Padilla Beyond Clips Clicks And Hits 091709

September 17, 2009

Agenda
Introductions And Level Setting
Why Measurement Is Difficult
The Importance Of Measurement
Common Methodologies
Five Fundamentals Of Measurement
Case Study Examples
Conclusion/Questions
Beyond Clips, Clicks & Hits
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The State Of Affairs
Anything that costs money must be justified
Most organizations don’t know how to measure the value, impact, effects and relative return on communication efforts
As a result, many resort to counting what they can count
3

Common Questions We Get
How do I calculate the ROI of marketing and communications?
How do I weigh individual elements in the marketing mix?
Can I tie publicity to sales or a stock price?
What have you done for me lately?
4

First, Some Simple Math
Marketing
≠
Marketing Communications
≠
Integrated Communications
≠
Tactics
5

The Basic Hierarchy
Marketing
Marketing Communications
Collateral
Seminars & Events
Media Relations
Public Relations
Perception Research
Crisis / Critical Issues
Advertising
Publicity
Direct Marketing
Interactive
Social Media
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Finance
Investor Relations
Collateral
Investor Events
Media Relations
Public Relations
Perception Research
Crisis / Critical Issues

Together They Help Organizations Reach The Audiences Important To Their Success
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Customers
Industry
Associations
Shareholders
Media
Your company
Employees
Channel Partners
Standards Bodies
Suppliers and
Partners
Industry
Analysts

Why Measure? Because The Results Help:
Prioritize work
Justify the spend
Refine a program
Move from anecdotal to factual
Shift from “reactive” to “proactive” mode
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The Value Of Measurement
Prove that you met objectives
Benchmark/track performance
Gain competitive advantage
“Move the needle”
Sales?
Awareness?
Response – Trial, evaluation, adoption
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Why Is It So Difficult?
It takes time
It takes money
We’re dealing with human behavior
External factors
There are no 1:1 correlations
Integrated programs
It’s viewed as justification rather than a value-add
Distinguishing between “value” and “ROI”
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Determining Value
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Monetary
VALUE
Utility
Reputation

EVERYTHING CAN BE MEASURED!!!
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You Need To Determine…
How much should I put into it?
Do I know the vital metrics (for finance, operations, sales, marketing, etc.)?
Can you act on the data?
What’s my time frame?
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IT’S A JUNGLE OUT THERE
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The “HIPPO” Methodology
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Based on the Highest Paid Person’s Objective

The “Penguin” Methodology
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Each tactic measured the same way

The “Monkey-See-Monkey-Count” Methodology
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Counting … just because you can

The “T-Rex” Methodology
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So big that it consumes your entire budget

Five Fundamentals Of Measuring Programs
Start with research
Set measurable objectives
Only measure what’s important
Use the right tools
Measure continuously
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FUNDAMENTAL #1
START WITH RESEARCH
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Numerous Research Options
Quick surveys and polls
Omnibus surveys
One-on-one, in-depth interviews
Focus groups (traditional or online)
Advertising analysis
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Intercepts/on-the-spot surveys
Media monitoring
Social media monitoring
Competitive analysis
Media content analysis

FUNDAMENTAL #2
SET MEASURABLE OBJECTIVES
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Tips To Developing Measurable Objectives
Objectives must:
Address a specific outcome
Designate the specific target audience
Specify a specific level of attainment
Identify a specific timeframe
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Example: Business Objective #1
Generate $25 million in revenue from X product line
Sales Objective: Improve win-ratio by 40 percent and shorten sales cycle by 20 percent
Marketing Communication Objective: Increase qualified sales leads by 20 percent over 2008
Product Marketing Objective: Identify three to five possible line extensions based on feedback and use of initial launch model
Financial Communication Objective: Increase institutional ownership by 10 percent
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Example: Business Objective #2
Improve customer preference of brand
Marketing Objective: By 4Q09, achieve 55 percent brand awareness among 25- to 40-year-old men in the U.S. by increasing awareness by 10 percent
Financial Communication Objective: Increase number of analysts following the company
Communication Objective: Maintain no. 1 share-of-voice position in tier one trade publications compared to competitors A, B and C
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FUNDAMENTAL #3
ONLY MEASURE WHAT’S IMPORTANT
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Metrics – The Three O’s
Outputs: Execution of program elements
All work measured on budget, timing and message alignment
Are we getting the work done efficiently and effectively?
Outtakes: The net impression
Strive for majority of deliverables
Media coverage, circulation, event attendance, distribution, search rankings
Are we reaching the right people?
Outcomes: The behavior that follows
Tied to business goals
Sales increase, lead generation, unaided awareness, incoming versus outgoing media calls
Programs, not tactics
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Audience – Specific Outputs, Outtakes And Outcomes
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FUNDAMENTAL #4
USE THE RIGHT TOOLS
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Sample Measurement Tools
Radian6
LexisNexis
Google News
Google Analytics
Compete.com
Clipping Services
Search.Twitter.com
BoardLeader.com
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BlogPulse
Technorati
Survey Monkey
Gallup
BizShark.com
Alexa.com
D&B Database
BackType.com

FUNDAMENTAL #5
MEASURE CONTINUOUSLY
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Benchmark, Track, Analyze And Act
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Review last year’s metrics; set program objectives
Monitor and track progress
Feed evaluation results into planning process
Leverage observable changes

In Closing
Everything can be measured
Don’t fall into the ROI trap
The value of measuring tactics is limited
Consider measurement a process … not a point in time
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Thank You