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
                                   Measuring the
                                 Effectiveness of the
                                Promotional Program
                                         Chapter 19
                           Advertising And Promotion, 6/E - Belch



                                          Group 8
                            Integrated Marketing Communications
Aditya GSN           Indrajit Bage   N Krishna Chaitanya   Neeraj Panghal           Prateek Jaiswal                  Silpa Kamath


 McGraw-Hill/Irwin                                                 Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
Chapter Objectives



                
1.To understand reasons for measuring promotional
program effectiveness.


    2. To know the various measures used in
    assessing promotional program effectiveness.


    3. To evaluate alternative methods for
    measuring promotional program effectiveness.


4. To understand the requirements of proper
effectiveness research
Pros and Cons of Measuring Effectiveness

     Advantages                 Disadvantages

  Avoid costly mistakes       Cost of measurement


   Evaluate alternative         Research problems
        strategies

  Increase efficiency in         Disagreement on
        general                    what to test

Determine if objectives are    Objections of creatives
        achieved

                                        Time
Measuring Advertising Effectiveness



What to test
 •   Source factors
                            Where to test
                              • Laboratory tests
 •   Message variables        • Field tests
 •   Media strategies
 •   Budget decisions



How to test                  When to test
 • Testing guidelines         • Pretesting
 • Appropriate tests          • Posttesting
Pretesting Methods

   Laboratory                      Field
   Consumer Juries

    Portfolio Tests
                            Dummy Ad Vehicles

                                On-air Tests

Physiological Measures

    Theater Tests

     Rough Tests

    Concept Tests

  Readability Tests
 Comprehension and
   Reaction Tests
Posttesting Methods


                  Recall Tests
                     
 Tracking                           Association
 Studies                             Measures


                   Methods
                                      Single-
Recognition
                                      Source
   Tests
                                     Systems

                 Inquiry Tests
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



                    
                    1.Concept Testing


                     2.Rough Testing
  Occurs at
Various Stages       3.Finished art or
                       commercial pretesting

                     4.Market testing
                       (posttesting)
Concept Testing


            Explores consumers’ responses to ad
Objective
                       
            concepts expressed in words, pictures, or
            symbols

            Alternatives are exposed to consumers who
            match the target audience

 Method     Reactions & evaluations sought through focus
            groups, direct questioning, surveys, etc.

            Sample sizes depend on the number of
            concepts and the consensus of responses

            Qualitative and/or quantitative data
 Output     evaluating and comparing alternative
            concepts
Rough Art, Copy, and Commercial Testing


        Comprehension and Reaction Tests
                         Juries
                   Consumer

  Advantages                      Disadvantages
                              Consumer may become a
         Control
                                self-appointed expert
                             Number of ads that can be
   Cost effectiveness          evaluated is limited
    Endorsements by            A halo effect is possible
independent third parties
                              Preference for ad types
Achievement of credibility   may overshadow objectivity
Rough Testing Terms



               Animatic Rough

Terms            Photomatic Rough


                  Live-action Rough
Pretesting Finished Print Ads


               A laboratory method

Portfolio           
               Includes test and control ads
 Tests
               Portfolio test have problems

               Based on syllables per 100 words
Readability
  Tests
               Other factors also considered

 Dummy         Distributed to random sample homes
Advertising
 Vehicles      Product interest may still bias results
Pretesting Finished Broadcast Ads


     Theater Tests                    On-Air Tests

• Measures changes in
                               • Insertion in TV programs
  product preferences             in specific markets
• May also measure . . .        • Limitations are imposed
   • Interest in and reaction     by “day-after recall”
     to the commercial          • Physiological Measures
   • Reaction from an
     adjective checklist
   • Recall of various
     aspects included
   • Interest in the brand
     presented
   • Continuous reactions
Physiological Measures



Pupil dilation            Galvanic skin
                            response



                 Testing




Brain waves                 Eye tracking
Market Testing Print Ads



 Inquiry Tests      Recognition Tests

                 Testing




Tracking Studies           Recall Tests
Posttests of Broadcast Commercials


       Day after recall       Persuasive
            tests
                             measures



  Tracking
                                       Diagnostics
   studies
                     Testing

Single-source                        Comprehensive
   tracking                            measures

                  Test marketing
Problems With Current Research Methods



                 
Essentials of Effective Testing



                         
                 Use a consumer
                 response model



   Establish
                                    Use pretests and
communications
                                       posttests
  objectives        Testing



       Understand and
                             Use multiple
         implement
                              measures
       proper research
Measuring Effectiveness of Other Programs


