Author: Jazmin Brooks

Study finds Social Has the Power to Condense the Purchase Journey to One Click and Enhance the Online Shopping Experience 

New York, NY – April 26, 2023 — There has never been a better time for brands to sell on social media. People are already shopping on social media, and the data shows that they will continue to do so. New research by Media Trials, a research arm of IPG Mediabrands investment and intelligence company, MAGNA, Reprise Commerce, also part of IPG Mediabrands, and Snap, set out to establish what consumers want today while shopping online and explore new ways of guiding the purchase journey.

What Does the Future of Social Commerce Entail? found consumers wanting simpler paths to purchase, with GenZ respondents agreeing that the traditional shopping journey is almost twice as complicated as social shopping, which takes one click to go from post to product page. Once there, brands that experiment with social-commerce tech, like augmented reality (AR) lenses, discovery tabs and virtual shopping groups, can enhance the consumer experience.

The study found that social plays a significant role in the purchase journey and advertisers should aim to invest in tools that connect friends and family on social media while online shopping. And further, advertisers should test augmented reality (AR) capabilities alongside video ads on social media platforms to better understand how AR can help fuel consumers’ purchase decisions. The research was conducted in four countries including the United States, United Kingdom, Germany and Saudi Arabia.

“What advertisers need to know is that online shopping is already deeply rooted in social media. Most social media users are already using it as a way to discovery new products and close to half have made purchases directly on social media platforms,” said Kara Manatt, EVP, Intelligence Solutions, MAGNA. “Advertisers should take advantage of social media tools to reach consumers where they are and consider leveraging social commerce technology like discovery tabs and virtual shopping groups.”

Ninety-two percent of people said they would be willing to purchase directly from brands on social-media platforms instead of an online marketplace if offered good deals and discounts, user-friendly apps, real-time customer service, instant shopping capabilities, recommendations for products through ads and timely updates on sales and events. In Saudi Arabia, 97% of consumers discovered a product on social media and 80% purchased the product.

Additional key findings of What Does the Future of Social Commerce Entail? include:

• Openness to making the purchase on social media platforms is universal, young people are especially willing: Younger generations are leading the charge in discovering products and making a purchase on social media platforms. Seventy two percent of people most likely to make a purchase via a social shopping journey are GenZ, and 69% are Millennials.
• Investing in social shopping features simplifies product discovery: As far as social shopping features go, 67% of people would use Discover tabs to shop again in the future, followed by Shopping Tabs (72%) and Shoppable Buttons (70%).
• While influencers serve as a resource, nothing beats the persuasive power of people you know in real life: 78% of people said they would look to friends/family on social media for recommendations vs 59% known influencers and celebrities, while 77% look for inspiration on social media from their friends/family, compared to 62% of known influencers and celebrities.
• Everyone agrees social shopping smooths the purchase journey: 79% of people feel the social shopping journey is quick, while 75% find it to be convenient and 65% find it to be seamless.
• AR will instill confidence in purchase decisions: 69% of people feel more confident about their online purchases, using virtual experiences, which can lead to fewer returns and benefit sustainability and brand profitability.  In fact, 64% of respondents claimed they would be less likely to return a product they’d experienced virtually before purchasing.

“As consumers become increasingly open to AR features while social-shopping, brands would be wise to introduce features like try-on lenses for clothing and in-room product placement options to test home-décor items,” said Glen Conybeare, Global President, Reprise Commerce. “Study participants said they were not only open to using AR to purchase clothing and furniture, at 87% and 85% respectively, but also for experience driven purchases like travel and food at 80% and 76%.”

“More than 250 million Snapchatters have engaged with AR shopping Lenses on Snapchat, and come to our platform to receive trusted recommendations from their real friends and the creators they love,” said David Roter, VP, Global Agency Partnerships, Snap Inc. “There’s a huge opportunity for brands and agencies to make the shopping experience better by using the power of AR technology to create engaging new experiences that shoppers can share with their close network of friends and family.”

The methodology of the study included focus groups in the U.S. and administering online surveys to nationally representative panels of consumers in the U.S., U.K., Saudi Arabia and Germany, numbering 2,000 per market.

The full study can be found here.

About MAGNA:

MAGNA is the leading global media investment and intelligence company. Our trusted insights, proprietary trials offerings, industry-leading negotiation and unparalleled consultative solutions deliver an actionable marketplace advantage for our clients and subscribers.

We are a team of experts driven by results, integrity and inquisitiveness. We operate across five key competencies, supporting clients and cross-functional teams through partnership, education, accountability, connectivity and enablement. For more information, please visit our website: https://www-wp-stage.magnaglobal.com/ and follow us on LinkedIn.

About Reprise Commerce  

Reprise Commerce is the dedicated Commerce business unit of Reprise. We provide specialist commerce consultancy to brands as well as activating performance media campaigns, creating commerce content, and reducing friction to the buying process on Direct Consumer, eRetailers and Marketplaces. With 350 commerce experts amongst our team of 2500 performance marketing specialists, our team is connected to our clients and customers. To learn more about Reprise Commerce, visit our website and follow us on LinkedIn. 

