THE OBSTACLES THAT IMPEDE THE DEVELOPMENT OF BRAZIL IN THE CONTEMPORARY ERA A...
Cross media convergence
1. Dynamic Logic
Best Practices in Cross-Media Advertising Measurement
Return on Marketing Investment 2005
The New Era of Accountable Marketing
Miami, FL
January 2005
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2. Outline
1. Background On Dynamic Logic
2. Trends That Can No Longer Be Ignored
3. CrossMedia Measurement Overview
4. Media Synergy Case Studies
• General Motors XUV
• Levi’s
• Quaker Oats
• Tylenol
5. Cost Effectiveness Case Study
• Philips
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3. Dynamic Logic Background
• Founded in 1999
– New York, London, San Francisco, Los Angeles, Chicago
• Independent market research company
– Focus on measuring marketing effectiveness
• We have conducted studies for:
– 47 of the top 50 U.S. advertisers
– Top US Agencies like Carat, FCB, JWT and Ogilvy
– Major Media Companies like Dow Jones, AOL, Disney, Viacom, Yahoo!,
Meredith
– Millions of surveys and over 1600 studies in all as of Dec 2004
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4. Dynamic Logic CrossMedia Experience
• We have conducted more than 75 CrossMedia studies to date for leading
U.S. and European brands. Including 8 of the Top 10 Advertisers.
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5. What People are Saying about DL Research
"Developing CrossMedia research tools and insights is
the number one research issue among advertisers
today", said Bob Barocci, president of the ARF, "and
we support unequivocally the intelligent work of
Dynamic Logic, a premier marketing effectiveness
research company, who has done more crossmedia
studies than any other company."
(September 2004)
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6. Trends
'Frasier' Finale: Amid Nostalgia, A Product Plug
“May 12, 2003. In tomorrow night's final
episode of the NBC sitcom "Frasier," one
guest star is crisp, sweet and inanimate
-- and symbolizes the lengths to which
marketers and media are going these
days to capture consumers' attention.”
TV
Magazine (TV Guide)
Online (Email)
http://online.wsj.com/article/0,,SB108432262147108863-email,00.html
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7. Media Consumption
Internet Television Magazines Newspaper Radio
Total Media Audience By Daypart
100%
At Work Users
77%
80% 73%
68%
65%
60%
45%
38% 39%
40%
20%
9%
0%
Morning Daytime I Daytime II Early Fringe Early News Prime Time Late Fringe Late Night
Internet TV Magazines Newspapers Radio
Source: Online Publishers Association/MBIQ Media Consumption Study, May 2003
Q. M1-2/M2-2/M2-5b/M3-2/M4-2: How much time did you spend on the following <media> yesterday between <daypart>? Base: At Work (1053)
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8. Multi-Tasking
70% of consumers, at one time or another, use media
simultaneously:
Radio: 57.3% simultaneously go online, 46.9% read newspaper and
17.7% watch TV.
TV: 74.2% read the newspaper simultaneously, 66.2% go online
Newspapers: 52.4% watch TV and 49.6% listen to radio
Online: When waiting to download something 52.1% listen to radio,
61.8% watch TV, and 20.2% read the newspaper.
Source: The Media Center and BIGresearch Oct 2003 Survey, n=13,414 8
9. Does this look like you?
Media Planning
Organizational Structure
TV
Radio
Magazine
Online
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10. Media and Marketing Trends We Can No Longer Ignore
• Media Fragmentation
• Multi-tasking
• Emergence of digital and “new” media
• Clutter and consumer push back
• Time-shifting and commercial avoidance
And…
• The “A” word
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11. Demand For Branding Measurement
"We need a method to determine the effectiveness of our efforts. We need to measure
how effective our advertising is at influencing purchase intent -- the ultimate goal.”
“We must find a way of measuring holistic marketing...I see e-mails every week on better
decisions we're making because of [marketing-mix modeling]," Mr. Stengel said. But while
marketing mix does a ‘great job of refining what you know’ he notes that the analysis still
primarily looks at how each part of the mix works independently rather than at
optimizing how all parts work best together”.
Jim Stengel, Global Chief Marketing Officer, Procter & Gamble
Source: Wall Street Journal, February 12, 2004 11
12. Cross Media and Holistic Measurement Today: MSS and CES
• Media Synergy Studies
– What was the branding effect of the various media
components? How well did they work together?
– How did that differ across objectives and audiences?
