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Return on Investment

at the Cinema

Rasmus Andersen - Danske Reklame Film (DK)
Brightfish Research Day, September 6th 2012
Even for the same budget cinema has the best ROI

Ohal/MEC, September 2011
Background
and Method
Salesmodelling based on
– Response data
(SuperGros, SuperBest,
Spar, Kiwi)
– Trade activity
– Media and communication
– External factors
Media Mix of Haribo 2008-10
Haribo Claims Movie Universe

tv
38%

cinema
39%

outdoor
16%

EB
(Newspaper
– Movie
Print kino.dk section)
2%
magazine: 1%
kino
4%

Newspaper – Movie section
Return On Investment
Spending share for Haribo
Average ROI: 4,1

4,7

Biograf
Cinema

39%

3,1

TV

38%

2,8

Outdoor

16%

ROI

Andel af Haribos mediainvestering
Share of Haribo’s
media investment
Allocating Budget from Cinema
to TV Caused a 4% Decrease in Sales!
800K MOVED FROM CINEMA TO TV CREATE A LOWER ROI ON THE SAME BUDGET

Media mix

2
1

Jan
TV
Online
Magazine
Magasiner
Print
Outdoor
Cinema
Biograf

Feb
# #

Mar

Apr

May

Jun

# # # #
#
# # # # # # #
# # # # # #
#
#
#
#
#
# #
# # # # # # #
# #
# #
#

# # #
#

# # #

Jul

Aug

#
#

Sep

# #
# #
#

#

Oct

Nov

Dec

# # #
# # # # # # # # # # # # # #
#
#
#

#
# #
# #

# # # # # # #

# #
# #

# #

# #

# #

2
1

Eff. coverage

Dobbeltdækning
Double coverage
Dobbeltdækning

Jan
Jan

Feb

Mar
Mar

TV

Apr
Apr
Apr

Online
Online

May
May

Jun

Magazine
Magasin
Magasin

Jul

Print
Print

Aug
Aug

Sep

Cinema
Biograf
Biograf

Outdoor
Outdoor

Oct

Nov
Nov

Dec

Key figures

2
1

Estimeret add. sales: DKK 37 mio.
Estimated mer-salg: DKK 38,5 mio.

TV: 33%
44%

kino.dk: 5%

kino: 3%

EB (film):
Movie: 1%1%

ROI fra investeringen: 5,3
ROI from the investment: 5,1

Outdoor: 24%

Biograf: 23%
Cinema: 34%

Allocation from cinema to TV
create a lower ROI for HARIBO!
Conclusion for Haribo

<

REDUCE

>

INCREASE
The cinema supports the media plan
Marketing Clinic, september 2011
Background
and Method
The market:
•
Coca-Cola is in a market with
enormous price competition
•
Media budgets have been declining
due to competition
The focus:
•
Return on Investment
•
Decomposition of the sales
•
Identifying the long-term effects of
television and cinema advertising
•
Models for optimizing the
marketing of Coca-Cola
Decomposition of Sales

Base sales
83%

Cinema TV
2%
3%

;0

Promotion
effects
12%
Cinema is the Best
Despite Price Competition
ROI

2,0

1,2

1,1

0,4

Cinema

TV

Launch
print

Post print

The levels are satisfactory because
of a sales structure where approx.
65% of sales is on special offer
CINEMA INCREASES SALES IN BOTH
THE SHORT AND LONG TERM
Soft drink: Carlsberg Sport 2011
The campaign is
continuous in cinema

Wasp
Penguin
Squirrel

The commercial has
been abridged

Source: BrandScience jan. 2011. The cinema campaign has largely remained at the same time with the big TV campaign.
Cinema is the strongest medium
to boost sales!
Indexing of ROI-Numbers
Cinema

133

TV

103

Internet

83

Radio

83
Comment
From the Media Agency
" Through this sales modeling, we have measured in
recent years
the strong ability of cinema advertising to generate
increased sales for Carlsberg Sport.
In this sales modeling we also found that
cinema advertising contributed the most positive
to the revenue for Carlsberg Sport during this period."
Rikke Grønlund

Media Director, PHD
Denmark A/S
Comment
From the Advertiser
”It has been important for us to uncover the effect on sales of
each specific medium in the media plan. We have seen this
very clearly in the actual sales modeling case.
It is very interesting to see, how the impact has been the last
year and cinema has separated itself positively from the
other media with a higher ROI.
Cinema is a unique medium which not only contributes to
the quality of exposure but can also increase sales on short
and long term. ”

