Which medium produces the best return on investment ? Brands, Media and Money Over the last few years there has been vigorous debate about advertising effectiveness.  Some have suggested that new media will make  “old” media, like TV, obsolescent. Thinkbox –the marketing arm of UK commercial TV commissioned a study in 2007 to look at the facts. Data from 706 brands over 10 years was regressed on brand-level marketing investment in TV, print, radio, outdoor, cinema, direct mail and the internet. A unique study in terms of scope and length.  The findings were: - On average a £1m increase in TV investment yields a £4.5m increase in sales revenue.  - TV delivers its value over a much longer time frame than other media (45% after year 1) In 2008 the conjoint part of the study was repeated and 41 brands’ “willingness-to-pay” shifts were compared with their media spend shifts. This found that: - Raising TV share of voice has a 66% chance of raising WTP versus your competitors - Cutting your TV share of voice has nearly a 75% chance of reducing WTP versus your competitors This advertising effectiveness technique was refined in 2009 work conducted by Value-judgement  for RTE – Ireland’s main TV channel. Six markets were researched ( as in graphic opposite) - 27 brands and 1500 surveys . The results were used to calculate an innovative media efficiency index (“bang for buck”).The result: - TV converted € ad investments  into wtp premia ( the economic point of branding) more effectively than any other media  – see graph. Rumours of TV ad demise may have been exaggerated! : Media Return on Investment Index <<<< Back to menu