Digital Retail Media Measurement & Metrics
Digital Retail MediaMeasurement & Metrics
Copyright 2011 Retail Media Insights. All Rights Reserved.
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Bio
John MorganFounder and President
20-year career in media and marketing researchAdvertising, media, retail and technology expertiseFormer VP, Research & Shopper Insights at InStore BroadcastingDesigned media planning systems at Nielsen IMSMedia planner at Hal Riney & Partners
Copyright 2011 Retail Media Insights. All Rights Reserved.
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Presentation Overview
Digital Retail Media DefinedValue Propositions for Consumers, Retailers and AdvertisersDigital Retail Media MeasurementMeasuring Advertising Campaign Effectiveness
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We have learned new ways to interact with media and brands
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What is Digital Retail Media?
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Digital Retail Media Defined
A communications network that uses digital technology to deliver audio, video or audiovisual content to an audience in a retail environment.
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Digital Retail Media Venues
If you come, they will build itBars & RestaurantsSpecialty RetailHair & Nail SalonsHealth ClubsMedical & Dental OfficesTransitVeterinarianGrocery & Convenience Stores
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Digital Retail Media is not TV
Differences from traditional mediaTransient audienceNot the primary focus of attentionDifferences from static OOH mediaVideo and/or audioTime component
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What are the Value Propositions?
Retailers
Advertisers
Consumers
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Value Proposition for Consumers
Entertain, educate and/or informNavigationMoney-saving offersTime-saving offersThe consumer must come firstknow your audience!
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Value Proposition for Retailers
Improve the customer experienceIncrease overall salesSupport and enhance loyalty programsGenerate advertising incomeLearn more about your customers
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Value Proposition for Agencies & Advertisers
Relevant content, contextReceptive audienceAt or near the point-of-purchaseQuantifiable measures of advertising ROI
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Digital Retail Media Measurement
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Measuring Advertising Effectiveness
Late-1800sJohn WanamakerDepartment store ownerConsidered the father of modern advertising
Half the money I spend on advertising is wasted; the trouble is I don't know which half.
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Measuring Advertising Effectiveness
Co-founded in 1936 by the ANA and AAAA
Improve the practice of advertising, marketing and media research in pursuit of more effective marketing and advertising communications.
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ARF 360 Model
ARF Stage
ARF Definition
1: Vehicle Access
Availability of a medium
2: Opportunities-to-See
A count of people exposed to the media vehicle
3: Eyes-On / Ears-On
A count of audiences noticing any advertising within the medium
4: Ad Attentiveness
The degree to which audiences are focused on the advertising
5: Ad Processing
A measure of the information retained by the consumer after ad exposure
6: Impact
A measure of the shift in intentions produced by advertising communication
7: Advertising Response
A measure of consumer response short of sales
8: Brand Access
Product or service availability within a retail environment
9: Sales Response
A measure of purchases in response to advertising
10: Loyalty Response / Lifetime Value
The profitability of sales generated by advertising
Copyright 2011 Retail Media Insights. All Rights Reserved.
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ARF 360 Model
ARF Stage
Metrics
1: Vehicle Access
Audience Count andAttention
2: Opportunities-to-See
3: Eyes-On / Ears-On
4: Ad Attentiveness
Consumer Thoughtsand Intentions
5: Ad Processing
6: Impact
7: Advertising Response
Consumer Behaviors
8: Brand Access
9: Sales Response
10: Loyalty Response / Lifetime Value
Returnon Investment
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ARF 360 Model: Audience Count and Attention
1: Vehicle Access=Venue Traffic
2: Opportunities-to-See=Network Traffic & Dwell
3: Eyes-On / Ears-On=Network Audience
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ARF 360 Model: Measuring Consumer Thoughts and Intentions
SurveysNeuromarketing
4: Ad Attentiveness=Relevance / Ad Recall
5: Ad Processing=Message Recall
6: Impact=Purchase Intent
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ARF 360 Model: Measuring Consumer Behavior
QR code scansInteractionsSales
7: Advertising Response=Brand Engagement
8: Brand Access=Brand Distribution
9: Sales Response=Sales
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ARF 360 Model: Measuring ROI
Loyal customersBrand advocatesPositive return on advertising investment
10: Loyalty Response / Lifetime Value=Campaign ROI
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Measuring Audience Count and Attention
In-houseTraffic, visitors, transactions, membersSyndicatedSimmons, MRI, ScarboroughCustomConsumer surveys, cameras, observationThird-party auditing required
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Measuring Advertising Effectiveness
Present dayErwin EphronAdvertising Research Federation Lifetime Achievement Award recipientMarket Research Council Hall of Fame member
The biggest cost of advertising is ads that do not work.
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Measuring Consumer Thoughts and Intentions
Recall and Purchase IntentSurveysRelatively inexpensiveRecruitment can be difficultNeuromarketingGreat for lab workExpensive, impracticalOnly a proxy for desired behavior
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Measuring Consumer Behavior: QR Code Scans
Incorporate unique QR code for each campaign, locationCoupon, discount or dealSweepstakes entryAdditional product informationProduct demonstration videoStill need to know potential audience to calculate response rate & effectiveness
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Measuring Consumer Behavior:QR Codes for Savings
Scan me!
DSE Q1 2011 Business BarometerDiscount Code
DSF Members receive a $50 discount off of the $145 DSE Q1 2011 Business Barometer from the Digital Signage Expo.
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Measuring Consumer Behavior: Interactions
For screens that allow interactivity# of interactionsStickiness (time spent interacting)Data capture (consumer input)Interactions relative to network trafficNeed to know audience potential to calculate response rate & effectiveness
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Measuring Consumer Behavior:Sales Lift
RetailerItems per transactionDollars per transactionCategory sales liftRepeat visitsAdvertiserItem sales liftBrand sales liftHousehold penetrationTrial / repeat
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Measuring Advertising ROI:Experimental Designs
Robust test design is critical to valid measurement of changes in consumer behaviorMatched PanelLatin SquareDid advertisement X truly cause behavior Y?
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Presentation Summary
Digital Retail Media networks that focus on providing value to consumers also benefit retailers and advertisersDigital Retail Media networks require unique methods of audience measurementDigital Retail Media campaigns can be optimized through testing and measurement
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Our Services Audience Measurement and SegmentationAdvertising Sales and Marketing StrategyConsumer Insights for Content GuidanceAdvertising Campaign ROI Analysis
Research MethodsSyndicated Research SourcesMatched Panel AnalysesConsumer Intercept SurveysObservational Studies
Clients we ServeAdvertisers and AgenciesMedia Network OperatorsRetailers and Venue OwnersInvestors
John MorganFounder and PresidentRetail Media [email protected]
www.retailmediainsights.com
The Proof is in The Numbers
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