VNU's information guide for the Academy Awards

With the Academy Awards this past Sunday, a comprehensive set of insights was released by several VNU businesses.

27 Feb 2005

Together, the insights show the breadth and depth of the impact that each year's Awards broadcast and the nominated movies have on television audiences; advertising; box office receipts; sales of movie soundtrack CDs; sales of books that the movies either were based on or that were created as companion products to the movies; and, in the case of "Sideways", one of this year's nominees for Best Picture in which wine plays a starring role, sales of the varietal highlighted in the movie.

Television Ratings (Nielsen Media Research)

The Academy Awards broadcast is one of the biggest television events of the year. According to Nielsen Media Research, last year's broadcast received a 26% average household rating with more than 43 million viewers who tuned in. It was the third highest-rated telecast behind the Super Bowl with a 41.4 household rating. The finale of Friends received a 29.6 household rating. In 1998, the Awards show received its highest household rating since 1983 with a 34 rating and 55 million viewers. That year, "Titanic" was named the Best Picture.

Academy Awards TV Ratings
Date	Net	Household Rating	Household Share	Number of Homes	Number of Viewers
2/292004	ABC	26	40	28,212,000	43,531,000
3/23/2003	ABC	20.4	32	21,769,000	33,043,000
3/24/2002	ABC	25.4	42	26,832,000	41,782,000
3/25/2001	ABC	26.2	40	26,800,000	42,944,000
3/26/2000	ABC	29.2	48	29,437,000	46,333,000
3/21/1999	ABC	28.6	46	28,466,000	45,615,000

Source: Nielsen Media Research

Advertising Expenditures (Nielsen Monitor-Plus)

Glitz and glamour surround the Academy Awards, when fans tune in to see what the stars are wearing. Just as the celebrities stand out on the red carpet, so do the commercials. Since 1995, the cost of a 30-second commercial on the broadcast has increased 114%.

Academy Awards Ad Cost Per 30 Seconds
Year	:30 sec cost
2004	$1,500,000
2003	$1,345,000
2002	$1,290,000
2001	$1,450,000
2000	$1,305,000
1999	$1,000,000
1998	$950,000
1997	$850,000
1996	$795,000
1995	$700,000

Source: Nielsen Monitor-Plus

Cadillac, Pepsi, and JC Penney have been the top three advertisers for the last three years.

A new Nielsen Monitor-Plus website (www.nielsenmedia.com/monitorplus/academyawards) contains a commercial database of the last two Academy Awards shows; it allows the occurrences to be sorted by ratings, brand, parent or creative. Next week, the website will contain commercials from the 2005 Awards.

Box Office Measurement (Nielsen EDI, a Unit of Nielsen Entertainment)

How much of an impact do Academy Award nominations have on the distribution and ticket sales for the nominated movies? Comparing the number of theatres showing each movie and ticket sales before and after the nominations were announced on January 25th shows significant increases in most cases.

	# of Theatres			Box Office Receipts
Movie	Weekend Prior to Nominations Announcement	Weekend Following Nominations Announcement	% Change	Total for the Three Weekends Prior to Nominations Announcement	Total for the Three Weekends Following Nominations Announcement	% Change
"Sideways"	696	1,694	143%	$7,509,671	$15,476,889	106%
"Million Dollar Baby"	147	2,010	1,267%	$5,857,565	$28,228,059	382%
"The Aviator"	2,261	2,503	11%	$18,680,597	$17,649,513	(6%)
"Finding Neverland"	869	1,258	45%	$5,717,653	$7,575,138	32%
"Ray"	293	526	80%	$1,028,670	$1,136,615	10%

Source: Nielsen EDI

Movie Audience Demographics (Nielsen Cinema)

Nielsen Cinema, which measures the size and composition of the audiences reached by cinema advertising, took an inside look at the films "Sideways" and "Ray". The information is based on total moviegoers in the fourth quarter of 2004. The other three Best Picture nominees were in limited release at the time.

Both "Sideways" and "Ray" appealed to older audiences, with 86% of the total audience for "Sideways" 35 years and older and 63% of the audience for "Ray" 35 years and older. More than half (52%) of the total "Sideways" audience was 55 years and older.

Soundtrack Sales (Nielsen SoundScan, a unit of Nielsen Entertainment)

Nielsen SoundScan examined sales of soundtracks for each of the Best Picture nominees (the soundtrack to "Million Dollar Baby" will be available on March 1) as well as those for the movies nominated for Best Music (Score), comparing post-nomination sales with pre-nomination sales.

With its musical focus, it's no surprise that the soundtrack to "Ray" is outselling all others. Also, while an Academy Award nomination seems to have boosted sales of most CDs related to the movies, it did not help them all.

