Sales Grew $47M

Cost Savings $84M

Risk Reduction $23M

Ad ROI Saves $38M

The Situation:

A client found themselves with the common problem that their marketing programs were being treated as "annual entitlements". They had no systematic way of determining the Return on Investment (ROI) for these programs. They had no metrics or processes to measure marketing sales results, so they approached IMS for help.

IMS started with a systematic analysis of the objectives and the gaps. IMS created processes and systems to measure multiple dimensions of ad effectiveness. We then measured retailer ads on the basis or incremental as uplift and net margin returned. To sustain execution and results, the processes incorporated marketing and ROI metrics into the joint scorecards. Finally, we reviewed all channel investments during quarterly business reviews with the client and their management teams.

Benefits and Results:

•   Marketing effectiveness was improved 26%


•   Several expensive national programs were eliminated based on no incremental sales results


•   Less expensive "direct" programs were pinpointed as effective means of increasing incremental sales


•   $38 Million net marketing cost savings to bottom line first year