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BizReport : Research archives : October 08, 2007

Advertisers need better ROI measurement from agencies

The biggest challenge facing online advertisers and their agencies is the measurement of return on investment, according to a recent report by JupiterResearch.

by Helen Leggatt

jup_logo.gifJupiterResearch found that around half of online advertisers will find the measurement of ROI to be their top challenge this year. The availability of measurement tools was the biggest frustration, with 61 percent of respondents saying improvements in measurability would have a positive effect on their implementation.

"Companies such as Digitas, Avenue A/Razorfish, and Starcom IP have pioneered ROI measurement, offering insight across search, display, as well as online and off-line sales. But they have accomplished this through the use of strategies or tools developed in-house," explained Emily Riley, lead author of the JupiterResearch report, in a recent announcement.

"This isn't the case for many agencies who must instead work with service provider partners. Agencies that don't have the ability to create advanced tools internally must work with the very best service providers available-to stay ahead of the competition."

Forty-two percent of the online advertisers surveyed used an agency. Only around a quarter (23 percent) were satisfied with the ROI measurement provided by their agency and even less, 19 percent, were happy with their agency’s cross-tactic ROI.

Tags: JupiterResearch, measurement, online advertising, return on investment

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