Shifting Promo Dollars to Media Produces Higher ROI via MediaPost (source: Turner Broadcasting and IRI)
Media company Turner Broadcasting commissioned a study showing that shifting as little as 10% of promotional dollars to media advertising can result in big return on media investment results for marketers.
The study—conducted with IRI, the consumer products/healthcare marketing analytics company—noted that consumer product marketers can spend as much as 66% of marketing dollars on promotion. Shifting 10% of that money can return in return on investment (ROI) gains of 10% to 25%.
Turner/IRI research looked at three years of data, across 62 brands representing $20 billion in sales and $3 billion in marketing spend across food, beverage, health care, beauty and home-care marketers.
The research indicates that the results are more dramatic when separating short-term and long-term ROI versus overall promo spending.