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Generating Disproportionate ROI From Your Digital Advertising Spend

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Generating Disproportionate ROI From Your Digital Advertising Spend

As a marketer, you are always concerned about the authenticity of your digital advertising campaigns; are they providing results that are accountable? Are they really helping to drive revenue for the business?
Till today, most marketers follow the most apparent way to measure digital advertising RoI (Return on Investment), i.e. through metrics that directly relate to revenue and profit (conversions, leads, opportunities). But while it looks great on paper, this oversimplified view presents an inaccurate picture of your RoI in the real world.
As a result, today marketers are frustrated and lack an appropriate response and strategy to tackle their inevitable RoI concerns.

According to a study from Demandbase and Wakefield Research,

  • 89% of marketers think their digital marketing efforts are not working
  • 71% say they their digital programs often fail to match their expectations
  • 96% say their digital marketing efforts lead to ad waste, citing target audience being outside their intended target.
  • 43% of marketers say proving the ROI of their marketing activities is a top challenge(Source)

Reasons Why Digital Marketing RoI Fails
Many marketers acknowledge that their digital campaigns are not delivering the expected results, but the greater problem is that they don’t know exactly which part of their digital marketing strategy is letting them down.

1. Vague Goals
Trying to achieve everything through a single digital marketing strategy leads to varied and non-measurable results. Marketers need to understand that a single strategy cannot serve the purpose to achieve multiple goals at the same time.

2. No Strategy For “Customer Experience And Journey”
When a digital strategy doesn’t focus on customer experience across their journey is when the entire campaign suffers. Marketers should think about what each tactic should compel users to do and form user journey according to it.

3. Illogical Product Offering
Incomplete/Poor understanding about what, to whom, and when your brand or product should be offered without understanding the customer’s dynamics often leads to illogical product promotions which further makes a dent on the RoI.

4. Lack of research when investing in a new marketing channel
Experimentation is an important part of scientific marketing, but that doesn’t mean a new marketing channel is selected without any prior audience research. A channel’s potential can be gauged by studying your audience behavior and habits which would help you allot budget accordingly.

5. Analytics
Digital marketing campaigns are often not aligned with marketing analytics which prevents the marketer to draw comparisons between different acquisition channels to get a comprehensive marketing view.

6. Gamification
Many businesses invest in BigData, Augmented Reality (AR), Internet of Things and Virtual Reality (VR) to gain something extra from their advertising spends. However, they fail to prepare a list of actions or event steps that would define the interactions between and a role and a system to achieve a goal.


How Marketers Can Realize Maximum RoI with DMPs
With so much of data floating online and offline, deriving true insights to connect the dots might be a difficult thing to do. Collecting data in one place from different channels like mobile apps, store visitors, website visitors, and CRM might be easy, but the real struggle lies in building a unified customer view. Well, that undeniably is the key to do better targeting and earn much higher RoI.
Marketers can breathe a new life with DMPs; these platforms have the capability to create a unified customer view which many marketers feel is far beyond their reach.

  • As one centralized platform DMP allows you to create target audiences based on a blend of in-depth first-party and third-party audience data. You can use these defined TGs to accurately target campaigns across ad networks/demand side platforms (DSP)/exchanges. With accurate targeting, your campaigns, PPC plans, and gamification strategies achieve more relevant engagement and result in meaningful revenue.
  • Data-driven marketing empowers the marketers to practice dynamic personalization across all the phases of their customers’ buying journey. DMP is a key tool which makes data handier for the marketers. This platform collects information from both internal and external sources, aiding the marketers to tailor it and use it precisely for every individual customer.
  • DMPs offer refined insights of your audience which decreases the rate of illogical product offerings. This helps the marketers to strategize their marketing campaigns, and constantly improve and update their product/service offerings.


To put in simple words, a better understanding of the target audience enables marketers to put up relevant ads for their consumers which result in more sales and improves the overall ROI for the business.

Wrapping Up:
The advertising industry is at a very crucial point as it embraces a more data-centric strategy. Today, the capability to centralize data, target new customers and improve RoI is indispensable. But again, there is a greater demand for horizontal integration. This is because marketers require a more holistic view of the effectiveness of their ad spending. Activating data across multiple channels, i.e. both online and offline will surely be the key to fulfill this very need, and there is no better way to do it other than the DMPs.