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The response to advertising

Consumer Behaviour and Food Marketing

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The response to advertising

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    1. Consumer Behaviour and Food Marketing AEB 41 1 The response to advertising Week 9 7 March 2003

    2. Consumer Behaviour and Food Marketing AEB 41 2 Methods for measuring advertising response Qualitative research Focus group, personal interview Little relevance Experiments Are they realistic? Surveys More value when data are collected at intervals Links with demographic characteristics Consumer panel data Change over time (panellists diary, home scan) Econometric analysis Data fusion Combining data from two sources using common elements, e.g. purchase with TV viewing through consumer viewing habits

    3. Consumer Behaviour and Food Marketing AEB 41 3 IRI BehaviorScan Cable tv + checkout scanner = very accurate measure of response to advertising IRI BehaviorScan in the 1980s Poor off-air TV transmission and relevance of cable TV IRI can control (switch) the advertisement for each individual (consenting) household Local stores are equipped with IRI scanners Purchases are associated with households through identification card Marketing mix variables (prices, deals) are also recorded GFK Behaviorscan in Europe (France and Germany)

    4. Consumer Behaviour and Food Marketing AEB 41 4 Limits of IRI BehaviorScan Household owning more than a TV set (one not scanned) Out of town shopping Is the isolated community representative of the US? Tests limited to commercially advantageous studies and big brands (they are expensive) Trade response is not taken into account (retailers stock advertised goods) Competitor response is not considered There is no market validation: ads that are perceived as weak do not enter the nationwide market

    5. Consumer Behaviour and Food Marketing AEB 41 5 Nielsen home scan Home scanned panels National samples No experimentation Link with television viewing data

    6. Consumer Behaviour and Food Marketing AEB 41 6 Store level data Sales extracted from checkout data Aggregate sales by brand and variety Nielsen ScanTrack IRI Infoscan

    7. Consumer Behaviour and Food Marketing AEB 41 7 Sales response

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