Are you missing out on the Hispanic Market?

With the fast growth of the Hispanic market in the United States,  it has become more important for brands to market to that demographic. With overall population growth, higher HHI and a strong purchasing power, brands can no longer ignore that market if they want to grow their ROI.

However, it is not as simple as using traditional “techniques” used to market to the Anglo market. Latinx consumers behave different and it is the responsibility of the marketer (and their agency) to understand the Hispanic audiences first.

Hispanic Advertising

A little bit about this demographic: 

Hispanics are the second-fastest growing demographic group in the United States * and it’s a young population as for over 50% of them are age 30 years old and younger *. This specific fact should be accounted for in how brands talk and reach out to this massive younger generation of Hispanics, since the majority of this audience, although being of Hispanic background, is born in the US and exhibits bi-cultural behaviors.  With that being said, the greatest opportunity lies on a wider spectrum for creativity.  Since this demo tends to be bilingual, Creative Directors get the chance to develop messaging in “three languages”, English, Spanish and “Spanglish”. In addition to the message, it is important to tailor messages specific to the platforms where Hispanics consume media. Brands have the chance to engage them where they are “hanging out”. For instance 74.5% of the Hispanic population consume media through TV Cable and/or ADS and Hispanics are the most avid radio listeners *.

Brands are always looking for loyalty and repurchasing tendencies in their consumers and according to the Experian Simmons National Hispanic Consumer Study, about 56% of Spanish-dominant Hispanics agree that, “When I hear a company advertise in Spanish, it makes me feel like they respect my heritage and want my business.”

So, let me assure you that for the next two decades, brands that ignore the Hispanic Market won’t survive. They have to understand that this market has great growth potential; nevertheless, it remains an underserved demographic, and there’s where the GREATEST opportunity lands. It’s always a good idea to be the FIRST in doing anything. So, don’t wait and contact us; Modus Direct can become your partner in helping your business grow as never before, with our many years of experience and understanding of this Demographic Group, we will take your brand/product/service to the next level.

Sandra Valencia – Managing Director

sandra@modusdirect.com

 

*http://www.pewresearch.org/fact-tank/2017/09/18/how-the-u-s-hispanic-population-is-changing/

http://www.pewhispanic.org/2016/04/20/the-nations-latino-population-is-defined-by-its-youth/

http://fliphtml5.com/ifva/rjjy/basic

Photo by Omar Lopez on Unsplash

Why Ask Why?

Do not stop to think about the reasons for what you are doing, about why you are questioning.  The important thing is not to stop questioning.  Curiosity has its own reason for existence. One cannot help but be in awe when he contemplates the mysteries of eternity, of life, of the marvelous structure of reality.  It is enough if one tries merely to comprehend a little of this mystery each day. Never lose a holy curiosity. Try not to become a man of success but rather try to become a man of value. He is considered successful in our day who gets more out of life than he puts in. But a man of value will give more than he receives.”  ~Albert Einstein

Why ask why?

Had Albert Einstein and many others not asked all the question he did, where would we be today? We are not rocket scientists or philosophers in advertising, but it is equally important for us to ask questions to truly be the best partners that we can be.  Agencies need to be asking clients questions, clients need to be asking agencies questions and agencies need to be asking their vendors questions.  One of my mentors instilled in me to always ask at least one question in every meeting you’re a participant in.

Clients to Agencies

Clients should be encouraged to ask questions!  Here at Modus we love an open dialog and enjoy educating our clients because as both client and agency become more educated results get better.  Clients ask how media works if you don’t know!  We love to help our client feel more comfortable and confident with how your marketing budgets get spent. Asking questions strengthen the relationship and eliminates any confusion between client and agency.  If you don’t know how that Local Break works, ask! We will gladly impress our knowledge on to you.  Ask your agency if who will be working on your account and what their credentials are.  Ask about the strategy behind the creative execution?  It is going to be effective or will it just earn that agency another creative award. Ask what type of reporting you will receive and on what frequency.  You should ask what types of clients the agency likes to work with, what makes a good client?  What is the agency’s culture, and would that mesh with yours so the relationship can be effective and enjoyable?

