Validations

 

 

 
 

1. Reach broad audiences. Advertising on high reach channels influences not just people in the market for the product today, but future potential customers. That’s why IPA data shows broad reach channels like TV are more likely to generate long-term market share gain, and why System1 Ad Ratings focuses on TV creative.

See the IPA’s The Long and the Short of It (2013) for more details.

 
 
 

2. Understand your spend relative to the competition. Your share of voice relative to your market share is a strong predictor of your brand’s growth the following year. Spend above your market size (Extra Share of Voice) and you will grow. Spend below your market size and you will lose market share.

The graph on the left shows how TV ESOV leads to market share growth for the UK Cereal category.[1]

[1] See the IPA’s The Long and the Short of It (2013) for more details

 
 
 

3. Understand the quality of your work. System1’s Star Ratings measure people’s emotional response to advertising. When you add Star Ratings to spend data, a strong predictor of growth becomes an exceptional one.

Advertising quality acts like a multiplier for your spend. Aim for the highest Star Ratings and you will make your investment in advertising more profitable, giving you greater control over your long-term growth prospects.

 
 
 

These marketing principles apply across categories. Reviewing each brand’s spend in a category relative to its size, together with the Star Ratings for every ad for every brand, explains market share growth: