The Grammys Effect: A Research Story

The Impact Of Music & Artists

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RE:THINK THE RESEARCH PARTNERSHIP content business leadership + research expertise

• One of the world’s leading music companies – currently owned by Access Industries

• Home of legendary artists and current hitmakers

• Among the most valuable publishing/song catalogs in the world – Warner/Chappell Music

• An e-Rewards, Inc. company

• Social. Mobile. Digital. Global.

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RE:THINK METHODOLOGY traditional and innovative approaches to capturing data and insights

Research Now has significant capabilities to be a leader in digital measurement

The integration provides unique potential for achieving holistic data collection

Data sources include:

Research Now leveraged the Grammy’s – featuring performances by a

number of key WMG-affiliated artists – as a “data lab” to learn how

multiple modes of digital data collection can be combined to tell a

more complete story about consumers.

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RE:THINK EXECUTION multi-phase data gathering

The key was to weave these unique data streams together, and combine them with WMG pertinent data

Pre-Post Awareness and Perceptions

Pre-Post Awareness, App Usage, Search

Band Mentions, Grammy Mentions, Sentiment Scoring

Site Visits, Search

Sales Metrics

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RE:THINK INSIGHTS behind the ratings

• Featured artist performances – such as those from the WMG-affiliated artists noted here – had a quantifiable impact on generating interest in watching the Grammy Awards.

• Artist appearances were also instrumental in engaging (potential) viewers around social media and attracting key consumer segments.

• Compelling evidence that appearing on the Grammy Awards has a substantial and immediate impact on viewers’ awareness, especially for lesser-known artists.

• Impacts on search, site visits, and revenue generation.

• Respondents who show an affinity for the Grammy Awards also show greater liking for the artists who appear on the Grammy awards, even before the ceremony occurs.

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RE:THINK RESEARCH & THE MUSIC BUSINESS creativity + analytical ability

THE PAST PERCEPTION

THE PRESENT REALITY

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RE:THINK WMG & THE BRAND/ADVERTISER RELATIONSHIP tailored engagements around key objectives and expectations

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RE:THINK THE EVENT 2013 Grammy Awards – the big picture

• 28.4M viewers

reached the 2nd biggest audience for

the Grammy Awards in the last 20 years

• $850K spent by

advertisers, on average, per 30-

second spot – an all-time high for the

show

• $30.6M spent

on music-related ads, specifically, during

the broadcast

• 24.8M social

comments

• 2.7M unique

Twitter users

source: Billboard magazine

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RE:THINK ADVANCE EVENT INTELLIGENCE audience incidence and anticipated viewership

% of respondents who usually watch the

Grammys

49

%

% of respondents who heard about this year’s

show

% of respondents who intended to watch this

year’s show

77

%

53

%

Three-quarters of people were aware of the Grammy’s, while about half usually, or planned to, watch the Awards show.

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RE:THINK IMPACT increased broadcast interest and online/mobile engagement driven by WMG-affiliated artists

19%

27% 47%

4%

3%

Much more interested Somewhat more interested

Neither more nor less interested Somewhat less interested

Much less interested

% of those aware of (any) WMG-affiliated artist performing who said planned performance(s) made them more / less interested in watching this year’s Grammys:

• Awareness of WMG artist performance at Grammys created increased interest and engagement

base: aware of scheduled performances by The Black Keys, Bruno Mars, Ed Sheeran, fun., or The Lumineers (net), n= 309

* visited the Grammys website, visited the Grammys Facebook page, ‘liked’ or friended the Grammys Facebook page, followed the Grammys on Twitter, followed the Grammys on Google+, downloaded the Grammys mobile app, or checked-out blogs for information about the Grammys or the artist(s) (net)

online / mobile

engaged, 23%

% of those aware of (any) WMG-affiliated artist performing who said planned performance(s) made them

engage with the Grammys online/via mobile*:

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RE:THINK IMPACT lifts in awareness, searching, and sales for WMG-affiliated artists

% aware of WMG-affiliated artists (net)

bases: total US respondents age 13+, n= 309 * visited artist website, visited artist Facebook or Twitter page, searched for info. about artist

online, listened to songs or watched music videos from the artist online, sampled songs/albums from artist on music download stores, searched for/downloaded songs from artist on P2P sites, or checked-out blogs for information about the Grammys or the artist(s) (net)

% aware of WMG-affiliated artists (detail)

searched

for info. / listened to music,

55%

% of those aware of (any) WMG-affiliated artist performing who said planned performance(s) made them

search for info. about / listen to music from artist*:

Sales lifts: (source: Nielsen SoundScan)

100% increase in WMG-affiliated

album sales, in aggregate, week-over-week

1.5x lift in WMG-affiliated digital song

sales, in aggregate, week-over-week

0%

20%

40%

60%

80%

100%

Band A Band B Band C Band D Band E

Pre Post

0%

20%

40%

60%

80%

100%

WMG Awareness

Pre Post

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66% 59% 58% 57%

75% 65% 63% 62%

0%

20%

40%

60%

80%

100%

More likely tocheck-out new

stores / restaurants/ brands

Unique sense ofstyle

One of the 1st tocheck-out new

devices / services /products

Frequently shareinfo. about brands /

things into withfriends

Typical Grammy viewers Fans of WMG-affiliated artists

21%

43% 14%

13%

19% 18-24

25-34

35=44

45-54

55+

RE:THINK CONSUMER TARGETING reaching coveted demos – and compelling psychographic and social segments

