BrandEquity ROI

Capturing the long-term impact of investing in brand image and perceptions.

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What is BrandEquity ROI?

With traditional econometric modelling, it can be difficult to capture the long-term Brand impact of marketing. BrandEquity ROI aims to remedy this by measuring the impact of advertising on Brand Index scores over an extended period of time, and then by modelling this score against sales revenue to give us a long term impact.

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What You'll Gain

Unlock the future of your brand’s marketing strategy with BrandEquity ROI, a revolutionary approach designed to comprehensively measure and enhance your brand’s long-term impact. Traditional econometric modelling often falls short in capturing the enduring influence of marketing on brand perception. BrandEquity ROI fills this gap by meticulously assessing how advertising affects Brand Index scores over time, offering a nuanced view of your brand’s long-term resonance with audiences.

Disentangling the Impact of the Brand Tracking Imperatives on Sales. In the below example we demonstrate how important each imperative is at driving sales. Imperatives can be very specific to a business and can be about perceptions from "Is trustworthy" to "tastes great".

Disentangling the media drivers of BrandEquity ROIs. Next we need to understand how much these imperatives have been impacted by the brand campaigns. Some campaigns by definition should drive some metrics more than others due to the creative style they use. It is important to revisit this hypothesis at the end of the project to ensure that we are selecting tactics that can move under a new creative direction - and not just replicating what has been done in the past.

Determining the non-media drivers of BrandEquity ROI. In the below chart we split out the media impact from the overall BrandEquity ROI - this determines the long term ROI of media campaigns. Note that in all this it is important to make sure that often the brand imperatives will change regardless of any advertising. We need to control for this so as not to accidentally claim an impact that isn't driven directly by your advertising.

Determining the long term impact of failing to invest in the brand. In the below example we demonstrate the negative impact of failing to adequately invest in the brand on long term declines. This pattern is typical where a brand can often survive a year, but then shows steep declines. In most cases the cost of investement to close the gap is many times the amount it would cost to stay where you are. In extreme cases the failure to invest in the long term can begin a terminal decline cycle.

Benefits

Embrace the benefits of BrandEquity ROI to elevate your marketing strategy. Experience targeted engagement, strategic optimisation, and measurable growth as we tailor your campaigns to resonate with local audiences, ensuring your marketing efforts achieve maximum impact and efficiency.

Direct Link to Financial Performance

This evaluation provides concrete evidence of how brand building efforts translate into financial success. By tracking revenue growth alongside media campaigns, you can establish a direct correlation between brand building activities and increased sales. This insight justifies the investment in brand media and helps in allocating marketing budgets more effectively.

Strategic Resource Allocation

Understanding the revenue implications of your brand building media allows for smarter strategic decisions about where to invest marketing resources. Identifying which campaigns, channels, or messages have the highest impact on long-term revenue enables you to focus your efforts and budgets on the most effective strategies, optimizing your return on investment.

Demonstrating the Risk of cutting investment

Completing this analysis shows the long term declines a company can expect when it reduces its spend on brand building activity. We can then demonstrate how much more you would need to spend on performance and acquisition channels to maintain your current sales revenue in the future.

Informed Creative Direction

The BrandEquity ROI Analysis shows both 1) Which attitudinal vehicles brand activity can shift - i.e. can it move consideration, or a perception such as "tastes great" or "is for young people" 2) Which of these attributes has the greatest impact on sales By combining these two results we can discover what should be the central component to a creative brief to maximise the sales impact of a brand building campaign.

We Tackle Key Questions

Does my Brand Building Media drive long term sales?
What is the long term decline if I stop investing?
What perceptions has my brand building media shifted?
What perceptions should my creative address to maximise the long term sales impact?

What We Do

BrandEquity ROI by IMS offers a pivotal shift in understanding the long-term value and impact of your advertising efforts by adopting a deep analytics approach to evaluating the impact of perception changes on Sales.

Model the impact of each brand (tracking) imperative on sales

We build a latticed network of statistical models to determine the impact of each brand imperative on sales, determining decay rates and lags to understand the long term impacts. We use this analysis to compose a weighted BrandEquity ROI metric that drives the business.

Model the impact of brand advertising on each strategic imperative

We then build regression based models to understand the uplift of historical advertising on each imperative.

Strategic Recommendations

Finally all this can be decomposed into the driving factors that show how brand advertising changes perceptions, and then perceptions drive sales.

Transform your businesses understanding of the impact of brand building advertising at driving long term business growth.

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What BrandEquity ROI looks like

Brand Equity ROI by IMS offers a pivotal shift in understanding the long-term value and impact of your advertising efforts. By embracing this innovative approach, you're not just investing in the immediate success of your campaigns but safeguarding the future prosperity of your brand.

Long Term Impact of the Brand

Long term impact of stopping investment in the Brand

What Imperatives would reduce by

What imperatives drive sales, and what has Brand Media driven

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In Analytics, Marketing and Business Intelligence
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International Clients
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Completed Projects
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Analytics Models
£0m+
Business Revenue Driven
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