Supermarket sweep: latest stats, facts & ads

In the past month, Tesco reported increased spend in "traditional" media by 68.2% in 2017 and Lidl’s head of media, Sam Gaunt, announced that the company has scaled back spend in digital following poor ROI.

Speaking at the Adobe Summit earlier in the month, Gaunt explained: "There is so much cash going into the wrong sort of media... To get to a fairer marketplace, every impression needs to be properly interrogated on its value to the buyer.

"We all need to think about the digital inventory we are buying. There is an endless supply so we have to identify what is important for us, separate the wheat from the chaff, and make the media marketplace fairer and of benefit to us all."

Meanwhile, Tesco's full-year results for 2017 show profit before tax and exceptional costs up 64% to £1.28 billion and revenue up 2.8% to £57.5 billion, following increased investment in "traditional" media.

Given this, it is great to see so many supermarket ads in the papers in recent weeks. With two bank holidays in May, plus a certain high-profile wedding, it’s perhaps unsurprising that barbecue feasts and fizz are top of the shopping list (see a selection above).

We know from RAMetric analysis that supermarket ads in print perform strongly. Despite scoring slightly below the average for ad recall (65% vs 70% for all ads), they redeem themselves by scoring above average across all brand and action measures such as likeability (35% vs 28% for all ads), evoking positive feelings (38% vs 30% for all ads) and prompting readers to visit the advertisers website (16% vs 11% for all ads).

Supermarket ads also score particularly well for familiarity (82% vs 63% for all ads) – with those that notice them finding them much easier to understand than most ads and also more likely to encourage purchases and recommendations. Find out more about how supermarket ads perform here, including how image-based ads compare to price-based creatives and whether size makes a difference.

Despite this strong performance, Newsworks' latest research 'Planning for Profit' – conducted with Benchmarketing – shows that supermarket advertisers could be getting much more from newsbrands.

The study, which consists of a meta-analysis of 684 econometric models built between 2011 and 2017, shows that profits in the supermarket sector could be increased by 60% if spend in print newsbrands was raised by a minimum of four and up to 11 percentage points of overall campaign budget. For digital newsbrands, allocating a 2.1% share of budget is recommended to optimise PROI.

Find out more about the research, as well as individual category data here. You can also see how to optimise spend in newsbrands for your campaign (by spend and sector) with our PROI optimiser tool.

by Jessie Sampson 17/05/18

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