Are You Missing 2/3 of Your ROI?

Research from Nielsen, GFK and NEPA has revealed that 60% of ROI from digital ads comes in the long term.

Whilst many companies are using the medium for here-today-gone-tomorrow tactical campaigns designed to bump the sales graph, the reality is that across all industries, sustained digital drives long-term growth for brands.

The study by the three data measurement giants looked at more than 3,500 campaigns on Meta platforms, measured in four categories, across multiple countries. It proved that short term campaign measurement massively undervalues brand advertising.

Significant additional long-term ROI was found across all categories in all countries where this extensive sampling project took place. The long-term effect varies by industry with consumer packaged goods getting a 42% ROI boost long-term, tech and durables receiving 76% of their ROI long-term and retail and telco 59%.

A graph showing the long term ROI of digital advertising

This research significantly undermines most companies’ strategic view of the role of digital ads in their marketing mix. With the lion’s share of ROI coming in the long-term, it might be time to rethink and replan to capitalise on the real value of digital.

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