View
863
Download
3
Category
Preview:
DESCRIPTION
Citation preview
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 1
Client Logo Goes Here
The Golden Rules of Measuring CPG Advertising Performance
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 2
An Introduction to Today’s Presenters
Marc Ryan, Co-CEO, InsightExpress
InsightExpress a leading provider of media analytics and marketing accountability solutions for brand marketers
Phil Ripperger, Vice President New Media Solutions, IRI IRI is a leader in delivering powerful market and shopper information, predictive analysis and the foresight that leads to action.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 3 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Golden Rule: Frequency is crabgrass
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 4 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
- Erwin Ephron
“Frequency – contacting one consumer three times with a message, is not as good as reach – contacting three consumers once, because that one consumer will be far less likely to need that product than any of the other three.”
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 5
Diminishing Returns on Upper Funnel
0.0%
1.0%
2.0%
3.0%Lift in Brand Awareness
29%
46% 57%
7%
54%
• Upper funnel metrics move the most at a single exposure.
• Multiple exposures has less of a net benefit to the brand than does finding an unexposed viewer.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 6
0.0%
1.0%
2.0%
3.0%
Oversaturated Returns on Lower Funnel
Lift in Message Association
54%
35%
69%
4%
108% • Lower funnel metrics move sparingly at most frequency levels with the exception of the highest bounds.
• Seeking out 16+ exposures may not be worth the expense vs. finding new viewers.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 7 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Golden Rule: Measure the Multiple Return Objectives
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 8
Advertising is Multi-dimensional
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 9
Back to computer to check retailer ads
Opens Shopkick app and checks in at Target; excited to use coupons she printed when directed to Healthy Essentials website
At back yard barbecue posts picture on Instagram “#PepsiNext rocks”
Digital channels have disrupted consumer behavior and the traditional path-to-purchase
5
2 4
1
6
7
8
9
Purchase made from Target Cartwheel Completes list
and chooses because a pop-up appeared with a customized shopping list
Checks “Just for U” app for coupons; nothing relevant
Grabs phone to add baby items to shopping list app
Consumer watches Beyonce video that one of her friends liked on Facebook
Sees ad online while reading entertainment content
3
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 10
Advertising Effect is Multi-dimensional
The complete picture of how advertising works is not always apparent by isolating your measurement to one part of the Total ROI funnel.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 11
Peanut Butter Example
10.0%
12.4% 12.8%
23.4%
20.3%
10.8%
14.1%
7.1%
16.1%
18.1%
6.9%
13.9%14.6%
22.5%23.3%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
Control Online ONLY
Print ONLY
Radio ONLY
TV ONLY
Online + TV
Online + Print
Online + Radio
TV + Print
TV + Radio
Print + Radio
TV + Print + Radio
Online + TV + Print
Online + TV + Radio
Online + TV +
Radio +
Unaided Awareness
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 12
Peanut Butter Example
$1.03 $1.16
Un-Exposed Exposed
Dollars/Household
Δ = 0.13
ROI Calculation
$0.13 / household
15,354,298 households
$1,966,059 sold
$0.94 ROI
$2,116,500 media cost
Dollars/Occasion Occasions Penetration
+23% -7.1%
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 13 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Golden Rule: Choose the Right Measuring Stick
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 14
Single Source vs. Models
Single Source Measurement
• Pros:
•All media and sales effect attributable at a viewer level – no guessing.
•Quick turnaround on results and data.
•Incorporates attitudinal measures.
• Cons:
•Not all media or behavior is measureable at viewer level.
•Sample size constraints.
Modeled Measurement
• Pros:
•Most media and behavior can be incorporated.
•Few restrictions on what brands or media are measurable.
• Cons:
•Few intra-media effects.
•Long turnaround times.
•Doesn’t account for attitudinal results.
•Requires assumptions.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 15
Modeled Measurement - Example
Matched Market Measurement
Volume % Changes by Treatment – All 4 Brands
Modeling is appropriate for determining sales lift: • Hispanic • Search Behavior • Consumables • Alcohol • Outdoor
• Brands saw positive volume sales lifts in markets where they increased search support, ranging from 1.0% to 4.2%, with the average impact 3.1%
• Brands saw an average decline of -1.3% to volume sales in markets where search was dark.
Dark Heavy Up Search
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 16
Single Source Measurement – Example: Targeting & ROI
Client Context and Objective
• Long-standing food client introduced a product extension within a very popular, health-oriented category
• Objective: increase household penetration without cannibalizing sales within the brand portfolio
Solution
• The IRI household panel was used to identify new brand buyers with a high propensity to purchase the new product by identifying buyers of: – Similar products from competitive brands – Products with similar properties within the
client’s brand – Products with similar properties among
competitor brands • Look-alike modeling was used to translate target
consumers from the IRI panel to the media partner’s database
• IRI’s panel’s purchase data was used to measure sales results post-campaign, evaluate ROAS
Results over 12 weeks
$0.27
Dollars/Household
$0.35
1.15 1.50
Occasions
4.9% 5.2%
Household Penetration
Control Group Targeted Households
6% increase in the household penetration
30% increase in occasions among exposed targeted households
30% increase in the average dollar spend per exposed buying household
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 17
Golden Rule: Creative & Media
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 18
Creative’s effect on performance
Media Creative 75% 25%
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 19
Case Study: Frozen Pizza
• Campaign Summary
• Initial, directional results are positive
• Dollars per household are up 13.3%, penetration was up 17.5% offset a small decrease in occasions vs. the control.
