When it comes to successful ad targeting for consumer packaged goods brands (CPG), there are a lot of theories, but little data.
Until recently, that is. In June, Nielsen Catalina Solutions (NCS) released the results of a study on 50 CPG brands over 3-and-a-half-years at various stages of their life cycles called How to Build Brands. Recently, Reynolds Wrap, the venerable aluminum foil brand, took a deep dive into what this data means for the brand.
According to the study, advertising spend becomes more efficient when marketers can identify which consumer groups the messaging resonates with most. Ideally, marketers can double down on such targeting to improve return on ad spend (ROAS) and sales lift. For CPGs, efficient spending is imperative. The average food store in the U.S. is 7,500 square feet smaller than 10 years ago and has about 9,000 more products for sale. But 60% of shopping decisions are still made in store. Clearly, many shopping decisions are up for grabs.
Cord-cutters. Cord-nevers. The myriad ways in which consumers can get their media fix grows larger every day. Is the linear TV audience slipping through your fingers? Not if you’ve got the right tools in your toolbox.
Innovid has launched a new twist in their leading video marketing platform to deliver real-time personalization and addressability to OTT and connected TV audiences. But what exactly is being personalized and addressed? That’s where NCS comes in.
Innovid’s dynamic ad targeting is powered by Nielsen Marketing Cloud and NCS’ industry-leading 90MM-household purchase dataset, so CPG brands and their agencies can customize creative based on each individual consumer’s past purchase behavior in real time. Why does purchase behavior matter? It is the #1 predictor of future behavior when it comes to CPG media planning and buying.
GroupM’s Modi Media get it. They’ll be running a campaign to dynamically serve up creative, so cat food buyers get cat creative, and dog food buyers get — you guessed it — dog creative. It’s a no-brainer considering just how precisely and effectively you can reach an audience that is, in many ways, incremental to linear TV.
The time has come for advertisers to fully embrace Addressable TV.
To be fair, for NCS the time came a while back, as we’ve been targeting and measuring addressable campaigns since early 2015. Just consider this a more formal announcement.
The 42 million households that make up the current addressable TV universe represent a significant opportunity to reach consumers on the most coveted of screens, precisely delivering the ad of your choosing to the audience member of your choosing, just like TV’s little brother Digital has been doing since its inception. Hence, addressable advertising on television.
For NCS, it’s a great new vessel for helping brands and networks improve their media buys, but our story hasn’t changed. We’re still the CPG industry’s premier partner for measuring the ROAS and incremental sales impact of a campaign. We still enable advertisers to tie target audiences to campaign goals based on historical purchase behavior — the #1 predictor of future behavior. And, we still make sure anything we do is backed by an authoritative dataset, which in this case, is 90 million unique households of in-store shopper data combined with the addressable TV universe which, when unified to form a single source, results in 30 million U.S. addressable households informed by purchase data and ready to activate today.
If Addressable TV advertising is new to you (or, if understanding how Addressable ads can be optimized to drive sales is new to you), get in touch with NCS and we’ll show you the ropes. For a primer you can pass around the office, download our infographic here.