Categories health insurance_vf

Health InsuranceIndustry Category Report: Q1-2004

Agenda

• GFR Media

• PR Advertising Market

• Retail Advertising Market

• PR Audience Market

• Retail Audience Market

• Circulation

• GFR Media and Retail

• Next Steps

Grupo Ferré Rangel

• Grupo Ferré Rangel is a family owned conglomerate in Puerto

Rico

• Companies owned by GFR include:

• GFR Media - largest and most diversified media company in PR

• Publishes: El Nuevo Dia – Puerto Rico’s Principal Newspaper, Primera

Hora – Second Largest Newspaper, and Indice – Largest Non-paid

Newspaper

• Advanced Graphic Printing – A Commercial Printing Company

• El Día Directo (EDD) – the largest direct marketing company;

offering service in PR and US

• City View Plaza – Commercial Real Estate Company

Media Properties

• Media properties account for 35% of the media expenditure in the island

• Newspapers dominate investment in media

• Puerto Rico is one of the countries with the highest levels of readership in the world

• El Nuevo Dia is the leading newspaper in the market as measured by circulation, advertising and quality of readership

• Leader in Class A, B & C Reach

• Shoppers that insert in the newspaper are the main source of information for purchasing decision in Puerto Rico

World’s ReadershipPR is one of the countries with highest levels of readership in the world

Japa

n

Puer

to R

ico

Den

mar

k

Sing

apur

Chile

Ger

man

y

Aus

tria

Chin

a

New

Zea

land

USA

Braz

il

Fran

ce

Spai

n

Uni

ted

Kind

om

Uru

guay

92%

85% 83% 80%75% 74% 73%

61%

50% 50% 52%44% 42%

33%

24%

Source: World Press Trends - 2007*Based on CMB 2007 – Last Week (Monday to Saturday) readers

85%

Countries with population between 3 and 4.5 millions

GFR Media has evolved from a Newspaper to a Content & Media Company

• We are the largest and most diversified media company in Puerto Rico

• Leader in newspaper readership: over 2.1 million weekly readers.

• Circulation: over 407k newspapers

• Leader in digital traffic: over 6 million monthly unique browsers.

• Leader in Database: over 2 million people in GFR Media DATABASE.

• Leader in Social Networks:

• over 2.4 millions fans

• over 600K followers

• over 67K followers

GFR Media Platforms

EL NUEVO DÍA• Newspaper of record in Puerto Rico• Primarily island wide home delivered• Leader in audited circulation• Over 1.4 million readers• Audited circulation 184,306 weekly & 207,659 Sunday• Proven results for advertisers

PRIMERA HORA• Leader in single copy circulation

• Primarily in stores and distribution points• Second largest paid newspaper

• Over 1.3 million readers

INDICE• Leader in non-paid circulation

• Over 120k daily copies• Over 240k regional copies on Thursday

• Promotional and commercial platform • Flexible distribution• 360 Offering

GFR Media Newspaper Products

ELNUEVODIA.COM• #1 most visited site in Puerto Rico• Over 5 Million Monthly Unique Browsers• Leader in Social Media reach

• Over 1.2 Million Facebook Likes• Over 349k Twitter Followers

PRIMERAHORA.COM• #2 news site in Puerto Rico

• Over 2.2 Million Monthly Unique Browsers• Focus on Entertainment and Sports

• Younger audience• Social Media Presence:

• Facebook 756k• Twitter 264k

INDICEPR.COM• Over 500k Monthly Unique Browsers• Responsive design platform• Focus on light news• Social Media Presence:

• Facebook: 240k• Twitter: 10k

GFR Media Digital Products

Total Mobile units GFR MEDIA reaches

3,074,96In Puerto Rico

*Source: Junta Reglamentadora de Telecomunicaciones, February 2014**Includes Mobile Web and Native Applications. Source: Comscore and Flurry Analytics. March 2014

4,550,043Monthly Mobile Users

2,910,057 Monthly unique browsers**

1,398,644 Monthly unique browsers**

241,342 Monthly unique browsers**

Mobile

13

Advertising Market Puerto Rico Overview

14

ADVERTISING MARKET IN PR 2013

Nielsen Adynamics – Jan – Dec. Real investment calculations by GFR Media

Total Advertising spending in Puerto Rico at “rate card” was $2.1B but estimated at $602MM net of discounts – real investment