About Snap:

Snap is a technology company. We believe the camera presents the greatest opportunity to improve the way people live and communicate. Snap contributes to human progress by empowering people to express themselves, live in the moment, learn about the world, and have fun together. The Company’s three core products are Snapchat, a visual messaging app that enhances your relationships with friends, family, and the world; Lens Studio, an augmented reality platform that powers AR across Snapchat and other services; and its AR glasses, Spectacles. For more information, visit snap.com.

Media Contacts:
MAGNA/Mediabrands
Elaine Underwood
Content Director, Global Corp. Communications
201-306-6062
[email protected]

Snap Communications:
[email protected]

Study reveals creative quality drives 56% of impact on purchase intent, and is particularly important for increasing awareness & shaping consumer opinion

NEW YORK, NY – April 18, 2023 – Media placement and creative work hand in hand when it comes to effective advertising strategies. A new study by MAGNA Media Trials and Yahoo set out to understand the role that creative quality plays in ad effectiveness, and the elements that contribute to quality creative. Creative, the Performance Powerhouse found that while media placement helps marketers find consumers where they are, creative quality was responsible for 56% of purchase intent, illustrating the strong performance of both tactics as they work together. The study suggests that marketers can greatly benefit from making small improvements to their creative in order to optimize ad performance, while also driving brand quality and trust.

The study findings also suggest that marketers should be optimizing their media across devices, such as taking advantage of the mobile mindset by ensuring compelling brand propositions and calls-to-action (CTAs). On desktop/laptop, brands should consider prioritizing imagery to attract attention on the larger screen size and consider including people in ads to more effectively connect with consumers.

Additional key findings of Creative, the Performance Powerhouse include:

• Poor creative can make or break ad memorability: Creative quality leads to +23% aided ad-recall, which drops to +2% for ads with poor creative quality.
• Strong visuals draw in consumers with the propensity to buy: Those in-market for the product are much more likely to notice (+20% lift) and enjoy (+13% lift) ads with improved visuals, such as a human presence, product images, or prominent logo placement.
• The larger canvas of desktop benefits from optimized imagery: Improved imagery on desktop leads to high search intent (+23% lift), as well as improved message association (+50% lift).
• Ads with more informative messaging are seen for a longer timeframe and prompt next steps on mobile: Ads with explicit brand propositions stay on screen +8 seconds longer and prompt consumers to look for deals (+32% lift) and consider the brand (+27% lift).
• Improving the call-to-action drives interest and action: Improving the call-to-action with direct messaging and strong design can result in many positive outcomes, including piquing consumer interest in the product (+11% lift); likelihood to visit the brand’s website (+41% lift), and likelihood to look for offers/deals (+77% lift).

“When we began this study, we really wanted to emphasize that marketers shouldn’t let creative fall to the wayside in their marketing strategies because it plays an integral role in helping brands stand out and shaping opinions,” said Kara Manatt, EVP, Managing Director, Intelligence Solutions at MAGNA, the intelligence and investment arm of IPG Mediabrands. “Media placement and utilizing creative to reach the right audiences are equally important in successful advertising campaigns, but no amount of great media can perform well if creative is mediocre.”

“Creative is a fundamental element for the success of any marketing campaign,” said Elizabeth Herbst-Brady, Chief Revenue Officer, Yahoo. “When paired with premium placement, optimized targeting, and strategic timing, the message is amplified and consumers are more compelled to not only recall the ad, but also to take action.”

The study surveyed 4,100 respondents across 61 metrics, and tested brands spanning three industry verticals including auto, food delivery service and CPG. The study tested display ads with a variety of attributes across desktop/laptop and mobile devices. The types of ads tested per brand were control ads, base ads, and ads with optimized creative. Variables used in the optimized ad types were improved imagery, enhanced call-to-action, more informative messaging, and all creative enhancements.

The full study can be found here.

About MAGNA:

MAGNA is the leading global media investment and intelligence company. Our trusted insights, proprietary trials offerings, industry-leading negotiation and unparalleled consultative solutions deliver an actionable marketplace advantage for our clients and subscribers.

We are a team of experts driven by results, integrity and inquisitiveness. We operate across five key competencies, supporting clients and cross-functional teams through partnership, education, accountability, connectivity and enablement. For more information, please visit our website: https://www-wp-stage.magnaglobal.com/ and follow us on LinkedIn.

About Yahoo

Yahoo serves as a trusted guide to hundreds of millions of consumers globally with its portfolio of iconic brands that includes Yahoo News, Yahoo Finance, Yahoo Sports, Yahoo Mail, Yahoo Search, AOL, Engadget, TechCrunch, Rivals and many more. For brands and agencies, Yahoo Advertising offers omnichannel solutions, premium content and powerful cross-channel data to engage audiences and deliver results. To learn more about Yahoo, please visit yahooinc.com.

