Kids Insight by Bolognafiere S.p.A.

A VIEW INTO THE EUROPEAN KIDS ECOSYSTEM AND LIFE BEYOND CORONAVIRUS

1. ABOUT KIDS INSIGHTS 1. CONTEXT: THE KIDS ECOSYSTEM 2. KEY EUROPEAN DIGITAL TRENDS 3. CORONAVIRUS AND BEYOND

Â© Kids Insights 2020

Our approach is to examine everything you need to know about what is going on in kids’ ecosystems today. By collecting data continuously, we are able to uncover current, emerging and flash trends – as well as better understanding the attitudes, behaviours and consumption patterns of children. - Surveying more than equating to more than across

- Surveying more than new & expecting parents every week, equating to more than in the . All with

statistical significance

Our business is about technology, yes. But itâ&#x20AC;&#x2122;s also about great partnerships. Our vision is always improving and innovating. And to ultimately become your key strategic partner when it comes to data, information, research and insights to help drive your competitive advantage.

ÂŠ Kids Insights 2020

• The solution The Insights People has developed is fully compliant with legislation and is completely independent and data agnostic. • We undertake two, 15-minute surveys through respected online panel providers that are GDPR, COPPA and MRS compliant. • After this, all our data goes into the portal in realtime, expect from the 'open ended' question data, which is cleaned and checked by a human (taking circa 2 weeks). • Therefore, all our clients have access to the unique real-time portal that puts users in control of the data, giving the ability to view, filter and interrogate it to their specific requirements, including age, gender and regions of the target audience.

Focusses on kids digital ecosystems, identifying the latest trends on kids attitudes to their digital worlds, identifying their digital behaviour and consumption to identify the latest trends.

Focusses predominately on kids non-digital lives, such as hobbies, interests an what products they are purchasing and consuming.

View, filter, interrogate and analyse the data to your own specific requirements, enabling you to gain key insights to help inform business strategies.

16 in-depth insight-led reports a year. Each of these reports are based on the results of surveying over 5,000 kids, tweens and teens in the preceding twelve weeks.

From benchmarking your target audiences' attitudes, behaviour and consumption preferences before a campaign launches, to analysing the impact of the campaign.

We can survey up to 300 kids or parents globally, with a turnaround in 2-3 days.

Based on your own specific brief and even deliver the reports in your branded templates

For clients who would like to test the product with children â&#x20AC;&#x201C; we can also provide an environment to provide qualitative research, from focus groups, VOX Pops and extended product trials.

Covering seven sectors, including Toys & Games, Video Games, Food & Drinks, Electronics, Health & Beauty, Clothing, and a final executive report Marketing & Engaging Kids. ÂŠ Kids Insights 2020

Focuses on your specific audience, providing a comprehensive understanding of who your audience is and what their ecosystem looks like, and is designed as an effective tool to engage your key stakeholders.

Our approach to bespoke research perspective is to deliver tailored and research agnostic approaches. Our experience specialists do this and then design a research appropriate solution, utilising a combination of tools.

From our inception we have worked to create a solution which can inform, support and evaluate strategies and plans across your business, with clients using our data, research and insights to support:

ÂŠ Kids Insights 2020

THE EUROPEAN KIDS ECOSYSTEM

Â© Kids Insights 2020

Compared to now, kids had limited exposure to brands as little as 30 years ago with IPs sitting in distinct spaces within their world

ÂŠ Kids Insights 2020

HOMEWARE

VOD

CLOTHING

SMART SPEAKERS

Now, kids eco-systems are much bigger than ever before and are continually evolving with new, innovative media taking the place of and blurring lines between these more traditional forms

AUDIO BOOKS

MAGAZINES

AV/VR APPS

UK | 01.01.19 – 31.12.19 | Ages 10-12 | n=2K

Homework and Studying

Sleeping Watching TV shows

Other

Being Active

Being with friends

At School

ÂŠ Kids Insights 2020

Sleeping

07h 02m

At School

04h 50m

Eating & Drinking

01h 26m

Homework/studying

01h 24m

Being with Friends

01h 17m

Being active (e.g. sports or playing outside)

01h 13m

Watching TV shows

01h 12m

Playing with toys/games

01h 01m

Go on the internet/social media

01h 01m

Listening to music

00h 58m

Playing video games or apps

00h 56m

Reading

00h 50m

Arts, crafting and cooking for fun

00h 35m

Jobs/chores around the house

00h 31m

Shopping

00h 25m

Travelling

00h 22m

Eating and drinking

France, Italy, Spain, Germany | 01.11.20â&#x20AC;&#x201C; 27.04.20

total country spend

France, Italy, Spain, Germany | 01.11.20â&#x20AC;&#x201C; 27.04.20 ÂŠ Kids Insights 2020

Own Have Access

Own Have Access France, Italy, Spain, Germany | 01.01.20– 31.03.20

(+65% from Q4)

(+9.38% from Q4)

(+17.9% from Q4)

(-9.7% from Q4)

(+24% from Q4)

(-37.5% from Q4)

(+8.9% from Q4)

(+84% from Q4)

(-27.6% from Q4)

(+21.8% from Q4)

(21% from Q4)

(+73.3% from Q4)

(N/A)

(-5.15% from Q4)

(+81% from Q4)

EUROPE | 01.01.20– 31.03.20 | Ages 3-5 | n=1.1K

(-12.2% from Q4)

(+65% from Q4)

(+33% from Q4)

(-16.4% from Q4)

(+19.6% from Q4)

(+24% from Q4)

(+109% from Q4)

(-6% from Q4)

(+59% from Q4)

(-27.6% from Q4)

(-123% from Q4)

(-40.9% from Q4)