• $2.1 billionsRATE CARD

• $602 millionsREAL INVESTMENT

16

Newspapers have the highest investment at 39% of total “real media investment”

Market Share by Media

Newspapers21%

Local TV43%

Radio9%

Outdoor5%

Paid TV17%

Internet1%

Others1%

Magazines2%

Cinema0%

2013 - Rate Card

Newspapers Local TV Radio Outdoor Paid TVInternet Others Magazines Cinema

Newspapers39%

Local TV28%

Radio11%

Outdoor6%

Paid TV6%

Internet3% Others

2%Magazines2%

Cinema2%

2013 - Real Investment

Newspapers Local TV Radio Outdoor Paid TVInternet Others Magazines Cinema

Nielsen Adynamics – Jan – Dec. Real investment calculation by GFR Media

17

Advertising Market in Puerto Rico – Real Investment

Newspapers and local TV represent 67% of $602MM total investment.Investment in newspapers grew 3%

Newspapers Local TV Radio Outdoor Paid TV Internet Others Magazines Cinema -

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000 235,782,442

170,530,401

68,978,309

36,582,783 36,040,017

21,000,000 13,600,000 10,768,324 9,600,000

229,668,727

176,041,922

74,742,120

27,424,667 36,553,437

17,300,000 17,000,000 10,282,990 8,000,000

2013 Real investment2012 real investment


18

Business & Consumer Ser-

vices; 22%

Retail; 15%

Entertainment & Amusements;

13%

Publishing & Media; 12%

Other Cat-egories; 9%

Auto.,auto.access & Equip; 9%

Drugs & Remedies; 6%

Toiletries & Cosmetics; 4%

Tv Networks/

stations; 4% Insurance & Real Estate; 3% Foods & Food Products; 2%

2013 – REAL INVESTMENT

Top 10 Categories. Share of Investment (SOI)

Business & Consumer Services;

21%

Entertain-ment & Amuse-

ments; 15%

Retail; 12%Publishing & Media; 9%

Auto.,auto.access &

Equip; 9%

Drugs & Remedies;

7%

Tv Net-works/sta-tions; 6%

Toiletries & Cosmetics;

5%

Foods & Food

Products; 3%

Insurance & Real Estate;

3%

Others Categories ; 10%

2013 – RATE CARD


19

Health Insurance IndustryFrom the advertising

perspective.

20

Health Insurance In Puerto Rico 2013The Health Insurance Industry spends $10.7MM in advertising a year


• $36.2 millionsRATE CARD

• $10.7 millions

MEDICAL PLANS REAL

INVESTMENT

Health Insurance Category

Local TV50%

Cable TV6%

Newspaper24%

Reg Newspaper

4% Radio10%

Magazines1%

Outdoor5%

Rate Card

Local TV31%

Cable TV2%

Newspaper42%

Re-giona

l/Week

ly Newspa-per6%

Radio12%

Magazine

s0%

Outdoor6%

Real Investment

National Newspapers and Regional Newspaper are the prefered media investment (48%) of the Health Insurance category.


Health Insurance Category - Real Investment

Newspaper Local TV Radio Regional/Weekly

Newspaper

Outdoor Cable TV Magazines

$4,447,835

$3,347,357

$1,274,097

$686,517 $675,498$198,172 $50,476

$5,141,302

$4,357,614

$1,013,085

$634,903 $410,081$83,396 $110,742

2013 2012

Real advertising investment of the health insurance category is $10.7MM a year. For the health insurance industry, Newspapers is the primary advertising media.


Investment by BrandTop 5 brands represent 85% of total category investment: $9 millions

Triple S Salud Mmm Healthcare Humana Mcs First Medical Others

$2,140,252 $2,129,554 $2,091,202

$1,583,765

$1,092,894

$1,642,285


Health Insurance: Brands

Humana21%

MMM18%

Triple S18%

MCS14%

First Medical13%

American

Health

Medicare6%

Con-stel-

lation Healt

h4%

AARP3%

Pmc Medicare Choice1%

Auxilio Mutuo1%

MAPFRE0%

Others1%

Rate Card

Triple S20%

MMM20%

Humana20%

MCS15%

First Medical10%

American

Health

Medicare6%

Con-stel-

lation Healt

h3%

AARP2%

PMC2%

Auxilio Mutuo1%

MAPFRE0%

Others1%

Real Investment

Triple S, MMM and Humana are the brands that spend the most in advertising with the 60% of the total real investment.


