Home Ad Exchange News Loving, Hating And Misunderstanding The GRP – @ ARF 7.0

Loving, Hating And Misunderstanding The GRP – @ ARF 7.0

SHARE:

GRPIt’s hard to find any love for the Gross Ratings Point as relevant metric for online advertising, and any affection for that measurement was plainly absent at a late afternoon panel on the subject at the ARF Audience Measurement 7.0 conference in Times Square.

The lone defender of the metric was the panel’s moderator, Gian Fulgoni, executive chairman/Co-Founder, comScore, who prodded Scott McDonald, SVP, Market Research for Condé Nast, Aaron Fetters – associate director, Global Digital Strategy and Analytics for Kellogg, and Keith Camoosa, North America head of Research at Universal McCann, for a metric — or set of metrics — that works best for them.

“Call me old-fashioned, but it seems important to me to know how many people are seeing what you’re saying,” Fulgoni said after each of the panelists took a hit at GRPs. “The problem here is understanding the purpose of GRPs — they are a delivery metric, not an effectiveness metric, so I think that’s why I’m hearing what I’m hearing.”

UM’s Camoosa summed up the panelists’ — and a lot of online media buyers’ — collective negative view of the GRP. “GRPs are synonymous with the tonnage mindset. It’s a difficult mindset to break. It becomes more about smart planning and that is about targeted reach as opposed to counting eyeballs.”

For good or ill, major advertisers are still enamored of GRPs, if only because it helps them value placements in a way they’re used to — i.e., TV audience measurement. There are a lot of arguments in favor of bringing the idea of TV-based GRPs to online. For one thing, the online ad industry has often been criticized for lacking a true apples-to-apples standard for comparing online audience numbers in general. The notion for using GRPs, the traditional TV standard, is clear and familiar.

But others have said that GRPs are a great metric for counting eyeballs using a basic reach-and-frequency approach that TV does so well. The panelists, for the most part, argued that online ads’ value should rest on measuring an ad’s effectiveness and levels of engagement.

The increased focus on engagement levels for online ads have presented additional problems for media agencies. For one thing, no one can precisely agree on what and how effectiveness and engagement should specifically be counted.

So when Fulgoni asked Camoosa, “What’s the best way to measure effectiveness?” he responded by saying, “Randomized experiments, on the one hand, to prove something, and the use of econometrics to back it up. Representative panels are very useful in conducting experiments, certainly.”

Kellogg’s Fetters suggested that even though he comes from a traditional advertiser, he doesn’t intend to emphasize a traditional metric across the all platforms. But he’s clearly dissatisfied with what’s available.

“I have digital in my title, but my goal is not to move all the money into digital,” Fetters said. “I want it where it’s most effective. If it’s TV, I look at GRP. If it’s print, then I use [a targeted ratings point], and if it’s digital, it’s an impression. But in looking at how effective they each are in concert, I have to use a lot of fuzzy math.”

On top of all this, figuring out social media only adds to the headache of measuring ads effectively.

As Condé Nast’s McDonald said, the GRP withers in the face of social media. “People on Facebook are hanging out with their friends,” he said. “It’s a different mindset from doing a search or reading. The mental context reflects how receptive. GRPs don’t get close to that, plain and simple.”

By David Kaplan

Tagged in:

Must Read

Ad Performance Hinges On Kicking Fragmentation's Butt

As performance takes center-stage in more advertising discussions, demands to solve fragmentation and cruddy measurement are reaching a fever pitch.

AdExchanger's Big Story podcast with journalistic insights on advertising, marketing and ad tech

AI Off The Rails

A word of caution to digital advertising companies, as they go all in on AI algorithms: They need to build these solutions with ownership, governance and accountability from the start – or AI could sink them with a single mistake.

square Headshot of Mohammad (Moe) Chughtai, global VP of strategy & partnerships at MiQ, against an orange and yellow gradient background

Better Attribution Makes Live Sports A Performance Play

To squeeze the most juice out of their live sports campaigns, many marketers are adopting programmatic buying and marketing mix modeling, both of which are also drawing more advertisers to the digital live sports cornucopia.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

Roblox Opens Up Advertising To Kids Under 13

Roblox is making its under-13 audience available to advertisers for the first time. And it named youth-focused ad marketplace SuperAwesome as its exclusive advertising partner for under-13 users.

Comic: Header Bidding Rapper (Wrapper!)

Outgoing Prebid President Mike Racic On His Departure And The Org’s Next Act

Prebid is turning the page on what might be called its second chapter as the organization navigates some major changes in the digital advertising landscape and within its own ranks.

Meta is giving advertisers the ability to connect their third-party analytics tools directly to its ad platform via API.

How Apparel Brand Tuckernuck Devised The 'Why' Behind Its CTV Ad Performance

Performance CTV tech company Keynes launched an AI-powered platform. Tuckernuck says it can finally “pop open the hood” and see what’s working.