Unleashing the Power of Digital Datato Improve Communications Effectiveness In-MarketSarah WalkerGlobal Lead, Digital Behavior Analytics

Claire SpaargarenGlobal Brand Director, Brand Performance

19th October 2016

Meet today’s speakers

Global Lead, Digital Behavior AnalyticsSARAH WALKER

Global Brand Director, Brand PerformanceCLAIRE SPAARGAREN

3

AGENDATHE IMPORTANCE OF COMMUNICATIONS IN BUILDING SALIENT BRANDSWhat we mean by building ‘mental awareness’

NEW WAYS TO MEASURE COMMUNICATIONS IMPACT IN A POST-SURVEY WORLDInsights from digital and social data

USING NEW TOOLS IN PRACTICECase studies from real life scenarios

4

THE IMPORTANCE OF COMMUNICATIONSIN BUILDING SALIENT BRANDS

1.

5

MEANINGFULMeets needs and appeals more

DIFFERENTDifferent and sets trends

SALIENTNeeds-based awareness

A reminder on building valuable and sustainable brands

6

But shifting equity isn’t easy!

Average change in Brand Power over a 12 month period is just 0.6%

(Estimated volume share a brand would achieve based on equity alone)

BRAND POWER MONTH 1 MONTH 12

+0.6%

7

However, the things that underlie equity move more quickly

Mean shift in individual Equity Dimensions over 12 months

(Index)

AVERAGE = 100Meaningful Different Salient

+7 +7

+9

8

A quick reminder of what we mean by ‘salience’

=

MENTAL AVAILABILITY

A brand’s ability to come to mind

QUICKLY AND READILYwhen activated by ideas relatingto category purchase

9

Salience is a powerful lever for brand growth

Source: 2012/3 compared to 2007/8 for 2,301 brands measured in BrandZ

Start End

-6

-4

-2

0

2

4

6

8

10

Shifting saliencecan have a big impact on brand growth - even for brands with very weak equity otherwise

Change in Salience

Cha

nge

in P

roje

cted

M

arke

t Sha

re

Average Meaningful DifferenceLow Meaningful Difference

10

Salience is a powerful lever for brand growth

Source: 2012/3 compared to 2007/8 for 2,301 brands measured in BrandZ

Start End

-8

-6

-4

-2

0

2

4

6

8

10

12

But even more powerfulfor meaningfully different brands

Change in Salience

Cha

nge

in P

roje

cted

M

arke

t Sha

re

High Meaningful DifferenceAverage Meaningful DifferenceLow Meaningful Difference

11

Advertising can be a powerful driver of brand salience

Start End0

1

2

3

4

Increase in awareness of communications

Average % increase in unaided brand awarenessS

alie

nce

12

Effective advertising is a function ofquality and quantity

Comms Awareness =

(Volume, Quality)f

13*Established brands with consistent advertising strategy

We have historically been be able to determine this quality by modelling survey data

(Volume, Quality)fComms awareness =

AWARENESSINDEX

Awareness Index vs. Sales2

1

1 200

Indicator of advertising quality

Sale

s In

dex

14

But we are entering a new era of marketing, which presents new challenges for survey research

SPEED OF OPTIMISATION PROLIFERATION OF CHANNELS

15

NEW WAYS TO MEASURECOMMUNICATIONS IMPACTIN A POST-SURVEY WORLD

2.

16

To understand how to measure mental availability, we need to understand what it involves:

CATEGORYRELEVANCE

BRANDFAME

=

A brand’s ability to come to mindQUICKLY AND READILY

when activated by ideas relatingto category purchase

17

We would expect different behaviours to be indicators of different types of change

Mental availability INCREASING

CATEGORYRELEVANCE

GROWING

BRANDFAME

=

18

We see the effects of advertising reflected in both of these digital behavior measures

Decreasein spend

No change Small increasein spend

Big increasein spend

-10

-5

0

5

10

15

20

+10%

+10%

+4%

+5%

-5%

-4%

1%

0%

% increase inBRAND SEARCHES

% increaseBRAND CONVERSATION

19Average increase in social mentions per increased GRP

Key question: Can we use these digital signals to generate a similar indicator of quality?

Average increase in social mentions per unit of media spend:

(Volume, Quality)f 2%

6%

12%

Campaigns with High AI

Campaigns with Low AI

Campaigns with Medium AI

SOCIAL CONVERSATION

20

Not only that, but we can create new metrics of success in building category relevance too

Average increaseIN SEARCH

-7%

0%1%

-4%

-2%

9%

BRAND BUILDING ADS LAUNCH / RE-LAUNCH ADS

Low HighMedium Low HighMedium

21

We can use these as metrics of campaign impact in real-time

GROWINGBRAND

FAME

INCREASINGCATEGORY

RELEVANCE

22

These data sources form part of our new suite of tools designed to give faster, more actionable advice to clients on their in-market activity

DIGITAL BEHAVIOR ANALYTICSDigital signals

ADNOW

Fast-turn surveys

BRAND LIFT INSIGHTS

Cookie-based targeting

23

USING NEW TOOLS IN PRACTICE3.

24

Case study: Proving the impact of a new creative style

25

Warburtons launched two new campaigns in 2015 representing a notable shift in creative style for the brand

31/12/2012 30/06/2013 31/12/2013 30/06/2014 31/12/2014 30/06/2015

250

200

150

100

50

TV GRPs

26

27

50%

67%

0%

53%56%

Early indication suggest performing above average on social, but not search

GROWING FAME NOT GROWING RELEVANCEBut that’s OK!

