The roi study


The ROI study: methodology


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The ROI study: methodology

Source: Benchmarketing/Brand Science Results Vaults 2011 to 2015 – excludes outliers and incomplete models


  • The data from the meta analysis allows us to build response curves for each media channel
  • This works by analysing ROIs across data points in each category to generate average response curves
  • Curves that “go flat” suggest high diminishing returns and no benefits to spending, unless that curve is flat and above all others
  • We can take an annual budget and optimise the overall ROI for the spend, by changing the mix
  • It’s a simple hill-climbing optimisation that picks the highest and the slopi-est points by medium
  • From the curves we can calculate the optimum media split for any given budget

Budget optimisation 1

Revenue £m

Media investment £m

80

0



900

Online Display

TV

Online Search



Newspapers

VOD


Outdoor

Magazines

Radio

TV Sponsorship



Cinema

20%


16%

13%


12%

12%


11%

11%


10%

10%


10%

1

2



3

4

5



6

7

8



9

10

Annual spend £m



Recommended print newsbrand % for optimal campaign ROI

Budget optimisation 2
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