ROI 3.0 The Foundations of Market Mix Success (1)

ROI 3.0 

THE FOUNDATIONS OF 

MARKET MIX SUCCESS 

How Out of Home media drives advertising ROI

FOREWORD by oOh!media 

This study marks the third Australian ROI research study that oOh!media has 

commissioned since 2014. 

We first undertook this study to provide evidence to agencies and clients that Out 

of Home media contributed to an advertiser’s ROI. Throughout the following studies 

with Analytic Partners we have gained many learnings around Marketing Mix Modelling 

(MMM) and the role that Out of Home media plays in generating a positive campaign 

result. 

This study has not been manufactured in any way to generate a desirable sales story. 

The data that Analytic Partners use is the average and norms of their media database 

of Marketing Mix Studies commissioned by their clients. It is the biggest database of 

Marketing Mix Data available in the Australian market. At oOh! we are confident in our 

products and scale, it’s more about understanding best practice and how we can work 

better with our partners and other media companies to generate the best possible 

result for Australian advertisers. 

We believe these studies are the most accurate way to provide evidence of attribution 

because the model Analytic Partners uses factors in key ROI drivers like creative, price, 

promotion, competitor activity, even the weather, that a lot of other research methods 

don’t consider. We believe great advertising campaigns are effective when science and 

art come together as one to address a brand challenge. 

In this third study we challenged Analytic Partners to help us understand the importance 

of creative and copy to generate a ROI; their opinion on the insights and the creative 

tactics that lead to better performing Out of Home creative; a deep dive into how to 

get better bang for your dollar when investing in Out of Home media as part of your 

campaign strategy; and lastly – we are very proud of the Out of Home product we have 

in Australia – we wanted some proof that it is globally leading. 

We hope you enjoy the insights provided in this study. We believe they are great learnings 

which you can apply in the future to generate Unmissable advertising campaigns. 

If you would like further clarity, please don’t hesitate to make contact and we can 

organise a time to discuss. 

Bruce Mundell 

Group Director - Customer Strategy 

bruce.mundell@oohmedia.com.au 

Ph: +61 2 9927 5555 

Click to watch: Introduction to ROI 3.0 Study

CONTENTS 

ANALYTIC PARTNERS OVERVIEW........................................................................................................................ 3 

STUDY METHODOLOGY................................................................................................................................................ 5 

REPORT FINDINGS.......................................................................................................................................................... 9 

SYNERGIES AND SCALE............................................................................................................................................. 11 

CREATIVE............................................................................................................................................................................ 15 

IMPORTANCE OF AUDIENCE TARGETING...................................................................................................... 19 

DEEP DIVE INTO OUT OF HOME MEDIA..........................................................................................................23 

ROI INDEXES....................................................................................................................................................................26 

CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC 2

ANALYTIC 

PARTNERS 

OVERVIEW 

Analytic Partners was founded over 19 years ago with the sole 

purpose of delivering customised marketing analytics and 

consultancy to help its clients improve sales performance by 

driving greater impact from marketing and sales programs 

(i.e. marketing ROI) and improving customer experiences. 

Analytic Partners years of experience in marketing analytics 

means it has an established solution, that was built and 

continuously refined using a strong platform of global talent, 

technology and expertise. This is what sets it apart from many of 

the newer, less experienced players in market. 

3 CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC

Analytic Partners believes it offers a differentiated solution from its 

competitors for the following reasons: 

Independence 

Analytic Partners is an independent, self-funded global analytics firm. 

This means: 

• It has no ties to media agencies or data providers so provides objective 

insights and unbiased recommendations. 

• It has the adaptability and flexibility to work with the appropriate and most 

effective data and media partners. Analytic Partners has developed data 

partnerships with the likes of Google, Facebook, Snapchat and Pinterest 

so that it can access data directly from these platforms to drive maximum 

insights for its clients. 

On top of the Forrester recognition, Analytic Partners has received the 

following accolades over the last few years: 

• I-COM recognised for innovative analytics and insights as well as thought 

leadership, being named “Smart Data Agency” of the Year 2017 and 2019. 

• I-COM Winner of Intel Challenge Hackathon 2017 and 2019. 

• ANA 2018 Genius Award for Data and Analytics Storytelling awarded to 

Scotts Miracle-Gro for their use of Analytic Partners’ Helio solution. 

• Effie Award for Effective Advertiser of the Year 2017 to ANZ Australia and 

Analytic Partners, as one of their partner agencies. 

• Gartner recognised for Marketing Mix and Attribution in their Market Guide. 

• Gartner recognised for Building Segments and Personas for Digital 

Marketing. 

