Audio Advertisement - Media Effectiveness Study - June 2011

Confidential & Proprietary • Copyright © 2011 The Nielsen Company

Audio Advertising – Medium Effectiveness Study

Presented by The Nielsen Company

To Vritti Solutions Ltd

Date June 14th 2011

June 24, 2011 Confidential & Proprietary

Copyright © 2011 The Nielsen CompanyVritti Audio Advertising Report

Contents

• Background

• Advertising Media at bus depot

• Brands recalled

• Audio Quality

• Travel habits

• Demographics

• Summary



Background



Background

• Vritti Solutions Ltd. offers innovative advertising solutions that help companies market

and advertise their products and services. One such solution Vritti offers is audio

advertising.

• Vritti Solutions plays audio advertisements along with the announcement on bus

schedules at various bus depots across Maharashtra

• The company needs a tool to convince potential advertisers of

- The effectiveness of this medium

- Needs to compare this medium with other outdoor media at bus depots

• Vritti Solutions has approached the Nielsen Company to undertake a research to

provide them specific insights as desired

• This document details the findings of the research conducted in bus depots in western

Maharashtra



Research Objective

The research objective for this study is:-

• To evaluate the effectiveness of audio advertising / announcements as a medium,

compared to other outdoor media at bus depots in western Maharashtra



Research Approach

• This study offers an opportunity to compare diverse media at a given location i.e. ST

bus stands / depots.

• We conducted a face to face survey among passengers at each of the study Bus

depots.

• Passengers awaiting their buses were interviewed. Passengers were selected in a

‘random’ manner and were spread across all bus platforms

• We ensured that all time bands in the day were represented.

• Basic information collected was on –

– Recall of various media present at the bus stand

– Recall of brands advertised on these media

– Utility / Clarity / Sound Volume of Announcements



Target Audience

8175Wai

539500Total

109100Nashik

8075Narayangaon

7975Sangli

8075Ichalkaranji

110100Swargate

SS - AchievedSS - ProposedBus Depots

Fieldwork Locations

• Fieldwork conducted between 12 to 25 May 2011 across all locations and at

each location was spread over two days.

• Respondents present at the respective bus depots

• Male/ Female

• Age – 18-60 years



Sample distribution across the day

0

2

4

6

8

10

12

14

6 AM - 7 AM

7AM - 8AM

8AM - 9AM

9AM - 10AM

10AM -

11AM

11AM -

12PM

12PM - 1 PM

1PM - 2 PM

2 PM - 3 PM

3 PM - 4 PM

4 PM - 5 PM

5 PM - 6 PM

6 PM - 7 PM

7 PM - 8 PM

8 PM - 9 PM

9 PM - 10

PM

Total Swargate Ichalkaranji Sangli Narayangaon Wai Nashik

• Field work was spread across the working hours in the day – from early

morning to late night.

• FW represented the morning peak hours and evening peak hours as well as

the afternoon lull hours



Advertising Media at

Bus Depots



Advertising Media Recalled

57

100

17

47

2541

62

2133

2

58

36

2

74

23

9999 98

Outdoor Hoardings Bus Panels Audio Advertising Digital Screens

TOM SPONT Aided Unaided Total Total Recall

Base: All Respondents (n:539)

• Total recall for audio advertising / announcements is on par with the more established

conventional outdoor media like outdoor hoardings and bus panels – 98%.

• Lower unaided recall for audio advertisement / announcements, could be because

respondents may not be considering audio advertising / announcements as a medium

because these are coupled with announcements.

• Older age travelers likely to be more tuned to the audio advertising / announcements

medium.

