With the rise of Media Mix Modelling (MMM) and Thinkbox’s influential Profit Ability 2 study, the quest to measure the effect of media has never been higher.
This week Route, in collaboration with John Perella and Anna Sampson, is releasing a bank of intelligence to help our industry navigate the world of OOH in relation to marketing budgets.
Euan Mackay, Route CEO, said that good decisions depend on good data but the global conversation on econometric models has shifted:
“Although econometric models excel at demonstrating shifts in short term response, they are not ideal for quantifying the effect on longer term objectives, which begs the question, how best to measure effectiveness throughout the funnel.”
“At Route, we’ve focused to date mainly on audience measurement for OOH. Put simply, we estimate how many people are likely so see any OOH campaign that is bought or sold. Although our data can be output at highly granular levels, it is typically accessed by expert gatekeepers in specialist out of home planning agencies and access to the data for econometricians has been a challenge. The outcome of this is that the OOH data which typically feeds into the econometric models tend to be very high level and the OOH input data does not correlate with movement in sales, resulting in disappointing attribution in the model results.”
Aiming to address this, the new Outcomes section features:
• A best practice guide for MMM and an FAQ.
• Recent work by JCDecaux, Talon and Nielsen – Location Matters for MMM - demonstrating that feeding more granular Route audience data into econometric models can improve OOH’s performance by 42%.
Ruth Chalisey, Route’s Director of Research, said: “OOH’s traditional strength lies in building brand awareness and consideration which often goes unseen in the results of econometric models. It is therefore also important for advertisers to understand the effects on these metrics and how best to appraise them.”
