Traditional Media's Impact on Search Behavior


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Cross-channel advertising has grown tremendously in recent years as a means to better reach consumers. Television and the internet as well as other channels are used in conjunction to market products. This study attempts to determine the effects of television advertising and its impact on consumer search behavior. More specifically, how search behavior is affected by exposure to television advertising. Actual data over a period of 78 weeks from a large Canadian company is employed. The analysis examines how advertising exposure and expenditure impacts search behavior for the company’s brand.

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  • Number of seaches Canadians conduct every second
  • Online Advertising Spending has seen tremendous growth 3 Billion dollars in 2011
  • One of the big reasons is accountability, it’s obviously not the only reason but marketers are shifting a lot of their dollars into this channel because they can account for ROI. Of course consumer habits have changed but it’s we’re not seeing the big picture
  • So let’s turn our attention to a case study – might be a fairy tale. I’ll leave it up to you.
  • Day 1 – Search Marketing Campaign Started
  • A proposed definition of advertising effectiveness is: the relationship between advertising expenditure and brand sales, the affect of demand by establishing a hierarchy of intermediate effects in its audience - Scholten 1999 The notion of advertising effectiveness is important in our study because it highlights that a change on consumer behavior can be impacted by advertising. It lays the groundwork for explaining that someone can take an action after having viewed an ad
  • Cross- Channel Effects The other important notion in our study is cross-channel effects Integrated Marketing Communications is an important notion. Consumer’s media habits have become extremely fragmented. In the 60’s, 1 60 second spot across the three networks allowed an advertiser to reach 80% of the total population – in order to reach your target market now an advertiser must employ many more channels. Research has shown that employing multiple channels produces greater brand awareness than only utilizing 1 channel Synergies between search behaviour and multiple advertising channels will not be breaking new ground.
  • The well known quote revolves around 1 issue, measurement – given new digital measurement tools we are better able to measure better from offline channels
  • We propose some exciting new research
  • Data Collection: 1 year and a half of data collected Data Collection – Secondary Data: TV, Radio, Online Display, Pay Per Click, Organic Clicks, Online Site Sales, News Articles, Control Data (Wages, salaries and supplementary labor income, personal disposable income, and personal expenditure on consumer goods and services). Broken down by week -80 week period Massive data compiled - many various sources collected and combined Search Impressions on Branded keywords were extrapolated using search engine tools
  • Analysis – the fun part was the Stats! Just like visiting a dentist Time Series Analysis was employed as the preferred way to analyze the data.
  • Talk about significance level – cut off point Each hypothesis tested and elasticity calculated
  • OK, after all that hard work – what did we find?
  • X unit in tens of thousands Results were extremely interesting based on our analysis – we saw a short term lift on brand impressions There largest effects were total marketing impressions & spend as well as online display impressions – the brand lift lasted two weeks as shown above in the impulse response function. Noticed short term lift for up to 9 periods Elasticity greatest during first 3 periods for all media
  • Total Media Impressions-and Spend combined had the largest impact Followed by Online Media Next was Television
  • What does the road ahead hold?
  • The result implies that online advertising engages people more than traditional media does. The fact that a person is already online surfing the web is a plausible explanation. A person exposed to display advertising and that is engaged with the message can much more easily search for related brand information since they are already online
  • marketers must be cognizant of the impact that advertising has on consumer search behavior. The recognition of this change in consumer behavior must be seen as an opportunity to provide additional information to potential customers searching for your brand
  • Promo: Present additional purchase incentives. Customers that are looking for a company’s brand are more likely to be ready to purchase than customers looking for more general keywords. Thus, marketers can present additional offers or even just store location information to help these customers purchase their products. * work example – brand queries convert better with a promotion in place
  • Consistency: marketers must also ensure that messages are consistent across the different advertising channels. If a promotional offer is presented in a television ad, it must be also promoted with the paid search ad. This will ensure an integrated marketing campaign and that the message remains consistent throughout the customer experience - * Superbowl example
  • Involvement with ad Current brand awareness Offline sales not captured Promotions in market/differences by market Existing customers Competitive Noise
  • Traditional Media's Impact on Search Behavior

    1. 1. Traditional Media’s Impact on Search Behavior Nectarios Economakis
    2. 2. What makes people search for your brand?
    3. 3. Traditional Media is ugh…not dead!
    4. 4. Background
    5. 5. 1,234
    6. 6. 98% of Canadians Visited a Search Engine Last Month
    7. 7. * Insert chart pointing up and to the right Online Advertising Spending
    8. 8. Online Advertising Spending
    9. 9. Why?
    10. 11. Case study
    11. 12. Day 1 – Search Campaign Started
    12. 13. Day 7 – Results are Remarkable
    13. 14. Day 14 – All Other Media are Shut Off
    14. 15. Day 21 – Search Results Go Down the Toilet
    15. 16. Literature
    16. 17. Exposure Reception Persuasion Retention Behavior
    17. 19. "I know that half of my advertising doesn't work. The problem is, I don't know which half."  John Wanamaker
    18. 20. New Research
    19. 21. Television Advertising Radio Advertising Online Advertising Total Advertising Consumer Branded Searches
    20. 22. Data Collection
    21. 23. Statistics!
    22. 24. Analysis
    23. 25. Results
    24. 26. Short Term Lift!
    25. 27. What was most significant?
    26. 29. Implications
    27. 30. Online advertising has a pronounced effect on brand searching behavior
    28. 31. Traditional channels’ effect can not be ignored
    29. 32. Opportunity to provide additional information / incentive
    30. 33. Message should remain consistent
    31. 34. Limitations
    32. 36. [email_address] @nectarios
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