
Measuring Your Return – Can We Determine ROI of an Advertising Campaign?
While recently reading ‘On the Near Impossibility of Measuring the Returns to Advertising’ by Randall A. Lewis and Justin M. Rao, it was stated that the average American sees 25-45 minutes of tv commercials, multiple billboards and an array of internet ads per day. They go on further to say that industry reports place annual advertising revenue in the US in the range of $173 billion, or about $500 per American per year. In order for advertisers to break even they need to net about $1.50 in profits per person per day – translating into about $3,500 -$5,500 per household per year. So is this possible? Is it possible to measure the exact return on investment metrics of an advertising campaign?





