Last week we reported on AdRoll’s Asia Pacific performance marketing study, this week we have access to the US and European study.
Once again attribution rates as a top tier issue for marketers. “Interest in marketing measurement has only intensified in order to better evaluate efforts and optimise decision-making processes,” said AdRoll founder Adam Berke, who wrote the executive summary.
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According to Berke, “While a majority of marketers currently rely on first- or last-click models, almost 60 per cent reported that they plan on changing their approach in 2017.”
“To underline the growing importance of attribution, 40 per cent also reported spending the majority of their budget on measurement alone,” he said.
That 40 per cent figure is significantly higher than the Australian result at 30 per cent, and we thought the Australian result seemed toppy.
On the programmatic front, 80 per cent of marketers said they are familiar to extremely familiar with programmatic advertising. Meanwhile two thirds of marketers report that programmatic advertising 66 per cent results in greater ROI than traditional media buying.
Programmatic is most commonly utilised on social channels (77 per cent of respondents) according to the study, while a majority are also using programmatic for mobile.
The study said that while programmatic advertising was new to the scene only a few years ago, performance marketers have rapidly adopted the practice in recent years.
In 2013, only 7 per cent of marketers dedicated more than half of their budgets to programmatic. By 2015, that had increased to over 30 per cent and, in 2016, it jumped to over 50 per cent.
“What’s perhaps most surprising is that the number of marketers reporting to spend less than 10 per cent of their budgets on programmatic has fallen from 40 per cent to under 8 per cent over that same period. Backing up this trend, almost two-thirds of marketers state that they will increase their programmatic budgets in 2017.”
Describing the overall message from the study, Berke said, “One way to characterise the overall trends we’re seeing is that the technology is actually starting to line up with the promise and vision marketers have had for many years—but didn’t necessarily have the tools to deliver. We’re seeing real-world applications of data-driven decision making, machine learning, and automation.”