ROI—A WAY OF LIFE
IN MEDIA
Copyright ©2014 The Nielsen Company. Confidential and proprietary.
PRESENTATION SPEAKERS
Howard Shimmel
Kate Sirkin
Aaron Fetters
Chief Research Officer
Turner Broadcasting System, Inc.
EVP, Global Research Director
Starcom MediaVest Group
Director, Insights and Analytics
Solutions Center
The Kellogg Company
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
WHAT’S ON THE AGENDA?
• The Media ROI Framework
• The Media Company Perspective
• The Agency Experience—Driving the Eco-System
• The Advertiser Strategy
• Table Talk & Panel Discussion
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
THE ROI LANDSCAPE
Behavioral impact
Marketing Mix
A holistic view
Single Source
Buyer graphics & campaign-level ROI
Smarter allocation, more accountability
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
SINGLE SOURCE ANALYTICS—CLOSING THE LOOP
Complementary to other planning and measurement tools
Plan
Define Audience
Measure ROI
Form Objectives
Measure
Buy/Optimize
Measure Effectiveness
Optimize Plans
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RESEARCH INNOVATIONS
Copyright ©2014 The Nielsen Company. Confidential and proprietary.
MEDIA AUDIENCE DATA
Digital
Demographic. Behavioral. Geographical.
TV
Demo-based since 1960!
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
NEW DATA POWERS ADVANCED MEDIA TARGETING
Nielsen Buyer
Insights
Nielsen Catalina
Solutions
Nielsen
MotorStats
Nielsen Mobile
Vector
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
FIRST ADVANCED MEDIA TARGETING PRODUCT
targetingNOW
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
A NEW WAY TO PLAN MEDIA
Same mix
Same demo guarantee
Optimized against your target
Plan still produced within current
sales rotation guidelines
Demo delivery still guaranteed
as it always was
Optimized within these
parameters to maximize delivery
of your marketing target (ex.
category buyer)
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
WE SELL NETWORKS BASED ON SELLING TITLES
Early Morning
Prime Dramas
Series: 3–5p
Late
Series: 5–7p
Moonlight Theater
Prime
Primetime In The Daytime
Weekend
Late 12–2a
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
EACH SELLING TITLE CONTAINS RANGE
OF PROGRAMS AND TIME PERIODS
1
2
3
Program / Time Period
4
5
6
7
8
Early Morning
Prime Dramas
Series: 3–5p
Late
Series: 5–7p
Moonlight Theater
Prime
Primetime In The Daytime
Weekend
Late 12–2a
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
TODAY A SCHEDULE WITH THREE UNITS
IN EACH SELLING TITLE MIGHT LOOK LIKE THIS
Early Morning
Prime Dramas
Series: 3–5p
Late
Series: 5–7p
Moonlight Theater
Prime
Primetime In The Daytime
Weekend
Late 12–2a
1
x
2
xx
3
Program / Time Period
4
5
xx
6
7
8
x
xxx
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
BUT WHAT IF WE OVERLAID NEW DATA ABOUT THE
PROBABILITY OF THE AUDIENCE BEING A
CATEGORY BUYER?
Early Morning
Prime Dramas
Series: 3–5p
Late
Series: 5–7p
Moonlight Theater
Prime
Primetime In The Daytime
Weekend
Late 12–2a
1
x
2
xx
3
Program / Time Period
4
5
xx
6
7
8
x
xxx
x
x
x
x
x
x
x
x
x
x
x
x
x
x
Strong Concentration
of Cat Buyers
x
x
x
x
x
x
x
Average Concentration
of Cat Buyers
Low Concentration
of Cat Buyers
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
EXAMPLE: MASS MERCHANDISER SHOPPERS TN
Early Morning (576)
Primetime In Daytime (588)
Series: 3–5p (599)
Series: 5–7p (559)
Law & Order (604)
Bones (614)
Bones (620)
Castle (629)
Angel (551)
Major Crimes (474)
Supernatural (505)
Law & Order (557)
Charmed (617)
Castle (601)
The Mentalist (466)
Late: 12–3a (587)
Supernatural (555)
Major Crimes (447)
Bones (503)
CSI: New York (581)
Smallville (545)
(#) = VPVH
Supernatural (486)
Prime (648)
Perception (683)
Cold Case (546)
Late: 12–2a (568)
Castle (610)
Weekend (575)
The Mentalist (630)
Perception (637)
Perception (582)
Perception (549)
Franklin & Bash (504)
Cold Case (549)
The Mentalist (554)
Rizzoli & Isles (637)
The Hero (593)
The Mentalist (622)
Major Crimes (719)
Franklin & Bash (535)
Falling Skies (480)
The Hero (540)
Franklin & Bash (572)
Falling Skies (530)
Falling Skies (388)
Rizzoli & Isles (833)
Major Crimes (619)
CSI: New York (581)
Falling Skies (600)
Law & Order (522)
Franklin & Bash (409)
The Hero (607)
Source: Nielsen Buyer Insights. 3Q13 to date (7/1/13–8/25/13) viewing to TBS/TNT; 1 min qualifier. Purchasing via NBI database for 52 weeks ending 3/31/13. Includes credit & debit
transactions from NBI database only. Mass Merchandiser category (Kmart, Target, Wal-Mart). Excludes Movies, Marathons, Specials, Sporting Events, Sports Programming. Includes repeats.
