Importance of Statistics in Advertising
Statistics play a vital role in all aspects of advertising, from market research to design to campaign testing. Business owners can use statistics to identify the best consumers to target and the most cost-effective ways to target them. But statistical evaluations are complex, so if your budget allows, hire a professional market research firm to handle your pre- and post-campaign research.
Advertisers must be choosy about how and where they implement their advertising efforts. To that end, market researchers use statistical evaluation to identify the needs, wants and buying habits of consumers, hoping to hone in on a profitable segment of the population, according to the book “Business Statistics,” by J. K. Sharma. Called the "target market," this segment will be the focus of the campaign. Statistical evaluation of data gleaned from surveys, questionnaires and focus group interviews helps market researchers tell clients which consumer segments are worth advertising to and which are not cost-effective targets.
Graphic designers, copywriters and other creative professionals often use statistics to support a company’s sales message. For example, a toothpaste company’s advertisements might claim that a high proportion of dentists recommend its products. A car manufacturer might point to government-sponsored crash-test statistics to highlight its reputation for safety. Done correctly, a powerful statistic can be the central element of a campaign.
After the completion of an advertising campaign, market researchers study the target consumers again, this time to determine whether the campaign was effective, according to the book “Business Statistics for Contemporary Decision Making,” by Ken Black. A common approach is to ask consumers how they feel about an issue or company before the campaign and then ask the same question after. Using statistical evaluation methods, researchers can determine the significance of any shifts in consumer opinion. Such statistical analyses provide insights into which advertising methods are most effective, allowing advertisers to improve future efforts.
Misuse of Statistics
Advertisers can also use statistics to mislead consumers. For example, suppose a poorly conducted study or improper interpretation of data results in a statistic that appears to support a manufacturer’s claims. Using that statistic might make the advertisement more compelling, but it’s unethical. Responsible advertisers balance making products attractive to consumers and providing accurate information. For the consumers’ part, they must remain skeptical of statistics that appear in advertisements.
- Jupiterimages/Photos.com/Getty Images