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EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

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New research findings: A 2014 Millward Brown Digital survey, which polled 300 digital marketing decision makers at Fortune 5000 companies and leading advertising agencies in the United States
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EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS Source: 2014 Millward Brown Digi
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Page 1: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Source: 2014 Millward Brown Digital

Page 2: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

• Introduction• Methodology• Key Findings & Insights

– Current Digital Advertising Trends– Digital Marketers’ Concerns About

Programmatic Ad Buying & Solutions That Address Their Concerns

– Digital Marketers Want to Make Emotional Connections

• Demographics

Table of Contents

Source: 2014 Millward Brown Digital

Page 3: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

• According to a 2014 Millward Brown Digital study, current digital advertising spending trends show that digital marketers fairly evenly allocate budget across ad formats

• However, the majority of digital marketers say that digital advertising hasn’t lived up to its promise and feel that branding ads bought via programmatic methods raise concerns

• They are searching for the best way to connect with consumers on an emotional level to bridge the delta between the branding promise of digital and real-world success

Millward Brown Digital Survey: Key Findings

Source: 2014 Millward Brown Digital

Page 4: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

• In April 2014, Millward Brown Digital surveyed a collective 300 digital marketing decision makers over the age of 25 who work at a Fortune 5000 company or advertising agency in the U.S.

Millward Brown Digital Survey: Methodology

Source: 2014 Millward Brown Digital

Page 5: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Current Digital Advertising Trends

Page 6: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital marketers’ annual budgets for all digital ad spending.

Current Digital Advertising Trends

Under $1M Total; 12%

$1-$10M Total; 24%

$10-$50M Total; 23%

$50-$100M Total; 19%

$100-$500M To-

tal; 17%

$500M+ Total;

5%

Total Digital Ad Budgets

Question: What is your annual marketing budget across all DIGITAL marketing channels? Source: 2014 Millward Brown Digital

Page 7: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital marketers identify the digital ad formats they utilize.

37% run emotionally targeted in-game branding ads.

This includes when a player gets a new high score or needs help.

Current Digital Advertising Trends

Question: What types of digital advertising campaigns has your company conducted?

Emotionally targeted In-game branding ads

Ads bought directly from a publisher

In-game ads

SMS/MMS text ads

Paid search marketing (SEM)

Ads bought through programmatic methods

In-app mobile aps

Mobile website ads

Native advertising

Email marketing

Social media ads

37%39%43%48%51%52%

55%61%

68%73%77%

Ad Formats Digital Marketers Utilize

Source: 2014 Millward Brown Digital

Page 8: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

How much digital marketers will increase their digital branding ad budgets in the next year:

• 2% won’t increase it• 2% don’t know if they will increase it• 18% will increase it by less than 10%• 34% will increase it by 11-20%• 18% will increase it by 21-30%• 11% will increase it by 31-40%• 7% will increase it by 41-50%• 7% will increase it more than 51%

Current Digital Advertising Trends

Question: How much, if at all, will your digital BRANDING budget increase in the next year? Source: 2014 Millward Brown Digital

Page 9: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital marketers’ identify key digital branding objectives.

48% want to make an emotional connection with consumers.

Current Digital Advertising Trends

Question: What are your digital advertising BRANDING objectives?

Drive completed video views

Driving trials of a new product or service

Drive engagement

Add value for your customers

Make an emotional connection with consumers

Drive advertising awareness

Promote your website, unique landing page or mobile/tablet app

Increase purchase intent

Promote your products or services

28%

36%

47%

48%

48%

49%

54%

57%

62%

Key Branding Objectives

Source: 2014 Millward Brown Digital

Page 10: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

50% say they somewhat/strongly agree with this statement:

“Digital held promise for brand marketers, but for all its promise, it has never delivered as a branding vehicle.”

Current Digital Advertising Trends

Question: Please indicate how strongly you agree or disagree with the following statement: "Digital held promise for brand marketers, but for all its promise, it has never delivered as a branding vehicle”

Strongly disagree; 6%

Somewhat disagree; 22%

Neither agree nor disagree;

21%

Somewhat agree; 31%

Strongly agree; 19%

Has Digital Delivered for Marketers?

Source: 2014 Millward Brown Digital

Page 11: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital marketers identify the most effective digital ad formats that meet their branding objectives.

Question: From the following list, which do you think are the most effective forms of digital advertising that meet your digital branding objectives?

Ads bought directly from a publisher

SMS/MMS text ads

In-game ads

Ads bought through programmatic methods

In-app mobile aps

Emotionally targeted In-game branding ads

Mobile website ads

Paid search marketing (SEM)

Email marketing

Native advertising

Social media ads

11%12%14%

18%20%20%

23%23%

36%46%

51%

Most Effective Digital Ad Formats

Source: 2014 Millward Brown Digital

Current Digital Advertising Trends

Page 12: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital Marketers’ Concerns About Programmatic Ad Buying

& Solutions That Address Their Concerns

Page 13: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

30% think that ads bought through programmatic methods negate customer experiences, brand loyalty or branding objectives.

Question: What are your greatest challenges when developing and deploying digital advertising campaigns bought through ad exchanges or agency trading desks—also known as programmatic ad buying?

None, we have no challenges with our digital advertising efforts

Lack of budget

They don't work for engagement, branding, or developing an emotional connection with people

Declining response rates (e.g. campaign performance)

Programmatic ad buying produces negative customer experiences that damage brand loyalty or negate our branding objectives in other ways

Digital advertising on online, social media and mobile devices is annoying to consumers

Consumers don't look at the ads on websites, mobile devices and etc.

