, digital software sample downloads and consumer product goods sample requests, and digital contests. Promotional Marketing includes tactics that encourage short-term purchases that are often located near the point of decision and influence the quantity of purchases that are measurable in volume, share and profit. Promotional Marketing also includes programs designed to reward, motivate and engender goodwill among company employees and clients.

329 www.pqmedia.com www.anaaimm.net Definitions: Relationship Marketing

Relationship Marketing combines the revenues from multiple marketing channels including, direct mail, catalogs, list management, database marketing, e-mail & lead generation marketing, loyalty programs, and marketing information, including big data analysis. To avoid double counting revenues, search marketing is not included here, but with Digital Advertising (Pure Play), per the request of the AIMM. Relationship Marketing includes strategies and tactics for segmenting consumers to build loyalty. Relationship Marketing leverages database marketing and behavioral analytics to target consumers more precisely while emphasizing customer satisfaction and the importance of client retention over the long term by building strong business relationships.

330 www.pqmedia.com www.anaaimm.net Definitions: Retailer Marketing

Retailer Marketing includes the marketing revenue from the deployment of point-of-purchase (POP) displays, such as exterior mall and store signage, as well as interior brand displays, end of aisle brand pop-up, grocery cart and back-of-receipt messaging and coupon dispensers. It also includes the analysis of trade promotions, such as monitoring the success of brand-retailer programs, like brands allowing retailers to discount select items to drive store traffic. To avoid double counting, mall static & digital posters and retail digital place-based ad networks are not included here but found in the Out-of-Home Media Advertising platform to avoid confusion with the PQ Media Out-of-Home Media Forecast 2019-23. Additionally, in-store mobile marketing, such as mobile beacons is also not included here, but found in the Digital Advertising (Pure Play) platform, per the request of the AIMM. Retailer Marketing recognizes the relationship between manufacturers, retailers and customers as it requires specific notification of a retailer’s existence, the use of shopper insights, and includes collaborative planning and solutions between the brand and retailer.

331 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 Segmentation & Definitions: Media Buying Strategies

332 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic

Endemic Media Buying is defined as the “characteristics of or prevalent in a particular field, area or environment.” According to AIMM, endemic media are defined as those that generate an overwhelming audience composition (AC) of a specific segment at 75% or above. Examples of media that meet this criterion include NBCU Telemundo for the Hispanic-American demographic, Essence for the African-American demographic, and AsAmNews for the Asian-American demographic. Non-Endemic Media Buying is more difficult to define, but should include the following parameters: PQ Media and AIMM agreed that U.S. Bureau of the Census data should be used to determine the over-index, whereby a media property must be twice the demographic’s share of the U.S. population. According to 2017 census data, the following is the share of the U.S. population by each multicultural group, and the over-index formula. (Formulas below rounded to nearest 0.5%). • 18.1% of the overall audience is Hispanic, or 18% x 2 = 36% and above AC • 13.4% of the overall audience is African American, or 13.5% x 2 = 27% and above AC • 5.8% of the overall audience is Asian-Americans, or 6% x 2 = 12% and above AC

333 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic (cont.)

Non-Endemic Media Buying (cont.) Over-Index: Instances in which the audience composition (ex. total viewers) of specific media content (ex. black-ish) includes a multicultural demographic (ex. African American) share that will index 200% (2x) above the demographic’s share of the overall U.S. population (ex. 13%). For example, African Americans would need to represent a minimum of 27% (13.5% x 2) of the black-ish viewing audience to be included in this analysis. Language Impact on Index: The index share based on the U.S. population will be recalculated to exclude certain members of a multicultural demographic that primarily speak in the native language. These members are unlikely to use English-language content, but they are included in the overall analysis because they primarily engage with endemic media content, such as Spanish-speaking individuals only watching Hispanic TV. The base share percentage for non-endemic content is revised downward as a result. For example, while 18% of the U.S. population is Hispanic, about 7% of the total primarily speak Spanish. Therefore, the base Hispanic index should be revised downward to 11% (18% - 7%), producing a minimum index of English-speaking Hispanics of 22% (11% x 2).