Rasmus Bendtsen

Brand Manager, Carlsberg
Danmark A/S
Conclusion
•

•
•
•

Carlsberg Sport has particular chosen cinema because of the good audience
segment match, the high quality of exposure and the ability to execute a
continuous campaign strategy
But Cinema has also been able to create sales
Cinema delivers an excellent result as the medium that achieves the highest ROI:
as much as 33% better than average
Cinema is therefore the most cost effective media investment for Carlsberg Sport
De bioscoop ROI van merken als Haribo, Coca Cola en Carlsberg volgens Dansk Reclame Film

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De bioscoop ROI van merken als Haribo, Coca Cola en Carlsberg volgens Dansk Reclame Film

  • 1. Return on Investment at the Cinema Rasmus Andersen - Danske Reklame Film (DK) Brightfish Research Day, September 6th 2012
  • 2. Even for the same budget cinema has the best ROI Ohal/MEC, September 2011
  • 3. Background and Method Salesmodelling based on – Response data (SuperGros, SuperBest, Spar, Kiwi) – Trade activity – Media and communication – External factors
  • 4. Media Mix of Haribo 2008-10 Haribo Claims Movie Universe tv 38% cinema 39% outdoor 16% EB (Newspaper – Movie Print kino.dk section) 2% magazine: 1% kino 4% Newspaper – Movie section
  • 5. Return On Investment Spending share for Haribo Average ROI: 4,1 4,7 Biograf Cinema 39% 3,1 TV 38% 2,8 Outdoor 16% ROI Andel af Haribos mediainvestering Share of Haribo’s media investment
  • 6. Allocating Budget from Cinema to TV Caused a 4% Decrease in Sales! 800K MOVED FROM CINEMA TO TV CREATE A LOWER ROI ON THE SAME BUDGET Media mix 2 1 Jan TV Online Magazine Magasiner Print Outdoor Cinema Biograf Feb # # Mar Apr May Jun # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # Jul Aug # # Sep # # # # # # Oct Nov Dec # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # # 2 1 Eff. coverage Dobbeltdækning Double coverage Dobbeltdækning Jan Jan Feb Mar Mar TV Apr Apr Apr Online Online May May Jun Magazine Magasin Magasin Jul Print Print Aug Aug Sep Cinema Biograf Biograf Outdoor Outdoor Oct Nov Nov Dec Key figures 2 1 Estimeret add. sales: DKK 37 mio. Estimated mer-salg: DKK 38,5 mio. TV: 33% 44% kino.dk: 5% kino: 3% EB (film): Movie: 1%1% ROI fra investeringen: 5,3 ROI from the investment: 5,1 Outdoor: 24% Biograf: 23% Cinema: 34% Allocation from cinema to TV create a lower ROI for HARIBO!
  • 8. The cinema supports the media plan Marketing Clinic, september 2011
  • 9. Background and Method The market: • Coca-Cola is in a market with enormous price competition • Media budgets have been declining due to competition The focus: • Return on Investment • Decomposition of the sales • Identifying the long-term effects of television and cinema advertising • Models for optimizing the marketing of Coca-Cola
  • 10. Decomposition of Sales Base sales 83% Cinema TV 2% 3% ;0 Promotion effects 12%
  • 11. Cinema is the Best Despite Price Competition ROI 2,0 1,2 1,1 0,4 Cinema TV Launch print Post print The levels are satisfactory because of a sales structure where approx. 65% of sales is on special offer
  • 12. CINEMA INCREASES SALES IN BOTH THE SHORT AND LONG TERM Soft drink: Carlsberg Sport 2011
  • 13. The campaign is continuous in cinema Wasp Penguin Squirrel The commercial has been abridged Source: BrandScience jan. 2011. The cinema campaign has largely remained at the same time with the big TV campaign.
  • 14. Cinema is the strongest medium to boost sales! Indexing of ROI-Numbers Cinema 133 TV 103 Internet 83 Radio 83
  • 15. Comment From the Media Agency " Through this sales modeling, we have measured in recent years the strong ability of cinema advertising to generate increased sales for Carlsberg Sport. In this sales modeling we also found that cinema advertising contributed the most positive to the revenue for Carlsberg Sport during this period." Rikke Grønlund Media Director, PHD Denmark A/S
  • 16. Comment From the Advertiser ”It has been important for us to uncover the effect on sales of each specific medium in the media plan. We have seen this very clearly in the actual sales modeling case. It is very interesting to see, how the impact has been the last year and cinema has separated itself positively from the other media with a higher ROI. Cinema is a unique medium which not only contributes to the quality of exposure but can also increase sales on short and long term. ” Rasmus Bendtsen Brand Manager, Carlsberg Danmark A/S
  • 17. Conclusion • • • • Carlsberg Sport has particular chosen cinema because of the good audience segment match, the high quality of exposure and the ability to execute a continuous campaign strategy But Cinema has also been able to create sales Cinema delivers an excellent result as the medium that achieves the highest ROI: as much as 33% better than average Cinema is therefore the most cost effective media investment for Carlsberg Sport

