THE DYNAMICS OF THE UK TV MARKET Latest consumer and business trends 24th October 2017 ATON IK ATON IK D I GITA L D I GITA L Nathalie Lethbridge [email protected] atonikdigital.com 2 Television and audio-visual content ofcom.org.uk CommunicationsATON IK Market Report 2017AT O- UnitedN IK Kingdom 2 Television and audio-visual content D I GITA L D I GITA L ^ƉĞŶĚŽŶh<ͲŽƌŝŐŝŶĂƚĞĚƉƌŽŐƌĂŵŵŝŶŐďLJƚŚĞŵĂŝŶĮǀĞW^ĐŚĂŶŶĞůƐǁĂƐĂƚŝƚƐŚŝŐŚĞƐƚůĞǀĞů DĂŶLJƉĞŽƉůĞƐƵďƐĐƌŝďĞƚŽŵŽƌĞƚŚĂŶŽŶĞŽŶͲĚĞŵĂŶĚͬƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐŝŶĐĞϮϬϭϮ KǀĞƌĂůůƐƉĞŶĚŽŶĮƌƐƚͲƌƵŶh<Ͳ ^ƉĞŶĚŽŶƉĞĂŬƟŵĞƉƌŽŐƌĂŵŵŝŶŐ ŽƌŝŐŝŶĂůƐƉŽƌƚƐĐŽŶƚĞŶƚŝŶĚĂLJƟŵĞ LJƚŚĞĞŶĚŽĨϮϬϭϲ͕ĨŽƵƌŝŶƚĞŶ ŵŽƐƚƉŽƉƵůĂƌĐŽŵďŝŶĂƟŽŶǁĂƐ ŝŐŚƚƉĞƌĐĞŶƚŽĨĂůůƵƐĞƌƐŽĨEĞƞůŝdž͕ŽƌŝŐŝŶĂƚĞĚƉƌŽŐƌĂŵŵŝŶŐ;ŝŶĐůƵĚŝŶŐ ĂŶĚŶĂƟŽŶƐ͛ĂŶĚƌĞŐŝŽŶƐ͛ ĂŶĚůĂƚĞŶŝŐŚƚǁŚĞŶĐŽǀĞƌŝŶŐƚŚĞ ƵƐĞƌƐŽĨEĞƞůŝdž͕ŵĂnjŽŶWƌŝŵĞ EĞƞůŝdžĂŶĚŵĂnjŽŶWƌŝŵĞ͕ǁŝƚŚ ŵĂnjŽŶWƌŝŵĞĂŶĚEKtdsŚĂĚŶĂƟŽŶƐ͛ĂŶĚƌĞŐŝŽŶƐ͛ƉƌŽŐƌĂŵŵŝŶŐͿ ƉƌŽŐƌĂŵŵŝŶŐǁĂƐďƌŽĂĚůLJƐƚĂďůĞ͕ ϮϬϭϲh&ƵƌŽƉĞĂŶ&ŽŽƚďĂůů ĂŶĚEKtdsŚĂĚĂĐĐĞƐƐƚŽŵŽƌĞ ϮϲйŽĨƵƐĞƌƐƵƐŝŶŐďŽƚŚƐĞƌǀŝĐĞƐ ĂĐĐĞƐƐƚŽĂůůƚŚƌĞĞƐĞƌǀŝĐĞƐŝŶƚŚĞďLJƚŚĞŵĂŝŶĮǀĞW^ĐŚĂŶŶĞůƐʹ ǁŚŝůĞƐƉĞŶĚŽŶůĂƚĞͲŶŝŐŚƚĂŶĚ ŚĂŵƉŝŽŶƐŚŝƉƐĂŶĚƚŚĞZŝŽ KŶĞ͕dǁŽ͕/ds;ŝŶĐůƵĚŝŶŐ ĚĂLJƟŵĞƉƌŽŐƌĂŵŵŝŶŐŐƌĞǁďLJ KůLJŵƉŝĐĂŶĚWĂƌĂůLJŵƉŝĐ'ĂŵĞƐ͘ ƚŚĂŶŽŶĞŽĨƚŚĞƐĞƐĞƌǀŝĐĞƐ͘dŚĞ ŝŶƚŚĞĮŶĂůƋƵĂƌƚĞƌŽĨϮϬϭϲ͘ ĮŶĂůƚŚƌĞĞŵŽŶƚŚƐŽĨϮϬϭϲ͘/dsƌĞĂŬĨĂƐƚͿͬ^dsͬhds͕ŚĂŶŶĞůϰ ϯϭйĂŶĚϰйƌĞƐƉĞĐƟǀĞůLJŝŶƌĞĂů