Validation of Marketing Program ROI
Validating a marketing optimization program validates it achieves targeted ROI
Revenue: > $1 billion
Field force size: 2,000
Achievable ROI: $30 million
IP Rights Status: Available for license
A marketing optimization program should be evaluated in terms of its ROI. Planning, implementation, and validation in support of an optimization program ensures maximum total return. In a recent engagement, a Principled Strategies team completed a marketing optimization validation analysis.
The methodology measured one-year effectiveness for key physician-level programs. Our analysis compared the behavior of a control group of physicians to a test group of physicians in order to identify both successes and failures. The study resulted in an ROI estimate for each physician, and precisely accounted for sales representative adherence, the largest individual contributor to program ROI. Using a principled validation methodology, the team successfully measured total ROI, physician ROI, key contributors to physician ROI, and channels for which the client can improve program effectiveness.
The results offered immediate feedback that permitted the client to react and respond to groups of sub optimally performing physicians. A tangential benefit of the project was an improved understanding of techniques for securing sales representative buy-in. The tangible benefits for this client include enhanced knowledge, improved capture rate for achievable ROI, and more efficient planning and marketing in the future.