An Argument for Marketing Communications
What is my return on investment?

By Jim Walton
CEO, Brand Acceleration, Inc.
Indianapolis and Charlotte

I’m often asked why a company or community should invest precious dollars in advertising or other marketing communication efforts. “Which tactics work?” “What’s my return on investment?” “How can I convince my boss to spend the money?” “When is the right time to get started?” These are questions that every marketer is asked at some point in his or her career.

Which tactics work?
Whenever a company or community launches an advertising program, it’s important to first have a realistic set of expectations. While advertisements sometimes generate immediate response, it’s more common that the response comes later. Powerful and sustainable efforts take time and patience.

The answer to the question is that all tactics work if they are parts of a well thought out strategic plan. Working in unison, ads, direct marketing, social media and other tactics work to grow a brand and fuel success. The old days of running an ad and counting calls are over.

What’s my return on investment?
I’ve been asked this question countless times. Once, when I was delivering a marketing presentation, a CFO asked this very question. He was used to using accepted accounting metrics to calculate the ROI of invested dollars. The problem is that when it comes to marcom, the typical ROI metrics just don’t work. There are so many forces that can impact a program’s success, that it is unfair to apply traditionally accepted principles. The competence of a salesperson can make or break a perfectly qualified lead, as can such factors as pricing, reputation, etc. If your price is too high, a perfectly good opportunity may be lost. Is that a failure of the marketing communication program? Of course not.

A more realistic measure is Return on Objectives. At Brand Acceleration, we work with our clients to establish a set of clear objectives that are real and measurable. Maybe it’s a desire to generate a specific number of qualified leads or to grow brand awareness in a targeted industry. These are all things that can be measured and attributed to a marketing effort.

How can I convince my boss to spend the money?
The challenge is to manage expectations. If your boss wants to see a direct and immediate connection between communication spending and sales, he or she might be disappointed. Old school programs where you run an ad and then count responses are just unrealistic these days. A sale is an orchestrated and sustained effort between marketing communications, the sales department, pricing and management.

Your boss needs to understand the value of a strong brand. Companies or communities with highly respected reputations are proven to be much more likely to be given consideration than those of virtual unknowns. When a salesperson calls a prospect to ask for a meeting, he or she is much more likely to get in the door if the organization is known and has a positive reputation. A well thought out marcom program can pave the way.

When is the right time to get started?
Even though the economy is a long way from what we consider normal, there are significant signs that things are beginning to improve (See my “Good News” article at the right). To use an auto racing analogy, the green flag has been waved and it’s to put the pedal to the metal. Companies and communities are racing to get the business. It’s extremely competitive out there and if you’re not on the consideration list, you’re off – and out!

Staying with the auto racing analogy, now is the time to floor it! Otherwise you could find yourself being lapped by that newcomer you’ve never heard of.


Brand Acceleration is a full-service advertising, brand management and public relations firm operating from Indianapolis, Indiana and Charlotte, North Carolina. The agency’s focus is on economic development, architecture/engineering/construction, real estate and motorsports.

Where Do You Fit In? Only by understanding your client’s place in the food chain can you understand your own. By Jim Walton CEO, Brand Acceleration, Inc. Indianapolis and Charlotte At a recent regional conference for the Society for Marketing Professional Services (SMPS), a higher education representative suggested that it might be a good idea for designers to interview end users for a proposed life sciences building in order to better understand their needs. By using Building Information Modeling (BIM), it was suggested that it is possible to give them a virtual walk-through before actually building the building. Their suggestion made me wonder; as marketers, just how thorough are we at understanding our target audiences and their myriad needs? A site selection consultant friend once observed how some communities are masters at attracting target industries while others are mere wishful thinkers. The more prepared economic developers fully understand the needs of their prospective clients; have researched their industries, their target audiences, trade associations, trade shows, and have matched them with the assets of their community. Their marketing efforts are very detailed, speaking specifically to the needs of the audience. This is clearly required in order to make a case for locating there. The unprepared economic developer, in my friend’s opinion, is often no more than a wishful thinker, hoping to get lucky enough to land the next big pharmaceutical manufacturing facility or auto plant. The problem is that he or she may have overlooked the research and marketing required to appropriately tell their story. Marketing is active, not passive In a slow economy, the competition can be tougher than ever. You’re not just one of five bidders anymore. You may be one of thirty or more. New competitors are coming out of the woodwork. That means you can no longer take a passive approach. Sadly, when times get tough, marketing is one of the first budget items to be cut. What to do now! So, how do you use your very limited budget to get attention in a very competitive arena? Begin with these simple steps: First, specifically identify your target. You must know just who you want to reach and why. Select the industry or industries that are your best fit. Not just the ones you want but those that are most likely to turn into business now. Next, clearly match your assets to the needs of the audience. It’s crucial that you be able to make a strong case for being selected. And finally, develop a highly-targeted plan to repeatedly reach the audience. Use your limited budget and a clear message to speak directly to your target audience. At Brand Acceleration, we are often challenged to develop a marketing communications plan that will generate results with a very limited budget. This is a challenge that we love because it gets everyone focused. Working very closely with our client, we go through the process just described and carefully select tactics that are likely to be successful. Doing nothing is not an option. Well, it is an option but the results will match the effort. In order to understand your place in the food chain, you need to thoroughly understand where you fit in. No more wishful thinking. No more hoping. In today’s economy, it’s time to get real. Do a real evaluation of your assets and skill sets and direct your marketing efforts where they will yield results. Brand Acceleration is a full-service advertising, brand management and public relations firm operating from Indianapolis, Indiana and Charlotte, North Carolina. The agency’s focus is on economic development, architecture/engineering/construction, real estate and motorsports.