KǀĞƌůĂƉďĞƚǁĞĞŶƐƵďƐĐƌŝďĞƌƐŽĨĂŶĚŚĂŶŶĞůϱʹŝŶĐƌĞĂƐĞĚďLJϰй ƚĞƌŵƐ͘dŚŝƐŵĂLJďĞĚƵĞŝŶƉĂƌƚƚŽ ƚŚĞŵĂŝŶƚĞůĞǀŝƐŝŽŶƐƵďƐĐƌŝƉƟŽŶŝŶƌĞĂůƚĞƌŵƐƚŽάϮ͕ϳϬϴŵŝŶϮϬϭϲ͘ ďƌŽĂĚĐĂƐƚĞƌƐŝŶĐƌĞĂƐŝŶŐƐƉĞŶĚŽŶ &ŝŐƵƌĞϮ͘ϰ͗^ƵďƐĐƌŝƉƟŽŶŽŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐŽǀĞƌůĂƉ services in the UK &ŝŐƵƌĞϮ͘ϭϴ͗^ƉĞŶĚŽŶĮƌƐƚͲƌƵŶh<ŽƌŝŐŝŶĂƚĞĚŽƵƚƉƵƚŽŶƚŚĞĮǀĞŵĂŝŶW^ĐŚĂŶŶĞůƐ Growth 1 year 5 year £2,702m £2,712m £2,708m CAGR £2,610m £2,595m £2,506m Total Amazon £288m £279m £276m 4% 0% 36% £286m £272m 20% EĞƞůŝdž £269m £267m £269m £212m £277m Prime 26% £234m £245m 2% -0.9% Nat i ons & £607m £591m £562m £495m £553m £541m Regions 8% 31% 0.8% Late night 2% 4% 4% -1.5% Day t i me 4% £1,541m £1,574m £1,509m £1,526m £1,569m £1,592m Now TV 1% 0.7% Peak time 2011 2012 2013 2014 2015 2016 Source: 'Ĩ<^sŽdƌĂĐŬĞƌ͕YϰϮϬϭϲKĐƚŽďĞƌͲĞĐĞŵďĞƌϮϬϭϲ Source: KĨĐŽŵͬďƌŽĂĚĐĂƐƚĞƌƐ͘ Notes:tϭ͗ZĞĂƐŽŶƐĨŽƌƐŝŐŶŝŶŐƵƉĨŽƌͬƵƐŝŶŐƐĞƌǀŝĐĞ Note: &ŝŐƵƌĞƐĂƌĞĞdžƉƌĞƐƐĞĚŝŶƌĞĂůƚĞƌŵƐ;ϮϬϭϲƉƌŝĐĞƐͿ͘dŚĞLJŝŶĐůƵĚĞ/dsďƌĞĂŬĨĂƐƚ͕ƐƉĞŶĚŝŶŐŝŶƚŚĞŶĂƟŽŶƐĂŶĚƌĞŐŝŽŶƐŽŶŶŐůŝƐŚͲ Base:EĞƞůŝdžƵƐĞƌƐ;ŶсϭϲϳϬ;ϭϯϴƚƌŝĂůůŝƐƚƐͿͿ͕ŵĂnjŽŶWƌŝŵĞsŝĚĞŽƵƐĞƌƐ;ŶсϭϮϱϱ;ϭϱϲƚƌŝĂůůŝƐƚƐͿͿ͕EKtdsƵƐĞƌƐ;ŶсϰϮϯůĂŶŐƵĂŐĞƉƌŽŐƌĂŵŵŝŶŐ;ĂŶĚĂƐŵĂůůĂŵŽƵŶƚŽĨ/ƌŝƐŚͲůĂŶŐƵĂŐĞƉƌŽŐƌĂŵŵĞƐͿďƵƚĚŽŶŽƚŝŶĐůƵĚĞƚŚĞ͛ƐƉŽƌƞŽůŝŽĐŚĂŶŶĞůƐ͕ůďĂ ;ϴϬƚƌŝĂůůŝƐƚƐͿͿ Žƌ^ϰ͘ Note:hƐĞƌƐŝŶĐůƵĚĞƚŚŽƐĞǁŚŽĞŝƚŚĞƌƐƵďƐĐƌŝďĞƚŽŽƌĂƌĞƚƌŝĂůůŝŶŐĞĂĐŚƐĞƌǀŝĐĞĂŶĚƵƐĞŝƚĂƚůĞĂƐƚŽŶĐĞĂĨŽƌƚŶŝŐŚƚ͘ 58 