TV research tells advertisers to invest for the long burn

Oct 05, 2021 at 11:30 pm by admin

A new report in ThinkTV’s ‘payback series’ tells advertisers to spend half their advertising budget with the medium.

Focussing on the difference between “efficient” and “effective” ROI, the new research looks at what it says is the ability of media to optimise campaign return on investment.

The newest element of the Australian group’s Payback Series study analyses the campaign performance of 60 brands with a collective annual turnover of $23 billion and an annual media spend of $450 million. It finds media ROI improved when brands considered the time frames for return on investment in their campaign planning, and quantified potential media-driven sales “squandered for those that don’t”.

While ROI is important to ensure media investment is performing, the report highlights the payback over time, adding that while most media channels deliver positive ROI, some channels generate sales for longer periods.

The recent fifth tranche of research was conducted in partnership with GroupM and global marketing effectiveness consultancy Gain Theory.

Findings include:

-Media channels differ markedly in their ability to deliver sales volume;

-The scaleability of media channels’ ability to drive sales demand varies;

-Media channels work together to create a multiplier effect on sales demand, but not to the same extent; and

-The risk, or variability, of delivering ROI and sales volume differs between media channels.


or Register to post a comment