Health Insurance Category

0.2589170940829210.358593036098641

0.563900711832358

0.125164731077966

0.4192901590827390.243298327999076

39%

49%

100%

34%23%

32%44%

0.0593314953761954

0.0406261095703181 0.00522150330668179

0.149925812660065

0.114200109897417 0.10691879084498618%51%

13%

100%

18%

72%

3%

100%

13%0.01047328615548080.0945986285101522 0.0235773568748605

0.114095729776920.0349495119881968

0.10870952566345

0.0249922131744359

0.0395039539700443

Local TV Cable TV Nat.Newspaper Reg. NewspaperRadio Magazine Outdoor

Top 3 brands represents 60% of total real media investment in 2013


26

Puerto Rico MarketAudiences Overview

27

Media Consumption:

INTERNET WEBSITE- ANY RADIO STATION-PAST 7 DAYS

INTERNET WEBSITE- ANY BROADCAST TV- PAST 7 DAYS

MOVIE THEATER-PAST 30 DAYS

MAGAZINE( MONTHY/WEEKLY/BI-WEEKLY)-READ ANY IN THE PAST 7 DAYS

INTERNET WEBSITE-ANY NEWSPAPER- PAST 7 DAYS

WATCHED PAID TV- PAST 7 DAYS

INTERNET-ACCESSED PAST 7 DAYS

Newspaper Cume anydailyaverage sat aver sun

Outdoor Billboards seen past 7 days

RADIO- LISTENED IN THE PAST 7 DAYS

WATCHED LOCAL TV-PAST 7 DAYS

0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0%

7.4%

17.1%

17.8%

24.1%

27.1%

49.6%

59.1%

79.3%

80.8%

91.2%

96.5%

Scarborough – PR Study – 2014 - 1

Newspapers have a 79% penetration in Puerto Rico

28

61%

79%

USA Puerto Rico

ReaderShip

USA Puerto Rico

Scarborough – PR Study – 2014 – 1USA. Newspapers Association of America. Past week newspaper print

Media ConsumptionNewspaper (Print) penetration in Puerto Rico is higher than USA by 30%.

29Scarborough – PR Study – 2014 - 1

With GFR Media Newspapers, advertisers reach 2.1 million readers, which accounts for 94% of the total readers (18+) in Puerto Rico.

Newspapers Market Share

2.1 MILLIONS READERS

94%

6%

GFR Media

Others

30Scarborough – PR Study – 2014 – 1. Cume readers

M-F audiences are reached with GFR Media Newspapers.Monday to Friday Readership

2,166,882

1,489,3541,306,634

839,676

482,508 405,074

Any daily newspaperprint edition

El Nuevo Día Primera Hora El Vocero Índice Metro

Monday to Friday

31Scarborough – PR Study – 2014 - 1

98% of weekend audiences are reached by GFR Media Newspapers.

1,011,916

994,200

Any Sunday newspaper print edition El Nuevo Día

Sunday Readership

984,038

691,836

525,896

Any Saturday newspaper print edition(Current Release Only)

El Nuevo Dia Primera Hora

Saturday Readership

Weekend Readership

Sunday Readership

Saturday Readership

32Source: ScarBorough, Release 1 & 2 2013 and 1 2014

2,167

1,489

1,307

840

405

483

0

500

1,000

1,500

2,000

2,500

2013-1 2013-2 2014-1

Thou

sand

s

Cume Readership - Monday to Friday

Any daily newspaper print edition El Nuevo Día Primera Hora El Vocero Metro Índice

El Nuevo Dia leads newspapers readershipNewspapers Cume Readers Trends

1,489,35469% of the market

El Nuevo Dia (END)

Source: Scarborough 2014 -1 Cume Readers People 18+

1,489,354readers of


• 53% are women

• 53% are 25-54 years old

• 53% have a Any College Degree or more (index: 110)

• Bilingual (index: 108)

• “white-collar” (index: 110)

El Nuevo Dia Leadership

677,528Readers do not read El Nuevo Día

How to reach END Non-readers?


