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DIY TECH CONSUMERS

July 8th, 2013

THOUGHT LEADERSHIP SERIES

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#1 in Home

#3 in Health

#2 in Personal Finance

#3 in Personal Finance (Mobile)

#5 in Lifestyle

#6 in Tech

OUR CONSUMERS HAVE MADE DEMAND MEDIA’s eHOW TOP 10 IN 11 CATEGORIES IN THE US

Source: comScore May 2013

EACH

MONTH

MORE THAN

70 M

ILLIO

N

AMERICA

NS

ENGAGE

WITH U

S

3

14 MILLION TECHENTHUSIASTS

… greater growth than any of the Top 5 Technology News destinations

• Brands reach more Tech consumers on eHow Tech than on About.com Technology Network, HowStuffWorks, Electronics Channel, and Answers.com Technology combined

Source: comScore Media Metrix (March 2012-March 2013)Source: comScore Mobile Metrix (September 2012-February 2013)

Since March, 2012, eHow Tech has outpaced the growth of general tech topics by 4x.

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At Demand Media, we are

TRANSFORMINGdata into actionable brand and

consumer insights.

1:3 AMERICANS turn to us for solutions to their everyday problems. We bring brands directly into the conversation.

Our sophisticated content creation process and dedication to making the most discoverable content

on the web has evolved to a deep data-driven understanding of how consumers like to read and

view content, seasonally, year over year, on which device, in what kinds of formats and by industry.

With our help, brand marketing messages are delivered within the right content, in the right format,

for the right device, and at the right time, so that consumers build positive brand associations

throughout their consumer journey. 

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DIY TECH CONSUMERS

1. Who are they?2. What do they care about?3. How do they decide to buy?4. How can you connect?

DATA SOURCES:Demand Media Content Consumption, Page Views, Day of Week, Time of Day, Platform, Search Terms, Crowdtap direct polling of eHow Tech Audience, Hitwise and Hitwise AudienceView, comScore, eMarketer, Google Inights

WE ASKED…WE LOOKED AT…

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MULTIPLATFORM CONSUMERS ARE THIRSTY FOR CONTENT

• Search is used at beginning, middle and end of shopping process. 86% of shoppers use generic search terms for queries.

• 46% of US consumers use mobile exclusively when performing research online.

• Mobile search drives multi-channel conversions. 55% of conversions happen within an hr.

• Mobile, tablet adoption changing research and purchase behavior

• 63% of consumers researched consumer products online. 50% purchased online.

• Showrooming and price sensitivity are increasing. 59% of consumers used smartphone to find better price while shopping.

• Online sales of consumer electronics predicted to climb to $80b in 2016

• Consumers are more informed and better connected, They are less loyal to brands and want a dialogue with companies.

• Search-discovered content and retailer websites are critical to the purchase decision

Sources: eMarketer “Consumer Electronics, The Path to Purchase, Reinvented,” 2012; eMarketer “Adapting to a Showrooming World,” 2012; Google, “Mobile Search Moments, Understanding How Mobile Drives Conversions,” 2013.

KEY TRENDSINFORMEDCONSUMERS

NEW PATH TO PURCHASE

ENGAGEMENT IMPERATIVE

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WHAT D

O

THEY

CARE

ABOUT?

84.10.2013

INTEREST IN TECH CONSUMER CONTENT IS INCREASING

Consumers are turning to instructional content about Electronics more and more

Page views for “How-to” titles about Electronics have increased +36% from 2011-2012

Source: Demand Media Proprietary Insights

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NEW DEVICES ARE DRIVING AUDIENCE

INTEREST IN SMART PHONES HAS INCREASED BY 151% Buying a smartphone on a budget

How to download pictures from your smartphone to your computer

INTEREST IN TABLET DEVICES IS UP 316% How to use a tablet PC

How to install apps on an android tablet

INTEREST IN HDTVS IS UP 36% How to get the best quality picture out of your HDTV

How to connect a PC to an HDTV 2010 2011 2012

100

148

251

NEW TECHNOLOGY CONTENT

INTEREST INDEX

ON

Source: Demand Media Proprietary Insights

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INTEREST IN IPODS ON EHOW FELL 83% SINCE 2010 How to sync your iPod to iTunes How to make a playlist on your iPod How much does an iPod cost?

