Download LECTURE 27

LECTURE-27
Evaluation of
Effectiveness
Chapter Questions
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What are the common methods of measurements
The control and evaluation process
Evaluating Effectiveness
Stages of Copy Testing
Media Evaluation
Campaign and IMC Evaluation
Control and Evaluation
 The strategy formulation and implementation
processes are a prelude to control and
evaluation. This process involves an examination
of the organization’s performance for the purpose
of determining:
1. How well the organization has done
2. What actions should be taken in the light of this
performance.
Common Methods Of Measurement
 Six of the most common methods of
measurement used for control and evaluation
purposes:
1. Return on investment (ROI)
2. Sales growth and/or market share
3. Costs
4. New product development
5. Relation ship with stakeholders
6. Management performance
The control and evaluation process
Evaluating Effectiveness
Types and stages
 Developmental
research
 Concurrent research
 Post testing research
 Diagnostic research
 Factors to be
evaluated
 Communication effects
 Sales impact
 Copy-testing
services
 Developed norms for
product categories
Stages of Copy Testing
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Message strategy
Concept testing
Pretesting
Diagnostics
Stages of Copy Testing
During Execution: Concurrent Testing
 Tracking studies
 Attitude tests
 A favorable or unfavorable disposition toward a
person, thing, idea, or situation.
 Wave analysis
 A series of interview during a campaign.
 Consumer diaries
 A group of representative consumers keep a diary
during a campaign & record activities related to
brand purchased & brand used.
Stages of Copy Testing
During Execution: Concurrent Testing
 Tracking studies
 Pantry checks
 A researcher goes to homes in the target market
and asks what brands or products they have
purchased or used recently.
 Test marketing
 Testing product variations, as well as elements of
a finished ad, a campaign, or a media mix in two
or more potential markets.
Posttesting: After Execution Research
 Memory tests
 The assumption that an advertisement leaves a
mental residue with the person who has been
exposed to it.
 Recognition test
 Recall test
 Persuasion tests
 The basic format is to ask consumers how likely they
are to buy a specific brand.
 Likability tests
 Test used to check any of the method better able to
predict sales impact.
Posttesting: After Execution Research
 Inquiry tests
 Measure the number of responses to an
advertisement.
 Scanner research
 Scanner at the checkout to collect consumer
information.
 Single-source research
 Use of electronic media, researchers are closer to
showing a casual relationship between advertising
and sales.
Media Evaluation
 Evaluating
audience
exposure
 Check estimates in
media plan against
vehicle performance
 Critical evaluation is
whether reach and
frequency objectives
were obtained
Media Evaluation
 Evaluating
audience
exposure
 Advertising ROI
and Media
efficiency
 Return on investment
 The cost of creating and
running advertising vs.
revenue it generates
 Wearout
 The point where the
advertising gets no
response or less
response.
 Media optimization
Campaign and IMC Evaluation
Marketing Communication Evaluation
 Direct response
 Evaluate ads
containing elements
that can be returned
by using directresponse counts
Campaign and IMC Evaluation
Marketing Communication Evaluation
• Direct response
• Sales promotion
 May be necessary to
evaluate both trade
and consumer
promotions
 Payout plan
 Breakeven analysis
Campaign and IMC Evaluation
Marketing Communication Evaluation
 Direct response
 Sales promotion
 Public relations
 Examine the success
of the program in
getting the message
out to the target in
terms of output and
outcomes
Campaign and IMC Evaluation
IMC Consistency
 New discipline
 Can be evaluated using IMC audit
 Content analysis
 The material produced by an organization.
 Mystery shopping
 Visit a retail store to observe and record interaction
& communication pattern.
 Phantom phone calls
 Phone or email to observe and record interaction &
communication pattern.
Campaign and IMC Evaluation
Special Advertising Situations
 Retail advertising 
Generate store
traffic
 Simple counts
 Visibility
 Participation counts
 Sign-up and fill-out
forms
 Loyalty
 Participation counts
Campaign and IMC Evaluation
Special Advertising Situations
 Retail advertising 
 B2B advertising
Lead count based on
calls, e-mails, and
cards returned to the
advertiser
 Conversion rates
Campaign and IMC Evaluation
Special Advertising Situations
 Retail advertising 
 B2B advertising
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 International
advertising
Evaluation should
focus on pretesting
Helps correct major
problems before
miscommunication
Bibliography
 Marketing Management – A South Asian Perspective
by Philip Kotler, Kevin Lane Keller, Abraham Koshy &
Mithileshwar Jha, 13th Edition, Published by Pearson
Education, Inc.
 Advertising Principles & Practice by Wells, Moriarty &
Burnett Published by Pearson Education, Inc.
 Principles of Advertising & IMC by Tom Duncan 2nd
Edition, Published by McGraw-Hill Irwin.
 Principles of Marketing by Philip Kotler & Gary Armstrong
Thirteenth Edition, Published by Prentice Hall
The End:
“Leave everything a little better
than you found it ”