– Recommendations for improving integrated campaigns
• Cost Effectiveness Studies includes the above, plus:
– What was the ROI in various media and in combination?
• Cost per impact
• Return on Marketing Investment
– Recommendations for optimizing budget allocation
MSS: Synergy Focus
CES: Cost and Optimization Focus
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13. The Hierarchy of Advertising Effects
How do you measure
where consumers are
in the continuum?
Brand Awareness
First, consumers Measures the level of familiarity respondents have with
1. need to be aware the brand (aided and unaided)
of a brand
Then they need to Message Association
understand the Measures the extent to which respondents can match the
2. value to them, or message in the creative to the brand
what the product
is used for
Brand Favorability
The consumer Measures the extent to which respondents have a
3. forms an opinion positive or favorable opinion of the brand
about the brand
Finally, the consumer Purchase Intent
considers whether he or Measures the likelihood of
4. she is likely to consume respondents to purchase the brand
or use the brand in the future
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14. CrossMedia Methodology
• Respondents are recruited via web intercepts, reflective of the audience reached
by the integrated campaign
– Recruitment can be supplemented using phone interviews and subscriber lists
• Cross-media measurement is based on opportunity to see (OTS) advertising
– Reported media consumption data determines offline exposure opportunity
– When Internet advertising is a component, electronic data is used as OTS measure
• Comparison of brand attitudes of different respondent groups (cells) is made to
determine impact of advertising campaign
• Two Types:
– Media Synergy Studies (focus on the media, audience, and combinations)
– Cost Effectiveness Studies (cost and ROI focus, media mix)
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15. Cross Media Methodology: Schematic
Magazine
Exposure Web Exposure
Opportunity Opportunity
NO NO
Control
NO
Magazine-
Only
NO
Web-
Only
Web+
Magazine
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17. General Motors – Envoy XUV
GM was promoting the introduction of a new model of SUV, the
Envoy “XUV” which has a special retractable roof. GM ran a
multimedia campaign with TV, Magazine, Online and Out of Home
There was a relatively heavy and targeted magazine schedule when
compared to the other media.
Sample of Online Creative Units Sample of Magazine Creative Units
Because TV ran first and with a relatively heavy weight our
analysis focused on the combinations of other media in addition
to TV.
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18. GM Envoy XUV Case Study – Sample Learning
It was somewhat surprising that the impact of Online
Advertising seemed to impact Heavy TV viewers (over 25 hours
per week) more than Light TV viewers (less than 7 hours per
week)
Aided Brand Awareness Aided Brand Awareness
Heavy TV Viewers Light TV Viewers
(25+ hrs/week) (< 7 hrs/week)
Index Vs. Control Index Vs. Control
Control=100 Control=100
+16% +2% 139
136 136
117
TV Only TV + Online TV Only TV + Online
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19. GM Envoy XUV - Persuasion Metrics (Magazines)
Brand Favorability, Purchase Consideration and Brand Attributes
impacted the most by the addition of Magazines in the mix.
While we saw that all combinations of media impacted Brand Favorability
positively – the biggest increase was seen by those exposed to TV and Magazine.
In terms of purchase consideration, Magazine had the biggest impact when
combined with TV – however even in this case the biggest lift still came from
those exposed to all three media.
Brand Favourability Purchase Consideration
Total Sample Total Sample
Index Vs. Control Index Vs. Control
Control=100 Control=100
180 192
171 169
163 159
154
146
TV Only TV + TV + TV + TV Only TV + TV + TV +
Online Magazine Magazine + Online Magazine Magazine +
Online Online
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20. Levi’s Case Study – Excerpt from ESOMAR, Geneva 2004
In the Summer of 2003 Levi’s Celebrated it’s 150th birthday
with the launch of “Levi’s Type 1 Jeans”. Levi’s incorporated
television, cinema, print and online (Yahoo!) to attract the 13-
24 year old target.
The media elements included:
Network TV: That 70’s Show, Friends, Will
and Grace, and Saturday Night Live.
Cable: MTV, Fox Sports, and ESPN.
Magazines: Cosmopolitan, FHM, YM, Maxim
and Vibe.
Cinema: Nationwide ran prior to feature
films.
