Understanding media sufficiency and campaign benchmarks
This article was based on the interview with Austin Fredrich from The Office of Experience by Greg Kihlström for The Agile Brand with Greg Kihlström podcast. Listen to the original episode here:
Media sufficiency is a crucial concept in advertising and marketing campaigns. It refers to the amount of money that an advertiser needs to spend on a specific platform, such as Facebook, TikTok, or Google Ads, in order to achieve the desired results. In other words, it is about finding the right balance between the amount of money spent and the effectiveness of the campaign to get the highest return on advertising spend, or ROAS.
To understand media sufficiency, let’s consider an example. Suppose two advertisers, Greg and Austin, both want to buy ads in Sports Illustrated. Greg decides to purchase the smallest postage stamp ad on the last page, while Austin buys three full-page ads across the entire issue. Both advertisers can claim that they have advertised in Sports Illustrated, but it is clear that Austin’s ad buy is likely to be more effective due to the larger real estate he has acquired. The same principle applies to digital platforms like Google, TikTok, and Facebook. Advertisers need to find the right balance between spending too little (the postage stamp ad) and spending too much (three full-page ads).
Determining media sufficiency requires careful campaign planning. Advertisers need to consider benchmarking and audience size. Benchmarking involves studying how similar campaigns have performed in the past. This can be done by working with agency partners or vendor partners who have access to historical benchmarks across industries, campaign types, and executions. These partners can provide valuable insights and resources that can help advertisers understand how their campaigns compare to others in terms of effectiveness and cost.
Audience size is another important factor in determining media sufficiency. Advertisers need to consider the size of their target audience and how it aligns with the platform they are using. A small audience may require less spending to reach, while a larger audience may require more investment. Understanding the audience size and its relationship to the platform is crucial in optimizing the media spend and achieving the desired results.
Media sufficiency is about finding the right balance between the amount of money spent on advertising and the effectiveness of the campaign. Advertisers need to benchmark their campaigns against industry standards and consider the size of their target audience. Working with agency partners or vendor partners can provide valuable insights and resources to help advertisers understand campaign benchmarks and optimize their media spend. By understanding media sufficiency, advertisers can ensure that their campaigns are successful, scalable, and sustainable.