Agencies to Clients

Agencies should be asking clients TONS of questions especially in the beginning of the relations, but if the questions don’t continue the progress and growth will stall.  Asking questions keeps the line of communication open and you know that the agency is engaged in your business.  Agencies ask for as much data as we can possibly can.  This isn’t because we are nosey, it is because the more information we have you’re your business the better decisions we can make.  We will ask you for ALL of your marketing spending even on tactics that we don’t control, the reason why is that we can create predictive models, so we are able to see how our efforts effect the overall business because in today’s marketing world it is more difficult to convince someone to pick up the phone. Here at modus we will ask if your call center can handle Spanish speaking calls, we will ask about particular markets and how each of them are individually performing.   We will ask what your goals are, what data you already have on your consumer base, what have you tried before, what your successes and failures have been?   And yes, I said failures, because without some failure there is no growth.  If you have any type of testing strategy, then you would have experienced success and failure.

I could continue to list questions that should be asked, but then you will be sitting there asking yourself why am I spending this much time reading this blog!  There is always something that can be done better, collectively agencies with clients grow business in an active partnership. If you have questions, call us, (941) 552 6770!  We will gladly answer your questions.

4 Reasons Why Your Company Should Do a Media Audit

You may be thinking, I don’t have time to read this blog let alone request an independent media audit, I know my media is airing exactly what I approved. Or you may be thinking, I know my media isn’t perfect but is anything perfect? I will tell you in four words why you need an independent media audit– Trust, Financial, Goals and Competition.

1. Trust –
Trust isn’t just in the people who are buying your media whether internal or with an agency, but also with the numbers they are providing to you and ultimately you are providing to your C-Suite.
Ask yourself these questions:
• Are you confident these numbers are accurate?
• How transparent is the media you are purchasing?
You may receive affidavits, but do you have the time and resources to review each one individually to confirm your media was correct and aired correctly? Was a national break reported when instead it was a national break covered up by 80% of the country?
Trust is also about trusting your media buyers to keep current with your competition. Allowing you to cut through the clutter and gain market share on the competition. You may find your competition isn’t even airing on your most successful network and now is the time to dominate the network, before they do.

 

2. Financial –
Media expenditures are expensive! How can you justify this type of expenditure without an audit? Think of your media audit as important as your company’s financial audit. An audit puts doubt to rest, doubt for you, doubt for your superiors and doubt for the C-Suite. The audit may find some waste but also opportunities to reallocate the waste. Ultimately this will make you look like the hero for finding areas to better use your media dollars

3. Goals –
We understand goals can vary by subsidiary but also by different products or divisions. And with all these variables is your media reaching the correct target(s)? Have you thought about if your media is diverse enough to reach all the demographics needed to achieve not only your media goals but your corporate goals? Do you need to reach not only Millennials but multicultural Millennials? Are you airing on the optimal networks, dayparts and days of the week? After reviewing a media audit, you may find niche demographics you are not yet reaching, and those demographics could exceed your company’s financial goals.

4. Competition –
Your competition is also reading this blog. Don’t you want to schedule your media audit before they do and take away market share from you?

The Modus Direct Free Competitive Television Media Audit includes a 2-year review of your top two competitors. Modus Direct needs your email address, your phone number, your company’s name and your top two competitors and within 5-10 business days we will review our findings with you on a pre-scheduled call. For more information or to sign up for your free report please visit: https://modusdirect.com/competitive-review or contact Jean Rebel at jean@modusdirect.com or 941-552-6770 x104 for more information.

TV is More Alive than Ever!

TV is More Alive than Ever!TV is more alive than ever!

People say “TV is dying”, however, in truth, TV is more alive than ever. It continues to be the biggest mass media channel and the “go-to” for brands that desire to make an impact in the marketplace and spread their message to as many people as possible at once.  Before you say “nah..”, have you seen the Facebook Ad apologizing for their latest botch with Cambridge Analytica? I am sure you did.  How about the re-branding of Wells Fargo claiming “Established 1852, Re-established 2018”? No?  Oh wait, how about the new Nike ad with Colin Kaepernick?