A holistic view of measurement and true partnership with its clients 

This is supported by a global client retention rate of over 90%. 

An established global marketing analytics network 

Analytic Partners has established 10 offices spread across the Americas, 

Europe and Asia-Pacific to service multinational and local brands in each 

market. Its analytic experience with engagements around the world equips 

the Analytic Partners’ team with a global knowledge of data, channels, and 

business environments, which means the team are adept and flexible at 

dealing with different contexts and issues. 

Analytic Partners is solely focused on enabling analytic adoption 

Marketing measurement and optimisation is what Analytic Partners does, and 

its focus is on unlocking potential through full-service consultancy. This has 

delivered an average of 30% improvement in ROI for its clients globally. 

Analytic Partners was rated globally as a leader in the most recent Marketing 

Measurement and Optimisation Waves by Forrester – in the Q2 2018 Global 

Wave (and also in the 2016 wave) and, in the Asia Pacific region in Q4 2018 

they were named the only leader in the region. 

30% 

Average ROI 

improvement for our 

clients 

2m 

Marketing metrics 

Analytic Partners Offices 

Analytic Partners Experience 

45+ 

Countries we work in 

107 

Business sectors 

analysed 


STUDY 

METHODOLOGY 

The Leading Edge first ran this study for oOh!media in 2014, 

previously looking at 145 campaigns across 80 different brands 

and a total marketing spend of more than $4billion. Since then 

Analytic Partners have joined the study – increasing the depth 

to cover 350 Australian campaigns across 140 brands and over 

$9billion of marketing spend. 

This ROI study is based on the combined work of 

The Leading Edge and Analytic Partners. 

5 

CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC

Through running such studies over the past 19 years, Analytic Partners 

have collected a vast quantity of marketing intelligence across industries 

and countries. This intelligence lives and breathes in ROI Genome. ROI 

Genome is an adaptive database that goes beyond traditional “you are here” 

benchmarking to understanding and quantifying the drivers of ROI and 

marketing success at a fundamental level to establish principles and truths. 

By understanding and quantifying how factors such as brand health, 

marketplace factors, country dynamics, and the competitive landscape all 

impact marketing performance for each type of offline and online marketing 

activity, Analytic Partners can provide context and perspective for its clients. 

As part of its database, Analytic Partners has benchmarks for Australian 

media which it’s been collecting since 2012. 

In order for any insights to be released with a ROI Genome endorsement, 

they must demonstrate reliability and validity across multiple studies – in 

other words, they must be replicable and hold true consistently. To enable 

this rigour, ROI Genome: 

• Captures measurements from hundreds of billions of dollars in 

marketing spend across 22,000+ studies. 

• Captures more than two million marketing metrics. 

• Covers a global footprint; 45+ countries. 

• Covers 700+ brands. 

• Covers thousands of campaigns. 

• Comprises a cross-section of industries and tactics. 

The data presented in this report includes a mix of ROI Genome insights 

as well as specific Australian Out of Home insights collected across 

multiple studies, insights and years from both Analytic Partners and The 

Leading Edge. Individual clients within the database are not named due to 

confidentiality. 

All the studies leverage Marketing Mix Modelling (MMM) as a foundation 

for measuring sales performance and identifying opportunities for 

maximising marketing ROI. MMM utilises a variety of statistical techniques to 

disaggregate and measure how different elements of, and executions within, 

a business’ marketing mix drives revenue. 

To ensure we can attribute brand building activities versus a price promotion, 

we look at a minimum of three years’ worth of weekly sales data and put it 

into an econometric model. We then take the full marketing program of the 

client; price, distribution, advertising, product recalls (everything we can 

get our hands on) and competitor activity and sales. This is combined with 

a range of environmental factors, i.e. weather, the economy, seasonality etc. 

This effectively lets us see the impact of any activity – as you do more of X, 

what is the impact on sales? 

In essence, Analytic Partners test a large amount of these relationships 

mathematically to measure the impact of each on sales. As these activities 

are all related and happening at the same time, we measure the relative level 

of them (i.e. how many TARPs you had in a week, rather then the fact that 

you were on TV) so that we can mathematically isolate the individual effects. 

Click to watch: Introduction to ROI 3.0 Study 


In this study, we took 350 campaigns across 140 different brands, with 

a total spend of more than $9billion to combine them into a giant ROI 

study, to ensure the individual client information was not recognisable, but 

we were still able to look at the top line MMM results across a number of 

categories, mediums and Out of Home formats and compared them using 

TV as a benchmark – mainly because all campaigns had TV as a constant 

and generally as the largest portion of the marketing mix, which delivers less 

volatile results due to size. 

