1. Parliament 2002 11 13 1 SAARF Submission to Parliament By Dr Paul Haupt Managing Director "YOUR WINDOW TO THE WORLD OF RESEARCH"

2. Parliament 2002 11 13 2 South African Advertising Research Foundation – SAARF (Association Incorporated under Section 21 of the Companies Act) A Non-profit organization owned by its members Operations commenced in January 1975

3. Parliament 2002 11 13 3 Primary Reason Why SAARF Was Formed - 1 To measure the readership of newspapers and magazines the listenership of radio stations the viewership of TV channels, etc as well as the consumption of products and services by users of the media

4. Parliament 2002 11 13 4 Primary Reason Why SAARF Was Formed - 2 These are required for: the selection of media for advertising campaigns the buying and selling of media space or air-time and thus to enable efficient Target Marketing

5. Parliament 2002 11 13 5 The Tripartite Nature Of SAARF SAARF MARKETERS MEDIA OWNERS CINEMAINTERNETOUTDOORPRINTRADIOTV ADVERTISING AGENCIES

6. Parliament 2002 11 13 6 SAARF Activities & Products All Media and Products Survey (AMPS) Radio Audience Measurement Survey (RAMS) Television Audience Measurement Survey (TAMS) SAARF Development Index SAARF Living Standards Measure Pan African Media Research Organisation (PAMRO)

7. Parliament 2002 11 13 7 Evolution Of Media Audience Research In A Changing World 1974 Group Areas Act – Separate Living Areas for race groups enforced by law Results published in separate volumes Even then people were moving into the traditional white suburbs

8. Parliament 2002 11 13 8 Evolution Of Media Audience Research In A Changing World 1974 - 1988 Urbanization, increased mobility of population, the minibus taxi industry, spread of supermarket shopping Demographics losing there power New segmentation tools required

9. Parliament 2002 11 13 9 Evolution Of Media Audience Research In A Changing World 1989 - 1994 The Advent of the SAARF Living Standards Measure LSM proves to be more powerful than any individual demographic Continuous development of the LSM

10. Parliament 2002 11 13 10 Evolution Of Media Audience Research In A Changing World 1995 Race removed from AMPS Pocket Edition 1996 SAARF forced by a few influential users to bring race back as reporting variable

11. Parliament 2002 11 13 11 Evolution Of Media Audience Research In A Changing World 1998 Data for different race groups published for the last time in separate volumes 1999 & 2000 Data published in language and LSM volumes only

12. Parliament 2002 11 13 12 Evolution Of Media Audience Research In A Changing World 2001 Data published in one report for the total adult population of South Africa as a whole Plus LSM volumes

13. Parliament 2002 11 13 13 The 2001 Parliamentary Hearings During the 2001 hearings, SAARF’s research was described as “racist” Although the accusation was based on outdated information, SAARF decided to turn this incident into a positive exercise and use it to stimulate debate about race and racism in the industry

14. Parliament 2002 11 13 14 SAARF’s Response To The 2001 Hearings - 1 A day of public hearings into allegations Open invitation to make submissions on possible concerns in this regard and to suggest action steps, if deemed necessary Hearings chaired by independent moderator, Tim Modise, assisted by a panel of distinguished experts

15. Parliament 2002 11 13 15 SAARF’s Response To The 2001 Hearings - 2 SAARF Board meeting - 6 March 2002 attended by ASOM, ACA, NAB, OAASA, PMSA Race not essential for media planning or target marketing Removal of all reference to race in surveys Industry encouraged to take this opportunity to think anew about current practices used in target marketing and media selection

16. Parliament 2002 11 13 16 Outcome Of The SAARF Hearings - 1 Hearings regarded as a first step in a process Segmentation workshop to investigate possible new segmentation tools Inclusion of brands on AMPS, to enable marketers to profile the actual users of brands Inclusion of more lifestyle questions as basis of an additional segmentation tool based on the behaviour of people

17. Parliament 2002 11 13 17 Outcome Of The SAARF Hearings - 2 Media Group Measurement (MGM) Index, which will enable users of the data to do segmentation based on people’s media exposure Language question in-line with the language question as asked in the Population Census of Statistics South Africa

18. Parliament 2002 11 13 18 Outcome Of The SAARF Hearings - 3 Recommends that all stakeholders accord more attention to training and education, especially as regards media planning The LSM workshops introduced during 2001 to become a regular part of SAARF’s training programme Need for the development of new more advanced training courses

19. Parliament 2002 11 13 19 Outcome Of The SAARF Hearings - 4 All stakeholders including research providers requested to evaluate the communications value chain to ensure that there are no intentional or unintentional discriminatory practices and to adopt a marketing code of conduct thereby pledging its commitment to eliminate any residual racial discrimination and racial targeting

20. Parliament 2002 11 13 20 Outcome Of The SAARF Hearings - 5 As an important provider of research information SAARF will in future work more closely with governmental institutions such as GCIS, the Media Development and Diversity Agency (MDDA), the Department of Communications and Statistics South Africa, where required

21. Parliament 2002 11 13 21 Where do we stand now? SAARF Board Meeting: July 2002 It is clear to everyone inside and outside the industry that the problem does not lie with the research and that the removal of race as a demographic might in fact lead people to believe that all problems have now been resolved and thus actually inhibit the necessary debate and action that should centre on the attitudes and behaviour of people.

22. Parliament 2002 11 13 22 Demographics Available - 1 The main demographics available in AMPS, RAMS and TAMS are: Age Group (16 – 24, 25 – 34, 35 – 49, 50+, and in most cases, the exact age) Community size (Metropolitan areas, cities, large towns, small towns, large villages, small villages, towns/villages with populations of less than 500 and rural areas with dispersed populations) Employment status (work full time / part time / not working)

23. Parliament 2002 11 13 23 Demographics Available - 2 Gender (m / f) Home language (the 11 official languages plus “other”) Household Purchaser (wholly / partly / not) Level of education achieved (school standard and tertiary) Life stages (9 stages) Literacy (can read/understand) Metropolitan areas (Pretoria / Cape Town etc. Metropolitan sub-areas Johannesburg North etc.)

24. Parliament 2002 11 13 24 Demographics Available - 3 Monthly household / personal income OccupationProvinceRace SAARF Universal Living Standards Measure SAARF Media Group Measure (SAARF MGM) In addition, there are literally dozens of other variables available on AMPS that can be used for target marketing and media selection In total more than 700 variables are available

25. Parliament 2002 11 13 25 Future Vision The continuing provision of research data without any racial bias supporting a non-racial industry within a non-racial society Continental data for Africa south of the Sahara founded on our own AMPS research jointly with our friends to the north

26. Parliament 2002 11 13 26 THE SOUTH AFRICAN ADVERTISING RESEARCH FOUNDATION (SAARF) THANK YOU Visit us at www.saarf.co.za