Editor's note: The comScore study “The Halo Effect: How Advertising on Premium Publishers Drives Higher Ad Effectiveness” was not commissioned by Digital Content Next (DCN) or any of its member companies. While the results were shared with DCN prior to publication, DCN did not have any influence over the design of the research or its findings.
Programmatic advertising and its aggregation of inventory are often viewed as the key forces behind the commoditization of digital ad impressions. The shift to audience-centric media buying from earlier practices emphasizing context has left many questioning whether or not the environment surrounding advertising really matters. It is important that we examine what extent does quality drives advertising effectiveness.
Today’s release of comScore’s independent research, “The Halo Effect: How Advertising on Premium Publishers Drives Higher Ad Effectiveness” presents empirical findings that Digital Content Next member sites delivered significantly higher branding effectiveness results than other sites.* Importantly, the research finds that the primary driving force for the brand lift is the positive impact of the “halo effect” of the contextual environment in which an ad is seen. In other words: A good environment drives better ad campaign effectiveness. In fact, while some of the positive effect can be contributed to higher ad viewability and less invalid traffic on premium sites, comScore found that the most significant driver of increased effectiveness is the halo effect of appearing on premium sites. This “premium” designation is one that our own research has borne out as a distinguishing factor in other areas, such as the quality of ad inventory and the significantly lower bot traffic on DCN member sites.
What value does the halo factor have for marketers? Used properly, it can help a brand cut through the clutter and save money on marketing by using this momentum to operate effectively and efficiently throughout the marketing funnel, particularly in the brand consideration stage where the “halo” lift was 3x.
This is demonstrated by the research, which first compared the overall brand lift effectiveness of ads delivered on DCN members’ sites versus non-DCN premium publishers sites. DCN premium publisher sites significantly outperformed those on non-DCN sites—by 67% (0.89 brand lift vs. 0.53). Measuring brand lift answers some of the biggest questions marketers have such as are my ads influencing consumer behavior, are they influencing sales and to what degree. Knowing a campaign is 67% more effective in influencing consumer behavior and intent to purchase is a win-win situation giving marketers a lead in the marketplace.
comScore also identified ad effectiveness metrics in other parts of the marketing funnel. DCN publisher sites performed 32% better on top funnel metrics, which includes awareness, recall and message association (.56 brand lift vs. .42). The mid-funnel—where consumers have the potential to develop a stronger interest in your brand—performed more than three times as effective for DCN publisher sites with a 1.87 brand lift vs. 0.51. Premium publisher sites can influence the mid-funnel by 255% more effectiveness, a potential accelerator of brand sales. The lower and final part of the funnel includes purchase intent and share of consumer choice metrics. DCN premium publishers performed 9% better on the bottom-funnel metrics (.38 brand lift vs. .35).
comScore’s independent research provides a clear message that brands benefit from advertising on premium publisher sites. While the research found that premium publishers perform better across all phases of the marketing funnel, the value in driving mid-funnel metrics is especially important to convert awareness into positive brand consideration. So, while digital continues to create opportunities for targeting and increase opportunities for efficiencies, it is clear that placement within the context of quality environments provides a “halo effect” that drives ad effectiveness.
The majority of consumers prefer to watch news on TV. When asked where consumers get their news, 57% reported TV, 38% stated online and only 20% said they get their news from newspapers. As one would expect, only 5% of younger consumers, ages 18-29s, often got news from a print newspaper in contrast to close to half (48%) of adults, age 65.
Viewers also reported that TV (89%) offered the most positive viewing experience, followed by tablet (63%), computer (54%) and phone (43%). Further, viewers paid the most attention to advertising on television (29%) compared to 23% for smartphones, 20% for computers and 17% for tablets.
Additionally, the study found that multi-tasking negatively impacts ad recall but not program plot recall. Importantly marketers need to understand drivers of engagement across platforms as well as those specific to their targeted demo. Identifying drivers and assigning value to each platform will better align expectations with campaign effectiveness.
The older the consumer, the more time spent watching television. Among adults 18-34, 39% of media consumption occurs on digital (e.g. smartphones, tablets and desktops), 15% on connected TVs (e.g. Apple TV, Roku, Google Chrome) versus 29% on live-TV and 17% on radio. In contrast, Adults 50+ spend 53% of their time on live-TV, 21% on digital, 17% on radio and 8% on connected-TVs. It’s no wonder traditional TV networks are clamoring to remain relevant and shifting to digital options such as HBO to go, CBS’ All Access and MTV’s Snapchat Channel.
In addition, the shift to mobile directly attributed to the increased use of smartphones to access news and the decreased use of desktops. Demographically, younger consumers prefer mobile for news access while older consumers look to desktop and tablet. Across multiple countries, over half (53%) reported that they use a smartphone to access news. Interestingly, consumers who report mainly using their smartphones to access news stories, do so by entering social media sites versus a branded website or app. Apps have become an impactful tool to send alerts and notifications to attract consumers and to bring them more regularly to the branded website.
The consumer adoption of ad blocking software is a most challenging problem for digital publishers, especially for those heavily dependent on advertising revenue. Of those that currently use an ad-blocker, the majority do so on a desktop with only about 8% do so on mobile. In addition, about one-third of consumers in Germany, UK, and the U.S. plan to install an ad-blocker on their smartphones in the next 12 months.
