Posters achieve the highest return on investment.
How do you get a maximum return on investment (ROI) with a limited advertising budget? What is the role of the poster in the media mix? A neutral study into the sales effect of advertising sheds light on this topic.
Efficiency and profitability are becoming increasingly important in advertising, with the main focus on return on investment (ROI). Companies who advertise want to know what impact the money they invest in advertising is having on their sales. APG, together with German industry association FAW (Fachverband Aussenwerbung e.V.), wanted to find answers concerning the impact of advertising on sales and so commissioned a study for this purpose. In the study, the independent "BrandScience" research team closely analyzed 49 advertising campaigns conducted in Switzerland and Germany.
The poster: a winner at every level
"BrandScience" has revealed the fact that, of all classic media, posters achieve the highest return on investment. The detailed results are that:
- Posters generate the highest ROI both as a basic medium and in mix campaigns.
- In mix campaigns, posters improve the ROI of other media deployed.
- The sales effectiveness of posters is five times greater than their share of the media mix.
- Among all classic media, posters deliver the best leverage for boosting sales.
Beat Holenstein, Head of Marketing and Acquisition at APG, commented on the results of the study as follows: "We know that a well-balanced media mix is essential. And I'm not surprised that posters act as a strong sales lever; after all, they are placed exactly where customers who are on the move make their purchase decisions. But I am surprised at the disproportionately strong growth in sales if the advertising budget is shifted towards posters, or if an additional budget is made available. It is quite astounding."
New offers for new needs
Up to now, companies have mostly used posters to promote their level of recognition and their image. Is this no longer the case? "The poster is a medium with a wide-ranging effect, and is also a first-class sales medium," said Beat Holenstein, who also believes this is because up to now, the poster medium has been strongly focused on the immediate reach of a brand. However, APG have recently introduced offers aimed much more at mobile target groups, ROI and sales. According to Beat Holenstein, the results of the study into the effect of advertising on sales have been one of the factors influencing this change of approach.