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
…AND THEN WE USED THIS DATA TO PUT
YOUR ADVERTISER SPOTS IN THE OPTIMAL
PROGRAMS/TIMES
1
Early Morning
Prime Dramas
Series: 3–5p
Late
Series: 5–7p
Moonlight Theater
Prime
Primetime In The Daytime
Weekend
Late 12–2a
2
3
Program / Time Period
4
5
6
7
x
xx
8
xx
x
xxx
xxx
xxx
xxx
xxx
xxx
x
x
Strong Concentration
of Cat Buyers
x
Average Concentration
of Cat Buyers
x
x
x
Low Concentration
of Cat Buyers
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
WHY ARE WE EXCITED?
Great reaction from the market in Upfront
Opportunity to drive greater yield from TV
• Targeting works
• Solutions delivers materially
more of an advertiser’s target
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
TARGETING WORKS!
Auto TBS Campaign
P18–49
Heavy Auto Searchers
+21%
+59%
18.1%
46.9%
15.0%
29.5%
Unexposed
87%
Exposed
Exposed
Unexposed
Significance
93%
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
MORE OF YOUR TARGET
Demo
Beer Brand
Original
Optimized
Domestic
Auto Brand
Paper Towel
Brand
Toothpaste
Brand
Original
Optimized
Original
Optimized
Original
Optimized
Marketing Target
GRPs
Reach
GRPs
Reach
50.4
50.4
18.0
17.8
59.1
94.3
24.7
28.1
+59%
13.6
13.5
9.2
8.7
11.2
18.2
6.9
9.7
+63%
15.1
15.1
9.6
9.6
16.4
18.5
9.9
11.1
+13%
7.8
7.9
4.4
4.9
6.3
9.8
5.0
6.4
+56%
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
+33%
Average lift in target grps
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Disclaimer
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
Copyright ©2014 The Nielsen Company. Confidential and proprietary.
CHALLENGES
Predictability
and Stability
Scalablity
Target
Transparency
Systems/
Data Access
Cross-Platform
Application
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
FUTURE PRODUCTS
Use to inform allocation across
selling rotations
Use to inform allocation across
Turner TV and digital assets
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BUYER-BASED DATA HELPING SMG DELIVER
MORE PRECISION FOR ADVERTISERS
Copyright ©2014 The Nielsen Company. Confidential and proprietary.
THE EVOLUTION OF THE TV/VIDEO MARKETPLACE
From TV &
Digital Video to
Precision video for all
screens (convergence)
Data-Driven
Linear
1st Screen
Addressability
1st Screen
Connected
1st Screen Active
Amplification
1st Screen Passive
Amplification
Multi-Screen
‘Digital’ Video
Buying TV smarter and
more precisely (Social
Data, Purchase Data:
Tardiis 2.0)
‘Addressable TV’
Audience or datadriven TV leveraging
STB data
Connected 1st screen
TV with over the top
(OTT) video service
‘Social TV’: Use 1st
screen to drive active
2nd screen participation
‘TV Syncing’: Passive
approach to syncing TV
ad on all other screens
Digital distribution of video
—premium, mid and long
tail on PC, mobile and tablet
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
KEY THEMES
Incorporate more data to drive client value;
maximize budget efficacy
Maximize efficiency using best data that feeds
brand strategy and optimization agility
Demonstrate accountability—actual sales
impact is typically the best way
Real-time, seamless and continuous
learning—integrated workflow
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
PURCHASER DATASETS—WHICH WILL DRIVE
MOST IMPACT IN PLANNING
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
HOW DO WE USE IT?
