GfK Capital Market Day 2010

Media Wilhelm Wessels, Member of the Management Board

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Agenda

1 2 3 4 5

GfK Media and the media markets Our business Focus on Television Audience Measurement The future: TC UMS for TAM Conclusion

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

GfK Media and the media markets

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Key facts
4

TV, Internet, radio, newspapers, magazines, posters - various mass and individual media accompany people through their days Media are changing their nature All kinds of media are approaching the digital future in many aspects Media consumption is massively changing Local/regional/national media markets define their research demands

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Example: Emerging content on an established platform

Todays mobiles are more than just telephones! iSixt BeejivelM
Instant messaging Rent a car Stay in touch with your friends Recommended restaurants
5

Twittelaror Pro

Michelin Guide

Navigon

Make a navigation system out of your mobile

N24

Read the most recent articles

S-Banking

Check your bank account

Hotel Booker
Need a hotel room?

Scrabble

Would like to play a game?

The Sims 3 OhMyGolf!

Play you prefered computer game

Bloomberg

Be up-to-date in the stock market

My iPhone is my caddy

Photogene Eurosport

Lanz kocht! Postman

Cooking recipes of the very best cooks

Photo editing for your pictures

Current news on sports

Send a postcard to your friends on Facebook, Twitter or by email

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

GfK`s media usage data: the currency in their markets

6

We offer information services on media consumer behavior and attitudes of all established and new media, such as TV, radio, print, Internet and outdoor. Our qualitative and quantitative research expertise is set-up to create tailor-made research solutions for individual customers needs. Media research within GfK Group means continuous development and optimizing of methodologies and technologies as well as combining data from different surveys.

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Our business

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Media to measureplus Multi/Cross Media

8

TV (all platforms, all kinds of usage) Print media Radio Internet Outdoor Mobile phone as a new platform

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Our main focus: TV and Print

9

The German advertising market 2009 reflects it clearly

Total (gross): EUR 20,2 billion
Special interest 1.8% Magazines 15.3% TV 41.6% Outdoor Cinema Radio 4.1% 0.3% 5.9%

Daily press 23.9%

Internet 7.1%

Source: IP Deutschland / Nielsen Media Research, January - November 2009

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

From questionnaires to digital measurement

10

TV: Print: Radio:

diaries -> electronic/digital measurement PAPI -> CAPI -> Scanners -> RFID PAPI -> CATI -> (electronic) diaries -> electronic/digital measurement

Outdoor: PAPI -> electronic/digital measurement Internet: electronic/digital measurement

PAPI = Paper And Pencil Interview CAPI = Common ISDN Application Programming Interface RFID = Radio Frequency Identification

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

GfK Media digital research instruments

11

TV GfK GfK Telecontrol Telecontrol TV TV meters meters

TV, Radio, Multimedia GfK GfK Telecontrol Telecontrol Mediawatch Mediawatch

Multimedia GfK GfK Eurisko Eurisko Eurisko Eurisko Media Media Monitor Monitor (EMM) (EMM)

Outdoor GfK GfK Eurisko Eurisko Eurisko Eurisko Mobility Mobility Tracker Tracker (EMT) (EMT)

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Selected partnerships
12

Print Enigma Enigma GfK GfK

Print MMA MMA

Multimedia GfK GfK Austria Austria

Internet, Streaming Media Intomart Intomart GfK GfK

TV Various Various GfK GfK companies companies OnlineOnlineaccessaccesspanels panels for for APS APS

Internet GfK GfK Panel Panel Services Services Nurago Nurago

Scanners Scanners

RFID RFID

PDAs PDAs

webAUDIT/ webAUDIT/ webmeter/ webmeter/ Nedstat Nedstat

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Its not only about

13

... media consumption! But also about advertising contacts - Print (RFID) - Internet (Nurago) - Cross Media (Internet/TV with Nurago/Mobile RL) as well as appreciation - TV, Radio through online (access) panels.

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Focus on Television Audience Measurement

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Electronic TV audience measurement within GfK Group

15

Austria: Belgium: Bulgaria: Germany: Netherlands: Romania: Switzerland: Ukraine:

1,540 1,650 750 5,640 1,375 1,320 1,870 2,540

panel panel panel panel panel panel panel panel

households households households households households households households households

8 countries more than 16,000 gross panel households

Status: January 2009

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Requirements for TV currencies

16

Measurement of all distribution platforms (new: IPTV) all channels all functions (new: time shift) the whole media consumption all target groups new: Video on Demand (Streaming Media)

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

TC score (GfK Telecontrol) for Germany and Austria

17

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

GfK meter technology to cover various types of households (Germany)

18

43.3%
Digital Set-Top-Box DVB-T, DVB-C, DVB-S

8.9%
Hard drive receiver / PVR DVB-T, DVB-C, DVB-S

DVB-H satellite

DVB-C DVB-S

19.6%
DVD-Recorder analogue tuner

cable IPTV DVB-T terrestrial

54.7%
Video recorder analogue tuner

7.2%
DVD-Recorder with hard disk analogue tuner

DVB-H not included so far

Source: ma 2009, Tranche Radio II

and innumerable combinations of these devices!