58 58 58 58 58 58 58 41 41 41 41 41 41 41 41 1 United Kingdom’s communications market Communications Market Report 2017 - United Kingdom 1.4.2 The services people use KŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐĂƌĞďĞĐŽŵŝŶŐŵŽƌĞŵĂŝŶƐƚƌĞĂŵ 2 tŚŝůĞϵϭйŽĨh<ĂĚƵůƚƐǁĂƚĐŚĞĚ ĂĚƵůƚ;ϭϲнͿƉĞƌĚĂLJŝŶϮϬϭϲϮ͘ ĂĚƵůƚƐĐŝƟŶŐƚŚŝƐ͕ĨŽůůŽǁĞĚďLJ/ds ůŝǀĞdsŝŶĂŶĂǀĞƌĂŐĞǁĞĞŬŝŶ ,Ƶď;ϰϬйͿĂŶĚzŽƵdƵďĞ;ϯϴйͿ͘ Strong decrease of live TV tŚĞŶƌĞƐƉŽŶĚĞŶƚƐƚŽŽƵƌϮϬϭϳ ϮϬϭϲϭ͕ĚĂƚĂĨƌŽŵZƐŚŽǁƚŚĂƚ ůŵŽƐƚĂƚŚŝƌĚ;ϯϭйͿƐĂŝĚƚŚĞLJƵƐĞĚ viewing with youngest survey were asked what services ƚŚĞĂŵŽƵŶƚŽĨƟŵĞh<ĂĚƵůƚƐ EĞƞůŝdžĨŽƌǁĂƚĐŚŝŶŐƉƌŽŐƌĂŵŵĞƐ 1 United Kingdom’s communications marketŽƚŚĞƌƚŚĂŶůŝǀĞďƌŽĂĚĐĂƐƚdsƚŚĞLJCommunications Market Report 2017 - United Kingdom 66% of ƐƉĞŶĚǁĂƚĐŚŝŶŐŚĂƐĨĂůůĞŶƐŝŶĐĞ ĂŶĚĮůŵƐĨŽůůŽǁĞĚďLJůůϰ;ϮϲйͿ demographics. ƵƐĞĚƚŽǁĂƚĐŚdsƉƌŽŐƌĂŵŵĞƐĂŶĚ ϮϬϭϬ͕ǁŝƚŚĂĚĞĐůŝŶĞŝŶĂǀĞƌĂŐĞ ĂŶĚŵĂnjŽŶWƌŝŵĞ;ϮϬйͿ͕DLJϱ 94% of UK TV HH teens use Youtube to ĮůŵƐ͕ŝWůĂLJĞƌǁĂƐƚŚĞŵŽƐƚ ĚĂŝůLJǀŝĞǁŝŶŐƟŵĞŽĨϯϲŵŝŶƵƚĞƐ ;ϭϴйͿĂŶĚ&ĂĐĞŬ;ϭϲйͿ͕ǁŝƚŚ ƉŽƉƵůĂƌĐŚŽŝĐĞ͕ǁŝƚŚϲϯйŽĨh< own a digital TV watch TV programmes and ;ͲϭϰйͿƚŽϯŚŽƵƌƐϱϭŵŝŶƵƚĞƐƉĞƌ ĂůůŽƚŚĞƌƐĞƌǀŝĐĞƐďĞůŽǁϭϱй͘ movies vs 38% of all 1.4.2 The services people use Communications Market Report 2017 - United Kingdom 1 1 UnitedUnited Kingdom’s Kingdom’s communications