How many conversions come from your big brand campaigns? Our new approach provides answers to this classic marketing question.
If you’re a marketer, you know all about the funnel. It’s the classic marketing approach that captures the different stages of customer behavior as they make their way to the promised land of a purchase, a download, or some type of conversion.
Top-of-the-funnel campaigns are all about creating broad awareness among large audiences, such as a splashy homepage takeover to debut a new car model. Mid-and-low funnel activities aim at quickly driving qualified prospects to conversion, such as a direct response campaign offering test drives at a local dealer.
Low-funnel activities have specific goals that make it easy to measure ROI. The unattainable Holy Grail of ROI has been measuring the actual impact that expensive, top-funnel awareness campaigns have on lower-funnel activities.
Unattainable until now, that is. The Genome from Yahoo team has leveraged their mastery of Big Data to develop a new approach to accurately measuring the value of brand awareness campaigns.
It’s called Synergy, because it analyzes how campaigns work together and impact each other. And it provides two brand-new metrics, called reach extension and performance amplification, that help marketers understand exactly how their awareness campaigns add value to lower-funnel activities:
Reach extension measures the number of consumers brought into the funnel by an awareness campaign, where they can be exposed to lower-funnel marketing activities. The bigger the number, the more prospects for the lower-funnel activities to potentially drive to conversion.
Performance amplification measures how many customers brought in by awareness campaigns reach the bottom of the funnel, where they’ve had more exposures to marketing measures and are more likely to convert.
This data helps marketers understand the value of their awareness campaigns and how they might adjust them for better performance. We’re the only company that can offer this key insights for two reasons:
- We run both awareness and direct-response campaigns, which gives us immediate access to a greater amount of data for quicker and more complete analysis.
- Our unique Propensity Algorithm enables us to look at consumers who have been exposed to both types of campaigns and determine which ones are most likely to actually convert. It’s a quicker, easier, and less expensive way to determine the value of awareness campaigns than the traditional approach of creating control and test groups of actual consumers.
Check back for future posts on that go into more depth on these two important campaign metrics and how they benefit marketers. To learn more about Synergy and other Yahoo advertiser products and services, please contact your account representative or contact Yahoo! Sales.