"This is not the time to cut advertising. It is well documented that brands that increase advertising during a recession, when competitors are cutting back, can improve market share and
return on investment at lower cost than during good economic times."
These professorial words of advice, from a Harvard Business School Working Knowledge article in 2008,
rang true at the start of the economy's difficulties -- and they ring even truer today, when hints of a real recovery are growing stronger day by day. A year-end member survey by the American
Association of Advertising Agencies reported 64% look for "slow, steady growth" in ad spending during 2011. How can brands be sure to catch the wave of an economic recovery while keeping a
firm toehold on their ad dollars?
The phrase to focus on is this: return on investment at lower cost. Advertising is no longer a black hole of spending that may deliver
results, or maybe not. ROI-driven advertising is a standard that should apply to virtually any brand, and the key is analytics. With tools in place to monitor and measure performance,
ad campaigns -- particularly TV, which might appear financially daunting to potential advertisers but is a powerful tool for building brands -- can be managed to deliver actionable results and
brought to scale only when, and if, proven successful.
Learn how:
- ROI-driven advertising has helped smaller to mid-size companies, including start-ups, grow into
household names
- Starting with ROI and analytics leads to network attribution -- identifying what performs best
- Setting a target acquisition number and beginning with 4-8 week tests
can be measured and brought to scale
Recessionary times validated the need for an ROI approach to advertising, big time: "Show me my marketing works or I won't spend the
money." As more marketing dollars re-enter the marketplace, the calls for proof are more important than ever -- and the proof is more deliverable.