THE SALES EFFECTS OF MAGAZINE ADVERTISING USING THE GFK PANELS IN THE NETHERLANDS AND BELGIUM.
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1 THE SALES EFFECTS OF MAGAZINE ADVERTISING USING THE GFK PANELS IN THE NETHERLANDS AND BELGIUM. Esther Braspenning, Sanoma Belgium GfK 2013 Title of presentation DD. Month
2 Ads have proven effect on brand equity. But how is it with sales? The effect of media investment is until now often measured via effects on awareness, brand image evolution, presence in evoked etc. The first moment of truth is however the purchase of the product. After the second moment of truth loyalty will be build which leads to possible advocacy. Awareness Information Opinion Consideration Purchase Loyalty GfK 2013 Title of presentation DD. Month
3 Which medium can attribute the most to sales? GfK 2013 Title of presentation DD. Month
4 Single source measurement of purchase behavior and media consumption Purchases (In-home scanning) Food Beverages Tobacco Personal care OTC drugs Animal food TV Radio OTS calculation based on media plan Press Cinema Frequency Background information Media consumption Internet Ad tagging GfK 2013 Title of presentation DD. Month
5 FOLLOWING HOUSEHOLDS OVER TIME ALLOWS FOR TRACKING SALES UPLIFTS CAUSED BY CAMPAIGN Before advertising During & after advertising T1 T2 T3 T4 T5 T6 T7 T8 T9 T10 T11 T12 T13 T14 T15 T16 T17 T18 T19 T20 T21 Exposed Uplift thanks to campaign Base sales Uplift Not exposed Market evolution GfK 2013 Title of presentation DD. Month
6 Short term effect: Month by month sales uplift Jun July 2011, NL Jan Feb 2012, BE Feb Mar 2012, BE Total Market 26% 8% 51% 28% 26% 57% Not exposed -10% 6% -25% 32% -39% -33% TV exposure 22% 4% 58% 60% 29% 70% Print exposure 56% 43% 83% 88% 39% 100% The total market has grown over time. Both the number of buying households as their spending has increased. Buying HH Value / 100 HH GfK 2013 Title of presentation DD. Month
7 Short term effect: Month by month sales uplift Jun July 2011, NL Jan Feb 2012, BE Feb Mar 2012, BE Total Market 26% 8% 51% 28% 26% 57% Not exposed -10% 6% -25% 32% -39% -33% TV exposure 22% 4% 58% 60% 29% 70% Print exposure 56% 43% 83% 88% 39% 100% The households that were not exposed to the campaign at all, however, spent less during the observed periods. Rexona even lost buying households among the group that did not come in contact with the campaign. Buying HH Value / 100 HH GfK 2013 Title of presentation DD. Month
8 Short term effect: Month by month sales uplift Jun July 2011, NL Jan Feb 2012, BE Feb Mar 2012, BE Total Market 26% 8% 51% 28% 26% 57% Not exposed -10% 6% -25% 32% -39% -33% TV exposure 22% 4% 58% 60% 29% 70% Print exposure 56% 43% 83% 88% 39% 100% Hence, the media pressure must have its effect on the households who were exposed to it. Households who saw the spot on TV reacted positively to it. Buying HH Value / 100 HH GfK 2013 Title of presentation DD. Month
9 Short term effect: Month by month sales uplift Jun July 2011, NL Jan Feb 2012, BE Feb Mar 2012, BE Total Market 26% 8% 51% 28% 26% 57% Not exposed -10% 6% -25% 32% -39% -33% TV exposure 22% 4% 58% 60% 29% 70% Print exposure 56% 43% 83% 88% 39% 100% The households that were exposed to the ad in the magazines reacted even better to it. Both recruitment and intensification of the households is better than among the group that saw the spot on TV. Buying HH Value / 100 HH GfK 2013 Title of presentation DD. Month
10 Reaching the target group Total 10% 90% Contact with print 10% 90% Contact with TV 11% 89% 18-34y > 35y 10% of the reach of print is within the target group of PRP s of age 18-34y. TV slightly performs better. However, neither of both media stands out in reaching this age group. GfK 2013 Title of presentation DD. Month
11 Reach the target group Total 80% 20% Contact with print 94% 6% Contact with TV 80% 20% Female Male Print reaches the female audience. Where the reach of TV consists for 80% of female PRP s, the reach of print contains 94% of female PRP s. GfK 2013 Title of presentation DD. Month
12 Benchmark with other media 28% 20% 24% 21% Mono TV TV - Radio TV - Print TV - OOH Comparing the average sales uplifts of media mixes, we see that print is able to add the highest value on a TV campaign. GfK 2013 Title of presentation DD. Month
13 Conclusions Print ads increase sales on the short term Print reaches the target group very well Print attributes most in the mix with TV Print works! GfK 2013 Title of presentation DD. Month
14 Discussion & suggestions for future research Detailed view The current analysis consists of a few campaigns. This gives a very detailed and interesting view on those specific products and campaigns. The observed sales return on those campaigns are good achievements. The small base, however, does not allow to generalize the findings. Short term view The current campaigns focus on month to month sales uplifts. This can be considered short term effects. Local view This research has been conducted in Belgium and The Netherlands. As different market Suggestions for future research European, campaigns, including long term effects. GfK 2013 Title of presentation DD. Month
15 Discussion & suggestions for future research Detailed view The current analysis consists of a few campaigns. This gives a very detailed and interesting view on those specific products and campaigns. The small base, however, does not allow to generalize the findings. Short term view The current campaigns focus on month to month sales uplifts. This can be considered short term effects. An important question is whether the new buyers were gained sustainably. Local view This research has been conducted in Belgium and The Netherlands. The larger European markets such as Germany and UK are not present in this study. Taking this research forward European scope: Include UK, General findings on print advertising: large number of campaigns Including long term effects GfK 2013 Title of presentation DD. Month
16 Contact Esther Braspenning Made by Sanne Van Hoef Title Phone Dirk Vanderveken Made by Sanne Division Van Director Hoef Belgium T M Dirk.Vanderveken@gfk.com GfK 2013 Title of presentation DD. Month
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