Copyright 2017 The Nielsen Company Confidential and proprietary

Copyright © 2017 The Nielsen Company. Confidential and proprietary. San Diego Automotive Path To Purchase Study Rich Tunkel Senior Vice President Nielsen Audio June 2017 Copyright © 2017 The Nielsen Company. Confidential and proprietary.

San Diego Automotive Study: Project Background • Radio’s role in the path to automotive purchase in San Diego Copyright © 2017 The Nielsen Company. Confidential and proprietary. • Survey conducted primarily online • Re-interview of Scarborough consumer respondents • 715 auto buyers age 18+ in San Diego • Field dates: February 27, 2017 to March 13, 2017 2

Copyright © 2017 The Nielsen Company. Confidential and proprietary. State of the Automotive Industry Several good years… 2017 is a challenge! 3

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Three Key Findings 1. Two Distinct Auto Buying Segments 2. Reach Drives Sales Results 3. San Diego Radio Reaches Hundreds of Thousands of Auto Buyers Each Week 4

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Decideds / Undecideds Copyright © 2017 The Nielsen Company. Confidential and proprietary. 5

51% of San Diego Auto Buyers Know What They Want 49% Are Undecided 15% Copyright © 2017 The Nielsen Company. Confidential and proprietary. 51% Decided Auto Buyers Knew body style, not make/model Didn’t know specific vehicle, but had certain class of vehicle in mind 7% Knew vehicle make I wanted 8% Knew exact make and model I wanted 49% Undecided Auto Buyers 11% 8% 36% Didn’t know exact make/model, but had certain features in mind Didn’t know exact make/model, but had certain budget in mind Didn’t know what vehicle I wanted when started looking Source: San Diego Auto Path to Purchase 2016 Release 2 Q: Statement that best describes how you approached deciding on the vehicle you most recently purchased/leased 6

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Decideds, Undecideds and The Purchase Funnel 7

Different Paths to Purchase in San Diego • UNDECIDED AUTO BUYERS Copyright © 2017 The Nielsen Company. Confidential and proprietary. DECIDED AUTO BUYERS • Shorter Decision (Most likely take a week) • Longer decision (Most likely 1 -3 months) • Purchase New (56%) Used (44%) • Purchase Used (73%) • More Confident (34% score 10 out of 10) • Less Confident (6% score 10 out of 10) • Visit Fewer Dealerships (half only visit 1) • Visit More Dealerships (most visit 2 -3) • “Want Vehicle” (34%) • “Need Vehicle” (85%) Source: San Diego Auto Path to Purchase 2016 Release 2 Decided and Undecided Auto Buyers Age 18 + 8

Media Implications • UNDECIDED AUTO BUYERS Copyright © 2017 The Nielsen Company. Confidential and proprietary. DECIDED AUTO BUYERS • 1 Week until purchase • 1+ Month until purchase • Urgent and Always On • Always On as they decide • Shorter Window- Focus on Offer • Longer Window- Focus on Dealer Brand • Direct them to your website Source: San Diego Auto Path to Purchase 2016 Release 2 Decided and Undecided Auto Buyers Age 18 + 9

San Diego Dealer Websites are Among the Top Online Resource to Auto Customers Most Valuable Websites to Auto Buyers 47% 41% 32% 31% Copyright © 2017 The Nielsen Company. Confidential and proprietary. 25% Local dealership website Kelley Blue Book (kbb. com) Google, Yahoo! Autos or other search engine 23% Manufacturer website (e. g. , Ford. com, Toyota. com) Decided Auto Buyers 26% 24% 28% 20% Auto. Trader. com Car. Fax. com 19% 20% Cars. com 19% 17% Consumer. Reports Undecided Auto Buyers Source: San Diego Auto Path to Purchase 2016 Release 2 : Decided and Undecided Auto Buyers Age 18 + Q: Which websites were most valuable in researching your most recent vehicle purchase/lease? 10

Dealer Website: Help Decideds Buy Copyright © 2017 The Nielsen Company. Confidential and proprietary. Top Ways Decided and Undecideds Use Dealer Websites Listings Locate Dealer Request Quote Source: San Diego Auto Path to Purchase 2016 Release 2 : Decided and Undecided Auto Buyers Age 18+ Ways used Dealership website Special Incentives Research Price 11

