12. 2011
Children Turn into
Important Assets
Y1990
Y2030
15.95 mil (29.23%)
9.54 mil (13.5%)
Source: Office of National Economic and Social Development Board 2010
13. 2011
Due to the declining trend of children, they
will be a center of attention of the family
1mouth
6 wallets+
14. 2011
Need high value gift
to please them
ABAC Poll, Matichon Online, 1 Jan 2011
Most wanted gift for 2011
#1 Computer, Internet, iPad, iPod
#2 Mobile Phone
#3 Scholarship
15. 2011
Life is about connectedness via
technology and gadgets
Synovate in Prachachart Online, 3 Sep 10 (Teenager 8-24, Bkk only)
Bangkok teenagers are ranked # 1 in
Asia Pacific in terms of …
own & use mobile phone
longest chat time over mobile phone
highest no. of online friends
own desktop/laptop
16. 2011
Born to be
wired
• Activities online
• 56% listen to music
• 51% information search
• 49% game online
(APAC average: 51%, 47%, 21%)
• 49% own desktop/laptop
Spend 1.45hrs per day online
IMS, Nielsen Q2 2009 Vs 2010 (A 12-24 NW)
Synovate in Prachachart Online, 3 Sep 10 (Teenager 8-24, Bkk only)
17. 2011
friends on Social Network
(APAC average: 140)
FriendShip. FriendShift!!!
Synovate in Prachachart Online, 3 Sep 10 (Teenager 8-24, Bkk only)
211
18. 2011
• 72% of age 8-24 own a mobile phone
(APAC average: 64%)
• 30% of age 8-14 own a mobile phone
• Spend 1.07 hrs talk over their mobile
(APAC average: 49mins)
• Use functions more than APAC average
• 67% listen to music
• 65% take photo
• 32% video recorder
(APAC average: 51%, 47%, 21%)
Synovate in Prachachart Online, 3 Sep 10 (Teenager 8-24, Bkk only)
can’t live without
mobile phone1/4
Third screen as the
Life Line
23. 2011
Self Pampering
0.8mil – as approx. no.of Spa visit* (Siam Turakij, 25 Aug 2007)
12Billion – annual investment on fitness and spa* (Manager, 2 Sep 2010)
*Figure includes male population
24. 2011 Source: manager.co.th, 28 Sep 2010
2.7 Mil Thais travelled
overseas in the first half of 2010
China & S.Korea +30%
Europe +27%
25. 2011
“Lipstick Effect”
continues
Source: Omnicom Media Group Evolution of the Consumer, Dec 2010
Average China India Australia Thailand Japan S.Korea
I like to indulge in “small treats” regardless of my financial situation
Consumers have learned to enjoy small indulgences during the downturn. The “lipstick
effect” continues, even though economic optimism has increased
The importance of small treats
26. 2011
Shopping
Going out to eat
Going to concerts/live theater/sporting…
Things I am doing more in 2010 than 2009 - APAC
Consumers are slowly
de-cocooning
Source: Omnicom Media Group Evolution of the Consumer, Dec 2010
28. 2011
Modern
DigitalLifestyle
Internet Penetration: 34.7% (22.9 Million)
Internet through mobile phone 18 Million
Mobile Penetration: 69 Million
(Population 66 Million)
Smartphone Penetration: 10.5%
iPads since its first launch 100K units est. (by 2011)
30. 2011
Smartphone penetration is increasing!
Smartphone sales are growing with the launch of more affordable devices such as
the Samsung Candy and LG Pop ranges. The average cost of Smartphone is expected
to drop to 12,500Bht down from 15,000Bht in 2009 and 20,000Bht in 2008
31. 2011
MOBILE and ONLINE
MOBILE & ONLINE: THE PHONE I CAN
AFFORD
Mobiles are an even more cherished personal
accessory worldwide, with many emerging
market consumers going to great lengths to own
a mobile with the features they 'need'.
Consumers are using mobiles that connect to
the internet to engage in 'outdoor cocooning'
and using Apps to personalize their mobiles.
34. 2011
Women feel more
confident & powerful in
the workplace
Thailand boasts the greatest percentage
of women in senior management
Across the world, Thailand boasts the
greatest percentage of women in senior
management (45%), followed by Georgia
(40%), Russia (36%), Hong Kong and the Philippines (both
35%).
Source: Grant Thornton International Business Report (IBR), 2011
36. 2011
Less freedom, child
as a burden
Create financial
responsibility
Current
environment &
circumstance are
inappropriate for
children
Afraid to get
disappointed from a
child
Limitation from
work
Reasons of does not wish to have a child
do not want
to have kidSource: Krungthemturakij Supplement, November 2010
32%
37. 2011
You + Me = ?
