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The Power of Political Advertising:

Please Lessons for Practitioners


How Data Analytics, Social Media, and Creative

Strategies Shape U.S. Presidential Election Campaigns

GIAN M. FULGONI Editors' Note


comScore, Inc.
Co-author Carol Davidsen joined Rentrak (which earlier this year merged with comScore, Inc.) in January
gfulgoni@comscore.com
2015. Before then, Davidsen was known for her work as director, integration and media analytics for the
2012 Obama campaign? Collaborating with Rentrak at that time, she created "The Optimizer," an ana­
ANDREW LIPSMAN
lytics tool that combined modeled campaign target data, television set-top box viewership data, local and
comScore, Inc.
national commercial inventory rates, and behavioral analysis to discover untapped and efficient commercial
alipsman@comscore.com
inventory for the campaign. She also was responsible for Narwhal, a real-time scalable data integration and

CAROL DAVIDSEN
campaign application program interface (API) platform that fused together facts gathered about multiple

comScore, Inc. identities into a single unified profile available to every arm of the campaign. Here, she joins her colleagues,

cdavidsen@comscore.com Andrew Lipsman and JAR columnist Gian Fulgoni, describing the combined use of data analytics, crea­
tive messaging, and social media in the 2012 and 2016 political campaigns— strategies that, they believe,
commercial advertisers should take better advantage of to improve efficiencies and effectiveness in their
own marketing efforts.

INTRODUCTION Barack Obama win a second term in the White


Political advertising has become a massive busi­ House. This time, though, the campaigns have had
ness, especially during presidential election an even better handle on:
cycles, and is giving the advertising industry a
much-needed boost this year. Spending on politi­ • the use of advanced modeling using massive
cal advertising in 2016, in fact, could reach a databases of television viewing to identify micro­
record $11.6 billion, 20 percent more than the last targets of persuadable voters (See Figure 1)
comparable election year of 2012, which in turn • the use of social media to develop a "trusted"
had far surpassed 2008 figures, according to Bor- voice of authenticity and the rapid sharing of
rell Associates.2And, like previous election years, content between fans who trust one another as
broadcast television is still where the lion's share credible voices of support (Bernie Sanders ben­
of that spending will occur, even at a time of luke­ efited handsomely from this)
warm growth in that media platform compared to • the use of social networks to secure "earned
the percolating digital sector. media" on the ever-powerful television medium
Advertising strategy in the 2016 presidential (e.g., Donald Trump's often obsessive Tweeting).
election cycle essentially picked up from where
2012 left off—further refining micro-targeting The same strategies apply in the commercial world,
and advanced audience segmentation that helped but only a limited number of brands thus far have
really nailed them (O'Neal, 2016; Simon, van den
1 “Those Political Ads Are Following You." Bloomberg.com, Octo­
Driest, and Wilms, 2016; Fulgoni, 2015; Association
ber 9, 2015. Retrieved June 8, 2016 from http://www.bloomberg.com/
politics/articles/2015-10-09/yes-those-politicaTads-are-following-you. of National Advertisers, 2016).
1 "2015-2016 Political Advertising Outlook." Borrell Associates. Recent history can explain the cumulative impact
Retrieved June 8, 2016 from https://www.borrellassociates.com/
industry-papers/papers/2015-to-2016-political-advertising-outlook
of these strategies on both the political and com­
-august-15-detail. mercial arenas, and serve as a guide for commercial

D01:10.2501/JAR-2016-034 September 2016 JOURFIRL D F flD U E R TIS IR G RESEARCH 2 39


THE POWER OF POLITICAL ADVERTISING: LESSONS FOR PRACTITIONERS

W h e n c o m b in e d w ith
• Identifies individuals most likely to Persuasion
support, based on experiment results Universe
e x te n s iv e p o llin g o f
2 Turnout •Narrows list of persuasion targets • Goal is to create
Model to include only likely voters list of persuadable
E voters on voter file
v o te r s , t h a t a c c e s s a llo w s
•o
^ Support • Removes voters who do not have
^ Model room to move • Used for resource
o allocation and for
f o r t h e a s s ig n m e n t o f
4 Contactable • Identifies voters most likely to be different types of
campaign contact
I Model contactable, will vary by campaign tactic e a c h v o te r t o a ra n g e o f

