Methodology for determining the effectiveness of an advertising campaign. Methods and methods for evaluating the effectiveness of advertising. Evaluation of the communicative effectiveness of advertising

23.07.2020

Send your good work in the knowledge base is simple. Use the form below

Students, graduate students, young scientists who use the knowledge base in their studies and work will be very grateful to you.

Efficiency - everything you need from advertising

It seems that everything is simple: compare how much money is spent on advertising and how much is earned on the advertised product. But there is too indirect a connection between these factors, because profit depends not only on advertising, but advertising, in turn, can affect different objects in different ways. That is why there is no single theory for evaluating the effectiveness of advertising.

NOTE! Grade advertising effectiveness- is also quite a costly event, so many organizations neglect this difficult and lengthy procedure. Meanwhile, it is certainly useful, especially during periods of "fall" of the market.

To comprehensively assess the effectiveness, you need to explore the advertising campaign at all its stages:

when developing a strategy, benchmarks are developed, with which the achieved ones will then be compared;
in the process of conducting - it is better to conduct several “cuts” of efficiency, at least two, to clarify the dynamics;
the final advertising company– analysis of the achieved results.

What is the effectiveness of advertising

Communicative Efficiency, otherwise known as informational. This indicator reflects the number potential consumers who saw (heard, recognized, etc.) an advertising message. In addition to the quantity, it is also estimated how the opinion of those who contacted the advertisement has changed. In this regard, it is assessed:
- the quality of the advertising presentation - how appropriate the content and presentation of the advertising "message" for its audience, whether the message is successfully placed, whether the form is chosen correctly;
- memorability of key information - it is important that during advertising, the consumer remembers at least the name of the organization or the advertised product;
- impact on the motivation of potential customers;
- formation of stable associations;
- creating an opinion and attitude towards the advertised product;
- features of a sustainable image of the object of advertising;
- the ability to attract attention, etc.
Economic efficiency – financial results advertising campaign. It is the most difficult to assess, since it requires an unambiguous mathematical approach, which is impossible in the case of advertising. The effect of an advertising company may be extended over time, profit may depend on other factors. Approximate estimates are based on data on the dynamics of sales: it turns out the relationship between the profit received supposedly from a given advertising campaign and the cost of it.

Rules for evaluating the effectiveness of advertising

These requirements are caused by the peculiarity and ambiguity of the object of assessment itself. To get the most reliable result, you should follow 5 key rules for evaluating the effect of advertising activities:

Profit Rule: advertising must generate a profit that exceeds the cost of advertising itself, or at least equal to them. All other results point to inefficiency. In other words, the game must be worth the candle.
Criteria selection rules: you need to track changes sequentially, and for this, select specific positions that will be investigated. It can be:
- sales volumes;
- the number of customer requests;
- turnover of goods, etc.

IMPORTANT! Even with a comprehensive assessment, each criterion should be able to be assessed separately.

Conversion rule: What matters is not advertising itself, but how it is converted into real and measurable performance indicators - in the number of hits (clicks, calls), as well as the number of conversions of these hits into real sales.
Extreme results rule: it is necessary to evaluate both the best and the worst results in order to maneuver between the means that caused such responses in the future, achieving a "golden mean".
Rule of objectivity: you should not embellish the results, because only an honest result of the analysis will help in improving the effectiveness of advertising. Fixing the failed effect of an advertising campaign will also be effective, it will show gaps in market knowledge and weed out wrong marketing moves.

