MAM
TV advertising most effective in building word of mouth for brands: Thinkbox
MUMBAI: Thinkbox, the marketing body for commercial TV in the UK, has released a study that shows that TV advertising creates 51 per cent of additional Word of mouth for brands. PR/Events/Brand news creates 19 per cent.
Online search, display and affiliate site advertising creates 12 per cent. While changes to brand products or services creates nine per cent, print advertising accounts for four per cent. Outdoor advertising creates two per cent, Direct Mail 1.5 per cent and Cinema one per cent. Radio advertising is the least effective at 0.5 per cent.
This means that, in total, paid-for advertising is responsible for almost three quarters (72 per cent) of the total additional WoM about brands offline (e.g. in person or over the ‘phone) or online.
We already know that people’s conversations about brands directly affect sales and marketing effectiveness. But what makes people talk or tweet about a brand? What makes brands into shared topics of conversation? And where do those conversations take place? The answer has been revealed by new research examining what creates word of mouth (WoM).
The ‘POETIC’ research – ‘Paid, Owned, Earned: TV’s Influence Calculated’ – by Data2Decisions, the marketing effectiveness consultancy, and Thinkbox looked at the intricate relationship between ‘paid media’ (advertising), ‘owned media’ (primarily brand websites), and ‘earned media’ (WoM). It econometrically analysed what brand activities create new, ‘earned’ WoM in addition to the heritage, market and seasonal factors which make up the ongoing ‘base’ level of brand conversation, some of which will have been influenced by previous brand activity.
The ‘Poetic’ study analysed over half a million data points for 36 brands across three marketing categories – retail, finance, and drink – including data from word of mouth specialists Keller Fay, YouGov’s social media monitor Brandwatch, and data directly from brands. Other key findings include:
The vast majority of WoM takes place offline
- Data from Keller Fay suggests that an overwhelming majority of brand conversations (90 per cent) are conducted offline. Data2Decisions’ ‘Poetic’ study echoed this and found that over 95 per cent of brand conversations in its sample took place offline.
- YouGov’s Brandwatch data, which tracks social media comments, validates this finding and suggests that the number of online conversations is significantly smaller in comparison to offline.
TV advertising generates WoM for longer than other communication channels. TV advertising drives word of mouth for a number of weeks after initial activity: 85 per cent of week one activity in the second week, and 72 per cent in the third week.
This carry over effect suggests the impact of TV on WoM can last for several months. The study found that running TV advertising every 3-6 months will help maintain levels of brand discussion.
Paid media drive web traffic
- TV advertising is the most significant driver of additional brand website traffic: 47% of extra visits are generated by TV advertising.
- TV advertising’s significant effect on off- and online WoM also has an indirect effect on increasing website traffic, as does other advertising.
- Other key drivers of additional traffic to brand websites are: offline WoM (12 per cent); online advertising (9.5 per cent); PR (eight per cent); online WoM (six per cent); outdoor advertising (5.5 per cent); print advertising (three per cent); radio advertising (two per cent); Direct Mail (two per cent); brands’ owned Facebook pages (two per cent).
TV is the key driver of corporate reputation
- Of all the influences on corporate reputation (as measured by YouGov’s BrandIndex, which tracks public perception of brands), TV advertising is fundamental, driving 52 per cent of the positive impact on corporate reputation.
- PR / Brand news / Events are the second most powerful enhancer of corporate reputation, responsible for 24%.
- Direct Mail and online advertising (including search, display and affiliate comparison sites) have shorter lived effects on corporate reputation where marketing is used to communicate news or direct consumers to purchase.
Thinkbox research and planning director Neil Mortensen, “Word of mouth can be marketing magic, but paid advertising’s causal effect is often overlooked with too much emphasis put on what is easily counted or highly visible – where the conversation happens rather than what drove it. This research has revealed for the first time what actually stimulates people’s brand conversations and it is clear that investment in advertising – and especially TV – is key to getting people to talk about your brand positively.”
Data2Decisions director Katherine Munford said, “While conversations naturally occur as consumers use products and services, brand communications generate significant word of mouth. Owned and earned online platforms amplify the effects of paid media by providing hubs for conversation, but delivering a long term impact is best achieved via paid media – with the audio-visual power of TV being especially powerful.”
Brands
Motilal Oswal posts record PAT of Rs 2,360 crore in FY26
Q4 PAT at Rs 661 crore; AMC and wealth drive strong growth.
MUMBAI: Money may not grow on trees but at Motilal Oswal, it seems to be compounding rather nicely. Motilal Oswal Financial Services (MOFSL) reported its highest-ever quarterly and annual operating profit after tax (PAT), clocking Rs 661 crore in Q4FY26, up 25 per cent year-on-year, and Rs 2,360 crore for the full year, marking a 16 per cent rise. The performance was powered largely by its asset management and private wealth management businesses, both of which delivered strong growth across key metrics.
The asset management business, including alternates, saw Q4 PAT jump 63 per cent YoY to Rs 249 crore, while FY26 PAT rose 55 per cent to Rs 798 crore. Total assets under management (AUM) grew 32 per cent to Rs 1.76 lakh crore, led by a 31 per cent increase in mutual fund AUM and a sharp 104 per cent surge in private alternates. SIP inflows rose 78 per cent to Rs 16,479 crore, with a market share of 4.7 per cent.
Private wealth management also delivered steady gains, with Q4 PAT up 18 per cent YoY to Rs 88 crore and FY26 PAT rising 15 per cent to Rs 368 crore. Net flows grew 66 per cent in Q4 to Rs 5,535 crore and 41 per cent annually to Rs 20,154 crore, while AUM climbed 36 per cent to Rs 1.97 lakh crore.
In the wealth management segment, Q4 PAT increased 7 per cent to Rs 204 crore, although full-year PAT declined 7 per cent to Rs 727 crore. Brokerage revenue grew 33 per cent YoY in Q4, with average daily turnover market share at 9.2 per cent. The distribution book expanded 41 per cent to Rs 40,662 crore, while the loan book rose 32 per cent to Rs 6,094 crore.
The capital markets business reported Q4 PAT of Rs 75 crore, up 12 per cent YoY, and Rs 336 crore for FY26, up 30 per cent. The firm ranked first in QIP deals and second in IPO league tables during the year, covering 366 companies and serving over 900 institutional clients.
Housing finance posted strong momentum, with Q4 PAT rising 61 per cent YoY to Rs 59 crore and FY26 PAT up 22 per cent to Rs 159 crore. AUM grew 19 per cent to Rs 5,829 crore, supported by a $100 million fundraise from the Asian Development Bank.
Meanwhile, the treasury book grew 12 per cent YoY to Rs 9,403 crore, delivering an estimated 5 per cent alpha for FY26. However, total reported PAT, including other comprehensive income, stood lower at Rs 2,043 crore due to mark-to-market accounting impacts.
With a 10-year operating PAT CAGR of 33 per cent and an average return on equity of 23 per cent achieved without equity dilution MOFSL continues to lean on its annuity-driven businesses to build a more predictable earnings engine. In a market riding the twin waves of wealth creation and financialisation, the firm appears well-positioned to keep the compounding story going.