334 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic (cont.)

Non-Endemic Media Buying (cont.) Media Content Distribution: In the past, only media content that was distributed a minimum of four times was included in the analysis of multicultural media (ex. four TV episodes). Media content with a limited run will need to be included in this analysis because it will over-index the U.S. population. For example, Hispanics made up a large share of the viewers of FIFA World Cup matches in 2018, particularly when Latin American countries were involved. Cultural Impact on Asian-American Index: The Asian-American share of the U.S. population is 6%, although 2% are native-language speakers, which revises the base downward to 4% (Index: 4% x 2 = 8%). However, there are 17 different ethnic groups in the Asian-American demographic category, such as Chinese and Indian. PQ Media found through interviews with its GOLP members that some non-endemic media content has attributes that catered to a specific ethnic group rather than the entire Asian-American population, such as the multicultural demographic of an actor being cast in a television program (ex., Indian-American). Thus, the index was further revised downward to account only for the cultural population (ex. 1.5% x 2 = 3% for Indian Americans).

335 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic (cont.)

Non-Endemic Media Buying (cont.) ADI/DMA Share: In determining local multicultural advertising & marketing revenues, U.S. Bureau of the Census data was examined in which a multicultural demographic account for a higher share of the metro/city population than the demographic’s share of the U.S. population. For example, African Americans represent 13% of the total US population, but African Americans comprise over 80% of the city of Detroit’s population (area of dominant influence {ADI]), and almost 25% of the overall metro area including the suburbs (designated market area [DMA]). Media in those communities will be examined to determine whether select media content will over-index. For example, PQ Media discovered that at least 27% (13.5% x 2) of Detroit Free Press subscribers are African Americans. However, certain radio stations with formats such as country music were not included because the over-index share was not met.

336 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic (cont.)

Non-Endemic Media Buying (cont.) Demographic Targeting Advertising & Marketing: Brand marketers have a documented decades-long practice of using people of a certain demographic profile within their messaging to specifically increase engagement with that audience demographic. For example, McDonald’s often casts African-American actors in its television advertising campaigns because it knows a) that African Americans tend to watch more TV than other ethnic groups and b) McDonald’s tends to be among the few quick service restaurant franchises available in minority neighborhoods. There will be instance that these ad campaigns will be included in this analysis, regardless that they might not meet the over-index criterion. First, multiple sources include these campaigns in data related to overall multicultural media budgets of the top U.S. brands. Second, some local media buys are specifically purchased in DMAs with large ethnic populations and brands use the “frequency” strategy (see Radio Advertising) to target the specific demographic. For example, a brand may purchase “run-of-station” advertising packages at multiple local TV stations, in which the ads run throughout the day in hopes of the target audience seeing the ad three-to-five times per day.

337 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic (cont.)

Non-Endemic Media Buying (cont.) Demographic Targeting Advertising & Marketing (cont.): For these ad campaigns to be included in the multicultural media analysis, the messaging must prominently feature the demographic (ex. African American). If not given a prominent role, the campaigns would be excluded. For example, an ad campaign would be included in the analysis if an African-American actor was the only person in a TV ad playing a fictional character talking about the benefits of the product, whereas an ad campaign that would not be included in the analysis would be a TV ad in which the African American is one of many actors featured in the commercial. What is NOT included in this analysis is the use of the “Total Market Approach,” which proactively integrates diverse segment considerations. This is done from inception through the entire strategic process and execution, with the goal of enhancing value and growth effectiveness. In marketing communications this could lead to one fully integrated cross-cultural approach, individual segment approaches and/or both in many cases, but always aligned under one overarching strategy. This type of media buying was not included because it is not considered a “guaranteed” buy in which the brands have requested a specific target demographic.

