Yougov CMD 6 Feb 2019.Pdf
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YouGov Capital Markets Day Building a global leader Wednesday 6th February 2019 Agenda 2.00pm | Introduction to YouGov 3.00pm | Clients o Stephan Shakespeare o Julian Newby Chief Executive Officer, YouGov Global Profiling Director, MediaCom Worldwide o Alex McIntosh o Claire Spencer Chief Financial Officer, YouGov Managing Director for Insight & Analytics, IPG Mediabrands UK o Sundip Chahal Chief Operating Officer, YouGov o Tini Sevak Vice President Audiences & Data, CNN International Commercial 2.30pm | Our Products & Services o Bianca Bruhn 3.30pm | New innovations and the next growth plan Regional CEO Mainland Europe, YouGov o Stephan Shakespeare o Amelia Brophy Chief Executive Officer, YouGov Head of Data Products UK, YouGov o Q&A 4.00pm | Q&A 4.30pm | Product demos and drinks 2 Introduction to YouGov 3 Stephan Shakespeare Chief Executive Officer, YouGov 4 Introduction The purpose of today is to explain: . How YouGov works . Our next 5-year ambition . Our strategy . Our new ideas 5 How YouGov works Our success is based on 4 fundamental efficiencies: 1. People proactively fill in surveys by themselves, at their convenience, on any device 2. We enable unlimited self-input and give public & personal value in return 3. We build an engaged panel that is always available and connects all our data 4. We are driven by one data-set (the Cube) and one analytics system (Crunch) 6 So we have a system, based on: large engaged panels massive data design automated data generation productising the data the best analytic tools expert client service 7 Our offer to clients is systematic data that is... very wide-ranging . deep in detail . fully connected “The best data, . highly crunchable . global the best tools” . cost-efficient . accurate . relevant and applicable 8 Our ambition for growth is undiminished Our ambition is to be: the world’s #1 provider of single-source systematic marketing data used by every public-facing company and organisation used by hundreds of millions of people as a daily public resource the world’s largest and most engaged research panel 9 Presentations coming up next 1 2 3 4 5 6 Alex will take Sunny will Bianca will Amelia will We will hear We will share you through show you how introduce you introduce you from clients updates on our the historic we engineer to the YouGov to our about how it latest numbers our future data platform syndicated works for innovations data tools them and the next five-year strategy 10 Alex McIntosh Chief Financial Officer, YouGov 11 Our current and next five year growth plans FY to FY to FY to FY to FY to FY to FY to FY to FY to 31 July 31 July 31 July 31 July 31 July 31 July 31 July 31 July 31 July 2015 2016 2017 2018 2019 2020 2021 2022 2023 First five year growth plan Next five year growth plan 12 In FY14, our five year growth plan focused on improving profitability £m Adjusted Operating Profit Adjusted Operating Profit Margin 17% 25 18% 14% 16% 20 12% 14% 11% 11% 19.7 12% 15 10% 14.5 8% 10 10.9 6% 8.6 5 7.4 4% 2% 0 0% FY14 FY15 FY16 FY17 FY18 Key five year plan growth target: 25% YOY EPS growth FY14-19 13 The growth plan focused on Data Products and Services which have operational leverage Revenue Growth £m Custom Reseach Data Services Data Products 140.0 120.0 100.0 80.0 60.0 40.0 20.0 0.0 FY14 FY15 FY16 FY17 FY18 14 Our focus on technology and products hasInterim created Results to 31 January a 2018 platform for scalable profit generation Adjusted Operating Profit Margin by Divisions Custom Research Data Services Data Products 40% 35% 38% 30% 33% 32% 29% 29% 25% 27% 28% 20% 24% 24% 15% 19% 19% 15% 10% 13% 13% 11% 5% 0% FY14 FY15 FY16 FY17 FY18 15 The market YouGov focuses on is worth $46b annually 3% 1% Latin America Africa $1,612m $536m 1% Middle East 15% $414m Asia Pacific $6,756m 45% Global Market Research North America Turnover 2017 $20,574m $45,829 million 35% Europe $15,937m 16 YouGov Group revenue in FY18 was £117m The US and UK are the largest research markets in the world, and for YouGov (Operating Profit in £m) Year to 31 July 2014 Operating Profit Year to 31 July 2018 Operating Profit Asia Middle East Pacific Middle East 3.6 2.2 Mainland 0.8 Europe 2.3 Mainland UK Europe UK 12.0 1.3 5.0 Net Profit Net Profit £7.4m £19.7m USA 47% USA 26% 3.0 16.6 17 Media Mentions: YouGov vs Competitors (UK) YouGov Media Mentions: 44,733 18 12,870 8,191 6,853 5,206 4,991 Source: Meltwater media mentions data for twelvethe months to 31 2018 July 4,549 4,475 4,158 3,980 3,784 3,599 3,068 2,919 2,725 2,564 2,133 943 775 763 710 498 462 447 367 355 337 190 160 102 60 Media Mentions: YouGov vs Competitors (USA) YouGov Media Mentions: 196,720 19 194,658 162,060 158,101 120,315 110,639 98,255 77,689 Source: