High-performing ads deliver 180% ROI

18 augustus 2016
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New analysis of the Warc case study database has shown that the average profit delivered by high-performing advertising is 1.8 times the advertising investment, or 180%, with even greater returns likely over the long term.

Warc has launched an ROI Benchmarker tool that allows users to see how their own campaigns compare with the case studies on Warc.com – the world’s most comprehensive database of successful advertising.

To develop the tool, Warc catalogued all return on investment (ROI) data cited by advertising-based case studies since 2000.

The ROI Benchmarker focuses on two forms of returns: profit-based ROI (also known as Return on Marketing Investment), which is based on the net profit generated as a result of advertising; and incremental sales return, which is based only on additional sales generated by advertising. The latter is commonly used in case studies but is generally viewed as an incomplete way to calculate ROI.

Across the Warc.com database, the median profit-based ROI is 1.8:1. That means for every dollar spent on advertising, $1.80 is returned in the form of net profit.

The median incremental sales return is 3.8:1.

Bron en volledig artikel: Warc

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