Are you still thinking that “TV is dying”?  I bet not.  Millions of dollars have been spent on TV advertising for each one of these campaigns. Why? Because even the most sophisticated online brands like Facebook realize TV still reaches the masses in a cost-efficient way.  They acknowledge the power of TV in their media mix as one of the most (if not the most) impactful of the media channels in terms of reach and social impact.  In addition, TV is entrenched in our day to day lives, including our water cooler conversations, our shared social media posts, etc.… I know I’ve heard my share of talks around Walking Dead, Shameless or America’s Got Talent. Have you?

So, whether you are consuming TV programming via linear TV or via OTT options like Hulu,  Roku, Sling or Video-On-Demand among others; trust me, TV is more alive than what we give it credit for.

Is TV in your media mix? If it is, are you maximizing it? And if it is not, I invite you to reconsider AND we should definitely talk.

Email us at LetsTalk@modusdirect.com or call us at 941-552-6770 today!

The Television Inventory Economy: Getting the Best Inventory for the Best Price

The Television Inventory Economy: Getting the Best Inventory for the Best Price

Often when advertisers work with us for their first television campaign, there’s a ton of great questions about just how we purchase TV inventory, and how it is exactly that we are getting them the most for their money. With Direct Response TV, you hear terms like “remnant”, “preemptable”, and “discount”, but does that mean your commercials will only air in late night, or that you’ll be in poorly rated, unheard of programs? Not necessarily! Keep reading to find out how you can air in the top-rated shows that everyone loves like The Walking Dead on AMC, for an average of 60% less than other advertisers are paying in the same program!

So how exactly is TV time sold, and what is this remnant thing?

Method #1: Upfront

You’ve likely heard of Upfronts, the very long standing traditional way that TV networks sell their inventory consisting of huge parties with celebrity appearance in New York. Behind the scenes at the upfronts, deals are made for advertisers to commit to purchase huge amounts of TV inventory for the coming year. While this is a great way to get efficient pricing on a massive amount of TV time for large advertisers, those starting out on TV typically require more flexibility (you don’t want to buy 2 million dollars’ worth of something you’ve never tested), and just don’t require the large scale of buys that it takes to get you into those back rooms at an upfront. These deals are pretty much always guaranteed to deliver a certain amount of rating points or impressions, again perfect for big brands with big goals.

Upfronts Pros:

  • Large scale guaranteed to run inventory, necessary for big brands with massive budgets
  • Efficient if you negotiate well, economies of scale can certainly be obtained when buying big chunks

Upfronts Cons:

  • Big commitments both in terms of time and dollars – deals are in the millions and run the course of the season or year

Method #2: Scatter

Scatter is the other way that brands requiring guaranteed impressions buy TV inventory. Scatter is basically just all the inventory that wasn’t sold at upfronts. Scatter inventory still includes top performing shows, live sports, or any other high-profile cable airings. Scatter typically doesn’t have minimums (in terms of dollars of length of commitment), which gives it a huge advantage compared to upfronts. On the flipside, scatter usually has the highest CPMs of all the TV purchase methods (translated, least efficient pricing).

Scatter Pros:

  • Typically, no minimums in terms of dollars or
  • Guaranteed impression or rating point delivery

Scatter Cons:

  • Usually non-cancellable, whatever you buy you are stuck with
  • Least efficient pricing

Method #3: Surplus

Surplus TV inventory is basically created when ratings are higher than expected on certain shows and channels, and Upfront and Scatter buys can deliver all the impressions they were contracted to faster than anticipated. That means there’s more TV advertising time that’s not promised to those Upfront and Scatter customers, and the TV networks must sell it to someone in a hurry! Enter the Direct Response TV inventory purchase method. While some direct response does come in the form of remnant “leftover” inventory, much of the discounted inventory available is in the best programs on the best networks, who have the surplus due to their excellent ratings.