Methods for assessing the economic performance of advertising

This is the most objective indicator, calculated in specific figures, based on the data of financial documents. Advertising does not always show an increase in profits, it is often enough that it prevents losses. Let's consider various ways of calculating the ratio of financial factors of advertising:

Comparison of turnover before and after advertising:
- the level of turnover in excess of the expected;
- comparison of profit for additional turnover and the cost of advertising itself.
Advertising ROI Calculation(as the result of each promotion to its cost).
Analysis of target alternatives- how the objectives of the advertising campaign were solved. It is measured as a percentage:
EE \u003d (Pr fact - Z r / Pr. pl - Z r) x 100%, where:
- EE - economic efficiency;
- Pr fact - profit on the fact of the action of the advertising company (in rubles for the selected period);
- Etc. pl - planned profit for the same period;
- З р - advertising costs.
MethodROI(from the English "Return of Investment" - "return of investment"). To measure the investment component of the effectiveness of advertising, apply the formula:
E r \u003d (B before x R - B after x R) / Z r., where:
- Er - the effectiveness of advertising;
- В before - revenue indicators before the start of the campaign for a certain period;
- In after - financial data on revenue for the same period after the advertising campaign;
- P - profitability of sales of the advertised product (the ratio of the price per unit minus the cost to the net price);
- З р - advertising costs.
I. Berezin's method- the difference is calculated between the planned indicator without taking into account the influence of advertising and the actually achieved figures (according to the selected criterion - sales or circulation).
Comparison with competitors– a similar product and a comparable time period are taken into account. Based on the analysis of the level of sales, a conclusion is made about the effectiveness of the advertising company.

Methods for assessing communicative effectiveness

Here the figures will not play a key role, because the object of assessment cannot be expressed in them with all unambiguity. To analyze this advertising factor, the following methods are used:

interview;
questioning;
observation;
experiment (on a focus group) - in approximately equal markets, advertising is used first in the same, and then in different ratios;
testing - tests on the main indicators of the psychological impact of advertising: recognition, memorability, attitude, image, etc.

For more accurate results, the evaluation of the communicative component of advertising effectiveness should be done in 3 stages:

Preliminary estimate- helps to avoid miscalculations at the stage of advertising preparation, which is important, especially in expensive projects. It is necessary to check criteria such as:
- compliance and coverage target audience;
- adequate form and content;
- channels for placing and transmitting an advertising "message", etc.
current control- evaluates the reaction to advertising in dynamics, when it can be corrected.
Final analysis- is carried out after the end of the advertising campaign, its results will affect subsequent advertising activities.

Communicative efficiency in traditional advertising, it is much easier to measure than economic advertising.

The preliminary methods for researching the effectiveness of advertising include the following.

1. Direct evaluation method. It involves studying the opinions of consumers about various options for an advertising message: how much the message captured attention, whether it is easy to perceive, how clear the main idea and the advertised benefits are, what seems especially attractive in the message, how much the message causes a desire for follow-up actions, etc.
2. portfolio tests. It involves showing consumers a number of different advertising messages without a time limit. Respondents are then asked to recall everything they saw, including the content of the advertisements. The portfolio test is designed to identify the level of memorability of an advertising message, its ability to stand out among others.
3. Laboratory tests. With their help, the physiological reaction of the consumer to an advertising message is measured, and appropriate equipment is needed. They help to determine how capable the advertising message is to attract the attention of the consumer.

These methods help to preliminarily assess the possible degree of impact of an advertising message on the target audience. After that, the most proven advertising messages are selected and an advertising campaign is carried out.

level of awareness;
motivation level;
impact on purchasing behavior;
noticed - the consumer remembers that he saw an advertisement if the product is mentioned in a conversation;
memorability - the ability not only to remember, but to correctly reproduce an advertising message;
Recognizability - the ability to "recognize" the message when it is displayed.

When studying the communicative effectiveness of television advertising, it is often used panel method. Separate studies are conducted to determine the relationship between the frequency of advertising and the nature, as well as the level of exposure to consumers.

