Page 102 - The EDIT | Q1 2017

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Thoughtleader
Purely relying on success measures of short-term execution driven metrics is a recipe for long-term disaster. We have all experienced, sudden requests to understand the cost impact of going off air because no significant shift in quarterly results were observed.
1 Les Binet and Peter Field, authors of The Long and Short of it, advise that, based on evidence, there needs to be a balanced view of long term and short term metrics. They are clear that short-term metrics do not necessarily predict long-term success and vice versa. Although there are no long-term business effects without short-term effects, the reverse is not true: long-term effects are not just the accumulation of short-term effects.
2 A recent P&G announcement echoes this view, the company announced in their first quarter earnings report of 2016 plans to optimise their £18bn of promotional investments — a figure twice that
of their advertising budgets. Some of the ways identified were to streamline price off promotions and reconsider sampling investments. The reasons cited were that price promotions had little impact on the longer-term growth. Sampling, on the other hand, could be considered in premium and higher brand loyalty categories where modest investments
could result in a lifetime benefit of acquiring new consumers.
Binet and Field also suggest that product-led, rational incentives show the most short-term success, while emotive brand based storytelling drives growth over time.
3 Dove’s strategy to use compelling content through thought-provoking creatives — Sketches (April 2013), Patches (April 2014), Choose Beautifully
(2015) — is an excellent example of Masterbrand strategy. Not only were the creatives powerful, but also a differentiated channel strategy was used. Emotional advertising was aired primarily on digital channels to create connections and conversation while category communications were aired on
mass media to drive reach. Following this shift in Masterbrand strategy, market share where branding campaign was highly visible, accelerated, by 6.5% compared to 3.7% than in markets with low visibility.
To simplify, a framework such as below would help both brand teams and media planners to define, identify and evaluate their metrics in a holistic manner both from a long term and short term perspectives.
Holistic view to measure long term and short term marketing & performance goals through Media
PERFORMANCE
BUSINESS
Direct Response
Leads/Footfalls Installs Samples
Volume Growth
Monthly Market Share
Value Growth Category Penetration Repurchase
Price Elasticity Annual Market Share Share Price
MARKETING
BRAND
Positive Mentions
# of followers WOM
Spontaneous Ad/Brand Awareness
Prompted Awareness Consideration/Preference
Brand Salience
Purchase Intent Retail Search KOL Mentions Shares+Likes
Brand Preference/Affinity
Reputation Value Loyalty Repertoire
MEDIA/ CAMPAIGN
AWARENESS ENGAGEMENT
Reach Unique Views
% of Reach Impressions GRPS
SOV
CPC CPM CPV
CTR
Views (Site/Video/Display) Bounce Rate
Signups
ROAS
Ratings & Review Score Cost per app Install Post click/Post view Traffic
Average session Duration
% Positive Mentions Click Rate
Bounce Rate
Average View Duration
Retention Rate
Social Interactions with given Tweet
Cumulative Views/Reach
Video Completion Views (Site/Video/Display
THE EDIT ISSUE 05 | Q1 2017
BUILDING REINFORCING IMPACTING ACTIVATING
LONG TERM SHORT TERM