Of course, it’s very important to keep individual ROI results confidential, so 

we use indexes throughout the presentation. This also makes everything 

comparable across categories and gets away from the fact that different 

margins in different categories drive higher ROI or lower ROI – without using 

media at all. After all, it’s more important to look at the relative difference in 

returns rather than the absolute returns. 

With all our studies, we always report the average return for media channels. 

However, we’ve broken down the elements of Out of Home across client 

categories to see the results. We haven’t been able to break out every single 

element we have evaluated but where we have over the statically accepted 10 

studies, for a particular element, then we have used the results. 

AUSTRALIAN DATABASE 

Cross section of industries and 

marketing tactics 

In depth understanding of 

how marketing works 

140 Brands 

350 Studies 

$9 billion in spend 

GLOBAL DATABASE 

Cross section of industries and 

marketing tactics 

In depth understanding of 

how marketing works 

2 million marketing metrics 

700+ Brands 

45 Countries 

$460 billion in spend 


CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC 

8

9 

REPORT 

FINDINGS 

EXECUTIVE SUMMARY

Your digital media investment returns halve if they are not being 

supported by the ‘heavy lifting’ channels of TV and Out of Home. 

They are the foundation of your market mix and the most important 

channels to set up success. 

A multi-channel approach gets you stronger ROI as it drives you greater 

1+ reach – the key to ROI is driving scale by moving onto another channel once 

you have hit that point of diminishing return. 

Similarly, when planning effective Out of Home campaigns a multiple product 

approach works better than a single Out of Home product strategy. 

The creative/copy represents 41% to an Out of Home ROI performance. 

The drivers to great performing Out of Home creative is context, relevance and 

creative synergy. 

Smart audience targeting drives better ROI. You should be favouring data 

sets that use real data and that use a category buyer approach instead of 

demographic. This will help eliminate wastage. 

Out of Home strategies that have a long-term approach perform better 

over time. 

Australia is one of the best performing global markets when it comes to Out of Home ROI. 

These are the trends throughout the study, and Australian advertisers should 

be confident in investing more of their budget into Out of Home as it leads to a 

stronger campaign resul 

Click to watch: Summary of the top findings 


10

11 

SYNERGIES 

AND SCALE

A single media channel does not enable you to leverage the 

synergy that multiple messages across different channels gives 

you. By using a single channel, you miss the opportunity to have 

a deeper influence and resonance by connecting with consumers 

across multiple touchpoints and contexts. A favourite example of 

this is TV and Retail in the FMCG sector. 

You’ve spent millions building brand awareness and positive associations, and 

then just before consumers walk into a store to be bombarded by price, you 

can bring these positive brand associations to the front of the mind and give 

a reason to buy other than price. 

There’s been a lot of discussion in recent years about what media channel 

is best to invest in. However it’s not about choosing one or the other. This 

would be like choosing between food or water, you need both to work 

together to sustain you and if you’re missing one then you’re not long for this 

life. The same is true for media investment. A campaign that has investment 

in more than one channel will generally deliver a higher ROI than a single 

media campaign. Furthermore, the more channels that you can add (budget 

permitting), the higher the ROI. 

This is because: Spreading money across multiple channels rather than 

putting it all in one budget increases the likelihood of driving incremental 

reach. We see a linear trend between reach and ROI – the more reach, the 

more ROI. By spreading your investment and broadening reach with more 

channels as well as using each channel to its best creatively, you’re helping 

maximise your incremental reach opportunity. 

ROI (INDEX) 

100 

Single Media 

Platform 

119 

Two Media 

Platform 

ROI STRATEGY COMPARISON 

SOURCE: Analytic Partners -ROI Genome Marketing Intelligence Report 2016 Analysis based on over 3,200 campaigns from 

2010-2015; Platforms include TV, Print, Radio, Display, Paid Search, Online Video, PR, Out of Home and Cinema 

123 

Three Media 

Platform 

131 

Four Media 

Platform 

135 

Five Media 

Platform 

Click to watch: Multi media campaigns increase campaign ROI 


The effects of synergy on ROI vary by different combinations 

of media; it’s not just about combining lots of digital channels 

together or multiple offline channels together and saying that you 

have a multi-channel strategy. When thinking about combining 

channels, usually the most efficient options come from 

combining both offline and digital media options. 

The chart below shows the incremental multiplier from combining different 

channels with TV, digital and Out of Home delivering the highest multiplier 

versus 

TV only (as the base for the multiplier). 

What the chart below also shows is that using TV as your base media and 

layering other media on top, will give you the highest returns. However, Out 

of Home combinations also work well compared against a TV only strategy. 

