Healthy Brands Support Business Health
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1 MAXIMIZING THE VALUE OF BRAND MEASUREMENT June, 2016 Healthy Brands Supprt Business Health Measuring brand equity is an essential first step in maintaining and imprving brand health. Expanding the emphasis beynd Willingness t Recmmend r Net Prmter Scres t include strategic measures like Brand Understanding and Preference relative t cmpetitin can help fcus the rganizatin n the real drivers f business value. Why Measure? DEEP INSIGHTS ARE KEY TO UNDERSTANDING AND IMPROVING BRAND HEALTH. Deep insight int custmers and prspects is key t understanding a brand s health and identifying ways t enhance it. A Brand Tracker r Attitude and Usage study is an pprtunity t dig deeper with custmers, spt trends, issues and pprtunities. In many rganizatins, these studies have becme perfunctry exercises, smething t check ff the annual t-d list. Viewing brand health measurement as an pprtunity fr quality insights and actinable recmmendatins requires a strategic apprach. Strategic Brand Health Measurement Attitude and Usage (A&U) Studies serve tw purpses they enable deep insight int custmer needs and hw brand address them, and they als prvide a baseline measurement f brand equity that can be fllwed by ptinal peridic tracking studies. The baseline study prvides a slid fundatin by establishing tailred, nging Key Perfrmance Indicatrs (KPI s) that reflect the brand s specific gals and pprtunities. Brand health KPI s typically fllw the marketing funnel and include: unaided and aided brand awareness, brand understanding, cnsideratin r trial, repeat r regular brand usage, and brand preference. KPI s may als include custmer decisin drivers and brand advcacy metrics such as Net Prmter scres. They typically d nt include custmer satisfactin. Onging Brand Tracking Studies als serves tw purpses they allw brand marketers t see hw well their tactics are mving custmers and prspects thrugh the marketing funnel, and identify hw t vercme the places TYPICAL KPI S Unaided awareness Aided awareness Familiarity (understanding f range f prducts ffered) Cnsideratin Key levers f cnsideratin in categry Perceptins f brand Strengths & weaknesses cmpared t ther brands Ad awareness Brand Amplitude, All Rights Reserved 1
2 where custmers are getting stuck. They als evaluate the brand relative t its cmpetitive set. One brand may nt have dne anything new r different since the last wave f tracking research, but the cmpetitin typically will have made changes. Tracking research allws marketers t understand hw the cmpetitin is de-psitining them in custmers eyes while repsitining themselves. Objectives A&U studies are a pint in time assessment f brand equity. They are valuable in their wn right, and can be the baseline fr future waves f Brand Tracking. The gals f A&U studies are actinable recmmendatins fr imprving brand health. This includes targeting, messaging and innvatin pprtunities. Additinally, brands may want t assess custmer and prspect respnse t cncept statements, new advertisements, redesigned web pages r even new TV cmmercials. Knwing wh respnds best t these stimuli can help in priritizing targets as well as in fine-tuning the creative itself. In designing Brand Tracking prgrams, we take care t establish the mst relevant KPI s fr measuring changes in brand health. While brand awareness is key fr sme, it is a given fr thers. In thse cases, brand understanding, cnsideratin, brand preference r advcacy may be mre actinable. We als ensure cnsistency in sampling s that we can be cnfident that any mvements in the results are real, and nt artifacts f the research itself. Finally, real-time access t data thrugh an interactive, reprting dashbard can empwer internal decisin-makers t make faster, evidence based marketing decisins. We prvide this capability as an ptin and sme rganizatins find it invaluable. Activities and Timing The activities invlved in each type f prject are shwn in the graphic. A&U research typically requires 5-6 weeks t cmplete. Brand Tracking research can be cmpleted in 3-4 weeks, and the frequency depends n the dynamics f the categry itself. Categries that are changing fast deserve mre frequent tracking. Brand Amplitude, All Rights Reserved 2
