Biggest media ROI study in Australia shows TV drives the greatest payback

Biggest media ROI study in Australia shows TV drives the greatest payback for automotive advertisers and returns $8.90 for every $1 they invest.

A $1 million study has shown that TV creates the biggest return on investment for automotive brands in Australia, almost twice as much as the nearest competitor, radio, and almost three times as much as the next, search.

The second wave of the “Payback Australia” study by Ebiquity, a leading, independent marketing analytics firm, found that every dollar invested in TV advertising generated a sales return of $8.90, easily beating every other media including social, online display and out-of-home.

Ebiquity was given access to three years of raw sales and campaign data by four automotive advertisers, from small spenders to the very largest. Collectively these four brands spend more than $150 million on advertising per annum. The results of Ebiquity’s econometric modelling research* provide unprecedented quantitative insights into the effectiveness of the local automotive category’s $700 million-plus annual media spend.

“The study highlights the power of advertising in the automotive sector, with all major forms of media delivering a positive return on investment. Leading the way on ROI was TV,” said Richard Basil-Jones, Managing Director of Ebiquity – Asia Pacific. “Radio also drives a strong ROI of $5, though investment is much lower down the diminishing returns curve than TV.

Read more about this study at the Think TV website.

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