MEASURING ADVERTISING EFFECTIVENESS
Basic Concepts
Reach: Reach is the ratio of the total target audience to the viewers who have the opportunity to watch the communication medium where the advertisement is shown or one of the tools in the advertising broadcast program (for example, a specific TV show) for at least one minute within a certain period.
Reach is also used in print media. The Turkish Press Readership Survey conducted by the Press Monitoring and Research Committee (BİAK) every three months calculates the reader numbers of newspapers and magazines based on their reach values.
Reach, a unit of measurement used to determine the number of people reached within a period—usually four weeks for radio and television, and the time each issue remains on the market for newspapers and magazines—is often expressed as a percentage. When calculating reach, each viewer/reader is counted once, and the difference between a viewer who sees the advertisement multiple times in different media and a viewer who sees it only once is not considered.
Effective Frequency and Reach: In media planning, it is necessary to know how many times the advertisements to be broadcast should reach the target audience to be effective. At this point, the concepts of effective frequency and effective reach come into play.
Effective frequency refers to the minimum number of repetitions required for an advertisement to be effective.
Effective reach refers to the percentage of the total target audience who have encountered the advertisement enough to create the desired level of awareness or desired behavior.
Coverage: Coverage defines the number or percentage of people reached by a communication tool or the number or percentage of potential buyers reached by an advertisement within a geographic area. Sometimes used interchangeably with reach, coverage is obtained by dividing the number of people reached by a mass communication tool by the entire target audience.
Rating: Rating is the percentage of people who watch a TV or radio channel during a specific time period. Ratings are calculated using devices placed in the homes of a group of viewers determined according to certain criteria aimed at understanding the general population. For example, if a TV show gets a 50% rating, it means that fifty out of every hundred people in the target audience watched that show during its broadcast.
How Does Peoplemeter Work?
In our country, ratings are measured by an organization called TNS. TNS collects detailed information about the demographic characteristics and socioeconomic status of people living in the cities where the measurement will be conducted. Then, a viewer panel consisting of families representing the structure of that region is created. Ratings are measured in cities with urban populations over the age of 5. Ratings are measured in 2201 homes with 2801 rating devices.
Peoplemeters are attached to all televisions in the home, and the Peoplemeter has a special remote control. This remote control can observe the number of people watching TV at that moment and who they are. Each family member has a number. For example, button number 1 is for the father, number 2 for the mother, and 3 and 4 for the children. Family members press their respective buttons on the remote control when they start and stop watching TV. Additionally, a message asking, "Are the same people watching?" every 9 minutes ensures that family members do not forget to press their personal buttons when they start or stop watching TV.
Share: Share refers to the percentage of the total audience watching a channel during a specific time period and demographic group. In other words, share indicates how many out of every 100 people watching TV prefer that channel. Share is calculated only by considering people who are watching TV. To calculate share, the rating received by a program during its broadcast is divided by the total rating of all programs during the same period.
What are A/B and TOTAL?
- The majority are university graduates, with approximately 30% holding postgraduate degrees.
- Nearly half are salaried employees, qualified professionals (architects, engineers, doctors, lawyers, etc.).
- Nearly 10% are white-collar workers with more than 20 employees.
- 20% are owners of small to large businesses (half of which have no employees).
- Nearly 40% of main income earners (MIE) have working spouses.
- 20% are saving money.
- 30% spend their vacations at resorts/hotels.
- Nearly half have a home library/bookshelf.
A Voice Group (4%)
- Approximately 60% are university/postgraduate graduates.
- Approximately 35% are vocational school or high school graduates.
- Approximately 60% are civil servants, technical staff, or specialists (not managers).
- 15% are owners of small to large businesses (most with 1-5 employees).
- 30% of MIEs with spouses have working spouses.
- 13% are saving money.
- 20% spend their vacations at resorts/hotels.
- 30% have a home library/bookshelf.
