the broad, complex, dynamic marketing...

© Borrell Inc., 2020. All rights reserved

The Broad, Complex, Dynamic

Marketing Environment

...demystified...

March 2020

© Borrell Inc., 2020. All rights reserved © Borrell Inc., 2020. All rights reserved

2

WHO NEEDS THEDE-MYSTIFICATION?


33

ON A LOCAL LEVEL, OUR INDUSTRY IS POWERED BY THREE DIFFERENT SPHERES

MEDIA

LOCAL

BUSINESSESPEOPLE

a.k.a.

Promotions,

Marketing Choices,

Agencies,

Influencing Tools

a.k.a.

Advertisers,

B2C & B2B Businesses,

Local Goods & Services

a.k.a.

Consumers,

Audiences,

Households in a Market


44

MEDIA

LOCAL

BUSINESSESPEOPLE

THINK OF THE CONNECTION BETWEEN EACH SPHERE IN TERMS OF DATA


55

IN A PERFECT WORLD,ALL CONNECTIONS WOULD BE STRONG AND FEEDING OFF ONE ANOTHER

MEDIA

LOCAL

BUSINESSESPEOPLE


6

BUT WE DON’T LIVE IN A PERFECT

WORLD

YET


7

FINDINGS FROM BORRELL’S LOCAL ADVERTISER SURVEY

• Annual Survey• 2,288 Local Advertisers• 446 Local Agencies• 40-ish Questions• Completes Only• More Words in the Open

Ended Responses than in The Lion, The Witch, and The Wardrobe


8

© Borrell Inc., 2019 All rights reserved

We increasingly rely on measurable methods of advertising.

Direct mail has proven to be worth the investment.

Sadly print advertising is a dying animal.

I can be on 9 radio stations in one weekend and people will still say they never heard about us!!!

Don't try to "over-sell" your product

We are trying to shift into more digital resources.

DIGITAL DOESN'T WORK FOR AGE OF POPULATION I REACH!

Offer more business-specific recommendations as to what works and what doesn't. There are so many options that advertising budgets can be quickly exhausted with little payback.

What They’re Saying


9

SO…..WHERE DID WE

LEAVE OFF?


“Half the money I spend

on advertising is wasted.

The trouble is, I don’t

know which half.”

--John Wanamaker, 20th century

retailer & marketing pioneer

10

Total responses for survey N= 2,145

50%

38%

12%

DISAGREE!

AGREE!

DON’T KNOW

IS WANNAMAKER STILL RIGHT?

Borrell’s LAS 2019 Total responses for survey N= 2,083


% CHANGE OVER PREVIOUS YEAR 13%

% OF GROSS REVENUE 15%

NO SPECIFIC METHOD 48%

11

How do you determine your advertising budget?

Top 3 answers are on the board…



12

Which statement best represents how you feel about the amount your business

spends on advertising?


42%

32%

15%

11%

Over-Spending

Under-Spending

Don’t Know

Just Right

What does this really mean?

At least 58% need help


13

WHAT IS MOST INFLUENTIAL?

Media Company Ad Type Media Rep

Media Company Ad Type Media Rep

66%

15%19%

Which has

the greatest

influence in

your

advertising

buys?

© Borrell Inc., 2019. All rights reserved Total responses for survey N= 2,322Borrell’s LAS 2019 Total responses for survey N= 2,083


14

FINDING THEIR WAY THROUGH

SOMEHOW

• Still don’t know what advertising works

• Have no budget strategy

• 58% don’t think they are spending right

• They are attempting to put it altogether themselves


FROM A LOCAL ADVERTISER’S POV,THERE IS A LOT TO DEMYSTIFY

3/13/2020


16



“

”

We are interested in more digital media. Podcasts, youtube ads or other social media ads. Facebook and Instagram does not permit our business to advertise.

Retail,$100-199k revenue


17


18

Who produced your company’sradio spots?

Borrell’s LAS 2019 Total responses for survey N= 2,083, 1066

2%

7%

15%

18%

75%

Don’t know

Other (please specify)

A third-party firm/contractormy company hired

Employees at my company

A radio station I buy from


19

Where else did you use the radio spots?


4%

5%

10%

17%

74%

Other

Somewhere else online

Our company website

Our social media pages

Nowhere - station’s placements


20

WHAT KIND OF DIGITAL AUDIO ADVERTISING DID YOU BUY?

55%

42%

23%

19%

3%

11%

Pre-recorded spots inserted in-stream

Branded or sponsored content

Native advertising

Programmatic advertising

Other

Don’t know


WHAT % BOUGHT DIGITAL AUDIO?

6%


21


WHY DID YOU BUY DIGITAL AUDIO?

Reach a specific demographic 56%

Generate leads / boost conversions / drive sales 46%

Increase word of mouth 41%

Experiment with the medium / test the waters 32%

Educate consumers 32%

Tell a story 24%

Create a memory / lasting impression 21%

Humanize the brand / connect emotionally 19%

Gain organic search traffic / time spent on site 18%

It came with the package of something else I bought 13%

Replace another advertising medium in the media mix 13%

Change the brand image 10%

Other (please specify) 7%


22

Yes, 5%

No, 63%

Dont know, 32%

Yes, 2%

No, 88%

Dont know, 10%

Yes, 2%

No, 93% Dont

know, 5%

Is your website optimized for voice

search?

