In Bez kategorii

How to shift response curve? Factors impacting shape and scale of response curve: abstract

Moving on the response curve vs changing the response curve

How to set up optimal media – mix? That’s the question asked at the very beginning of every Marketing Mix Modelling (MMM) project. Using response curves, budget can be shifted from one touchpoint to another. Investment can be optimised within a touchpoint and therefore an extra profit can be gained without increasing the total budget. But sometimes it’s also worth asking another question: how to change the response curve for one of the touchpoints? That is another way, beside changing the media mix, to gain extra profit.

4 ways to improve the shape and scale of the response curve

This study explores answers to this rephrased question regarding Meta response curve. Main conclusions from data set used are that, advertisers to straighten and raise the response curve should consider:

  1. Sticking to the right frequency (see Rule 6 in our previous paper to find more about that or check different studies). Going off optimal frequency might negatively impact the shape of the response curve.
  2. Increasing the share of direct response objectives such as app installs, catalog sales or web traffic. Advertisers without direct conversions, should focus on Reach and Consideration rather than Video Views or Post Engagement.
  3. Using well known placements with high inventory like Feed to achieve high scale and combine it with increasing inventory for new placements like In-stream videos to use novelty potential in making curve more linear.
  4. To gain quick short term increase, focusing on Promo communication as it can shift curve up. Remember that by focusing only on the short term perspective, you might harm the brand in the longer-term.

Other ways to change the response curves

Also, keep in mind that there can be a lot of other factors impacting your response curve. Users Generated Content, and the whole creative aspect, should be also considered as crucial when searching occasions to shift response curve higher up.

Further studies regarding e.g. phasing or complexity of media mix can also bring a new perspective to this topic.

 

Download the full paper below:

Recommended Posts

Contact Us

We're not around right now. But you can send us an email and we'll get back to you, asap.

Not readable? Change text. captcha txt