Interested in learning more?

Complete the form to continue reading and discover more PDI resources and solutions to help manage your business.

All fields are required unless otherwise indicated.*

In a world of limited resources and unpredictable consumers, optimizing your marketing strategy and spending can make a major difference in your end result. But how do you know if you’re marketing investment is optimized? Are you measuring your Return on Marketing Investment (ROMI)? When it comes to measuring ROMI, there is no standard approach that is utilized across the board. Every brand thinks of ROMI differently and how they go about it. In this article, we highlight the importance of ROMI for brands and why it matters in understanding if you’re meeting the goals and objectives through the campaigns you’re running. What Is ROMI, and Why Should You Care? ROI and ROMI are often used interchangeably, but the most significant difference is that ROMI is more specific on your return on marketing investment—what you’re measuring and how you’re adjusting your measurements depending on what your goals are for the campaign you’re running. Are you trying to increase customer penetration? Generate trial? Increase how much is spent during the trip (buy rate or basket size)? Increase trips? Are you trying to build awareness of your new product or service by getting eyes on your digital ads or in-store signage? Whatever it may be, it’s important to understand ROMI. Marketers today are looking for a consistent measuring outcome that is the same across all their marketing investments in order to better allocate, optimize and implement their future efforts. Even though the programs and goals for each campaign are different, like measuring ROMI in c-stores versus digital ads, they are looking for a consistent measuring outcome to make comparisons. Looking at ROMI allows marketers to understand better if they’re achieving their campaign goals and where their time is best spent (or not spent). What Should You Be Evaluating? Again, what marketers want to know about ROMI depends on their objectives. What is the return specific to your objective? That is where these four buckets marketers are evaluating come into play: reach, engagement, lift, and financial return. Reach How many consumers are seeing/hearing/or being reached by your efforts? How big is your reach, and how is it measured? If your goal is to generate awareness of a new product, then the goal and how you should be measuring ROMI is by how many eyes saw that offer or ad. That can include who saw the offer in the mobile app, the projected number…

Categories