TV + DIGITAL + OOH 

TV + DIGITAL + 

MAGAZINES 

TV + DIGITAL + RADIO 

TV + DIGITAL 

OOH + TV 

27% 

23% 

22% 

22% 

17% 

OOH + DIGITAL 

9% 

OOH + RADIO 

3% 


The key take-out is that there is actually a big impact on digital ROI if a 

campaign doesn’t include either TV or Out of Home. As the chart below 

summarises, when TV can’t be run, Out of Home holds up some of the 

results, but without this, digital results drop significantly. 

WITH CAMPAIGNS UNDER $1M, MOVING TO A DIGITAL AND OUT OF HOME STRATEGY CAN BE A 

MORE EFFECTIVE STRATEGY 

132% 

139% 

We’re often asked what this means for campaigns with a small budget – 

should they just put it all in one media channel to maximise the bang for their 

buck? But there’s an even greater need for synergy in small campaigns, to 

build awareness and then maintain a presence for as many weeks as possible. 

What’s more is that the data shows for campaigns under $1million, moving to 

a digital plus Out of Home strategy can be more effective – so Out of Home 

is not only just a viable option, it can be a better option. 

THERE IS A BIG IMPACT ON DIGITAL IF TV OR OUT OF HOME IS REMOVED FROM A CAMPAIGN 

100% 

100% 

79% 

50% 

TV TV + Digital Digital + OOH 

Digital returns with TV + OOH Digital returns with OOH Digital returns with neither 

Click to watch: Adding Out of Home to a digital campaign 


15 

CREATIVE

While the previous discussion has focused on how advertisers 

should think in terms of where to place their message or specific 

broad executional aspects of mix optimisation, it’s important 

not to forget about the influence that the creative message has. 

When you compare the influence the creative message has versus 

more specific executional elements within channels, you begin 

to see interesting trends. For audio visual platforms (TV and 

video), the quality of the creative itself – the amount of branding, 

communication of benefits, level of interest or engagement – is 

the most important to ROI outcome. 

41% OF OUT OF HOME 

EFFECTIVENESS COMES DOWN 

TO THE CREATIVE COPY 

In display channels, including Out of Home, the level of creative influence is 

less but it is not so small as to be disregarded. 

All this means is that it’s worth investing in copy. Not only does creative 

have an influence but increased copy quality can have a significant impact 

on a campaign’s success. 

38% 

65% 

ROI GENOME: COPY QUALITY CONTRIBUTION BY CHANNEL 

TV 

ONLINE DISPLAY 

62% 

35% 

59% 

30% 

ONLINE VIDEO 

OOH 

EXECUTIONAL ELEMENTS 

eg: flighting, duration, daypart, site 

COPY QUALITY/CREATIVE 

eg: content, communication engagement 

70% 

CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC 16 

41%

WHAT DRIVES GREAT OUT OF HOME CREATIVE? 

Copy quality in Out of Home has the same large impact that 

we see for other marketing channels. 

The impact of creative in Out of Home is huge, because there are many 

advertisers using a pack shot or the end frame of the TVC as the creative 

for a billboard. With all the discussion and debate around how the TVC 

works, so often the creative for Out of Home is an afterthought – and yet 

we have examples where putting this thought in (and actually testing the 

creative, here with Neuro Science) and getting a piece of creative that really 

maximises the synergy with the emotional component of TVC (vs the end 

frame) can drive results 250% higher than average. 

ROI IMPACT OF INCREASED COPY QUALITY 

The impact isn’t just about “good” creative either, but creative that is made 

to be relevant, not only to where it is being placed but also in terms of the 

connection, or action, that you want to evoke from the consumer who sees 

it. Creative that is made for channel (be it digital or Out of Home) can have a 

much larger impact than creative which is cut down or cut up shots of a TVC, 

put on a different screen. For Out of Home, thinking about how different 

formats can contextually play a role on a consumer’s journey should help to 

inform creative development. 

We also have insight that emotive creative works best on roadside billboards, 

whereas tactical messages work better in retail environments. Tactical 

creative doesn’t mean that retail media can only do point of purchase 

style advertising. That means; rather than strong theory of advertising 

with emotional triggers, use the weak theory of advertising that Andrew 

Ehrenberg and John Philip Jones propose instead and try to nudge 

consumers using distinctive assets and brand cues. Both drive consideration, 

both drive brand metrics. One tries to make people feel something, the other 

tries to make them think something. 

