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+ Exploring The Effectiveness of Branded Content October 21, 2013

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Page 1: Effectiveness of Branded Content.forbes.V2

+

Exploring The Effectiveness of Branded Content

October 21, 2013

Page 2: Effectiveness of Branded Content.forbes.V2

Consumers are Bombarded With Ads All Day, Every Day

v Daily Ad Exposure

© 2013 IPG Media Lab. Proprietary & Confidential 2

Page 3: Effectiveness of Branded Content.forbes.V2

The Greatest Loss of Value for Advertisers is Inattention

© 2013 IPG Media Lab. Proprietary & Confidential 3

Page 4: Effectiveness of Branded Content.forbes.V2

How Can Advertisers Reach and Influence Consumers When Neither Polite Nor Rude are Effective?

© 2013 IPG Media Lab. Proprietary & Confidential 4

Page 5: Effectiveness of Branded Content.forbes.V2

What About Native Content? Specifically, branded content that…

•  Takes on the natural form and function

of the user experience

•  Provides value to the consumer

through journalistic story-telling

© 2013 IPG Media Lab. Proprietary & Confidential 5

Page 6: Effectiveness of Branded Content.forbes.V2

So We Had Some Questions

•  How does the long-form branded content perform

across traditional brand metrics?

•  Does it matter where the content lives?

•  Brand website vs. 3rd party website?

•  How does performance of branded content compare

to display ads?

© 2013 IPG Media Lab. Proprietary & Confidential 6

Page 7: Effectiveness of Branded Content.forbes.V2

What? Virtual Lab Test: Exposed consumers to test article page, followed by the post-exposure survey to access branding

Who? n=2,259 Adults 18+ (Forbes.com readers)

Where? Sample recruited from relevant sections of Forbes.com into online survey

When? March 26—21, 2013

We Did Some Research

© 2013 IPG Media Lab. Proprietary & Confidential 7

Page 8: Effectiveness of Branded Content.forbes.V2

Test Cell Description

1 Control Page Generic article with control ad

2 Display Generic article with test ad

3 Branded Website Branded content on brand website

4 Brand Content Without Display Brand content on Forbes.com with

control ad

5 Brand Content With Display Branded content on Forbes.com

with test ad

Participants randomized into test cell and

asked to view 1 of 5 webpages

Post-exposure

survey to access

brand metrics

Participants recruited from

Forbes.com

2,259 participants recruited

into online survey

Methodology

© 2013 IPG Media Lab. Proprietary & Confidential 8

Page 9: Effectiveness of Branded Content.forbes.V2

3 Test Brands in Different Verticals

Sample recruited from business section of Forbes.com

Sample recruited from lifestyle section of Forbes.com

Sample recruited from finance section of Forbes.com

© 2013 IPG Media Lab. Proprietary & Confidential 9

Page 10: Effectiveness of Branded Content.forbes.V2

Control

© 2013 IPG Media Lab. Proprietary & Confidential 10

Page 11: Effectiveness of Branded Content.forbes.V2

Branded Content Without Display

© 2013 IPG Media Lab. Proprietary & Confidential 11

Page 12: Effectiveness of Branded Content.forbes.V2

Branded Content With Display

© 2013 IPG Media Lab. Proprietary & Confidential 12

Page 13: Effectiveness of Branded Content.forbes.V2

Branded Content On Woodford Website

© 2013 IPG Media Lab. Proprietary & Confidential 13

Page 14: Effectiveness of Branded Content.forbes.V2

Branded Content Works!

0

22 22

35

25

29

22

29 28 27

41

29

37

31

Unaided Brand Recall

“Is a Personable Brand”

“Is an Engaging Brand”

“Is a Quality Brand”

“Is a Brand I Trust”

Brand Favorability

Purchase Intent/Consideration

Control

Branded Content

Impact of Branded Content

Satisfactory significant difference between branded content with &

without display at 90% confidence

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

v v

© 2013 IPG Media Lab. Proprietary & Confidential 14

Page 15: Effectiveness of Branded Content.forbes.V2

Those In-Market For Product Appear To Be Particularly Engaged

83

45

75

39

Likelihood to Read Article Likelihood to Share Article

In-Market For Product

Not In-Market For

Product

In-Market Status By Likelihood to Read/Share Branded Content

Satisfactory significant difference between branded content with &

without display at 90% confidence

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

v v

© 2013 IPG Media Lab. Proprietary & Confidential 15

Page 16: Effectiveness of Branded Content.forbes.V2

While Content On Brand Websites Is Effective, Reach Is The Challenge

Role of Content Location

Control Brand Content on Brand Website Branded Content on Forbes.com

Unaided Brand Recall 0% 45% 31%

“Is a personable brand” 22% 31% 28%

“Is an engaging brand” 22% 33% 27%

“Is a quality brand” 35% 46% 42%

“Is a brand I trust” 25% 31% 30%

Brand Favorability 29% 42% 39%

Purchase Intent/

Consideration

22% 36% 30%

© 2013 IPG Media Lab. Proprietary & Confidential 16

Page 17: Effectiveness of Branded Content.forbes.V2

And, Consumers Are Less Likely To Share & Discuss Content From Brand Websites

29

38 41

45

Branded Content on

Brand Website

Branded Content on

Forbes.com

Satisfactory significant difference between branded content with &

without display at 90% confidence

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

v v

Likelihood to Share Among Those Satisfied

Likelihood to Discuss With Friend/Family Among those Satisfied

© 2013 IPG Media Lab. Proprietary & Confidential 17

Page 18: Effectiveness of Branded Content.forbes.V2

How Does Branded Content Compare To Display?

