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Q: Stats to prove the value of marketing - Return on investment ( No Answer,   3 Comments )
Question  
Subject: Stats to prove the value of marketing - Return on investment
Category: Business and Money > Advertising and Marketing
Asked by: bluedamsel-ga
List Price: $30.00
Posted: 05 Jun 2005 05:24 PDT
Expires: 31 Jan 2006 19:17 PST
Question ID: 529509
Hi, we are a marketing communications business in Australia and
operate in the financial services industry.
We would like some statistics that prove the value of marketing (ROI)
- if possible, within the financial services industry.
Every business knows marketing of their services is important, but are
there any stats available to support this?
Also, are there statistics available to show what the current spending
on marketing is (as a %)? Once again, if Australian stats are
available that would be great, otherwise we'll accept international
stats.
Answer  
There is no answer at this time.

Comments  
Subject: Re: Stats to prove the value of marketing - Return on investment
From: marteny-ga on 05 Jun 2005 05:47 PDT
 
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Company Background:
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This calculator lets you easily estimate the performance of marketing
programs. Use it to find

the program with the highest return on investment, 
the program with the highest revenue potential, 
the program with the highest gross profit potential, 
the most cost-effective program to find new customers, 

Source: http://www.steinermarketing.com/calc_roi.htm
Subject: Re: Stats to prove the value of marketing - Return on investment
From: antontodorov-ga on 31 Jan 2006 07:36 PST
 
Hi
Thank you for an interesting question.

Here is some data I found for you.


///
94 per cent of marketing heads within the financial services sector
say they are under greater pressure than ever to demonstrate a return
on investment (ROI) for marketing initiatives, but the majority do not
have the tools to accurately track marketing spending and measure
returns, according to new research.
--- --- --- 
The findings come from a survey of 50 marketing directors and managers
within the Financial Services Forum by Aprimo, a global leader in
Enterprise Marketing Management (EMM). The research reveals that while
marketing departments are today being held more accountable, even
keeping track of spending is difficult with 88 per cent and 80 per
cent of companies forced to rely on spreadsheets and company-wide
financial systems respectively. Only 16 per cent of those surveyed
possess purpose built financial planning software for marketing.
---- --- 
ALSO SEE THIS INFO:
http://www.mpiweb.org/CMS/mpiweb/mpicontent.aspx?id=1072

March 8, 2004 - Across all marketing disciplines, event marketing
ranks second only to direct marketing in perceived return on
investment (ROI), according to a survey released today of more than
700 marketing executives across the United States, Europe and Asia
Pacific. The findings are part of the second-annual Global Event
Trends study, made possible by The George P. Johnson Company and The
MPI Foundation.
The final report - a compendium of three regional reports conducted in
2003 and comparative data collected in 2001-2002 - documents the
evolution of event marketing relative to its changing role, levels of
investments and perceived effectiveness compared to other marketing
mix elements. Those surveyed include senior marketing executives from
vertical industries including: automotive, technology, healthcare,
financial services, consumer, manufacturing and associations
... 
In terms of perceived ROI, executives report that event marketing
(23%) is second only to direct marketing (27%), ranking higher than
advertising (21%) and sales promotions (20%) on average across all
surveyed geographies. European respondents, in particular, perceived
higher ROI for one-to-one marketing efforts such as direct marketing
and event marketing over mass marketing tactics such as advertising
and sales promotions
...


I also did the following search for you: "average return on marketing
investment" (also average ROMI) and some of the results you may find
interesting are provided beneath:

http://www.aberdeen.com/access/KPI/Default.asp?offset=120
The average return on marketing investment in retail (as of December
6, 2005) was 19% over the past 12 months. Of those companies rated
"best in class" by Aberdeen, the average ROMI was 27%.
The same figure applies for all mid-size companies (average ROMI 19%,
Best in class - 25%)
For manufacturing companies - average ROMI - 19%, best in class - 23%
For High Tech companies - average ROMI - 19%, best in class - 29%

***

I also came upon the following Australian study on Evaluating
Advertising Return on Investment
http://www.foreseechange.com/adroi.pdf

Then I decided to look for ROMI given at presentations (search:   ROMI
marketing filetype:ppt )
visit the following power point presentation to learn about actual
ROMI (by Accenture) from 2005

*** 
need more info - just post a comment 
feedback will be appreciated.
Best Regards
Subject: Re: Stats to prove the value of marketing - Return on investment
From: bluedamsel-ga on 31 Jan 2006 19:17 PST
 
Reply to antontodorov-ga.

Thank you for the information provided and your expertise. At this
stage we have decided to conclude our research and do not require any
further information.

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