338 www.pqmedia.com www.anaaimm.net Definitions: Endemic vs. Non-Endemic (cont.)

Non-Endemic Media Buying (cont.) Non-Endemic Index Formula: Since the multicultural demographic is not the only audience being targeted in non-endemic content, total revenues generated by that media content was not used. The following variables were used for non-endemic messaging that meets the over-index criteria:

• Advertising & marketing cost • Number of ads in the media content • Number of times the media content is distributed • Over-index share For example, if a commercial on black-ish costs $200,000 per 30-second spot, with 20 spots per episode on 18 total episodes per year, and the African-American index is 30%, a total of $21.6 million would be included in multicultural media revenues ($200,000 x 20 x 18 x 30% = $21,600,000). If the multicultural over-index was not used, the total would have been $72,000,000, which would overinflate total multicultural media revenues.

339 www.pqmedia.com www.anaaimm.net Definitions: National vs. Local

National includes campaigns targeting specific multicultural demographics, endemically and non- endemically, that are purchased on broadcast and cable television networks (including digital extensions), print magazines, national ethnic newspapers, pure-play digital media with a national audience, P-O-P displays and loyalty programs deployed in national chains, direct mail campaigns, catalogs, brand licensing of celebrities, and national event sponsorship opportunities, among others.

Local includes brands purchasing multiple or individual designated market areas (DMAs) with a large demographic population, including smaller DMAs that over-index like 93rd ranked El Paso with a large Hispanic population. As shown in the Non-Endemic definition, PQM will not automatically include all advertising & marketing in the DMA, but rather be selective in determining if a media provider meets the over-index criterion (ex., R&B radio stations vs. country stations). Additionally, PQ Media found that multicultural media revenues were generated in local markets that did not meet the over-index criterion, but had endemic media buying to reach small cultural enclaves, such Vietnamese in Oklahoma City.

340 www.pqmedia.com www.anaaimm.net Definitions: English Language vs. Native/Bilingual Language

English Language includes messaging aimed at multicultural audiences that were exclusively developed in the English language and distributed in English-language media.

Native/Bilingual Language are primarily endemic multicultural media messages that were exclusively developed in the native language, or has a small bilingual component is translated into English. For example, GOLP members in the service professionals (ex. insurance) often develop bilingual materials because targeted older demographics who only speak in the native language often require feedback from children who primarily consume media in English. Initially PQ Media and the ANA believed this media buying analysis would only include Hispanic Americans and Asian Americans. However, PQ Media discovered that there is growing market in African American Media in which recent African immigrants are targeted in their native languages as referenced on the following page.

341 www.pqmedia.com www.anaaimm.net Definitions: English Language vs. Native/Bilingual Language (cont.)

Native/Bilingual Language (cont.) African American: African immigrants have small communities around the country, such as Congolese in Chicago and Raleigh. In some instances, English is an official language, like South Africa and Kenya. In other instances, older demographics and recent immigrants only communicate in the native language and use endemic media, like recent Ethiopian refugees. Asian American: As referenced earlier, the Asian-American demographic is comprised of 17 different nationalities. However, only six nationalities have more than one million people (all others are below 500,000), and the combined populations of the six-nation group account for almost 90% of the total U.S. Asian-American population and therefore, would be included in the breakout: China, India, Japan, Philippines, South Korea and Vietnam. Additionally, in many of these countries there are more than 50 accepted dialects, particularly China, India and Philippines, all of which will be aggregated into the total revenue by country (ex. China’s total includes Mandarin and Cantonese)

342 www.pqmedia.com www.anaaimm.net Definitions: English Language vs. Native/Bilingual Language (cont.)

Native/Bilingual Language (cont.) Hispanic American: The native language of Hispanics is Spanish, from which the word was derived, although there are variations of the language depending upon the country of origin (ex., certain lingo is specific to Mexican Americans versus Colombian Americans). Not included in the analysis is Portuguese, spoken by Brazilians, who sometimes are mistakenly included in the Hispanic demographic because the country is in South American, as well as French spoken by Haitians.