Typical Grammy viewers 37% 63%

Fans of WMG-affiliated artists 32% 68%

Gender: Surveys

4% 5%

17%

30%

45%

13-17

18-24

25-34

35-49

50+

16%

13%

35%

27%

18% 13-17

18-24

25-34

35-49

50+

AGE: Surveys

Typical Grammy viewers

Fans of WMG-affiliated artists

PSYCHOGRAPHICS

base: typical Grammy viewers n= 680; fans of The Black Keys, Bruno Mars, Ed Sheeran, fun., or The Lumineers (net),

n=158

Typical Grammy viewers 60% 40%

Fans of WMG-affiliated artists 69% 31%

Gender: Social Media

35%

32%

11%

11%

11% 18-24

25-34

35-44

45-54

55+

AGE: Social Media

Typical Grammy viewers

Fans of WMG-affiliated artists

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RE:THINK CONSUMER CONNECTIONS leveraging positive WMG-affiliated artist associations

Q: Thinking about the following artist(s), which of the following do you agree or disagree with…? (% agree)

For someone like me

Have a fresh sound

Have an original sound

Here to stay

Sound great performing live

irritating

boring

Songs stuck in my head

base: aware of The Black Keys, Bruno Mars, Ed Sheeran, fun., or The Lumineers (net), n=309

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RE:THINK CONSUMER CONNECTIONS leveraging positive Grammy emotions

Understand consumer emotions for WMG artists on the day of and day after the Grammys

Band A Band B

Band C

Band D

• As the Grammys approached, and after performances, all bands gained in relative mentions

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RE:THINK CROSS-PLATFORM MEASUREMENT and ENGAGEMENT social media, online, and mobile monitoring and insights

The Grammys launched an extensive social media campaign around the upcoming show.

WMG-affiliated artists generated significant buzz and enhanced sentiment.

0

1000

2000

3000

4000

5000

Raw Daily Social Media Counts Feb 1-11

0.0

2.0

4.0

6.0

8.0

10.0

Social Media Counts Indexed to Yesterday Feb 1-11

0%

10%

20%

30%

40%

50%

60%

70%

Daily Sentiment Feb 1-11

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RE:THINK DATA SOURCING Consider monitoring web hits as well

Traffic Lift - Day of Grammy Awards Compared to Day Before Ceremony (Grammy.com)

1039%

The Grammys have their own website which consumers flocked to on the day of, and day after the event, likely to get instant data on the winners

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RE:THINK DATA SOURCING

965%

Heaviest search activity for Grammys takes place following the award show

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RE:THINK DATA SOURCING

• Band A 59% • Band B 32% • Band C 150% • Band D 364% • Band E 658%

Search activity on artist names increased from the week prior to the week after awards

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RE:THINK DATA SOURCING

• Band A 211% • Band B 244% • Band C 508% • Band D 161%

Significant growth in web traffic following the Grammy Awards, lift measured day after Grammys to Day of Grammys

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RE:THINK THE VOICE OF THE CONSUMER

• “After seeing Bruno Mars on # Grammys , I'd definitely buy a ticket to the show.“

• “That was so epic. I'm definitely buying tickets to see the #BeachBoys on tour. #Grammys”

• “Does anyone actually go and buy pepsi because it’s a partner of Grammys..”

• “I love Bruno mars! I want to see his concert so bad #cometodetroit #runawaybaby #GRAMMYs”

• “watching the #grammys and realizing how many people I want to see in concert. #cha-ching”

Incorporate social media verbatims to hear the real, unprompted words of the consumers, understand the psychographics via the language choices

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RE:THINK THE VOICE OF THE CONSUMER

AIDA measured via multimode data integration

• Attention • Surveys measured awareness

• Interest • Social measured interest

• Desire • Site visitation (online and mobile behavioral) measured

interest

• Action • Site visitation and sales metrics measured action

Incorporate social media verbatims to hear the real, unprompted words of the consumers, understand the psychographics via the language choices

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RE:THINK APPLICATION what does it mean…and why does it matter?

Each of the data streams yielded helpful data, but utilizing all of them together created synergies that delivered the most complete set of insights.

– Survey data, both mobile and online, delivered answers to predetermined awareness and attitudinal questions.

– Behavioral data enabled real-time monitoring of visitation and information gathering activities.

– Conversational content brought the clarity through the voice of the consumer.

Validation and investigation of the data became a welcome addition to the interpretation.

– Validating findings using other modes

– Investigating unexpected events or scores

While survey data is point-in-time and finite, behavioral and conversational data are fluid, enabling investigation.

The sum of the whole is greater than the individual parts.

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RE:THINK APPLICATION what does it mean…and why does it matter?

The impact of the actual music and artists featured in/on events and in other areas of consumer engagement involving advertiser, brand, or retailer partnerships is demonstrable and measureable.

Such partnerships are two-way relationships with associated value being generated by the relevant parties.

Pre-, during-, and post-campaign research provides important insights that can be leveraged against immediate as well as future efforts.

Intelligence gathered in this way helps us and our partners to make more informed decisions and more successful executions around connecting with consumers.

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Thank you!

On behalf of the entire RN and WMG teams:

Melanie Courtright mcourtright@researchnow.com

214.365.5148

Adam Bacall adam.bacall@wmg.com

212.275.1394

Simone Pierce simone.pierce@wmg.com

212.275.1316