Assessing the ROI of TV ad spends
Being a consumer brand, marketing is vital in creating awareness and staying relevant in the minds of consumers, especially with numerous brands competing for their attention. This FMCG firm’s marketing team is responsible for allocating budgets for marketing spends, specifically TV, print, and media. TV ad spends are the prime focus.
The key challenge in TV ad spends is the varying rate of available FCT (Free Commercial Time) from channel to channel and also for the same channel over time. Channel viewership is always fluctuating which is why the marketing team needs to understand the cost per rating point (CPRP), which is related to viewership. The team must track the inflation of this cost. How much are they spending for a share of viewership? What are the returns gained from the ad spend?
- Market data required to track the cost inflation based on viewership across brands is published by the TV audience measurement body, Broadcast Audience Research Council (BARC)
- The company employed 3-4 data analysts to manually compute the ROI on TV ad spends based on the CPRP of various channels
- The manual effort involved made this a time-consuming, cumbersome and error-prone activity
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Visibility on viewership share acquired and returns gained
Phrazor’s advanced augmented analytics made it possible to automate the company’s Spends and CPRP report by integrating internal data (TV ad spends per brand) and BARC data.
- The Phrazor-generated report provided insights on trends, variance, and diagnostics for various CPRP metrics on all channels, for various campaigns and various category managers
- All of these details were populated as visuals and narratives on the report, in real-time by the platform
- The Phrazor report did away with human intervention, thereby reducing the calculation errors in CPRP
- The report contained narrative insights in easy-to-understand, natural language written by Phrazor from data
- The auto-generated report reflected real-time data, enabling the team to course correct, based on the insights
- The report was standardized and also included important KPIs for the team
One of the oldest multinational firms in the world produces and supplies fast-moving consumer goods in food, home and personal care product categories in Europe, the Americas, Asia, and Africa. It sells over 400 brands in 190 countries and has a daily consumer base of 2.5 billion people.