ABX Advisory

Insights on Advertising Effectiveness to Boost ROI and ROAS

Is Your Ad Creative Effective? You May Think So, but is it?

Posted by Gary Getto on Oct 20, 2015 12:07:35 PM
A recent CRN International survey of 124 advertising executives concluded that advertising creative today is more than adequate, and almost 30% said it had improved over last year. Advertising effectiveness measurement of thousands of ads each week shows a different story.

Creative Benchmarking by Media and Industry Provide some Insight

After testing 100,000+ ad creatives over the past few years, we know from hard data that advertising effectiveness has not improved since 47% of all ads are still rated “fair to poor.” Some industries do much better than others, though, which we'll show you shortly.

Meanwhile, the chart below shows all ads tested by ABX in a 7-day period. Each dot is a different ad; each color is a different medium. The yellow line designates an ad effectiveness score of “average.”  For more, go to resource page: Advertising Effectiveness Measurement.

ABX chart of Index scores by media type.

You can see there are almost as many “bad” ads as “good.” If creative really were improving, we’d see much less variation top to bottom and more clustering around the yellow “average” line. All the ads below the line are wasting huge amounts of money in media spend.

Now, let’s look at this by industry below. Restaurants and CPG have the highest advertising effectiveness scores, whereas Alcoholic Beverages and Financial Services have the worst. But all can improve!

Percentage Fair/Poor Ads by Industry - 25,000 Ads

Chart showing effectiveness of ads by industry.

So how do we move our ads into the “good to excellent” categories? 

  • The CRN Survey respondents say “properly understanding what resonates with consumers” and dealing with “corporate culture” are the two top areas of opportunity for creatives. Respondents also said that “informative” ads are the most effective.
  • But the real starting point is knowing which of your ads are working and which are not.  Without an advertising effectiveness measurement feedback loop, your creative team lacks the in formation that will enable it to constantly improve its work and build on lessons learned. 

ABX provides the largest normative database in the industry across all media types. On average you can improve your creative effectiveness by 17%

Are you satisfied with your current ad creative?  Maybe you shouldn’t be so easy on yourself.

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How the ABX Testing is Done

ABX provides ad effectiveness scores from human respondents against 14 variables and in all media types. ABX Index values are a comparison of the results of an ad versus the average of all ads in the ABX database (100,000+ ads). Click for more information about definitions and methodology.


Topics: Ad Effectiveness Measurement

Join the discussion on advertising effectiveness with insights from the world's largest normative database of measured ads:

  • Analysis of creative omnichannel 
  • What works or doesn't by industry 
  • Implications for marketing, creative and media planning
  • Consumer panel results, not just opinion
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