2. 5 Goals
1 Create a new revenue stream for HGTV.com
2 Create a low-cost entry into the rapidly growing Hispanic online market
3 The Spanish-language site would be a HGTV brand extension
4 To become the online leader for Spanish-language home and food lifestyle
information and advertising
5 To build a turnkey operation that allows HGTV.com to enter the
lucrative Latino market without the burden of managing the operation
3. 5 Facts
1 68% of Hispanics are Spanish-dominant or bilingual
Online Hispanics tend to be more affluent
2 than the general Latino population
Hispanic newcomers to the Internet are increasing at double-digit
3 rates; by 2009, two-thirds of the Hispanic population will be online.
Internet advertising dedicated to the Hispanic market has grown
4
more than 60% from 2003 to 2004
5 Advertisers are looking for Spanish-language sites
Sources: Jupiter Research, “Portrait of the Online Population, 2003 to 2009,” Vol. 1, 2004; Hispanic Business, December 2004; AOL
Cyberstudy, US Hispanic Online Consumer Population Study, 2004.
4. Sales & Marketing Trends
o In 2002, companies spent only $10 million to reach
Hispanics with Internet advertising
o In 2004, Hispanic Internet advertising increased to
$75 million
o The top 25 Hispanic ad agencies spent $40.73
million on Internet advertising in 2004
Source: Hispanic Business, December 2004
5. HGTV Question…
Can a Spanish-language web site survive without the support of a major
Spanish-language television network?
Yes
20,000+ people have expressed a desire to have a Spanish web
product from HGTV.com
More than ½ of Hispanic respondents to a national Spanish-
language survey have heard of HGTV or Food Network
HGTV research of the Hispanic community found they desire
information in our categories
Decorating & Design 45% use magazines as a source
Building & Remodeling 34% use magazines as a source
We may create strategic alliances to build awareness and traffic
Plus
By building trust with this key audience, once Scripps launches a Spanish-language network it
will have a ready made base of loyal consumers Source: 2002 Cheskin Assessment
6. HGTV Opportunities
Scripps has a unique opportunity to dominate
the home and garden category in Spanish
HGTV.com in Spanish would be a comprehensive
site that covers the primary content pillars that
Scripps has already cultivated in English
Online would lead to a Spanish-language print
product
Scripps Media Center in Washington would manage
site for Scripps Networks
7. Repurposing proven content from Scripps
Content Vision
• 95% repurposed from Scripps Networks
• 5% new, unique from outside contributors
Professionally selected, translated and edited
Content that is most relevant to readers
Contributing to, and building off of, English-language campaigns
initiated by HGTV.com
8. Content Vision
Integrating video from “Mas Sabor” and
“Hecho a Mano”
Adapting relevant content primarily from
HGTV, followed by Food, DIY, Fine Living and
SHNS
Fuad Reviez
Healthy Household
Opportunities for Latinos at other Scripps’
Workshop
properties to have a unique presence
Identifying high-value content that generates
Juan Carlos Cruz of Calorie Commando
advertising interest
9. Sales & Marketing Opportunities
A comprehensive sales and marketing plan will be delivered separately, which
will include:
Building revenue
Existing Scripps’ clients
Building relations with Hispanic ad agencies
Online retail
Building users
Spanish-language option on English-language HGTV.com
Registration option using current Scripps’ sites and e-newsletters
“Affinity” programs
Banner ads on popular sites
Strategic marketing partnerships
10. Current HGTV.com sales management
Sales & Marketing Development
• Direction and orientation
• Scripps Media Center support
Contract sales executives with expertise in the Hispanic market
• Emphasis on top 25 Hispanic ad agencies and their clients
• New York centric focus
Advertising promotional efforts in trade publications and sites
• Hispanic Market Weekly
• Media & Medios
• HispanicAd.com
Event sponsorship and representation
• Association of Hispanic Advertising Agencies (AHAA)
11. Editor/Project Manager
Point of contact for HGTV.com
Coordinates all aspects of the web site – including content
and design
Start-to-finish management
Marketing & Design Support
Contracting and managing Hispanic marketing expert
Contracting and managing Hispanic Internet sales expert
Professional creative and design support
Scripps Media Support
Daily direction
Professional creative and design
Contracting of key personnel to support endeavor
Access to writers, editors and other contributors
Infrastructure
12. 3 reasons why HGTV should
have a Spanish-language web site
Hispanic online revenue will continue to grow
Hispanic online market will continue to grow
Scripps should have its fair share of both the
Hispanic market and the corresponding revenue
13.