   Sales
promotions
                    cart signage
                 Shopping

                 Ski resort-based media
   Non-
traditional
  media          In-store radio and television

                 Other media

                 Exposure methods
 Sponsor-
   ships
                 Tracking measures
Measuring Effectiveness + Efficiency



               
Measuring the Effectiveness of the Promotional Program

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Measuring the Effectiveness of the Promotional Program

  • 1. Measuring the Effectiveness of the Promotional Program Chapter 19 Advertising And Promotion, 6/E - Belch Group 8 Integrated Marketing Communications Aditya GSN Indrajit Bage N Krishna Chaitanya Neeraj Panghal Prateek Jaiswal Silpa Kamath McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
  • 2. Chapter Objectives  1.To understand reasons for measuring promotional program effectiveness. 2. To know the various measures used in assessing promotional program effectiveness. 3. To evaluate alternative methods for measuring promotional program effectiveness. 4. To understand the requirements of proper effectiveness research
  • 3. Pros and Cons of Measuring Effectiveness Advantages Disadvantages Avoid costly mistakes  Cost of measurement Evaluate alternative Research problems strategies Increase efficiency in Disagreement on general what to test Determine if objectives are Objections of creatives achieved Time
  • 4. Measuring Advertising Effectiveness What to test • Source factors  Where to test • Laboratory tests • Message variables • Field tests • Media strategies • Budget decisions How to test When to test • Testing guidelines • Pretesting • Appropriate tests • Posttesting
  • 5. Pretesting Methods Laboratory Field Consumer Juries Portfolio Tests  Dummy Ad Vehicles On-air Tests Physiological Measures Theater Tests Rough Tests Concept Tests Readability Tests Comprehension and Reaction Tests
  • 6. Posttesting Methods Recall Tests  Tracking Association Studies Measures Methods Single- Recognition Source Tests Systems Inquiry Tests
  • 7. Where to Test  In the Field   In the Lab
  • 8. 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
  • 9. Test Points  1.Concept Testing 2.Rough Testing Occurs at Various Stages 3.Finished art or commercial pretesting 4.Market testing (posttesting)
  • 10. Concept Testing Explores consumers’ responses to ad Objective  concepts expressed in words, pictures, or symbols Alternatives are exposed to consumers who match the target audience Method Reactions & evaluations sought through focus groups, direct questioning, surveys, etc. Sample sizes depend on the number of concepts and the consensus of responses Qualitative and/or quantitative data Output evaluating and comparing alternative concepts
  • 11. Rough Art, Copy, and Commercial Testing Comprehension and Reaction Tests  Juries Consumer Advantages Disadvantages Consumer may become a Control self-appointed expert Number of ads that can be Cost effectiveness evaluated is limited Endorsements by A halo effect is possible independent third parties Preference for ad types Achievement of credibility may overshadow objectivity
  • 12. Rough Testing Terms Animatic Rough Terms Photomatic Rough Live-action Rough
  • 13. Pretesting Finished Print Ads A laboratory method Portfolio  Includes test and control ads Tests Portfolio test have problems Based on syllables per 100 words Readability Tests Other factors also considered Dummy Distributed to random sample homes Advertising Vehicles Product interest may still bias results
  • 14. Pretesting Finished Broadcast Ads Theater Tests On-Air Tests • Measures changes in  • Insertion in TV programs product preferences in specific markets • May also measure . . . • Limitations are imposed • Interest in and reaction by “day-after recall” to the commercial • Physiological Measures • Reaction from an adjective checklist • Recall of various aspects included • Interest in the brand presented • Continuous reactions
  • 15. Physiological Measures Pupil dilation  Galvanic skin response Testing Brain waves Eye tracking
  • 16. Market Testing Print Ads Inquiry Tests  Recognition Tests Testing Tracking Studies Recall Tests
  • 17. Posttests of Broadcast Commercials Day after recall Persuasive tests  measures Tracking Diagnostics studies Testing Single-source Comprehensive tracking measures Test marketing
  • 18. Problems With Current Research Methods 
  • 19. Essentials of Effective Testing  Use a consumer response model Establish Use pretests and communications posttests objectives Testing Understand and Use multiple implement measures proper research
  • 20. Measuring Effectiveness of Other Programs Sales promotions  cart signage Shopping Ski resort-based media Non- traditional media In-store radio and television Other media Exposure methods Sponsor- ships Tracking measures
  • 21. Measuring Effectiveness + Efficiency 