343 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 About the Authors

344 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 About PQ Media

345 www.pqmedia.com www.anaaimm.net About PQ Media and the Annual PQ Media Global Media & Technology Forecast Series

PQ Media is a leading provider of actionable competitive intelligence and strategic guidance to management teams of the world’s top media, entertainment & technology organizations. PQ Media delivers intelligent data and analytics to high-level executives to empower them to make smarter, faster business decisions amid the transforming global media & technology ecosystem. Our well-respected team of industry analysts and proven econometric methodology drive the annual PQ Media Global Media & Technology Series, a three-report suite of exclusive market intelligence that helps drive client growth objectives with a laser focus on the media economy’s key performance indicators: operating company revenues, consumer time spent with media, and consumer spending on media content & technology (see more info & links to free downloads below).

PQ Media’s Global Media & Technology Forecast Series: PQ Media applies its proven econometric methodology and multi-channel research to our annual KPI benchmark series to help executives in the global media, entertainment & technology industries gain a deeper understanding of the world’s transforming media ecosystem. This three-report suite delivers the first holistic view of the collective global media economy, focusing on digital & traditional advertising, marketing & consumer media usage and spending and profiling the Top 20 Global Markets, including the U.S., which account for more than 85% of global media revenues and spending annually. Each report in the series provides comprehensive five-year historical tracking and five-year forecasts for one of the three abovementioned KPI’s. Our industry, sector, market, platform, channel and generation definitions remain consistent across each report making it easy to quickly compare growth patterns, drivers and performance in each global region, domestic market and individual admedia & marcom landscape.

• Global Media & Technology Forecast Series 2017 (link to site license info for standalone reports & 3 -Report Special Enterprise Bundle License) • Global Advertising & Marketing Revenue Forecast 2017-21 • Global Consumer Media Usage & Exposure Forecast 2017-21 • Global Consumer Spending on Media Content & Technology Forecast 2017-21

*Following are some of PQ Media’s annual market research report series. For more info on site license options & free executive summary & data downloads, click: pqmedia.com/reports/ • Global Branded Entertainment Marketing Forecast 2019 • Brazil Media & Technology Outlook 2014 • China Media & Technology Outlook 2014 • Global Content Marketing Forecast 2017 • Global Media & Technology Forecast Series 2016 • Global Digital Out-of-Home Media Forecast 2014 • Global Out-of-Home Media Forecast 2017 • Global Media & Technology Forecast Series 2015 • Global Consumer Exposure to Digital Out-of-Home Media Forecast 2014 • U.S. Digital Out-of-Home Media Forecast 2016 • Global Media & Technology Forecast Series 2014 • Top 100 Brands on Social Media Worldwide 2013 • U.S. Brand Activation Marketing Forecast 2016 • Global Media & Technology Forecast Series 2013 • Global Branded Entertainment Marketing Forecast 2015 • U.S. Mobile & Social Media Forecast 2012-16 • Global Content Marketing Forecast 2015 • U.S. Political Campaign Media Spending 2010

346 www.pqmedia.com www.anaaimm.net About PQ Media’s Client’s & Subscribers and Consulting Services

PQ Media’s Clients & Subscribers

PQ Media has accurately predicted key trends, insights and outcomes that have influenced strategic plans, investment parameters and tactical approaches for some of the world’s most respected media companies, media agencies, financial institutions, and research & consulting firms:

Media Companies Financial Agencies Technology/Telecom Research/Consulting • Associated Press • Bain Capital • Dentsu • AT&T • Bain & Co. • NBC Universal • Credit Suisse • Havas Media • Cisco Systems • LEK Consulting • News Corp • Deutsche Bank • Hill Holiday • Google • McKinsey & Co. • Time Warner • GE Commercial Finance • Kinetic • Microsoft • Nomura Research Institute • Turner Broadcasting • JP Morgan • Starcom Worldwide • Qualcomm • Yano Research Institute

