Cannondale Associates has developed an analytical process and methodology for successfully evaluating in-store marketing communication. The approach measures not just activities, but also results, targeting shopper response in addition to financial ROI vs. industry benchmarks.Our take:
Measuring the effectiveness of in-store marketing is a crucial concern, since metrics have focused on activities instead of results. Wilton, Conn.-based Cannondale has devised a quantitative, attitudinal, and behavioral-based solution to gauge shopper response and ROI among various in-store marketing vehicles and tactics. Quantitative results are offered by marketing objective, vehicle, time of year, placement, and message.
The ShopperDNA process incorporates four fundamental metrics: demand through brand/communication awareness and engagement, changes in attitudes and intent through the right communications, activation through an immediate product purchase, and repeat or sustained change in consumer behavior. Among the key benchmarks are trial, source of volume, and performance by shopper segment.
Recent efforts by Nielsen (PRISM), POPAI (MARI) and Sorensen Research have all attempted to connect the consumption of various pieces of in-store marketing with recall, brand preference and, of course, actual sales. These groups have been somewhat successful so far, but we're under the impression that they are just realizing how large and complex a project it actually is, and how many external factors must be accounted for before their results can be deemed meaningful. What makes the Cannondale research somewhat unique is their attempt to go a step beyond mere measurement and actually attempt to calculate the return on investment for various types of marketing materials. Such calculations are one of the current challenges, particularly in the digital signage world, where high up-front costs and a relatively short history have hindered many larger deployments and forced marketing departments to spend significant amounts of time, money and effort working on standardized measurement and analysis techniques.