Notes de l'éditeur

  1. Baseret på SuperGros dataSom alm. salgsmodellering
  2. TV 16,6 m, Bio 16,9 m ogOutdoor 6,7 m
  3. Gennemsnitlig ROI 4,1Bio højest med 4,7Online og printThe media has contributed with 2.3 billion DKK in increased turnover in the storesFor each dollar invested in advertising the return is 4 dollars and 10 cents ROI is easily measured based on retail profits. The correct margin just needs to be taken into account ikke med pga. meget lavt budget
  4. Kvalificerede eksponeringer kan beregnes, når man ved, hvilke eksponeringer der fører til salg.Conversion rate er et simplet udtryk for, hvor stor en andel af det totale antal eksponeringer der er kvalificerede – altså medfører salg
  5. Ohal og MEC har brugt salgsmodelleringen til at definere forskellige scenarier.Fx hvad sker der hvis man fjerner budget fra bio til tv =&gt; lavere salgMeget brugbart værktøj for Haribo, hvor det kreative indhold tilsyneladende ikke har det store at sige
  6. Udarbejdet af Markting Clinic med fokus Coca-Cola Zero siden lanceringen i 2008
  7. Modellen har en forklaringsgrad på 95% af salget. Og som det ses har modellen en stærk base på 83%Denne figur tager således IKKE højde for mediebudgettets størrelseFx er investeringen i TV væsentlig højere end i Biografmediet – investering 80/20, men effekt 67/33
  8. Biograf har været en del af mediamixet for Coca-Cola Zero siden lanceringen i 2007Biograf har været det stærkeste bidrag til Zeros salg siden lanceringenBiograf har vist et positivt ROI omkring 2, hvilket er marginalt bedre end TV. Dette er positivt i et meget prisfokuseret og discountpræget sodavandsmarkedI tillæg er der kvalitative fordele ved biograf, som retfærdiggør biograf som grundlag for en kreativ platform for Coca-ColaBiograf har været et stærkt supplement til TV pga. kombinationen af TV’s korte salgseffekt og biografens mere langsigtede salgsopbygningAlle medier har ROI tæt på 1 pga. en salgsstruktur, hvor ca. 65% af salget er relateret til tilbudDerfor må niveauerne betragtes som tilfredsstillendeDet totale ROI er baseret på fire års mediainvestering med forskellige budgetterROI er beregnet på baggrund af bruttoinvesteringer relateret til salgsløft
  9. Cinema is 33% over the average ROIThis is significantly above the other media on the mediaplanTV is over average (100)Internet og Radio is 17 % under average
  10. Carlsberg Sport har bl.a. valgt biograf pga. det gode målgruppematch, den høje eksponeringskvalitet samt muligheden for at eksekvere en kontinuerlig kampagnestrategiMen biografen har også været i stand til at skabe salgBiografen leverer et flot resultat som det medie der opnår højst ROI – hele 33% bedre end gennemsnitBiograf er dermed den mest kosteffektive mediainvestering for Carlsberg Sport
  11. Thank you for allowing me to speak to you here today.I am very happy to be here among good colleagues.I am the only representative from Denmark: Dansk Reklame Film – which means Danish Advertising FilmWe see ourselves as a small giant in a large Nordic corporation (Egmont). In our department we are only 20 employees. Hereof 4 working with research.We have been doing quite good with growth since we digitalized in 2008. Our revenue is USD 11 mill.