$ FROM TRIAL AND ERROR TO ROI The Evolution Of Communications Measurement Media and metrics go hand in hand. As means of communications evolve­—from newspapers to wearable tech—communicators continue to develop new ways to understand the value of each channel and predict impact on stakeholder opinions, attitudes and behavior. 1700s Measuring Sales MEDIA: Magazines and newspapers BRANDS: Commodities POPULATION: 0.3 to 5.3 million METRICS: Colonial marketers measure how much product was sold after advertising. INVENTIONS: Steam engine, cotton gin, bifocal glasses, lithography 1732 First picture published in a magazine (Poor Richard’s Almanac) 1704 First newspaper ad (The Boston News-Letter) 1734 Freedom of the Press established 1800s Measuring Sales and Media INVENTIONS: Rotary press, telephone, photography, sewing machine, antiseptics moving pictures, Coca-Cola 1893 First totally ad-supported magazine (Munsey’s Magazine) MEDIA: Billboards, flyers, magazines and newspapers 1876 Telephone invented METRICS: Circulation, distribution, sales and subscriptions 1900s BRANDS: Product differentiation POPULATION: 5.3 to 76 million Measuring Path to Purchase 1914 Audit Bureau of Circulation formed MEDIA: Billboards, direct mail, internet, magazines, newspapers, radio, telephones and TV METRICS: Circulation, click-through, distribution, leads, message penetration, path to purchase, preference, purchase intent, recall, traffic, traffic sources, sales, subscriptions, views, visits, etc. 1931 Telephone research doubles the revenue of radio networks 1920 First radio station 1961 Gary Steiner and Robert Lavidge introduce first path to purchase model BRANDS: Image differentiation POPULATION: 76 to 281.4 million 1971 First email 1941 First TV spot broadcast (Bulova Watch) 1950 Nielsen Television Index (NTI) established 1949 American Research Bureau (ARB) releases first local market report. 1941 Nielsen launches Nielsen Radio Index (NRI) 1956 Foundation for Public Relations Research and Education founded 1974 Nielsen provides daily TV ratings INVENTIONS: Airplane, Model T, Theory of Relativity, credit cards, bar codes, frozen food, The Pill, Viagra, WWW (World Wide Web), personal computers, robots, cell phones 1936 Advertising Research Foundation (ARF) formed 1984 First eCommerce transaction 1982 Internet available to the public 1973 Motorola introduces first wireless phone, Arbitron develops metering technology to track radio 1999 Internet advertising breaks $2 billion 1987 Katie Delahaye Paine announces first publicity measurement system 1998 Google founded 1997 Netflix founded 1996 Hotmail launches first web-based email system 1996 Interactive Advertising Bureau formed, International Association of Media Evaluation of Communications (AMEC) founded 2000s Measuring ROI METRICS: Advocates, circulation, click-through, conversions, comments, cross-channel attribution, distribution, downloads, fans, followers, influencers, leads, likes, links, message penetration, path to purchase, preference, purchase intent, recall, sales, sentiment, shares, subscriptions, tone, traffic, traffic sources, tweets, views, visits, etc. MEDIA: Billboards, blogs, direct mail, eBooks, internet, instant messaging, magazines, newspapers, podcasts, radio, telephones, TV, video sharing, visual, verbal and written communications on multiple devices at any location 2001 Wikipedia founded 2003 LinkedIn launched, iTunes launched 2013 181.4 million U.S. mobile phone users 2004 Facebook launched, Skype introduced 2012 Pandora and Spotify disrupt radio industry INVENTIONS: iPod, hybrid car, Aibo Adidas 1, YouTube, retinal implants 2005 YouTube founded 2007 Apple introduces the game-changing iPhone 2008 Nielsen reports on three formats—TV, Internet and Mobile 2006 First Tweet BRANDS: Social meaning POPULATION: 281.4 to 310 million The Future Big Data-Fueled Analytics MEDIA: Wearable tech, customized media experiences, one-to-one communications, consumer co-creation “ METRICS: Behavior change, brand experience, channel efficiency/ effectiveness, communications impact and efficacy, personalization, reputation, resource allocation/ROI, social impact, speed-to-market, stakeholder engagement, stakeholder outcomes Widespread adoption of wearable tech First personalized TV ads delivered Analytics will change communications forever by allowing us to move toward predictive modeling. The future is now. — Chris Foster, VP, Booz Allen Hamilton ” Accurate prediction of stakeholder behavior Proof of impact and effective resource allocation Holistic visibility into stakeholder engagement across touch points Predictive analytics revolutionize communications Communications Analytics Group Sources “The Audience Measurement Business,” from Ratings Analysis: The Theory and Practice of Audience Research. James Webster, Patricia F. Phalen, Lawrence W. Lichty • Intersect Media Solutions, An American Media Timeline • Advertising We leverage technology, big data, and data science to measure, Age, Ad Age Advertising Century: Timeline • Association for Audience Marketing Professionals, Magazine Publishing evaluate, and analyze communications. We want to share our Innovation • Nielsen, Nielsen Acquires Arbitron • PitneyBowes, Direct Marketing Analytics • Mashable, Cell-ebration! 40 passion for measuring communications ROI with you. Confirms 2014 Direct Mail Promotions • Six Revisions, The History of the Internet in a Nutshell • Newspaper Association email Foster_Chris@bah.com About.com Inventors, Bar Codes • UNCP, Anthony Curtis, The Brief History of Social Media • Project Muse, A Model For or call 703-377-0870. The Independent Institute, Retail Innovations in American Economic History • Tom Watson, The Evolution of Evaluation, History • Funding Universe, The Arbitron Company History • The Washington Informer, Nielsen: Celebrating 90 Years of Years of Cellphone History • MediaBistro, A Short History Of Major Internet Milestones • Direct Marketing News, USPS of American, NAA/ABC Circulation Subcommittee’s Guide to U.S. Newspaper Digital Editions • Wikipedia, Apple I • Predictive Measurements of Advertising Effectiveness • US Census Bureau, Computer & Internet Trends in America • Bournemouth University, UK www.boozallen.com