Predict advertising effectiveness and increase cost efficiency! Explaining the main indicators and methods
Advertisements used as a sales promotion tool for companies. Nowadays, with the advent of web advertising due to the spread of smartphones and SNS, the types of advertising media are diversifying, and bidding competition with competitors is becoming more intense.
In order to be exposed to more targets, you need to reach out to a wider range of advertising media both offline and online, and increase your bids. However, if the desired effect is not achieved and the project ends in failure, there is a risk of loss.
Advertising effectiveness prediction (advertisement simulation) is effective in preventing such risks and performing cost-effective advertising operations.
In this article, we will explain the benefits, indicators, and specific methods of predicting advertising effectiveness.
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What is advertising effectiveness prediction?
Advertising effectiveness prediction is the process of estimating the expected results before placing an ad. Sometimes called advertising simulation.
Traditionally, the common method was to set KPIs (*) before advertising, and then measure the effectiveness after advertising and make improvements.
However, advertising is not the only factor that leads to purchasing behavior. Therefore, with this method, it is difficult to understand how much advertising led to final purchasing behavior such as purchasing or visiting a store. In order to understand how effective the advertisement itself is, it is useful to predict the effectiveness before distribution.
Additionally, with advertisements such as mass advertisements and flyers, it is difficult to accurately measure data such as ``how much awareness the product received'' and ``whether it led to purchase/purchase.'' It is also effective to predict the effectiveness of each medium as a factor in understanding the effectiveness of advertising other than web advertising.
*KPI is an acronym for Key Performance Indicator, and is an indicator for measuring business performance.
Advantages of predicting advertising effectiveness
By predicting advertising effectiveness, you can expect the following benefits:
▼Advantages
- Perform efficient advertising operations
- Enables smooth operation
- Useful for post-delivery analysis
By predicting the effectiveness of advertising, you can get an idea in advance of what kind of results you will get at what cost. Since you can decide whether to place an ad based on cost-effectiveness, you can focus your costs on ads that are expected to be effective. The result is a more efficient advertising operation design.
In addition, since you can decide on the media, budget, publication period, etc. to advertise based on the effect prediction, you can operate smoothly with less additional costs and risk of failure.
In addition, by setting the predicted effects as evaluation criteria and comparing them with the actual operational results, it becomes easier to identify issues and areas for improvement, which can be used to make improvements next time.
Main indicators used to predict advertising effectiveness
When predicting advertising effectiveness, we set various indicators. The following indicators are used to predict the effectiveness of web advertising, mass advertising, flyers, etc.
▼Main indicators
Type of advertisement |
Main indicators |
Web advertising |
|
Mass advertisements, flyers, etc. |
|
How to predict advertising effectiveness
When predicting advertising effectiveness, it is important to consider implementation methods, including the type of advertising media you want to simulate and internal resources. There are three main ways to perform effect prediction.
①Use the functions of advertising media
The first method is to utilize the functions provided by advertising media.
Google's listing ads, Facebook (*1) ads, and Instagram (*2) ads have a function that allows you to measure advertising effectiveness.
▼What can be measured with each medium
Advertising media |
Measurable indicators |
Google listing ads |
|
Facebook ads |
|
Instagram ads |
|
However, it is not possible to predict the effectiveness of advertisements other than those listed above, mass advertisements, flyers, etc.
*1...Facebook trademarks and logos are registered trademarks or trademarks of Meta Platforms, Inc.
*2...Instagram trademarks and logos are registered trademarks or trademarks of Meta Platforms, Inc.
② Request a specialized company
The second method is to hire a professional company.
When you hire a specialized company, you can predict the effectiveness of both offline and online advertising. A simulation is created based on the past track record of the specialized company after conducting research on the market and competitors based on the purpose/goal of advertising and the target product.
Some companies even select advertising media based on the prediction results.
③Use special tools
The third method is to use a dedicated tool.
By using a dedicated tool that can predict advertising effectiveness, you can create advertising simulations by analyzing past distribution and placement data. Some tools can predict attention levels by analyzing words used to increase appeal and eye movement within an ad.
In recent years, services that create effective advertisements based on brain engineering have also appeared. `` Explainable KANSEI'' has a function that can predict the attention level of advertising media from the movement of the user's gaze. By analyzing viewer impressions and color research, you will be able to create advertisements with high visibility.
summary
In this article, we explained the following about advertising effectiveness prediction.
- Overview of advertising effectiveness prediction
- Advantages of predicting advertising effectiveness
- How to predict advertising effectiveness
If you predict the effectiveness of your ads before placing them, you will be able to know the expected results in advance, making it easier to select media, set a budget, and consider the advertising period. In addition to enabling efficient and smooth advertising operations, it is also useful for post-distribution analysis.
Konica Minolta's ` Explainable KANSEI'' visualizes human sensibilities based on kansei brain engineering and enables quantitative analysis of designs. By analyzing the impression and attention level of advertisements, it becomes possible to create advertisements that are more suitable for the target, which supports consumer purchasing behavior.
You can Download detailed information on EX Kansei here.
Additionally, in order to create more appealing advertisements, it is important to consider design from a marketing perspective. Please check this article for more details.
