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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad CampaignsCopyright © 2012 The Nielsen Company. Confidential and proprietary.

Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Digiday MobileDecember 2012

Jeff SmithSenior Vice President, Product LeadershipThe Nielsen Company

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Nielsen: World’s leading information and insights company

Working with the majority of the world’s leading brand advertisers• Analyzing 55% of the world’s advertising• Measuring audiences and effectiveness in all 210 US TV markets and 29 countries• Connected to 10,000,000 consumers worldwide; scanning billions of transactions daily

Also working with the majority of the world’s leading media sellers & agencies• 75% of top media agencies and all major holding companies• 90% of the top 50 ad networks, 75% of the top 100 publishers

Nielsen helps brand advertisers intelligently leverage data to maximize

return on advertising investment

Nielsen helps media sellers intelligently leverage data to

maximize brand advertising sales

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Upwardly Mobile: The Rapid Evolution of Mobile Media

The Smartphone Revolution: From 7% to 56% of mobile phones in 5 years

U.S. Smartphone Penetration, Q2 2006-Q3 2012

56%53%

49%46%

43%38%

36%

30%28%

25%23%

21%18%

17%16%14%13%10%10%

7%7%6%5%4%3%3%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

Q22006

Q32006

Q42006

Q12007

Q22007

Q32007

Q42007

Q12008

Q22008

Q32008

Q42008

Q12009

Q22009

Q32009

Q42009

Q12010

Q22010

Q32010

Q42010

Q12011

Q22011

Q32011

Q42011

Q12012

Q22012

Q320122006 2007 2008 2009 2010 2011 2012

56%

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Different devices

Android

Tablet

iPhone

What do we mean by mobile?

Different environments in devices: in-browser, in-app

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Upwardly Mobile: The Rapid Evolution of Mobile MediaIncreasingly App-Focused:

5 Million More Consumers Use Mobile Apps than Mobile Web

Number of App Users Nearly Doubled (+85%) Last Year

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Upwardly Mobile: The Rapid Evolution of Mobile Media

App-Happy: Time spent on mobile apps rose 120%

Social Is Helping Drive Time Spent on Apps

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Simultaneous Usage: Mobile + TV

Consumers report that they are:

• Shopping Visiting a social networking site

• Looking up product info related to an ad seen on TV

Multitasking in the New Normal: 38% of smartphone owners use their phone daily while watching TV

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Advertising: Big growth opportunity in mobile

2012 KPCB Internet Trends Year-End UpdateKPCB, 12/3/2012

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Brands: Which of the following would lead you to increase spending in new media?

38%

50%

53%

56%

68%

Ability to verify my online brand advertising was actually delivered to my target

audience

Purchasing efficiency (e.g. the ability to reach audience at scale through fewer

outlets)

Ability to use the same metrics to evaluate brand advertising effectiveness online as

are used offline

Ability to verify my brand advertising created the desired result (e.g. increased

awareness of my product)

Improved clarity around the actual return on your brand advertising investment

The Brand’s Take: Shifting advertising to new media

Cleaning up the “Metrics Morass” with new media

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Why they don’t spend now

“For our brands, the challenge is prioritizing mobile over other well-understood, well-measured results drivers. For the organization, the challenge is learning about mobile —

what works, what doesn’t and how to do it well.”

Jim Cuene, Director, Interactive Marketing, General Mills

Brands’ Greatest Mobile ChallengesDigiday, 12/5/2012

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Advertising effectiveness simplifiedEffectiveness principles are consistent across screens

Reach the right people

Reach

Influence their opinion

Resonance

Impact their behavior

Reaction

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Understand campaign effectiveness across devices

Brand Lift: 10% Brand Lift: 25% Brand Lift: 45% Brand Lift: 40%

Use a consistent metric to compare brand-building effectiveness across all digital platforms

Which metrics do you believe are most appropriate to use to determine the effectiveness of your online brand advertising?

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Mobile measurement faces unique technological challenges

Ad exposure

Creative exposure

Ad exposure frequency

Targeting or site

X ???

How did my mobile campaign

do?

METHODOLOGY: CONCURRENT TEST AND CONTROL – Best Practice

METHODOLOGY: PRE / POST – More limited

Advertising effectiveness complicated

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Challenges with pre/post methodology

Collect responses BEFORE in-app campaign starts

Control TestLaunch

In-app campaign

starts

Exposed collected AFTER in-app campaign starts

Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7

Consumer Favorability

But… Don’t let better wait on perfect

Truly exposed?

External influence?

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

iOS; 34.3%

Rim Black-berry; 8.1%

Android; 51.8%

Others; 5.9%

Smart Phone Operating System Share

Evolving technology landscape will improve mobile measurement

Unique Device ID

(UDID)

Identifier for Advertisers

(IFA)

iOS6Sept 2012

Nielsen Mobile InsightsJune 2012

UDID

IFA

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

Mobile measurement evolved:Will become more consistent

Consistent approach to online and mobile – concurrent test and control, granular data to evaluate advertising effectiveness

Ad exposure

Creative exposure

Ad exposure frequency

Targeting or site

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Copyright © 2012 The Nielsen Company. Confidential and proprietary.

Digiday: Measuring and Optimizing Resonance for Mobile Brand Ad Campaigns

• 3R Framework – simple, actionable, powerful– Consistent cross screen measurement is critical– For brand advertisers, resonance is brand lift

• Mobile advertising measurement faces unique challenges – No cookie, can’t employ best practices in experimental design– Lack granular performance data (creative, frequency, etc)

• Don’t let better wait on perfect– Don’t let better wait on perfect– Use best available resources today, build for tomorrow

Summary