Shrinking HH size
Number of members in HH
1990 5.0
2000 3.7
Source: NMR Media Index
2010 3.0
39. 2011
…DINKs will be 22.5%
of total HH
in 2015
2persons in HH
200717.4%
1995 15.0%
Source: Euromonitor Consumer Lifestyle Thailand
40. 2011
divorce rates are on the rise
No. of divorced couples („000)
109
Y2008
91
Y200571
Y2000
Source: Department of Provincial Administration
5.6mil persons is the expected
number of widowed female in 2020
(positioning, Jun 2010)
42. 2011
growing demand
for smaller units
Cumulative Condominium Units Sold
in BKK
24,260
13,154
347
H1‟03 H1‟07 H4‟09
Source: Raimond Land Condominium Focus
43. 2011
Especially in the
mid-low segment
Price of Units Sold in House & Condo Show 2010
76% <3 MB
24% 3+ MB
Source : Post Today “House & condo show”
47. 2011
Learning more about Thais from…
“Navigating Challenges” is our ongoing research identifying the impact of economic
factors on consumers globally, regionally and in Thailand
We cover a huge range of topics from altered spending levels to contemporary
purchase drivers, favored media usage to changing priorities. The research covers
both quantitative and qualitative methodologies
WAVE 3
48. 2011
Q. How has the current state of your country’s economy affected the way you spend your money?
Attitudes towards spending in 2011 more positive in
Brazil, China and India...Thailand not so
I spend money much more freely now than I typically would
I spend money somewhat more freely now than I typically would
I have not changed the way I spend money
I spend money somewhat more cautiously now than I typically would
I spend money much more cautiously now than I typically would
Source: Omnicom Media Group Evolution of the Consumer, Dec 2010
49. 2011
Compared to an average, Thais are still in “Price
sensitive” mode
Q. “When shopping, I look at prices more than I used to”
I expect to spend money much more freely than I do now
I expect to spend money somewhat more freely than I do now
I don’t expect to change the way I spend now
I expect to spend somewhat more cautiously than I now do
I expect to spend much more cautiously than I do now
Source: Omnicom Media Group Evolution of the Consumer, Dec 2010
50. 2011
Markets hit hardest by recession are now attuned to buying sale
items --- Almost 70% of Thais agreed they buy items on sales
Q. “Nowadays, I buy things on sale…”(1=Always, 7=Never)
-Never
Source: Omnicom Media Group Evolution of the Consumer, Dec 2010
51. 2011
Bulk buying is an emerging approach to get a good deal
among Thais to cope with the recession
Q. “Nowadays, I buy products in bulk…”(1=Always, 7=Never)
-Never
Source: Omnicom Media Group Evolution of the Consumer, Dec 2010
52. 2011
Aspirations for luxury brands in emerging markets have
overtaken those in established markets
Q. Which of the following would you buy more of, either for yourself or your family, if you were wealthier than
you are today? Designer clothes-accessories
Poland
Hungary
Ireland
France
Russia
Spain
Sweden
Italy
Denmark
CzechRep
Netherlands
Germany
Brazil
India
China
Argentina
Australia
SouthKorea
USA
Japan
Source: nVision 2010
54. 2011
Category open to a high degree of
compromise
Brand Name Fashion
The compromise is to opt out
completely and make do with what
they already have
Travel
• High attractiveness of alternatives
• Short term nature
Entertainment
• High attractiveness of alternatives
• Short term nature
Groceries
• Low value
• Less emotional attachment
Source: Synovate Tipping Point Syndicated Study – June 2009 (8 FGDs)
55. 2011
Technology is the category less open
to compromise
• Long term purchase - drives the need for it to be
up to date now.
• Risk of change is high - a poor choice in long
term.
• Highly techno-centric - a compromise will be out
of date as soon as it‟s bought.
• High emotional attachment to the category -
product is a reflection of the individual
• Sense of status… “I‟m still stable and is
unaffected by the recession”
Source: Synovate Tipping Point Syndicated Study – June 2009 (8 FGDs)
57. 2011
As private consumption increases
media expenditure rises…
101
Billion Baht
Source : NMR AdQuest (Jan-Dec10)
58. 2011
Dramatic growth last
year and 90% still came
from traditional media,
especially TV. It means
only 10% came from
new media
Demand for mass media stronger than ever
60. 2011
TV Media Expenditure 2010 vs. 2009
Source: AGB Nielsen, Fusion (Excluded Classified & House Ad)
Highest record growth in the past
5 years hitting over …
60 Billion Baht
Double-digit growth every month
62. 2011
Congested TV ad demand
#mins
#minsMins advertised by month Mins advertised by quarter
Source: AGB Arianna : All individual 4+
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
63. 2011
„Allocation System‟ : Peak time inventory
under „quota‟
Government ownership
Stations are restricted to 240 mins/day
Content Producers lease airtime for program
production and sell to OMD
TV Market Duopoly
Breathing life into TV duopoly
65. 2011
The Drama Queen Channel 720102009
Adults 15+ Nationwide Adults 15+ Bkk/Ur
The highest rating program of
2010 was Sao Chai Hi Tech of
Channel 7 with 16.6 rating
points.