Surplus Pros:

  • Zero commitment, usually booked on a 72-hour cancellation notice – this means if the program or network you’re running isn’t getting the results you want for your brand, you can back out at any time
  • No minimums, in terms of time or dollars – you could book one spot for one day if you felt like it
  • BEST price efficiency of any TV purchase method – CPMs as low as $2 on top tier cable networks
  • Ultimate flexibility in terms of cancellation, last minute additions, making it the perfect solution for ANY brand who wants to run an optimized and efficient TV campaign

Surplus Cons:

  • Not ideal for brands who wish to spend more than $8-$10 million per month as inventory is limited

Flipping the Channel on Influencer Marketing

Flipping the Channel on Influencer Marketing

Many saw Kylie Jenner’s appearance on the recent cover of Forbes and chagrinned at the claim that Kylie is, “set to be the youngest-ever self-made BILLIONAIRE.” I too am willing to admit my side-eyed reaction after reading such a proclamation. But as a media and marketing professional, it also got me thinking as to how she built this successful business, not just at such a youthful age but also in record time – clocking in at just a little over 2 years. What was the catalyst? The article credited the obvious –  savvy social media skills and her role as an influencer not only put Kylie on the cover of Forbes but also helped add several other names to that coveted list. But just having game on social media does not guarantee entry into the Billionaire Girls Club. I suggest that there is an important variable in this formula that is being overlooked as we break down the juggernaut that is the “Kardashian marketing industrial complex” and that is the power of television.

It should be said, I believe social media is an extremely powerful marketing tool and that we have just started to scratch the surface of its potential. But also as a veteran of media placement, who has participated in traditional as well as digital media in a variety of roles and disciplines, I’ve witnessed a fair share of misses when digital was the lone media channel and client goals were defined by revenue generated and units sold.

So how can today’s brands – those that do not have the benefit of having access to a powerhouse reality show (along with a fierce “momager”), up the ante of their social/influencer media strategy? Incorporate television into your mix and here is why…

1. It’s a natural fit for the video content you are already creating. To wit, in late 2017 Viacom acquired WHOSAY, a top influencer marketing content producer. This relationship allows WHOSAY to leverage Viacom’s vast distribution channels and Viacom gets a creative partner that knows how to engage the younger demographic marketers crave.

2.  Everyone loves the targetability of digital but you miss out on the incredible reach that television provides. Hear Ye, Hear Ye, TELEVISION IS NOT DEAD, it IS changing and morphing every day along with its audience but our skilled buyers at Modus are still finding millions of eyeballs and more importantly, their credit cards every hour of every day. Utilizing TV immediately expands the universe your brand exists within and amplifies your message exponentially.

3. Brand Safety Control. In April 2018, CNN reported that over 300 top advertisers including large tech companies, major retailers, newspapers, and government agencies ran on various YouTube channels promoting white nationalists, Nazis, pedophilia. Even scarier – many of these companies had no idea how their ads ended up on these channels despite having extensive brand safety policies in place. No Bueno. With billions of websites out there it’s simply impossible to control exactly where your message will be viewed but that is not the case with television where network standards and FCC regulations inherently protect your brand.

4. Television essentially gave birth to the marketing “influencer” concept with DRTV legends like Ron Popeil. More importantly, it continues to be a natural platform to showcase your business in an ideal environment just as Chip and Joanna Gaines prove with their Magnolia empire.

5. Data, data, data. Like digital, today’s sophisticated multi-channel campaigns utilize regression analysis and attribution modeling to measure the specific impact of different channels. At Modus this is what we love to do.

Social media = good, Influencer marketing = good…it’s all good but it can be DAMN good when you know what you are doing and leveraging Modus’ expertise in ALL media channels especially television and video outlets to optimize your business – exponentially.

 

 

 

Carey Chase

Media Director

cchase@modus.com

What makes Facebook a great platform for Direct Response?