• Some variation across SECs in medium recall

3343

26 34

54

28

49

4

55

0

4

2

62 4766 66

6146

6648

31

5

49

3339

54

32

50

100 100 98 98

3631

9998 96 97

Audio

Advertising

SEC A SEC B SEC C SEC D SEC E 18 to 30 30+


AGE BandsSEC

28** 416 12374*14920671*

•Indicates small base

•** Indicates very small base



Advertising Media – Total Recall – By Location

100 100

16

41

82

99 99 100 100 100 92

989610099

100

10096

9999100 99

97

6

2314

98

Total (n:539) Swargate (n:110) Ichalkaranji(n:80) Sangli(n:79) Narayangaon(n:80) Wai(n:81) Nashik (n:109)

Outdoor Hoardings/ Billboards Bus Panels Digital Screens Audio Advertising

Base: All Respondents at each Bus Depot

• At all the bus depots, the total recall of audio advertising / announcements as a medium is

comparable with other conventional media like outdoor hoardings and bus panels

• Total recall of Digital screens is very low at all bus depots with the exception of Nashik.



Audio advertising / announcements – Total Recall

• Nashik had the least total recall for audio advertising / announcements at 92%.

• Overall 98% respondents recalled audio advertising / announcements as a medium

at Total level.

• A Gender wise break up for Audio Advertising-Total Recall, shows an equal division

between Males and Females

3341

47

30 27

10

29

67

6257 53

51

6470

72

65

27

46

4246

3630

19

32

71

100 10092

98 98

36

49

9998 99 100

Tot

al (5

39)

Swar

gate

(110

)

Icha

lkar

an(8

0)ji

Sang

li (7

9)Nar

ayan

gaon

(80)

Wai

(81)

Nas

hik

(109

)

Mal

e (4

84)

Fem

ale

(55)


AGE BandsSEC



Brands recalled



Number of brands recalled

0.2

2.22.1

1.2

0.0

1.0

2.0

3.0

4.0

Outdoor

Hoardings

Bus Panels Digital Screens Audio

Advertising

Average Number of Brands recalled

• On an average 2.2 brands are recalled on audio advertising / announcements which is the same as the average of 2.1

brands recalled for outdoor hoardings

• Understandably, the number of brands recalled is marginally higher among frequent travelers for all the media.

• The highest number of brands recalled by a single respondent is from Audio Advertising medium

0.2

2.42.1

1.1

0.3

2.32.1

1.0

0.2

1.8

2.2

1.4

0.0

1.0

2.0

3.0

4.0

Outdoor

Hoardings

Bus Panels Digital Audio

Up to Once a week Up to Once in a month Less Often

6254

Highest no of brands

recalled

528124532534

Base: Respondents who

recall respective medium

Audio AdvertisingDigital ScreensBus PanelsOutdoor Hoardings



Top recalled brands on Audio Advertising

NANANA34NA2012Uninor

017NA30NA1013Maxx mobile

NA31NA32NA2216Vikram tea

211159293617Agriculture department

14365322101825Mahatma Phule abhiyan

28586946303844Ghadi powder

37729048686563Kirti gold

10081807979109528

Base: Those respondents recalling

audio advertising / announcements

as a medium

NashikWaiNarayangaonSangliIchalkaranjiSwargateTotal

All figures in Percentage

• Kirti Gold is the most recalled brand across all Bus Depots, followed by Ghadi Powder

• Recall of Kirti Gold, Ghadi Powder and Mahatma Phule Abhiyan is highest in

Narayangaon depot.

• Recall of all the brands is very low in Nashik as compared to other depots

• Recall of Vikram tea, Maxx Mobile and Uninor is primarily from Sangli

NA : as per Information given by client these Ads were not played at the respective Bus Depots



Audio Quality



Audio Announcement - Usefulness

43

2838 40

51

83

56

70

62 5946

14

1 1 0 1 4 1

Swargate (n:110) Ichalkaranji(n:80) Sangli(n:79) Narayangaon(n:80) Wai(n:81) Nashik(n:109)

Very Useful Somewhat Useful Cannot Say Not Very Useful Not at all Useful

Somewhat

Useful

49%

Very

Useful

49%

Cannot

say

1%

2.3 Brands

Recalled

2.0 Brands

Recalled

Base: All Respondents at each Bus DepotBase: All Respondents (n:539)

