ROI measures efficiency not effectiveness

Andrew Willshire tweeted:
“ROI is often used as the metric of choice as though you should seek to maximise it, whereas that would result in under-investment and misallocation of budget. Much better to optimise on incremental revenue, but that’s often overlooked.” Continue reading “ROI measures efficiency not effectiveness”

Ritson: Share of Search – a simple and elegant alternative to Share of Voice

Mark Ritson wrote an article for Marketing Week titled It’s time for ‘share of search’ to replace ‘share of voice’ (Sept 24, 2020).

« Share of voice is a key metric for setting budgets and predicting growth, but digital media make it impossible to calculate accurately. Understanding your share of search queries is a simple and elegant alternative. » Continue reading “Ritson: Share of Search – a simple and elegant alternative to Share of Voice”

Chasing high ROIs can mean running your business into the ground

Jerry Daykin started a Twitter thread:  «ROI is a terribly misunderstood thing in media/advertising. Chasing high ROIs can mean running your business into the ground/minimising growth, and in fact a high ROI is often a sign you are underinvesting in a channel. ROIs aren’t static, they shift as your budgets do. »
Continue reading “Chasing high ROIs can mean running your business into the ground”