Dealer Website: Help the Rest Decide Copyright © 2017 The Nielsen Company. Confidential and proprietary. Undecideds Also Do More of This Compare Models Determine How Much They Can Afford Watch Informational Videos Source: San Diego Auto Path to Purchase 2016 Release 2 : Decided and Undecided Auto Buyers Age 18+ Identify Vehicles Seen on the Road 12

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Dealer Websites Are Rarely Mentioned In San Diego Radio Ads • • Offer (price, promotion) - mentioned 5. 0 times Dealer Name - mentioned 5. 7 times Brand - mentioned 2. 7 times Website - mentioned only 0. 6 times WWW. ”YOUR NAME”. COM Source: Media Monitors review of San Diego radio ads from the top 7 automotive advertisers for Q 1 2017 (English Language) 13

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Reach Drives Sales Results Copyright © 2017 The Nielsen Company. Confidential and proprietary. 14

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Even The Heaviest TV Campaigns Miss Customers Adults 25 -54 Adults 18 -34 77% reached 23% NOT reached 60% reached 40% NOT reached Top 5 Automotive National Campaign 2, 870 TV Commercials January 2017 Source: Nielsen NPM analysis of National Linear TV Campaign for January 2017. 15

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Optimal Ad Mix Study: 5, 000 Campaigns 1, 000 Brands 100 Categories 45 Countries The Advertising Research Foundation: “How Advertising Works, Today” March 2016 16

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Optimal Ad Mix: 80% Of Ad Buy Should Be In Traditional Media (TV & Radio) Digital 22% Digital 29% Traditional 78% Traditional 71% P 18+ P 18 -34 The Advertising Research Foundation: “How Advertising Works, Today” March 2016 17

Sales Grow When Adding Media Platforms Copyright © 2017 The Nielsen Company. Confidential and proprietary. Incremental ROI of additional media platforms 1 Platform +19% +23% 2 Platforms 3 Platforms +31% 4 Platforms +35% 5 Platforms Advertising Research Foundation “How Advertising Works” : Analytic Partners, 2016; Analysis based on over 3, 200 campaigns from 2010 -2016; Platforms include TV, radio, display, paid search, online video, PR, out-of-home, and cinema 18

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Radio Delivers Hundreds of Thousands of Auto Buyers in San Diego Weekly Copyright © 2017 The Nielsen Company. Confidential and proprietary. 19

Radio’s Reach Of Auto Buyers Tied for First Among Major Media in San Diego Copyright © 2017 The Nielsen Company. Confidential and proprietary. 93% Vehicle Buyers 93% 84% 83% 39% Listen to AM/FM Spent Any Time Radio Past 7 on Internet Past Days Week Watched Any Broadcast TV Past Week Source: Nielsen San Diego Auto Path to Purchase 2016 Release 2 Access To Read Any Mobile Internet Newspaper Past Week 20

Radio Delivers 206, 500 People Who Plan To Buy a NEW Auto In San Diego WEEKLY REACH (of Auto buyers 18+) Copyright © 2017 The Nielsen Company. Confidential and proprietary. Planned New Vehicle Purchase or Lease – next 12 Mo. 206, 500 Reached Weekly = $5. 9 Billion In Planned Auto Purchases (88%) Source: Nielsen San Diego Scarborough R 1 2017 (Feb 2016 -Jan 2017) Vehicle Buyers = HHLDS who Plan to buy New/Used/Leased Vehicle in next 12 months 21

Radio Delivers 265, 000 People Who Plan To Buy a USED Auto In San Diego WEEKLY REACH (of Auto buyers 18+) Copyright © 2017 The Nielsen Company. Confidential and proprietary. Planned Used Purchase – next 12 Mo. 265, 000 Reached Weekly = $3. 6 Billion In Planned Auto Purchases (90%) Source: Nielsen San Diego Scarborough R 1 2017 (Feb 2016 -Jan 2017) Vehicle Buyers = HHLDS who Plan to buy New/Used/Leased Vehicle in next 12 months 22

