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What Works Now?

Marketing Effectiveness
in the Data Age

3rd November 2011
MediaCom Business Science : An expanding
network of over 130 employees in 14 offices




  •   UK centre of excellence – 45 Econometricians
  •   Evaluating over £850m worth of billings in the UK
The media picture 16 years ago……
And the number of communications consumers
   are exposed to has exploded




Source: Luma Partners 2011
Econometrics has become the accepted solution
to measuring communications effectiveness




                    Weeks
Using analytics to address our clients’ key
business challenges…
                                                  Complex

                                                                                How much should we spend on
   How much are we            How much should we                                comms in the next three years?
 spending this quarter?     spend next year; and how?
                                                             What is the cost/
                                                            benefit of branding?
                                                                                    Which message is the
                  How much should we
                                              Are we on track to hit                 most appealing?
                    spend in digital?
                                                  our targets?
                                                            Which retail locations appear
                                                               the most appealing?
  Tactical                                                                                            Strategic
           Can we optimise TV                                                       How should we allocate
       schedules to drive web visits?                                              spend across the portfolio?


                                  Which months are           Please optimise the media
                                  the most efficient?         mix and implementation


     How do we know what DR                                                         What return could I expect
       is really contributing?                                                        from a new product?



                                                   Simple
It’s crucial that communications performance is
  measured through a holistic approach that takes
  into account offline influences

   Typical path to conversion analysis
                                                                  Purchase
Path 1




Path 2                                                          No purchase

                                                                     X

         Generic search   Brand search   Aggregator   Display
Continuing to develop our evaluation techniques
to ensure we capture all communication channels
is crucial
And over the last few years we’ve built strong
   experience on the effectiveness of areas such as
   content activation

                                                450      Business Science database of 42 Content examples
      Index of Sponsorship ROI vs TV Spot ROI




                                                400
                                                      examples ROI Index v. that brand’s ROI for TV Advertising

                                                350

                                                300

                                                250

                                                200
                                                                                                                   Average = 140
                                                                                    Content activation ROI 40% higher than TV ROI
                                                150

                                                100

                                                50

                                                 -
                                                               Content Properties


Source: MediaCom Business Science benchmarks
Defining the KPIs for each piece of activity is key

  Facebook fans
  Video views
  Likes/comments/interactions
  Buzz/Sentiment/Brand monitor
  Downloads/ratings/apps
  Followers
  Awareness/consideration
  Brand image
  Searches
  Clicks
  Dwell times
  Web visits
  Vouchers/redemptions
  Competition entries
  Calls
  Sales
  Retention
The future for media targeting and measurement will be
through more granular information potentially through single
source measurement
Today you’ll hear the views of some of the industries
 experts on where the future of marketing effectiveness is
 headed
          Clare Newman                        Justin Armsworth                  David Lovie
    Head of Business Science EMEA      Head of Marketing Services Scotland   Principal Consultant




           Mark Riseley                         John Thekanady                  Peter Field
Group Product Marketing Manager EMEA           Head of Client Services           Consultant

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MediaCom - Introduction

  • 1. What Works Now? Marketing Effectiveness in the Data Age 3rd November 2011
  • 2. MediaCom Business Science : An expanding network of over 130 employees in 14 offices • UK centre of excellence – 45 Econometricians • Evaluating over £850m worth of billings in the UK
  • 3. The media picture 16 years ago……
  • 4.
  • 5. And the number of communications consumers are exposed to has exploded Source: Luma Partners 2011
  • 6.
  • 7. Econometrics has become the accepted solution to measuring communications effectiveness Weeks
  • 8. Using analytics to address our clients’ key business challenges… Complex How much should we spend on How much are we How much should we comms in the next three years? spending this quarter? spend next year; and how? What is the cost/ benefit of branding? Which message is the How much should we Are we on track to hit most appealing? spend in digital? our targets? Which retail locations appear the most appealing? Tactical Strategic Can we optimise TV How should we allocate schedules to drive web visits? spend across the portfolio? Which months are Please optimise the media the most efficient? mix and implementation How do we know what DR What return could I expect is really contributing? from a new product? Simple
  • 9. It’s crucial that communications performance is measured through a holistic approach that takes into account offline influences Typical path to conversion analysis Purchase Path 1 Path 2 No purchase X Generic search Brand search Aggregator Display
  • 10. Continuing to develop our evaluation techniques to ensure we capture all communication channels is crucial
  • 11. And over the last few years we’ve built strong experience on the effectiveness of areas such as content activation 450 Business Science database of 42 Content examples Index of Sponsorship ROI vs TV Spot ROI 400 examples ROI Index v. that brand’s ROI for TV Advertising 350 300 250 200 Average = 140 Content activation ROI 40% higher than TV ROI 150 100 50 - Content Properties Source: MediaCom Business Science benchmarks
  • 12. Defining the KPIs for each piece of activity is key Facebook fans Video views Likes/comments/interactions Buzz/Sentiment/Brand monitor Downloads/ratings/apps Followers Awareness/consideration Brand image Searches Clicks Dwell times Web visits Vouchers/redemptions Competition entries Calls Sales Retention
  • 13. The future for media targeting and measurement will be through more granular information potentially through single source measurement
  • 14. Today you’ll hear the views of some of the industries experts on where the future of marketing effectiveness is headed Clare Newman Justin Armsworth David Lovie Head of Business Science EMEA Head of Marketing Services Scotland Principal Consultant Mark Riseley John Thekanady Peter Field Group Product Marketing Manager EMEA Head of Client Services Consultant