The Supplication of Hershey's Media Proposal Illuminates the Course of Advertising Procurement in Agencies
In the fast-paced world of programmatic advertising, ensuring that the teams who could be working on your account can deliver is crucial. Pitch consultants, tasked with helping clients make informed decisions, pay special attention to the performance capabilities of teams in this area.
The need for testing the performance of teams in programmatic advertising is particularly significant due to the unique challenges it presents. Choosing the right media agency is vital for driving business growth, and the agency team working on a business might not always match the image presented in a pitch.
To effectively test the performance capabilities of a potential media agency team in programmatic advertising, consider the following strategies:
1. Define Clear Objectives and Hypotheses
- Set Goals: Clearly outline what you want to achieve through the test, such as improving Click-Through Rate (CTR), conversion rates, or Return on Investment (ROI).
- Formulate Hypotheses: Based on historical data and industry benchmarks, create hypotheses about how the agency's strategies will perform, such as "By optimizing ad targeting, we expect a 15% increase in conversions."
2. Conduct A/B Testing
- Split Testing: Implement A/B tests to compare different advertising strategies, such as ad creatives, targeting options, or bidding strategies.
- Ensure Randomization: Randomly assign users to different ad versions to maintain unbiased results.
3. Utilize Programmatic Advertising Tools
- Demand-Side Platforms (DSPs): Leverage DSPs to manage ad campaigns, set budgets, and optimize targeting.
- Supply-Side Platforms (SSPs): Ensure that SSPs are efficiently selling ad space to maximize revenue.
4. Monitor Key Performance Indicators (KPIs)
- Track metrics like CTR, conversion rate, Cost per Click (CPC), Cost per Acquisition (CPA), and Return on Ad Spend (ROAS) to evaluate campaign effectiveness and compare with industry benchmarks.
- Use analysis tools like Experian's Outcomes or System1’s Test Your Ad to correlate ad exposure with offline and online conversions.
5. Competitive Analysis
- Analyze competitors' strategies and performance to gauge the agency's competence in competitive markets.
6. Implement Quality Assurance and Feedback Loops
- Conduct regular reviews of campaign performance with the agency to ensure goals are being met.
- Encourage the agency to continuously improve strategies based on feedback and test results.
By implementing these strategies, you can comprehensively evaluate the performance capabilities of a potential media agency team in programmatic advertising. It is crucial to remember that the image presented in a pitch may not accurately reflect the agency team, and there may be a discrepancy between promises made and actual delivery.
Pitch consultants aim to challenge the image presented by the slick new business machine and to test agency capabilities to ensure clients are fully informed. The best media pitches can leave questions unanswered, but by taking a proactive approach to testing, you can ensure that you make the right decision for your business. In programmatic, it is crucial to ensure that the teams who could be working on your account can deliver, and these strategies provide a solid foundation for doing so.
To ensure the performance of a potential media agency team in programmatic advertising aligns with the expected growth and finance goals of a business, strategies such as defining clear objectives, conducting A/B testing, utilizing programmatic advertising tools, monitoring key performance indicators, engaging in competitive analysis, and implementing quality assurance and feedback loops are essential. It is important to recognize that the pitch presentation may not accurately portray the capabilities of the agency team, and a proactive approach to testing can help make informed decisions in technology-driven business negotiations.
