How Do You Address ROI Measurement?

Written by ChuckMeyst2015 on . Posted in Flash Reports

Flash Report – March 6, 2003

This BUSINESS DEVELOPMENT information is for Certified Agencies, Agency New Business Executives and agency subscribers. We communicate with registered member-agencies using e-mail.


1. How Do You Address ROI Measurement?
2. How Do You Define ROAI?
3. Have You Experienced the
Purchasing Phenomena?

Good Morning,

This war/no-war situation is not helping our advertising and public relations industry. AdAge just reported – “Merrill Lynch Cuts Spending, Cites War.” It continued “Merrill Lynch is scaling back its advertising commitments starting this month as investors watch and wait for a resolution of the US standoff with Iraq.”

In clear trickle-down fashion, even here at BPI, Monday we mailed 25% but held back 75% of a client invitational postcard campaign, waiting to drop the balance until the future resolves itself. Clients of all size everywhere appear to be doing

the same. February 26th, AdAge reported “Advertising Executives Report Improved Business Climate.” Unfortunately, much of the activity benefiting the lucky few comes at the expense of the dearly departed – D’Arcy, Earle Palmer Brown, Hampel/Stefanides, Harris Drury Cohen, CreatAbility, etc. We’ll be enthusiastic in reporting a recovery when there is an overall increase in business activity for good reasons, not just the recirculation of existing business (we realize those who win are less concerned where it came from – until it’s their turn!)

In the meantime…


Looks like ROI or ROAI (Return on Advertising Investment) is starting to get it’s share of the spotlight. Clients are asking for measurements, asking for the incorporation of techniques that show ROAI. Imagine – they actually want to know if their spending makes sense. Some of you have real evidence, maybe you’ve developed elaborate formulae to calculate and demonstrate. But there’s another school of thought. To quote Al Ries – “If an emphasis on creativity is the biggest mistake you can make, the second biggest advertising mistake you can make is looking for an ROAI, or return on advertising investment.” There’s more discussion in his latest book. wants to help address the question and find some answers. We’re adding fields to our database that you’ll use to define how your agency confronts the issue. For that, we’d like your input.


We don’t need your details now, (meaning you’ll have your chance for data input after we update the database) but we would like your input to identify labels for the fields and essays we should add. For instance, in our agency data section entitled Services Offered – what can we include to help YOU describe those services you use or bring to the table? Maybe you just call it “ROAI Measurement” – that works. Maybe you look for and measure an increase in sales. Rather than sales, maybe you measure inquiries. What or how have you “labeled” that? This is new and controversial territory – give us your input now so we can help.

We’ll be adding one general Essay entitled ROAI Measurement, but if you have something else, let us know. You’ll see an announcement when we’re ready for your updated data. Thanks!


In our February 4th Flash Report, we reported on

increasing activity involving Procurement Departments. We’re digging a bit deeper, and although there aren’t widespread reports of purchasing department involvement in management of the agency relationship, or active participation in the agency selection process, it is happening.

Here too we’d like your input; your thoughts pro and con; actual experience if you can share. How and when should the purchasing or procurement department be involved? Under what conditions? Under whose direction and supervision? What questions and request are fair, and what’s off limit?

Take a moment NOW to write.

TO CONTRIBUTE YOUR THOUGHTS – Select Reply to Sender and insert your thoughts HERE.

Thanks for taking time to read this; we look forward to getting you face-to-face with a great prospect.


Charles G. Meyst, Chairman/CEO
Business Partnering International, Ltd.
Vantage Place, 4327 Cox Road
Glen Allen, VA 23060 USA

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