Scenario 3 Including Hispanic Market
All things being equal, if you can get just one more Latino to choose Mythical Burgersjust oneyou can achieve another increase in sales and your ROI.
The Bottom Line
Advertisings only purpose is to persuade you to do something: come to Mythical Burger, or buy one more item, or spend one more buck.
Within that context, effectiveness (achieving success) is often at odds with efficiency (the use of resources). But effectiveness has to come first. If not, whatever efficiency we achieve is empty.
There are many tools at our disposal to measure the effectiveness of our communications, from the tried and true (a discount, a coupon, a promotion) to more complex (online surveys, SMS texting in response to an ad), but it makes all of the sense in the world to use them.
This is a game of inches. Even a 5% response rationwhich is on the high sideis low. It just means that five out of 100 people reacted. In that context, it makes 100% business sense to make an extra effort: Just getting one more person to react to an ad increases your sales substantially. The increase from just five people to six increases your sales 20%.
The message is what drives response, not the medium. Therefore, most of your efforts should be spent in figuring out how many real groups you want to address and what drives response in your groups.
It is doable!
Other articles by Marcelo:
Apology marketing campaign fails to reach shoppers
Apology marketing campaign fails to reach shoppers
In Marketing There are no Pros in Reaction
Guerrilla Marketing, Promotion and Social Media
Three Essential Marketing Campaign Components
Create A Unified Strategic, Media and Creative Plan
Engage Customers With An Aligned Media Strategy
How to Use Product Targeting to Determine the Right Channel Mix
Thinking Physics to Increase Your ROI (part 1)
Using Consumer Clusters To Ramp Up ROI