14. Sites With Most Hispanic Advertising
January - December 2004
Total % Total %
Rank Site name
Campaigns Share Campaigns 2003 change
1 Univision.com 313 18.70% 140 123.60%
2 MSN Latino 230 13.70% 51 351.00%
3 Terra (U.S. Hispanic) 158 9.40% 81 95.10%
4 Batanga.com 158 9.40% 68 132.40%
5 NetMio.com* 132 7.90% 330 -60.00%
6 Starmedia (U.S. Hispanic) 122 7.30% 52 134.60%
7 El Nuevo Herald 103 6.10% 101 2.00%
8 AOL Latino 70 4.20% 0 N/A
9 Yahoo! en Espanol 68 4.10% 74 -8.10%
10 LaOpinion.com 49 2.90% 41 19.50%
Source: HispanicWebMonitor, a service of Media Economics Group, (c) 2004
15. The Most Active Categories
January - December 2004
Total % Total %
Rank Industry
Campaigns Share Campaigns 2003 change
1 Auto manufacturers 109 8.70% 60 81.70%
2 Telecommunications Carriers & Resellers incl. wireless 63 5.00% 35 80.00%
3 Auto dealers 44 3.50% 51 -13.70%
4 Government entities/public administration 37 3.00% 30 23.30%
5 Non-profit organizations 36 2.90% 22 63.60%
6 Motion picture & video industries 31 2.50% 20 55.00%
7 Food and drinking places 28 2.20% 22 27.30%
8 Real Estate 28 2.20% 19 47.40%
9 Food products 28 2.20% 22 27.30%
10 Credit card issuers 27 2.20% 14 92.90%
Source: HispanicWebMonitor, a service of Media Economics Group, (c) 2004
16. Sales & Marketing Trends
Top advertisers in the U.S.
Hispanic market
(2003 all media)
P&G $169,800,000
Sears $119,100,000
GM $93,000,000
PepsiCo $85,700,000
McDonalds $64,00,0000
Ford Motor $56,800,000
Toyota Motor $56,400,000
Johnson & Johnson $49,500,000
At&T $46,800,000
Time Warner $45,900,000
Source: Adage, 2004
17. Top sites
Competitive Landscape
Site(s) 2003 2004
AOL Time Warner 9,744,000 10,300,000
Yahoo! Sites 9,641,000 10,000,000
MSN-Microsoft sites 9,365,000 9,400,000
Google sites 4,663,000 5,100,000
EBay 5,347,000 4,900,000
Terra Lycos 5,428,000 3,400,000
Gator Network 4,155,000 n/a
About/Primedia 3,883,000 2,700,000
Amazon sites 3,004,000 2,700,000
Sources: comScore Networks and Hispanic Business
18. AOL Latino
• AOL says it is the number #1 ISP for U.S. Hispanics, with a 45 percent share
Competitive Landscape
• AOL Latino which launched in 2003
• AOL Latino uses content from its own staff, as well editorial agreements with Time
Warner’s People en Español, Knight Ridder Digital, Associated Press and The Knot
Univision
• Strong backing of network, including putting online editors on leading programs to
discuss topics
• Strengths: Emphasis on entertainment and news, which Univision dominates
• Weakness: Home, garden and food
• Restricts television advertising to only Univision.com
• Univision.com is actually managed by AOL
