Should agencies re-look at metrics to measure ad effectiveness?: Media ACE 2018
The standard metrics of measuring impact in print and on TV, digital & social media platforms are becoming conversation points, with experts pointing to a need for a re-look at the metric universe.
In the marketer’s playbook, measurement plays a critical role. Marketing spends are decided or revised depending on the impact of marketing campaigns. Impact in turn is an outcome of the measurement or the metric system used to track the campaign.
The standard metrics of measuring impact in print and on TV, digital & social media platforms are becoming conversation points, with experts pointing to a need for a re-look at the metric universe. The argument is that at times, the reason behind a failed campaign may not necessarily be the strategy; it could also be the measurement.
We spoke to brand experts and agency heads to understand if there is a need to revisit the existing metric system around marketing initiatives.
According to Anita Nayyar, CEO, India & South Asia, Havas Media Group, the need to critically look at metric is important since the media landscape is changing fast.
“Given the current state of data availability, much is desired to gauge campaign impact. Also, in a country like ours, there will always be a requirement for more robust data. We need to constantly look at metric as the media landscape is in a constant state of change and no one data can provide the clear picture on advertising effectiveness,” said Nayyar.
Harish Bijoor, Founder, Harish Bijoor Consults Inc., explains, “Old metrics that measure media efficacy need to change as audiences and the vehicles that impact them have changed dramatically. Today, a consumer in the great Indian market is a function of 21 potent media vehicles. These vehicles impact her and him in myriad manners; manners that demand a measurement.”
According to Jyoti Kumar Bansal, CEO of PHD India, there is need for reimagining the metrics. She also spoke about how PHD has created a tool that allows the agency to optimise advertisers’ budgets against revenue KPIs, and not just reach KPIs.
“The core KPI for media agencies has traditionally been media campaign deliveries linked to the syndicated metrics of TV and print measurement and more recently the digital metrics extending to reach frequency clicks, leads and acquisitions at best. Is there need for reimagining the metrics? Yes, there is. Making the linkage of media metrics to business metrics has long been the direction agencies have been striving towards with mixed success, largely dependent on the availability of such data to the advertisers or the advertisers’ appetite to pay for research which makes these linkages clearer,” Bansal said.
“At PHD, we have created a global tool within SOURCE called the Investment Planner, which allows us to optimise advertisers’ budgets against revenue KPIs, and not just reach KPIs. This tool enabled by machine learning was 18 months in the making and has been tested with proven accuracy of up to 70 per cent, in 90 per cent of the cases, even in markets where base input data was not available," said Bansal.
Gopa Kumar, Executive VP, Isobar shared, “I guess with evolving times and digital media becoming mainstream and other mediums also getting digital, it’s imperative we rethink on the metrics on which we evaluate campaigns. Single unified measurement system has been the need of the hour for quite some time and it’s high time we have one. Unfortunately, getting everyone on board on this is a big challenge and I guess hence the delay.”
While reimagining the approach to measure the impact of an ad campaign is needed, especially in today’s changing media environment, the big question is: How soon will we see that change?
Stating that the relook is overdue, Deepa Bhatia, Strategic Consultant, Pitaara and Founder, DB21, Media Consultancy, said, “Efficiencies need to happen for all stakeholders, including broadcasters. Larger clients have procurement teams evaluating media buys as other expenses and hence it is important that right price points are arrived at. Replacing CPRP with CPT has been under discussion for a long time now and we must do that.”
The fourth edition of Media ACE Awards will be held on October 16. It will showcase award-winning work for the period July 2017 to Aug 2018 and will exhibit leadership and direction that has helped mould India's media landscape. To know more, click: https://e4mevents.com/media-ace-2018/
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