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Content Is King and He Is One of Us – Or Is He?

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Content Is King and He Is One of Us – Or Is He? PAMRO 2017 Content is King and he is one of us – or is he? © 2017 Ipsos. All rights reserved. Contains Ipsos' Confidential and Proprietary information and may not be disclosed or reproduced without the prior written consent of Ipsos. 1 © 2017 Ipsos. Digital Migration February 2017 to June 2 © 2017 Ipsos. Digital Migration: Expectations Fragmented viewership February Loss2017 of audiences on main channelsto June Programming will change, with a wider variety of shows available to the viewer Decreased channel loyalty – content will drive stations ratings Demand for quality content 3 © 2017 Ipsos. As set-top box purchases increased amongst daily television viewers, so did the incidence of viewership "Yesterday" TV Viewership STB Ownership amongst "Yesterday" television viewers 100.0% 88.8% 87.0% 90.0% 34% 81.8% 83.1% 80.0% 70.0% 60.0% 47.4% 50.0% 40.0% 38.5% 30.0% 35.5% 30.1% 20.0% 27.0% 29.0% 10.0% 0.0% Q1 2015: February Q2 2015: June Q3 2015: September Q4 2015: December Q1 2016: January Month of ITU digital migration Month of switch-off deadline 4 © 2017 Ipsos. Source: Ipsos Day After Recall Surveys Set-top box (STB) ownership increased by 48% as a result of the digital migration Base = Television owners 5 © 2017 Ipsos. Source: Ipsos Digital Migration Survey (National) 2014 and Ipsos SPEC surveys 2017 Following the digital migration the penetration of GOtv set-top boxes increased by 15% Month of switch-off Month of ITU digital migration deadline Base = Set-top box owners 6 © 2017 Ipsos. Source: Ipsos Day After Recall Surveys Just over 2 out 5 were satisfied with the content; and a third of television owners were neither satisfied nor dissatisfied with television content; March 2015 – during the digital migration DIGITAL MIGRATION DISRUPTS VIEWERSHIP Stations with low reach pushed out of top 10, top 3 stations maintain position. Vernacular televisions stations quickly feature amongst top 10 Q4 2014 May to July 2015 December 2015 March 2016 July 2017 1 Citizen Citizen Citizen Citizen Citizen TV 2 KTN NTV NTV NTV KTN 3 NTV KTN KTN KTN NTV 4 K-24 K-24 K-24 Inooro TV KTN News 5 Q TV KBC Inooro TV K-24 Inooro TV 6 KBC Q TV QTV KBC K-24 7 Kiss TV Kiss TV KBC QTV KBC 8 GBS Supersport 3 Africa Magic Channels KTN News Gikuyu TV 9 Family TV Africa Magic Channels KTN News Kiss TV Baite TV 10 UTV Njata TV Kiss TV Supersport 3 Supersport 3 8 © 2017 Ipsos. Source: KARF Q4 2014; Ipsos 2015/2016 Day After Recall Surveys; and KARF 2016 Tracker survey Vernacular stations follow largely the same program schedule as top 3 stations ARE THEY JUST RIDING ON THE HABITS OF TELEVISION VIEWERS? 10 © 2017 Ipsos. Television Ratings Television 11 10.00% 12.00% 14.00% 16.00% 0.00% 2.00% 4.00% 6.00% 8.00% © 2017 Ipsos. 2017 © 00:00-00:30 00:30-00:59 00:59-01:30 01:30-02:00 02:00-02:29 TV Citizen 02:29-03:00 03:00-03:30 03:30-03:59 03:59-04:30 04:30-05:00 05:00-05:29 05:29-06:00 Inooro TV Inooro 06:00-06:30 06:30-06:59 06:59-07:30 07:30-08:00 08:00-08:29 08:29-09:00 09:00-09:30 K-24 09:30-09:59 09:59-10:30 10:30-11:00 11:00-11:29 11:29-12:00 12:00-12:30 KBC 12:30-12:59 12:59-13:30 13:30-14:00 14:00-14:29 14:29-15:00 KTN 15:00-15:30 15:30-15:59 15:59-16:30 16:30-17:00 17:00-17:29 17:29-18:00 News KTN 18:00-18:30 18:30-18:59 18:59-19:30 19:30-20:00 20:00-20:29 20:29-21:00 21:00-21:30 NTV 21:30-21:59 Soaps & Local 21:59-22:30 22:30-23:00 shows 23:00-23:29 23:29-00:00 PLATFORM OVERRIDES CONTENT Increased ratings instantly Platform and Habit override Content override Habit and Platform 14 00:00-00:30 © 2017 Ipsos. 