There are the following categories of evaluation research methods:

memory tests - associated with tests of memory and recognition;
persuasiveness tests - are associated with finding out from consumers before and after viewing an advertisement their intention to buy a product of a certain brand;
counting immediate responses - refers to the cost-effectiveness method and is associated with counting calls to the firm for additional information and the number of purchases influenced by advertising;
communication tests - designed to identify characteristics such as whether the message was conveyed by the advertisement to the target audience, how consumers reacted to this message. The results are ambiguous and require detailed analysis and interpretation;
focus group - is the most common method of preliminary evaluation of the effectiveness of television and print advertising, highly dependent on subjective factors;
physiological tests - based on the measurement with the help of special sensors of the physiological parameters of a person's condition: pulse, dilated pupils, various reactions;
frame-by-frame tests - are associated with fixing the reaction of viewers to individual parts commercial. For example, test REAS, in which, during the showing of a commercial in a cinema, viewers must press buttons on hand-held keyboards, expressing their opinion on each part of the advertisement;
intra-market tests - an assessment is made of the impact of an advertising campaign on sales, i.e. economic efficiency of advertising.

Economic efficiency

There are two methods (approaches) to assess the economic efficiency of advertising:

1) the historical approach involves identifying the relationship between advertising costs and sales volumes for past periods of time;
2) the experimental approach is to study the impact of advertising costs on sales by allocating different advertising budgets for the regions in which the experiment is conducted.

To get a better idea of the potential cost-effectiveness before launching to a mass audience, its impact can be measured on the example of a small region and compare changes in sales volumes with other regions where the advertising campaign has not yet been carried out.

Relationships between advertising spending and indicators such as market share can also be used to measure economic efficiency; the number of new customers; turnover; profit, income, etc.

It is practically impossible to accurately predict the increase in sales growth as a result of an advertising campaign, since many factors influence this: the economic situation in the country and the world, the change of power in the region, changes in legislation, the prospects and current state of the market, the emergence of competitors, the emergence of new products, problems within the company, etc.

Methods for evaluating traditional communications are usually based on a sufficient amount of statistical data.

1. Direct methods - based on the direct calculation of sales results obtained under the influence of advertising.
2. Indirect methods - subdivided by determining the number of customers and the number of invoices and methods for determining the amount of sales.

The amount that you really need to allocate for advertising depends on the stage life cycle goods, since at the stage of product introduction, trade can even be unprofitable, and advertising costs can significantly exceed the average 4–5% of all company expenses.

Measurement of the effectiveness of advertising is expressed in the study of how familiar the target audience is with information about a particular company, about what is known about the goods produced by the company, about their quality characteristics, about what image of the company and goods has been formed and what is the attitude of potential consumers towards them.

In general, it is not possible to absolutely accurately determine the effectiveness of individual advertising media in most cases. However, preliminary calculations justify themselves.

Marketing by notes: practical course on the Russian examples: textbook / ed. L. A. Danchenok. 3rd ed. M.: Market DS, 2008. S. 712–713.
Marketing by notes: a practical course on Russian examples: textbook / ed. L. A. Danchenok. 3rd ed. M.: Market DS, 2008. S. 714–715.
Vasilyeva E. A. How to make advertising effective? 25 win-win ideas: pract. allowance. Moscow: Dashkov i 1C, 2010, pp. 23–24.

The effectiveness of advertising - the strength of the impact of advertising on consumers. Measured by the ratio of advertising costs and increase in sales volumes, an exact measurement is impossible, because. in addition to advertising (the correct definition of the goals and objectives of advertising, knowledge of competitors and target audience, creativity, coverage, frequency of coverage and media planning), a lot of other factors affect the sales process.

Definition of contribution advertising for the sale of the enterprise and in general its necessity;
Feasibility assessment preservation (increase, decrease) of the advertising budget;
Efficiency control individual promotional activities and the advertising campaign as a whole;

Ad Effectiveness Width - how many people "covered" advertising. It depends on the number of advertising media involved (and their coverage), the frequency of coverage (intensity of the advertising campaign), the duration of the advertising campaign, the volume of one advertising message.

Ad Effectiveness Depth - informational (communicative) effectiveness of advertising - how often people were "covered" by advertising and how well it worked. Advertising campaign effectiveness indicators - advertising recognition, advertising memorability (the ability to remember advertising), motivation level (persuasiveness), impact on purchasing behavior.

