NEW DATA: Righting misperceptions about tier-two auto ads with Cumulus Media/Westwood One

posted in: Insights, Testing | 0

The largest automotive radio creative test ever assuages advertiser fears about speedy disclaimers.

NEW DATA: Righting misperceptions about tier-two auto ads with Cumulus Media/Westwood One

You know the car ads that promote a big sales event? The ones in which, after the offer is described, the announcer speeds through a range of disclaimers (which are required for those kinds of ads)? That’s the “tier-two auto ad,” which sits in-between national brand advertiser campaigns in tier one and local dealer campaigns in tier three.

The common gut reaction has always been that they’re pretty annoying. But more than that, they’ve led to a perception that tier-two auto ads aren’t effective, and, as a result, to a reluctance by domestic dealer groups to buy these kinds of campaigns on radio.

But do those quick-talking disclaimers really have a negative impact on how consumers feel about those ads? The answer is a resounding no, and now the market has the data to prove it.

Cumulus Media/Westwood One spearheaded the largest automotive radio creative test ever — powered by the Veritonic platform — conducted to measure consumer response to tier-two ads. The study tested the emotional impact and effect on purchase intent of twenty, 60-second tier-two auto ads with over 873 auto-intenders. Disclaimers, on average, were just over 16 seconds long. Key findings include:

  1. Tier-two auto ads generally outperform tier-one: The 20 tier-two creatives (with disclaimers), on average, tested in the top 20 percent of a pool of 2,330 audio ads in the Veritonic database. Overall, they outperformed tier-one ads by 15%.
  2. Disclaimers don’t hurt the ads, and speed often helps: Fast-paced and normal-paced disclaimers yielded the same creative scores; faster disclaimers, in that case, allow more time for branding, messaging, or additional offers without any negative impact.
  3. The closer to purchase, the better the tier-two ads perform: Creative scores, relevancy and purchase intent scores were all higher among consumers who planned to buy a car within the next six months, as opposed to within 6-12 months. Purchase intent scores in particular doubled for those intending to buy in the next six months. The “sales activation” messaging of tier-two ads clearly works for this group.
  4. The stronger the creative, the higher the purchase intent: The top five-testing ads drove a 45% higher lift in purchase intent than the five lowest-ranked ads. This validates the necessity of testing audio creative pre-market to maximize the value of every campaign.

Tier two automotive ads were some of the best testing ads in American radio

“The Veritonic study debunks long-held myths about the use of disclaimers in audio advertising, offering important insights to enhance connections with in-market consumers,” said Stacey Schulman, Chief Marketing Officer for Katz Media Group. “Thanks to this study we can clearly see the huge benefits of marrying effective audio creative with radio.”

Revealing data like this is critical — kudos to our friends at Katz Media Group, the Radio Advertising Bureau (RAB) and Cumulus/Westwood One for ensuring it gets out there — to correct a misperception in the market that disclaimers hinder growth. As the audio market moves more toward an evidence-based approach, all parties involved will benefit, from the advertisers who will spend every ad dollar with greater confidence, to their media partners who empower them to do it, to consumers who will receive more relevant, useful offers.

We’re excited to release this groundbreaking data jointly with our friends at Cumulus Media/Westwood One. See their coverage and get the full report.

To learn more about leveraging this kind of data to help your business, talk to us.

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