communications&ŝŐƵƌĞϭ͘ϲ͗dŚĞƉƌŽƉŽƌƟŽŶŽĨĂĚƵůƚƐǁŚŽƵƐĞĚŝīĞƌĞŶƚƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐdsƉƌŽŐƌĂŵŵĞƐͬĮůŵƐ;йͿ market market Communications Market Report 2017 - United Kingdom adults 1 United Kingdom’s communications market Communications Market Report 2017 - United Kingdom KŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐĂƌĞďĞĐŽŵŝŶŐŵŽƌĞŵĂŝŶƐƚƌĞĂŵ 3.51 average daily 63% 40% 38% 31% 28% tŚŝůĞϵϭйŽĨh<ĂĚƵůƚƐǁĂƚĐŚĞĚ ĂĚƵůƚ;ϭϲнͿƉĞƌĚĂLJŝŶϮϬϭϲϮ͘ ĂĚƵůƚƐĐŝƟŶŐƚŚŝƐ͕ĨŽůůŽǁĞĚďLJ/ds ůŝǀĞdsŝŶĂŶĂǀĞƌĂŐĞǁĞĞŬŝŶ ,Ƶď;ϰϬйͿĂŶĚzŽƵdƵďĞ;ϯϴйͿ͘ minutes for live 1.4.2 The services people use tŚĞŶƌĞƐƉŽŶĚĞŶƚƐƚŽŽƵƌϮϬϭϳ TV 1.4.2 The servicesϮϬϭϲϭ͕ĚĂƚĂĨƌŽŵZƐŚŽǁƚŚĂƚ people use ůŵŽƐƚĂƚŚŝƌĚ;ϯϭйͿƐĂŝĚƚŚĞLJƵƐĞĚ 1.4.2 The services people use survey were asked what services ZĞĐŽƌĚĞĚds broadcast TV viewing ƚŚĞĂŵŽƵŶƚŽĨƟŵĞh<ĂĚƵůƚƐ EĞƞůŝdžĨŽƌǁĂƚĐŚŝŶŐƉƌŽŐƌĂŵŵĞƐ ŽƚŚĞƌƚŚĂŶůŝǀĞďƌŽĂĚĐĂƐƚdsƚŚĞLJ KŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐĂƌĞďĞĐŽŵŝŶŐŵŽƌĞŵĂŝŶƐƚƌĞĂŵƐƉĞŶĚǁĂƚĐŚŝŶŐŚĂƐĨĂůůĞŶƐŝŶĐĞ ĂŶĚĮůŵƐĨŽůůŽǁĞĚďLJůůϰ;ϮϲйͿ per adult per day in KŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐĂƌĞďĞĐŽŵŝŶŐŵŽƌĞŵĂŝŶƐƚƌĞĂŵƵƐĞĚƚŽǁĂƚĐŚdsƉƌŽŐƌĂŵŵĞƐĂŶĚ 91% of UK TV HH view KŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐĂƌĞďĞĐŽŵŝŶŐŵŽƌĞŵĂŝŶƐƚƌĞĂŵϮϬϭϬ͕ǁŝƚŚĂĚĞĐůŝŶĞŝŶĂǀĞƌĂŐĞ ĂŶĚŵĂnjŽŶWƌŝŵĞ;ϮϬйͿ͕DLJϱ ĮůŵƐ͕ŝWůĂLJĞƌǁĂƐƚŚĞŵŽƐƚϮ tŚŝůĞϵϭйŽĨh<ĂĚƵůƚƐǁĂƚĐŚĞĚtŚŝůĞϵϭйŽĨh<ĂĚƵůƚƐǁĂƚĐŚĞĚĚĂŝůLJǀŝĞǁŝŶŐƟŵĞŽĨϯϲŵŝŶƵƚĞƐ26% ĂĚƵůƚ;ϭϲнͿƉĞƌĚĂLJŝŶϮϬϭϲĂĚƵůƚ;ϭϲнͿƉĞƌĚĂLJŝŶϮϬϭϲ20% Ϯ͘ ͘ 18%ĂĚƵůƚƐĐŝƟŶŐƚŚŝƐ͕ĨŽůůŽǁĞĚďLJ/dsĂĚƵůƚƐĐŝƟŶŐƚŚŝƐ͕ĨŽůůŽǁĞĚďLJ/ds16%;ϭϴйͿĂŶĚ&ĂĐĞŬ;ϭϲйͿ͕ǁŝƚŚ12% 2016 Ϯ live TV in an average tŚŝůĞϵϭйŽĨh<ĂĚƵůƚƐǁĂƚĐŚĞĚůŝǀĞdsŝŶĂŶĂǀĞƌĂŐĞǁĞĞŬŝŶĂĚƵůƚ;ϭϲнͿƉĞƌĚĂLJŝŶϮϬϭϲ ͘ ĂĚƵůƚƐĐŝƟŶŐƚŚŝƐ͕ĨŽůůŽǁĞĚďLJ/dsƉŽƉƵůĂƌĐŚŽŝĐĞ͕ǁŝƚŚϲϯйŽĨh<,Ƶď;ϰϬйͿĂŶĚzŽƵdƵďĞ;ϯϴйͿ͘ Widening gap ůŝǀĞdsŝŶĂŶĂǀĞƌĂŐĞǁĞĞŬŝŶ;ͲϭϰйͿƚŽϯŚŽƵƌƐϱϭŵŝŶƵƚĞƐƉĞƌtŚĞŶƌĞƐƉŽŶĚĞŶƚƐƚŽŽƵƌϮϬϭϳ ,Ƶď;ϰϬйͿĂŶĚzŽƵdƵďĞ;ϯϴйͿ͘ĂůůŽƚŚĞƌƐĞƌǀŝĐĞƐďĞůŽǁϭϱй͘ ϭ tŚĞŶƌĞƐƉŽŶĚĞŶƚƐƚŽŽƵƌϮϬϭϳ ůŝǀĞdsŝŶĂŶĂǀĞƌĂŐĞǁĞĞŬŝŶϮϬϭϲϭ ͕ĚĂƚĂĨƌŽŵZƐŚŽǁƚŚĂƚ ,Ƶď;ϰϬйͿĂŶĚzŽƵdƵďĞ;ϯϴйͿ͘ůŵŽƐƚĂƚŚŝƌĚ;ϯϭйͿƐĂŝĚƚŚĞLJƵƐĞĚ ϮϬϭϲ ͕ĚĂƚĂĨƌŽŵZƐŚŽǁƚŚĂƚtŚĞŶƌĞƐƉŽŶĚĞŶƚƐƚŽŽƵƌϮϬϭϳsurvey were asked what services ůŵŽƐƚĂƚŚŝƌĚ;ϯϭйͿƐĂŝĚƚŚĞLJƵƐĞĚ week - 13% decline in ϮϬϭϲϭ͕ĚĂƚĂĨƌŽŵZƐŚŽǁƚŚĂƚƚŚĞĂŵŽƵŶƚŽĨƟŵĞh<ĂĚƵůƚƐ survey were askedůŵŽƐƚĂƚŚŝƌĚ;ϯϭйͿƐĂŝĚƚŚĞLJƵƐĞĚ what services EĞƞůŝdžĨŽƌǁĂƚĐŚŝŶŐƉƌŽŐƌĂŵŵĞƐ between viewing ƚŚĞĂŵŽƵŶƚŽĨƟŵĞh<ĂĚƵůƚƐsurvey were&ŝŐƵƌĞϭ͘ϲ͗ asked dŚĞƉƌŽƉŽƌƟŽŶŽĨĂĚƵůƚƐǁŚŽƵƐĞĚŝīĞƌĞŶƚƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐdsƉƌŽŐƌĂŵŵĞƐͬĮůŵƐ;йͿwhat servicesŽƚŚĞƌƚŚĂŶůŝǀĞďƌŽĂĚĐĂƐƚdsƚŚĞLJ EĞƞůŝdžĨŽƌǁĂƚĐŚŝŶŐƉƌŽŐƌĂŵŵĞƐ ƚŚĞĂŵŽƵŶƚŽĨƟŵĞh<ĂĚƵůƚƐƐƉĞŶĚǁĂƚĐŚŝŶŐŚĂƐĨĂůůĞŶƐŝŶĐĞ ŽƚŚĞƌƚŚĂŶůŝǀĞďƌŽĂĚĐĂƐƚdsƚŚĞLJEĞƞůŝdžĨŽƌǁĂƚĐŚŝŶŐƉƌŽŐƌĂŵŵĞƐĂŶĚĮůŵƐĨŽůůŽǁĞĚďLJůůϰ;ϮϲйͿ daily viewing