1	Cognitive level	Changes in knowledge about the company's products and services.
2	Affective level	Formation of a positive relationship with the manufacturer.
3	Inciting Level	Formation of a positive attitude towards the manufacturer. Consumer behavior (the probability of choosing the advertised brand increases). Formation of intentions to make contact with the company, to purchase its goods.

Psychological effectiveness of advertising -

Communication Ability to form increased expectations for the product (more important than the formation of brand awareness).
Identification level (the effect of "referring to oneself"). The level of understanding of an advertising message and, accordingly, its better memorization depends on the degree of its identification, i.e. is determined by the level of its perception by the buyer, as intended directly to him or to people familiar and understandable to him.
Aesthetic characteristics of the message - advertising material should be understandable, credible, "liked" by the viewer so that he does not have an additional incentive to switch the channel or radio station, turn the page in a magazine faster or turn away from the billboard.

Economic efficiency advertising campaign is determined by the ratio between the result obtained from advertising and the invested funds for its implementation for a certain period of time.

Benchmarking - the basis of advertising effectiveness and the initial assessment of the effectiveness of previous advertising activities. Conduct a survey of those who will be targeted by your advertising campaign, asking them to tell you what they know (or believe is a fact) about your company. The purpose of benchmarking is to identify the degree of knowledge and stereotypes of consumers regarding your company and its products (services), i.e. current position cases (what "sags" from the areas of activity and why). All further advertising should be based on supporting or overcoming these stereotypes!!!
Competent development of an advertising campaign – from the target audience, advertising goals to creative (see the previous 11 steps).
Pretest- a preliminary forecast of the effectiveness of the impact of the created option advertisement. "Map of Perception" is a method of advertising testing based on a direct assessment by respondents of the presence or absence of significant consumer characteristics of the product under study. The assessment is given by the consumer after getting acquainted with one or another stimulus material related to the product (name, logo, packaging design, advertising message, etc.). Upon the fact of the survey of respondents on the questionnaire, statistical processing of primary data is carried out in order to obtain an assessment of the product according to the factors of choice that are significant for the consumer. As a result of the study, indexes of attracting involuntary attention, attractiveness and memorability of an advertisement are determined. A method for measuring the memorability of advertising, which is based on three components: "spontaneous memory" - an advertisement is remembered when a product category is mentioned (for example, the category "washing powders", the product - "Tide"); "remembering when presenting a product" - advertising is remembered after pronouncing the name of a particular product or its demonstration; "memories after the retelling of advertising." The sum of these three indicators is the share of the target audience that remembered the advertising message. And look at how the indicators correlate with each other.
where X 1i - the number of consumers who remembered the advertisement spontaneously, X 2i - the number of consumers who remembered the advertisement after presenting the advertised brand,) X 3i - the number of consumers who remembered the advertisement after retelling its content, YK 1i, K 2i, K 3i, - are used when the consumer names several competitive brands at the same time and it is necessary to determine their weight in terms of consumer preferences.
Measuring the effectiveness of individual advertising media. Interviewing clients about the source of information about the company and compiling a report. In any case, the results will be approximate, because. consumers often do not remember, confuse the source of information or name the last, and not the first, seen (heard) advertising medium. For example, a consumer learned about a company from a video, immediately before buying, he chose a company on the Internet, and he will name the pillar seen at the store as the source of information.
Criteria for evaluating the economic efficiency of advertising:
It can be seen from the table that advertising activity:
- brought slightly more visitors - only 50 people more,
- however, the visit-to-purchase conversion rate increased dramatically from 29Y to 42Y
The number of advertising audience and advertising costs. To quantify the effectiveness, CPM (costs per thousand) and CPC (costs per rating point) methods are recommended.
Financial efficiency of advertising (formula for calculating the effectiveness of advertising):

where E is the economic effect of advertising; Td - additional turnover under the influence of advertising; Нт - trade allowance for goods (in C selling price); Ur - advertising costs; Ud - additional costs for the growth of trade.
Research on the effectiveness of advertising "on the trail" advertising campaign, to the same audience that participated in the benchmarking study. It is not necessary to talk to the same people, but it is important to talk to the same type of people that you think will be affected by the ad. In this study, the same questions will be answered as in benchmarking, and thus the results obtained can be compared.
Post test- analysis of the effectiveness of an advertising message, designed to study whether the advertising has achieved its goal and what conclusions can be drawn from the advertising campaign. In practice, the most common criterion is the memorization of an advertisement (or service). Other commonly monitored measurements include awareness of advertising elements, awareness, image rating, preference for your company.

