Slides
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PRIMARY A spotlight on ITVX TRANSFORMING THE VIEWER EXPERIENCE
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PRIMARY Introduction Kevin Lygo MD of Media & Entertainment
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PRIMARY Key value drivers Content Viewer Experience Commercial TODAY’S UPDATE View ‘A Spotlight on ITV Commercial Webinar’
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PRIMARY Expertise in Commissioning Content ITV has a unique set of competitive advantages Planet V - Leading Addressable Advertising Platform Integrated Producer, Broadcaster & Streamer
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PRIMARY In ITVX’s launch year, ITV won both Best On Demand Service at the Edinburgh TV Awards and Media Brand of the Year at the Media Week Awards Positive viewer and industry response to ITVX “I am really enjoying the new ITVX platform, It has a huge library that is for all ages and is totally different to the old ITV Hub. It has so much to offer and I am totally happy with the service so far. The content on it is very vast and loads of different categories to choose from, like films, comedy and documentaries but to name a few. Keep up the good work that has already been done to provide the viewers with a variety of programmes to watch. Here's to many years of the ITVX Streaming service. Thank you. A very happy customer. ” Source: ITV Customer & Viewer Services
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PRIMARY Where we are today Significant increase in free content on ITVX One content budget across digital and linear: >£1.2bn Transformed ITVX viewer experience Driving commercially valuable audiences - focus on 25-54 demo Share of commercial big screen viewing >Netflix, Disney+ & Amazon combined
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PRIMARY Fastest growing streaming platform in UK ITVX strong performance since launch +45% in total streaming hours +37% in monthly active users +39% in digital revenue Source: Fastest growing streaming platform based on BARB viewing data. KPI data is based on Dec 2022 - Sept 2024 vs the comparative period. Full KPI definitions and targets are included in ITV’s 2023 Annual Report & Accounts
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PRIMARY Rosemary Newell Director of Content Content STRATEGY
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PRIMARY We have transformed streaming performance on ITVX through our content strategy Significant increase in content hours 1 Fastest growing British streaming platform 2 Younger audience profile 3
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PRIMARY We have added 10,000 hours of free content to ITVX since launch Free Content Hours on ITVX Source: ITVX First Party Data, AVOD Hours only ITV Hub (Jan-19) 1,117 ITVX Launches (Dec-22) 11,476 Today (Nov-24) 21,177
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PRIMARY ITVX is fastest growing streaming platform in UK Growth in viewer hours by service (CAGR ‘22-24) Source: Barb/AdvantEdge – As Viewed. Owned and Operated. Excludes 3rd Party VOD. Includes Simulcast. ITVX +35% My5 Sky/Now BBC iPlayer Disney+ Channel 4 Online Netflix Prime Video +23% +21% +20% +18% +14% +2% -4%
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PRIMARY ITVX delivers significantly younger audiences % Viewing Hours from under 55s Source: 3rd Party BARB As Viewed Data Jan 2024 - Oct 2024 Total TV 33% ITV Portfolio 34% ITVX 56%
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PRIMARY Our content strategy has evolved… ‘Fireworks’ – Hero genres drive viewing 1 Regular cadence & windowing – generates momentum 2 ‘Bonfires’ - boxsets and films increase engagement 3 FAST – low cost, good profile, additive viewing 4 News, Live & Partnerships – ‘test & learn’ 5
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PRIMARY Hero genres bring viewers in to ITVX Sport Drama Reality Entertainment
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PRIMARY Our adapted windowing strategy maximises overall viewing Regular cadence of content & curation to maximise onward viewing: % VIEWERS WHO WENT ON TO W ATCH SOMETHING ELSE 75% Mr Bates Vs The Post Office 77% Love Island 61% UEFA Euro 2024 RELEASE STRATEGY TO CATER TO VIEWING BEHA VIOURS 95% of Joan’s audience on ITVX had completed the series within 1 week After the first 2 eps had aired, Source: ITVX First Party Data, Users starting Pre- TX on Episode 3
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PRIMARY Release strategy increases monetisation of our content Viewing splits of different ITV scripted series (PVR vs pre- TX/VOD) Source: C28 BARB Data, As Broadcast, First Runs Only Manhunt (2021) 44% 9% Unforgotten (2023) 42% 32% Red Eye (2024) 35% 44% PVR: Personal Video Recorder Pre- TX: Watching on ITVX before episode is first transmitted on a Linear Channel VOD: Watching on ITVX after an episode has first been transmitted on a Linear Channel
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PRIMARY
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PRIMARY Our 12 FAST channels are growing quickly & have a young audience profile +62% YOY 2023 13.9m Streaming hours 2024 22.5m Steaming hours Audience profile 64% of FAST channel viewers are <55 Source: ITVX First Party Data
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PRIMARY ITV News is an integral element of ITVX
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PRIMARY We are also experimenting with live content and content partnerships to drive viewing
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PRIMARY Content strategy looking ahead to 2025 & 2026 DELIVERING THE CONTENT VIEWERS W ANT TO W ATCH, WHERE & WHEN THEY W ANT TO CONSUME IT Even more regular drumbeat of content INCREASE VIEWING Regular release of new drama on ITVX IMPROVE RETENTION Increase 25-54 year old viewing IMPROVE MONETISATION Optimise release strategies & scheduling on ITVX INCREASE REACH
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PRIMARY Jane Stiller Chief Viewer Officer Viewer EXPERIENCE