time ƐƉĞŶĚǁĂƚĐŚŝŶŐŚĂƐĨĂůůĞŶƐŝŶĐĞŽƚŚĞƌƚŚĂŶůŝǀĞďƌŽĂĚĐĂƐƚdsƚŚĞLJƵƐĞĚƚŽǁĂƚĐŚdsƉƌŽŐƌĂŵŵĞƐĂŶĚ ĂŶĚĮůŵƐĨŽůůŽǁĞĚďLJůůϰ;ϮϲйͿ habits of youngest ƐƉĞŶĚǁĂƚĐŚŝŶŐŚĂƐĨĂůůĞŶƐŝŶĐĞϮϬϭϬ͕ǁŝƚŚĂĚĞĐůŝŶĞŝŶĂǀĞƌĂŐĞ ƵƐĞĚƚŽǁĂƚĐŚdsƉƌŽŐƌĂŵŵĞƐĂŶĚĂŶĚĮůŵƐĨŽůůŽǁĞĚďLJůůϰ;ϮϲйͿĂŶĚŵĂnjŽŶWƌŝŵĞ;ϮϬйͿ͕DLJϱ ϮϬϭϬ͕ǁŝƚŚĂĚĞĐůŝŶĞŝŶĂǀĞƌĂŐĞƵƐĞĚƚŽǁĂƚĐŚdsƉƌŽŐƌĂŵŵĞƐĂŶĚĮůŵƐ͕ŝWůĂLJĞƌǁĂƐƚŚĞŵŽƐƚ ĂŶĚŵĂnjŽŶWƌŝŵĞ;ϮϬйͿ͕DLJϱ ϮϬϭϬ͕ǁŝƚŚĂĚĞĐůŝŶĞŝŶĂǀĞƌĂŐĞĚĂŝůLJǀŝĞǁŝŶŐƟŵĞŽĨϯϲŵŝŶƵƚĞƐ63% ĮůŵƐ͕ŝWůĂLJĞƌǁĂƐƚŚĞŵŽƐƚ40%ĂŶĚŵĂnjŽŶWƌŝŵĞ;ϮϬйͿ͕DLJϱ38% ;ϭϴйͿĂŶĚ&ĂĐĞŬ;ϭϲйͿ͕ǁŝƚŚ31% 28% since 2010, 1% in past ĚĂŝůLJǀŝĞǁŝŶŐƟŵĞŽĨϯϲŵŝŶƵƚĞƐĮůŵƐ͕ŝWůĂLJĞƌǁĂƐƚŚĞŵŽƐƚƉŽƉƵůĂƌĐŚŽŝĐĞ͕ǁŝƚŚϲϯйŽĨh< ;ϭϴйͿĂŶĚ&ĂĐĞŬ;ϭϲйͿ͕ǁŝƚŚ and oldest audience ĚĂŝůLJǀŝĞǁŝŶŐƟŵĞŽĨϯϲŵŝŶƵƚĞƐ;ͲϭϰйͿƚŽϯŚŽƵƌƐϱϭŵŝŶƵƚĞƐƉĞƌ ƉŽƉƵůĂƌĐŚŽŝĐĞ͕ǁŝƚŚϲϯйŽĨh<;ϭϴйͿĂŶĚ&ĂĐĞŬ;ϭϲйͿ͕ǁŝƚŚĂůůŽƚŚĞƌƐĞƌǀŝĐĞƐďĞůŽǁϭϱй͘ ;ͲϭϰйͿƚŽϯŚŽƵƌƐϱϭŵŝŶƵƚĞƐƉĞƌƉŽƉƵůĂƌĐŚŽŝĐĞ͕ǁŝƚŚϲϯйŽĨh< ĂůůŽƚŚĞƌƐĞƌǀŝĐĞƐďĞůŽǁϭϱй͘ year alone (33% for ;ͲϭϰйͿƚŽϯŚŽƵƌƐϱϭŵŝŶƵƚĞƐƉĞƌ tŚĞŶǁĞŐƌŽƵƉƚŚĞƐĞƚŽŐĞƚŚĞƌŝŶƚŽĂůůŽƚŚĞƌƐĞƌǀŝĐĞƐďĞůŽǁϭϱй͘,Ƶď͕DLJϱͿƵƐĞĚďLJϲϳйŽĨĂĚƵůƚƐ sŝƌŐŝŶDĞĚŝĂ;ϮϯйͿ͘ĚƵůƚƐĂŐĞĚϭϲͲTV &ŝŐƵƌĞϭ͘ϲ͗dŚĞƉƌŽƉŽƌƟŽŶŽĨĂĚƵůƚƐǁŚŽƵƐĞĚŝīĞƌĞŶƚƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐdsƉƌŽŐƌĂŵŵĞƐͬĮůŵƐ;йͿtypes of services, we can see that ĐŽŵďŝŶĞĚ͕ĨŽůůŽǁĞĚďLJƐƵďƐĐƌŝƉƟŽŶ ϮϰĂƌĞŵŽƐƚůŝŬĞůLJƚŽƵƐĞŵŽƐƚƚLJƉĞƐ &ŝŐƵƌĞϭ͘ϲ͗dŚĞƉƌŽƉŽƌƟŽŶŽĨĂĚƵůƚƐǁŚŽƵƐĞĚŝīĞƌĞŶƚƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐdsƉƌŽŐƌĂŵŵĞƐͬĮůŵƐ;йͿ ZĞĐŽƌĚĞĚds 16-24, 6% in past year &ŝŐƵƌĞϭ͘ϲ͗dŚĞƉƌŽƉŽƌƟŽŶŽĨĂĚƵůƚƐǁŚŽƵƐĞĚŝīĞƌĞŶƚƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐdsƉƌŽŐƌĂŵŵĞƐͬĮůŵƐ;йͿƚŚĞŵŽƐƚƉŽƉƵůĂƌŽŶͲĚĞŵĂŶĚĂŶĚ ŽŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐ ŽĨƐĞƌǀŝĐĞƐ͕ŝŶĐůƵĚŝŶŐƚŚƌĞĞͲƋƵĂƌƚĞƌƐ ƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐ ƐƵĐŚĂƐŵĂnjŽŶWƌŝŵĞĂŶĚEĞƞůŝdž ǁŚŽƐĂLJƚŚĞLJƵƐĞƐƵďƐĐƌŝƉƟŽŶ 73% of 18-24 63% 40% 38% 31% 28% alone) 63% ƉƌŽŐƌĂŵŵĞƐĂŶĚĮůŵƐĂƌĞƚŚĞ40% 38% ;ϰϱйͿ͕ƐŽĐŝĂůŵĞĚŝĂƉůĂƞŽƌŵƐƐƵĐŚ31% 28% ŽŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐ 63% 40% 38% 31% 28% year olds watch ƉƵďůŝĐƐĞƌǀŝĐĞďƌŽĂĚĐĂƐƚĞƌƐ͛ŽŶůŝŶĞ26% 20% ĂƐ&ĂĐĞŬĂŶĚzŽƵdƵďĞ;ϰϭйͿĂŶĚ18% 16% ;ϳϲйͿĂŶĚďƌŽĂĚĐĂƐƚĞƌŽŶͲĚĞŵĂŶĚ12% ƐĞƌǀŝĐĞƐ;ŝWůĂLJĞƌ͕ůůϰ͕/ds ƉĂLJdsƐĞƌǀŝĐĞƐƐƵĐŚĂƐ^ŬLJdsĂŶĚ TVTVĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐ;ϳϱйͿ͘ online video TV ZĞĐŽƌĚĞĚdsZĞĐŽƌĚĞĚds daily 13 ZĞĐŽƌĚĞĚds 13 26%26% 20%20% 18%18% 16%16% 12%12% 26% 20% 13 18% 16% 12% tŚĞŶǁĞŐƌŽƵƉƚŚĞƐĞƚŽŐĞƚŚĞƌŝŶƚŽ ,Ƶď͕DLJϱͿƵƐĞĚďLJϲϳйŽĨĂĚƵůƚƐ sŝƌŐŝŶDĞĚŝĂ;ϮϯйͿ͘ĚƵůƚƐĂŐĞĚϭϲͲ 13 types of services, we can see that ĐŽŵďŝŶĞĚ͕ĨŽůůŽǁĞĚďLJƐƵďƐĐƌŝƉƟŽŶ ϮϰĂƌĞŵŽƐƚůŝŬĞůLJƚŽƵƐĞŵŽƐƚƚLJƉĞƐ ƚŚĞŵŽƐƚƉŽƉƵůĂƌŽŶͲĚĞŵĂŶĚĂŶĚ ŽŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐ ŽĨƐĞƌǀŝĐĞƐ͕ŝŶĐůƵĚŝŶŐƚŚƌĞĞͲƋƵĂƌƚĞƌƐ 13 52% of adults enjoy