B Voice Group (9%)
- 60% are high school graduates (20% from vocational high schools).
- 10% have a higher education degree.
- 40% are tradespeople, shop owners.
- 40% are skilled workers (high school educated).
- Approximately 15% are civil servants or technical staff.
- Approximately 15% are retired.
- 13% of MIEs with spouses have working spouses.
- 5% are saving money.
- 20% spend their vacations at resorts/hotels, nearly 40% visit relatives.
- Nearly 20% have a home library/bookshelf.
C1 Voice Group (22%)
- Approximately 20% are high school graduates.
- 80% have an education level of middle school or lower.
- Approximately 60% are primary school graduates, working regularly as laborers.
- 10% work solo as mobile vendors.
- 20% are retired, not working.
- Less than 10% of MIEs with spouses have working spouses.
- 70% do not take vacations, others visit their hometowns and relatives.
- 10% have a home library/bookshelf.
C2 Voice Group (29%)
- Over 70% are primary school graduates or dropouts, others are middle school graduates.
- 30% are retired, not working.
- Over 20% are laborers (mostly pieceworkers).
- 30% are small-scale farmers.
- Nearly 10% are housewives.
- 80% do not take vacations, others visit their hometowns.
D Voice Group (28%)
- 95% are primary school graduates or dropouts.
- Nearly 30% are unemployed (mostly living on aid).
- 40% are retired, not working; 30% are retired and work as laborers.
- Over 20% of MIEs are housewives (without regular income, living on aid).
E Voice Group (9%)
Gross Rating Point (GRP): It represents the gross viewing, listening, or reading rate obtained by an advertisement during the campaign period. GRP is expressed as a percentage and is a gross value due to viewer repetition. Therefore, the gross rating point does not represent a net rate.
To explain with an example:
Assume an advertisement is broadcasted on programs A and B, where program A has a rating of 20% and program B has a rating of 15%. Let's assume the ad is shown 3 times on program A and 2 times on program B. In program A, 20x3=60, i.e., 60% GRP is obtained, and in program B, 15x2=30, i.e., 30% GRP is obtained. The total GRP is 90%.
Calculating the gross rating point helps measure which advertising mediums reach the audience and to what extent. Comparisons made help determine which advertising mediums can reach the right target audience and allow for the inclusion of the medium in the media plan.
Cost Per Thousand (CPT)
CPT, a concept often used in print media, refers to the cost required to reach every 1,000 people in the target demographic group in an advertising campaign. According to CPT, the point where the most people are reached with the least expenditure is where the media vehicle or media plan is most effective. Also known as CPM (Cost Per Mille), a lower value indicates that reaching the target audience is less costly.
Cost Per Gross Rating Point
It is calculated as the cost of obtaining a rating point to determine the effectiveness of a communication vehicle. For example, if the cost of an advertising slot is 200 TL and the gross rating point for the slot is 10, the cost per rating point is 200 TL/10=20 TL.
The effectiveness measurements of advertising campaigns are carried out using two main methods:
Pretest Effectiveness Measurements Before Advertising
- Before launching an advertising campaign, it involves testing the final concept of a big idea using draft representations with focus groups that represent the target audience.
- In the pretest method, basic concepts are tested and analyzed, as well as print or outdoor ad headlines, content, draft drawings, or TV ad storyboard and animation works can also be tested beforehand.
- This method aims to identify any idea or work that the target audience may not like or misunderstand before the advertising campaign is finalized.
- Thus, making adjustments based on this feedback can increase the effectiveness of the advertising once it is published.
Posttest Effectiveness Measurements After Advertising
- The goal is to determine whether the campaign has achieved its objectives and to collect data for use in situational analysis stages of subsequent advertising campaigns.
- Tests are used to measure communication effects such as brand awareness, recall, and developing a positive attitude towards the brand.
- Testing sales effects is also crucial for evaluating the advertising campaign's impact on sales and other actionable objectives.
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