Global ad spending is predicted to grow at 5.6 percent in 2014 and 5.3 percent in 2015. In addition, Internet ad spending is growing at an explosive rate. This report explains why this is so challenging—and so critical—for your marketing budget. With an understanding of media performance, positioning and competitive analysis, a measurement program can help you evaluate the performance of media investments (and specific media partners), and provide data for forward-looking strategy development, prioritization of investments and negotiation tactics.
An effective media measurement program should, at a minimum, help marketers understand if they are getting what they paid for. With an understanding of media performance, positioning and competitive analysis, a measurement program can help you evaluate the performance of media investments (and specific media partners) and provide data for forward-looking strategy development, prioritization of investments and negotiation tactics. A media measurement program should help you answer these three key questions:
Baseline: Accuracy or Delivery—Are You Getting What You Paid for? It is a truism to state that in advertising, results will never exactly match the up-front advertising plan for reasons ranging from show schedule changes to creative not being ready on time. This understanding alone is another argument for the importance of a media measurement program. As you embark on this initiative, you want to make sure to measure key metrics like impressions, mix, audience deficiency units and gross rating points.
Additional Value-Add—How Are You Positioned Relative to Competition? Beyond the base level analysis of how your media buy has performed, media measurement can uncover other important areas of value and insight such as how your media spend is performing relative to competitors and whether you are receiving more or less favorable positioning (which affects ad recall).
Looking Forward—Are You Prepared for Digital Media Measurement? As digital media spend grows, marketers need a rational way to measure digital media performance in the context of an overall media measurement program to help inform future investment decisions.
Armed with the data provided by a comprehensive media measurement capability, your company will be better able to negotiate with media suppliers, and suppliers are likely to be more open to negotiating with you to deliver better value when they know that you are carefully measuring their performance.
Media is far too large a spending category for its ROI not to be carefully monitored and measured. A comprehensive media measurement program is one very tangible way to validate that media investments are performing as well as they should, and to drive improvements in media spend effectiveness without incremental media dollar investment.