2014 Average Launch ofDeliverers

2014 Average Launch ofDeliverers

28

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Their next campaign in this style was a new product launch, so expected to have more impact on relevant interest

CONTINUES TOGROW FAME

ALSO GROWINGRELEVANT INTEREST

50%

67%74%

53% 56%

72%

2014 Average Launch ofDeliverers

2014 Average Launch ofDeliverers

Launch ofGiant Crumpets

Launch ofGiant Crumpets

30

Combining this rapid feedback with other tools allows us to build a complete picture for clients

WEEKLY

Rapid feedback from DBA

24 HOUR TURNAROUND

Quick-turn deep-dive with ADNOW

3-6 MONTHS

Long-term impact via TRACKING & EQUITY results - and Sales!

Warburtonsbakes upsales rise

‘Emotional’ response

Enjoyment Involvement Affinity Dynamism

‘Rational’ response’

Persuasion New Information Different Relevant

‘Emotional’ response

Enjoyment Involvement Affinity Dynamism

‘Rational’ response’

Persuasion New Information Different Relevant

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The impact of the campaign so far has surpassed our expectations. Our new episodic approach showcases the fact that while we take our baking seriously, we don’t like to take ourselves too seriously as a brand, and perfectly reflect Warburtons’ sense of fun and family.”

Jonathan Warburton, Chairman

32

Case study: Understanding impact beyond TV

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• The client planned to launching a new variant of their very established brand

• The brand had a well-loved and long-running creative device that was working well

• New TV execution featured the existing creative style, and contained new product news

Launch of a new variant for established beverages brand

The new TV creative execution tested extremely well:

Branded Impact

Persuasion

Difference

G

G

G

34

Despite Green TV ad, the total mix in 2014 was only mediocre in impacting on both fame and relevance for the brand – below expectations

DigitalRadioOutdoorPrintTV

A

A

+

2014:

35

Initial launch focused on new-product message, but supplementary media failed to back up the humour or distinctiveness of the TV spot

+TV

PRINT

DIGITAL

36

Re-aired at a later date, with same TV creative but stronger messaging in digital and outdoor

+TV

DIGITAL

OUTDOOR

FREE SAMPLE OFFER+

37

Re-airing with stronger supporting media had a huge impact on the overall campaign success in both dimensions

DigitalRadioOutdoorPrintTV

A

A

+

2014:

G

G

2015:

+

38

Case study: Optimising activity during a period off-air for a high-profile CPG brand

39

In 2015, financial pressures on marketing budgets meant previously high TV spend had to be replaced by digital activation

Year 2 Year 3 Year 4Year 1

40

We know there are risks from brands 'going dark' on TV

TBCA Total mentions Buy nowadays Buy most often First mention Key imageTotal brand awareness Trial

-43

-23

-14-11 -10 -9

-7-3

Average net change in Survey Measures6 months after end of TV spend

41

Digital signals act as an early warning, showing a decrease in both aspects of mental availability virtually as soon as the ATL activity stopped

Time off-airPrevious period

Year 2 Year 3 Year 4Year 1

CATEGORY RELEVANT INTEREST

BRAND FAME

42

Why wasn’t their activity supporting the brand?

43

Creative diagnostics proved that people liked the individual executions when they were shown them

Execution 1

Execution 2

Likeability Branding Relevance New Information Different

NORM

44

So why aren’t the executions translating into lasting impact for the brand?

Are the executions enjoyed, but

FAILING TO IMPACT PEOPLE’S ATTITUDES?

Or are they working, but

NOT REACHING ENOUGH PEOPLE TO HAVE AN IMPACT?

45

Brand Lift Insights allows us to identify the impact of the execution on brand perceptions amongst those people who did see it

EXPOSED

Saw the campaign

CONTROL

Did notsee the campaign

BRAND SURVEY

46

Brand Favourability Purchase Intent Affinity

54

47

20

5249

19

Control (n=172), Exposed (n=130)** = significant at 80%

The ad did boost salience for those exposed to it, but had little lasting impact on broader brand metrics

ControlExposed

47

But the study also showed that this was being held back by (in)frequency of exposure

Frequency of exposure

Impr

ovem

ent o

ver c

ontr

ol

Single exposure 2+ exposures-15

-10

-5

0

5

10

15

Online Ad awarenessMessage associationBrand favourabilityPurchase intentAffinity

48

So why aren’t the executions translating into lasting impact for the brand?

Are the executions enjoyed, but

FAILING TO IMPACT PEOPLE’S ATTITUDES?

Or are they working, but

NOT REACHING ENOUGH PEOPLE WITH ENOUGH FREQUENCYto have enough impact?

49

The client was able to identify that their current activity wasn’t maintaining salience, and alter their targeting plan to compensate

Target

FEWER PEOPLEWITH HIGHER FREQUENCY

GREATER LASTING BRAND IMPACTfrom the same creative

FOR THE SAME BUDGET

50

Prove the value of great creative work

Understand the importance of their complete media mix

Help support brands during periods of financial pressure

From these cases we can see how new sources of data and targeting can help clients:

For more information:Sarah WalkerGlobal Lead, Digital Behavior AnalyticsSarah.Walker@millwardbrown.com

Claire SpaargarenGlobal Brand Director, Brand PerformanceClaire.Spaargaren@millwardbrown.com