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Communication performance evaluation -A client perspective
Christene McCauley Global Consumer Planning Director
APAN Annual Conference 12th November 2009
“ What is the key tool you use to measure communications
effectiveness?”
“Advertising pre-testing& brand tracking”
“Marketing Mix Analysis-a proprietary model combining
sales data, tracking data & custom research to cover a
broad range of activities ”
“Econometric modelling to determine which campaigns
have driven incremental sales”
“Pre-testing, brand tracking and general marketing
judgement”
“Brand tracking & measurement of specific growth drivers in the
markets”
WHERE CP SHOULD FOCUS TO GET GREAT ADVERTISING
DEFINE DEVELOP DELIVER EVALUATION
“ How great is the pressure from your management to demonstrate the
financial payback of communications?”
“Enormous but it is clearly accepted that even our best comms will not pay back over a year – our senior management know we are in the
business of building long term brands”
“Substantial. The annual budgeting process is heavily reliant on M&E analysis of specific
brand activities as a key input to deciding where to invest in the coming year. Those brands with proven ROI are given much greater priority than
those without.”
“Moderate pressure – there is general acceptance on the global team that the
currently available methods of measuring financial payback are expensive and of
questionable validity”“In most of our major markets senior
managers know how difficult it is to determine the financial payback on communications so the pressure is not as great Vs innovation.”
“Good intentions but not a lot actually happens. General
Managers seem to be happy with brand tracking results”
“ Have you proved the financial payback of your communication
investment and if so, how?
“Econometric modelling has given us a good steer as we will ever need in
the real world. It is not an exact science (no matter what they say).”
“RELATIVELY speaking, yes. Marketing mix gives us a solid view of how well individual
brand activities perform relative to another. The actual calculated ROI on each activity, however, is viewed as DIRECTIONAL, and not something
we would “take to the bank”
“Econometric analysis has generated some “rules of thumb” on long term
impact of marketing drivers on brand X in Ireland and GB”
“No. Been asked many times and stopped trying approximately 7-8
years ago!”
“Yes on specific activities where it is easy to isolate
the effects”
“NO!”
“ Do you have an example of where applying the learnings from measurement of activities has led to dramatic growth?”
“Measurement has helped justify the high production costs associated with recent films by demonstrating the enormous
return on investment between great and less impactful ones.”
“On the basis of Marketing Mix analysis the Exec agreed to spend an incremental $2million
on TV advertising for brand X last holiday season resulting in a net sales gain of +6.3% Vs
-3.5% the previous year”
“We have clear learnings from a pressure test in Quebec, on brand X which led to a roll-out of
a similar program throughout Canada and large volume and equity uplifts.”
“We have examples of using pre-test leanings to improve the effectiveness
of our ads.”
“We managed the media mix on brand X to deprioritise ineffective outdoor and
reallocate it to proven effective TV”
What hinders us?
What helps us?
Strong and Assertive –
an individual
Standing apart and being noticed - a
cut above the rest
Intelligent, cultured and in
controlRelaxed, harmonious
and at ease
Friendly, sociable, and
wanting to fit in
Lively, fun-loving and spontaneous
The 5I’s
Issue
Implementation
Information
Insight
Implication
Simple Tools
Goal
Goal
EFFECT (Change in attitude, belief or behaviour specified by Activity Goal)
EFFI
CIE
NC
Y (R
OI)
Activity Evaluation Map - Example
0 1 2 3 4 5
+200
0
-200
45%
30%
10%
15%
Activity A
Activity B
Activity C
Activity D
Activity E
Activity F
Activity G
Activity H
Activity I
Activity J
Activity K
Activity L
Activity M
Simplicity Vs Complexity
Pragmatic Vs Academic
Input Vs Output
Principles
“To ensure consumer insights inspire big
ideas that drive growth”
Consumer Planning at Diageo
WHERE CONSUMER PLANNING SHOULD FOCUS TO GET GREAT ADVERTISING
DEFINE DEVELOP DELIVER EVALUATION
ABCD Advertising Evaluation Model
AFFECT ON BEHAVIOUR
Will the ad affect attitudes/ behaviour as
detailed in the brief
BRANDED MEMORABILITYWill the ad cut through and
be branded
COMMUNICATIONAre the desired
messages (Rational or emotional) being
delivered?
DIAGNOSTICSWhy does the ad
perform as it does?How could it be
improvedCI
NEM
A
OUTD
OOR
RADI
O
PRIN
T
CINE
MA
OUTD
OOR
RADI
O
PRIN
T
“ What is your key ‘sound bite’ around the whole area of measuring communications
effectiveness?”
“Be realistic in your expectations, apply judgement and expertise to the
numbers, and never forget the consumer objective.”
“It takes a combination of data, great consumer and brand understanding and
lastly marketing judgement to understand the relative effectiveness of
communications”
“Before we can measure effectiveness, we have to be clear on what constitutes effectiveness. The theories of how
communications work are numerous and often contradictory. They are mostly poorly
understood by marketers - we could find ourselves in an unproductive process”
“Do the best you can – measure that the message got through the way it
was intended – but don’t cross the line and try to prove that it was worth any
specific amount of money.”
“Be pragmatic and practical.”
Thank You!
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