s p e c ific c a te g o r ie s lik e
Figure 1 Creating Persuasion Universes in Battleground States
a p e r d u r a b ility s c o re ,
brands to further fine-tune their own strat­ might reveal different psychographic char­
egies in this fast-changing, cross-platform acteristics to give shape to emerging and o r tu r n o u t s c o re .
world. important voter segments that might tip an
election one way or the other.3
HISTORICAL ANALYSIS This strategy involved more precisely
How Advanced Demographics identifying voters or households that most American households had fewer than
Helped Improve Targeting might be receptive to a specific mobiliza­ 20 channels available to them, and digital
One of the major marketing advance­ tion or persuasion message. Political cam­ Internet advertisements did not yet exist.
ments in the political sector since 2000 paigns have access to voter turnout history Today, by contrast, there are several hun­
has been the evolution of micro-targeting and party identification of nearly every dred television channels in a typical home.
and advanced audience segmentation. In registered voter in a state or district. When The 2012 Obama for America (OFA)
2002, the Help America Vote Act required combined with extensive polling of vot­ campaign revolutionized political cam­
states to make available digitally voter file ers, that access allows for the assignment paigning by using data, technology, and
data containing name, address, date of of each voter to a range of specific catego­ analytics to simplify the increasingly com­
birth, party affiliation, and the elections in ries like a perdurability score, or turnout plicated task of reaching American tele­
which a person voted. At the same time, score. This, in turn, allows one to under­ vision audiences.4
easier-to-use customer relationship man­ stand a voter's attitudes and preferences It is said that necessity is the mother
agement (CRM) systems became more at a particular point in time during the of invention. The 2010 Citizen's United
affordable. The 2004 reelection of George election cycle, and to then devise the right Supreme Court decision had allowed for
W. Bush became the first campaign to stra­ strategies to influence them in the desired a deluge of outside money to enter the
tegically combine voter file information direction with highly tailored and specific election, and big money donations of this
with CRM systems, pioneering advanced messages targeted to specific voters. nature tended to favor the Republican side.
technologically-driven list cutting for With the stakes high and the inevitability of
reaching target audiences. The Obama Campaign’s facing an imposing Super PAC avalanche,
The trend entered the public conscious­ Data and Analytics Revolution the Obama campaign team invented new
ness in a major way during the 2008 presi­ In the 1970s, deciding where to buy a and better ways of achieving their ends
dential election cycle when Mark Penn—a placement for a television commercial through data. In fact, their efforts laid the
major contributor to the micro-targeting was a relatively easy task because only groundwork for a new era in commercial
movement—served as Hillary Clinton's three broadcast channels were available in advertising optimization, designed for a
campaign pollster and primary strate­ U.S. homes. Even in the 1990s, when Bill future that would be increasingly defined
gist. Penn—then ceo of the public rela­ Clinton ran for, and won, the presidency,
tions firm Burson-Marsteller and head of 4 "Data You Can Believe In." The New York Times
3 "Clinton's Power Pointer." The Washington Post, Magazine, June 20, 2013. Retrieved June 8, 2016 from
his own polling company—was famous http://zuwiv.nytimes.com/2013/06/23/magazine/the-obama
April 30, 2007. http://urww.washingtonpost.com/wp-dyn/
for leveraging a variety of databases that content/article/2007/04/29/AR2007042901661.html. -campaigns-digital-masterminds-cash-in.html.

240 J0UR1L OF HDUERTISIflG RESEARCH Septem ber 2016


THE POWER OF POLITICAL ADVERTISING: LESSONS FOR PRACTITIONERS T H E A R F .O R G

The 2 0 1 2 O b am a fo r TABLE 1
Obama vs. Romney:
A m e r ic a (O FA ) c a m p a ig n
Ad Spend Outcomes during the 2012 Campaign6
re v o lu tio n iz e d p o litic a l Committee Spending No. of Times Ad Aired Cost per Ad Aired