•
TV planning via “single source” data
•
ROI measurement for TV, print, digital and mobile
•
Purchaser-based targeting in digital, mobile and
addressable TV
•
Targeting Accuracy Tests
•
Multi Touch Attribution (MTA)
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
TV BUYING EVOLUTION WITH SINGLE SOURCE
• Larger buys for optimized CPMs
• Age/gender
• Optimized CPMs based on audience value
uncovered by buyer-graphics
• Much better aligned with client objectives
• Allocated within corporate inventory to
maximize portfolio effect
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
PLANNING/MEASUREMENT PROCESS
1
2
3
4
Define business
challenge and
objectives
Develop targets
based on strategic
definition
Consider data
options and
requirements
Determine
communication
goals, flights,
and budgets
5
6
7
8
Forecast corporate
needs translated
to demo targets
Purchase
inventory
Allocate versus
buyer-based
brand targets
5Design
measurement plan
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
ALLOCATING FOR MAXIMUM EFFICACY
• Point in time (quarterly/upfronts)
• Total campaign level
Real-time/Right-time
• Optimized to consumer response
and marketplace opportunities
• Creative allocated to drive buy rate
or penetration
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
BRINGING IT ALL TOGETHER—CLOSING THE LOOP
Integrated workflow that works within and outside
Plan
Define Audience
Measure ROI
Form Objectives
Measure
Buy/Optimize
Measure Effectiveness
Optimize Plans
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THE KELLOGG’S OPPORTUNITY
FROM BUYER GRAPHICS
Copyright ©2014 The Nielsen Company. Confidential and proprietary.
ENABLING A DATA-DRIVEN MARKETING ECOSYSTEM
CRM
Other 1st
Party
3rd Party
Data-Based
Decisioning
Effectiveness
Evaluation
Data-Driven
Ecosystem
Data-Driven
Buying
Data Analytics
& Optimization
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
DOES A BUYER-BASED APPROACH REALLY SELL
MORE IN-MARKET AND DRIVE ROI? CASE STUDY
• Develop the financial estimate for TV-driven sales
• Validate the estimate in-market
• Expand the learnings for multiple brands and for
future periods
• Continuously optimize, based on key drivers of
ad response
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
THE OPPORTUNITY FOR A BUYER
GRAPHIC APPROACH
Missed Category
Opportunity
51% of Category Buyers
are not reached by the
demographic target
Missed Brand
Opportunity
52% of Kellogg’s Cereal Brand
Buyers are not reached by the
demographic target
RTE Cereal
Category Buyers
Kellogg’s
Cereal Brand
Buyers
Demo Target (F25–54)
14% of reach to F25-54 goes
to households who do not
buy in the category
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
THE “SIZE OF THE PRIZE” COULD BE SIGNIFICANT
FOR KELLOGG’S
Est. Incremental Retail Sales/Year*
Kellogg’s Cereal Brand
$2 MM–$4 MM
$30 MM–$64MM
* Incremental retail sales opportunity derived from Kellogg’s Size Of Prize Deliverable (August 2013)
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
KELLOGG’S CEREAL BRAND
Average volume/household
2012
2013
0.12
0.12
0.092
0.1
0.084
0.1
0.08
0.08
0.06
0.06
0.04
0.02
0
+10%
0.109
0.095
+14%
0.04
■ Unexposed HH
0.02HH
■ Exposed
0
TV campaign drove incremental sales lift
10% in 2012 and 14% in 2013
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
KELLOGG’S CEREAL BRAND
TV Campaign Audience Delivery
2012
2013
300
300
295
295
290
290
285
283
285
280
270
270
260
255
250
280
280
275
265
296
275
270
95
INDEX
■ F25–54265GRP
■ F25–54 Kellogg’s
260
Cereal Brand BRP
105
INDEX
255
250
Kellogg’s Cereal Brand BRPs increased by 10% in 2013
from 2012 while F25–54 GRPs remained constant
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
ANNUALIZED RESULTS—THE 2013 TV CAMPAIGN
GENERATED INCREMENTAL SALES, UNITS, ROAS
2012 Campaign
$3.4MM
814K
$1.77
2013 Campaign
incremental sales
incremental units
ROAs
$5.2MM
1,273K
$2.19
+52%
+56%
+24%
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
CONCLUSION
Yes, the buyer-based approach actually increased sales, units, ROI—more can be gained!
Develop the financial
estimate for TV-driven sales
Validate the estimate
in-market
Expand the learnings for
multiple brands and/or for
future periods
Continuously optimize,
based on key drivers of
ad response
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
CLOSING THE LOOP—IT WORKS!
Plan
Define Audience
Measure ROI
Form Objectives
Measure
Buy/Optimize
Measure Effectiveness
Optimize Plans
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
c360.cnf.io
Choose Your Session
From the List
Click / Tap on Each Poll to
Respond
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
POLLING QUESTION
Now that you have seen real, large scale application
of buyer-based solutions, is the marketplace ready
to go beyond age/gender?
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Copyright ©2014 The Nielsen Company. Confidential and proprietary.
TABLE TALK QUESTIONS
What are some of the strengths /
weaknesses of buyer-based thinking
in the media process?
What would it take to instill
confidence in the broad marketplace
and drive adoption?
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