Payback 2- Auto

TV advertising delivers highest ROI for auto participants

In November 2016 at ReThinkTV, we saw the first wave of results of the $1M Payback Study – a large scale econometric study conducted by Ebiquity.  In the first wave Ebiquity modelled more than $200M in collective media spend per annum against sales outputs for 9 major FMCG brands over 3 years. The Payback Study showed that for FMCG brands, every dollar invested in TV delivered an ROI of $1.74, making TV the only media channel to actually pay back for the FMCG brands modelled.

In Wave 2 of the Payback Study Ebiquity modelled $450M in media spend against three years of sales data for four automotive brands.  The findings were presented by Ebiquity Managing Director Richard Basil-Jones at the Think Tank event in Melbourne on May 18th, 2017.  Amongst the participating auto brands all media channels returned a positive ROI of more than a dollar returned for every dollar invested. TV ads delivered the highest ROI, with $8.90 in sales revenue generated for every dollar invested in TV – almost double the next most effective channel, radio.

Results from the second tranche of the study also showed that media played a critical role in driving sales for the participants. The study found that 12% of sales were generated from media and of that 12%, TV alone was responsible for 81% of the sales effect.



Download a copy of the slides below and for more information about the Payback Study, please contact us here. 


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