This document outlines a nine-step path to marketing transformation through data-driven optimization of advertising spending. It discusses how leading companies are now using real sales data to optimize target audiences, creative messaging, media buying, and frequencies. This approach focuses on continually testing and improving campaigns to maximize ROI. The document also notes that TV continues to have a strong sales lift when combined with digital advertising.

1. The
Ninefold
Path
to
Marke2ng
Transforma2on
Bill
Harvey
March
3,
2015

2. 2
Confiden'al
• Sophis2cated
The
Good
News
The
Bad
News
• Fear
for
job
• TV
Share
might
shrink
The
Solu2on
• Prove
to
client
that
you
caused
his/her
sales
to
go
up
More
Good
News
• That
proof
is
now
easily
available
• Can
be
bundled
into
buys
• Silos
• Herd
mentality
• Nimble
The
State
of
the
Industry

3. 3
Confiden'al
2007-­‐2015
Learnings
from
Real-­‐Data
Singlesource
§ ROI
on
adver,sing
can
be
doubled
and
tripled
§ Within
months
one
can
change
crea,ve
that
is
not
selling
§ At
same
price
one
can
buy
media
that
over-­‐delivers
the
people
who
are
buying
in
response
to
current
crea,ve
28%
233%
25%
81%
25%
35%
10%
33%
27%
0%
50%
100%
150%
200%
250%
Woodbridge
Blackbox
KraW
1
KraW
2
Mars
1
Mars
2
Mediavest
Low
Mediavest
High
Rx
X
Sales
Li?

4. 4
Confiden'al
Note: Penetration calculated based on buyers / total group (including non-buyers) and is reported at the brand-level
TV
Sales
LiW
Stronger
Than
Digital
§ Households
exposed
to
both
TV
and
Digital
have
the
highest
sales
li?,
per
TRA
with
the
largest
crossmedia
sample
1.6%
2.6%
10.6%
7.7%
3.5%
12.4%
9.1%
3.8%
0%
2%
4%
6%
8%
10%
12%
14%
Sales
UpliW
(All
Exposed
HHs)
Penetra2on
Sales
UpliW
(Buying
HHs)
Digital
Only
(54k
HHs)
TV
Only
(274k
HHs)
Both
TV
&
Digital
(84k
HHs)
• Note
the
rela,vely
low
effects
of
Digital-­‐Only

5. 5
Confiden'al
The
Failed
Way
to
Buy
Media
§ Sex-­‐Age
CPM
§ Sprinkle
of
fusion
§ Sex-­‐Age
Reach
Op,miza,on
§ Rota,ons
§ Gut
highrated
component
§ Sprinkle
of
integra,on/sponsorship
§ MMM
“low
ROI”
à
Change
CMOs
and
move
$
out
of
TV
into
digital

6. 6
Confiden'al
The
Way
that
Leaders
Now
Use
§ Real-­‐Data
Singlesource
Decision
making
§ Know
by
sales
proof:
§ Right
Purchaser
Target
§ Right
Crea,ve
§ Right
Frequency
§ Right
Media
§ A/B
Tes,ng
within
Digital
§ Op,miza,on
within
TV,
and
within
Digital
§ Increasingly
automate

7. 7
Confiden'al
Where
It
Goes
Next
§ ROI
Op,miza,on
within
Crossmedia
§ A/B
Tes,ng
within
Crossmedia
§ Fully
Automated
except
for
premium/package
nego,a,on
§ More
Integra,on/Custom
Content/Cause

8. 8
Confiden'al
The
Ninefold
Path
Has
Definite
Sequence
1. Set
Size
&
Mix
of
Budget
based
on
Op,mal
ROI
Frequency
and
Con,nuity
–
Roll
Out
Gradually
if
necessary
2. Iden,fy
and
Use
ROI
Li?-­‐Maximizing
Purchaser
Target
3. Iden,fy
and
Use
ROI
Li?-­‐Maximizing
Crea,ve
4. Op,mize
Purchaser
Target
R/F
Media
5. Leverage
Growth
Geos
6. Use
Feedback
Loop
Crea,ve
Freshening
–
Understand
crea,ve
in
depth
for
first
,me,
by
metatagging
7. Use
Integra,on/Becoming
The
Program
8. Use
Fast
Con,nuous
Media/Crea,ve
Reop,miza,on
9. Use
Full
Automa,on
except
for
the
Crea,vity

9. 9
Confiden'al
Areas
of
Opportunity
for
ALL
Detergent
Hy-­‐Ops
Markets
Hy-­‐Ops
Zones
Hy-­‐Ops
Zips

10. 10
Confiden'al
Metatagging
Penetrates
the
Mystery
of
Crea2ve
The
R
Square
(frac,on
of
variance
in
ra,ngs
accounted
for,
where
1=perfect)
was
highest
for
Values
DTags
in
concert
with
average
network
ra,ngs
–
in
prac,ce
all
DTags
are
used
together
causing
an
even
higher
R
Squared
.61191
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Plus
network
average
prime2me
ra2ng
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
Pgm.
Descriptor
DTags
Feelings
&
Emos
DTags
Values
DTags
R
Square
R
Square
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