the PROFILE OF UK TV CONSUMER 2017 ƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐĨŽƌǁĂƚĐŚŝŶŐ ƐƵĐŚĂƐŵĂnjŽŶWƌŝŵĞĂŶĚEĞƞůŝdž ǁŚŽƐĂLJƚŚĞLJƵƐĞƐƵďƐĐƌŝƉƟŽŶ freedom of watching TV 13 ƉƌŽŐƌĂŵŵĞƐĂŶĚĮůŵƐĂƌĞƚŚĞ ;ϰϱйͿ͕ƐŽĐŝĂůŵĞĚŝĂƉůĂƞŽƌŵƐƐƵĐŚ ŽŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐ ƉƵďůŝĐƐĞƌǀŝĐĞďƌŽĂĚĐĂƐƚĞƌƐ͛ŽŶůŝŶĞ ĂƐ&ĂĐĞŬĂŶĚzŽƵdƵďĞ;ϰϭйͿĂŶĚ ;ϳϲйͿĂŶĚďƌŽĂĚĐĂƐƚĞƌŽŶͲĚĞŵĂŶĚ anywhere tŚĞŶǁĞŐƌŽƵƉƚŚĞƐĞƚŽŐĞƚŚĞƌŝŶƚŽtŚĞŶǁĞŐƌŽƵƉƚŚĞƐĞƚŽŐĞƚŚĞƌŝŶƚŽ13 ƐĞƌǀŝĐĞƐ;ŝWůĂLJĞƌ͕ůůϰ͕/ds,Ƶď͕DLJϱͿƵƐĞĚďLJϲϳйŽĨĂĚƵůƚƐ,Ƶď͕DLJϱͿƵƐĞĚďLJϲϳйŽĨĂĚƵůƚƐƉĂLJdsƐĞƌǀŝĐĞƐƐƵĐŚĂƐ^ŬLJdsĂŶĚsŝƌŐŝŶDĞĚŝĂ;ϮϯйͿ͘ĚƵůƚƐĂŐĞĚϭϲͲsŝƌŐŝŶDĞĚŝĂ;ϮϯйͿ͘ĚƵůƚƐĂŐĞĚϭϲͲĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐ;ϳϱйͿ͘ tŚĞŶǁĞŐƌŽƵƉƚŚĞƐĞƚŽŐĞƚŚĞƌŝŶƚŽtypestypes of ofservices, services,,Ƶď͕DLJϱͿƵƐĞĚďLJϲϳйŽĨĂĚƵůƚƐ we we can can seeϭŚƩƉƐ͗ͬͬǁǁǁ͘ŽĨĐŽŵ͘ŽƌŐ͘ƵŬͬƌĞƐĞĂƌĐŚͲĂŶĚͲĚĂƚĂͬŵƵůƟͲƐĞĐƚŽƌͲƌĞƐĞĂƌĐŚͬĚŝŐŝƚĂůͲĚĂLJ see that that ĐŽŵďŝŶĞĚ͕ĨŽůůŽǁĞĚďLJƐƵďƐĐƌŝƉƟŽŶĐŽŵďŝŶĞĚ͕ĨŽůůŽǁĞĚďLJƐƵďƐĐƌŝƉƟŽŶsŝƌŐŝŶDĞĚŝĂ;ϮϯйͿ͘ĚƵůƚƐĂŐĞĚϭϲͲϮϰĂƌĞŵŽƐƚůŝŬĞůLJƚŽƵƐĞŵŽƐƚƚLJƉĞƐϮϰĂƌĞŵŽƐƚůŝŬĞůLJƚŽƵƐĞŵŽƐƚƚLJƉĞƐ types of services, we can seeƚŚĞŵŽƐƚƉŽƉƵůĂƌŽŶͲĚĞŵĂŶĚĂŶĚ that 13ĐŽŵďŝŶĞĚ͕ĨŽůůŽǁĞĚďLJƐƵďƐĐƌŝƉƟŽŶϮĚƵůƚƐϭϲн͘ĂƐĞĚŽŶǀŝĞǁŝŶŐƚŽŶͲĚĞŵĂŶĚĂŶĚƐƚƌĞĂŵŝŶŐƐĞƌǀŝĐĞƐŽƐĐŚĞĚƵůĞĚ͕ďƌŽĂĚĐĂƐƚdsŽŶdsƐĞƚƐŝŶĐůƵĚŝŶŐůŝǀĞĂƚƚŚĞƟŵĞŽĨďƌŽĂĚĐĂƐƚƉůƵƐϮϰĂƌĞŵŽƐƚůŝŬĞůLJƚŽƵƐĞŵŽƐƚƚLJƉĞƐŽĨƐĞƌǀŝĐĞƐ͕ŝŶĐůƵĚŝŶŐƚŚƌĞĞͲƋƵĂƌƚĞƌƐ