Online: Yahoo! Network
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21. Levi’s Various Analysis Matrices
Cinema/Online
TV/Online
Control NO NO
Control NO NO
Cinema only NO TV (with and
without other NO
offline)
Online only NO TV +
Online
Cinema+Online
TV+Print/Online
TV+Print+Cinema/Online
Control NO NO
Control NO NO
TV + Print
TV + Print NO
NO
+ Cinema
TV, Print
TV, Print + Online
+Cinema
+ Online
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22. Levi’s TV+Print+Online: Awareness Metrics
• Online advertising provided significant value in getting respondents to link the
brand with the message
• While TV+Print created a substantial increase in Ad Awareness; online did not
add significant incremental value to this combination of media
Message Association Advertising Awareness
30% 90%
A
80% 72.2%
A 74.7%
25%
19.6%
AB 70% 61.6%
20% A 60%
15.5%
50%
15%
10.4% 40%
10% 30%
20%
5%
10%
0% 0%
Control TV+Print TV+Print+Online Control TV+Print TV+Print+Online
n= n=478 n=688 n= n=478 n=688
1210 B C 1210 B C
A A
A/B/C = Statistically significant difference at a 90% confidence
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level
23. Levi’s Cinema/Online: Female Target Audience
In this example when looking at the female 18-24 target audience
it appears that exposure to either cinema or online alone has little
impact, but the combination of the two created the desired effect,
lifting purchase intent by 8.7 points (17% lift) .
80% Purchase Intent (Females 18-24)
70% ABC
60.4%
60%
51.7%
50%
48.0% 46.6%
40%
30%
20%
10%
0%
Control Cinema Only Online only Cinema+Online
n= 497 n=100 n=296 n=106
A B C D
A/B/C = Statistically significant difference at a 90% confidence 23
level
24. Quaker Oats Case Study – Excerpt from ESOMAR, Geneva 2004
In August 2003, Quaker launched the Oatmeal Breakfast Magazine
Squares – the first no bowl oatmeal. It unveiled a multi-
platform program to present this product as the
nutritious, hand held oatmeal ideal for the on-the-go
lifestyle. Primarily targeting 35-54 year old adults.
The media elements included:
Network TV: Third Watch, West Wing,
Friends, Alias,Today Show, and Good
Morning America.
Cable: Food Network, History Channel, TV
Land, Sci-Fi, American Movie Classics.
Magazines: Good Housekeeping, Redbook,
Southern Living, Newsweek, Time, Men’s
Journal, and Jet.
Online: Yahoo! Network
Online
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25. Quaker: Awareness Metrics
• Combination of all 3 media created strongest brand awareness
metrics
• After exposure to all three media, average Brand Awareness was
at 76%
Unaided Brand Awareness (Quaker) Aided Brand Awareness
80% 80% 76% AB
67% A
58%
60% 60%
40% 33% AB 40%
26%
24%
20% 20%
0% 0%
Pre-Wave TV/Mag TV/Mag/Online Pre-Wave TV/Mag TV/Mag/Online
n=2082 n=483 n=969 n=2082 n=483 n=969
A B C A B C
A/B/C = Statistically significant difference at a 90% confidence level 25
26. Quaker - Target Audience: Cumulative Effect Of All Media
Purchase Intent
• As with the awareness scores, online created a sizable increase
Purchase Intent after exposure for those who have purchased a
cereal bar within the last 3 months.
Purchase Intent
80%
66%
AB
60%
43% 45%
40%
20%
0%
Pre-Wave TV/Mag TV/Mag/Online
n=396 n=151 n=286
A B C
A/B/C = Statistically significant difference at a 90% confidence level
*Purchased Cereal/Breakfast bar in the past 3 months 26
27. ESPN/J&J Case Study – Tylenol 8 Hour and the Weekend Warrior
In May 2003, Tylenol launched a new product
extension, Tylenol 8 Hour specially formulated for
the extended relief of aches and strains associated
with active pains. They partnered with ESPN to
reach the critical “Weekend Warriors” men 18-34
who exercise.
The media elements included:
ESPN Television Networks
ESPN.com
ESPN the Magazine
ESPN Radio
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28. ESPN/Tylenol 8 Hour Case Study: Overall Results
Control ESPN Media Cumulative Effect
100.0
90.0
83.1
80.0
Cumulative means
70.0 63.4 at least one
Percentage %
60.5 exposure to each
60.0 56.8 ESPN media: TV,
50.0
48.9 47.7 Magazine, Radio and
Online.
37.4 39.5
40.0
Minimal freq. = 4
30.0 27.2
20.6
20.0
10.0 3.6 4.6
0.0
Aided Brand Online Ad Message Sponsorship Brand Purchase
Awareness Awareness Association Association FavorabilityConsideration
/ Intent
This particular study highlights the potential benefits of working with a dedicated
media partner to pull together a program of various assets or channels.
