Targeting TV shows watched by “Heavy Swing Purchasers” delivers 70 percent higher ROI versus traditional demographics
NEW YORK – TRA (http://www.traglobal.com), the media and marketing research company with 1.5 million anonymous households of TV data, announced new research that can dramatically improve the sales impact of television advertising. The study identifies a previously uncategorized consumer segment, which TRA defines as heavy swing purchasers (HSPs). Heavy swing purchasers are people in households who are heavy purchasers of products in the same category as the brand being studied. They have purchased the brand in the last two years, liked it enough to buy it more than 25 percent of the time, but did not become loyal purchasers of the brand. Virtually every brand, regardless of its market share, has consumers who fall into this behavioral group.
TRA’s data shows that advertising aimed at this group can efficiently swing purchasers back to a specific brand. Advertisers that have purchased television programs above average in reaching HSPs realized a 70 percent higher return on investment on average than programs purchased based on the traditional sex/age demographic. The importance of consumers with HSP characteristics emerged from 15 case studies using TRA’s Media TRAnalytics™, the only scalable household-level online system with millions of anonymous households of TV, purchaser and demographic data, reporting true return on investment (ROI) accountability and transparency for advertising spend.
The study using Media TRAnalytics™ suggests that both advertisers and networks will benefit by partnering more closely to place brands in the right programs. Advertisers will see a far greater return on their media dollar. Networks will maintain, if not increase, their advertiser base in an environment of widespread spending cuts. The TRA case studies demonstrated that targeting HSPs using Media TRAnalytics™ to select programs skewed to a brand’s HSPs increases impressions against HSPs by an average of 142 percent at no increase in budget to the advertiser.
“We’ve found the ROI-driving segment,” said Bill Harvey, President and Co-Founder of TRA. “Copy testing has always shown that TV commercials do all of their work on under 15 percent of the audience, but now networks and advertisers know how to identify that audience in advance for each brand, and what TV programs to buy to over deliver that target.”
With the television upfronts quickly approaching, those advertisers, networks and agencies seeking value and accountability from TV advertising are now able to use Media TRAnalytics™ and these findings to ensure their diligence and accuracy when placing advertising dollars to see true return on investment.
Additional findings from Media TRAnalytics™:
* Treating the DVR as a “network”, DVR was the 10th rated network in 2006 and today it is the 6th rated network.
* Advertising during prime time has a higher ROI than other dayparts, despite its higher CPM.
* TV special events appear to have higher ROI, e.g. the Olympics was found to have an ROI about 50% higher than the rest of a brand’s TV budget, despite the high CPM.
About TRA, Inc.
TRA, Inc. (True ROI Accountability for Media — http://www.traglobal.com) is a media and marketing research company whose proprietary patent-pending platform, Media TRAnalytics™, cost effectively matches the ads that people actually receive with the products people actually buy, giving advertisers, agencies and media transparency, accountable measurement, media planning and improved return-on-investment for their advertising spend. TRA maintains the largest, anonymous television database of 1.5 million households and the largest anonymous single source database of 370,000 households. TRA’s clients include television networks, consumer packaged goods companies and agencies such as MediaVest, a subsidiary of Paris-based Publicis Groupe, which was TRA’s first agency to license Media TRAnalytics™. Investors include Kodiak Venture Partners, WPP and Arbitron. TRA is ISO 27001 certified, the information security management system standard published by the International Organization for Standardization (ISO) designed to ensure security controls to protect information assets.
