When RB Nordic and their media agency Zenith set out to improve return on media investment, the decision was taken to increase the presence of the portfolio’s brands on digital. While for many years TV has been an important part of their media mix, moving towards online video emerged as a key opportunity to connect with modern consumers, optimise investment, reach Nordic households and drive in-store sales of Vanish.
- Increase in-store sales
- Created single team to manage full media budget and agencies across brands and channels
- Added YouTube to media mix to build reach
- Targeted women ages 25-44
- Modelled impact of YouTube advertising on in-store sales
- YouTube return on investment for Denmark 2x as high as TV
- YouTube return on investment for Sweden 4.5x higher than TV
- Demonstrated YouTube’s ability to drive in-store sales volume
The initiative was underpinned by the company’s unique structure. When RB observed a few years ago that consumer behaviour was changing rapidly, a reorganisation was initiated.
"All media will be digital – it’s not a matter of if but of when,” explains Simone Rizzo, Marketing & Trade Director for RB in the Nordics. “When we looked at our investment strategy we realised that we had a very fragmented approach on digital, with a variety of small bets on different brands, leading to a very slow change in media mix to adapt to the changing media consumption in the Nordics. To address this challenge we decided to review the way we operated, creating a single team holding the full media budget and managing all agencies, regardless of brand or media type, and a new system for allocation based on size of the opportunity and ROI. This way we managed to more than double our digital investments in last three years, increasing the media ROI on some key brands by 63%.”
To promote Vanish household cleaners, RB and Zenith added YouTube to the media mix to build reach, targeting an audience of women aged 25 to 44. The team then investigated the effectiveness and efficiency of RB’s media mix in driving sales volume for Vanish.
"All media will be digital – it’s not a matter of if but of when"
–Simone Rizzo, Marketing & Trade Director,RB Nordics .
Media mix modelling offers a new view
To model the impact of YouTube on in-store sales, two analyses were performed, one for Sweden and the other for Denmark. Incorporating three years of data and using media mix modelling, the team analysed Vanish sales volumes against the brand’s media activities, promotions and product launches. The methodology also enabled the researchers to correct for various macro factors such as seasonality, weather, consumer price index and so on.
The results clearly demonstrated YouTube’s ability to drive in-store sales volume, with the platform delivering a return on investment for Denmark that was twice as high as TV. In Sweden, YouTube’s return on investment was four times higher than TV.
Furthermore the impact study showed YouTube's availability to drive in-store sales volume, with the platform delivering almost 30% of the sales compared with TV in Denmark and almost 40% of the sales compared to TV in Sweden
Insights prove the ROI value of YouTube
“Despite declining viewing rates, linear TV still contributes strongly to the market uplift, as expected with its traditional base”, explains Alp Öztekin, Head of Media & Digital Marketing at RB Nordics. “However the key outcome of the case proved that ROI of YouTube is far better and reach levels are very solid. We have seen consistent improvement in media ROI as we have increased YouTube in the media mix over the last three years. Our tests to pursue new learnings and improve our media understanding will continue.”
RB has evolved from being a traditional FMCG with a focus on traditional media to become a first-mover on YouTube.
– Cecilie Andersen, Nordic Client Service Director, Zenith Denmark