Trusted by global leading brands

Publishers and advertisers turn to GfK to measure and optimize marketing ROI

A deeper look:
Insights into the smartphone market
in partnership
with Facebook

GfK developed a whitepaper in conjunction with Facebook to help marketers embrace a new era in reaching and engaging consumers; including how to utilize marketing mix modeling to optimize marketing effectiveness.GfK Market Intelligence: Sales Tracking data shows that global smartphone sales have bottomed out and are steadily recovering since April 2020. This provides an opportunity for manufacturers to capitalize on recovering demand through marketing tactics and optimization of the investment mix and execution.GfK’s Marketing Mix Modeling norms show that media and promotional activities are vital to drive sales. Around 14 percent of sales is driven by the direct effects of the brand’s marketing mix. GfK’s Marketing Mix Modeling norms also highlight the efficiency of individual media drivers, with digital channels outperforming the ROI of traditional media. Optimizing for a digital age is therefore critical in the new era that we live in.

As we are stepping into a very different world, all marketers need to rethink their marketing strategy to reach consumers more effectively, be where consumers are, and meet what consumers need.

-Bryan Wang, Director, Marketing Science, Greater China & APAC, Gaming, Facebook

GfK’s Marketing Mix Modeling norms are an aggregation of studies into the effectiveness of the entire marketing mix deployed by our clients.

Large amounts of marketing investments continue to be invested into traditional media but the efficiency of digital has been driving the diversion of media investments away from traditional

Digital media ROI is over 4x better than traditional media
Digital media ROI is being led by social media which is 10x better than traditional media.

A deeper look:
Lenovo and LG India see how digital investments drive ROI

This media mix modeling study by GfK has really helped us get closer to an efficient and optimal media mix. While LG has been a proponent of digital marketing, the fact that digital media drives significantly higher sales impact and ROI than other media is a key business and marketing insight for us that will shape our media planning going forward.

- LG India

Google worked with GfK to analyze the marketing mix effectiveness of two key advertisers in India – LG and Lenovo.India is already a large market for advertisers and highly strategic given its growth potential. It is therefore imperative to measure and optimize marketing effectiveness to help advertisers take advantage of this huge opportunity.India had recently undergone significant changes in the market given the introduction of GST and demonetization. However Gfk were able to successfully account for these external factors and accurately quantify marketing effects.

This study helped us develop a stronger understanding of our media investments, and I am sure that the learning will aid our team and agencies in driving better optimization and ROI.

- Lenovo India and South Asia

The findings

GfK's Marketing Mix Optimizer shows that digital advertising is key to driving incremental sales of electronics in India.
Of all incremental sales driven by media and promotions, digital contributed to:

70% of Lenovo notebook incremental sales driven by digital promo

40% of LGs panel TV incremental sales driven by digital promo

1 out of 5 LG panel TV incremental sales attributed to YouTube ads

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