Across all Bus Depots a majority of respondents found audio announcements as a

medium either “Very Useful” or “Somewhat Useful”

Particularly in Nashik, significantly high number of respondents found the audio

announcements “very Useful”

Top 2 Box - Percentages across Locations

99% 98% 100% 99% 97% 97%



Audio Announcement - Clarity

3623

39 3541

55

64

68

61 64 54

42

06

0 1 2 20 4 0 0 2 0


Very Clear Somewhat Clear Not sure Not very Clear Extremely Unclear

1%

Very Clear

39%

Somewha

t Clear

58%

Extremely

Unclear

0%

Not sure

2%

1.9 Brands

Recalled

2.6 Brands

Recalled

Base: All Respondents at each Bus Depot

Most of the respondents find the clarity of audio announcements “very clear” or

“Somewhat clear”.

Vritti needs to focus on Audio Clarity – as the benefits in brand recall are very

apparent.


Top 2 Box - Percentages across Locations

100% 91% 100% 99% 95% 97%



Audio Announcement - Volume

519

3 1 4

52

61

60

59 6551

19

3519

38 3444

28

13


Very Loud A little too loud Just Ideal A little soft Too soft to be heard

Little too

Loud

Very Loud

15%

Just Ideal

33%

Little Soft

1%Too soft

1.2 Brands

Recalled

2.0 Brands

Recalled

2.8

Brands

Recalled

Base: All Respondents at each Bus DepotBase: All Respondents (n:539)

Overall, 66% of the respondents found the volume of audio advertising /

announcements to be “Very Loud” or a “Little too Loud”

The volume of the audio advertising / announcements needs to be reduced

specifically in Nashik and Ichalkaranji

One – Third of the total respondents across Bus Depots were of the opinion that

the volume used for audio advertising / announcements was “Just Ideal”

The average number of brands recalled is as high as 2.8 among the respondents who

think the volume was “just ideal”

The respondents who call the volume to be “just Ideal” mention it to be “Very clear”



Travel Habits



Frequency of visiting Bus Depots

12

26

24

36

37

26

6

20

14

1

3

8

23

14

20

5

6

14

21

26

21

29

22

18

38

13

15

28

21

23

0

1

5

1

10

12

Swargate (n:110)

Ichalkaranji (n:80)

Sangli (n:79)

Narayangaon (n:80)

Wai (n:81)

Nashik (n:109)

Everyday 1 - 3 times a week

1 - 3 times a month Upto once in 3 months

Once in 6 months to 1 year Very rarely

*Figures in %

27%

8%

14%22%

24%

5%

Overall, one among four respondents visit the bus depots on daily basis

Wai and Narayangaon have higher proportion of passengers travelling on daily basis.

Swargate – 38% of the respondents travel infrequently.

Base: Total Respondents at respective bus depots




Activities – While at Bus Depot

39 41

2832 33

11

78

15 17

8

1510

7

27

14 12

28

811

22

8

5157

50

58

70 70

1010 11 10 1013 12

6

0

20

40

60

80

100

Total (n:539) Swargate

(n:110)

Ichalkaranji

(n:80)

Sangli (n:79) Narayangaon

(n:80)

Wai (n:81) Nashik (n:109)

Reading Listening to the radio Talking with co-passengers Resting Talking on the mobile phone

Most respondents Read or Rest while waiting at bus depot. At overall level, 15% of

the respondents listen to radio while waiting at bus depot.

Among those who listen to radio while waiting at bus depot, 94% listen to it using

mobile phone

Majority of the respondents at Nashik bus depot spend their time reading.

Base: Total Respondents at each Bus Depot



Demographics



Demographics

14%

38%28%

14%6%

SEC A SEC B SEC C

SEC D SEC E

77%

15%6% 2%

18-30 years 30-40 years

40-50 years 50-60 years


•Younger age group respondents formed higher proportion of sample

• Respondents of all Socio-Economic Class are interviewed with higher proportion of

Higher SEC



How is SEC derived?