446,16666% of no readers of END are readers of

Primera Hora captures the most END Readers


446,166PH Readers, but END Non-Readers

• 52% are women (index: 101)

• 57% are 25-54 years old (index: 105)

• They have an education level of high school or less (index: 104)

• Have difficulties with english (index: 106)

• “Blue-collar” (index: 112)

Primera Hora (PH)


reach together an impressive majority of readers*

89% Reach

&

The most Effective Combination


39Source: Comscore

+29%

Jan-2013 Jan-2014

4.9 MM

+6.3 MM

GFR Media unique browsers are growing steadily at a 29% rate YOY

3.8 MM

25K

2.3 MM

GFR Media Digital Audience:

4.6 MM+21%

372K+1134%

+35% 3.1 MM

40

Health Insurance IndustryFrom the audience perspective.

41

Health Insurance Market in Puerto Rico 83.8% of P 18+ have Health Insurance

Have Health Insurance84%

Non Health Insurance16%

Have Health Insurance Non Health Insurance

Scarborough 2014 -1 Base 2,362,294 Have Health insurance / 455,886 Non Health Insurance

Health Insurance Market in Puerto Rico


Auxillio Mutuo

Delta Dental Plan

Humana

MCS - Medical Card System

Other provider

MMM - Medicare y Mucho Más

First Medical

Triple-S

0 200000 400000 600000 800000 1000000 1200000 1400000

23838

59156

178154

217360

231450

243346

323654

1238740

52% of P 18+ have Triple S Health Insurance

EL NUEVO DÍA AVERAGE READER

PRIMERA HORA AVERAGE READER

EL VOCERO AVERAGE READER

ÍNDICE AVERAGE

ISSUE READERD

METRO AVERAGE READER

Have Health Insurance 33.3% 27.2% 15.8% 8.6% 6.7%

Non Health Insurance 30.5% 25.2% 10.1% 7.8% 6.2%

Health Insurance Market in Puerto RicoEl Nuevo Día and Primera Hora are more effective newspapers in reaching health insurance users and non users


44

Media used for shopping and buying decision process.

Any Health Insurance Users consider Weekly Shopper and Newspapers as the media used for their shopping and buying decisions process

Weekly shoppers

Newspaper Local TV Internet Radio Cable or satellite TV

Promotions or visual displays

Magazines Outdoor Movie theater

1,662,622

1,282,208

974,866902,978

596,334 580,978 558,416

319,966

203,534

85,262


Non Health Insurance Users consider Weekly Shopper and Newspapers as the media used for their shopping and buying decisions process

Weekly shoppers

Newspaper Local TV Internet Radio Promotions or visual displays

Cable or satellite TV

Magazines Outdoor media

Movie theater

266,966

212,096

163,972

137,396127,562

89,096

68,504

45,626 42,492

11,118


47

Media Usage Buying Decision - Making Process

Shoppers & Catalogs

Source: Nielsen Adynamics – Jan – Dec.

60%

25%

14%

1%

El Nuevo Día Primera Hora Vocero Índice

# OF INSERTS 2013

49

END Readers’ Profile vs Any Health Insurance User Profile

EL NUEVO DIA’S READERS PROFILEHAVE AUTO INSURANCE

EL NUEVO DÍA CUME READERS


Target % Target % Index

Men 47.6% 47.0% 100Women 52.4% 53.0% 100

Age 18-24 12.1% 15.2% 112Age 25 - 34 15.0% 18.9% 113Age 35-49 24.8% 25.4% 101Age 50-64 25.5% 22.7% 92Age 65 or More 22.6% 17.8% 89

High School Graduate or Less 52.3% 45.1% 85Some or Collage Degree 38.5% 43.9% 115Some or Post graduate degree 9.2% 11.1% 125

Arecibo Region 11.1% 10.9% 101Caguas Region 14.6% 14.2% 96Mayagüez Region 14.5% 12.9% 89Ponce Region 13.0% 12.7% 97San Juan Metro Region 28.5% 30.7% 107San Juan Sub Region 18.0% 18.1% 101

Upper class 11.7% 13.8% 128Upper/middle class 20.3% 23.1% 120Middle/lower class 29.7% 31.6% 103Lower class 38.3% 31.5% 80

Less than $10,000 20.2% 17.7% 83 $10,000 -$24,999 29.8% 29.7% 98 $25,000 - $34,999 19.2% 19.2% 105$35,0000 - $44,999 14.9% 16.0% 107 $45,000 - $74,999 11.4% 11.9% 112 $75,000 - or more 4.6% 5.5% 127

