Videology Chairman and CEO Scott Ferber shares his views on the convergence of TV and online video advertising.

1. TV & VIDEO:
A YEAR OF CONVERGE
JUNE 2015
@scottferber

2. 2
VIDEO: IT’S BEEN QUITE A YEAR…
The Great TV Unbundling Has Begun.
But Be Careful What You Wish For
Oct, 2014
Amazon wins first Golden Globe
Jan, 2015
Cord-Cutting Accelerates in Q1 ‘15 as Pay-
TV Operators Lose 31K Subscribers
May, 2015
ESPN Sues Verizon Over New Cable
Packages
April, 2015
Verizon Buys AOL for $4.4 billion
May, 2015
Dish Network in Merger Talks With T-
Mobile
June, 2015
Report: AT&T will accept net neutrality if
it gets DirecTV
June, 2015
Upfront 2015: Major TV Networks Face
Severe Pressure on Ad Prices
May, 2015
Networks Fret as Ad Dollars Flow to Digital
Media
May, 2015
Advertisers to lose $6.3 Billion to Fraud
in 2015
Dec., 2014
Media Agency Kickbacks. Yes, They’re Real.
March, 2015
Epic Wave of Media Reviews Comes at a
Crucial Time for Media Buying
May, 2015
$25 billion in media money just went up for
grabs -- and nobody can agree on why
May, 2015
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3. 3
ADVERTISING DISRUPTION: WHY (NOW)?
Data is
defining the
winners
New players
are disrupting
the status quo
Distribution
models have
changed
Threat to ad
dollars is forcing
change
Consumers
are redefining
the rules
3

4. 4.4 4.6 4.6 4.5 4.4 4.3
0.4 0.3 0.3 0.3 0.3 0.4
2.4 2.6 2.5 2.3 2.4 2.4
0.4
0.8 1.6 2.3 2.6 2.8
2010 2011 2012 2013 2014 2015
HoursPerDay
Daily Time Spent on Screens
Mobile
Computer
Other Connected Devices
TV
7.6
8.2
9.0
9.4
9.6 9.9
CONVERGENCE IS REDEFINING
CONSUMERS’ VIEWING
4
source: @KPCB Emarketer 4/15

5. BUT CONVERGED VIEWING IS NOT
ABOUT EITHER/OR…IT’S ABOUT MORE.
GOOD NEWS FOR TV.
TV Only TV + PC/Laptop TV + PC/Laptop + Mobile TV + PC/Laptop + Mobile + Tablet
HoursPerDay
Video Viewing Per Day
Tablet
Mobile
Computer
TV
4hr 19min 4hr 28min 5hr 6hr 7min
55min
40min
47min
59min
51min
50min
8hr 29min
6hr 50min
5hr 18min
4hr 19min
Source: Analysis of NBC broadcast content viewed by screen by discrete viewers, 2012.
5

6. YET FRAGMENTATION IS STILL FORCING
MARKETERS TO RETHINK TV STRATEGIES.
6
Reach Build for Television Networks & Programs
Sep ‘09 vs. Sep ‘14
0
10
20
30
40
50
60
0 1000 2000 3000 4000 5000 6000 7000 8000
Reach%
GRPs
September 2009
September 2014
1990
(21.3)
2000
(16.9)
2014
(7.6)
Source: NPower Live+7 TV Data;
Adults 18-49

7. AND INCREASINGLY THESE NEW STRATEGIES
MEAN CONVERGED STRATEGIES
Source: Videology, Q1 2015.
58% of all campaigns
ran on more than one
device in Q1 2015,
compared to just 17% in
Q1 2014.
PC, Mobile
& OTT
46%
PC Only
40%
Mobile Only
2%
PC & OTT
2%
PC & Mobile
10%
7

8. 8
The New Golden Rule for
Converging World:
The One with the Gold Rules.
8
DATA

9. 9
LINEAR TV
MVPDS
Comcast
Dish
DirecTV
Verizon FIOS, etc.
DIGITAL VIDEO
Publishers
Google
Facebook
Apple
Amazon, etc.
9
DATA OWNERSHIP: CONNECTING TWO WORLDS

10. CONTENT MATTERS
WHY CONVERGENCE MATTERS?
DATA-ENABLEMENT + QUALITY
CONTENT= BETTER RESULTS
10
13.6%
12.4%
13.7%
6.1% 6.2% 6.4%
UNIT SALES RATE LIFT PENETRATION LIFT DOLLAR SALES RATE
LIFT
Data Targeted vs. Untargeted Impressions
Average Targeted Average Untargeted
10.2%
7.6%
2.7%
Full Episode
Players Only
Prime Video
Portals (non-
FEP)
Other (non-
Prime, non-FEP)
FEP vs. Prime vs. Other
Total HH Penetration Sales Lift
32.3%
21.8% 22.5%
Online + TV
Targeting
Online Purchase
Targeting
Online Demo
Targeting
Sales Lift of Multi-device vs. Digital Targeting
UNITS VELOCITY (units per 100HHs)
ADDRESSABILITY WORKS CONVERGENCE DRIVES RESULTSCONTENT MATTERS

11. 11
3.50%
5.10%
5-year CAGR
2015-2019
Source: eMarketer 2014-2018 ests, June 2014, based on IAB/PwC data; Videology 2019 estimates; 5-year CAGR PwC June 2015
$2.19
$2.06
$3.18
$2.21
$2.66
$2.52
$1.76
$1.81
$1.68 $1.67
$1.59
$1.27
2014 2015 2016 2017 2018 2019
Incremental Annual Spend Increases:
US TV vs. Digital Video
TV Digital Video
Converged TV/Video
Total Advertising
SPENDING FOLLOWS RESULTS
5 YEAR VIEW: TV REMAINS KEY CONTRIBUTOR TO CONVERGING MARKET

12. 12
12
Andrew Feigenson
Managing Director
Nielsen Digital
Brian Wieser
Senior Analyst
Pivotal Research Group
Kris Magel
Chief Investment Officer
Initiative U.S./
Interpublic Group
Melissa Roberts
GM/ Enterprise Solutions
FreeWheel
Scott Ferber
scott@videologygroup.com
WHAT DO THE EXPERTS THINK…