Do advertisers really have confidence in how they spend their money? Are they confident they’re getting results, a good R.O.I, or are they simply splattering their dollars all over the place hoping and praying it works. A new study by Advertiser Perceptions presented at Advertising Week in New York City revealed that advertisers don’t entirely trust the data they’re betting their brands on.
The study results of nearly 200 advertisers found that 2/3 don’t fully trust the results of advertising and measurement technology they now depend on, from planning media to assessing campaign performance. Advertiser Perceptions VP for Business Intelligence Justin Fromm says marketers don’t trust the accuracy of their data and are evaluating how they advertise by instinct.
The study shows there’s a lot of tension between the use and trust of data. Fifty-three percent of advertisers now place ads on over 250 websites, with 23% advertising on more than 1,000 sites. While 63% have discussed cutting the number down, only 7% of those advertisers have started to do so, while 15% have a plan in place.
Instead, the majority of advertisers manage an expanding universe of channels. As a result, the study concludes, fewer advertisers verify and analyze digital and mobile campaigns. Less than 50% of advertisers subject more than half of their campaigns to formal verification and analysis – in part because only a one in four feels that the process is very thorough, whether it’s done in-house, by a third party, or by media brands. When they do, what matters most in audience measurement is being able to validate ad viewing by individual consumers on different devices and platforms, by how much of an ad is viewable for how long.
Of those advertisers that do analyze and verify, fully 80% use audience insights, but only 33% completely trust them. And only 29% completely trust audience analytics measurement, although 45% do it frequently. Ninety-five percent of advertisers say they’re losing money to ad fraud, and 52% estimate it’s more than 10% of their ad spend.
Advertiser Perceptions conducted interviews with 197 advertisers (52% agency, 48% client) from August 15 – September 15, 2017.
Read the entire study HERE
It might be of some value to start generating more compelling and influential spots, as well.
Of course, I may have my head in a place where the oxygen is somewhat limited. 🙂
Giving national and local advertisers needed confidence is easy – give them what they tell us they want: 52 weeks of documented sales results, attributed to radio. It begins with catalyzing consumer consciousness, following through to documenting the consumer’s purchase.
Google doesn’t do that. Facebook doesn’t do that. Print/aka digital news media isn’t doing that. The result is more revenue, at higher rates, for longer-term contracts.
What are you doing to deliver your advertisers 52 weeks of documented sales results? It’s been done inside and outside of radio thousands of times. If one person can help local and national advertisers generate millions, our industry can jump its flat-lining revenue and generate billions.