* Control = 501, ESPNMedia = 243 28
29. Cost Efficiency Calculation
Cost Per Spend in Medium or Media Combination
Person = Branding Effect x Target Reach
• Branding Effect = Exposed minus Unexposed brand scores
• Target Reach = Reach X Target market size
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30. Media Mix Recommendations:
Overall Spend and ROI Based Media Decisions
Campaign Allocation Recommended Allocation
Radio
Web Radio
5%
10%
Print 5% Web
8% 5%
Print
15%
Holistic
Measurement:
TV
ROMI, BCPP 70%
TV
82%
Recommendations are provided for different
objectives and target audiences
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31. Dependent Variables: Branding Metrics
• Impact of various combinations of media on traditional
branding measures
• This data can complement brand tracking and media mix
modeling
TV Online Print TV + TV + Online
Online +Print
Unaided Brand Awareness $1.65 $2.62 $3.83 $1.85 $1.93
Aided Brand Awareness $1.32 $2.29 $3.58 $1.29 $1.57
Message Association $3.26 $1.85 $2.53 $2.59 $2.17
Brand Favorability $2.62 $2.56 $2.18 $2.29 $2.01
Purchase Consideration $4.45 $2.97 $2.86 $2.36 $1.96
Average per Medium $2.66 $2.46 $3.00 $2.08 $1.93
Target Audience A $2.32 $3.22 $2.45 $2.55 $2.19
Target Audience B $2.45 $1.96 $4.71 $2.09 $2.66
Demonstration Data
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32. Brand Metrics by Media Channel
• Exposure to two or more media was necessary to produce increases in “Awareness
A” Metric
100%
Awareness by Media Exposure
Question: Which of the following brands have you heard of
80%
before?
A-DF
60% 59%
ABCD ABCD
51% 51%
40% 41%
40% 39%
35%
20%
0%
Pre-Control Online Print TV TV + Print TV + Online TV + Print +
Online
A B C D E F G
n=497 n=227 n=173 n=224 n=292 n=523 n=354
A/B/C/D/E/F/G = Statistically significant difference at a 90% confidence level 32
33. Results: Cost Per Person $$$
Dollars Indexed to Average of Media Sums (100)
• Television was generally ineffective when working by itself
• Print advertising was extremely cost-effective in this campaign, alone and in combination
• Online advertising alone was not cost efficient, but delivered good results when working
with other media
•Combination of all media (TV+Print+Online) was cost efficient and had highest overall
reach
Print 41
Online 193
TV+Print 44
TV+Online 163
TV+Print+Online 61
0 100 200
Average per Medium
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34. CrossMedia Learning: Magazines, Television, and Online
Effect of Medium on Brand Metrics
Average Percentage Point Increase over Unexposed Baseline in 8 CrossMedia Campaigns
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Magazine
Internet
11.1
20 TV
Avg Delta
5.1 6.0
10 2.8
6.1
7.2
4.2 3.3
11.0
5.5 3.1 1.3
4.4
1.7 2.6
0
Aided Brand Aided Ad Message Brand Purchase Intent/
Awareness Awareness Association Favorability Consideration
Average Delta Increase (Percentage Points)
Excerpt: Good News for Magazines - By Wayne Eadie, SVP Research for MPA
“Importantly, they show that...magazines increase advertising ROI. The Dynamic Logic results support
prior studies that speak to how magazines add value to the mix, specifically in their ability to
influence purchase behavior.”
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35. Think of the CrossMedia Challenge Like a Cake
The Right Ingredients:
Don’t Guarantee the Best Results:
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36. Think of the CrossMedia Challenge Like a Cake
You need the right MEDIA PROPORTIONS:
1 _ cups 2 1 stick 2 cups 3 oz. 1 tsp. 2 tsp. 1 cup
MEASUREMENT makes it work!
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38. WIFM: Measurement Breeds Success
“Companies that measure marketing results increased
their annual marketing budgets an average 11.2% this
year, while companies that don’t measure marketing
results increased their budgets by only 6%.”
LESSON: Those marketing professionals that measure
their efforts get budget increases nearly DOUBLE
their counterparts who do not regularly measure
marketing effectiveness.
B to B Magazine, March 8, 2004. Source: Black Friars Communications (n=100 Executives surveyed)
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