Online Measurement:

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• Online Measurement
• Science or Art?

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Science or Art?
A bit of bothlike most (if not all) media
research!
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www. used to mean wild wild west.
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As such, people stopped (or didnt start) taking
leaps of faith
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We can no longer use the excuse of new media
anymore
Both celebrate their 10th Anniversaries this year
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Mature (i.e. not new) media have

• Ad Spec Standards
• Relative equilibrium in rates
• Consistent Trading Standards
• both sides of the fence
• Limited Jargon
• Online has come some way on all these in a short
  period of time

But is still uniquewhich causes some problems
for measurement
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The Digital Reality

• Technology wont stop converging
• Media habits are constantly changing
• Media solutions are even more complex

Two reasons
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1. Consumer uptake
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2. Advances in technologyDevelopment
application that help to solve human problems.
Every 10 years, 100 times as much information can
be compressed onto a disc, but
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Being able to record data is very different from
using it for effective business advantage
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We are failing to follow the golden rule of media

• Use media apertures that audiences use and reach
  them cost effectively

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We are failing to follow the golden rule of media

• Use media apertures that audiences use and reach
  them cost effectively
• Why?
• It is still difficult to prove its effect
  continually or consistently in combination..
• Also, a lot of people (client, agency, media
  owner, researcher) still do not embrace it
• I dont care (enough...yet!)
• Im too busy
• Its too complicated
• Its different

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We are failing to follow the golden rule of media

• Use media apertures that audiences use and reach
  them cost effectively
• Why?
• It is still difficult to prove its effect
  continually or consistently in combination..
• Also, a lot of people (client, agency, media
  owner, researcher) still do not embrace it
• I dont care (enough...yet!)
• Im too busy
• Its too complicated
• Its different

Can we at least show what competitors are
spending?
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How much are they spending?No-one truly knows
Example A 1,000 impressions on finance site
25 - may result in 1 CTR 10
clicks 10 clicks _at_ 1 each 10 - may
result in 20 registration rate 2 2
registrations _at_ 2.50 each 5 - may
result in 50 sale rate 1 1 sale _at_ 1
1!!!!
This doesnt even start to talk about search
which can change on a minute-by-minute basis
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Different objectives call for (very) different
approaches
The biggest difficulty is its flexibility
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The four pillars of digital planning
Environment
Buying Model
Evaluation
Format
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Alas, there is no one size fits all
Single minded clarity of objective gives direction
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Classic Response Advertising
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Evaluation is critical and continuous
Test
Learn
Implement
Refine
Every 1 that OMD Digital spend, they generate
over 100 in sales for easyJet Angelina Demetri,
European Online Marketing Manager
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FrequencyWe can physically cap it, but to what
level?
Is there a magic number? It depends
Source Atlas DMT
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DR clients are focused on cost permetrics
Source Institute of Direct Marketing
What is the return on investment?
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We know that online works beyond clicks there is
a brand effect
Source Atlas DMT
Exposed to all the same offline media activity
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Cost per sale isnt always best metricAll sales
are not equal
Thirty percent of the sites they retained would
have been dropped had they optimized on Cost per
Sale alone
Source Atlas DMT
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Brand model
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This will only continue to get worse with
Digital TV proliferation making it more
difficult to reach through TV alone
100 TVRs Number of spots required 16-34s
Source SPC/BARB
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Look at audience usage
21 !!!
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Look at media delivery
Source Nielsen//NetRatings, BARB, RAJAR
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Look at specific audience interest areas
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Look at audience attitudes to advertisingFrequenc
y is not just about reach but minimising annoyance
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Date
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Weights and levels of exposure
Online usage as of all consumption
Internet Penetration
Competitive
Cost of delivery
Total Imp x Online Usage Estd online imps
Cost Estd CPM Guide
lt50
SOV (imp) Brand pres.
51-65
gt65
Comscore
TGI
Lemonad
OMD expertise
Source OMD Digital
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Evaluation

• Can you hit an audience
• Can you hit it efficiently
• Can you show that it has had an effect
• Finally, can you show that it is having a
  positive effect on my business as part of my
  overall communication planning

A catch 22 situation
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A new blurring of the lines?
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Behavioural TargetingDelivering an ad to a
specifically identified audience
Desired Customer Profile
Source Twin/Poindexter
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More blurringKey discussions at the moment

• Brand Exposure Tracking
• Not reach, not frequency, but valuing an
  interaction or experience
• Spending time with an ad will determine media
  placement
• Video streaming on destination pages
• Advergaming will be a key driver for this, moving
  forward
• Lifetime value of customers
• Campaign data and client data talking to each
  other and being evaluated as such
• 30 day view through windows?

More data, more metrics, more time, more work!
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Finally

• Efficient use of data (not drowning in it!) will
  become key to success
• Get to know the ad serving companies they are
  knowledge powerful
• Targeting based on action not perceived interest
  should become the norm (across all channels) when
  capable
• So long as it is cost efficient to do so
• Online is growing at a rapid pace hopefully
  levels of investment should mean greater impetus
  to develop consistent (and shared) models

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