Obama (OFA) $ 3 3 3 ,0 0 0 ,0 0 0 5 6 2 ,6 6 4 $ 592


c a m p a ig n in g by u s in g
Romney $ 1 4 7 ,0 0 0 ,0 0 0 2 2 3 ,5 8 4 $65 7

d a t a , te c h n o lo g y , a n d
effectiveness of their advertisem ents. In anything being shown on the networks in
a n a ly tic s to s im p lify t h e collaboration with Rentrak, OFA created prime time."
"The Optimizer"— a media-planning tool
in c r e a s in g ly c o m p lic a te d that used advanced demographic segmen­ The OFA's "Optimizer" has been publicly
tation to find the combination of television credited with changing the face of polit­
t a s k o f r e a c h in g A m e ric a n shows that could reach the right audiences ical advertising spending. For the Obama
at the most attractive CPMs (cost per 1,000 team in 2012, use of "The Optimizer" sub­
te le v is io n a u d ie n c e s . ad impressions). stantially lowered the cost per television
Prior to "The Optimizer," television advertisem ent impression. Obama spent
media buyers were targeting content, not $592 per advertisem ent versus $657 per
by cross-platform integration and more audience targeting. The new technology advertisement spent by the rival Republi­
refined audience segments. combined micro-target rating information can Romney campaign (See Table 1).
Factors that encouraged OFA leadership with seller price card information in order A post-m ortem analysis conducted by
to trust data, technology, and analytics in to optimize ad spend. The campaign was National Media, an Alexandria, VA-based
all decision making were: then able to create a simple arbitrage opti­ Republican ad-buying firm, concluded that
mization algorithm against the campaign's the Obama team reportedly spent 35 per­
• the fragmentation of the U.S. television custom target groups, and compare out­ cent less per television advertisem ent
audience; comes with how inventory sellers were pric­ impression than the Romney cam paign7
• increased data footprint of television ing against gender and age demographics. and yet still m anaged to get more tele­
audience m easurem ent data for the A New York Times Magazine profile of the vision commercials on air—all by virtue
electorate that could be tied back to the Obama 2012 analytics team explains how of an optimization system that linked tele­
voter file; it w orked5: vision set-top box data to advanced demo­
• the rise of technology deploym ent on graphic segmentation schema.
cloud com puting solutions, like Am a­ "The Optimizer software would then comb
zon Web Services (AWS), that m ade it advertising price and viewership data tofig­ NEW TOOLS, NEW STRATEGIES
possible for short-lived organizations, ure out the top-rated time slots among those Optimizing Reach and Frequency Goals
such as political cam paigns, to have on the Obama persuadable list— which Even with all of the advances of the Obama
high-pow ered com puter infrastructure could vary from market to market— and cam paign around m edia buying, there
available to them. then rank them based on which produced was no way to measure what was actually
the highest concentration of the Obama achieved in terms of reach and frequency.
It was clear that the skill sets and tools swing voters at the best rates. The results Today, post-buy analysis using household-
required to reach A m erican voters had were striking. The campaign determined level television data (which was not availa­
drastically changed. OFA leaders knew that two of the top shows to buy were 1 a.m. ble during the 2012 campaign) reveals that
they needed to create technical and ana­ repeats of 'The Insider' and afternoon epi­
6 “M ad Money: T V A ds in the 2012 Presidential Cam­
lytical solutions that w ould allow them sodes of 'Judge Joe Brown'— shows that paign. " The W ashington Post; data updated November 14,
to spend scarce advertising dollars more were far cheaper than the evening news or 2012. Retrieved from http://ivwzv.washingtonpost.com/wp
efficiently, persuade the right audiences -srv/special/politics/track-presidentM-campaign-ads-2012/
whos-buying-ads/.
with the right messages, and improve the 5 "Data You Can Believe In ." 7 "Data You Can Believe In. "

