The following post was curated from AdWeek's Oct. 10 webinar: Breakthrough Measurement, with permission from Keen's featured client, Bill Mackison, consumer insights lead for Perfetti van Melle (PvM), makers of Airheads and Mentos.
"You Only Improve What You Measure."
I believe you do indeed improve what you measure – whether it is people growth, sales growth or marketing effectiveness. And in today's fragmented and fluid consumer market there's strong incentive to measure better.
We have experienced a huge change in our measurement insights using Keen's platform, in contrast to our past marketing mix analyses to the extent that I believe that leveraging these types of real-time measurement technologies can actually constitute a first-mover advantage.
Shockingly Low GRPs
In the past the general rule of thumb has been that TV GRPs should be in the 40-70/week range to maximize ROI and achieve breakthrough.
EVERYONE IS TELLING US MARKETING IS FRAGMENTED — WHY WOULDN'T WE ALSO FRAGMENT GRPS?
It's still possible to buy 20 GRPs, but fewer than 10 of those will be through linear TV; about eight purchases are needed to achieve the same GRPs as in the past. I now think in terms of GRP equivalents, totaled across digital, video, display and social.
THE GOAL, AFTER ALL, IS TO DRIVE REVENUE.
I am not sure of the definition of historic “breakthrough.” Is it reaching enough people that I could read it in a 1,000-person survey? If I try to measure breakthrough by surveying 1,000 people to see if they recall my ad from a specific show at a specific time, is that business-driving? Or is this just solving for a measurement problem?
Alternatively, if I put Airheads in front of them often enough that they're recognizing the campaign, must that happen only on TV?
These are the types of questions Keen's tool is prompting us to ask. Keen shows the optimal investment week-by-week across all our TV and digital channels, as well as in-store programming. And here's the surprising result:
WE'RE SEEING OUR HIGHEST ROIS IN WEEKS WHEN OUR INVESTMENT LEVEL IS LOWEST.
Getting two to three times the volume lift just by changing flighting is an interesting concept. Why do we trust it? Because it makes sense at a gut level to align our buys with the fragmented manner in which our consumers are digesting media today. And, because we've seen impact data: We are getting $1.60 ROIs compared to $0.60 ROIs in the past.
I'VE BEEN DOING MARKETING MIX FOR MANY YEARS. THIS IS LIKE NOTHING I'VE EVER SEEN BEFORE.
I believe we’re lifting volume in a sustainable way. Because Keen is measuring today's media impact out over six years, we're ensuring that we are not sacrificing tomorrow for today. Thus it’s also an investment in my brands' long-term health and brand equity.
Measure Faster. Optimize to Win.
Keen is changing the game by making better data available faster. As a result we're able to make decisions in timeframes approaching real-time.
My timeline for preparing traditional marketing mix analysis looked like this:
- I stopped data at the end of the year and got marketing mix results by March / early April.
- I went back and forth with my supplier to make sure everything was right so I could deliver presentations to the brand teams by late May / early June.
- We got into pre-buying by May.
- And then in August I kicked off the next year's plan. At that point, the data was, best-case, from the previous December, and worst-case was more than two-and-a-half years old.
With Keen we're now making marketing decisions based on data that is just 45-90 days old.
WE'RE PLANNING 2019 WITH DATA FROM THE SUMMER OF 2018.
The Impact is Significant
Today we're modeling our plans not just on an annual basis, but any time we need to assess campaign effectiveness, adapt to competitive activity or respond to other market changes.
Mid-year, for example, we had additional media to apply to the brands. We were able to use our learnings from Keen to create an initial plan that would deliver $22 million in incremental revenue for that spending; however, because Keen is a live tool, built for optimization, we identified an addition $5 million with further optimization. While other factors impacted our ability to capture all of that, we still significantly improved our finish as a result of these insights.
Know Better, Do Better.
With Keen's platform we're making better decisions, asking better questions and seeing significantly better financial results. Keen is strengthening our brands.
GET THE FULL STORY WITH ADWEEK'S WEBINAR, "BREAKTHROUGH MEASUREMENT: HOW MENTOS STAYS FRESH THROUGH REAL-TIME DECISIONS."
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