Magazines Show Highest Return On Ad Spend

According to a Nielsen Catalina Solutions (NCS) study, magazines deliver the highest return on advertising spend (ROAS), with an average return of $3.94 for every dollar spent on advertising.

The study, which was presented today at the Advertising Research Foundation Audience Measurement 2016 conference, revealed the next closest media platform is display advertising with a ROAS of $2.63.

“Over the past year, there has been a preponderance of evidence to prove the effectiveness of print advertising and the power of magazine media to both tell and sell,” stated Linda Thomas Brooks, president and chief executive officers of MPA – The Association of Magazine Media.  

“By generating benchmarks that allow marketers to compare the return they should expect from every media dollar, the study clearly shows that every media buy would benefit from the addition of print advertising.”

To understand the average ROAS across media type, NCS, over the course of 11 years (from 2004-2015), analyzed nearly 1,400 campaigns across 450 brands from seven popular categories: baby, pet, health and beauty, general merchandise, food, beverage and over-the-counter (OTC).

Called “Yes, Advertising Works. Now, What’s My ROAS Across Media Platforms?,” the study analyzed data to determine key metrics, as well as what factors drive sales, such as the size of the brand, brand equity and purchase frequency.

"The insights we've uncovered by comparing ROAS and incremental sales across media types are invaluable,” stated Leslie Wood, chief research officer at Nielsen Catalina Solutions. “While there is no 'best' media, and choices should be driven by strategy and message, advertisers can leverage this data to inform their media decisions."

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