I’m always surprised to find that most forward thinking businesses keep traditional and digital media spend separate from each other. Kept separately it allows for opportunities to overspend and deteriorates your overall measurement.
If someone asked you to measure your overall cost-per-acquisition of all customers that visited your website, listened to a radio ad, or watched your TV spot. Could you do it?
Too often, we overcomplicate some of the most fundamental practices such as media planning.
What is media planning?
Media planning is the practice of analyzing your marketing budget and identifying the total effective budget necessary to reach your business objectives.
It doesn’t take rocket science to acknowledge that digital marketing is here to stay and continues to grow at a rapid pace. Especially since Covid drove millions of people out of offices and working from home.
Attention has gone digital. As a marketer, it’s crucial to understand both where the attention lies and how to capture attention through the advent of digital media.
Understanding Your Options
In an ever-changing and dynamically digital world. The channels and options for us to buy media within those placements give us an abundant amount of places to spend our marketing budget.
The most well known “Trifecta” of channels that advertisers purchase today are Google, Facebook, and Amazon. However, as the world’s digital use continues to grow and expand we also see many opportunities for advertisers across TikTok, Snapchat, Pinterest and etc.
Marketing Mix Modeling In Automotive
Dealerships are notorious for signing up to vendor platforms that do not produce significantly value to the bottom line.
When we evaluate a dealership’s overall marketing and non-marketing related expenses we are able to further identify waste and invest that overall waste back into their marketing budget.
In doing this, we get significantly lower overall cost-per-car-sold metrics and significantly more effective advertising.
It’s that simple
How Do We Marketing Mix Model?
In the above example we outline all the related expenses including the overall spends we leverage across Facebook, Google, and Amazon etc.
This allows us to measure the overall mix of marketing expenses including agency/vendor related fees.
At a glance, we are able to go line item by line item to validate where our spend mix is appropriate for the dealership’s current business objectives.
Download your free marketing mix model template.