San Diego Auto Buyers Look A Lot Like San Diego Radio Listeners HEAVIEST USERS FOR EACH MEDIA AMONG PERSONS 18+ AUTO BUYERS RADIO DIGITAL TV PRINT AVERAGE 43 45 38 57 54 # CARS OWN/LEASE 1. 2 1. 0 1. 1 1. 0 # USED VEHICLES OWN 0. 8 1. 0 0. 6 0. 8 FAMILY (1+ Child) 39% 45% 39% 19% 23% WORK FULL/PART-TIME 71% 74% 70% 38% 54% USE SOCIAL MEDIA 83% 79% 94% 63% 70% Copyright © 2017 The Nielsen Company. Confidential and proprietary. SAN DIEGO Source: San Diego Path to Purchase 2016 Release 2. Adults 18+ for Auto buyers San Diego Scarborough Release 1 2017 for Media Quintiles 23

Copyright © © 2017 The Nielsen Company. Confidential and proprietary. Copyright proprietary. Team Kia of El Cajon sells to the entire San Diego DMA Team Kia of El Cajon DMA Dealer Sales by Zip 1 - 12 13 - 25 29 - 46 53 - 89 90 - 124 Dataset: Polk New Registrations Filters: (Date: January, 2016 - December, 2016 (RYTD - Rolling year to date)) AND (Dealer: TEAM KIA OF EL CAJON 541 N JOHNSON AVE EL CAJON CA 92020) AND (DMA: All values from DMA) 24

The Average San Diego Adult Travels 158 Miles In A Vehicle Weekly Copyright © © 2017 The Nielsen Company. Confidential and proprietary. Copyright proprietary. Encino Audio in Car 94% Of Auto Buyers Are Listening To Audio Entertainment In The Car! Source for Auto Buyers: San Diego Auto Path to Purchase 2016 Release 2 Source for Average Adults: San Diego Scarborough Release 1 2017 Adults 18+ South San Diego Bay 25

AM/FM Has A 93% Share Of Audio Time Spent SHARE OF TIME SPENT WITH AUDIO (GROSS MINUTES) 93% Radio Copyright © © 2017 The Nielsen Company. Confidential and proprietary. Copyright proprietary. Adults 18+ 7% Broadcast Radio Captures 9 in 10 minutes with in-car audio 88% Persons 18 -34 12% vs. less than 1 in 10 for streaming audio Source: Nielsen Comparable Metrics Report Q 4 2016 / Adults = P 18+ Note: Streaming Audio accounts for listening via PC, Smartphone, and Tablet to content providers such as Pandora, Spotify, etc 26

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Using Radio with Digital and TV Copyright © 2017 The Nielsen Company. Confidential and proprietary. 27

San Diego Online Auto Research Occurs 11 AM – 8 PM; Radio’s Prime Time Copyright © 2017 The Nielsen Company. Confidential and proprietary. Time of day for online research/shopping for vehicle 37% 32% 36% 27% 15% 12% 4% Morning (5 am to 10 am) Midday (11 am to 4 pm) Decided Auto Buyers Early evening (5 pm to 8 pm) Late evening (9 pm or later) Undecided Auto Buyers Hourly Radio Listening for Adults 18 -54 Source: San Diego Path to Purchase 2016 Release 2. Adults 18+ Nielsen San Diego Metro PPM April 2017 PUMM for 18 -54 Mon-Friday 6 a-Mid 28

San Diego Radio Delivers Ad Recall… At A Third Of The TV Investment Copyright © 2017 The Nielsen Company. Confidential and proprietary. 2016 Auto Ad Spend TV Radio Auto Ad Recall among auto buyers $41. 5 M 28% Ad Recall $14. 6 M 17% Ad Recall (35% of TV) Source: San Diego Auto Path to Purchase 2016 Release 2 Nielsen Ad Intel 1/1/16 -12/31/16 : dealer associations/dealer ad spend (61% of TV) 29

San Diego Radio’s “Cost Per Awareness” Is Significantly More Efficient Than Television Cost of recall Copyright © 2017 The Nielsen Company. Confidential and proprietary. TV Television Radio Source: San Deigo Auto Path to Purchase 2016 Release 2 Nielsen Ad Intel 1/1/16 -12/31/16 : dealer associations/dealer ad spend $1. 5 Million cost per awareness point $860 K cost per awareness point 30