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

German Panel re-equipped

19

Since May 2009, over 5,100 homes of the German TV panel have been equipped with new TC sore devices and the individually necessary set-top-boxes!

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

What is television?
20

The new AGF definition for the German market:

Television is all content sent by broadcasters with relation to broadcast content where the broadcasters have the authority to plan a program (or something comparable for on demand services) and/or the broadcasters have the authority to sell airtime for advertising (or something comparable for on demand services).

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Translation for our TAM operation

21

Our future system will have to cover - all broadcasting technologies and distribution channels (incl. IPTV) - real time broadcast - time shift - streaming (TV content only) - YouTube channels of broadcasters

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

GfK Fernsehforschung / AGF

22

Contract status

Running till 2011 with a yearly volume of EUR 16.5 million

Expected prolongation 2012/13 with a yearly volume of EUR 18.5 million

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Current gaps
23

The current TC score system does not cover - TV via PCs through tuner cards - IPTV - proprietary Set Top Boxes of some cable operators - streaming (TV content) furthermore - secondary homes are not included and - secondary sets are not completely covered

All this is on the AGF/GfK agenda for 2010 !

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Our current approach: Expansion of TC score

24

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

The future: TC UMS for TAM

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

What is GfK Telecontrol Universal Meter System (UMS)

26

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Approved methods for Radio and TV measurement

27

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Matching
28

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Coding/Watermarking
29

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Visual recognition technology - SIP

30

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

A new highlight
31

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

The USX technology

32

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

USX Computer Based Research Technology

33

USB-Stick Useable as normal portable data storage device Software to measure internet usage, TV / radio via internet Measurement: URL / matching / watermarking Data transmission: UMX / internet

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Another highlight
34

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

The Mediawatch technology

35

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Place of Consumption
36

at home

in car

at work

cinema

RF signal

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Conclusion

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Follow the changes

38

Media systems especially TV are dramatically changing. Our process of continuously adopting and developing our measurement devices will speed up. 2010 will become the year of experiments and tests in cooperation with our clients. With the step-by-step implementation into our running operations the business perspectives for the coming years are very promising.

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

We are well prepared for the Digital Media challenges

39

We have solutions
inhouse (TC Score, GfK Mediawatch, EMM) in cooperation with external partners (Nedstat, Nurago) delivered by our clients (scanners, RFID, PDAs) in cooperation with other GfK sectors (e.g. GfK Consumer Tracking -> Nurago).

Cross media planning is a topic of growing importance for advertisers and ad agencies. We have the research tools/instruments, but must roll them out where possible.

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Our responsibility
40

In media landscapes which go through evolutions but not resolutions we have to shelter media currencies carefully complete and develop the research systems with additional methods and instruments accompany media on their way into a digital future

Our slogan: Innovative Continuity

GfK Group

GfK Capital Market Day 2010, Wilhelm Wessels

January 2010

Disclaimer
41

This presentation constitutes neither an offer nor recommendation to subscribe or buy in any other way securities of GfK SE or any of the companies that are members of the Group at present or in the future, nor does it form part of such an offer and it should not be understood as such. The presentation or any part thereof should not form the basis for a contract for the purchase or subscription of securities of GfK SE or any of the companies that are members of the Group or represent a guarantee in connection with such contract. All the information contained in this presentation has been established with care. Nevertheless, we cannot guarantee its reliability or completeness and the information contained herein should not be deemed as a guarantee in this respect. The information contained in this presentation may be supplemented, amended and updated. Certain statements made herein may express future expectations, which are based on current opinions and assumptions of the management and are subject to foreseeable and unforeseeable risks and uncertainties. Actual results, performance and events may differ considerably from the statements expressed in the present information, partly due to changing business or market conditions and to the growth prospects forecast by the management of GfK SE. These and other factors may have an unfavorable impact on the results and financial consequences described in this presentation. GfK SE does not undertake to update or revise statements on future developments, on the basis of new information, future events or for other reasons. You should not rely on statements made about future developments, which simply express expectations as of the date of this presentation. This document does not constitute an offer of sale of securities in the United States of America. Securities may not be offered or sold in the United States of America without registration or exemption from registration in accordance with the U.S. Securities Act of 1933 in its currently valid form.

Additional information: Corporate Communications Nordwestring 101 90419 Nuremberg/Germany Fon +49 911 395-2012 Fax +49 911 395-4075 eMail: investor.relations@gfk.com www.gfk.com

GfK Capital Market Day 2010

Media Wilhelm Wessels, Members of the Management Board