Media Contacts:
 
Yahoo!
Brittany Votto
Senior Communications Manager
[email protected]
 

IPG Mediabrands
Elaine Underwood
Content Director, Global Corporate Communications
(201) 306-6062
[email protected]
 

Contextual Alignment, From Matching Brands with Programming Genres to Day Part Rituals, Improves Brand Favorability, Search and Purchase Intent

NEW YORK – April 17, 2023 – Rituals, as routine as running errands and doing chores, are also key audio-consumption moments in people’s lives and create positive environments for advertisers, according to new research conducted by MAGNA’s Media Trials unit and leading multi-platform audio content and entertainment company, Audacy. The study found that advertisers who aligned with listeners’ rituals saw a greater lift in brand excitement (+10%) and brand relevance (+8%).

The study, Aligning with Rituals: The Contextual Foundation of Audio, also noted that consumers experience greater “feelings of connection” with brands that synchronize with their audio rituals, by +12%, compared to +3% for non-aligned ads. MAGNA and Audacy tested both genre-based ads—such as a telecom brand advertising during an entertainment broadcast—and ritual-based ads—such as destination advertising during a “me-time” ritual–to examine the spectrum of contextual-alignment opportunities.

“We’ve studied contextual in video before, but this is our first time to study it in audio, so we wanted to explore how consumers reacted to all types of audio advertising, from contextually aligned to non-aligned, across every daypart and layers of the funnel,” said Kara Manatt, EVP, Managing Director, Intelligence Solutions, MAGNA. “We were especially intrigued to note how daily rituals imply moments of calm and continuity in listeners’ lives and that brands that tap into these touchstones benefit tremendously.”

Contextually aligned ads have the propensity to both excite (+10%) and create relevance (+8%) for brands, especially among those who are in-market. Further, contextual alignment boosts brand metrics that matter most, such as brand favorability (+8%), search intent (+12%), and purchase intent (+9%).

Just what are consumers doing as they stream podcasts and listen to music? A ranking of typical listening rituals featured in a previous Audacy study, Audio Rituals was topped by running general errands (85%) and doing home maintenance (84%). Consumer engagement levels, though, were most heightened during me-time moments (73%), putting my child to bed (70%) and exercising outdoors (68%).

Audacy’s Audio Rituals study also determined that 74% of listeners incorporated audio into their daily rituals and 40% planned their day/activities around audio content.

“Audio advertisers can amplify the effectiveness of their buys through ritual moments,” said Idil Cakim, SVP, Head of Research and Insights, Audacy. “Study participants agreed that the stronger the match between advertisement and content, the better the outcome for KPIs like brand favorability and purchase intent.” Seventy-eight percent of participants agreed that strong content/ad matches mattered in brand favorability and 80% for purchase intent.

Other key findings include:

• Mood Boosters: Participants who felt “energized or excited” by their audio content also were 24% more likely to state the test ads “caught my attention” (+24% lift) and were more likely to be open to the ads at the time of listening (+16% lift). These engaged and excited listeners also were more likely to search for the brand (+10%).

• Contextual Enhancement: Contextually aligning ads amplifies the information shared in audio ads – this is especially true among in-market audiences, who agree that these contextually-aligned ads “taught them something new” (73%).

• Dialed-In Dispatches: Regardless of the type of contextual alignment (ritual or genre-based), each approach has the propensity to drive search intent (+15% and +16%, respectively).

Aligning with Rituals: The Contextual Foundation of Audio ran controlled testing among 1,920 weekly audio listeners who listened to 30-minute content blocks, ranging from podcasts to news, sports and music, interspersed with ads from three brands, covering the retail, telecom and travel industries. The participants answered a range of questions to determine advertising effectiveness and establish their mood and receptivity.

The full study can be found here.

About MAGNA
MAGNA is the leading global media investment and intelligence company. Our trusted insights, proprietary trial offerings, industry-leading negotiation and unparalleled consultative solutions deliver an actionable marketplace advantage for our clients and subscribers.
We are a team of experts driven by results, integrity and inquisitiveness. We operate across five key competencies, supporting clients and cross-functional teams through partnership, education, accountability, connectivity and enablement. For more information, please visit our website: https://www-wp-stage.magnaglobal.com/ and follow us on LinkedIn.

About Audacy
Audacy, Inc. (NYSE: AUD) is a leading multi-platform audio content and entertainment company with the country’s best collection of local music, news and sports brands, a premium podcast creator, major event producer, and digital innovator. Audacy engages 200 million consumers each month, bringing people together around content that matters to them. Learn more at www.audacyinc.com, Facebook (Audacy Corp), Twitter (@AudacyCorp) and LinkedIn (@Audacy-Inc).

Media Contacts:
Meredith Tiger
Audacy
Senior Director, Corporate Communications and PR
516-551-8511
[email protected]

Elaine Underwood
Mediabrands
Content Director, Global Corp. Communications
201-306-6062
[email protected]