INTEREST IN FILM CAMERAS IS DOWN 40% Loading film in 35mm cameras 35mm film cameras vs. SLR

INTEREST IN BLACKBERRY IS DOWN 69% How to transfer address book to a Blackberry How to fix the trackball on a Blackberry curve Retrieving Blackberry message history

BUT SOME DEVICES ARE PLAYED OUTON

Source: Demand Media Proprietary Insights

% CHANGEFROM 2010 TO 2012

iPods-83%

Blackberry-69%

Film Cameras

-40%

Car Speakers

-39%

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CONTENT FORMAT MATTERS DIY TECH CONSUMERS GENERALLY PREFER VIDEO CONTENT FOR DEMONSTRATIONS

Source: Demand Media Proprietary Analysis of Mobile and Desktop Content consumption, May 2013

Consumers are over 2x more interested in video content for TVs How to Connect a VCR or DVD Player to a Television How to Connect a PC to an HDTV

They are 73% more interested in video content for cell phones and accessories How to Find a Lost Smartphone Using GPS How to Use the iPhone Speakerphone

However, for telephones, consumers are 69% more interested in Articles How to Block Caller ID How to Use Call Forwarding on Your Home Phone

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WHAT

MAKES

THEM

BUY?

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DIY TECH PURCHASERSARE COMMITTED TO RESEARCH

I do more research than the average

person

I do the same amount as other

people

I do less research than the average person

I do not research tech purchases online at all

Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013.”“When it comes to tech purchasing, how much online research do you do?”, n= 470

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SEARCH & INFORMATION SITESARE MOST IMPORTANT AFTER RETAIL

Social media (Facebook, Pinterest, Twitter, etc.)

Online professional reviews

Friends, family, or colleagues (outside of social media)

Informational websites (example: eHow, About.com, HowStuffWorks)

Search engine (search for info)

Retailer website or product website

Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013.“Where do you go to research electronic products online before buying? (check all that apply)?”, n=470

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MOST PURCHASE RESEARCH TAKES PLACE AT HOME

On the Go (While not in the store)

On the Go (While in the store)

Work

Home

Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013. “Where do you normally perform online research for electronics purchases from? (check all that apply)”, n=470

16Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013. “Which device do you use most often to research electronic purchases?”, n=470

DESKTOP STILL MOST IMPORTANT FOR PURCHASE RESEARCH

Desktop or Laptop Computer

Smartphone

Tablet Device

17Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013.“Keeping your most recent electronics purchase in mind, which of the following online activities have you performed after searching for information about your purchase online (Please mark all that apply)”, n=470

CONSUMER RESEARCH OFTEN TRIGGERS STORE VISIT OR PURCHASE

I did not take any action after researching the business or product

Share information on social media (e.g., Facebook, Twitter, etc.)

Place a phone call to the company or store

Make a purchase

Visit a store

Ask for advice from friends or family

Visited a retailer website or product website

Further research

Further research is the most common next step after initial research:

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MOST PEOPLE SHOP FOR THEMSELVES OR FAMILY

For my work

Gift for someone outside household

For my kids

For the family to share

Wife/husband/partner

Myself

Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013.“Who do you buy electronics for? (Please mark all that apply)”, n=470

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ALMOST HALF PURCHASE WITHIN A DAY, MOST WITHIN A WEEK

Within 30 minutes

Within 1 hour

Within 1 dayWithin 1 week

Longer than a week

Source: Crowdtap Survey of eHow Tech and Crowdtap Consumers, June, 2013.“After searching for information related to your tech purchase, how long does it take before you take action?”, n=470

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HOW DO

YOU REA

CH

THEM

?

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AWARENESS/FAMILIARITY

ENGAGEMENT

CONSIDERATION

SHOPPING/COMPARING

PURCHASING

SHARING

- Robin Hutto, Google

THE SEARCH-DRIVEN ENGAGEMENT CYCLE OFFERS MORE TOUCHPOINTS FOR BRANDS

Search is used at the beginning, middle and end of the research process, by both wireless and portable PC shoppers.

