In today’s world, marketers are facing a unique set of challenges. Economic downturns, evolving customer behaviour, and changes in technology are just a few of the factors that can impact a company’s bottom line. In such a scenario, marketers need to have access to data-driven insights that can help them make informed decisions. To address this need, ITV has launched a new web-based tool – the ITV Recovery Budget Planner.
By the numbers
Commissioned by ITV AdLabs, the Recovery Budget Planner is a free interactive tool built using independent data from Magic Numbers, a leading econometrics consultancy. It provides the expected impacts of different advertising budget scenarios in terms of market share, sales, and profit.
By inputting current spend and competitor spend on media, market share, and an optional profit margin, the tool can express the expected impacts of different advertising budget scenarios. Once these variables have been submitted, the user selects a recession forecast for the brand’s sector from available options that are reasonably likely.
The tool then works out the user’s share of voice and from that how the share of market will change to 2025, the additional costs of recovering lost market share if budgets were cut and the expected number of years to return to pre-recession market share.
Kate Waters, ITV Director of Client Strategy & Planning, expressed her thoughts on the Recovery Budget Planner. She said, “At ITV we’re doing everything we can to help advertisers throughout the economic downturn and we wanted to empower marketing professionals with both research and data to be able to make a case for continued investment in advertising during a tough period. Many marketers struggle to make a simple case for investment using existing academic-style studies so the Recovery Budget Planner makes the theory actionable and easy to apply to a brand’s specific situation. That’s the smart thing about it – along with the most recent data sets from Magic Numbers, I’ve never seen something that makes it so easy for individual brands to show the strength of maintaining investment through a recession.”
Investment through a recession
The tool is expected to make it easy for individual brands to show the strength of maintaining investment through a recession. The Recovery Budget Planner is a brand-new way for marketers to present a convincing case to finance directors on how advertising can help a brand return to growth following the economic downturn.
Dr Grace Kite, Founder and Managing Director of Magic Numbers, also expressed her excitement about the tool, saying, “This tool exists to help you decide how your specific business should respond to the changing outside world. Everything our clever geeks know about how to win in 2023 is built in.” The Recovery Budget Planner’s sophisticated back end provides marketers with an easy-to-navigate platform to help them make a compelling case to finance directors.
ITV is currently inviting clients to beta test the Recovery Budget Planner ahead of its full launch. This provides an opportunity for early adopters to gain a competitive advantage by leveraging the tool’s insights to recession-proof their businesses.
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