Analyzing digital advertising campaign results

Getting ROI from our mobile advertising/marketing programs

Knowing where to begin to optimize and improve our advertisements

4%

21%

23%

28%

30%

31%

32%

33%

36%

40%

Greatest Challenges

Source: 2014 Millward Brown Digital

Digital Marketers’ Concerns About Programmatic Ad Buying

Page 14: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

37% identify “banner blindness” as a concern when buying branding ads bought through programmatic methods (e.g. ad exchanges/agency trading desks).

Digital Marketers’ Concerns About Programmatic Ad Buying

Question: What are your greatest challenges when developing and deploying digital advertising campaigns bought through ad exchanges or agency trading desks—also known as programmatic ad buying?

*Banner blindness = When visitors to a website, mobile website or mobile app consciously or subconsciously ignore banner-like or advertising information

None of these

Ad collision (multiple ads on same page)

Click fraud

Fraudulent traffic

Quality of inventory

Viewability

Banner blindness*

2%

8%

10%

13%

15%

15%

37%

Concerns with Exchanges/Trading Desks

Source: 2014 Millward Brown Digital

Page 15: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

81% say that emotional targeting can help address “banner blindness.”

A Solution Addressing Digital Marketers’ Concerns About Programmatic Ad Buying

Question: If banner blindness concerns you, do you think targeting users based on their emotions, also known as emotional targeting, can help you address this issue?

No; 7%

I don't know; 12%

Yes; 81%

Banner Blindness

Source: 2014 Millward Brown Digital

Page 16: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital Marketers Want to MakeEmotional Connections

Page 17: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

88% say that making emotional connections would encourage them to spend more on digital branding ad formats.

Digital Marketers Want to Make Emotional Connections

Question: Would digital mediums that make emotional connections with consumers provoke you to spend more money on digital advertising campaigns for your brand or your client’s brand?

No

I don't know

Yes

5%

6%

88%

Will Digital Marketers Spend More to Make Emotional Con-

nections?

Source: 2014 Millward Brown Digital

Page 18: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Digital marketers want to make emotional connections through digital ads to build brand recognition, loyalty and trust.

Digital Marketers Want to Make Emotional Connections

Question: Why do you think marketers would want to make emotional connections with people through digital advertising?

Other ("To show customer appreciation," "Emotion sells")

To encourage a two-way dialogue between the brand and people

To add value for people through digital advertising

To drive purchase decisions

To build brand trust and loyalty

To build brand recognition

1%

51%

51%

61%

70%

71%

Why Marketers Want to Make Emotional Connections

Source: 2014 Millward Brown Digital

Page 19: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

18% of digital marketers allocate 21- 40% of their budget to emotionally targeted in-game branding ads.

Digital Marketers Want to Make Emotional Connections

Question: Given your above statement about digital marketing budget across all channels, please to the best of your ability describe how the budget is allocated across the following different digital marketing tactics?

0% of Budget; 33%

1% to 20% of Budget; 31%

21% to 40% of Budget; 18%

41% to 60% of Budget; 7%

61% to 80% of Budget; 6%

81% to 100% of Budget; 5%

% of Budget Digital Marketers Allocate Towards

Emotionally Targeted In-Game Branding Ads

Source: 2014 Millward Brown Digital

Page 20: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

49% of digital marketing budgets map to branding objectives, including dollars spent on in-game ads utilizing emotional targeting.

Digital Marketers Want to Make Emotional Connections

Question: How does emotionally targeted in-game branding ads typically map to your objectives? Defines this ad format as in-game ads that allow brands to target game players based on unique emotional moments.

Branding; 49%

Direct Re-

sponse; 44%

Other; 8%

How Digital Marketers Map Objectives toEmotionally Targeted In-Game Branding

Ads

Source: 2014 Millward Brown Digital

Page 21: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Appendix: Demographic Information

Page 22: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Appendix: Demographic Information

Question: Please enter your age.

Age Composition

A 25-34 43%

A 35-44 36%

A 45-54 15%

A 55-64 6%

A 65+ 1%

Gender Composition

Male 59%

Female 41%

Question: What is your gender?Source: 2014 Millward Brown Digital

Page 23: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Appendix: Demographic Information

Question: Which of the following best describes your job title?

Job Title Composition

CMO at a Fortune 5000 company 16%

EVP/SVP of Marketing at a Fortune 5000 company

5%

VP/Assistant VP of Marketing at a Fortune 5000 company

18%

Director/Department Head of Marketing at a Fortune 5000 company

29%

Marketing Manager of Marketing at a Fortune 5000 company

15%

Media Planner at an advertising agency

5%

Media Supervisor at an advertising agency

6%

Associate Media Director at an advertising agency

0%

Media Director at an advertising agency

2%

Media Buyer at an advertising agency

1%

Media Strategist at an advertising agency

2%

Other N/A

None of these N/A

Industry Composition

Advertising 4%

Automotive 2%

Consumer Electronics 8%

CPG 2%

Entertainment 5%

Finance/Banking 10%

Food and Drink 3%

Marketing 8%

Personal Care/Luxury Goods 3%

Pharmaceuticals 3%

Retail 11%

Services 12%

Telecom/Technology 13%

Travel, Hospitality and Tourism 3%

Other* 4%

None of these 4%

N/A - I do not work in marketing for a Fortune 5000 company

6%Question: If you work in marketing for a Fortune 500 company, which of the following best describes the industry in which you work? Source: 2014 Millward Brown Digital

Page 24: EMOTIONAL CONNECTIONS ATTRACT DIGITAL MARKETERS’ BRANDING DOLLARS

Thank You!


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