How to Get Effective Advertising

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    06

    HOW TOGET

    EFFEC

    MORE

    TISING

    ADV

    ER

    TIVE

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    OGILVY & MATHER - WE SELL - OR ELSE

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    How to Get More

    Effective Advertising

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    For further information, or to discuss how Ogilvy can help optimise your

    budget and marketing plans, please contact:

    Toni Lee, North America ([email protected])

    Paula Bernasconi, Latina ([email protected])

    Serge Nicholls, Europe, Middle East/Africa ([email protected]) or

    Soames Hines, Asia Pacific ([email protected])

    Other Ogilvy & Mather Booklets available:

    Optimising the marketing budget in recession

    Digital in a downturn: smart strategies for tough times

    The new PR leveraging digital influence to drive sales and reputation

    Turning shoppers into buyers

    Improving sales force performance

    Optimising production expenditure and creative assets

    Published in 2008

    by Ogilvy & Mather

    Ogilvy & Mather 2008

    CONTENTS

    Introduction 2

    Summary: 15 Action Points 3

    Choose an agency with a proven effectiveness track record 5Engage your agency with your business issues 6

    Set advertising strategy in line with corporate strategy 6

    Set hard objectives 7

    Define your Big Ideal 8

    Give your agency written briefs 9

    Write great briefs 12

    Get better at judging creative ideas 13

    Cut your approval layers 16

    Use research wisely 16

    Dont cut production budgets 17

    Spend 360 18

    Exploit low regional media costs 19

    Learn what works and do more of that 19

    Pay by results 20

    Appendix 1: Template Client Brief to Agency 21

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    INTRODUCTION

    It is not the strong, nor the intelligent who survive,but those who are quickest to adapt.Charles Darwin

    How to increase your profit when timesare tough

    We face one of the most challenging business

    environments for years. Recessions caused by liquidityproblems are particularly severe. In recent months wehave seen major financial institutions and the worldsstock markets collapse. Your company needs to takeurgent action to win through.

    Some companies do succeed in recession. They see itas an opportunity for growth. While competitors panic,they stick to a plan.

    This book is based on Ogilvys experience of winnersin recession together with research into best practice.How to get more effective advertising is only one of theissues that confront you. Ogilvy also offers practicaladvice on other potential pain/gain points in yourcompany, including:

    Optimising the marketing budget in recessionDigital in a downturn: Smart strategies for tough timesThe new PR leveraging digital influence to drivesales and reputationImproving retail executionImproving sales force performanceOptimising production expenditure and creative assets

    These booklets are available on www.ogilvyonrecession.com

    2 3

    SUMMARY: 15 ACTION POINTS

    1. Choose an agency with a proven effectivenesstrack record

    2. Engage your agency with your business issues

    3. Set advertising strategy in line with corporate strategy

    4. Set hard objectives

    5. Define your Big Ideal

    6. Give your agency written briefs7. Write great briefs

    8. Get better at judging creative ideas

    9. Cut your approval layers

    10. Use research wisely

    11. Dont cut production budgets

    12. Spend 360

    13. Exploit low regional media costs

    14. Learn what works and do more of that

    15. Pay by results

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    Great advertising can sell twenty times more than averageadvertising. The recession will put extra pressure on

    the advertising budget. More than ever, your companyneeds a bigger bang from every buck. This bookletsuggests 15 ways to get it.

    Please note we use the word advertising to mean anypaid for marketing communication. Advertising in thissense includes content in traditional media, digital,direct and retail channels theyre all ads.

    4 5

    1. Choose an agency with a proveneffectiveness track record

    The marketing department does not actually produceyour companys advertising, it commissions it. If you

    want more effective work, your agency will have to createit. You improve your chances of getting effective workby choosing an agency with a proven effectiveness trackrecord.

    The current agency ranking in all Asia Pacific effectivenesscompetitions is:

    45

    40

    35

    30

    25

    20

    15

    10

    5

    0

    Ogilvy Saatchi& Saatchi

    BBDODDB JWT McCann

    Number of awards won in all Asia Pac effectiveness competitions 2007

    Base: AME + HK, Singapore, India, China, NZ and APAC Effies 07. Other agencies 4 or fewer

    If your agency is not on this list, it won four effectivenessawards or fewer. Ask it how many effectiveness awardsit won last year. Ask to see its effectiveness cases.Ask what steps it is taking to create an effectivenessculture how much does it invest in people and toolsdedicated to effectiveness?

    Are you happy with the answers? You cant afford to relyon effectiveness amateurs in recession.

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    2. Engage your agency with your businessissues

    Some clients do not share commercial information withtheir agencies, but your agency needs to know what your

    business issues are before it can begin to create effectivesolutions.

