TV ads more effective when combined with Twitter

twitterIn an analysis conducted for Twitter, MarketShare has found that TV ads were more effective when combined with Twitter paid advertising for the category examined.

The study – which focused specifically on new mobile service subscribers in the UK – found that for mobile carriers, TV advertising generated new customers at an average of $131 each when there wasn’t Twitter paid advertising. But for those carriers combining television ads with Twitter advertising, customer acquisition cost for TV advertising dropped to about $83, a 35 per cent improvement.

“Now more than ever, major brand marketers need to understand the complex interplay between different marketing channels, and online-offline in particular,” says Jon Vein, Co-founder and CEO of MarketShare. “This analysis for Twitter is shedding new light on today’s complex consumer journey and how companies can profit from these insights in an increasingly multi-screen world.”

“We have always believed that Twitter is a powerful complement to television, and this study supports that,” says Adam Bain, President of Global Revenue for Twitter. “MarketShare’s work helps us quantify how Twitter can be a force multiplier, making television advertising even more effective than ever.”

MarketShare’s analysis aimed specifically to measure the impact of Twitter paid products – promoted tweets, accounts and trends – on driving subscriber growth for mobile carriers in the UK.  Results shed light on Twitter’s role in driving new mobile subscribers, the role of marketing spend in stimulating Twitter engagement and increasing sales, and how Twitter advertising affects TV ad performance.

Results indicate an “amplification” effect from Twitter promotions that helped mobile carriers improve ROI on their television ad spending. Paid Twitter programs also drove increases in other business outcomes for UK mobile carriers, including positive user commentary about marketing campaigns and branded search volume.

The study showed that Twitter paid advertising at a relatively small amount of spend – about 1.5 per cent of total budgets on average – produced 9.5 per cent of marketing’s overall contribution to sales. By comparison, online display ads consumed 5.1 per cent of ad spending and delivered 5.5 per cent of results. Print spending, meanwhile, was 31.7 per cent of the total, while delivering 34.5 per cent of the results.

MarketShare also measured how “share of voice” in the world of Twitter conversations (tweets; re-tweets, mentions, etc.) contributed to a lift in sales for UK mobile service providers. The study established that a simulated 10 per cent increase in positive share of voice for service produces a 0.5 per cent lift in sales. Likewise, a 30 per cent boost in positive service-related conversations would lift sales 1.5 per cent.

Posted by on Dec 20 2013. Filed under Ads, Advertising, Articles, Consumer Behaviour, Markets, Research, Social Media.

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