newsworks philadelphia2 effectiveness

1

The ProofThe business case for newspaper advertising as part of the media mix

2

Sam MitchellMarketing Manager, Philadelphia, UK & Ireland

“Philadelphia results across two years show that newspapers are effective at building brand values and delivering a significant return on advertising investment. The combination of strong creative and efficient deployment of media space showed us that newspapers can deliver a strong and immediate consumer response, both in their own right and alongside TV.”

Kraft Philadelphia Year 2The client’s view

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TV + newspapers drove 26% sales uplift in 2006, then 18.5% and 16% uplifts for the two 2007 bursts. £ value per burst was similar – despite moving to ½ pages and reducing newspaper spend by 2/3rds

2007 short-term sales uplift for people exposed to any newspaper ads was 2½ times the cost of newspaper ad space

Up to 92% of incremental sales were influenced by newspaper exposure

Newspapers were much stronger than TV at delivering full price sales

Unique visitors to recipes section soared by 5292% in Aug/Sep 2007

TV plus newspapers continued to drive brand equity and other key metrics more strongly than TV solus.

Kraft Philadelphia Year 2Headline results

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Kraft Philadelphia Year 2Newspapers are perfect long-term partners to TV for building brands

TV and national newspapers – both print and online formats – are the perfect partnership

They are processed in different but complementary ways: TV is more passive, newspapers involve active processing

TV and newspapers are heavily consumed in the evening; online newspapers have high daytime access. Media profiles are complementary

A second year of brand advertising in newspapers should continue to deliver a strong brand impact, even with reduced newspaper spend and smaller spaces

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Kraft Philadelphia Year 2The creative work

Newspaper creative

TV creative

Online newspaper creative

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Kraft Philadelphia Year 2Test detail

Media Plan

Feb Mar Apr May Jun Jul Aug Sep £m

MediaTarget

Audience:Women aged

25-64

TV – 30 sec 1.2

TV Sponsorship

Newspapers 0.73

Online NP 0.1

Research Dates

Millward Brown

Pre-wave 1

Post wave 2

Pre-wave 1

Post wave 2

Research sample: Women 25 – 64, not allergic to dairy productsMedia Source: NMR/BARB/NRS

305TVRs

Campaign objectives

To convince lapsed and occasional users that Philadelphia brings a simple touch of inspiration to many everyday meals

427TVRs

518TVRs

219TVRs

239TVRs

7

Kraft Philadelphia Year 2The findings

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Kraft Philadelphia Year 2TV + newspapers drives sales uplift

28 day sales effect

Apr – May 2006 Mar – Apr 2007 Aug – Sep 2007

£ Incremental sales +26.1% +18.5% +16.0%

£ Index versus 2006 100 97 112

Newspaper Activity 63 x full page 30 x half page 24 x half page

TV Activity c. 281 TVRs c. 305 TVRs c. 427 TVRs

TV Laydown strategy Week on – Week off Continuous burst Continuous burst

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Kraft Philadelphia Year 2Newspaper advertising influences up to 92% of sales uplift

Source: TNS Worldpanel

Incremental Philadelphia sales due to advertising, by media exposure28 day sales effect

TV + NPTV solus NP solus

75%

48%

92%

Apr/May 2006

14%

61%

25%

35%

13%

52%

43%

49%

8%

Mar/Apr 2007 Aug/Sep 2007

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Kraft Philadelphia Year 2Newspapers alone drive 43% of extra sales

Sales increase due to NP solus exposure

28 day sales effect

Share of total incremental sales due to advertisingSales increase, NP solus

43%

+23.4%

35%

+19.7%

14%

+15.4%

Apr/May 2006

Mar/Apr 2007

Aug/Sep 2007

Source: TNS Worldpanel

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Kraft Philadelphia Year 2Newspapers deliver full price sales

Mar/Apr 2006 Apr/May 2007 Aug/Sep 2007 Mar/Apr 2007 Apr/May 2007 Aug/Sep 2007

68

4

66

38

26

32

96

34

62

74

100

Normal price On promotion

Source: TNS Worldpanel

Newspaper solus TV solus

Incremental Sales% normal price vs on promotion

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Kraft Philadelphia Year 2Newspapers drive web traffic

Uplift in UV web traffic Aug – Sep 2007

Uplift

UVs to Recipies homepage during NP campaign

Average UVs to Recipies homepage July 1st - Aug 19th (TV/TV Sponsorship only)

Source: Sophus 3

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Kraft Philadelphia Year 2TV + Newspapers boost bonding

Brand Dynamics

Equity Analysis Post-wave Sep 2007

% points change on pre-wave 2006

-4

TV solus TV + Newspapers

-3

-4

-2

0

+6

+1

+1

+1

+1

81

36

83

85

96

88

53

90

92

98

Bonding

Advantage

Performance

Relevance

Presence

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Kraft Philadelphia Year 2Newspapers drive purchase consideration

Brand Commitment

Likelihood to choose

Pre to post % points increase – Top 2 box %

Se-ries

1

2006

TV solus

TV + NP

Series1

2007Pre-Apr to Post-Sep

Any NP

+4

+4

-8

+5

+3

0

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Kraft Philadelphia Year 2Adding newspapers shifts brand image

Brand Image

Can be used as an ingredient in cooking

Pre-post % points change in endorsing Kraft Philadelphia

Series1

TV solus TV + NP Any NP

Pre-Apr to post-Sep 2007Pre-post 2006

+16

+9+10

+11

+9

-1

16

Kraft Philadelphia Year 2Newspapers enhance TV ad engagement

+17

Distinctive

Interesting

Soothing

Pleasant

Gentle

Weak

Dull

Boring

Irritating

Unpleasant

Disturbing

Involving

+12

Norm: 698 TV ads

-+Added effect of NP

Recognise any TV

Recognise TV + NP

Millward Brown – TV Involvement Diagnostics

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Kraft Philadelphia Year 2Newspaper ads highly engaging

Millward Brown – TV Involvement Diagnostics+19Distinctive

Interesting

Soothing

Pleasant

Gentle

Weak

Dull

Boring

Irritating

Unpleasant

Disturbing

Involving

Norm: 698 TV ads

-+Added effect of NP

Recognise any TV

Recognise any NP

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Kraft Philadelphia Year 2Newspapers improve response to TV

Response to TV ads, Sep 07

% agreeing

Se-ries1 59

79

59

70

68 48

TV solus TV + NP

Added impact of Newspapers MB UK norm - %

Se-ries

181

90

75

82

84

Series1 + 22

+ 11

+ 16

+ 12

+ 16

41

40

53

36

Contained new information

Points made were relevant

Contained different information

Made me more likely to use Philadelphia

Made brand more appealing

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Kraft Philadelphia Year 2Newspapers boost emotional connection

TV solus TV + 1 NP ad TV + 2 or 3 NP ads TV + 4+ NP ads

17

29

34

49

Advertising measures, Sep 07 – Brand values

Helps me to connect and identify more strongly*

Top Box – agree strongly %

20

Kraft Philadelphia Year 2Newspapers provoke strong re-appraisal

TV solus TV + 1 NP ad TV + 2 or 3 NP ads TV + 4+ NP ads

18

3941

51

Advertising measures, Sep 07 – Re-appraisal

Surprising and gets me to think differently*

Top Box – agree strongly %

21

Kraft Philadelphia Year 2Call to action up 150% when multiple newspaper executions added

TV solus TV + 1 NP ad TV + 2 or 3 NP ads TV + 4+ NP ads

21

32

44

55Advertising measures, Sep 07 – Call to action

Gives me a reason to go out and buy*

Top Box – agree strongly %