Two-Thirds of Active U.S. Web Population Using Broadband, up 28 Percent Year-Over-Year to an All-Time High, According to Nielsen//NetRatings Video Sharing Sites - MSN Video, YouTube and Google Video - Benefit From

Broadband Penetration Increase



    NEW YORK, March 14 /PRNewswire-FirstCall/ -- Nielsen//NetRatings, a global
 leader in Internet media and market research, announced today that the number
 of active broadband users from home increased 28 percent year-over-year, from
 74.3 million in February 2005 to 95.5 million in February 2006. Broadband
 composition among the U.S. active online population has seen vigorous growth
 during the past three years, increasing at least ten percentage points
 annually and hitting an all-time high of 68 percent for active Internet users
 in February 2006.
     From February 2003 to February 2004, broadband composition grew twelve
 percentage points, from 33 percent to 45 percent (see Table 1). In February
 2005, it increased another ten percentage points to 55 percent. This year,
 February saw broadband composition reach an all-time high of 68 percent,
 increasing an impressive 13 percentage points over the previous February.
     Overall Internet penetration in the U.S. has stabilized over the past few
 years, reaching 74 percent at home in February 2006.
     As broadband penetration increases, so does the average PC time spent per
 person. With fast connections to Web sites for online photos, audio and video
 files, online visitors are devoting more time to their computers. Since
 February 2003, the average PC time per person among active Web users has
 increased approximately five hours from 25 and a half hours a month to 30 and
 a half hours a month.
     "The correlated growth in average PC time per person is the result of
 broadband users' greater satisfaction with their online experience," said Jon
 Gibs, senior director of media, Nielsen//NetRatings. "The 'always on' nature
 of a broadband connection allows the Internet to become more entrenched in
 consumers' lives. In broadband consumers' minds, activities such as checking
 account balances, downloading music, watching streaming video and checking
 email become just another application of the PC rather than a separate
 activity that happens when they log on to the Internet."
 
     Table 1: Growth in Broadband Composition and PC Time among Active Internet
 Universe (U.S., Home Only)
     ____________________________________________________________________
                          U.S. Broadband                        PC Time
      Year               Composition (%)          Per Person (hh:mm:ss)
     ____________________________________________________________________
     Feb-03                           33                       25:33:24
     ____________________________________________________________________
     Feb-04                           45                       27:52:29
     ____________________________________________________________________
     Feb-05                           55                       27:49:58
     ____________________________________________________________________
     Feb-06                           68                       30:35:54
     ____________________________________________________________________
 
     Source: Nielsen//NetRatings, March 2006
     Note: Broadband data is based on individual, active Internet users 2 years
 and older.
 
     Video Sharing Sites Enjoy Growing Popularity
     With increased broadband penetration, a growing trend is accessing
 streaming media online at video sharing sites. MSN Video garnered 9.3 million
 unique visitors in February 2006, growing 44 percent over the previous year
 (see Table 2). YouTube and Google Video grew from relative obscurity in
 February 2005 to substantial players in February 2006, drawing 9.0 million and
 6.2 million unique visitors, respectively. iFilm and Yahoo's video search saw
 triple digit year-over-year growth in their visitation, drawing 4.3 million
 and 3.8 million unique visitors, respectively.
     "Video sites have successfully tapped into the use of viral campaigns,
 capitalizing on consumers' impulse to share funny clips with their friends,"
 said Gibs. "Among these sites, it is not uncommon to see dramatic spikes in
 weekly Web traffic due to a popular online video that has been sent from
 person to person.  Television networks should be looking to embrace, rather
 than pull away from these sites, in order to generate buzz for their broadcast
 programming."
 
     Table 2: Web Traffic to Video Sites, February 2006 (U.S., Home and Work)
     ____________________________________________________________________
      Video Site   Unique Audience (000)  Year Over Year Percent Change
     ____________________________________________________________________
     MSN Video                     9,279                            44%
     ____________________________________________________________________
     YouTube                       9,045                             NA
     ____________________________________________________________________
     Google Video                  6,246                             NA
     ____________________________________________________________________
     iFILM                         4,336                           102%
     ____________________________________________________________________
     video.search.yahoo.com        3,774                           148%
     ____________________________________________________________________
 
     Source: Nielsen//NetRatings, March 2006
     Note: This list is a sample of popular video sites and is not meant to be
 exhaustive.
 
           *********************************************************
 
     Nielsen//NetRatings reports February 2006 data for the Top Sites by Parent
 Company and Top Brands. In addition, Nielsen//NetRatings reveals the Top
 Advertisers by Company for February 2006.
 
