In Terms of ROI: Scene From A Future Movie - Bill Harvey - MediaBizBloggers

By In Terms of ROI Archives
Cover image for  article: In Terms of ROI: Scene From A Future Movie - Bill Harvey - MediaBizBloggers

INT. DAY. CONFERENCE ROOM AT LARGE ADVERTISER. JOE EASY, CEO of Large Media Agency and ASSOCIATES are pitching to a roomful of top advertiser C-Suite EXECUTIVES. A SLIDE on the screen shows that purchaser targeting is highly correlated with higher ROI.


Correlation is not causation. How do we know it was the purchaser targeting that caused it, it could have been something else, you don't control for everything else, what if it was Internet?


(Pretends to ponder a second) Hmm, to explain the consistency in these numbers that would mean that the Internet is somehow always skewed to the Heavy Swing Purchasers of every brand…?


That would seem unlikely…


I would prefer to see ROI proof by a controlled experiment, we could do it in six months, and have results in a year, then make this decision.


It's up to you Ralph. The question is whether we wait a year and spend money on a test which is also likely to have its research imperfections, or whether the weight of evidence and common sense – targeting is related to ROI, didn't we believe that all along – is already enough reason for us to act now and get a jump on your competitors? In fact, we at the agency have an ROI incentive comp with your brand and we are all betting our bonuses on purchaser targeting now. But it's your call, Ralph.

Bill Harvey has spent over 35 years leading the way in the area of media research with special emphasis on the New Media. Bill can be contacted at

Read all Bill’s MediaBizBloggers commentaries at Bill Harvey - MediaBizBloggers.

Follow our Twitter updates @MediaBizBlogger

Copyright ©2019 MediaVillage, Inc. All rights reserved. By using this site you agree to the Terms of Service and Privacy Policy.