El Nuevo Dia: High penetration in well educated people, upper socioeconomic level and income more than 25K


50

END Readers’ Profile vs Non Health Insurance User Profile

EL NUEVO DIA’S READERS PROFILENON AUTO INSURANCE




Men 43.8% 47.0% 100Women 56.2% 53.0% 100





Less than $10,000 27.6% 17.7% 83 $10,000 -$24,999 33.7% 29.7% 98 $25,000 - $34,999 13.5% 19.2% 105$35,0000 - $44,999 15.5% 16.0% 107 $45,000 - $74,999 6.5% 11.9% 112 $75,000 - or more 3.1% 5.5% 127

El Nuevo Dia: High penetration in well educated people, upper socioeconomic level and income more than 25K


51

PH Readers’ Profile vs Any Health Insurance Users Profile

PRIMERA HORA’S READERS PROFILE HAVE AUTO INSURANCE PRIMERA HORA CUME PRIMERA HORA CUME


Men 47.6% 47.3% 101Women 52.4% 52.7% 99





Less than $10,000 20.2% 22.7% 106 $10,000 - $24,999 29.8% 30.7% 101 $25,000 - $34,999 19.2% 19.3% 106$35,000 - $44,999 14.9% 13.7% 91$45,000 - $74,999 11.4% 10.0% 94 $75,000 - or more 4.6% 3.7% 85

Primera Hora: High penetration in 25-49 , well educated, from Caguas and Ponce region, and middle/ lower socioeconomic level


52

PH Readers’ Profile vs Non Health Insurance Users Profile

PRIMERA HORA’S READERS PROFILE NON AUTO INSURANCE PRIMERA HORA CUME PRIMERA HORA CUME


Men 43.8% 47.3% 101Women 56.2% 52.7% 99





Less than $10,000 27.6% 22.7% 106 $10,000 - $24,999 33.7% 30.7% 101 $25,000 - $34,999 13.5% 19.3% 106$35,000 - $44,999 15.5% 13.7% 91$45,000 - $74,999 6.5% 10.0% 94 $75,000 - or more 3.1% 3.7% 85

Primera Hora: High penetration in 25-49 , well educated, from Caguas and Ponce region, and middle/ lower socioeconomic level


53

INDICE READER’ PROFILE HAVE AUTO INSURANCE ÍNDICECUME ÍNDICECUME


Men 47.6% 45.0% 96Women 52.4% 55.0% 104





Less than $10,000 20.2% 14.1% 66 $10,000 - $24,999 29.8% 33.0% 109 $25,000 - $34,999 19.2% 20.3% 111$35,000 - $44,999 14.9% 16.8% 112$45,000 - $74,999 11.4% 9.7% 91 $75,000 - or more 4.6% 6.1% 142

Indice Readers’ Profile vs Any Health Insurance Users ProfileIndice: High penetration in women, well educated and middle/upper socioeconomic level


54

INDICE READER’ PROFILE NON AUTO INSURANCE ÍNDICECUME ÍNDICECUME


Men 43.8% 45.0% 96Women 56.2% 55.0% 104





Less than $10,000 27.6% 14.1% 66 $10,000 - $24,999 33.7% 33.0% 109 $25,000 - $34,999 13.5% 20.3% 111$35,000 - $44,999 15.5% 16.8% 112$45,000 - $74,999 6.5% 9.7% 91 $75,000 - or more 3.1% 6.1% 142

Indice Readers’ Profile vs Non Health Insurance Users ProfileIndice: High penetration in women, well educated and middle/upper socioeconomic level


55

Circulation

56

Certified Circulation: Monday to FridayEL Nuevo Dia is the leader in Circulation for all PAID newspapers and Indice for NON PAID newspapers.

Sources:Alliance for audited media. Certfified Audit of Circulations

177,509

107,394

122,523 112,774

91,712

Paid Free

+70K SUROESTE

57

Certified Circulation: Saturday-Sunday

Sources:Alliance for audited media. Certfified Audit of Circulations

177,979

92,163

SATURDAY

207,659

SUNDAY

GFR Media is the leader in Circulation on Saturdays and Sundays

58

Thank You

Education

Categories health insurance_vf