250% 

+27% 

+37% 

100% 

-16% 

100% 

-6% 

90% 

30% 

Client average 2nd Strongest campaign Neuro tested creative 

Large Format 

Average 

Large Format 

Tactical Creative 

Large Format 

Emotive Creative 

Retail Average 

Retail Tactical 

Creative 

Retail Emotive 

Creative 


As with the experimentation underway on how to best build a digital video 

and where to place it, we haven’t yet seen digital Out of Home utilised to 

its best consistently. With technological advances changing how Out of 

Home ads can be activated, there are increasingly more opportunities to 

increase contextual relevance of Out of Home to consumers. The chart below 

illustrates an example of how weather triggered Out of Home can drive 

greater impact than non-contextually relevant messaging. 

+57% 

Digital OOH average 

Digital OOH with weather adjusted 

weights 

Click to watch: Increase campaign effectiveness from creative copy 


18

19 

IMPORTANCE 

OF AUDIENCE 

TARGETING

TAKE A CATEGORY BUYER APPROACH 

TO ELIMINATE WASTAGE 

Case Study: The demographic buy was half as effective as the 

category buy 

Many marketers have followed the debate over targeted marketing, and 

whether mass marketing or micro targeting is the optimal approach. Whilst 

this is a debate that depends upon many factors (and the synergy already 

mentioned many times in this booklet) one element that is in agreement and 

isn’t debated is to avoid wastage. 

We see considerable improvements in campaigns where clients have had a 

great understanding of their customers and ensured that they are maximising 

the reach to all their possible consumers, but avoiding those that aren’t. 

Unfortunately in the current environment there are often budget constraints, 

so ensuring we reach the largest part of the market is vital. However, 

worrying about people less likely to be customers is something we may not 

have the budget for. For example, ensuring we maximise the reach of our 

beef ad with large format Out of Home might be important, but we should 

put the areas with the highest incidence of vegetarianism at the bottom of 

the list. 

In this case study we were able to see the huge difference in a media 

buy that used this approach. This isn’t to suggest micro-targeting, as the 

category buyers were the large chunk of the population, but we were able 

to reduce the wastage of talking and identify the incremental oppertunity of 

category buyers who sat outside a traditional demographic segment. 


BUILDING 1+ REACH DRIVES ROI 

The more of it the better. The key to building effective 1+ reach 

is moving onto another channel once you have hit the point of 

diminishing return. 

ADVERTISING RESPONSE TO DIFFERENT 4-WEEK REACH LEVELS 

Building reach is a strategy that works across every media channel. That’s 

not to say that it is the only strategy that works, but sometimes the focus on 

reach is lost- particularly as we combine media channels. 

The relationship between ROI and reach is linear. More reach builds more 

ROI, the more of it the better. However, at some point frequency stops 

adding incremental ROI to a campaign. Knowing this point of diminishing 

returns (which is different by media channel and brand) is key, so that 

you can switch investment into a new media channel to continue building 

incremental reach. 

ADVERTISING RELATIVE RESPONSE TO DIFFERENT 4-WEEK FREQUENCY LEVELS 



22

23 

DEEP DIVE 

INTO OUT 

OF HOME 

MEDIA

This section outlines some key learnings for Out of Home which 

continues to grow – in 2018 Out of Home investment saw a 10.8% 

growth on 2017 

No OOH 

RELATIVE SHORT-TERM ROI PERFORMANCE OOH TO TOTAL MEDIA 

BY OOH SHARE OF MEDIA INVESTMENT 

0% 

Category 

2018 Total revenue 

‘000s* 

% Change 

(2018 on 2017) 

% Share 

Online 7,197,700 12.1% 48.1% 

OOH 927,176 10.8% 6.2% 

Radio 1,191,959 3.6% 7.9% 

Less than 

6% in OOH 

41% 

Print 1,899,460 1.8% 12.6% 

Cinema 129,750 0.2% 0.01% 

Television 3,627,425 -2.5% 24.2% 

Total 14,973,470 6.0% - 

More than 

6%+ in 

OOH 

57% 

SOURCE: CEASA 2018 

Higher total media ROI are observed amongst brands which have a higher 

share of Out of Home in their media mix. 

SHORT-TERM OOH VS LONG TERM OOH PERFORMANCE 

127% 

As the chart to the right illustrates, brands that have less than 6% of their 

investment in Out of Home have a total ROI 41% higher than those without 

any Out of Home. This increases to 57% when Out of Home represents more 

than 6% of the mix (i.e. greater than the industry spend average). 

100% 

Looking at site performance, long-term sites deliver almost 1.3 times the 

impact of short-term sites offering the opportunity for ongoing creative 

engagement with consumers. 

