managing your marketing roi

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Post on 29-Aug-2014




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A brief overview of key concepts to help defend you marketing budgets and improve your tactical and strategic marketing decision making


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  • Marketing ROI is one of top strategies 79% 76% 65% 61% Customer Satisfaction Customer Retention Marketing ROI Brand Loyalty The top four ranked back-to-basics strategies Each increased from four to 12 percentage over prior year Source: Economy Weighs Heavily on Marketing Execs for 2009 Study: Top-Level Marketers Focused on Back-to-Basics Strategy, Struggling With Digital Concepts by Click here Beth Snyder Bulik, Advertising Age Jan 8, 2009. Emphasis added.
  • Marketing ROI definition unclear Is it Better financial returns? Backward looking or forward looking? Short or long term? Improved branding? Click here
  • Marketers use different tools Consumer Marketers B2B Marketers Marketing mix Lead generation Mass media Direct response marketing Social marketing Marketing & sales coordination Click here
  • Definition: Marketing ROI The purpose of Return on Marketing Investment (ROMI) is to optimize Marketing Spend for the Short and Long term in support of the Brand Strategy by building a Market Model using valid, objective Marketing Metrics and Analytics Click here
  • 3 Key marketing ROI concepts Marketing effectiveness framework Marketing effectiveness continuum Marketing effectiveness culture Click here
  • Marketing effectiveness framework Marketing effectiveness has many leverage points Strategy Exogenous Creative Factors Marketing Execution Programs Mix Click here
  • Marketing effectiveness framework Customer centricity is a key component to drive ROI Information Brand Processing Preferences Channel Shopping Preferences Click here
  • Marketing effectiveness continuum Most marketers act at the lowest levels, with little data and analysis Brand Optimizers Consumer Analyzers Mix Modelers Campaign Measurers Activity Trackers Increasing ROMI Sophistication Those marketers operating at higher levels make improved decisions Click here
  • Marketing effectiveness culture Improving marketing ROI requires a change in organizational culture Modeling & Metrics & Monitoring & Budgeting Measurement Management Click here
  • A sampling of DemandROMI projects Quick Serve Restaurant 8% projected revenue increase (~$25M) with no increase in marketing investment Major Software Provider Identified the 50% of the marketing budget being wasted Consumer Package Goods Product launch marketing mix mismatch cost 2% market share (worth a 40% increase in revenue) Where else can you get that type of return on any other marketing investment? Click here
  • For more information Guy R. Powell [email protected] Book: Blog: DemandROMI Prove and improve your marketing effectiveness 404-816-4344 Click here