Your marketing campaigns are less effective. This article shows you why and how to drive campaign effectiveness.
As marketers and advertisers, it’s your job to reach out to your audience and let them know about your brand and your product. You are constantly looking for new and creative ways to talk to your audience with the purpose of turning them into leads and customers.
Latest statistics show that marketing campaigns have been delivering fewer results in the past years. According to IPA Databank report, Media in Focus – Marketing effectiveness in the digital era, campaign effectiveness has been decreasing starting with 2012.
IPA is the Institute for Practitioners in Advertising, the professional body which sets the protocols for the UK industry’s best practice standards.
4 Main findings of the Media in Focus report:
- Broad-reach campaigns are still the best way to drive market share, which is in turn a key driver of profit;
- The digital revolution has increased the potential effectiveness of most forms of marketing, including traditional media for firms that invest at the right level, and in the right way, mass marketing is working better than ever;
- Video advertising, both on and offline, is the most effective brand-building form;
- Within that, TV is still the most effective medium and has been getting more effective, in part due to synergies with online video.
Why are your campaigns less effective?
Les Binet, marketing effectiveness expert and co-author of the above-mentioned report has identified the following reason for campaign effectiveness taking a dive in the past years:
Brands running too many sales activation-based campaigns to the detriment of brand-building activities.
Binet’s research found that sales activation delivers short-term sales volume while brand-building campaigns lead to long-term growth and higher sales volumes.
Binet recommends that brands should run both types of campaigns but tweak the balance to 75% brand building and 25% activation.
The digital revolution is leading to increased activation efficiency and so a higher proportion should go to brand. It seems paradoxical, but what’s happening in the digital world means you need to build that brand even more.
Les Binet via cmo.com.au
How to drive campaign effectiveness
Here is how to drive campaign effectiveness according to ‘Media in Focus – Marketing effectiveness in the digital era’ report:
- Adopt a longer-term strategy;
- Focus on profit, not ROI;
- Ensure the right balance of brand building/sales activation expenditure