A Radio-Only Schedule in San Diego Delivers 1. 5 x More Auto Buyers Than a TV-Only Schedule Reach of Adults 25 -54 Auto Buyers, San Diego DMA Copyright © 2017 The Nielsen Company. Confidential and proprietary. 59% 40% 100% Radio 100% TV How to read: $50, 000 spent only on AM/FM radio delivers 59% of adults 25 -54 in the San Diego DMA vs. 40% if spent only on TV Source: Nielsen Commspoint Research US 2016, Adults 25 -54, 1 week net reach. Budget determined using Nielsen Ad. Views CPP Data, Q 1 2017. Assuming a $150 CPP for San Diego Radio and a $500 CPP for San Diego Television. Data reflects Automotive – Passenger Vehicles category. 31

Radio Improves Reach of San Diego TV Campaigns Adults 25 -54, San Diego DMA Sweet Spot +50% Copyright © 2017 The Nielsen Company. Confidential and proprietary. 50% 55% 58% 60% 61% 62% 30% AM/FM radio / 70% TV 40% AM/FM radio / 60% TV 50% AM/FM radio / 50% TV 60% AM/FM radio / 40% TV 70% AM/FM radio / 30% TV 40% 0% AM/FM radio 10% AM/FM / 100% TV radio / 90% TV 20% AM/FM radio / 80% TV How to read: A $50, 000 ad spend, with a mix of 20% AM/FM radio and 80% TV reaches 55% of adults 25 -54 in the San Diego DMA every week. Source: Nielsen Commspoint Research US 2016, Adults 25 -54, 1 week net reach by GRP level. Budget determined using Nielsen Ad. Views CPP Data, Q 1 2017. Assuming a $150 CPP for San Diego Radio and a $500 CPP for San Diego Television. Data reflects Automotive – Passenger Vehicles category. 32

20% Radio = 25% More Purchases And Greater Brand Impact in San Diego Brand health metrics increase when allocating 20% of TV budget to radio Copyright © 2017 The Nielsen Company. Confidential and proprietary. Awareness +34% Consideration +24% Purchase +25% Advocacy +4% Source: Nielsen Commspoint Research US 2016, Adults 25 -54, 1 week net reach by GRP level. Budget determined using Nielsen Ad. Views CPP Data, Q 1 2017. Assuming a $150 CPP for San Diego Radio and a $500 CPP for San Diego Television. Data reflects Automotive – Passenger Vehicles category. 33

Copyright © 2017 The Nielsen Company. Confidential and proprietary. 5 Key Takeaways Copyright © 2017 The Nielsen Company. Confidential and proprietary. 34

Copyright © 2017 The Nielsen Company. Confidential and proprietary. A. U. D. I. O. 35

Copyright © 2017 The Nielsen Company. Confidential and proprietary. A. U. D. I. O. Always-On Media Strategy 36

Copyright © 2017 The Nielsen Company. Confidential and proprietary. A. U. D. I. O. Utilize More Than One Media 37

Copyright © 2017 The Nielsen Company. Confidential and proprietary. A. U. D. I. O. Drive Vehicle Sales With Radio 38

Copyright © 2017 The Nielsen Company. Confidential and proprietary. A. U. D. I. O. Individualize The Message 39

Copyright © 2017 The Nielsen Company. Confidential and proprietary. A. U. D. I. O. Optimize Reach With 80% Broadcast Media 40

Copyright © 2017 The Nielsen Company. Confidential and proprietary. Always On Media Strategy Utilize Multiple Media Drive Sales With Radio Individualize The Message Optimize With 80% Broadcast 41

Copyright © 2017 The Nielsen Company. Confidential and proprietary. 42

For more information Other data available or future studies: Carol Edwards 410 -913 -1037 Carol. edwards@nielsen. com Copyright © 2017 The Nielsen Company. Confidential and proprietary. Nielsen’s automotive data solutions: Carl Enroth 646 -654 -4749 Carl. enroth@nielsen. com About this presentation: Rich Tunkel 646 -362 -0246 Rich. tunkel@nielsen. com About the SCBA: Thom Callahan 323 -930 -5597 tcallahan@scba. com Liz Fancher 626 -627 -9223 Lizfancher@scba. com 43

Copyright © 2017 The Nielsen Company. Confidential and proprietary. 44