PQ Media’s Consulting Services Due to the global marketplace demand, we broadened and deepened our analysis of media through the lens of PQ Medianomics (see Methodology). The media industry has been expanding exponentially with more new channels being developed in the last 50 years compared with the first 5,000 years. Brands have more than 200 choices to distribute their messages compared with 50 in 1990, a fourfold increase. With the myriad of changes to the media ecosystem, key media stakeholders reach out to PQ Media for strategic intelligence to help in their decision-making process because of the unique data and trends analysis that we can offer. As a result, we developed a broader portfolio of custom consulting services to meet the growing needs of our clients. We have five types of consulting services:

• Actionable Strategic Intelligence Reports: PQM develops in-depth analysis of media industry trends, with multiple categories being analyzed or industry & segment briefs with drill-down data • Perception Surveys: PQM develops, implements and analyzes results from a questionnaire we would prepare to ascertain how a specific end user perceives your company, brands and/or services • Webinars & Presentations: PQM would prepare and present branded webinars and presentations that tie media industry data to your products and services • Custom Phone Consults: PQM executives and industry thought leaders and we would provide our opinion in confidence on specific media platforms, channels, trends and/or companies. • Licensing PQ Media Report: PQM prepares a specific report for you that would be available exclusively to a specific universe, such as clients or trade organization members . Contact PQM & Follow Us

Success in today’s transforming mediascape requires timely, actionable strategic intelligence. Let PQ Media help your organization make smarter, faster business decisions with a no obligation situation review or preliminary phone consult. Please contact Patrick Quinn at [email protected] or Leo Kivijarv at [email protected] or call 203.569.9449 today to prepare for the hybrid media future. www.pqmedia.com (Sign up for PQM newsletter) linkedin.com/company/pq-media-llc twitter.com/pqmedia facebook.com/pqmedia

347 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 About Alliance for Inclusive and Multicultural Marketing

348 www.pqmedia.com www.anaaimm.net About Alliance for Inclusive and Multicultural Marketing

ANA’s Alliance for Inclusive and Multicultural Marketing (AIMM) was established in 2016 to create a powerful voice that elevates multicultural and inclusive marketing to promote business growth in an increasingly diverse marketplace. AIMM comprises senior-level advertisers, media/publishers, research and data companies, agencies and trade organizations to spotlight the missed growth potential in General, Hispanic, African-American, Asian-American and LGBTQ markets. This extraordinary working group of industry leaders is transforming the way multicultural and inclusive marketing is seen and understood via an industry-wide reboot – the largest ever in this space. Beyond simply identifying where growth potential lies, AIMM shows its members (and the industry) how to best maximize this potential towards positive bottom-line impact. AIMM is the leading authority in this space.

349 www.pqmedia.com www.anaaimm.net United States Multicultural Media Forecast 2019 About Association of National Advertisers

350 www.pqmedia.com www.anaaimm.net About Association of National Advertisers

The ANA (Association of National Advertisers) makes a difference for individuals, brands, and the industry by driving growth, advancing the interests of marketers, and promoting and protecting the well-being of the marketing community. Founded in 1910, the ANA provides leadership that advances marketing excellence and shapes the future of the industry. The ANA’s membership includes more than 1,850 companies and organizations with 20,000 brands that engage almost 100,000 industry professionals and collectively spend or support more than $400 billion in marketing and advertising annually. The membership is comprised of more than 1,100 client-side marketers and more than 750 marketing solutions provider members, which include leading marketing data science and technology suppliers, ad agencies, law firms, consultants and vendors. Further enriching the ecosystem is the work of the nonprofit ANA Educational Foundation (AEF), which has the mission of enhancing the understanding of advertising and marketing within the academic and marketing communities.

351 www.pqmedia.com www.anaaimm.net U.S. Multicultural Media Forecast 2019

Advertising & Brand Activation Marketing by Demographic, Platform, and Media Buying Strategies