69. 2011
Free to air viewers, esp. daytime
are disappearing over years…
All Channel Quarter Hour (Jan-Sep)
All 4+, Nationwide
Weekday Weekend
Time
Source: AGB Arianna : All individual 4+
Rating Rating
71. 2011
TNN24 stretches its wings
on October 16
From #1 channel on True Visions
to cover 12.3 mil household
nationwide
72. 2011
More ad spend
will go to
Satellite
Post Today, 7 Feb 2011, p. B1
Year #Household
(Million)
%Household
Coverage
2008 3 6%
2010 10 50%
2012 18 90%
Year Ad Spend on
Satellite TV
(Million)
%Ad Spend
compared to
TV
2010 1,200 2%
2011 3,000 5%
2012 6,000 10%
Ad budget goes to satellite TV
Satellite installment
73. 2011
Options other than Free TV
3.5 Mil Households
~14 Mil viewers
2.5 Mil Households
~10 Mil viewers
2.1 Mil Households
~7.5 Mil viewers
(was 0.5 Mil Households in 2005)
1 Mil Households
~4 Mil viewers
True Visions (May 2010), GMMB (Feb 2010)
Based on Adults 12+ Nationwide
21.5 mil also subscribed other TV format
12.7mil satellite
4.9mil local cable
3.9mil True Visions
Nielsen, IMS (Sep 2010)
75. 2011
Managing your ROI
Prime Non-prime Prime Non-prime Prime Non-prime Prime Non-prime
+18%
+3%
+10%
+9%
+14%
+7%
+5%
+11%
Source: OMD Buying Intelligence
76. 2011 Source: NMR Media Index (Sep 2008 Vs 2010)
Consumers find new
ways to get content
declining
Readership is
80. 2011
News is not dying
-Nick Bilton, NY Times technologist-
Source : O‟Reilly Emerging Technology conference San Jose, California Mar 2009
“ …paper is dying, but it‟s
just a device. Replacing it
with pixels is a better
experience”
81. 2011
Being innovative will help
save the day
The first 3D newspaper
„Bangkok Post‟ and „Post Today‟ had an innovative way to
celebrate their 64th anniversary on August 6, 2010
Integration across
different platforms
83. 2011
The 3-inch or 4-inch smart-phone screen will not
provide the reading experience that tablet can.
That’s why tablet can make it and it will remain
among the hottest IT items in 2011. The tablet will
make E-Book/ Digital Magazine more enjoyable.
Migration to
e-reading
84. 2011
iPad
on pace to become one of the most popular mobile devices in history
Interesting Fact: Most users are 30-54 age range (peaking in the 35-44 age group)
Males outnumber females 2:1 (among current iPad users on Yahoo’s network)
Source : Morgan Stanley Analyst
85. 2011 Nielsen Media Index, 2010 and Radio Advisor
102.5 Gets Diva
68,000 listeners 94.0 Gai Kui Tui Kia
56,000 listeners
94.0 Chae Tae Chao
86,000 listeners
Radio doesn’t mean only
“Music” any more!
…Emerging of popularity
on „Gossip content‟
48% Music
Popular THEN
2006
40% Music
Popular NOW
2010
89. 2011 Nielsen Media Index, 2008-2010 (A.12+ Nationwide)
Thai movie goers
still show interest?
Remark: Number of movie goers watch movie past week („000 persons)
2008 2009 2010
660
807
895340/275/280
262/356/190
217/307/135
90. 2011 Nielsen Media Index, 2008-2010 (A.12+ Nationwide)
Thai movie goers
still show interest?
