Measured’s Optimization Report helps marketers prove the value of their media plan changes and demonstrate the business impact of those changes to key stakeholders, helping build cross-functional alignment. Unlike other Measured reporting applications that track static media performance KPIs over time, like incremental ROAS or CPO, the Optimization Report uniquely helps marketers understand the incremental revenue driven specifically by the actions they’ve taken.
This blog provides an overview of the Optimization Report - check out our FAQ for a section-by-section breakdown of the report and how to use it.
Use Cases of the Optimization Report:
- Understand the ROI impact of specific budget allocation changes
- Reveal missed investment opportunities and answer “what-if” budget questions
- Assess a media portfolio’s performance against previous time periods
- Demonstrate the marketing team’s performance to key stakeholders
Features of the Optimization Report
Quantifiable Decisions:
Marketers can now explore how much impact a media plan change had on total portfolio performance and know what would have happened had they not made that change.
Period-Over-Period Comparisons:
By overlaying one time period’s media plan against another period’s performance, marketer’s can track the business effect of media plan changes from any time period. This can answer questions such as “what would have happened if we used last quarter’s media plan this quarter?
Opportunities Missed:
The Optimization Report reveals investment opportunities marketers may have missed, measured in incremental sales/orders. This makes it easy to identify spend that can be reallocated to higher-performing channels in the future.
Granular Analysis:
Gains and losses from allocation decisions can be analyzed down to the tactic level for precise planning and optimization of paid media campaigns.
Workflow Integration:
Direct integrations with Measured’s Media Plan Optimizer and Benchmarks applications streamline the media planning process, helping marketers use learnings from previous plan adjustments in their next round of budget changes.
How the Optimization Report Works
Incremental Revenue
The key metric in the Optimization Report is incremental revenue - sales made during the chosen time period that can be credited to specific budget adjustments. This value shows how the overall portfolio was impacted by a specific reallocation decision. This is calculated by comparing actual revenue to projected revenue in a particular time period.
Actual vs Projected Revenue
Actual revenue is the dollar value of sales made during the selected time period.
Projected revenue is calculated by overlaying the previous month’s media plan against the current month’s performance, showing what your performance would be now, had you not made any budget changes.
The difference between these values is incremental revenue, or in other words, the value of the budget changes made.
Learn More:
The Optimization Report makes it easy to demonstrate the value of incremental measurement and optimization decisions to key stakeholders.