Page 19: Effectiveness of Branded Content.forbes.V2

Satisfactory significant difference between branded content with &

without display at 90% confidence

0 2

21

33

26

51

Unaided Brand Recall Aided Brand Recall

Control

Display Ad

Branded Content

(Without Display)

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

Branded Content Provides Better Brand Recall Than Display Ads

v v v

© 2013 IPG Media Lab. Proprietary & Confidential 19

Page 20: Effectiveness of Branded Content.forbes.V2

Satisfactory significant difference between branded content with &

without display at 90% confidence

29

37 34

43

37

54

Overall Audience Those Most Satisfied With Article

Control

Display Ad

Branded Content

(Without Display)

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

Brand Favorability

Perceptions Impacted More By Branded Content, Particularly Among Those Satisfied With The Article

v v v

© 2013 IPG Media Lab. Proprietary & Confidential 20

Page 21: Effectiveness of Branded Content.forbes.V2

Perceptions Impacted More By Branded Content, Particularly Among Those Satisfied With The Article (cont'd)

Satisfactory significant difference between branded content with &

without display at 90% confidence

6

9 7

10 11

17

Overall Audience Those Most Satisfied With Article

Control

Display Ad

Branded Content

(Without Display)

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

“Is a Brand I Would Follow On Social Media Sites”

v V v

© 2013 IPG Media Lab. Proprietary & Confidential 21

Page 22: Effectiveness of Branded Content.forbes.V2

Branded Content 3x As Effective At Driving Intent

Satisfactory significant difference between branded content with &

without display at 90% confidence

22

25

31

Control

Display Ad

Branded Content

(Without Display)

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

Purchase Intent/Consideration

v V v

© 2013 IPG Media Lab. Proprietary & Confidential 22

Page 23: Effectiveness of Branded Content.forbes.V2

Branded Content 3x As Effective At Driving Intent

Satisfactory significant difference between branded content with &

without display at 90% confidence

20 20

37 34

34 37

7 6

Branded Content Without Display Branded Content With Display

Very Unsatisfied

Somewhat Unsatisfied

Neither Satisfied Nor Unsatisfied

Somewhat Satisfied

Very Satisfied

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

Satisfaction With Article

V

2 3

V V V V

© 2013 IPG Media Lab. Proprietary & Confidential 23

Page 24: Effectiveness of Branded Content.forbes.V2

So, What Happens When Display is Added?

Example of Branded Content Without Display

© 2013 IPG Media Lab. Proprietary & Confidential 24

Page 25: Effectiveness of Branded Content.forbes.V2

So, What Happens When Display is Added?

Example of Branded Content Display

© 2013 IPG Media Lab. Proprietary & Confidential 25

Page 26: Effectiveness of Branded Content.forbes.V2

Pairing Display With Branded Content Boosts Awareness

0 2

21

33

26

51

38

66

Unaided Brand Recall Aided Brand Recall

Control

Display Ad

Branded Content

(Without Display)

Branded Content

(With Display)

Satisfactory significant difference between branded content with &

without display at 90% confidence

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

Awareness Metrics

v v v v

© 2013 IPG Media Lab. Proprietary & Confidential 26

Page 27: Effectiveness of Branded Content.forbes.V2

Addition Of Display Doesn't Play A Role In Middle & Bottom Funnel Metrics

29

22

34

25

37

31

41

29

Unaided Brand Recall Aided Brand Recall

Control

Display Ad

Branded Content

(Without Display)

Branded Content

(With Display)

Satisfactory significant difference between branded content with &

without display at 90% confidence

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

Persuasion

Metrics

v v v v

© 2013 IPG Media Lab. Proprietary & Confidential 27

Page 28: Effectiveness of Branded Content.forbes.V2

Those In-Market For Product Appear To Be Particularly Engaged

83

45

75

39

Likelihood to Read Article Likelihood to Share Article

In-Market For Product

Not In-Market For

Product

In-Market Status By Likelihood to Read/Share Branded Content

Satisfactory significant difference between branded content with &

without display at 90% confidence

Control=310; Display Ad n=320; Branded Content (Without Display) n=345, Branded Content (Brand Authored With Display) n=324

v v

© 2013 IPG Media Lab. Proprietary & Confidential 28

Page 29: Effectiveness of Branded Content.forbes.V2

In Summary…

•  Because branded content takes on the form and

function of the user experience, it is more effective at

breaking through banner ads

•  Consumer ad avoidance and limited real-estate in

banner ads make them less effective at moving beyond

top-funnel metrics

•  The journalistic storytelling within branded content,

however, pick-ups where banner ads leave off and help

brands drive more meaningful metrics - like favorability

and intent

•  While the same content on a brand’s websites

can be effective…

- It’s difficult to achieve reach on a brand website

- It is much more likely to drive earned reach and

word-of-mouth when it appears on a trusted 3rd

party website

© 2013 IPG Media Lab. Proprietary & Confidential 29