Redefine Return on Investment to Make Better Strategic Decisions

A few years ago, Unilever hired rapper Eminem to endorse Lipton Brisk Iced Tea, created a Claymation spot featuring the mega star, and ran it during the 2011 Super Bowl. What was the total cost of talent, animation, and airtime? I’ll go out on a limb and say it was a lot.

What was the return on investment (ROI) on the marketing effort? What, exactly, was the payback? It’s an unanswerable question, which tells us something.

What’s the ROI on a Super Bowl Ad?

Companies spend enormous sums of money on important business initiatives without knowing precisely how the investments will pay off. Consider marketing, R&D, or entering new markets—what was the internal rate of ...

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