The goal of the ROI Committee is to explore current approaches used to measure the Return on Investment of advertising in order to determine whether these approaches are valid and have kept up with the significant dynamics in the media and advertising environment. Our first project focused on marketing mix models and media mix models, the major analytical tools applied in measuring and attempting to optimize, advertising ROI. Two aspects were addressed, how they account for the long-term effects of advertising and the quality of their data inputs. Sequent Partners was contracted for this study.
As a follow-up in November 2014 Sequent Partners further evaluated current state of the art regarding the long term effects issue. The next step is a formal presentation of those findings and recommendations from the research. Our goal is to develop a “best practices” approach for the integration of long term effects into ROI measurement for advertising. Going forward we will return to the issue of the data input quality in current models. The committee’s work has accomplished one of the original goals of creating an open forum regarding the modeling mix process.
“Why Aren’t You Looking at the Long-Term ROI of Ads?”
The State of Marketing Mix Modeling Deck
The State of Marketing MIx Modeling White Paper
The State of Marketing Mix Models ARF Presentation