Are Your Ad Campaigns Really Working?
By Rene Henc, CEO, response:now
According to a recent CMO Council study, 90 percent of marketers surveyed indicated that responsiveness is paramount to providing an exceptional customer experience. However, only 16 percent of marketers feel their organizations are extremely responsive to consumers, with the majority reporting that their organizations fail to adjust products, packaging, services and experiences based on real-time consumer requests and feedback.
The study also identified the top issues holding back marketers from improving responsiveness. These include lacking the budget to move forward on more frequent updates to physical touchpoints, not having the data or intelligence to make changes based on customer reactions and behaviors, functional teams separating marketing from product and packaging decisions, and vendors that are unable to meet expedited timelines.
One way to gain the intelligence to swiftly and accurately pivot to customer reactions and behaviors is to measure the effectiveness of the campaign with an automated system. While the typical ways of measuring effectiveness—cost-per-click (CPC) and click-through-rate (CTR)—are good for determining who saw your digital ad and when, they don’t measure a crucial metric: recall. Do people remember your ad, brand and company?
Things like brand perception, equity and recall cannot be measured so easily. Google Analytics comes up short when you’re wondering where your brand sits in the minds of consumers and how this compares with the way they think and feel about your competitors.
Campaign effectiveness measurement is the only way to monitor all of the key metrics involved in campaign success. This is how you build and adjust your ads and invest in what works.
With campaign effectiveness measurement, you can measure the effectiveness of your past or ongoing campaigns to discover:
- Recall: How well your target audience can recall a campaign and its components
- Persuasion potential: Whether the campaign motivates the target audience to take the desired action (usually to purchase your products or services)
- Cost-efficiency: (linked with persuasion potential) Whether the campaign provides an attractive ROI
- Message delivery: What the target audience hears, understands and retains from the campaign and whether messages are trusted
- Impact on product, service or brand perception: How well the campaign positions the product, service or brand in the mind of the target audience
There are three campaign effectiveness measurement research tools, with various options to help you carry out quantitative market research on your marketing campaigns.
1. Post-test an advertising campaign: Measure the impact of an advertising campaign and how it compares to competitors' campaigns.
2. Pre- and post-test an advertising campaign: Test different variations of text, imagery, format or anything else against your target market. Run the campaign, and then measure the success of your ad campaign and compare it with competitors' campaigns.
3. Continuous monitoring: Measure how successful your advertising campaigns are in the long term and how they compare with competitors' campaigns (brand and ad tracking).
For all three tools, the number of respondents, structure and the questionnaire itself can be tailored to your requirements. You can also choose the data collection technique (typically online or multi-mode—a combination of online and face-to-face or telephone interviews).
Advanced measurement means just that: advanced. There are many digital performance measurement tools out there, and many organizations are running what could be called data-driven campaigns. It’s important to understand that there is another side to this coin, and there are many other ways to measure and understand why your campaigns succeed or fail.
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Rene Henc is the leader of the response:now team. As CEO, he oversees both strategy and product development, including a special focus on proprietary research methods.
Response:now is an automated market research service that provides high-quality market research with less time and cost involved than traditional market research firms. Measuring campaign effectiveness is one of the company’s offerings to improve campaign results. The company has executed successful market research projects for Google, Mastercard, McCann, Marks & Spencer and more global brands.