Sanoma Oyj · OMXHEX:SANOMA

Sanoma Oyj — Investor Day (October 2010)

35 slides from Sanoma Oyj's investor day presentation, Oct 12, 2010

  1. Slide 1: The new faces of television

    The new faces of television Anu Nissinen President and CEO, Sanoma Entertainment Sanoma Capital Markets Day 12 October 2010

  2. Slide 2: Agenda

    Agenda Sanoma Entertainment today Convergence Sanoma — DNA co-operation 3 horizons of growth CMD 2010 / Anu Nissinen 12.10.2010 2

  3. Slide 3: Sanoma Entertainment's operations

    Sanoma Entertainment’s operations BUSINESS OPERATIONS Free-to-air TV Online gaming Free-to-air Radio Pay TV Online TV + DNA OWNERSHIP 21% of CMD 2010 / Anu Nissinen 12.10.2010 3

  4. Slide 4: Sanoma Entertainment's present businesses

    Sanoma Entertainment’s present businesses Commercial TV and Radio • A strong multimedia portfolio combining TV, Radio and Online • Commercial viewing share in 36.1% (#2) the 10–44 target group (33.6%) • Share of the Finnish TV 34.1% (#2) advertising market (33.5%) • Share of radio listening in the 1

  5. Slide 5: Sanoma Entertainment's present businesses

    Sanoma Entertainment’s present businesses Online Gaming ••Market Marketleader leaderin inFinland Finland ••Pelikone Pelikone#1 #1gaming gamingsite sitein inFinland Finland ••Älypää Älypää#1 #1trivia triviasite sitein inFinland Finland ••Liigapörssi Liigapörssi#1 #1fantasy fantasyleague leagueininFin

  6. Slide 6: Sanoma Entertainment's financials 1H10

    Sanoma Entertainment’s financials 1H10 Net sales EBIT excluding non-recurring items 50 EUR million 9 EUR million 45 8 8 40 42 41 41 40 7 7 35 6 6 6 30 5 4 4 4 20 3 10 2 1 0 0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2009 2010 2009 2010 CMD 2010 / Anu Nissinen 12.10.2010 6

  7. Slide 7: Agenda

    Agenda Sanoma Entertainment today Convergence Sanoma — DNA co-operation 3 horizons of growth CMD 2010 / Anu Nissinen 12.10.2010 7

  8. Slide 8: TV Business environment is changing

    TV Business environment is changing IP IPand andonline onlineTVTVfinally finallyemerging New emerging Newcompetition competitionin inPay PayTV TV ••Operators Operatorspushing pushingIPTV IPTVofferings ••New offerings Newnetwork networkoperators: operators:DNA DNA&& ••Content Anvia Anviato tocompete

  9. Slide 9: Convergence is happening on multiple dimensions

    Convergence is happening on multiple dimensions 1 Consumer Consumerbehaviour: behaviour: Changing Changingviewing viewinghabits habits into consuming video into consuming video (and (andother othercontent) content) online & on demand online & on demand 2 3 Devices: Devices:Manufacturers Manufacturer

  10. Slide 10: Consumer behaviour: TV viewing stronger than ever

    1 Consumer behaviour: TV viewing stronger than ever Time spent watching TV (Finnish population by age group) Min / day 262 262 280 257 257 256 251 247 240 211 209 209 203 199 197 196 200 177 176 173 172 169 169 166 146 145 143 143 160 140 138 137 120 99 98 97 92 91 91 88 80 40 0 10+ 10-24 25-44 45-6

  11. Slide 11: Consumer behaviour: Multiscreen TV audience is growing fast

    1 Consumer behaviour: Multiscreen TV audience is growing fast European TV use by screen type (% of viewers) 2007 2009 TV, PC and TV, PC and mobile mobile None None TV and 4% TV and 9% 2% 1% mobile mobile 1% 3% TV and PC 15% TV and PC 25% TV only TV only 80% 63% Source: Forrester 04/2010 CMD 2010 / A

  12. Slide 12: Consumer behaviour: Time spent viewing online videos keeps on growing

    1 Consumer behaviour: Time spent viewing online videos keeps on growing Time spent viewing online video by average viewer in the US Min / day 30 Aug 2010 statistics: 25 • 178 Million unique viewers (2009: 161 Million) • 28 min / day per viewer (2009: 19 min) 20 • Average length of video 4.8 min (200

  13. Slide 13: Devices: Major brands have launched connected TVs

    2 Devices: Major brands have launched connected TVs that bring online and linear television together SONY SAMSUNG LG PANASONIC PHILIPS CMD 2010 / Anu Nissinen 12.10.2010 13

  14. Slide 14: Devices: Tablets are bringing along the mobile aspect

    2 Devices: Tablets are bringing along the mobile aspect and new multimedia concepts APPLE SAMSUNG RIM ASUS (Q1/2011) HTC (Q1/2011) LG (Q1/2011) … CMD 2010 / Anu Nissinen 12.10.2010 14

  15. Slide 15: Devices & behaviour: Consumers expect to watch videos with tablets

    2 Devices & behaviour: Consumers expect to watch videos with tablets “What would you expect to use on your tablet?” Web browser 90% 84% Email 86% 81% Video (TV/Movie) 74% 73% Music 65% 65% User-generated content 60% 56% Personal photo 58% 61% Video games 45% 43% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90