In today’s world, social media is a part of almost everyone’s day to day life. Facebook paved the way, starting out as a way to connect with schoolmates, however, its purpose has now moved beyond that. Users now use the platform for working purposes, consuming news, debating current affairs, shopping, organizing events, and even for gathering recommendations on businesses or products.

 

Facebook alone has two billion users a month, making it the most popular social media platform out there. Pew Research Center found in 2016, eight-in-ten online Americans (79%) use Facebook. Not only does Facebook capture the largest audience, but it also has the widest range of targeting capabilities. Part of this is attributed to information gathered on users based on their profiles and interactions, and the other part of this is Facebook’s partnerships with third party data sources.

 
All of the above makes Facebook a great platform to advertise on it. But what makes it a great companion for Direct Response?

There are three main reasons:
1. Direct Response Ads
2. Affordability
3. Tracking and optimization
First, Facebook has ads specifically designed for Direct response, such as:
– Dynamic ads, which pull images and details from your shopping site to advertise various products
– lead ads, which direct users to a fillable form
– Link ads, which direct users to a desired URL
Additionally, Facebook provides the option to add a Call to Action (CTA) button, such as “Shop Now”, “Apply Now”, “Sign Up Now”, “Learn More”, etc. These buttons can be linked to the advertiser’s website or a Lead Form, which directs consumers to a desired destination with one simple click. There are no extra steps of writing down a phone number or website URL. Another useful feature is Facebook’s ability to optimize for link clicks or conversions – this means Facebook will try to show your ad to only the people it thinks will click your link or will convert on your website.

 
The next reason Facebook is ideal for Direct Response is its affordability. Facebook is the most affordable social platform to advertise on. Being that it is the most affordable, it makes it a great platform to test on if you’re new to advertising on social media.

 
Lastly, performance can be tracked in real time and changes can be made in a matter of seconds. Facebook has a number of metrics it tracks within the platform such as: reach, impressions, frequency, link clicks, click through rate, etc. Facebook also has additional tracking options for visibility beyond the social platform with the Facebook Pixel. By using the Facebook Pixel, you can keep track of consumer behavior beyond the social platform, and these actions can be fed back to Facebook to enhance targeting and conversion optimization.

Sources:
https://www.facebook.com/business/help/1660067357640329/?helpref=hc_fnav
https://www.facebook.com/business/products/ads
http://www.pewinternet.org/2016/11/11/social-media-update-2016/

Hail Direct Response!

What was once an afterthought needs to become an integral part of a Brands advertising strategy. The belief that if people knew that your brands existed, they would see it on a shelf and buy it is unrealistic. The retail experience is going extinct. In an interview with Business Insider Warren Buffet discusses how the face of retail is changing. “The department store is online now,” the billionaire investor said Saturday at Berkshire Hathaway’s annual meeting in Omaha, Nebraska, as Business Insider’s Bob Bryan reported. “I have no illusion that 10 years from now will look the same as today, and there will be a few things along the way that surprise us,” he said. “The world has evolved, and it’s going to keep evolving, but the speed is increasing.”

 
With retail dying, and more people going online to do their shopping, Brands need to be more creative in finding ways to get their potential customers to click that call to action to push the buyer down the funnel to buy. Extend the brand from just awareness to action.

 
We at Modus believe that the services we offer such as TVSync, tieing digital/ Social DR campaigns to TV Brand ads, are the way to combat the degradation in retail. Accenture did a study in 2015 that found that 87% of people they surveyed used a secondary device (smartphone/ tablet/pc) while watching TV. What’s better than promoting your brand on TV and hitting your target on their smartphone or Tablet?

Your Customers Want to Text You!

Meet your audience where they already are – on their smartphone!

 
According to a study by RingCentral, 78% of consumers actually wish they could have a text conversation with a business. The evidence is mounting that smartphones are the primary way consumers interact with each other, and it’s no surprise they want the same from brands.