    Ask to see your agencys internal creative briefingform. Does it start with a statement of your company orbrands business issues? Does it state the advertisingssuccess criteria? If not, the creative department can onlyluck into effective work. Not good enough. Make sure

    the creatives know what your business issues are andwhat is expected from them.

    3. Set advertising strategy in line withcorporate strategy

    Corporate strategy and marketing strategy may notalways be aligned. An HBR report stated, When

    marketing activities are tightly aligned with corporatestrategy, they drive growth. But in too many companies,marketing is poorly linked with strategy.*Define advertising effectiveness in terms of yourcorporate goals:

    *G McGovern, D Court, J Quelch, B Crawford: Bringing Customers into theBoardroom, Harvard Business Review, November 2004

    4. Set hard objectives

    Hard objectives include business or behaviouralresults, while soft objectives include attitude or awarenesschanges. If you set hard objectives, your advertising is

    much more likely to produce very large business results:

    Within the hierarchy of hard measures, campaigns that setout to increase profit the hardest measure of all arethe most likely to produce very large business results:

    6 7

    Marketingstrategy

    Corporatestrategy

    Advertisingstrategy

    Communicationsstrategy

    % of campaignsreporting verylarge businessresults

    35

    30

    25

    20

    15

    10

    5

    0

    30%

    7%

    Only hardobjectives set

    Only softobjectives set

    (Source: Binet and Field, Marketing in the Era of Accountability, 2007

    Base: 880 successful marketing campaigns, 1980 2006)

    % of campaignsreporting verylarge businessresults

    90

    80

    70

    60

    50

    40

    30

    Profitgain

    Pricesensitivity

    Marketshare

    gain

    Marketshare

    defence

    Salesgain

    (Source: Binet and Field, Marketing in the Era of Accountability, 2007

    Base: 880 successful marketing campaigns, 1980 2006)

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    7. Write great briefs

    Great briefs are more likely to produce great work, and youneed great work in recession. Other things being equal(price, distribution, product quality, etc.), great creative

    work can sell twenty times more than average work.

    Great briefs inspire and galvanise your agency, poorbriefs depress and confuse them. Consider this example.The Popes account man, Cardinal Alidosi, needed tobrief Michelangelo to paint the roof of the Sistine Chapelin Rome. How did he do it? He might have said:

    A. Please paint the ceiling.This is a bad brief. It gives Michelangelo no hint as towhat the solution might be.

    B. Please paint the ceiling using red,green and yellow paint.

    This brief is worse. It still does not tell Michelangelowhat to paint, and it also gives him a number ofrestrictions without justification, which will proveirksome and distract him from his main task.

    C. Please cover up the damp and cracks inthe ceiling.

    This is much worse. It still does not tell Michelangelowhat to do, and it gives irrelevant and depressinginformation which implies no one is interested in what hedoes because the ceiling will fall down before long anyway.

    The actual brief Michelangelo was given, more or less, was:

    Please paint our ceiling for the greater glory of God and

    as an inspiration and lesson to his people. Paint frescoeswhich portray the creation of the world, the Fall, man-kinds degradation by sin, the divine wrath of the delugeand the preservation of Noah and his family.

    Now that Michelangelo knows what to do, and is inspiredby the importance of the project, he can devote his talentto executing the brief in the best way he knows.

    This brief helped produce one of the great creative works

    of all time*.

    8. Get better at judging creative ideas

    Assessing and responding to the ideas your agency puts

    forward is one of the most difficult things clients haveto do. Judging whether the creative work is likely toachieve its objectives takes imagination, skill and courage.As with so much of marketing, creative judgment involvesa combination of art and science, of subjectivity andobjectivity. The following tips may help:

    * OMalley, Damien: Creative Briefing, in Cowley, Don (ed.): How To Plan Advertising (1987)

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    5. Who do we need to talk to?

    Prioritise and define the segments in terms of income,demographics, influence, product usage, etc. Whatinsights into these people do we have?

    6. Success criteria?

    Describe the measures that have been put in place toestablish whether the campaign has delivered against itsobjectives. What measures? When will it be measured?Who will measure it?

    7. Practicalities?Budgets Define upfront, after consultation with youragency, on what is needed to achieve your objectivesTimings What are the key delivery dates? When arethe key milestones? Is there a crucial sales conference orboard meeting? What pre-testing is planned?Others What are the media strategies and plans? Are

    there legal or regulatory restrictions? Are there corporatecodes and ethics the agency should be aware of?

    8. Approvals

    Who will finally sign off the agencys work? That sameperson should also sign off the brief.

    For more information on how to get more effectiveadvertising, please contact:Toni Lee, North America ([email protected])Paula Bernasconi, Latina ([email protected])

    Serge Nicholls, Europe, Middle East/Africa([email protected]) orSoames Hines, Asia Pacific ([email protected])