Quickly knowing if advertising leads
to sales for companies is difficult, since measuring ad effectiveness is a long
and outdated process. However, Constellation Brands Inc., is looking to come up
with a way to measure ad effectiveness through a trial for Black Box Wines
brand’s digital advertising. Because there is a lag time between the end of the
ad campaign and when companies receive data vendor reports, it is difficult to
measure effectiveness of advertising until after the campaign.
Following a collaboration with
Constellation Brands Inc. and Black Box Wines, the wine brand discovered that
they could maximize the efficiency of digital ads in the middle of their
campaign with a minor tweak to technology used by the ad tech firm and data vendor.
With the weekly purchase data provided, they can see if their ads are directly
leading to sales and not have to wait for the campaign to be finalized. Approximately every two weeks, the wine brand
received a report with anonymous information about the customers seeing the ads
that purchased the products which allowed them to know which ad formats were
efficient. The company initially believed that men comprised the majority of
their clientele, but they discovered that women ages 25-54 were actually the
majority. As a result, they rolled out video ads featuring women with
attributes like those that bought the wine.
In turn, it also allowed them to
apply this information to their marketing mix and target the right market. Black
Box Wines matched the media with the market, or in other words, specified the characteristics
of the target market in order to select media that they hear, read, and see. To
sell more products, they most likely used the real time data obtained by
marketing data systems and built an AIDA model.
That is true often we don't think how this lag can affect a company since the data their getting is technically outdated. By doing this and forming an AIDA model we can probably reduce costs significantly in the long run.
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