Research reveals the difference between efficient and effective ROI

The latest edition of the Payback Series (an Australian-first study analysing the campaign performance of 60 brands with a collective annual turnover of $23 billion and an annual media spend of $450 million) has found media return on investment (ROI) is improved when brands consider time frames for return on investment in their campaign planning and quantifies potential media-driven sales squandered for those that don’t.

 

Findings of the research include:

• Media channels differ markedly in their ability to deliver sales volume. Channel selection that fails to consider the volume contribution will see sales slowly peter out.
• A media channels’ ability to drive sales demand varies. For example search only includes people who are already in the sales funnel. Sales growth cannot be driven efficiently by pouring marketing budget into a channel that isn’t scalable.
• Media channels work together to create a multiplier effect on sales demand, but not to the same extent
• The risk, or variability, of delivering ROI and sales volume differs between media channels

To read this full piece of research from Think TV, Group M Australia and Grain Theory click here