Meltwater media mentions data for twelvethe months to 31 2018 July 69,673 62,403 43,458 38,603 38,045 35,123 33,204 28,761 8,835 25,126 2014 24,080 17,880 17,753 15,102 43,458 14,372 2018 12,161 11,138 7,798 7,518 7,347 7,165 6,853 5,822 5,822 5,297 4,856 3,718 2,210 1,569 221 178 21 Our customer base is diverse – mainly focused on marketing activities Media Owners Media Agencies Brands 2,000+ clients 20 Sundip Chahal Chief Operating Officer, YouGov 21 Centres of Excellence – a new model for scale Data Operations overheads as a % of global revenue Current 4.95% . Technology (Warsaw) . Panel & Data Operations 1.8% - 2.0% (Bucharest & Mumbai) Significant contribution to margin improvement Driven standardisation of operating mode 2013 2019 Led to 24x7 operations and bred true expertise 22 Centres of Excellence – next stage Current Future . Technology . Finance (Warsaw) . Data Design . Panel & Data Operations (Bucharest & Mumbai) . Research . Customer Service Significant contribution to margin improvement Driven standardisation of operating mode Led to 24x7 operations and bred true expertise 23 Finance - improved functional management . Make better use of hard financial metrics to drive forward our teams . Quicker turnaround & dissemination of financial information to the teams that need it most . Can be built cost effectively not tied to local offices 24 Data Design – extending our lead . Central team responsible for designing consistent data collection across the world . The YouGov Codebook is housed within the YouGov Cube (our connected longitudinal syndicated data library with over 200,000 variables) . Data collected using a variety of methods . A single-source connected & highly permissioned dataset 25 Research Platform – to deliver the YouGov Screen . Crunch – easy to use analytics platform . Allows clients to import 3rd party datasets . Collaborate – self-serve survey system . Currently live in UK, US and Germany . Brought together for the YouGov Screen . Integrated platform for all YouGov products and services 26 Client-centricity – maximising opportunities . Build ‘Global Key Account Management’ programme . Invest in global team to grow key accounts . Give clients one touchpoint . Customer Service team with Centre of Excellence . Gives us the ability to be on 24/7 (like Data Operations) . Cost effective coverage . Standard process 27 Our Products & Services 28 Bianca Bruhn Head of Northern Europe, YouGov 29 The YouGov Platform – a Single System With the Cube in the centre and a variety of engagement possibilities for the users Bespoke Connected Syndicated Subscription 30 Superior Value Derived from the YouGov Platform Fast Turnaround Research Bespoke Trackers Dynamic Segmentation Seed Audiences for Activation Digital Campaign Measurement Etc. Bespoke Connected Syndicated Subscription Profiles BrandIndex 31 Superior Value Derived from the YouGov Platform Fast Turnaround Research Bespoke Trackers Dynamic Segmentation Seed Audiences for Activation Digital Campaign Measurement Etc. Bespoke Connected Syndicated Subscription 32 Demonstrating YouGov’s Fast Statement: Next time I Turnaround Research Services buy/lease a car it will be a hybrid/electric car? and the YouGov Platform Agree/Disagree/Neutral 33 Statement: Next time I buy/lease a car it will be a hybrid/electric car? Agree/Disagree/Neutral REAL-TIME DATA 34 ...24h later (or less) you have your answer enriched with hundreds of additional, relevant data-points... “Companies and their brands should Online Engagement be able to express how they feel on a 40-49 years topic” Female Online for: 50 hours per old week Income gross Streaming services: Spotify Greater “Electric cars household: more London Watches TV for: 10 hours are the future than £50,000 per week of the motor industry” Marketing Director Favorite Activities Listen to music “The internet is my main Read source of information” Exercise 35 ...You can also move the opposite way in the Platform ... and start by identifying your target segment in the Cube ... “Companies and their brands should Online Engagement be able to express how they feel on a 40-49 years topic” Female Online for: 50 hours per old week Income gross Streaming services: Spotify Greater “Electric cars household: more London Watches TV for: 10 hours are the future than £50,000 per week of the motor industry” Marketing Director Favorite Activities Listen to music “The internet is my main Read source of information” Exercise 36 Statement: Next time I buy/lease a car it will be a hybrid/electric car? Agree/Disagree/Neutral A re-contact survey – leveraging the cube to target a specific segment with a bespoke question 37 Fast Turnaround Research Bespoke Trackers Dynamic Segmentation Seed Audiences for Activation Digital Campaign Measurement Etc.