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PRIMARY We are focused on creating the best possible viewer experience Content Viewer Experience Commercial Insights DISTRIBUTIONMARKETING PRODUCT TODAY’S UPDATE
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PRIMARY Marketing Get viewers to consider ITVX We’ve evolved our marketing strategy, expanded our footprint & enhanced the product experience Distribution Give viewers easy access ITVX Product Get viewers to spend longer with ITVX DELIVER COMMERCIALLY V ALUABLE AUDIENCES
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PRIMARY The drive to be top of mind… THE ONLY BROADCASTER TO DELIVER DOUBLE DIGIT GROWTH SPONTANEOUS CONSIDERATION ITVX overtakes Disney+ and All 4 as UK’s fourth most considered streaming service Source: ITV Internal Brand Tracking, Marketing Week / YouGov
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PRIMARY ITVX brand marketing is highly distinctive
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PRIMARY Our marketing approach has evolved to encompass more digital & reactive marketing +800% increase in number of ITV titles featured in social campaigns 70% Reduction in Cost Per Acquisition on social channels Source: ITV / Measure Monks econometrics
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PRIMARY Reactive marketing drives incremental viewing Following Barry Keoghan’s performance in Saltburn – we promoted an older series featuring the actor called Love/Hate on ITVX 300% uplift in streaming hours for Love/Hate 5th Love/ Hate is now the best performing drama Source: ITVX Viewing data
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PRIMARY Talkability is key – so we’re investing in recommendations & influencer marketing
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PRIMARY 60% uplift in the ROI of paid marketing on Streaming Hours since launch We’ve improved return on marketing investment by 60% Source: ITV / Measure Monks econometrics
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PRIMARY ITVX is now available on nearly 100% of UK platforms New platforms have driven a 30% in our distribution footprint ITVX platform penetration ~100% Source: ITV Internal Data
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PRIMARY Ensuring ITVX content stands out on partner platforms drives incremental viewing 100% increase in referrals to ITVX from partner platform interfaces e.g. Sky Q Source: ITV Internal Data
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PRIMARY Red Eye on Sky User Interface Securing significant editorial homepage promotion across Sky platforms 6 features on SkyQ & Sky Glass / Stream including a homepage takeover CASE STUDY 70% increase in viewing performance vs comparable dramas Source: ITV Internal Data
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PRIMARY 850K More active users each month through removing viewing friction We’ve increased monthly active users by reducing friction & improving the viewer journey SMART ACCOUNT LOOKUP (ALL PLATFORMS)USER HAS ITVX ACCOUNT USER DOESN’T HA VE AN ACCOUNT Source: ITV Internal Data
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PRIMARY Our industry leading recommendations engine to personalise ITVX has driven increased viewing +20M incremental streaming hours Source: ITV Internal Data
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PRIMARY We have delivered lots of new advertising opportunities, improving ITVX monetisation Pause AdsFAST Channels Advertising subtitling
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PRIMARY +10% increase in Quality of Service (QoS) score since launch And ITVX is consistently reliable for viewers 40% decrease in customer service contacts Resilience with huge live events e.g. Euros & Men’s Football World Cup Source: Conviva Streaming Performance Index (SPI) & Internal ITV data.
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PRIMARY Viewer Experience looking ahead to 2025 & 2026 CULTURE OF EXPERIMENTATION & DEEP UNDERSTANDING OF THE VIEWER Refreshed brand positioning DRIVE VIEWING Further integration with partners DRIVE VIEWING Refining personalisation & recommendations DRIVE RETENTION Innovation for our advertisers INCREASE MONETISATION
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PRIMARY ITVX has delivered strong growth in viewing & revenue Summary ITV has a unique set of competitive advantages: Confident in delivering at least £750m of digital revenue by 2026 Expertise in commissioning content 1 Planet V - leading addressable advertising platform 2 Integrated Producer, Broadcaster & Streamer 3
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PRIMARY Q&A
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PRIMARY APPENDICES
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PRIMARY M&E Streaming KPIs Q3 YTD 2024 HY 2024 FY 2023 FY 2022 TOTAL DIGITAL REVENUES 2026 Target: £750M MONTHLY ACTIVE USERS 2026 Target: 20M TOTAL STREAMING HOURS 2026 Target: 2BN hours UK SUBSCRIBERS 2026 Target: 2.5M* M&E Streaming KPI Definitions: - Total Digital Revenues: Revenue from digital advertising, subscriptions, linear addressable advertising, digital sponsorship and partnerships, ITV Win and any other revenues from digital business ventures - Monthly Active Users (MAUs): Captures the average number of registered users throughout the period who accessed our owned and operated on-demand platforms each month - Total Streaming Hours: Total number of hours viewers spent watching ITV across all streaming platforms, reported at a device level. This figure includes both ad-funded and subscription streaming - UK Subscribers: UK subscribers are users of ITVX’s premium tier and prior to closure in April 2024, the BritBox UK standalone service and apps on Amazon Prime Video. It includes those who pay ITV directly, those who are paid for by an operator, and free trialists *Going forward, as we focus on delivering at least £750 million by 2026, we will prioritise our ad-funded proposition over our pay proposition to deliver the best return. £376m £244m £490m £411m - 14.6m 12.5m 10.5m 1,247m 846m 1,505m 1,192m - 0.9m 1.3m 1.4m