1. OFCOM Workshop: Good Evidence for Copyright Policy Liz Bales September 2013

2. Page 2 Members

3. Page 3 Partners

4. Page 4 Industry Trust Tracking Survey Key Findings Prepared by ICM for the Industry Trust

5. Page 5 Objectives and Methodology Fieldwork ICM conducted 2,720 interviews online between 25 th July – 14 th August 2013. Sample A core sample of 2,000 British adults (aged 16+) was interviewed, in addition to 376 11-15 year olds. A further boost of 250 males aged 16-34 was also added to the sample. Key Objectives 1)Tracking the progress of the Moments Worth Paying For campaign against weighted online KPIs 2)Providing greater understanding of the market environment and consumer behaviour in the target audiences

6. Page 6 Unofficial Downloading

7. Page 7 % Ever download/stream un/officially Significant changes from Dec 2012 indicated by or All forms of downloading/streaming have increased. Unofficial activity has increased among the target audience as well as among females aged 16+.

8. Page 8 Film/TV activities: Ever access unauthorised No. film/TV access events pm 3012 An unauthorised accessor is far more valuable, accessing more than twice as much authorised, paid-for film/TV. Proportion of film/TV access events (Downloading, buying, renting, buying gifts, sharing, watching film/TV, cinema) Never access unauthorised

9. Page 9 Reaction if unofficial film/TV were unavailable (Ever download unauthorised) Cinema Pay-per view TV DVD/ Bluray Download/ stream official Those engaging in unofficial activity are now more likely to say that they would engage in each of the authorised activities if unofficial sources became unavailable. (56% any of these channels) +6 Vs. Dec 2012 +5+4+5

10. Page 10 Messaging Strategy (i) STRATEGY

11. Page 11 Messaging Strategy (ii) Audience Pre teens/teens Young males Parents Delivery Channel Cinema Outdoor Digital PR Online

12. Page 12 Creative Executions

13. Page 13 Media KPIs All Films All above board All in one place

14. Page 14 Overall campaign awareness now exceeds 2012 levels, while awareness of findanyfilm.com remains steady. Awareness KPIs – Males aged 16-34 December 2013 target: 53% December 2013 target: 40%

15. Page 15 Attitude KPIs have now exceeded the December 2012 target. Attitude KPIs – Males aged 16-34 December 2012 target: 48% December 2012 target: 48%

16. Page 16 Differing assets and conditions deliver different engagement levels with spikes around certain creative executions. KPI Summary – All 16-34 year old males who download/stream unofficially Support UK film industry Worth paying for Aug-12Dec-12Aug-13 Support UK film industry Worth paying for Ratio= 2.19:1 Ratio= 1.62:1 Ratio= 0.95:1 Ratio= 1.36:1 Ratio= 1.59:1 Ratio= 1.60:1

17. Page 17 Whats the future trend in digital infringement?

18. Page 18 Alternative Methodologies

19. Page 19 What is the baseline of AV piracy over the next 3-5 years assuming no legal or communications interventions? How might communications programmes affect this baseline? What might be the impact of legal interventions under DEA legislation or a similarly-designed progamme on the baseline of AV piracy? The objectives of the project

20. Page 20 The process we have undertaken Define the planning hypothesis for the SIM. Planning Define the constituent parts of the SIM (agents and objects), their respective behavioural rules and the key validation data sets. SIM Design Implement the behavioural rules on our simulation platform and test for consistency with behavioural hypothesis. SIM Development Validate the outputs of the SIM against key data sets and vary parameters until we achieve a satisfactory fit. Revise hypothesis and iterate if necessary. SIM Validation Establish baseline trajectory, explore core dynamics and identify impact of different marketing programmes. Experimentation & Analysis Document insights, issues and recommendations. Write-up Review of existing research and collation of population, driver and validation data Discovery Parameterisatio n Revision of hypothesis iteration

21. Page 21 Economic factors do not seem to be significant in driving rates of piracy Communications are restraining the spread of piracy but on their own cannot easily drive prevalence lower The shift from DVD watching has the potential to be a major driver of piracy (and an increase in technical aptitude could exacerbate the problem) The uptake of subscription services could reduce the demand for piracy Legal interventions will be a major tool in shifting behaviour away from piracy Summary of insights from the Pirate SIM

22. Page 22 Some round numbers Number of (adult) pirates in the UK About 10 million Number of potential pirates communications are suppressing About 2 million Number of young people starting piracy every year About 500k Number of people who will start streaming/downloading film/TV online by the end of 2015 About 15 million