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Online advertising is working with consumers with over one-third of Australian consumers (33%) exposed to an online advertisement able to recall that advertisement when asked, and 41 percent are able to link the correct brand to an un-branded advertisement, according to new online advertising effectiveness benchmarks released today by market research company Nielsen.
The Nielsen research, developed over three years and based on more than 100,000 Australian respondents, for the first time provides Australian organisations with a set of reliable, local performance benchmarks against which to measure the effectiveness of their online advertising campaigns.
“The number of companies advertising online and the budgets Australian organisations are dedicating to online advertising campaigns is growing every year, but what we have lacked in Australia is a set of local benchmarks against which to measure the effectiveness of that ad spend,” states Tony Marlow, Research Director, Asia Pacific of Nielsen’s online division. “Operating without benchmarks is a bit like flying blind – you can gather up the campaign metrics, but you need the context to get a true gauge on performance, and this is something Australian online advertisers have not had access to in the past.”
The Nielsen benchmarking research revealed that intention to purchase or use products or services increased by 4.9 percentage points following exposure to an online advertising campaign, and brand sentiment increased by 5.3 points.
Awareness also saw a jump following exposure to an online advertising campaign – top-of-mind awareness jumped 3.1 points while prompted awareness increased by 3.5 points. The likelihood of a consumer recommending a brand following exposure to an online advertising campaign increased by 4.4 percentage points.
“At a time when marketers are seeking to invest their resources where they will gain the most return on their investment, the Nielsen benchmarks provide further evidence of online advertising’s effectiveness. We look forward to even more data being made available from both Nielsen and others, demonstrating to agencies and advertisers how online can offer a significantly more targeted, measurable and effective medium than any other media to reach, engage and influence consumers,” said Paul Fisher, CEO of IAB Australia.
“While we have had access to global benchmarking data in the past, every market is different and it’s critical to have local insights against which to measure advertising campaign,” notes Marlow. “Our clients have been crying out for local data and these benchmarking metrics provide them with a true read on the Australian online population.”