Septem ber 2016 J0UR1L OF HDUERTISinG RESEARCH 2 4 1


THE POWER OF POLITICAL ADVERTISING: LESSONS FOR PRACTITIONERS

just 6 percent of the households OFA was


A n o th e r le s s o n t o b e le a r n e d fr o m t h e p o litic a l s e c to r is
trying to reach were exposed to more than
60 OFA advertisements per week.8
t h e im p o r ta n c e o f “tr u s te d p e r s u a s io n .” T h is r e f e r s to
This was not a desired outcome, but a
result that can easily happen when you
t h e im p a c t o f s h a r in g o f c o n te n t a c ro s s s o c ia l m e d ia .
don't have access to granular reach and
frequency data because of sample size
limitations in audience data. persuasion. Tailoring the creative mes­ Twitter followers in June 2016) has lever­
In the 2016 cycle, household-level tel­ sage to the target audience is equally aged social media unlike any candidate in
evision data covering almost 40 million critical. Commercial advertisers, take history to reach and persuade voters and
set-top boxes was made available to cam­ heed: The impact of television advertis­ create news cycles by Tweeting sometimes
paigns via an API (application program ing copy accounts for as much as 50 per­ more than two dozen times daily.
interface) and a constrained utility maxi­ cent of the variation in a brand's market That kind of activity creates fodder for
mization algorithm. Simply put, instead of share.9 With the targeting precision that the television networks on a national scale,
just optimizing on costs, campaigns now can be achieved in today's cross-platform creating an opportunity to secure earned
have the ability to optimize on configur­ world—and with the availability of granu­ media on television (Nagy and Midha,
able frequency goals. lar cross-platform audience data—there's 2014). As of March 2016, it has been esti­
The results are striking. When compar­ no excuse for commercial advertisers not mated that Trump received more than
ing a $554,000 CPM-optimized buy which tailoring their message appropriately to $2 billion in "free" television coverage in
was placed during the 2012 election in Las their audience. this manner this cycle.11
Vegas during a week in October—to a buy One big difference with social media
that would have been suggested using The Impact of Social Persuasion in the 2016 election cycle is the apparent
the newly available household-level data Another lesson to be learned from the authenticity of what some candidates are
optimizing for desired frequency goals— political sector is the importance of sharing. Social media is not as tightly con­
CPM costs for projected Democratic voters "trusted persuasion." This refers to the trolled by campaign operatives as was the
go up from $73 to $278, while delivering impact of sharing of content across social case in the past, and voters are getting a
almost four times fewer overall impres­ media. Much like for Obama in 2008 and more authentic voice of the candidates
sions. Although CPM costs were higher, 2012, social media enabled initially "niche" themselves. Trump is the best example of
those impressions should be more effect­ candidates, like Bernie Sanders and Don­ this phenomenon.
ive. The frequency distribution curve can ald Trump, to gain validation and build
be controlled to move ad buys to television supporter bases through people's social Implications for Commercial Advertisers
shows that will get more households to networks, where communications from There are several important lessons that
see the advertisements at the desired fre­ friends are far more persuasive than adver­ commercial advertisers can take from the
quency, with fewer households being over­ tisements coming directly from a brand.10 political sector.
exposed. (See Figure 2). This time, the pace has been even more fre­ For one, massive, near-census databases
In the 2016 presidential election cycle, netic because these candidates cut through of television viewing encompassing tens of
campaigns using advanced data strategies the media filter and went directly to vot­ millions of TV set-top boxes can be inte­
have actually paid more for advertisements ers. Donald Trump (with close to 9 million grated with other important data describ­
in order to reach their desired households ing the viewing household. These other
at the desired frequency distribution. 9 "comScore A R S Research Highlights Importance of data can be demographic or behavioral in
Advertising Creative in Building Brand Sales." comScore,
nature (e.g. actual brand buying, auto own­
October 4,2010. Retrieved June 20,2016from https://iviviv.
The Power of Creative Content comscore.com/lnsightslPress-Releasesl2010/10lcomScore ership, etc.). The resulting data can be used
-A R S-R esearch-H ighlights-Im portance-of-A dvertising to develop powerful and granular media
Across Platforms
-Creative-in-Building-Brand-Sales.
Accurate targeting long has been 10 "The Power o f Like2: How Social Marketing Works."
understood to be important in political comScore, June 12, 2012. Retrieved on July 21, 2015 !I "StunningchartshowshowDonaidTrumpdominatedmedia
from http://www.comscore.com/Insights/Presentations coverage of the 2016 race." Business Insider, March 15,2016.
-and-Whitepapers/2012/ The-Power-of-Like-2-How-Social Retrieved ]une 20, 2016 from http://www.husinessirisider
3 Source: Proprietary comScore data. -Marketing-Works. .com/donaid-trump-media-coverage-chart-2016-3.

242 J O U B IL OF RDUERTISinG RESERRCH September 2016


THE POWER OF POLITICAL ADVERTISING: LESSONS FOR PRACTITIONERS THEARF.ORG

Costs for a $554,000 CPM-optimized buy rose to $278 from $73 while delivering nearly four times fewer impressions

...but the impressions were delivered in a more optimal manner.


Presidential CPM Example

Count of Households

Presidential R&F Example

* R F r efers to reach and frequency

Figure 2 Improving Delivery of an Obama Ad in Las Vegas in October 2012

S e p te m b e r 2 0 1 6 JOURRRL OF ODUERTISIOG RESERRCH 243


THE POWER OF POLITICAL ADVERTISING: LESSONS FOR PRACTITIONERS

plans that allow for im proved targeting advertisers would be well advised to fol­ includes serving as the director of integration and

using combinations of television shows low the same course. (Q ) media targeting for the 20 1 2 Obama for America

preferred by one's target audience. re-election campaign.

"Optimizers" also can be used to achieve


ABOUT THE AUTHORS
an advertiser's particular objectives, such
G ian M. F ulgoni is cofounder and ceo of comScore,
as REFERENCES
Inc. Previously he was president/ceo o f Information

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244 JOURnHL OF RDUERTISIF1G RESERRCH September 2016


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