Short term placement 

Long term placement 


The impact of synergy isn’t just across media platforms – it’s also within 

Out of Home as we can see below. As you maximise your chances of having 

an emotional message working on large format and have a call to action 

creative on a retail format, we see that the results just keep increasing. 

Getting this mix right as you get people coming into populated centers vs as 

they move around them with longer dwell times, means that the total return 

is greater than the sum of the parts as you work all the ways Out of Home 

can add ROI. 

Compared to global averages, Out of Home delivers a higher return here in 

Australia than in other countries. Part of this is because of the ease of hitting 

so much of the population in shopping centers, the quality of the Out of 

Home initiatives and physical environments built over the last 10 years, and 

also the high TV costs in Australia vs other markets. 

This is also true as you add Out of Home formats to a campaign rather 

than focus on just one. 

ROI INDEX OF DIGITAL CAMPAIGNS WITH OR WITHOUT OFFLINE SUPPORT - AUSTRALIA 

121% 

129% 131% 

250% 

100% 

160% 

177% 

100% 

Single Media 

Platforms 

Two Media 

Platforms 

Three Media 

Platforms 

Four Media 

Platforms 

North America Asia OOH Europe OOH Australia OOH 


ROI 

INDEXES 


26

In order to make all our studies comparable (as different 

advertisers make different profit for their products) we made 

all the data relative to TV. 

ROI INDEXES: ALL MEDIA 

BASELINE: IF $1 SPEND ON TV = $1 RETURN 

DIGITAL 

192% 

That means if you made $1 for each $1 spent on TV, you’re getting $1.92 

for $1 spent on digital. However, it’s critically important to not use this 

chart simplistically – the ROI chart is this shape because of the interactions 

between channels. If we remove Out of Home and TV from a campaign, the 

effectiveness of digital channels drops significantly. 

TV 

MAGAZINES 

OOH 

100% 

89% 

75% 

All these results are dependent upon the level of investment in each of 

the channels. If we think about there being a yield curve for each channel 

(which is unique to that channel) the ROI will increase as it moves to the 

point of diminishing returns, and then decrease past this point. This point of 

diminishing returns is different for each category and even for each brand, 

but TV tends to take the largest investment for a campaign before you see 

diminishing returns, and channels such as Radio and Magazines tend to hit 

the point of diminishing returns earlier and so increasing investment from 

current levels wouldn’t be a great idea. 

NEWSPAPERS 

PR 

ON PA CK 

RADIO 

SPONSORSHIP 

18% 

32% 

68% 

63% 

59% 

Categories such as Sponsorship and Cinema tend to suffer in this analysis, as 

we are looking at the short-term impact only – and the impact of these tends 

to be far more in the long term. A channel such as Radio works strongly for 

some categories (particularly targeting SMEs for instance) or when there is 

a heavy local flavour to the execution, but we don’t see it work as well for 

broad messaging. 

CINEMA 

18% 

We often get asked about the performance of three channels 

What is driving digital returns? 

The best digital ROI drivers are Social; Mobile, Video and Paid Search. Desktop Display is not 

doing as well and is a big reason for digital’s drop in ROI performance over the last 5 years. 

Why do magazines do so well? 

Magazines have a very low cost of entry. Most magazine budgets these days are minimal so it’s a 

lot easier to get a ROI. If you actually spent big budgets on mags, it’s ROI would drop. 

27 CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC 

Why does radio not perform as well? 

Radio doesn’t get great scale and its harder to drive synergies with other media. It works well in 

synergy with promotions however its generally the promotion as the reason for the return.

ROI INDEXES: CONSUMER ELECTRONICS 


ROI INDEXES: BEVERAGES/ALCOHOL 


DIGITAL 

188% 

DIGITAL 

199% 

TV 

100% 

TV 

100% 

MAGAZINES 

87% 

MAGAZINES 

91% 

ON PA CK 

75% 

OOH 

71% 

OOH 

75% 

NEWSPAPERS 

69% 

PR 

72% 

PR 

62% 

NEWSPAPERS 

71% 

ON PA CK 

53% 

RADIO 

22% 

RADIO 

33% 

SPONSORSHIP 

21% 

SPONSORSHIP 

23% 

CINEMA 

18% 

CINEMA 

18% 

The importance of flagship brand communications means that TV can take a stronger role than 

average for consumer electronics. These brand communications lay the strong groundwork 

to support constant product launches, meaning that media channels used for those launches 

such as on pack activity and PR can then be very effective. This means a strategy of burst 

communications that may seem appropriate for a launch actually misses the opportunity of 

having brand messaging as maintenance throughout the year. 

