2. The Assignment How can data and analytics be used to make the smartest possible marketing decisionsby defining attributable channels, using results to optimize advertising spend and help manage the growth of the business Approach Defined KPIs across stages of the purchase funnel to monitor the progression of prospects and understand linkages between advertising spending and sales volume Methodology Developed a marketing mix model to optimize total marketing investment Results Developed 4 models which explain key drivers for each stage of the marketing funnel, i.e. what drive search, leads, sales…
18. To account for each stage of the conversion funnel we developed four econometric modelsto accommodate US and eventually global communication efforts7
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20. Including: all media, site engagement, social buzz, and sales activity dataStructured Equation 8 = r2 > .87 Yt= α + β1Mt + β2Et + β3St + β4Tt + εt Y (represents the dependent variable, e.g.,sales) M (media), E (engagement), S (searches), T (store traffic), etc…
23. Marketing communications: GRPs, impressions, clicks, dollar spending* KPIs are: (a) representative of the stage in the purchase funnel, (b) ultimately linked to purchase behavior and (c) we understand how to affect variation 9
24. Hierarchical Modeling was used to Assess Impact at Each Stage Four Independent Models Working our way up the funnel Strong Existing Correlation 10
39. Unit sales ultimately tie to product availability, price, other non-advertising factors16
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41. The impact of TV is strong and present throughout each stage of the funnel.
42. Other media work with TV exerting disproportionate influence at different stages of the funnel.
43. A strong statistical correlation is seen to sales as a result of cumulative media impact.TV Display Searches Online Leads Total Showroom Traffic Unit Sales 17
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45. Online Display is a proven awareness driver and influencer of search activity resulting in site traffic activity, most effective when in conjunction with TV is most effective – invest and align with TV
46. Media’s impact lasts 3-4 weeks before it loses most of its effect – going dark with media may cost more to recapture share
47. Online leads supported by TV and searches, leads drive showroom traffic – ensure search budgets are proportional to TV investment and align creative as needed
66. Havas Digital Analytics’ rigor and 360° approach to communications modeling ultimately provides more-usable outputs (offline/online +retail +competitive)