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Integrate your brand with intenders closer to action

Complement content campaign with contextual, impactful media

Create a constant connection with your consumers on one of the largest personal finance sites

WE HELP BRANDS CONNECT WITH CONSUMERS IN 2 WAYS

BRING THEM TO YOUWITH INTENT-BASED BRAND CONTENT

GO WHERE THEY AREINTEGRATE AT THE RIGHT PLACE AND AT THE RIGHT TIME

Create content that you know users are seeking

Drive traffic via organic search and social distribution

Do it at a scale, with the maximum go-to-market efficiency

OW

NED

PAID

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IN A MULTIPLATFORM WORLD WE SEE EMERGING OPPORTUNITIES

Source: Demand Media Proprietary Analysis of Mobile and Desktop Content consumption, May 2013

All Tech Content Cameras Personal Audio Home Audio TVs Tivo & DVR Telephones Cell Phones & Accessories

100

123114 113

103 98 9892

100

40

65 61

84 89

106

123

100 9689

131

145

196

8983

Electronics Content ENGAGEMENT by PlatformDesktop Smartphone Tablet

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Sunday Monday Tuesday Wednesday Thursday Friday Saturday 20%

30%

40%

50%

60%

70%

80%

90%

100%

EHOW PV BY PLATFORM – Q4 2012

Desktop Smartphone and Tablet Series3

On the weekends, when consumers are at home or on the go, MOBILE use is higher

Source: Demand Media Proprietary Analysis of Mobile and Desktop Content consumption, May 2013

DESKTOP use peaks while consumers are at work

DESKTOP USE - HIGHER DURING THE WEEK MOBILE USE PEAKS ON WEEKENDS

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DESKTOP USE IS HIGHER DURING THE DAY SMARTPHONE AND TABLET AT NIGHT

TABLET use spikes at night, especially during prime time

Source: Demand Media Proprietary Analysis of Mobile and Desktop Content consumption, May 2013

DESKTOP use peaks while consumers are at work

SMARTPHONE use steadily increases throughout the day, peaking at night

12:00 1:0

02:0

03:0

04:0

05:0

06:0

07:0

08:0

09:0

010

:0011

:0012

:0013

:0014

:0015

:0016

:0017

:0018

:0019

:0020

:0021

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:001.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%EHow PV by Platform and Time of Day PST

Q4 2012

Desktop iPad Smartphone

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In Q2, consumers want to invest in upgrades to their car sound systems and electronic accessories. How to install an overhead DVD player How to find a DVD System with multiple

monitors for your SUV How to play an iPod through a car stereo

They are also interested in operation for devices that will help them find their way during upcoming trips. How to update GPS systems Types of navigation systems How does live traffic on GPS work

Q1 Q2 Q3 Q4100

110

120

130

Tech Interest Index2010-2012

Car DVD Players Other Car Audio International Cell Phones

Mobile GPS Handheld GPS

ON

TECH

CONSUMERS ARE INTERESTED IN ELECTRONICS THAT WILL ENHANCE CAR TRIPS AND OTHER TRAVEL IN Q2

Source: Demand Media Proprietary Insights

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OTHER TOP CATEGORIES VISITED BY EHOW TECH USERS

Source: Demand Media Proprietary Insights

Health Fashion & Style

Games & Toys Pets

Food & Drink Home & Garden

ON

Pets

Home & Garden

Fashion, Style & Personal Care

Food & Drink

Health

Hobbies, Games & Toys

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EXTEND YOUR CAMPAIGN TO THE TECH TRACKERS OF LIVESTRONG AND THE

ENTERTAINMENT JUNKIES ON CRACKED

THE LIMITLESS POTENTIAL OF YOU

21 MILLION UNIQUES WORLDWIDE

3 MILLION+REGISTERED MYPLATE USERS

COMEDY WITH A COLLEGE DEGREE

Source: comScore & Demand Media Proprietary Insights

TECH ONLINE SHOPPERS ARE 60% MORE LIKELY TO VISIT CRACKED FOR HUMOR CONTENT

92% OF LIVESTRONG’S VISITORS OWN OR BUY ELECTRONIC PRODUCTS

5 MILLION UNIQUES

35 MILLION MONTHLY VISITS

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THANK

YOU