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Through market research with Appinio, thjnk was able to increase the efficiency of advertising campaigns for digital natives

Client

thjnk

Industry

Marketing & Advertising

Use Case

Campaign Planning & Optimisation

Employees

420 

Das Set-up

500 Respondents

14- to 25-year-olds in Germany

13 Questions

Duration: 45 min

The Challenge

The agency group thjnk has around 420 employees in 10 agencies in 6 cities on 2 continents. Founded in August 2012 by Karen Heumann, Armin Jochum and Michael Trautmann in Hamburg, thjnk today serves a diverse portfolio of clients: from consulting on all aspects of brand alignment to the development of media-neutral, integrated, holistic communication concepts. Since 2017, the independent agency brand has been part of the world's largest marketing services group WPP.

As with any advertising agency, generating (media) awareness for the advertising message within the target group is part of thjnk's core task, alongside creation. In the past, the advertising industry mainly relied on classic media such as TV and radio and was thus able to successfully spread its own message and convince consumers. However, the emergence of social media led to a shift in media consumption and thus also to a change in the effectiveness of advertising in the various media.

 

For an effective campaign, it is important to identify which channels are used by the target group and how advertising on these channels influences the purchase decision. The focus here is primarily on digital natives as tomorrow's customers. As a generation that has grown up with both classic and new media, digital natives are difficult to assess in terms of their media usage behaviour and thus also its impact on purchasing behaviour.

 

With Appinio, thjnk has the opportunity to directly address the hard-to-reach group of digital natives and ask them about their habits and demands when consuming media and advertising. This was used as part of the relaunch of an advertising campaign to optimise the distribution of marketing spend across the various advertising channels and thus increase the efficiency of the campaign.

 


Objectives

To optimally address the digital natives, thjnk wanted to find out which media channels this target group uses most and how media use influences the purchase decision.

Solution

For this, thjnk surveyed 500 people in Germany between the ages of 14 and 25. The focus was on the entire target group of digital natives, which is why there were no further restrictions. The usage habits of the participants with regard to various media (e.g. TV, radio, Instagram, etc.) were surveyed in the questionnaire through multiple-choice questions. With the help of closed and open questions, it was also determined which content digital natives consume on the different channels and which appeals to them most (e.g. Facebook videos, Instagram stories, radio morning shows).

 

In addition, the respondents indicated how they perceive or evaluate advertising on the respective channels. In order to measure the influence on the purchase decision, the participants were also asked how often they had already bought an advertised product. This query made it possible to classify the various media channels in terms of their advertising effectiveness. The survey of the 500 participants took about 45 minutes. Afterwards, the survey was evaluated via the analysis tool in the Appinio dashboard.

The results

Through the results, thjnk was able to identify the advertising channels that are most frequently used by digital natives and on which advertising is perceived most positively. This showed that although the young generation also regularly consumes classic media such as TV, social networks play a much more important role in media consumption. The most frequently used medium among digital natives is Instagram. 81 percent are active there at least once a week. Facebook and Snapchat came in second and third.

 

In the evaluation of advertising, there were also clear differences between the various media. Television advertising was rated the worst. More than 70 per cent rated it as "very annoying". On Facebook, too, advertising only works to a certain extent: Here, a good third (35 per cent) are annoyed by advertisements. In contrast, advertising on Instagram is rated positively, relatively speaking: of all the social networks, more than half of the respondents perceive advertising on Instagram most positively. This can be explained by the follower behaviour on Instagram. After families and friends, digital natives follow celebrities, influencers and companies, which means they consciously subscribe to advertising.

 

Social networks also have a greater impact on purchasing decisions: While only around one fifth say they have bought a product in response to a TV or radio advertisement, more than 45 percent of respondents have already bought a product as a result of an advertisement on social media channels.

 

thjnk used the survey results to make an upcoming advertising campaign more efficient by investing more budget in the relevant channels.

 

By optimally allocating marketing spend, thjnk was thus able to increase its advertising efficiency by over 30 percent compared to previous campaigns.

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In my view, the most innovative and useful tool the advertising industry has seen in recent years.

Michael Trautmann, Founder and Board Member

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