Leading Trade Groups Take on Top Industry Challenge; Bain & Company and MediaLink engaged to support the effort
PALM SPRINGS, Calif. – Three advertising trade groups have launched a major initiative to lead the industry in developing digital metrics and cross platform measurement solutions, with the goal of enhancing marketing and media management decision-making. The announcement was made during IAB’s fourth Annual Leadership Meeting, Ecosystem 2.0: The People vs. Data, at La Quinta Resort & Club, where leaders across the digital media landscape have converged to address the most critical issues facing the industry.
The initiative entitled “Making Measurement Make Sense” is a joint undertaking of the IAB (Interactive Advertising Bureau), the ANA (Association of National Advertisers) and the 4A’s (American Association of Advertising Agencies). These organizations, which represent the entire value chain in marketing and advertising, have engaged the management consulting firm Bain & Company and the strategic advisory firm MediaLink, to support the initiative.
The absence of a consistent approach to measuring and assessing the effects of digital media has resulted in a cacophony of competing and contradictory measurement systems, contributing to a complex and costly supply chain for the industry. “Making Measurement Make Sense” has three primary objectives:
- Define standard metrics and measurement systems that are transparent and consistent to simplify the planning, buying and evaluating of digital media:
- Analyzing the current digital measurement situation from a business perspective
- Defining a common currency for measuring online exposures
- Developing generally accepted standards for brand impact measurement online
- Creating an effective methodology for cross media measurement
- Drive industry consensus around the solutions:
- Gaining stakeholder input and driving consensus around the solution
- Engaging industry leaders to champion the measurement process
- Establish a measurement governance model which encompasses:
- Creating a structure for an ongoing measurement governing body
- Establishing a governance and standards-setting process
- Developing an implementation plan for the roll-out of metrics, standards and management structure
“As more consumers have migrated to digital media, marketers have sought to follow them by deploying interactive campaigns,” said Sherrill Mane, SVP Industry Services, IAB. “The ‘Making Measurement Make Sense’ initiative gives the industry the opportunity to understand how to follow and connect with the consumers targeted by these campaigns, and how to measure both within digital and across media platforms.”
“It is indeed time for the industry leaders to develop a ‘currency’ that is widely and consistently accepted and adopted,” said Bob Liodice, President and CEO, ANA. “Online media has an abundance of metrics, but none that serve as currency across the ecosystem. This process will allow the industry to use consistent measurements to evaluate a program’s return.”
“The leading marketing and media trade organizations have united to spearhead an ecosystem-wide solution to many of the critical issues in measurement,” said Nancy Hill, President-CEO, 4A’s. “The confusion in this area has added costs to advertising agencies, which have been forced to use, subsidize and staff around increasing numbers of metrics and data in order to plan, purchase and post-analyze their media buys. This initiative will streamline and simplify those processes.”
Newspaper Association of America (NAA) has joined the “Making Measurement Make Sense” initiative as a supporter, and outreach to the rest of the advertising ecosystem is ongoing.
This initiative is intended to expand and accelerate the work done to date by the IAB and the Media Rating Council (MRC), which have developed some standards for digital measurement including Audience Reach Measurement Guidelines and Click Measurement Guidelines.
About the IAB
The Interactive Advertising Bureau (IAB) is comprised of more than 500 leading media and technology companies who are responsible for selling 86% of online advertising in the United States. On behalf of its members, the IAB is dedicated to the growth of the interactive advertising marketplace, of interactive’s share of total marketing spend, and of its members’ share of total marketing spend. The IAB educates marketers, agencies, media companies and the wider business community about the value of interactive advertising. Working with its member companies, the IAB evaluates and recommends standards and practices and fields critical research on interactive advertising. Founded in 1996, the IAB is headquartered in New York City with a Public Policy office in Washington, D.C. For more information, please visit www.iab.net.
About the ANA
Founded in 1910, the ANA (Association of National Advertisers) leads the marketing community by providing its members with insights, collaboration, and advocacy. ANA’s membership includes 400 companies with 9,000 brands that collectively spend over $250 billion in marketing communications and advertising. The ANA strives to communicate marketing best practices, lead industry initiatives, influence industry practices, manage industry affairs, and advance, promote, and protect all advertisers and marketers. For more information, visit www.ana.net, follow us on Twitter, join us on Facebook, or visit our YouTube channel.
About the 4A’s
The 4A’s is the national trade association of the advertising agency business. Its membership comprises virtually all of the large, multinational agencies and hundreds of small and mid-sized agencies from across the country. The 1,200 member agency offices served by the 4A’s employ 65,000 people; offer a wide range of marketing communications services, and place 80 percent of all national advertising. The management-oriented association founded in 1917 helps its members build their businesses, and acts as the industry’s spokesperson with government, media, and the public sector. For more information, visit the 4A’s Web site at www.aaaa.org.