Sales of Movie Soundtrack CDs
Nominated for Best Picture	Composer and/or Artist	CD Units Sold Weeks Ending 1/9/05 - 1/23/05	CD Units Sold Weeks Ending 1/30/05 - 2/13/05	% Change
"Sideways"	Kent	1,076	1,686	57%
"Million Dollar Baby"	Eastwood	N/A	N/A	N/A
"The Aviator"	Various	4,787	5,154	8%
"Finding Neverland"	Kaczmarek	2,367	2,629	11%
"Ray"	Charles	65,298	137,905	111%
Nominated for Best Music (Score)	Composer and/or Artist	CD Units Sold Weeks Ending 1/9/05 - 1/23/05	CD Units Sold Weeks Ending 1/30/05 - 2/13/05	% Change
"Finding Neverland"	Kaczmarek	2,367	2,629	11%
"Harry Potter & the Prisoner of Azkaban"	Williams	2,358	2,065	(12%)
"Lemony Snicket's"	Newman	4,905	2,809	(43%)
"The Passion of Christ"	Debney	1,524	1,692	11%
"The Village"	Howard	1,444	1,967	36%

Source: Nielsen Soundscan

Book Sales (Nielsen BookScan, a unit of Nielsen Entertainment)

Each of the movies nominated for Best Picture was either based, at least in part, on a book or a book was developed in conjunction with the movie. Nielsen BookScan, which covers 75% of sales in the book industry, took a look at sales of books that are related to the nominated movies. Comparing pre- and post-nomination sales shows that all of the books increased in sales following the nominations announcement. In some cases, such as with "Million Dollar Baby," and the "Sideways" edition with a cover tied to the movie, there were large increases in sales.

Sales of Books Related to Nominated Movies
Book	Author	ISBN	Format	Relates to Which Movie?	Units Sold Weeks Ending 1/9/05 - 1/23/05	Units Sold Weeks Ending 1/30/05 - 2/13/05	% Change
Sideways - Novel	Pickett	0312324669	Paperback	Sideways	175	220	26%
Sideways - Novel (movie cover)	Pickett	0312342519	Paperback	Sideways	2,989	6,226	108%
Sideways - Shooting Script	Payne, Taylor	1557046557	Paperback	Sideways	310	375	21%
Million Dollar Baby	Toole	006081926X	Paperback	Million Dollar Baby	2,100	6,200	195%
The Aviator	Logan	1401359701	Paperback	The Aviator	250	260	4%
Howard Hughes: Aviator	Marrett	1591145104	Hardcover	The Aviator	700	755	8%
J.M. Barrie and the Lost Boys	Birkin	0300098227	Paperback	Finding Neverland	980	1,020	4%
Ray	Hackford, Foxx	1557046492	Hardcover	Ray	105	165	57%

Source: Nielsen BookScan. Note: Nielsen BookScan does not track sales of books through Wal-Mart, Sam's, BJ's, airports or libraries.

"Sideways" Impact on Wine Sales (ACNielsen)

In the movie "Sideways," wine plays a central role, with the main character extolling the virtues of Pinot Noir as he and a friend explore the wineries of California's Santa Ynez Valley. In a news release issued on February 21st, ACNielsen announced that while Pinot Noir sales have been on the rise for several years, the varietal has enjoyed especially strong sales since the movie came out in late October of 2004.

For this release, ACNielsen took a look at the major markets where Pinot Noir is gaining market share. Pinot Noir represents just 1.5% of all table wine sold through grocery stores in the U.S. However, for the 12-week period following the release of "Sideways," it is up two-tenths of a percentage point. The chart below shows the 10 major markets that have experienced the largest gains in Pinot Noir sales as a percentage of total table wine volume.

Volume Share of Table Wine Sales
Market	Pinot Noir Share of Total Table Wine Volume	Share Point Change Vs. Year Ago
NEW ORLEANS	2.5	+0.5
LOS ANGELES	1.6	+0.5
DES MOINES	2.1	+0.5
PORTLAND	3.1	+0.4
CLEVELAND	1.4	+0.4
SAN DIEGO	2.1	+0.3
SAN FRANCISCO	2.7	+0.3
BIRMINGHAM	2.5	+0.3
VIRGINIA	1.6	+0.3
CHARLOTTE	1.8	+0.3

Source: ACNielsen, grocery store sales,12 weeks ending 1/15/05

Another analysis will be issued in the weeks ahead which will examine the impact of winning an Academy Award.

Contacts:
Nielsen Media Research and Nielsen Cinema - Matt Tatham - 646-654-8362
Nielsen Monitor-Plus - Anastasia Kerris - 646-654-8681
Nielsen Entertainment (EDI, SoundScan and BookScan) - Tiffany Graves - 323-817-1528
ACNielsen - Matt Bell - 847-605-5686

About VNU

VNU is a global information and media company with leading market positions and recognized brands in marketing information (ACNielsen), media measurement and information (Nielsen Media Research, Nielsen Entertainment), and business information (Billboard, The Hollywood Reporter, Computing, Intermediair).

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