3 Research Optins and Csts Research csts depend n key research design decisins regarding sample size and cmpsitin, survey length, measurement frequency and reprting. Each ptin is discussed belw. These decisins are generally dealt with as part f the discvery and design phase. Sample Size and Cmpsitin A typical nline survey sample will include a natinal base sample f n=1000 and tw test market-specific samples f n=300 each per wave. Establishing baselines in key markets can als prvide the ability t experiment with the impact f alternative marketing prgrams. Skimping n sample is nt a gd way t save mney. Sample is relatively inexpensive and talking t mre peple results in greater cnfidence in the findings, implicatins and recmmendatins. A large sample size increases ur ability t detect even subtle changes and enables deeper analysis f key segments (e.g., high value brrwers, cmpetitive users, etc.) because it allws fr mre refined cuts f the data and greater specificity in segmentatin. Difference t be Sample Size significant* 2,400 +/- 3% 1,000 +/- 4% 800 +/- 5% 300 +/- 8% 100 +/- 14% *Cnfidence intervals required at 95% cnfidence at the middle f the percentage range. Measurement Frequency Data can be cllected cntinuusly, and aggregated fr specific time perids r cllected in waves. Bth appraches have advantages and disadvantages. Our recmmendatin is fr annual r biannual waves as they are mre specific t a pint in time. Mre frequent waves are generally needed nly if the market is evlving quickly. Survey Length Survey length is a direct driver f cst. Research has repeatedly shwn that data quality diminishes with survey length. Our gal is t keep it shrt, minutes max. T d this, it s imprtant t priritize learning bjectives and the brands t be evaluated. Determining the right number f brands t measure is part f the discvery prcess and a way t cntrl csts. Depending n the categry, cnsumers may chse frm a wide array f alternatives, including bth direct and indirect cmpetitrs. Evaluating a lng list f ptins is tedius fr respndents and can add t survey length and cst, s we wrk with clients t determine which brands t include. Ad Hc Questins One side benefit f peridic Brand Tracking is the ability t accmmdate ne r tw ad hc questins in the research. Marketers and brand managers find it reassuring t knw that research is being fielded and that they can get the latest burning questin answered fr minimal r n additinal cst. Brand Amplitude, All Rights Reserved 3
4 Real-Time Data Dashbard (Optinal) An nline dashbard allws easy client access t data via an nline prtal. The prtal can be custmized t and allw access t up t 20 individual client users. The images prvide samples f a main dashbard, a brand funnel dashbard and lngitudinal dashbard. In each case, the data can be filtered by time perid gegraphy, prduct, respndent characteristics and brand fr deeper analysis. Csts Csts include prfessinal service fees and ut f pcket expenses. The typical prfessinal services fees prvided here are based n recent studies acrss numerus clients. Out f pcket research expenses can vary depending n the sample ptins discussed abve. Generally, B2C studies can be accmplished fr $6-8 per cmpleted survey, with B2B samples csting $12-$50, depending n the difficulty f targeting custmers and prspects. Typical Prfessinal Services Fees Attitude & Usage Research $50,000 Onging Brand Tracking Research $25,000 Real-time Reprting Dashbard Csts (Optinal) One time set up and sftware $50,000 Annual sftware fee $8,000 Sftware usage fees $4/interview Abut Us We are highly experienced in tracking research. We are members f ESOMAR, the wrld s premier market research rganizatin and adhere t their guidelines and ethics requirements. Clients Recent A&U and Tracking research clients include eharmny, J. Crew, Madewell, Cncur, Ace Hardware, Outward Bund, Hulihan s, TripIt, Jet, and Angie s List. Brand Amplitude, All Rights Reserved 4
5 Carl Phillips, President Carl is an experienced market researcher with deep expertise in brand strategy and brand measurement issues. Her experience spans leading agencies including Le Burnett, Y&R, JWT and Mullen, as well as in-huse rles at Whirlpl and AtMadisn.cm. Since 2003, Carl has served as Adjunct Prfessr, Marketing at University f Ntre Dame, Mendza Cllege f Business. Judy Hpelain, Partner Judy is a strategic marketing executive wh has held leadership rles in multichannel specialty retail and has ver 20 years f hands-n cnsulting experience helping psitin cmpanies fr market-place success. She was a member f the leadership team at The Bstn Cnsulting Grup, Accenture, Prphet Brand Strategy, Patagnia and Illuminatins. She is n the Marketing faculty f the Haas Schl f Business at University f Califrnia, Berkeley. Martin Predd, Research Directr Marty has extensive qualitative and quantitative market research as a result f ver 8 years with Brand Amplitude. He leads all engagements invlving surveys, nline fcus grups and quantitative design and analysis and is an expert fcus grup mderatr. Brand Amplitude, All Rights Reserved 5
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