  16. Slide 16: Devices: BluRay players, game consoles, STBs bring online content

    2 Devices: BluRay players, game consoles, STBs are also bringing online content to the living room ONLINE GAME BLURAY HYBRID MEDIA CONSOLES PLAYERS STBs PLAYERS CMD 2010 / Anu Nissinen 12.10.2010 16

  17. Slide 17: Services: Different players build new converged services

    3 Services: Different players in the value chain build new converged services CMD 2010 / Anu Nissinen 12.10.2010 17

  18. Slide 18: Convergence of different media

    However, it is also about convergence of different media CROSS-PLATFORM CONTENT CROSS-PROMOTION CROSS-TRAFFIC CMD 2010 / Anu Nissinen 12.10.2010 18

  19. Slide 19: Media is changing more than ever before

    Media is changing more than ever before. Media is more interesting than ever before. We are part of the change. CMD 2010 / Anu Nissinen 12.10.2010 19

  20. Slide 20: TV/Video is becoming a natural part of all online content

    TV/Video is becoming a natural part of all online content Entertainment News Culture CMD 2010 / Anu Nissinen 12.10.2010 20

  21. Slide 21: Case example: Embedded video

    Case example: Embedded video Story Storyininwww.iltasanomat.fi www.iltasanomat.fi ••For Forexample, example,description descriptionof oflast lastnight’s night’s hockey game hockey game Display Displayads adson onthe thesite siteby byIlta-Sanomat Ilta-Sanomat Embedded Embeddedvideovideofrom fromRuutu

  22. Slide 22: Embedded video offers multiple entry points to social media

    Embedded video offers also multiple entry points to social media CMD 2010 / Anu Nissinen 12.10.2010 22

  23. Slide 23: Case example: Fantasy sports

    Case example: Fantasy sports Editorial co-operation Promotion and cross- Cross-selling and cross- traffic promotion Video service and player Statistics shown during the live game on TV (early 2011) CMD 2010 / Anu Nissinen 12.10.2010 23

  24. Slide 24: Case example: Miljonääriäidit

    Case example: Miljonääriäidit Website Website Unique viewers Unique viewers (6.9.-30.9) (6.9.-30.9) 83,815 83,815 online First Firstbroadcast Re-run Re-run online online broadcast Re-run Re-run online pre-viewing Wed Wed22.9. Sat Sat25.9. Sun Sun26.9. pre-viewing catch-up 22.9. 25.9. 26.9. catch-up

  25. Slide 25: Case example: Ruutu.fi on PS3 and iPad

    Case example: Ruutu.fi on PS3 and iPad PS3 version to be launched in 4Q/10 iPad pilot to be launched in 1H/11 CMD 2010 / Anu Nissinen 12.10.2010 25

  26. Slide 26: Agenda

    Agenda Sanoma Entertainment today Convergence Sanoma — DNA co-operation 3 horizons of growth CMD 2010 / Anu Nissinen 12.10.2010 26

  27. Slide 27: Who reaches the new media consumer?

    Who reaches the new media consumer? Content Hardware / Content Content Platform owner / software aggregator bundler operator creator provider Convergence of Media & Telecommunications CMD 2010 / Anu Nissinen 12.10.2010 27

  28. Slide 28: Sanoma – DNA co-operation

    Sanoma – DNA co-operation • Development within online media consumption, mobility and devices is very fast and offers several co- operation opportunities. • The most natural areas for co- operation are in combining online media assets and new platforms and devices. • Target setting is to offer new,

  29. Slide 29: Agenda

    Agenda Sanoma Entertainment today Convergence Sanoma — DNA co-operation 3 horizons of growth CMD 2010 / Anu Nissinen 12.10.2010 29

  30. Slide 30: Our future involves growth in 3 horizons

    Our future involves growth in 3 horizons HORIZON HORIZONIII III HORIZON HORIZONII II Leveraging Leveraginginnovations innovations and and assets inmultiple assets in multiple HORIZON Combining Combiningmedia mediaassets HORIZONII across Sanoma assets markets markets Multimedia across Sanoma Multimed

  31. Slide 31: Let us entertain! Thank you.

    Let us entertain! Thank you. CMD 2010 / Anu Nissinen 12.10.2010 31

  32. Slide 32: Appendix

    APPENDIX Sanoma ENTERTAINMENT

  33. Slide 33: Targeted channels still gaining share

    Targeted channels still gaining share Channel shares of viewing (Finnish population 10+) 100% Others 10+ 9.3% 90% Nelonen Media 10+ 14.6% 80% 25-44 22.5% 70% MTV Media 10+ 29.1% 60% 25-44 34.9% 50% 40% 30% Yle 10+ 47.2% 25-44 32.4.% 20% 10% 0% '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08

  34. Slide 34: Finnish TV ad market is back on the growth track

    Finnish TV ad market is back on the growth track Year-on-year growth of the Finnish TV ad market 20% 18.2% Market size 2009 € 237 Million 15% 12.1% 9.6% 9.7% 10% 8.4% 7.4% 5.2% 5% 3.1% 3.0% 2.5% 2.7% 2.0% 1.9% 1.8% 0% -5% -10% -8.0% -11.6% -15% '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08

  35. Slide 35: Online display/classified ad market is also back on the usual growth track

    Online display/classified ad market is also back on the usual growth track Year-on-year growth of the Finnish online display/classified ad market 60% 55.2% Market size 2009 € 77 Million 50% 40% 35.3% 34.2% 31.9% 30.4% 30% 27.2% 25.0% 20% 13.3% 10% 0.0% 0% -2.0% -10% '01 '02 '03 '04 '05 '06 '07 '08 '

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