Ad placement is expensive and for many retailers a large portion of their marketing budget. It is tricky to measure accurately and attribute sales; and how do you know if you are advertising the right products at the right time? Last Saturday, Summit conducted a study on The Guardian, The Observer, Daily Mail and The Daily Telegraph and pulled out a sample of retailer adverts. This study showed whether retailers were maximising their media space and advertising the products most in demand this week using our retail insights demand planning platform Purchase Predictor.
What we did: We looked at the products advertised and used Purchase Predictor to identify how much demand was in the market for the product set. We then used the customer purchase intent score to rank the retailers in likelihood of a sale as a result of the advertising. We recommended products within their portfolio which had a higher purchase intent and should have been included in the advertising.
How Purchase Predictor works: It identifies the most profitable peaks in demand from consumers. By using the digital behaviour of customers, we were able to forecast the customer purchase intent for a range of different products and categories, as well as the customer missions and sales opportunity.
What we found: Three were top of the leader board advertising SIM deals at the point in time when there was 89% customer purchase intent and rising. This was the most well-timed product of all the retail advertising included in the study.
The graph below shows the demand for SIM cards in green and highlights the two weeks with maximum customer purchase intent in pink.
Other, highly relevant seasonal ads included TVs. Currys PC World had an advert in The Guardian for a TV and Purchase Predictor shows customer purchase intent for TVs this week stands at 85% so a good time to promote TVs. Products with an even higher customer purchase intent this week are Camera Parts & Accessories.
From the retailers at the bottom of the table:
Three appear again with their Samsung Galaxy advert. This is when customer purchase intent is at 78% and as shown in the previous graph, mobile phones would be better advertised around 15th September.
Dyson and VAX are at equal ranking. Purchase Predictor shows that they are advertising vacuum cleaners when customer purchase intent is almost at its lowest point for Q2 and Q3 and the best week to advertise vacuum cleaners would be 25th August as per the graph below.
We would have suggested advertising Air Purifiers as during this week instead as the customer purchase intent for Air Purifiers is at its highest point. As shown in the graph below, after this week you can see that the customer purchase intent for Air Purifiers drops off dramatically.
ALDI advertised Garden products across The Guardian, Daily Mail and The Telegraph. The specific products identified in the ad included a pressure washer, a deckchair, outdoor lighting, a hose reel and a fire-pit. In fact, using Purchase Predictor, 14th April was a better week for the pressure washer and would have suggested advertising solely watering and irrigation products to drive greater sales and a better ROI from the media spend.
The full Leaderboard of the retailers and ads we studied on 22nd June 2019:
In summary, some retailers used their ad spend better than others. This study gives a flavour for how Purchase Predictor helps retailers to maximise ROI from marketing spend and ensures you promote the right products each week. If you are interested in learning how we could help you, contact the Purchase Predictor team.
Adverts used in the study were from The Daily Telegraph, Daily Mail, The Observer, The Guardian, all 22nd June 2019.
All results are looking at Q2 and Q3 only, to remove the Black Friday and Christmas peaks from the study.