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Measuring the Effectiveness of the
Promotional Program
Measuring the Effectiveness of the
Promotional Program
19
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
Pros and Cons of Measuring Effectiveness
Objections of creativesObjections of creatives
Evaluate alternative strategies
Evaluate alternative strategies
Avoid costly mistakesAvoid costly mistakes
Increase efficiency in general
Increase efficiency in general
Disagreement on what to test
Disagreement on what to test
Research problemsResearch problems
Cost of measurementCost of measurement
Determine if objectives are achieved
Determine if objectives are achieved
TimeTime
Advantages Disadvantages
Evaluating Alternative Strategies
Measuring Effectiveness: Marketers’ Views
Issue Agree
MPM is a key priority for today’s technology companies.
90%
I am dissatisfied with our ability to demonstrate marketing programs’ business impact and value.
80%
It is important to define, measure, and take concrete steps in the area of advertising accountability.
61.5%
I can forecast the impact on sales of a 10% cut in marketing spending.
37%
How to test• Testing guidelines• Appropriate tests
How to test• Testing guidelines• Appropriate tests
Measuring Advertising Effectiveness
When to test• Pretesting• Posttesting
When to test• Pretesting• Posttesting
Where to test• Laboratory tests• Field tests
Where to test• Laboratory tests• Field tests
What to test• Source factors• Message variables • Media strategies• Budget decisions
What to test• Source factors• Message variables • Media strategies• Budget decisions
Pretesting Methods
On-air Tests
Dummy Ad VehiclesConsumer Juries
Portfolio Tests
Physiological Measures
Theater Tests
Rough Tests
Concept Tests
Readability Tests
Comprehension and Reaction Tests
Laboratory Field
Posttesting Methods
Recall TestsRecall Tests
Inquiry TestsInquiry Tests
Association Measures
Association Measures
Single-Source
Systems
Single-Source
Systems
Tracking Studies
Tracking Studies
Recognition Tests
Recognition Tests
MethodsMethods
Posttesting the Value of a Sponsorship
Test Your Knowledge
Laboratory methods of testing for advertisement effectiveness generally offer high control but low _____.
A) realism
B) external validity
C) costs
D) generalization
E) value
Where to Test
In the Field
In the Lab
Positioning Advertising Copy Test (PACT)
1. Provide measurements relevant to objectives of advertising
2. Require agreement on how results will be used
3. Provide multiple measures
4. Be based on a model of human response to communications
5. Consider multiple versus single exposure to the stimulus
6. Require alternative executions to have same degree of finish
7. Provide controls to avoid biasing effects of exposure context
8. Take into account basic considerations of sample definition
9. Demonstrate reliability and validity
Test Points
3.Finished art or commercial pretesting
3.Finished art or commercial pretesting
1.Concept Testing1.Concept Testing
2.Rough Testing2.Rough Testing
4.Market testing (posttesting)
4.Market testing (posttesting)
Occurs at Various Stages
Occurs at Various Stages
Concept Testing
Explores consumers’ responses to ad concepts expressed in words, pictures, or symbols
ObjectiveObjective
Alternatives are exposed to consumers who match the target audience
Reactions & evaluations sought through focus groups, direct questioning, surveys, etc.
Sample sizes depend on the number of concepts and the consensus of responses
MethodMethod
Qualitative and/or quantitative data evaluating and comparing alternative concepts
OutputOutput
Rough Art, Copy, and Commercial Testing
Number of ads that can be evaluated is limited
Preference for ad types may overshadow objectivity
Consumer may become a self-appointed expert
A halo effect is possible
Cost effectiveness
Endorsements by independent third parties
Achievement of credibility
Comprehension and Reaction Tests
Consumer Juries
Control
Advantages Disadvantages
Rough Testing Terms
Photomatic RoughPhotomatic Rough
Animatic RoughAnimatic Rough
Live-action RoughLive-action Rough
TermsTerms
An Animatic Example from Airwalk
*Click outside of the video screen to advance to the next slide
Spot Resulting from Animatic Rough
*Click outside of the video screen to advance to the next slide
Pretesting Finished Print Ads
Based on syllables per 100 words
Other factors also considered
Readability Tests
Readability Tests
A laboratory method
Includes test and control ads
Portfolio test have problems
Portfolio Tests
Portfolio Tests
Distributed to random sample homes
Product interest may still bias results
Dummy Advertising
Vehicles
Dummy Advertising
Vehicles
Test Your Knowledge
_____ is a method of testing ads by placing them randomly in certain copies of regularly distributed magazines.
A) Vehicle source testing
B) Burke's reflection test
C) A Flesch test
D) Dummy advertising vehicle testing
E) A contextual test
Pretesting Finished Broadcast Ads
Theater Tests
•Measures changes in product preferences
•May also measure . . .•Interest in and reaction
to the commercial•Reaction from an
adjective checklist•Recall of various
aspects included•Interest in the brand
presented•Continuous reactions
On-Air Tests
•Insertion in TV programs in specific markets
•Limitations are imposed by “day-after recall”
•Physiological Measures
Physiological Measures
Eye trackingEye tracking
Pupil dilationPupil dilation Galvanic skin response
Galvanic skin response
Brain wavesBrain waves
TestingTesting
Market Testing Print Ads
Recall TestsRecall Tests
Inquiry TestsInquiry Tests Recognition Tests
Recognition Tests
Tracking StudiesTracking Studies
TestingTesting
Starch-Scored Sports Illustrated Ad
Posttests of Broadcast Commercials
Test marketing
Day after recall tests
Persuasive measures
Diagnostics
Comprehensive measures
Single-source tracking
Tracking studies
Testing
Comprehensive Testing by Ipsos-ASI
Problems With Current Research Methods
Essentials of Effective Testing
Use a consumer response modelUse a consumer response model
Use pretests and posttests
Use pretests and posttests
Use multiple measures
Use multiple measures
Understand and implement
proper research
Understand and implement
proper research
Establish communications
objectives
Establish communications
objectives TestingTesting
Test Your Knowledge
Good tests of advertising effectiveness must address the nine principles established by PACT. One of the easiest ways to do this is to follow a decision sequence model. The first step in the model is to:
A) Understand the appropriate research
B) Create a model that uses multiple measures
C) Establish communication objectives
D) Decide whether to use posttests or pretests
E) Develop a consumer response model
Measuring Effectiveness of Other Programs
Shopping cart signageShopping cart signage
Ski resort-based mediaSki resort-based media
In-store radio and televisionIn-store radio and television
Other mediaOther media
Non-traditional
media
Non-traditional
media
Sales promotions
Sales promotions
Sponsor-ships
Sponsor-ships
Exposure methodsExposure methods
Tracking measuresTracking measures
Measuring Effectiveness + Efficiency