Does creativity convert to an actual sale?

Brands need to focus on creativity and data if they want to see actual results says Peter Field in a post that first appeared in Encore, and there’s evidence to prove it.

There is a growing body of evidence to support a link between creativity and effectiveness so it wasn’t surprising to see that a report commissioned by the Association for Data-driven Marketing and Advertising on this very topic would turn up more evidence.

Using submissions for the 2012 ADMA awards we compared the patterns of effectiveness of those that won creative awards with those that did not.

The data showed that creativity has strong effects on brands, making them more salient and widely talked about. This in turn reduces their price sensitivity: people are prepared to pay more for brands that everyone is talking about. And, not surprisingly, this makes those brands more profitable – in time. And here’s the stumbling block: these benefits of creativity take time to develop. Price elasticity in particular is a long-term effect, really only becoming apparent after around six months. The immediate effect on sales volumes is similarly muted, but this too builds over time as the salience of the brand does.