Experiments in effectiveness: are you really getting ROI on your digital media investment? - Sam Gaunt, Head of Media, Lidl

1. Experiments in
Effectiveness
Sam Gaunt

2. • NETFLIX INTERNATIONAL GROWTH
Annual Spend UK
£0
£22,500,000
£45,000,000
£67,500,000
£90,000,000
2015 2016 2017 2018 2019
Market Share %, UK
2015 2016 2017 2018 2019
6
5.6
5.2
4.6
4.2

3. Business & Marketing insights
• Short vs long term effect of Brand /
Price messages
• Identifying the value of specific brand
metrics
• Optimum AV frequency brand vs price
• Effectiveness of investing in price
discount vs marketing
Building our Knowledge
Digital tests
• Brand search
• Social media
• Targeted OLV
• BVOD

4. Average ROI
TV Radio Press Digital
Our Digital Advertising Challenge

5. Ad funded TV is shrinking
0bn
100bn
200bn
300bn
400bn
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
16-34s HW w Children ABC1 Adults Column2 Column3
Column4
Source: BARB / Ebiquity “Tipping Point”

6. Source: TouchPoints Q4 2015-2018, Mean minutes per day across total year
Average Daily Minutes Viewed
(UK Mainshopper with Kids)
Linear BVOD SVOD
30
14
171
128
196
2015 2018
Ad-free TV is eating our minutes

7. Source: Ebiquity Tipping point, Mainshopper with Children
Accelerating the demise of cheap & easy AV reachNetSpend
£0m
£2m
£3m
£5m
£6m
0 25 50 75 100
2013
2018
Reach %

8. The digital premium
Cost per Thousand Ad Exposures, UK, Viewable
Traditional reach Digital Premium
TV £7 (30” adults)
£28 VOD
£40 Premium OLV
Radio £2 (30” adults) £10 (Prog.)
OOH £1.50 (6s) £28 (D6)

9. Protecting ROI in a harsher media environment
Recognising the new landscape
• Review campaign phasing – the old
burst model is becoming less relevant
• Prioritise efficient inventory and think
annually
- Understand when the Digital
Premium plays a role
• Assets must work under their own steam
- Don’t expect people to have seen TV
first
Working media harder
• Do your own measurement
• Avoid “lazy search”
• Social advertising as DOOH
• Digital for targeting
• Customer-centric digital

10. “Last click attribution” is alive and well

11. I read your
native article
because I
already love you
x
Beware “false uplifts”
I love you
because I read
your native
article
What we want to believe… Or…

12. MMM + regional testing
Test
Facebook should be used in
Yorkshire, North East,
Midlands and South West
Exclude
Wales and Scotland will
continue to receive some
form of Facebook activity
unrelated to the test
Control
Control should receive no
activity, regions not targeted
are Southern, Lancashire,
and East of England
Exclude
Exclude London, it can
therefore receive no
Facebook support

13. WEB VISITS
Google Analyt ics Dat a allows us t o explore t he im pact of t his
-70 %
-60 %
-50 %
-40 %
-30 %
-20 %
-10 %
0 %
10%
20%
04-Jun
11-Jun
18-Jun
25-Jun
02-Jul
09-Jul
16-Jul
23-Jul
30-Jul
06-Aug
IndexedWebVisits
Dark Light
-15%
-10 %
-5%
0 %
5%
10%
15%
20%
25%
04-Jun
11-Jun
18-Jun
25-Jun
02-Jul
09-Jul
16-Jul
23-Jul
30-Jul
06-Aug
IndexedWebVisits Dark Light
-20 %
-15%
-10 %
-5%
0 %
5%
10%
15%
20%
25%
3 0%
35%
04-Jun
IndexedWebVisits
Paid Search Organic Search
Avoiding “lazy search”
Turning off
paid search
led to a drop
in web visits
But the loss
was made
up by
organic

14. Facebook 2” GIF testTO
£0.0m
£5.0m
£10.0m
£15.0m
£20.0m
52 week campaign spend
£0.0m £2.0m £4.0m £6.0m £8.0m
TO Average ROI
• Snappy AV also applies to Youtube – and it has to work alone

15. Targeted Digital can drive interest in specific products
…But beware CPM premiums including data costs

16. Customer-centric Digital
• Developing our 1st party data
• Leveraging it to enhance all media
• Improving customer experience and making it easier to transact

17. Thank you
Sam Gaunt
linkedin.com/in/sam-gaunt