ipa's "the long and the short of it" - brainjuicer synopsis
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In this presentation, BrainJuicer outlines the key takeaways from the IPA's "The Long and the Short of It" - namely, that emotional advertising is more effective than rational advertising. For more about emotional advertising, check out FeelMore50 - a ranking of the Top 50 emotional ads of 2013: http://feelmore.brainjuicer.com/feelmore50/TRANSCRIPT
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The Long and the Short of It: A synopsis of the
Institute of Practitioners in Advertising (IPA) study on advertising effectiveness
It’s now over 130 years since retail magnate John Wanamaker said:
“I know only half of my advertising works. The problem is, I don’t know which half.”
It’s the most famous problem in marketing.
The Institute of Practitioners in Advertising (IPA) commissioned analysts and ad experts Les Binet and Peter Field to look at the dilemma of advertising effectiveness in “The Long and the Short of It” (available on the IPA website).
Their analysis looks at 996 campaigns over 30 years. It covers over 700 brands, in 83 different categories.
It’s as good an answer to the Wanamaker problem as we have.
Here’s our synopsis of what Les and Peter found…
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Short and long-term advertising effects work in different ways.Short and long-term advertising effects work in different ways.
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The big payback comes from long-term effects. Long-term profit effects are more than twice as big as short-term.
The big payback comes from long-term effects. Long-term profit effects are more than twice as big as short-term.
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Driving volume is not enough – really profitable advertising supports price,
too. Volume effects are immediate, but price effects take much longer.
Driving volume is not enough – really profitable advertising supports price,
too. Volume effects are immediate, but price effects take much longer.
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Discounting is dangerous - it erodes long-term profit.Discounting is dangerous - it erodes long-term profit.
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Short term or long term, salience is crucial. Even better, aim for fame. Fame makes your money go 4 times further.
Short term or long term, salience is crucial. Even better, aim for fame. Fame makes your money go 4 times further.
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Emotions are more powerful than rational messages, especially over the long term. Emotions have more effects, and they last longer. They are twice as efficient as rational messages, and deliver twice the profit.
Emotions are more powerful than rational messages, especially over the long term. Emotions have more effects, and they last longer. They are twice as efficient as rational messages, and deliver twice the profit.
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Share of voice still matters. Set share of voice above market share for growth.
Share of voice still matters. Set share of voice above market share for growth.
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Supporting brand building with activation channels
can double efficiency.
Supporting brand building with activation channels
can double efficiency.
The ideal budget split is around 60% brand, 40% activation.
The ideal budget split is around 60% brand, 40% activation.
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Advertising does NOT need to be persuasive to work.
Advertising does NOT need to be persuasive to work.
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Loyalty is NOT the key to effective marketing. Loyalty is NOT the key to effective marketing.
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Tight targeting is NOT necessary for success. The broader your reach, the better.Tight targeting is NOT necessary for success. The broader your reach, the better.
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The internet is NOT killing TV advertising – it’s making it work better.The internet is NOT killing TV advertising – it’s making it work better.
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“Real time” metrics are NOT a reliable guide to long-term payback.“Real time” metrics are NOT a reliable guide to long-term payback.
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Creativity is the key to fame AND emotion. Creativity can make your money go 10 times further.Creativity is the key to fame AND emotion. Creativity can make your money go 10 times further.
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Emotional brand building is the key to long-term profit.Emotional brand building is the key to long-term profit.
“The Long and the Short of It” is available on the IPA website (www.ipa.co.uk).
Binet and Field’s provocative discoveries challenge the conventional wisdom on marketing and pre-testing. Research on behavioural science and how consumers really make decisions supports this formula for long and short-term advertising effectiveness.
If you would like to learn how to apply the principles of “The Long and the Short of It” to achieve behaviour change and famous 5-Star marketing, contact us at [email protected]. We’d be happy to help.