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Sis thu 0900 gian fulgoni

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Sis thu 0900 gian fulgoni

  1. 1. Online Lessons Learned: From Search to Branding Advertising in CPG<br />Search Insider Summit 2011<br />
  2. 2. Promotion dominates CPG marketing spending today with much of it translating into temporary price reductions and coupons communicated via print<br />Source: SAP<br />Internet Accounts for ~5% of CPG Marketing Dollars <br />Consumer Promotion<br />Media / TV<br />Trade Promotion<br />
  3. 3. The Digital Shelf: comScore study reveals searchers are extremely attractive to CPG marketers<br />From a comScore study conducted for P&G and Yahoo:<br />No. of people who used search to look for information on CPG products <br />Food Products: 44 million households<br />Baby Products: 16 million<br />Personal Care :10 million<br />Household Products: 2 million<br />CPG searchers have very attractive demos:<br />More likely to be younger, affluent and female<br />Searchers are less price sensitive and can be influenced to switch brands based on factors other then price<br />
  4. 4. Search generates higher offline sales lift than display advertising, but combined the synergy provides an even greater lift<br />Incremental Lift in Retailers’ Offline Sales per (000) Exposed<br />Source: comScore Ad Effectiveness Solutions<br />+119%<br />
  5. 5. For multi-channel retailers, the higher reach of display ads often helps lift total offline sales more than does search. But, synergy gains can be obtained by using display overlaid on a search campaign<br />Source: comScore Ad Effectiveness Solutions<br /><ul><li>The overall number of people reached by display ads is typically much higher than search
  6. 6. As a result, even though the sales lift among those exposedto a search ad is higher, the total dollar salesgained from display ads is often larger than search due to the smaller lift acting on a larger base</li></ul>% of Households Reached<br />Incremental Impact on Offline Sales per (000) Exposed<br />Total Sales Volume Lift Index<br />198<br />+11%<br />Note: 0 equals par in above chart.<br />
  7. 7. comScore Studies Have Shown that Online Display Advertising Can Effectively LiftOffline Sales<br />The median offline sales lift generated by online advertising among exposed consumers is +21%, and 83% of campaigns showed a positive sales lift<br />Retail Sales Impact of Online Advertising for CPG Brands<br />83% of campaigns showed a positive <br />sales lift<br /> Percent Lift in Retail ($) Sales<br />Median $ lift: 21%<br />Offline Sales Effectiveness Studies<br />Source: comScore AdEffx Offline Sales Lift Norms for CPG, March 2011<br />Note: Retail sales is measured by linking the comScore panel of 1 million U.S. Internet users to their retailer loyalty card data from dunnhumby, which provides a measure of the panelist’s in-store buying activity.<br />
  8. 8. The Short-term Offline Sales Lift from Online Advertising Matches Longer-term TV Impact<br />Offline Sales Impact of Advertising for CPG Brands: TV Versus Internet<br />comScoretests conducted over a three-month period; assumes 40% HH Internet reach<br />BehaviorScantests conducted over a one-year period.<br />TV Internet <br />(BehaviorScan)<br />(comScore/dunnhumby)<br />Hypothesis 1: More precise targeting on the Internet allows more impressions to be delivered against target audience in a given period of time<br />Hypothesis 2: Online display ads include more messages about price and promotion than TV ads, which tend to be strictly focused on brand building <br />
  9. 9. Purchase-Based Targeting Has Been Shown To Drive Higher Lifts In In-store Sales Than Campaigns That Didn’t Leverage This Type of Targeting<br />Median Offline Sales Lift in 3-Months from Online Advertising for CPG Brands<br />*Source: comScore AdEffx Offline Sales Lift Norms for CPG, March 2011<br />Non-purchased based targeting includes, but is not limited to, the following types of buys: contextual, audience, run of site//run of network, etc. **Source: comScore Audience Advantage, which leverages sophisticated predictive targeting algorithms that are created using anonymous panel and census data sources; targeting was deployed on the Microsoft Network sites.<br />Note: Retail sales is measured by linking the comScore panel of 1 million U.S. Internet users to their retailer loyalty card data from dunnhumby, which provides a measure of the panelist’s in-store buying activity.<br />
  10. 10. Price and Promotion Elements Are Used at A Much Higher Rate in Digital Display Than in TV<br />Percent of Digital Display Ads vs. Television Ads Containing Key Strategic Elements*<br />Source: comScore ARS Test Databases; Cases are balanced by category (n=100 for digital display ads, n=3,681 for television ads) <br />
  11. 11. Inclusion Of Promotion / Price Incentives In Online Ads Helps Lift Offline Sales <br />Percent Lift in In-Store Sales for CPG Brands Among Households Exposed to Display Advertising<br />Source: comScore ARS-dunnhumby Case Study of Major CPG Brands(Blinded, n=13)<br />
  12. 12. Video Holds the Key to Capturing Branding Dollars<br />
  13. 13. Online Viewing of Video in February 2011 Reached 83% of Online Users <br />88 million Americans will watch <br />an online video today!<br />Source: comScore Video Metrix, February 2011<br />
  14. 14. Driven by Rapid Growth, Time Spent Viewing Online Video is Now Equivalent to 8% of TV Viewing<br />+2% vs. YA<br />+15% vs. YA<br />Source: Nielsen for TV. comScore for Online Video<br />
  15. 15. Rapid Growth in Long-form TV Programming Online Over Past Year<br />Yearly growth in videos viewed on long-form TV programming sites<br />Source: comScore Video Metrix, February 2011 vs. February 2010<br />Videos per Viewer<br />Videos Viewed<br />71%<br />105%<br />increase<br />increase<br />Ad loads are in the process of being <br />increased to match TV levels<br />
  16. 16. Brands Trying to Reach their Target with TV Alone Hit A Plateau of Diminishing Returns<br />Total Reach and Effective Reach for a TV Campaign as a Function of Cost<br />Typically 30%+ of Target Audience is not Effectively reached<br />
  17. 17. Simulation Using Single Source TV / Internet Data: Adding Branding Advertising With Online Video Builds Reach with Identical Investment<br />Impact of a 90/10 Budget Allocation <br />
  18. 18. Summary Thoughts for CPG: Digital Offers Many Advantages<br />Search is an important component of consumers’ CPG decision making <br />Display ads are an effective, more cost efficient and higher reach alternative to print for communicating price and promotion incentives<br />Rich media and video hold the key to more powerful online branding campaigns<br />An integrated campaign that involves search, display, video and TV is very powerful:<br />Search for high sales lift<br />Display for high reach communication of price incentives<br />Combination of TV and video for cost effective reach and branding <br />

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