Understanding the value of Hispanic advertising
Problem
Company A invests a considerable amount of money marketing to Hispanics in the U.S. Measuring the effect of the investment has been a challenge for many reasons. We wanted to better understand the value of Hispanic advertising by identifying its role vs. non-Hispanic advertising and its effect on brand consideration and acquisition of new customers
Systems Thinking and Simulation
We created a quantitative model and calibrated it to real data to simulate the flow of people moving up and down in a chain representing different levels of engagement with the brand. We then calculated the contribution of Hispanic and non-Hispanic advertising at each stage of the chain for the Hispanic market.
To fully understand the value of Hispanic advertising we ran the model with and without Hispanic advertising and calculated the difference between the two simulations.
Results
By comparing the Hispanic results with those for the General Market we were able to get a fairly accurate picture of the value of Spanish Language Advertising among Hispanics for Company A. The leanings from the modeling exercise empowered us to better design strategies to grow the business and strengthen the relationship between Hispanics and the brand.
See the full report here