Spontaneous effectiveness of advertising. All other things being equal, the same ad may or may not work. its effectiveness is influenced by many unexplored factors (spontaneous transitions of consumers from one advertising medium to another, the content of a particular issue or program, the number of competitors in the advertising medium, weather, consumer mood, etc.). It is impossible to identify the exact source of efficiency! So, according to the results of one study, interviewers stood right behind a billboard and asked passers-by what kind of advertising was shown there - 60D people named an ad that was not there, and 30Fе could remember!

Cumulative (delayed) effect of advertising - the impact of advertising has a latent (hidden) period and the ability to accumulate and manifest itself not immediately, but upon reaching a quantitative and qualitative critical threshold (memorability, recognition, audience coverage, etc.). Advertising needs time to influence the mind and push to action. On average, such a period of time is taken equal to 10-12 months.

Synergistic effect of advertising (increasing the effect on the principle of geometric progression) - advertising works on the principle of 1 1=3. The main factors influencing synergy are exposure time, target audience coverage, frequency of coverage (repetitions).

The environment that really surrounds advertising.
Advertising activities of competitors.
Seasonality (heaters do not work in the July heat even with very decent advertising support).
Weather.
Price.
Range.
Scope of the company.
Influence of the previous advertising campaign.
The inertia of buying behavior.
consumer inflation expectations.
The availability of a product or service to the consumer.
Market saturation.
Advertising cost.
Solvency of demand.
Fashion.
Other factors...

Quick effect forgetting advertising (after 4 weeks).
Consumer reactions for advertising in conditions of real contact and for the same advertising, but indoors, when conducting research built according to the type of focus groups, they are completely different. The secret is that the state of the consumer changes a lot. Consequently, the filters of perception of information also change, respectively, and the advertising message is perceived differently.
Select to test respondents , as close as possible to the portrait of the consumer, which in practice is not always available.
"False negative" results (exclusion of potentially effective materials) and "false positive" results (inclusion of ineffective materials). This is due to the fact that when conducting a study, people are introduced to the options "forcibly".
Almost impossible to evaluate an image campaign , as a result of which no one applied, but many remembered the trademark and subsequently became customers.
Clients are not always eager to tell you what's really wrong with you. This is due to such a psychological phenomenon as "the desire to avoid confrontation."
Advertising budget structure for most enterprises, it varies greatly from month to month: how can you compare the effectiveness of advertising in two months, when in the first half of all advertising costs were spent on the production of a new booklet, and in the second, a third of them were “gobbled up” by the upcoming video, and its placement will go only next month?

Lack of specific goals and objectives of the advertising campaign.
Incomparability of goals and objectives advertising campaign with the objectives of marketing activities, as well as corporate strategy.
Lack of information about the target consumer and the sources of information he receives (channels of access to the consumer).
Absence feedback with the consumer.
Segmentation errors.
Low qualification of employees responsible for advertising, as well as employees of advertising agencies.
Lack of systematization and consistency during promotions.

Entrust development and placement of advertising to professionals.
Change current ad. You can’t reach a new goal by following the old path! Completely abandon the concept of existing advertising and come up with something completely new. Entrust the development of advertising to new people (new employees or a new advertising agency). Change the form and content of advertising, color scheme etc.).
See how everyone is doing (for example, modules in the press) and vice versa (instead of rectangular advertising - round or square, on color pages - black and white layouts, etc.).
Test your ad if not in focus groups, then at least on friends - acquaintances from the target group (on people from the group for which the advertisement is intended).