2017 © 00:30-00:59 00:59-01:30 01:30-02:00 02:00-02:29 02:29-03:00 03:00-03:30 03:30-03:59 03:59-04:30 04:30-05:00 05:00-05:29 05:29-06:00 06:00-06:30 06:30-06:59 06:59-07:30 07:30-08:00 08:00-08:29 08:29-09:00 09:00-09:30 09:30-09:59 09:59-10:30 10:30-11:00 11:00-11:29 Maisha Magic East Magic Maisha 11:29-12:00 12:00-12:30 12:30-12:59 12:59-13:30 13:30-14:00 14:00-14:29 14:29-15:00 15:00-15:30 15:30-15:59 15:59-16:30 16:30-17:00 17:00-17:29 17:29-18:00 18:00-18:30 18:30-18:59 18:59-19:30 airedpreviously on mainstream stations & own & own programs stations local 19:30-20:00 Airing Peak before before PrimePeak Time: 20:00-20:29 20:29-21:00 l ocal 21:00-21:30 21:30-21:59 shows that have 21:59-22:30 22:30-23:00 23:00-23:29 23:29-00:00 IS CONTENT REALLY 15 © 2017 Ipsos. Gikuyu TV Ratings TV Gikuyu 16 0% 0% 0% 0% 0% 0% 0% 0% © 2017 Ipsos. 2017 © 00:00-00:30 00:30-00:59 00:59-01:30 01:30-02:00 02:00-02:29 02:29-03:00 03:00-03:30 03:30-03:59 03:59-04:30 04:30-05:00 05:00-05:29 05:29-06:00 06:00-06:30 06:30-06:59 06:59-07:30 07:30-08:00 08:00-08:29 08:29-09:00 09:00-09:30 09:30-09:59 09:59-10:30 10:30-11:00 11:00-11:29 11:29-12:00 TV Gikuyu 12:00-12:30 12:30-12:59 12:59-13:30 13:30-14:00 14:00-14:29 14:29-15:00 15:00-15:30 15:30-15:59 15:59-16:30 16:30-17:00 17:00-17:29 17:29-18:00 Movies DJ Afro DJ 18:00-18:30 18:30-18:59 18:59-19:30 19:30-20:00 20:00-20:29 20:29-21:00 21:00-21:30 21:30-21:59 21:59-22:30 22:30-23:00 23:00-23:29 23:29-00:00 THE ONLINE SPACE IS THE NEXT FRONTIER How valid are the public stats? 17 © 2017 Ipsos. This can’t be correct… Estimated Estimated Population Internet Population Internet Rank Country Internet Users Rank Country Internet Users (2017 Est.) penetration % (2017 Est.) penetration % 2017 2017 1 Kenya 48,466,928 39,664,377 82% 1 China 1,382,323,332 721,434,547 52% 2 Mauritius 1,281,353 803,896 63% 2 India 1,326,801,576 462,124,989 35% 3 Seychelles 97,539 56,168 58% 3 U.S. 324,118,787 286,942,362 89% 4 Morocco 35,241,418 20,207,154 57% 4 Brazil 209,567,920 139,111,185 66% 5 South Africa 55,436,360 28,580,290 52% 5 Japan 126,323,715 115,111,595 91% 6 Tunisia 11,494,760 5,800,000 51% 6 Russia 143,439,832 102,258,256 71% 7 Saint Helena (UK) 3,970 2,000 50% 7 Nigeria 186,987,563 86,219,965 46% 8 Nigeria 191,835,936 93,591,174 49% 8 Germany 80,682,351 71,016,605 88% 9 Algeria 41,063,753 18,580,000 45% 9 U.K. 65,111,143 60,273,385 93% 10 Reunion (FR) 873,356 390,000 45% 10 Mexico 128,632,004 58,016,997 45% Source: www.internetworldstats.com Source: www.internetworldstats.com • With a population of 48 million and an internet penetration of 82%, this means that children and a high proportion of rural population access the internet • Can Kenya’s internet penetration be higher than China and Russia? 18 © 2017 Ipsos. The online space is the next frontier Magazine Newspaper Internet Television Radio Radio 65.10% Television 46.10% Internet 28.20% Newspaper 10.30% Magazine 0.40% 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 19 © 2017 Ipsos. Source: KARF (Kenya Audience Research Foundation) Base: Past 7 Day media consumers aged 15 years+ (19,021,053) MEDIA TOUCHPOINT COMPETITION Daily Media Brand Audience Reach 1. Citizen TV 24.3% 2. Whatsapp 17.8% 3. Facebook 14.3% 4. Citizen Radio 13.5% 5. KTN 7.5% 6. Jambo FM 6.5% 7. NTV 6.4% 8. Daily Nation 5.9% 9. Radio Maisha 5.7% 10. Inooro FM 5.4% 11. Inooro TV 4.7% 12. Kameme Radio 3.7% 13. KTN News 3.7% 14. K-24 3.5% 15. Kass FM 3.4% 16. Ramogi FM 3.4% 17. Radio Taifa 3.0% 18. Google 3.0% 19. Milele FM 2.9% 20. Chamgei FM 2.6% 21. KBC 2.5% 22. Classic FM 2.4% 23.
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