The practical difficulty of being able to buy quality TV under the legal restrictions on alcohol 

advertising means TV struggles to be as effective in this space, and digital advertising 

(particularly online video and social) really comes into its own. 

Another important consideration in this category is the knowledge of how off and on premises 

work differently. With off premises being so price dominated, any media around the store 

struggles to have a strong performance and needs to be very call to action. The on-premises is 

very different though, where OOH can be one of the highest ROI channels and large format with 

emotive creative is the best approach. 


ROI INDEXES: RETAIL 


ROI INDEXES: FMCG 


DIGITAL 

193% 

DIGITAL 

189% 

TV 

100% 

TV 

100% 

MAGAZINES 

90% 

MAGAZINES 

89% 

OOH 

71% 

OOH 

72% 

ON PA CK 

59% 

NEWSPAPERS 

65% 

NEWSPAPERS 

59% 

ON PA CK 

59% 

PR 

57% 

PR 

54% 

RADIO 

38% 

RADIO 

31% 

SPONSORSHIP 

26% 

CINEMA 

17% 

CINEMA 

18% 

SPONSORSHIP 

16% 

Retail advertising is often used for call to action rather than brand building, so we tend to see 

channels that support this have a higher ROI – Digital, Newspapers, PR and Radio. 

This doesn’t mean that long term initiatives don’t work, it’s just that they don’t tend to be done at 

scale – we can see from the very strong sponsorship result that this is an area that can work very 

well when it has focused investment behind it. 

29 CONFIDENTIAL & PROPRIETARY, © 2019 ANALYTIC PARTNERS, INC 

The FMCG category has been severely impacted by price discounting and short-term discounting. 

This means many brands are under-invested in marketing, and some lack the funds to proactively 

ring fence budgets for investment in experimentation. This means some of the FMCG digital ROI 

are lower, however we have seen the improvement of other media channels such as Magazines, 

purely because of the lower levels of investment – the levels are on the optimal part of the yield 

curve. This does mean that the ROI are unlikely to increase with increased spend, but the current 

mix is working well. 

The impact of heavy price promotions means getting the synergy of trade investment and media 

laydown is vital, and the use of retail Out of Home to target consumers on their way to stores is a 

big opportunity – the more that can be done to bring latent brand awareness and associations to 

the front of mind before consumers are bombarded with price messages 

the better.

ROI INDEXES: FINANCIAL SERVICES 


ROI INDEXES: AUTO 


DIGITAL 

174% 

DIGITAL 

169% 

TV 

100% 

TV 

100% 

MAGAZINES 

85% 

MAGAZINES 

84% 

OOH 

76% 

OOH 

76% 

NEWSPAPERS 

71% 

PR 

72% 

PR 

70% 

NEWSPAPERS 

64% 

RADIO 

28% 

RADIO 

26% 

CINEMA 

18% 

CINEMA 

18% 

SPONSORSHIP 

15% 

SPONSORSHIP 

17% 

With financial services having the benefit of so much e-fulfilment and measurable attribution, 

there has been a strong history of digital marketing. This means many opportunities have been 

taken up already, and investment is further along the yield curve meaning the difference between 

offline and online is not as stark. It also shows that TV is a strong channel in this category, as its 

strong performance means all other media is lower relative to TV. However, it does also show the 

stronger performance of Out of Home when strong distinctive assets (such as colour) are used 

well. 

With the long purchase funnel for auto, there is a considerable variability of marketing channels 

– for instance TV has a stronger influence on awareness while incentives are more impactful on 

purchase intent. This means strong branding and awareness are important to build a synergy 

across media channels – but we need to ensure that those synergistic media channels aren’t 

forgotten once a strong awareness base has been built. 


ROI INDEXES: TELCO 


ROI INDEXES: BRAND BUILDING CAMPAIGNS 


DIGITAL 

189% 

DIGITAL 

190% 

TV 

100% 

TV 

100% 

MAGAZINES 

86% 

MAGAZINES 

92% 

OOH 

73% 

OOH 

78% 

NEWSPAPERS 

73% 

PR 

68% 

NEWSPAPERS 

61% 

RADIO 

29% 

RADIO 

28% 

CINEMA 

18% 

CINEMA 

19% 

SPONSORSHIP 

15% 

SPONSORSHIP 

18% 

Media needs to be evaluated not just on the impact it has on acquisition, but also on the impact 

of churn reduction which is often overlooked. This means that brand building can work very well, 

and we see a strong impact from TV making other media channels look low, but also from short 

term focused activity such as PR, and certain digital activity (such as search and social). 

