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Measuring the
Effectiveness of the
Promotional Program
1
Pros and Cons of Measuring Effectiveness
Objections of creatives
Evaluate alternative
strategies
Avoid costly mistakes
Increase efficiency in
general
Disagreement on
what to test
Research problems
Cost of measurement
Determine if objectives are
achieved
Time
Advantages Disadvantages
2
Evaluating Alternative Strategies
3
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%
4
How to test
• Testing guidelines
• Appropriate tests
Measuring Advertising Effectiveness
When to test
• Pretesting
• Posttesting
Where to test
• Laboratory tests
• Field tests
What to test
• Source factors
• Message variables
• Media strategies
• Budget decisions
5
Pretesting Methods
On-air Tests
Dummy Ad Vehicles
Consumer Juries
Portfolio Tests
Physiological Measures
Theater Tests
Rough Tests
Concept Tests
Readability Tests
Comprehension and
Reaction Tests
Laboratory Field
6
Posttesting Methods
Recall Tests
Inquiry Tests
Association
Measures
Single-
Source
Systems
Tracking
Studies
Recognition
Tests
Methods
7
Posttesting the Value of a Sponsorship
8
Where to Test
In the Field 
 In the Lab
9
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
10
Test Points
3.Finished art or
commercial pretesting
1.Concept Testing
2.Rough Testing
4.Market testing
(posttesting)
Occurs at
Various Stages
11
Concept Testing
Explores consumers’ responses to ad
concepts expressed in words, pictures, or
symbols
Objective
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
Method
Qualitative and/or quantitative data
evaluating and comparing alternative
concepts
Output
12
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
13
Rough Testing Terms
Photomatic Rough
Animatic Rough
Live-action Rough
Terms
14
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
15
Physiological Measures
Eye tracking
Pupil dilation
Galvanic skin
response
Brain waves
Testing
16
Market Testing Print Ads
Recall Tests
Inquiry Tests Recognition Tests
Tracking Studies
Testing
17
Starch-Scored Sports Illustrated Ad
Noted score– the
percentage of readers who
remember seeing the ad
Seen-associated score—
the percentage who
remember seeing or reading
any part of the ad identifying
the product or brand
Read most score—the
percentage of readers who
report reading at least half of
the copy portion of the ad.
18
Posttests of Broadcast Commercials
Test marketing
Day after recall
tests
Persuasive
measures
Diagnostics
Comprehensive
measures
Single-source
tracking
Tracking
studies
Testing
19
Problems With Current Research Methods
20
Essentials of Effective Testing
Use a consumer
response model
Use pretests and
posttests
Use multiple
measures
Understand and
implement
proper research
Establish
communications
objectives Testing
21
Measuring Effectiveness + Efficiency
22
THANK- YOU
23

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Lecture 5- Measuring Advertising Effectiveness.pdf

  • 1. Measuring the Effectiveness of the Promotional Program 1
  • 2. Pros and Cons of Measuring Effectiveness Objections of creatives Evaluate alternative strategies Avoid costly mistakes Increase efficiency in general Disagreement on what to test Research problems Cost of measurement Determine if objectives are achieved Time Advantages Disadvantages 2
  • 4. 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% 4
  • 5. How to test • Testing guidelines • Appropriate tests Measuring Advertising Effectiveness When to test • Pretesting • Posttesting Where to test • Laboratory tests • Field tests What to test • Source factors • Message variables • Media strategies • Budget decisions 5
  • 6. Pretesting Methods On-air Tests Dummy Ad Vehicles Consumer Juries Portfolio Tests Physiological Measures Theater Tests Rough Tests Concept Tests Readability Tests Comprehension and Reaction Tests Laboratory Field 6
  • 7. Posttesting Methods Recall Tests Inquiry Tests Association Measures Single- Source Systems Tracking Studies Recognition Tests Methods 7
  • 8. Posttesting the Value of a Sponsorship 8
  • 9. Where to Test In the Field   In the Lab 9
  • 10. 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 10
  • 11. Test Points 3.Finished art or commercial pretesting 1.Concept Testing 2.Rough Testing 4.Market testing (posttesting) Occurs at Various Stages 11
  • 12. Concept Testing Explores consumers’ responses to ad concepts expressed in words, pictures, or symbols Objective 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 Method Qualitative and/or quantitative data evaluating and comparing alternative concepts Output 12
  • 13. 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 13
  • 14. Rough Testing Terms Photomatic Rough Animatic Rough Live-action Rough Terms 14
  • 15. 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 15
  • 16. Physiological Measures Eye tracking Pupil dilation Galvanic skin response Brain waves Testing 16
  • 17. Market Testing Print Ads Recall Tests Inquiry Tests Recognition Tests Tracking Studies Testing 17
  • 18. Starch-Scored Sports Illustrated Ad Noted score– the percentage of readers who remember seeing the ad Seen-associated score— the percentage who remember seeing or reading any part of the ad identifying the product or brand Read most score—the percentage of readers who report reading at least half of the copy portion of the ad. 18
  • 19. Posttests of Broadcast Commercials Test marketing Day after recall tests Persuasive measures Diagnostics Comprehensive measures Single-source tracking Tracking studies Testing 19
  • 20. Problems With Current Research Methods 20
  • 21. Essentials of Effective Testing Use a consumer response model Use pretests and posttests Use multiple measures Understand and implement proper research Establish communications objectives Testing 21
  • 22. Measuring Effectiveness + Efficiency 22