Remark: Number of movie goers watch movie past month (mil persons)
2.29
2.37
2.59
2008 2009 2010
91. 2011 OMD Buying Intelligence, 2006-2010
2006 2008 2010
405
375
392
284
259
309
BangkokUpcountry
Demand boosted in
Upcountry
Changing Number of Outlet
94. 2011
Key Statistics:
Total Population: 67.7 Million
Internet Population: 22.9 Million
Internet Penetration: 34%
Mobile Penetration: 104.5%
Source: ADMA Digital Marketing Yearbook 2010, Effective Measure Dec 2010
97. 2011
Growth of Internet Users In Thailand
2002
2011
6,200,000
22,900,000
2004
8,500,000
2006
2008 14,900,000
10,700,000
34%
Penetration
Rate
Source: Effective Measure
98. 2011
35.9% Access the Internet via Mobile
-
- - - - - - - - - -
Thailand Internet Audience
Effective Measure Dec 2010
Total
Source: Effective Measure
118. 2011
Social Commerce –
The Buzz Word in 2010
Source: http://mediatransparent.com/wp-content/uploads/2010/12/Screen-shot-2010-12-21-at-12.54.46-PM.png
119. 2011
Deal-of-the-Day / Flash Sales emerge in TH 2010
May
August
October
November
December
• Ensogo Launches in May
• Offer.us launches and disappears
• Sanook Coupon Launches in Aug
• Deal Didi Launches in Octoer
• TikTokThai launches in November
• Launches in December:
• U2Deal
• DealThailand
• DoongChuayDai
• BonBonDeals
• Coucafe
• In Development:
• JaJoop
• Dealsdee
120. 2011
From These Companies…
The numbers are by no means exhaustive or fully accurate. These are
estimations based on numbers reported from each sites Past Deals
Statistics.
198 Past Deals Reported
26,000,000Baht in Transactions
60% The Average Discount Per Deal
57,000+ Vouchers Sold
123,000,000 Baht Saved by Consumers
80% Est. Mkt Share of Ensogo.com
126. 2011
Trends Shaping Our Future
Redefinition of measurement and analytic – new media currency
Digital is impacting consumers across all generations – social
connections are leading the evolution
Mobile internet usage is sky-rocketing
e-Commerce has finally arrived in Thailand
Media owner business model > content distribution across multiple
platforms
128. 2011
Digital and technology is a
force for Thai’s
modern Lifestyle
Digital is impacting consumers across all
generations – social connections are leading the
evolution
129. 2011
Mobiles are the most cherished personal media device /
accessory for Thais (OMD Young Millennial Research).
Despite belt-tightening in other consumables they go to
great lengths to own a mobile with the features they 'need'.
Consumers are using mobiles that connect to the internet to
engage in 'outdoor cocooning„.
Apps personalize this ecosystem.
Fueling the boom in
mobile internet usage
130. 2011
Media owners seek ways to
monetize branded and
consumer generated content
Content is
KING
132. 2011
Still the first
but not the last screen
Heavy increases in demand for TV spot
advertising plus Govt. restriction on
the daily sale of airtime places
pressure on the value of traditional TV
134. 2011
About OMD
OMD has been awarded AdWeek’s Global Agency of the Year 2008
and 2009
OMD Worldwide, www.omd.com, is one of the largest and most innovative
media marketing specialists in the world, serving many of the most successful
and well-known brands, with more than 140 offices in 80 countries. OMD is
recognized for its global imprint, strategic integration and creativity; being
named Most Creative Agency in the World by the Gunn Report for the past five
years. OMD is distinguished as the most awarded agency being recognized by
AdAge, Campaign and Adweek for both 2008 and 2009. The agency network is
a unit of Omnicom Group, Inc.
If you have any comments, suggestions about OnMedia or would like to have
more information, please contact :
Pittayaphan or Apiradee at + 662 2569890 Or any of your OMD contacts.
Kindly note that the views published here are OMD’s. This newsletter is for circulation to OMD
clients and associates only. Whilst reasonable care has been taken to ensure the accuracy and
objectivity, we will not be liable for any misadventure as a result of actions taken based on the
information provided herein.
Hinweis der Redaktion
Silver Surfers are living longer and living the lives of a younger person
Most likely to 2-3 credit cardsThis group rate Real Estate & Travel as the top 2 most interested categories
Factors that encourage advertising spending on satellite TVRatings available from NielsenHigher clutter on terrestrial channels resulted by the laws that allow 10 mins ad time per hour Very low ad cost – a hundred times cheaper !
Type: Any daily newspaper (Sep 2008 Vs Sep 2010)
A.12+ Bkk = 8.425 persons
Universe of A12+ => 56.9 mil persons
Universe of A12+ => 56.9 mil persons
Social commerce[1] is a subset of electronic commerce that involves using social media, online media that supports social interaction and user contributions, to assist in the online buying and selling of products and services.More succinctly, social commerce is the use of social network(s) in the context of e-commerce.
Free to air TV is still the most in demand medium in the Country – by both consumers and advertisersNumber one choice for all major FMCG and Telecom advertisers. 2 Channels dominate - It is a seller’s market