Measuring the effectiveness of promotional program

OBJECTIVES

TO UNDERSTAND REASONS FOR MEASURING PROMOTIONAL PROGRAM EFFECTIVENESS

TO KNOW THE VARIOUS MEASURES USED IN ASSESSING PROMOTIONAL PROGRAM EFFECTIVENESS

TO EVALUATE ALTERNATIVE METHODS FOR MEASURING PROMOTIONAL PROGRAM EFFECTIVENESS TO UNDERSTAND THE REQUIREMENTS OF PROPER EFFECTIVENESS RESEARCH

Pros and Cons of measuring effectiveness

Pros:

Avoid costly mistakesEvaluate alternative

strategiesIncreasing the efficiency

of advertising in generalDetermining if objectives

are achieved

Cons:

Cost of measurementDisagreement on what

to testLack of timeObjections of creative

personnelProblems with research

Conducting Research to MeasureAdvertising Effectiveness

What to test: Source factorsMessage variablesMedia strategiesBudget decisions

When to test:Pre-TestingPost Testing

Where to Test: Laboratory tests Field tests

How to test: Testing guideline Appropriate tests

Process of measuring advertising effectiveness

Concept generation and testing

Rough art, copy, and commercial testing

Pretesting of finished ads

Market testing of ads

Concept generation and testing

Conducted early in campaign developmentTo explore the targeted consumers response to a potential

ad or campaign i.e. Focus groups and mall intercepts Limitations:

The results are not quantifiableSample sizes are too small to generalize to larger

populationsGroup influences may bias participants’ responsesConsumers become instant “experts”

Rough art, copy, and commercial testing

Comprehension and reaction tests:Conveying meaning intended by assessing responses

Consumer juries:Uses consumers to evaluate the probable success of an ad

Limitations• Self-appointed expert• Limited evaluation of the number of ads• Halo effect• Specific ad preferences overshadowing objectivity

Problems with current research methods

Requiring two similar measures to ensure reliability

Tests should use the target audience to assess an ad’s effectiveness

Consistency in reliability and validity

Essentials of effective testing

Establish communications objectivesUse a consumer response modelUse both pre-tests and post-testsUse multiple measuresUnderstand and implement proper research

Measuring the Effectiveness of Other IMC Tools

Sales Promotion effectiveness:

Four advertising applications/communication goals: attention, comprehension, persuasion, and purchase

Assessing the attention, cognitive and emotional responses

Measurement of switching and loyalty

Measuring the Effectiveness of Other IMC Tools

Public Relation Effectiveness: evaluation tells management

How to assess what has been achieved through public relations activities

How to measure PR achievements quantitatively

How to judge the quality of PR achievements and activities

Measuring the Effectiveness of Other IMC Tools

Direct Marketing Effectiveness:

For direct marketing programs that do not have an objective of generating an immediate behavioural response, traditional measures of advertising effectiveness can be applied

Measuring the Effectiveness of Other IMC Tools

• Internet Marketing Effectiveness:

Exposure measuresHitsViewersUnique VisitorsClicks (click-through)Click-through rateImpressions/Page views

Thank You