Selecciones - Webs

Belch: Advertising and
Promotion, Sixth Edition
VI. Monitoring, Evaluation,
and Control
Figure 19-18 Measuring the effects of FSIs
19. Measuring the
Effectiveness of the
Promotional Program
League Baseball teams have seen their attendance increase for those games in which
promotions are offered.
A number of organizations measure sales promotions. One firm, MarketSource,
provides marketers with a basis for measuring the effectiveness of their sampling programs.
While too involved to discuss in detail here, the program calculates a
breakeven rate by dividing the sampling investment by the profit for the user. If the
conversions exceed the breakeven rate, the sampling program is successful. 37 Promotion
Decisions Inc. examines the impact of freestanding inserts (FSIs) (Figure 19-18).
Other measures of sales promotions are also available. Schnucks (St. Louis), Smitty’s
Super Valu (Phoenix), and Vons (Los Angeles) have all used pretests with effects measured
through scanner data. Others have employed this methodology to examine brand
and store switching, alternative promotions, price discounts, and merchandising techniques.
38 Other advertisers use awareness tracking studies and count the number of
inquiries, coupon redemptions, and sweepstakes entries. They also track sales during
promotional and nonpromotional periods while holding other factors constant.
One recent technological development designed to track the effectiveness of sales
promotions at the point of sale is offered by Datatec Industries. This automated system,
called Shopper Trak, places sensors in the store that track whether a person is
coming or going, calculate the shopper’s height (to differentiate between adults and
children), and gauge traffic patterns. The system helps retailers evaluate the effectiveness
of promotions or displays located throughout the store. 39
Elizabeth Gardener and Minakshi Trivedi offer a communications framework to
allow managers to evaluate sales promotion strategies over a given set of specific criteria.
Borrowing from advertising applications, and using four communications
goals—attention, comprehension (understanding), persuasion, and purchase—the
researchers show the impact of four promotional tools and everyday low pricing
(EDLP) on each goal (Figure 19-19). In addition, the impact of everyday low pricing,
© The McGraw−Hill
Companies, 2003
A study by Promotion Decisions Inc. examined the actual purchase data of users and nonusers of 27 coupon promotions in
its National Shopper Lab (75,000 households) over a period of 18 months. The findings:
• FSI coupons generated significant trial by new and lapsed users of a product (53%).
• Repeat purchase rates were 11.8% higher among coupon redeemers than nonredeemers.
• 64.2% of repeat volume among coupon redeemers was without a coupon.
• There was no significant difference in share of volume between buyers who used coupons and those who did not.
• Coupons returned between 71 and 79% of their cost within 12 weeks.
• Full-page ads provided higher redemption rates, incremental volume, redemption by new users, and a higher number of
repeat buyers than half-page ads.
• Consumers who used coupons were brand loyal.
Figure 19-19 Conceptual framework analysis
Sales
Promotions
Communication Factors
Attention/ Communication/
Impression Understanding Persuasion Purchase
FSI coupons √√ √√√ √√ √√
On-shelf coupons √√√ √√√ √√√ √√√
On-pack promotions √ √ √√ √
Bonus packs √√√ √√ √√ √√
EDLP √ √√ √√ √
Note: Promotional tendency to fulfill factor: √√√ = strong; √√ = moderate; √ = weak.
649
Chapter Nineteen Measuring the Effectiveness of the Promotional Program