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RADIO DRIVES ROI: QUICK SERVICE RESTAURANT

Radio Drives ROI Case study: Quick Service Restaurants

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Page 1: Radio Drives ROI Case study: Quick Service Restaurants

RADIO DRIVES ROI:QUICK SERVICE

RESTAURANT

Page 2: Radio Drives ROI Case study: Quick Service Restaurants

Nielsen conducted a sales lift

study of radio campaigns by

three quick service restaurants.

This study matched Portable

People Meter panel listening data

with consumer purchase behavior

from Nielsen Buyer Insights.

The results positioned radio as a

strong ROI driver, with $3 of

incremental sales at the quick

service restaurants for every $1

spent on radio.

Radio drives ROI

Page 3: Radio Drives ROI Case study: Quick Service Restaurants

EXPOSEDto the radio campaign

UNEXPOSEDto the radio campaign

Nielsen matched Portable People Meter panel data with

credit/debit purchase behavior

Nielsen measured the sales impact focusing on purchase behavior between two groups

Audience was broken into exposed and unexposed groups

Step 1

+6%

Unexposed Exposed

MATCHEDAUDIENCE

Step 2 Step 3

Source: Nielsen, P18+. Q3 2014.

How Nielsen measures radio sales effect Methodology

Page 4: Radio Drives ROI Case study: Quick Service Restaurants

Radio advertising drove a 6% sales lift due to an increase in buyers

6%increase in the total number of buyers

1%increase in the spend

per consumer

Source: Nielsen, P18+. Q3 2014.

Exposure to the radio campaign resulted

in more people in the restaurants and a

higher spend per consumer

Page 5: Radio Drives ROI Case study: Quick Service Restaurants

Quick service restaurants return on investment:$3 of incremental sales per $1 spent on radio

Incremental Sales

÷

Radio Investment

=

Return oninvestment

$87M

÷

$29M

=

$3

Source: Nielsen, P18+. Q3 2014.

Page 6: Radio Drives ROI Case study: Quick Service Restaurants

Radio: media with muscle

Source: Nielsen 2014-2016.

Payback per $1 spent in radio

Candy

3x

Snacks

6x

Breakfast

Bar

2xBeer

4x

Auto

Aftermarket

21x

Telecom

14x Mass

Merchandiser

16xHome

Improvement

9xFastFood

3x

Soft

Drink

2x

Department

Store

17x

Grocery

23x

Retail

11x

Page 7: Radio Drives ROI Case study: Quick Service Restaurants

Key findings

• Radio delivers sales impact for quick service restaurants: $87

million of incremental sales representing $3 of sales lift per $1

dollar spent.

• Increase in shoppers and spend per visit: radio drove a strong

surge of customers into the restaurants with more spend per

visit.

• Radio works for all sorts of advertisers: Nielsen ROI studies show

an average of $10 of sales for every dollar of radio advertising

across a large variety of categories.

Page 8: Radio Drives ROI Case study: Quick Service Restaurants

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