According to a Nielsen survey Americans text twice as much as they call, on average. 81% of medical and dental patients have indicated that they prefer appointment confirmations and reminders via text (versus 41% via email). If you walk into a Target store you’ll see signage prompting customers to text for coupons, or even to apply for a job. Target uses texting to marry physical and digital shopping experiences, and advertisers can use the same strategy to connect media consumption and direct response. 57% of people use their smartphones while watching TV, and 93% have them handy. This means you can use a text CTA to meet your customers halfway, offering to interact via their preferred method of communication – texting.

 

 

Connect with your audience NOW – ask them to engage!

 
51% of all television ads now show a URL, but only 30% contain a clear call to action. URL’s have moved out of simply being a direct response mechanism and become integral with brands themselves. Cutting through the barrage of URLs washing over your audience is crucial if you want to connect, and offering an instantaneous way to connect via text does exactly that. A text offer creates a sense of urgency and real time connection with your audience.

 
Take advantage of unparalleled consumer attention – people actually read their texts!
Let’s put this in perspective. 8 trillion text messages were sent last year, and 95% of them were read within minutes. Meanwhile, only 14% of phone calls were answered without being placed on hold (I don’t have to write about why that’s less than ideal) and the average consumer receives 1,216 emails per month, but doesn’t even open 20% of them. This is big, this means that once you do have the conversation started via text, your conversions and remarketing efforts stand to benefit from a level of consumer attention that no other response mechanism can offer.
Sources:
https://www.televox.com/downloads/texting_your_patients.pdf
https://www.textrequest.com/blog/texting-statistics-answer-questions/

TV advertising and Analytics research


http://www.slicktext.com/blog/2014/02/text-message-marketing-the-new-kid-on-the-block-infographic/
https://www.textrequest.com/blog/8-reasons-why-texting-is-crucial-to-business-communication/
http://www.pewinternet.org/2015/04/01/us-smartphone-use-in-2015/
https://www.mediapost.com/publications/article/299254/phone-web-and-now-texting-to-marketers.html

The Importance of DRTV Specialists

Use Direct Response TV specialists when buying DRTV
DRTV planning, buying and accountability is vastly different than purchasing Brand media (aka retail rates). If you are going to move to accountable DRTV buying you need an agency that is an expert in it.
Some simple questions every DRTV agency should quickly have the answers to:

 
1. What is my discount off retail rate card?

 
DRTV rates are up to 80% off retail rate card. This holds true for both national cable and spot market affiliates. Because your media is being purchased at distressed rates not all media will clear. Retail buys paying full rate card may “bump” you out of your inventory. Because you want to make sure you are clearing your dollars, your agency should be booking no less than 150% to budget. This is where DRTV experience is key – people who buy DRTV understand this balancing act so you do not clear over or below your budget. They understand they may need to cancel media (DRTV cancellation is 72-hours vs. Retail’s 2-week cancellation – minimum) or add media at the last minute.

 
2. How do you track my campaign performance?

 
The answer should never be Reach, Frequency, Ratings or GRPs. Also, if your agency says they ONLY use Strata, they are most likely not buying much direct response. Strata is a great tool when planning and buying retail but not direct response. Your agency needs a system that will not only allow them to plan and buy media but also track your performance and budget clearance. Direct response experts evaluate your campaign performance every day and review performance of every commercial airing. Therefore, it is critical for optimization and performance evaluation to have the proper tools.

 
3. What type of reporting do you provide?

 
Your agency should be able to give you daily performance on exactly which commercial airings delivered what. This should include the full funnel from response to sale and the ultimate return on investment. Even if there is a long tail on the sale (6-months to a year) a direct response pro will be able to track that sale back to the specific television airing. Direct response television experts track everything – creative, unit length, networks, times, programming. You want it Direct Response Television experts track it. Even if you are driving viewers to your branded URL their analytics team will still be able to give detailed reporting. Your media buy will then be optimized based on this data to deliver the highest return on investment.

Don’t be fooled. It could be costly.
If you have additional questions on buying DRTV or are interested in launching a DRTV campaign, contact Modus Direct, modusdirect.com. We are Direct Response.

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