Study: Agencies need to work on ROI for online advertising

A new study from JupiterResearch has found that many agencies catering to online advertisers need to work on substantiating return on investment (ROI).

Fewer than one in five (19 per cent) online advertisers are satisfied with their agency's cross-tactic ROI, and only 23 per cent are satisfied with measurement.

Most agencies agree that the most important issue to address is measuring and attributing ROI, with 61 per cent saying that improved measurement tools would have the best effect on their implementation.

"Agencies that don't have the ability to create advanced tools internally must work with the very best service providers available - to stay ahead of the competition," said JupiterResearch analyst Emily Riley.

One big problem with measurement is the fact that few advertisers work with an agency specifically for cross-tactic execution.

"Advertisers expect successful execution. However, they are not taking into account the opportunity to vastly improve their results by coordinating their efforts across tactics," said David Schatsky, JupiterResearch's president.

"Advertisers should encourage and initiate a team approach among multiple agencies to developing and executing a plan that complements each tactic."

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