     Nielsen//NetRatings Top 10 Web Sites by Parent Company and Top 10 Web
 Sites By Brand, February 2006
 
     Table 1. Top 10 Parent Companies,       Table 2. Top 10 Brands,
     Combined Home & Work                    Combined Home & Work
     ______________________________________  ________________________________
 
                          Unique  Time Per                Unique   Time Per
                        Audience    Person              Audience     Person
      Parent               (000) (hh:mm:ss)  Brand          (000) (hh:mm:ss)
     ______________________________________  ________________________________
     1.  Microsoft        112,388  2:04:09  1.  Yahoo!   102,165    3:10:46
     ______________________________________  ________________________________
     2.  Yahoo!           102,826  3:10:12  2.  Microsoft 95,555    0:46:13
     ______________________________________  ________________________________
     3.  Time Warner      100,015  4:50:21  3.  MSN       91,622    1:43:51
     ______________________________________  ________________________________
     4.  Google            90,490  0:54:31  4.  Google    89,059    0:53:11
     ______________________________________  ________________________________
     5.  eBay              59,120  1:49:13  5.  AOL       73,289    6:00:13
     ______________________________________  ________________________________
     6.  InterActiveCorp   55,906  0:25:58  6.  eBay      52,102    1:53:49
     ______________________________________  ________________________________
     7.  News Corp. Online 52,767  1:23:37  7.  Amazon    38,994    0:21:14
     ______________________________________  ________________________________
     8.  Amazon            45,693  0:23:59  8.  MapQuest  36,721    0:13:43
     ______________________________________  ________________________________
     9.  Walt Disney                        9.  Ask Jeeves
         Internet Group    41,249  0:34:05      Network   34,259    0:25:29
     ______________________________________  ________________________________
     10. New York
         Times Company     38,559  0:15:37  10. Apple     34,211    1:04:13
     ______________________________________  ________________________________
 
     Example:  The data indicates that 38.6 million home and work Internet
 users visited at least one of the New York Times Company-owned sites or
 launched a New York Times Company-owned application during the month, and each
 person spent, on average, a total of 15 minutes and 37 seconds at one or more
 of their sites or applications.
     A parent company is defined as a consolidation of multiple domains and
 URLs owned by a single entity. A brand is defined as a consolidation of
 multiple domains and URLs that has a consistent collection of branded content.
 Reach is a measure of the unduplicated audience that visits a property. The
 data is expressed as the percentage of the total universe of Internet users
 who logged onto the Internet at least once during the reporting period.
 
     Nielsen//NetRatings AdRelevance Top 10 Advertisers, February 2006
     Top advertisers, ranked by estimated spending, are based on data from
 AdRelevance, Nielsen//NetRatings' advertising research service. An impression
 is counted as the number of times an ad is rendered for viewing.
 
      Top 10 Advertisers by Estimated Spending
     ____________________________________________________________________
                                  Total Estimated
     Advertiser                          Spending      Impressions (000)
     ____________________________________________________________________
     1.  Vonage Holdings Corp         $23,022,500             9,473,806
     ____________________________________________________________________
     2.  Netflix, Inc.                $16,669,900             6,961,163
     ____________________________________________________________________
     3.  GUS Plc                      $16,144,200             9,264,565
     ____________________________________________________________________
     4.  LowerMyBills.com, Inc.       $12,075,000             2,439,032
     ____________________________________________________________________
     5.  Verizon Communications, Inc. $11,259,500             3,211,531
     ____________________________________________________________________
     6.  United Online, Inc.          $10,219,300             3,468,026
     ____________________________________________________________________
     7.  General Motors Corporation    $9,580,300             1,600,088
     ____________________________________________________________________
     8.  QuinStreet                    $9,389,800             1,880,501
     ____________________________________________________________________
     9.  NexTag.com                    $8,912,100             2,840,852
     ____________________________________________________________________
     10. Scottrade, Inc.               $8,893,200             1,789,189
     ____________________________________________________________________
 
     Estimated spending reflects CPM-based advertising online, and excludes
 search-based advertising, paid fee services, performance-based campaigns,
 sponsorships, barters, partnership advertising, advertorials, promotions and
 email. Impressions reported exclude house ads, which are ads that run on an
 advertiser's own or related property and co-branding relationships.
 
     Example:  An estimated 1.8 billion Scottrade, Inc. ads were rendered for
 viewing at the cost of approximately $8.9 million during the surfing period.
 
     About Nielsen//NetRatings
     NetRatings, Inc. (Nasdaq:   NTRT) delivers leading Internet media and market
 research solutions, marketed globally under the Nielsen//NetRatings brand.
 With high quality, technology-driven products and services,
 Nielsen//NetRatings is the global standard for Internet audience measurement
 and premier source for online advertising intelligence, enabling clients to
 make informed business decisions regarding their Internet and digital
 strategies. The Nielsen//NetRatings portfolio includes panel-based and
 site-centric Internet audience measurement services, online advertising
 intelligence, user lifestyle and demographic data, e-commerce and transaction
 metrics, and custom data, research and analysis. For more information, please
 visit www.nielsen-netratings.com.
 
     NetRatings, Inc.
                               Suzy Bausch (408) 941-2965
                               Jennifer Fan (408) 941-2951
 
 

SOURCE Nielsen//NetRatings

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