Advertising Accountability Study. CPG Study Proves Online Ads Boost Branding and Offline Sales Ground-breaking measurement of online advertising impact.

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Presentation transcript:

Advertising Accountability Study

CPG Study Proves Online Ads Boost Branding and Offline Sales Ground-breaking measurement of online advertising impact on branding and sales – and relative cost efficiency to determine recommended media allocations Media-neutral methodology reviewed by Advertising Research Foundation (ARF) and Association of National Advertisers (ANA) Online marketing proves cost efficient compared to other marketing materials.

Study Participants CPG Consortium MSN Research Partners Advertising Research Foundation (ARF), MMA, AtlasDMT, Avenue A, Marketing Technology Solutions, Marketing Evolution, ACNielsen, Simon Dratfield Associates., SuiteSmart, Interactive Advertising Bureau (IAB), Association of National Advertisers (ANA) Media Contributors: MSN, Yahoo!, AOL

Shopping Database (MTS/ACN) Test Group (Coffee-mate Ads) Control Group (Red Cross Ads) Overall Population Isolating Online in the Mix: The Measurement Approach Branding Analysis Sales Analysis Branding survey Sales measurement - Or - Branding survey Sales measurement - Or - Test: Exposed to Coffee- mate Online Ad Control: Exposed to Control Ad Online

Brand and Sales Results Online advertising drove substantial increases in additional sales for both Kraft and Nestle Jell-O +7.5% sales lift Coffee-mate +10.0% sales lift

<1% 99% Offline Online Sales ROI Payback Of Each Media Vehicle per Dollar Spent Current Mix

<1% 99% Offline Online Sales ROI Payback Of Each Media Vehicle per Dollar Spent Current Mix

Online’s Role in the Mix KraftJell-O 5+ percent<1% Nestle Coffee Mate 5+ percent <1% Recommendation for Online’s % of Mix Recommended allocations are minimums based on sales impact and cost relative to other marketing elements Higher levels of online spending would continue to deliver positive ROI Current Online %

Key Findings Online advertising increased offline sales +7.5 to +10 percent Key branding metrics lift with online advertising Results improve significantly when online spending is increased substantially above current levels If online advertising can help sell groceries, can it help your offline sales? Is your current marketing mix as efficient as it can be?