In 1993, the state of Colorado made the unprecedented move of cutting its $12 million promotion budget to zero. In doing so, it became the perfect subject for an ROI study. Documenting more than 20 years of research, the Colorado saga provides a cautionary tale for financial decision-makers who are looking to trim […]
"Just give me the bottom line."
Wouldn't it be wonderful to know that your campaign generated sales, not just awareness? To be able gauge whether you are spending too little or too much on your media buy? To have a conservative and credible measure of your campaign’s return on investment?
The award-winning Longwoods R.O.EYE™ methodology employs experimental design principles to quantify the incremental impact of marketing campaign expenditures. It conservatively measures the relationship between campaign activities, awareness, and sales using a single-source model that filters out the effects of variables outside your campaign, such as previous advertising, customer loyalty, changes in the economy, and pricing.
Do you know how well your campaign stacks up?
Longwoods R.O.EYE™ lets you optimize what, where and how you communicate to consumers, and discover just how hard your marketing dollars are working for you. Our clients have used R.O.EYE™ insight to:
- Identify and improve their campaign ROI
- Optimize their media mix
- Credibly make the case for next year’s marketing budget
Interested in finding out how R.O.EYE™ insight can work for you? Contact us today.
Longwoods International uses integrated data sources to derive not only insights, but also implementable models that enable the marketer [to] optimize ROI.
[This is] a company of whom the traditional research industry has never heard, and yet who is eating our proverbial lunch.Simon Chadwick, Cambiar L.L.C. Former Global CEO, NOP World, Chairman of CASRO
Credible and conservative
Our control procedures are highly conservative. Over years of testing, we have seen a number of cases where the advertising ROI was minimal or even negative. In every one of these cases, our research was able to pinpoint the problem and suggest corrective action.
In one compelling example, a campaign that won an award for creative excellence generated ZERO ROI! Our research demonstrated that, while the ads were well-liked, the message was off-strategy. One year later, with new creative guided by R.O.EYE™ insight, the campaign generated $29 in sales for every dollar spent on advertising.
Over the years, our research has been put under the microscope and subjected to intense scrutiny from CEOs, CFOs, legislators, and the media.
When Longwoods was hired by the Hawaii Visitors and Convention Bureau to evaluate the state’s advertising, Governor Benjamin Cayetano appointed an Accountability Task Force of economists and academic researchers to investigate our methodology. At the time, the legislature was threatening to cut the budget to zero for lack of accountability. After two years of analysis, the Governor’s Task Force testimony in the legislature commended the rigor of Longwoods’ analysis. After subsequent ROI research in Japan, Hawaii’s promotion budget was doubled to $60 million annually.
We believe that Hawaii’s accountability study is one of the most advanced models for measuring the impact of destination advertising. The Longwoods International study probably provides more conclusive evidence of the effects of destination advertising effectiveness than those used by other destinations.
In conclusion, the Task Force members applaud the Bureau for embarking on this rigorous attempt to show that tax dollars spent on tourism promotion can stimulate tourism travel to Hawaii, and are encouraged that the benefits of destination advertising are not just a matter of faith, but of measureable quantities.Hawaii Governor’s Accountability Task Force Legislative Testimony
Four years of independent research has found that every $1 Michigan invests in out-of-state tourism advertising now generates $2.86 in new sales tax revenues for the state. The bottom line: [this] is more than a great tourism advertising campaign. It is a pure business success story and probably the best example of a state-funded program generating big profits for the taxpayers who are paying the bills.Mike O’Callaghan, Executive VP and COO, Detroit Metro CVB
Proven across many product categories
Longwoods R.O.EYE™ has been successfully applied across a wide range of product categories in both the public and private sectors, including automotive, banking, insurance, packaged goods, telecommunications, postal services, and military recruiting. If you market it, we can track it.