CRACKLE RELEASES RESULTS OF COMPREHENSIVE STUDY AND IDENTIFIES NEW PSYCHOGRAPHIC SEGMENT

FIRST GENERATION OF GAMERS WHO ARE ALL GROWN UP SAY THAT THE GAME CONSOLE IS THEIR HOUSEHOLD'S ENTERTAINMENT HUB

7 OF 10 "CONNECTED ENTERTAINMENT ENTHUSIASTS" STREAM TV SERIES AND MOVIES AND PLAY VIDEO GAMES DAILY; 93% HAVE BEEN PLAYING GAMES SINCE THEY WERE IN THEIR TEENS; AND 9 OF 10 SAY THEY ARE OPEN TO WATCHING ADS TO GET CONTENT FOR FREE AND SAY THE GAME CONSOLE IS THE BEST DEVICE THEY OWN

New York, April 19, 2017 -- During their upfront presentation today, Crackle released results of new research (conducted in collaboration with the media research and strategy firm, Miner & Co. Studio), that identifies a new and highly coveted psychographic segment called "Connected Entertainment Enthusiasts."

The comprehensive study, meant to underscore the value of the Crackle proposition on connected game consoles looked at the preferences of 1500 adults, men and women (67% Male; 33% Female) 25-44 years old (50% 25-34; 50% 35-44) in an effort to define the lifestyle of this sometimes elusive cohort. This segment, one that seeks immersive experiences with their console and chooses to bring others along with them, sees the console as their entertainment gateway--it's the preferred entertainment hub of their household for streaming TV, movies and for video games making them hard to reach through traditional media outlets.

Of the 320 million people in America, 155 million play video games according to the Entertainment Software Association. But this streamer/gamer can be difficult to reach given a greater likelihood that they are cord cutters or lovers of streaming and OTT. If they aren't passionate about the brand or if the brand message seems inauthentic, it can be difficult to maintain their interest. The goal of the study was to uncover insights and behaviors about this intersecting audience, made up of gamers and streamers, that could help encourage viewer attention.

Commenting on the results, Eric Berger, Crackle GM and EVP, Digital, Sony Pictures Television Networks, said: "From programming over 100 devices in 23 countries, we've learned that demographics matter but it's the psychographic data, the attitudes, beliefs and values of our customers that allow us to better understand what's important to them."

According to the study:

· 85% prefer streaming over other viewing options; 1 in 5 who are cable/satellite/telco indicated they were planning to cut or shave their plans this year. 50% said that they cancelled an SVOD service this year due to insufficient value for the money.

· Comprised of intensely passionate, console first streamers who appreciate free content, 70% stream movies/TV shows and play video games daily and 7 of 10 streamed more this year than last.

· This group is ad receptive, with 76% preferring ads on streaming services vs. traditional TV ads; 9 of 10 open to ads if the content is free; and 7 of 10 saying that they are more likely to remember ads watched while streaming. And, almost 9 of 10 report taking consumer-directed actions such as purchasing products for themselves or others, among other steps, after viewing an ad or commercial.

· 95% of Connected Entertainment Enthusiasts use gaming to escape from their busy lives and almost half said they would give up other streaming devices (Roku, Apple TV, etc) and their cable/telco/satellite subscription before parting with their video game console.

· 90% prefer streaming saying that it's more convenient, better for show discovery and binge watching. On average, this segment streams on an average of 3.66 devices in their home with 88% visiting social media sites and apps at least once a day.

· And the Connected Entertainment Enthusiast is both aware and influential, with 80% saying it's important to them to stay up to date and new trends and 80% sought out by those in their social circles for recommendations on tech, TV/movies, food/restaurants and video games.

· And for the Connected Entertainment Enthusiast, the console provides hassle-free access to the content they love with 90% reporting that their video game console helps them discover new entertainment; 9 of 10 streaming because they can easily find shows and movies that they like to talk about with friends; and they have a voracious appetite for content with 94% saying that they are "always looking for new games, shows and movies."

· This segment is more prone to co-gaming/co-viewing than the general population, re-defining life in the living room. 61% co-view with another person or family member; 7 of 10 are most likely to be in their living room when streaming on the big screen; and 71% enjoy playing games as a group or team in a larger community.

· Gaming is in their DNA - 70% stream movies, TV shows and play video games daily; 93% have played games since their teens and 9 of 10 say the game console is the best device they own.

Berger added: "Engaging viewers doesn't happen by accident. Commissioning this third party study assists our team in better defining our target audience, in this case Crackle viewers who stream on game consoles, and ensures that we can provide our advertising partners with insights and analysis which will make a difference to their respective brands."

METHODOLOGY

Miner and Co. Studio conducted a 25-minute quantitative online survey among 1,500 male and female gamers and streamers fielded from March 31st to April 9th, 2017. Respondents met the following criteria:

· 2/3 Male, 1/3 Female

· 25-44 years old, (50% 25-34, 50% 35-44)

· Live in the US

· Own a console / live in a household where a console is present

· Are light to heavy gamers - game once a month to multiple times a day

· Are heavy streamers - stream TV/ movies a few times a week or more

· Natural fall-out of cable/satellite/telco subs and cord-cutters, cord-shavers and cord-nevers