Brand building campaigns tend to benefit the most from reach building activities and from 

moving pictures. We see TV perform very strongly, followed by Online Video and Cinema, all 

relative to other objectives. 

The ROI of brand building campaigns tend to be lower in the short-term but have a significantly 

higher long term (3-5yr) ROI when measured. 

The impact of creative is even stronger for brand building, which is why understanding and 

leveraging your creative assets are vital to drive the strongest performance. For Out of Home , 

we see a huge variance in campaigns that do this well with a strong visual identity that has been 

consistent over time, and consistent across other media channels. 


ROI INDEXES: CALL TO ACTION CAMPAIGNS 


ROI INDEXES: PRODUCT LAUNCH CAMPAIGNS 


DIGITAL 

206% 

DIGITAL 

196% 

TV 

100% 

TV 

100% 

MAGAZINES 

87% 

MAGAZINES 

93% 

OOH 

73% 

OOH 

81% 

NEWSPAPERS 

73% 

PR 

73% 

PR 

58% 

NEWSPAPERS 

70% 

RADIO 

34% 

RADIO 

33% 

CINEMA 

15% 

CINEMA 

19% 

Call to action campaigns have the strongest relative performance on channels such as social, 

search and radio. However even here, it is important to remember the synergy of other media 

channels – without the impact of reach building activity from TV and/or Out of Home, the returns 

from a media campaign are going to be significantly reduced as the campaign will have to 

compete much more with the in-store and/or price activity of competitors. 

A product launch is not surprisingly where media performs strongly across the board. Once a solid 

base of reach has been built it then allows other media to be leveraged for impact and context of 

messaging. The interaction of media with in-store activity then means that Out of Home with a 

strong presence around the distribution (in stores or branches) produces the highest results for 

Out of Home. 


ROI INDEXES: LOW INVOLVEMENT CATEGORIES 


ROI INDEXES: HIGH INVOLVEMENT CATEGORIES 


DIGITAL 

175% 

DIGITAL 

215% 

TV 

100% 

TV 

100% 

MAGAZINES 

89% 

MAGAZINES 

85% 

OOH 

74% 

OOH 

73% 

NEWSPAPERS 

72% 

NEWSPAPERS 

60% 

RADIO 

26% 

RADIO 

31% 

SPONSORSHIP 

18% 

SPONSORSHIP 

18% 

CINEMA 

17% 

CINEMA 

18% 

The biggest difference between media channels across high and low involvement categories is in the digital channels. Search has a very strong performance in high involvement categories, but it is 

reduced in low involvement categories – partly because there tends to be less e-fulfilment opportunities. Within lower involvement categories, we tend to see the importance of reach and emotional 

“nudging” of consumers, so the role of TV is heightened. 


SUMMARY by oOh!media 

We hope you have enjoyed the insights from this study and that 

they can be applied to your advertising to drive further Market Mix 

Success. A big thank you to the team and Analytic Partners for 

their hard work in creating this study for the Australian advertising 

market. 

Our learnings from this study are that scale through synergy, great creative & access to 

meaningful audience data can help advertisers drive stronger returns. 

To ensure that advertisers can leverage these learnings and ensure positive ROI, 

oOh!media are making the following commitments to our customers: 

1. Making stronger cross Out of Home product optimisation available: 

• oOh! will provide the market with 500+ Audience Segments to optimize across all 

oOh!’s channels – whether its demographics, psychographics or buyergraphics – we 

intend to make buying audiences across multiple Out of Home channels accessible 

and simple. 

3. Education: 

• We will actively help young media agency professionals become talented Out of 

Home strategists. 

IN CONCLUSION 

Out of Home is a proven Market Mix performer for generating ROI. It does the heavy 

lifting for your campaign and makes other media perform better. Out of Home is no 

longer a support medium, it is a foundation channel of successful advertising campaigns. 

In fact, it is a priority medium for ROI. 

We look forward to partnering with you in the future and driving successful campaigns 

together. 

Bruce Mundell 

Group Director - Customer Strategy 

bruce.mundell@oohmedia.com.au 

Ph: +61 2 9927 5555 

• You will be able to buy with common metrics across all oOh! platforms and regions. 

• We will make it possible to buy category transacting audiences by giving you access 

to the best third party data available in the Australian market. 

2. Creative & content offering: 

• We will be inspiring stronger creative through creative agency & marketer education. 

We will celebrate the brands that are brave and break new ground in our sector. 


34

Paul Sinkinson 

Level 5, 110 Walker St, North Sydney, NSW, 2060 

+61 2 8381 6784

ROI 3.0 The Foundations of Market Mix Success (1)

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