Has your business developed voice-

activated content?

Are you currently doing any marketing on Amazon Echo

or Google Home?

DIGITAL AUDIO QUICK HITS


23


24

Who produced your company’sTV spots?


3%

6%

14%

20%

35%

38%

Don’t know

Other

Employees at my company

A cable station/network I buy from

A broadcast TV station I buy from

A third-party firm/contractor


25

Where else did you use the TV spots?


7%

19%

28%

47%

60%

Other

Somewhere else online

Nowhere - station’s placements

Our company website

Our social media pages


26

WHAT KIND OF ADVANCED TV FEATURES DID YOU BUY?

None; Traditional spot buys only

OTT, Connected-TV, VOD

Multi-platform reach

Programmatic ad buys

Addressable (targeting beyond age, gender, geo)

Don’t know


WHAT % BOUGHT VIDEO?

26%

49%

19%

14%

7%

21%

7%


27

WHAT KIND OF ADVANCED TV FEATURES DID YOU BUY?

None; Traditional spot buys only

OTT, Connected-TV, VOD

Multi-platform reach

Programmatic ad buys

Addressable (targeting beyond age, gender, geo)

Don’t know


WHAT % BOUGHT DIGITAL VIDEO?

11%

49%

19%

14%

7%

21%

7%


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CABLE TV BROADCAST TV DIGITAL VIDEO OTT

5 - Extremely effective

4 - Very effective

3 - Moderately effective

2 - Slightly effective

1 - Not at all effective

Don't know

32% 36% 41% 19%

19%

EFFECTIVENESS OF VIDEO



29

CABLE TV BROADCAST TV DIGITAL VIDEO OTT


4 - Very effective




Don't know

EFFECTIVENESS OF VIDEO



30

WHAT ABOUT YOUTUBE?


31

WHAT TYPE OF PLATFORM DO YOU

CONSIDER YOUTUBE TO BE?

3%

11%

29%

34%

23%


32


MATCH GAME!

Best Source of New Leads



33

GOOD OL’ SOCIAL MEDIA


34


Which of the following digital platforms did your company use for advertising/marketing purposes? (select all that apply)

MATCH GAME!Match the Social Media platforms with Local Advertiser use


35


4 - Very effective




Don't know

EFFECTIVENESS OF DIGITAL PLATFORMS



36


4 - Very effective




Don't know

EFFECTIVENESS OF DIGITAL PLATFORMS



37

BUT BUSINESSES AREN’T THE ONLY ONES BUYING ADVERTISING


38


39

AGENCIES LIKE THEMSELVES SOME DIGITAL

Digital, 55%

Non-Digital,

26%

Don't Know, 19%

Use Both Digital and Non-Digital,

93%

Non-Digital

Only, 4%

Digital Only, 2%

Which of those media types generates the most profit (dollar-

wise) for the business that employs you?


55% 39%

15% 79%

44% 52%

66% 29%

40

BRAND AWARENESS

BRAND CONSIDERATION

DRIVING SALES

ROI DATA

WHAT WORKS WHEN?


35%18% 17% 15% 11%

39%

36% 32%26% 27%

10% 10%Proving ROI of

campaigninvestments

Staying up-to-datewith our competition

Clients pressing forproject-based or one-

off engagementsinstead of longer-

term contracts

Clients piecemealingcampaigns to multiple

agencies

Outsourcing andhiring the right talent

Consumer privacy lawchanges

Business regulationand licensing changes

41

What keeps your company up at night?

#1 Concern

#2 or #3 Concern


42

What sources do you turn to for marketing/advertising advice?

80% 85%93%

Publication Firm People

76%68% 67%

Industry experts /industry professionals

Colleagues Media Reps


43


44



“

”

We need to see real results (not impressions). Bodies thru the door, increase in customer count and gross sales. ROI!

Liquor Store,$50-99k revenue


45



“

” Specialty Food Store,$50-99k revenue

I always wish there was a way to tie growth or sales to what we pay. Typically we hear how great a job and how large the customer base we can reach with an advertiser. But, if it doesn't produce....ROI is negative, the risk was 100% ours and none with the 'partner' we took a chance with. Ideal world, I've always said I'd pay more if it proved that it would work for MY business.


4646

THIS

IS WHAT THEY ARE TALKING ABOUT

MEDIA

LOCAL

BUSINESSESPEOPLE


47

HOW CAN THIS BE ACHIEVED?

THE RIGHT REPTHE RIGHT DATA

THE RIGHT EXECUTION


48

IN A WORD

MARKETING


49

HOW TO BEGIN TO DEMYSTIFY THE BROAD, COMPLEX, DYNAMIC LOCAL MARKETING ENVIRONMENT

• Advertisers feel alone & agencies want help

• The newest product is still a product

• And audience ain’t all that*

• ROI reigns supreme

• Leveraging data & Marketing 101


THANK YOU

March 2020

the broad, complex, dynamic marketing...

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