The SEC of a household is derived from the qualification and occupation of the Chief Wage Earner

of the Household. The SEC Grid consists of Occupation in rows, with the Qualification in columns.

Each combination of Occupation and Qualification indicates a certain SEC of the household.

A1A1A2B1B1B1B1B112

Officers / Executives –

Middle / Senior

A2A2B1B2CCCC11Officers / Executives – Junior

A2B1B2CCDDD10Supervisory Level

B1B1B2CDDDD9Clerical / Salesman

A1A2B1B2DDDD8Self Employed Professional

A1A1A1A2A2B1B1B1710 +

A1A1A2B1B2B2B2C61- 9

Industrialist No.

of employees

A1A2A2B1B2CCD5NoneBusinessmen/

A2A2B1B2CDDD4Shop Owner

B2B2CCDDDE23Petty Trader

B2B2CCDE1E1E22Skilled Worker

DDDDE1E2E2E21Unskilled Worker

Graduate /

Post

Graduate -

Profession

al

Graduate /

Post

Graduate -

General

Some

College

but not

graduate

SSC /

HSC

School

5 to 9

years

School

upto 4

years

Literate

but no

formal

schooli

ng

Illite

rate

EDUCAT

ION

OCCUPATION



Monthly Household Income Distribution

18 21

35

316

5

24

4445

36

53

48

49

36

2726

24

25

34

3520

8 5 4

19

39

10

1 2

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Total Swargate Ichalkaranji Sangli Narayangaon Wai Nashik

Less than 1500 1501 - 5000 5001- 10000 10001-25000 25001 - 55000 Above 55000




Occupation of Chief Wage Earner

3101152Officers/Executives

Middle/Senior

5114374Officers/Executives Junior

561169118Supervisory level

6194143129Clerical / Salesman

2013011Self employed professionals

4230063Businessmen / Industrialists

with no. of employees :- 10+


with no. of employees :- 1-9


with no. of employees : - None

81256958Shop owner

144266101112Petty trader

1919119241516Skilled worker

56381657Unskilled worker

10981807980110539Base: All Respondents

NashikWaiNarayangaonSangliIchalkaranjiSwargateTotal



Frequency of Listening to the Radio

31

24

16

12 11

6

0

5

10

15

20

25

30

35

Everyday 2-3 Times a week Once a week Once a fortnight Less Often Never

Listen to Radio

The percentage of respondents who listen to the radio everyday is the highest at

31%

We see that a lesser percentage of people listen to the radio rarely, with only 6% of

the respondents claiming that they never listen to the radio




Some action points for Vritti

• Vritti need’s to ensure volume of the advertisements at bus depots is “just

right” as this directly correlates with number of brands recalled

– Fewer Ichalkarangi & Sangli respondents find announcements to be Very

Clear

– Ichalkaranji respondents also find announcements to be too loud.- as do

passengers in Nashik

• The proportion of daily travelers is higher at bus depots in smaller cities

like Wai, Narayangaon and Ichalkaranji.

– Is there a time band advertising schedule?

• A high proportion of respondents spend their time resting (doing nothing)

while waiting at bus depot and hence represent the undistracted Target

Audience.



Summary

• Audio advertisement as medium is effective despite being restricted to confines of a bus

depot

• The recall of audio advertising / announcements as a medium is at par with outdoor

hoardings and bus panels at 98%

• On an average 2.2 brands are recalled on audio advertisements. It is comparable with

average number of brands recalled from outdoor hoardings at 2.1

• Virtually everyone (97%) find announcements to be very useful or somewhat useful

• Thus audio advertisements coupled with announcements appears to be an effective

advertising medium

Audio Advertisement - Media Effectiveness Study - June 2011

Documents

Transcript of Audio Advertisement - Media Effectiveness Study - June 2011