The Quest for a Common Media Currency: Smarter Media Buying

In today’s rapidly evolving media landscape, a structured approach to media spending is more critical than ever. Advertisers are increasingly concerned about whether their ads are actually being seen, let alone making an impact. The challenge lies in the fragmented media landscape, where purchases are often siloed – YouTube through Google, Schibsted’s data via Xandr, and better access to audio through The TradeDesk. This fragmentation, coupled with decreased marketing budgets and an increasing number of channels, makes effective media buying more challenging than ever. 

Beyond CPM: Measuring the True Value of Advertising Impact 

Traditional metrics like CPM (cost per thousand impressions) offer a limited and often misleading view of advertising effectiveness. They fail to capture the crucial elements of the visibility and impact of ads. As the Advertising Research Foundation (ARF) highlights, attention ranges from brief exposure, leaving little memory, to intense focus with cognitive and emotional engagement. Simply put, viewable doesn’t mean seen. In fact, research from Lumen indicates that 70% of viewable ads are not viewed. With consumer attention spans dwindling, the focus must shift to the quality of attention an impression generates, relative to its cost. An impression is no longer just an impression; we need to understand the unique value each placement offers. 

Introducing the Impact Study: Unveiling the Value of Attention 

To address this challenge, GroupM, in collaboration with Kantar, embarked on “the Impact Study” across the Nordic countries and the Netherlands. This comprehensive research initiative, leveraging data from over 30,000 respondents, aimed to understand the true value of attention across various formats, channels, and devices. The study provides unique insights into how different factors influence key brand KPIs, including attention, awareness, preference, and understanding of the message. 

Decoding the “Impact Factors” 

The Impact Study identified and measured what we call “impact factors” across over 350 digital formats, encompassing a wide range of media channels, formats, and devices. These factors consider crucial variables that influence attention and impact: 

• In-View Time: How long the ad is visible to the consumer. 

• Audio: Whether the ad can play audio. A multisensory effect (audio and video) has a greater impact on emotional and cognitive engagement than visual alone. 

• Creative Format: The type of ad, such as video, display, or audio. 

• Ad Position: The placement of the ad on the website or app. 

• Device: Whether the ad is viewed on a desktop, mobile, or TV. 

Introducing Impact CPM (iCPM): A Universal Currency for Attention 

To effectively compare these factors, we developed a universal impact score for each format. This score, which we call Impact CPM (iCPM), represents the cost per thousand impressions of actual attention. iCPM provides a standardized metric, allowing us to compare “apples to apples” in the digital landscape and optimize campaigns for attention rather than just impressions. 

Copilot: AI-Powered Optimization for Maximum Impact 

Leveraging our proprietary AI solution, Copilot (Media Optimization), we can now use iCPM as the foundation for bidding and optimization. Copilot plays a crucial role in optimizing purchases and budget allocation across channels and platforms. This dynamic optimization allows us to strategically buy placements when attention (the impact) is highest, avoiding budget wastage during periods of higher prices or lower attention. 

Copilot analyzes data in real-time and automatically adjusts budgets based on established campaign strategies. The goal is to maximize attention at the lowest possible iCPM, dramatically increasing the efficiency of our media purchases. 

Fluid Budget Optimization: A Game Changer 

By leveraging iCPM and Copilot, we can now optimize budgets fluidly across channels and platforms – a capability that was previously unattainable. This approach ensures that every media dollar is working harder to capture attention and drive meaningful results. This is crucial because consumers seamlessly move across channels throughout the day. 

The Future of Media Buying: Data-Driven, Attention-Focused 

The Impact Study and the development of iCPM represent a significant step forward in the quest for a common media currency. By focusing on the quality of attention and leveraging AI-powered optimization, we are empowering advertisers to make smarter, more data-driven decisions, ultimately maximizing the impact of their media investments in an increasingly fragmented landscape. This also aligns with GroupM’s commitment to “fewer, better ads” and sustainable practices, aiming for a 50% reduction in emissions across our supply chain by 2030. 

Ready to stop chasing impressions and start capturing attention? 

Contact your local specialist today to discover how iCPM and AI-powered optimization can transform your media buying strategy and deliver meaningful results: 

Norway: Sindre Nalum, Sr. Programmatic Specialist, at [email protected] 

Finland: Waltraud Zwislsperger, Senior Programmatic Specialist, at [email protected] 

Sweden: Ruth Zagadou, Strategist, Programmatic, at [email protected] 

Denmark: Britt Brøndsted, Programmatic Director, at [email protected]