• Creative Performance
•“Soccer” only creative clearly outperformed
Creative
Dollars/HH Penetration Occasions$ per
Occasion
Buyer
Count
# IRI HHs
Exposed
44047 - Soccer (Only) 148 140 103 103 81 626
44049 - 14 Min (Only) 72 90 88 92 58 644
44051 - Obstacle (Only) 119 134 88 101 69 647
Interim Period - Index to Total Targeted
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 20
Creative Guidelines
• Keep it simple:
• Clutter within an ad often results in poor brand performance. This happen with competing messages in smaller ad units, or a convoluted storyline in storyline ad units (video & online display).
• Logo size & presence is important:
• For static imagery Logos should be larger than 14% or the total image size. Having the logo present and viewable in as many frames of a storyline ad unit (video & online display) greatly increases top of funnel performance.
• Ad size is important:
• For static imagery, the advertisements size relates to brand impact. The larger the percentage of the media devoted to imagery, the greater the chance of success.
• Human faces draw our attention:
• Leverage our built in gaze detection systems. Advertising with the presence of a human face performs better than without. Faces also add an element of relatability.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 21
Golden Rule: Choose The Right Metrics
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 22
Metric Saturation
• For large brands many metrics reach a saturation point:
Quintile 1
Awareness: 1% to 58%
Average Increase:
6.0%
Quintile 2
Awareness: 59% to 79%
Average Increase:
3.9%
Quintile 3
Awareness: 80% to 91%
Average Increase:
3.0%
Quintile 4
Awareness: 92% to 95%
Average Increase:
0.7%
Quintile 5
Awareness: 96% to 99%
Average Increase:
0.4%
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 23
Customer Success: ROI
IRI’s analysis of OTC Allergy medication digital campaign helped quantify impact of various digital campaign tactics
Client Situation
• Client/agency team wanted to induce product trial and usage occasions among allergy sufferers.
• A digital campaign was launched across health-oriented and reach-based sites to reach potential buyers
Solution
• IRI’s panel’s used to measure sales results post-campaign, evaluate ROI and prove the efficacy of digital ads.
• Measure household penetration and usage occasion changes post-digital campaign to determine sales impact
• Analyze share changes differences between test branc and competitive brands to understand sales shifts due to advertising exposure
Results
• +13% in dollar sales, +6% increase in HH penetration and usage occasions
• 1 point category share decline for major competitor • $1.15 ROI
1.3% 1.9%
-1.4% -1.8% -3.0%
-2.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
New Retained Lapsed Brand Non-Buyers
Changes in buyer type
5.8% 9.3%
HH Penetration
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 24
Golden Rule: Don’t forget the Purchase Cycle
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 25
Measure Now vs. Later
Audience
Brand
Consideration
Pre-Campaign Campaign Post Campaign
Sales Sales Sales Sales Sales
Sales Sales Sales
Sales Sales
Sales Measurement
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 26
Golden Rule: Social is not Social
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 27
Offline Beer Sales Spikes Correlate to Key Social Moments
• Beer brand baseline sales (in blue) demonstrate impact from typical advertising and in-store activity. Green
spikes demonstrate impact directly from social media activity… above and beyond typical communications.
These sales spikes correspond to the four social media events.
Beer Baseline Sales Model Fit
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 28
Golden Rule: Native Advertising Is King
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 29
Back to the future on sponsorships
TV’s first advertisements were all sponsorships where the commercial content was embedded in the program:
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 30
What is Native Advertising
Banner Tourist Resident Citizen Native
Advertising Effect Lower Higher
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 31 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 32 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 33 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 34 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 35 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 36 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Paid Ads
Paid Ads
Sponsored
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 37 Confidential and Proprietary – Not for Public Distribution – Do Not Copy
Native?
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 38
Summary
• Optimize Frequency for Single Exposures:
• Multiple exposures providing diminishing returns, as such an advertiser is always better off seeking an unexposed individual.
• Measure the Multiple Return Objectives of Advertising:
• Ever ad performs differently at each of the levels of the Total ROI funnel. Bias towards comprehensive measurement or you may have misleading conclusions.
• Choose the Right Tool for the Job:
• Not all advertising can be measured most effectively via models, similarly not all can be effectively measured by single source data.
• Measure Both Creative & Media:
• Creative is the most important aspect of the media plan and often the least understood. Always measure both to fully understand campaign impact.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 39
Summary
• Choose the Right Metrics:
• Saturation can result in some metrics being less useful than others. Pick the metrics that matter for the size of the brand.
• Not all Measurement Needs to Happen in Real Time:
• In particular, sales effect is greatly influenced by purchase cycles. Measure at an appropriate interval to see the effect on the metric under measurement.
• Understand Earned vs. Organic Social Media:
• Social media is rarely social these days, it’s another broadcast medium. Understand the appropriate metrics to gauge the earning potential of your media activities.
• Push the Creative Boundaries:
• Native advertising is more impactful than typical creative types. Explore emerging Native platforms to scale media efforts with less overhead.
Confidential and Proprietary – Not for Public Distribution – Do Not Copy 40
Thank You. Any Questions?
Phil Ripperger
VP New Media Solutions
IRI
(203) 845-6471
phil.ripperger@IRIWorldwide.com
Marc Ryan
Co-CEO
InsightExpress
(203) 406-3220
mryan@insightexpress.com
Recommended