An analysis of the top performing FMCG campaigns in On Device Research’s digital ad effectiveness database has shown that on average, for every £1 spent on digital media, a potential return of £4.28 in product sales is generated. Return on Brand Impact (ROBI) metrics are essential to optimizing brand effectiveness and will be discussed in the Brand Advertisers’ Guide to Digital Effectiveness web conference on the 6 March at 15:00 GMT.
Proving the ROI of media investment is the number one priority for the digital ad industry. A Trusted Media Brands survey of marketers from October 2017 saw ROI measurement ranked as a concern greater than ad fraud, brand safety and viewability, yet the measurement of ROI is no longer the preserve of the short-term performance marketing discipline. The demonstrable impact that digital has on long term brand health metrics has been proven time and again, but at the same time we can now measure and optimize brand spend using more than just brand uplift metrics.
By combining brand uplift data (in this case Purchase Intent), with campaign reach and buy details, we can calculate a Cost per Incremental Purchase Intender (CIPI): i.e. the amount it takes to make one additional person say they are likely to purchase your brand following campaign exposure. Comparison to a product unit price (assuming a purchase intender plans to buy at least one unit), reveals an average return of £4.28 for the top ten performing FMCG campaigns since the second half of 2017.
While the ROBI score of £4.28 is itself illuminating in terms of how we can place a value on brand performance and the potential return achievable from digital spend, it is the CIPI of £1.38 which provides a metric key to the optimization of campaign delivery. Too often digital campaigns are still optimized on basic behavioural metrics such as click through rates, yet by focusing on CIPI, optimization decisions which look to select the media partners, DSPs and creative executions which are delivering purchase intenders most efficiently, will drive far more effective digital brand campaigns. For campaigns with awareness raising objectives, the same principles can be applied by optimising towards the Cost Per Incrementally Aware (CPIA).
Tips on how to measure Return on Brand Impact, along with numerous other brand effectiveness measurement considerations such as footfall impact, social media brand uplift and real time creative optimization will be discussed in the Brand Advertiser’s Guide to Digital Effectiveness web conference at 3pm GMT on the 6 March. Sign up for your place here and join the On Device research team for the opportunity to discuss the trends that are impacting the measurement of your digital media today