1. FINDING HUMANITY
IN NUMBERS

3. http://www.youtube.com/watch?
v=29JewlGsYx

4. Finding humanity
in numbers

5. http://www.youtube.com/watch?v=29JewlGsYxs

7. 1. Why numbers matter to clients – the human
story
2. Speaking ‘conversational- level’ numbers
3. Seeing the human story in the numbers

8. Inspiring creative solutions
to business problems

9. “We value most highly what we can measure”
John Banham, ex Director General CBI

10. To speak intelligently about how and why advertising works uses
A completely different conceptual language from the language
of business investment. The difficulty the advertising industry
still faces is that advertising creative decisions form the
battleground where the concepts and language games of
capitalism, return on investment, payback, balance sheet, meet
the language of human communication, motivation
and emotional influence
Gary Duckworth 2002

11. “Never mind the share price look
at my lovely mood board”

12. 1. Why numbers matter to clients – the human
story
2. Speaking ‘conversational- level’ numbers
3. Seeing the human story in the numbers

13. ‘Conversation- level’ Numbers
1. Business context
2. Share etc…
3. Profitability

15. Not quite as good to
as it’s always been

16. VW ‘Surprisingly Ordinary Prices’
Spending on advertising to reduce costs elsewhere

17. 90 % of companies’ profits come
from 20% of their brands
Source: Prophet

18. Which brand is most profitable?
? ??

19. Responding to a double
digit decline in sales

20. Comms budget
Gross margin
Payback =
Calculating payback
£1m
40%
£2.5 million =

21. brand
Promotional/
tactical
6
4
12
6
Short term ROI Long term ROI
Source D2D
Revenue ROI
Non food retail
Calculating the value of communications

22. What drives advertising payback?
* Impact is defined as the potential multiplier on profit
Position Factor Impact*
1 Market size 16
2 Creative proposition 10
3 Budget and allocation 2
4 Seasonal costs 1.6
5= Laydown 1.1
5= Media multiplier 1.1
7 Brand lifestage 1.08
8= Quality viewing 1.05
8= Task 1.05
10 Audience 1.04
P Dyson & K Weaver: Advertising’s Greatest Hits. Admap, February 2006

23. 1. Why numbers matter to clients – the human
story
2. Speaking ‘conversational- level’ numbers
3. Seeing the human story in the numbers

24. Audi Channel
How thinking human helped Audi cut costs

25. Population size
of Audi buyers
Population size
of prestige car
buyers

26. http://channel.audi.co.uk/

27. Milkman
How understanding human behaviour helped
save the milkman (for a bit)

28. Milkman only Drifting Cancelling9% 6%
Milk buying in 1990

30. “Turning human
understanding into
business and
social advantage”
Rory Sutherland
Behavioural economics – the start
of a common language?

31. 16%
26%
31%
0%
5%
10%
15%
20%
25%
30%
35%
Emotional Combined Rational
Campaign strategy
Vlargeprofitgains(%reporting)
Emotional ads outperform rational
ones

32. Emotional impact better predicts business
effect than traditional pretest measures
Month Yr
32
2.67
1.67
2.00
2.33
1.78
2.56
2.00
2.33
1.78
2.56
1
2
3
Best 9
Ads
Bottom 9
Ads
Best 9
Ads
Bottom 9
Ads
Best 9
Ads
Bottom 9
Ads
Best 9
Ads
Bottom 9
Ads
Best 9
Ads
Bottom 9
Ads
Emotion‐into‐
Action
Persuasion Established Industry
Cut‐through
Measure Equivalent
Specific
Key Message
On Message
Base: 18 ads for which business effectiveness data is available from the IPA
Brand Linkage

33. Summary:
Finding Humanity in Numbers
1. Why numbers matter to clients – the human
story
2. Speaking ‘conversational- level’ numbers
3. Seeing the human story in the numbers