(-10% from Q4)

(N/A)

(-4% from Q4)

(+9% from Q4)

EUROPE | 01.01.20– 31.03.20 | Ages 6-9 | n=1.5k

(-11.4% from Q4)

(+5.4% from Q4)

(-44% from Q4)

(39.7% from Q4)

(+10% from Q4)

(+34% from Q4)

(-3.2% from Q4)

(+51% from Q4)

(+41% from Q4)

(-21% from Q4)

(+51% from Q4)

(+70% from Q4)

(+56% from Q4)

(+5.2% from Q4)

(+63% from Q4)

(+16.6% from Q4)

EUROPE | 01.01.20– 31.03.20 | Ages 10-12 | n=1.1k

THE EUROPEAN KIDS ECOSYSTEM

Key market for Nintendo IP

The rise of the Girl Gamers

• France is a big market for Nintendo consoles, with 31% owning either the compared to just 15% who own either the comparable Xbox One or Xbox 360.

• Our data shows that are gaming (73%) than in France (35%), Spain (64%) and the UK (70%).

• Super Mario related games occupy titles for kids on console. Likewise, Nintendo’s Mario, Pikachu and other Pokémon make up 30% of the top 10 characters with 615-year olds. • 16% of kids who say Pokémon is their favourite game have related to their favourite game.

• They are not just playing games either, CiccioGamer89 is the third favourite for girls to watch (most popular with those aged 10) – a channel focussed on gaming, vlogs and cooking content. • Our data shows there are clear opportunities to create more titles, characters and content for this audience, which also opens up – as 9% of girls in Italy already say they purchase toys related to their favourite video game.

Gap in the market for tween content • YouTube is watched by 46% of all kids, and YouTube Kids by a further 1 in 5 pre-schoolers. • However, with 13 being the minimum age required to use the main YouTube site, there is online content in Germany (25% of 10-12s are always monitored by their parents). • The current type of content that resonates most with tweens on YouTube is centred around (48%), (35%) and (32%). • Content creators that can produce this kind of content, in a kidsafe environment will be popular with kids and parents alike

Spain leads the way for esports • One in five of all children in Spain watch esports on screen (equivalent to 1.5 million children), rising to a huge peak of 35% amongst teenage boys – much higher than the 22% of teenage boys in the US who watch, for comparison. • FIFA (12%), League of Legends (9.3%) and Fortnite (8.8%) are currently the most popular esports titles in Spain • This is a huge new market and represents a relatively untapped opportunity for brands to engage with a unique market.

BASED ON LIVE-STREAM DATA

DC - DURING CORONAVIRUS

•

LAST MONTH VS AVG. FOR THE LAST 12 MONTHS

6/3/20 – 3/4/20 vs 6/4/19 - 6/4/20

•

BASED ON LIVE-STREAM DATA

Kids career aspirations are changing as a result of the things they are seeing around them. We have in our data seen a growing number of children who are now aspiring to become scientists – children want to save the world, find solutions to global problems and become heroes in their own right. Being a doctor is now number one career choice for 5-9s in the UK, overtaking teacher (+32% increase to 18.5%). It is likely that the aftermath of this virus will cause a shift in aspirations longer term for the young. These last few weeks has seen us come together to celebrate and appreciate the work emergency and key workers have done to help us through the pandemic. There are new heroes in society that children will look up to and aspire to be. It is no longer enough to be a just a ‘persona’, role models need to have purpose. Bearing this in mind we will see a shift in the types of influencers children will start to look up to?

Brands will need to be cognizant of this when considering who to use to promote their brand values. Could the influencers who have ‘suffered’ alongside you, rather than those observing from a distance become more relatable and therefore more influential in the future?

Children are now having a much greater influence over home and family life, becoming a bigger part of the decision-making process, particularly over products and services that are impacting on home life during lockdown. In the UK, there has been a 23% increase in children who say they have influenced the choice of a TV subscription service in the last month ‘a lot’, as families seek out entertainment options that will suit the whole household. There has also been a 20% increase in children having ‘a lot’ of influence over the grocery’s families buy and a 17% increase in the choice of music listened to in the home. When it comes to entertainment choices, it doesn’t stop with music; parents are starting to have a greater influence of the TV viewing choices made. When we asked our panel of children what makes you start watching a TV show, 12% said their parents – an increase of 20% in the last month. Furthermore, there has been a shift in focus towards programmes that offer family viewing opportunities. TV sitcom Friends was the third most anticipated new show for children across the month of March – a programme that bears fond reference for parents yet remains relevant for many children.

But what will happen when lockdown ends? There will be a definite and undeniable need and want, especially for children to experience the ‘real’ physical world again, more so than ever before. How will the virtual world, which has become more mainstream and accessible to all compete with the desire for physical experiences after they have been prohibited for so long? And vice versa, how will children learn to readapt in a physical world, one in which being too close to humans is considered bad, and their home is considered the only safe environment for them to exist in.

We don’t foresee for one second that virtual living will overtake the desire for physical real connections, especially for kids. Nor will the need for schools, physical business and other institutions be replaced. But there is a whole new world opening up for children, one in which they can influence and participate in so much more. As long as brands continue to support virtual visits, kids no longer need to live or go on holiday to visit The Museum of Modern Art in New York, nor do they need to visit NASA in Houston to get an augmented reality experience about space exploration. As they get older, they can even get a law degree from Harvard without ever needing to physically go. Many of these facilities were open before, but what Covid 19 has done is accelerate and ‘mainstream’ this way of virtual living for the masses and in turn it will allow all children to grasp a glimpse into a world that may not have ever been open to them and possibly plant the seeds for inspiring new adventures which marketeers can take advantage of.