Communication and ROI

The impossible equation?

by Louis de Schorlemer

A modern fairy tail for the EACD Regional Debate in Lisbon on 19 May 2011

In a kingdom called

Enterprise…

There is a Master,

they named him…

RETURN ON INVESTMENT

Senior executives spend 24% of their time on measurement

Source: P. Argenti, 2006

You better get ready and…

Measure!

Evolution of Measurement

DATA

OUTPUT

Counting

the past the future the present

Source: P. Argenti, 2006

Sender OUTPUT

Focus of Measurement

Output Measurement

• (Online) Media monitoring

–Advertising Value Equivalent

–Clippings

• IT Metrics

Limits Measuring Output

• Focus on past resources

• Not predictive

• Isolation

Evolution of Measurement

DATA

EFFECT OUTPUT

OUTPUT

Counting Analysing

the past the future the present

Evaluating Efficiency

Influence on attitudes or consumer behaviour

• Satisfaction survey

• Internal feedback mechanism

Working Mechanisms

ESOMAR

• Anonymous

• Volontary participation

• No invisible processing

www.esomar.org

Back to Basics

Growing a favorable environment for sales

Evolution of Measurement

DATA

EFFECT OUTPUT

EFFECT OUTPUT

OUTCOME

VALUE Counting Analysing Establishing Causation

the past the future the present

Measuring Outcome

Linking communication to business results

• Revenue

• Earnings

• Market share

A Menu for Success

Concrete implications measuring outcome

• The communications strategy

• The action plan

The Right Tools

Facts

Reputation

Emotions

Lean Instruments

• Tailor made solutions

• Focus on actionable data

• A matrix of indicators

Dashboard of Indicators

• Frame of reference

• Progress rather than instants

• Weigthing categories of measure

Some Magic

Familiarity

Favorability brand

Source: Ipsos Reputation Center, 2008

The Happy End

Generating value for the organisation

• Measuring quality

• Mitigating risk

• Predicting behaviour

Louis de Schorlemer

Louis@schorlemer.eu +32 479 93 92 10