According to the analytics firm Marketshare Partners, more than one-third of U.S. companies will set up guidelines and metrics to prove accountability.
Apparently marketers and agencies are having difficulty in finding metrics to justify dollars spent on campaigns.
How difficult can it be really?
Agency produces a commercial for a marketer for half a million. Before the commercial runs on the digital platform, both marketer and agency agree that the longer that viewers are engaged in the commercial, the more value the commercial offers the marketer. Hence, the more the marketer will pay the agency for creating the commercial.
If it’s a sixty-second spot, the marketer receives more value if 58 seconds are watched (on average) rather than just 10 seconds.
If the commercial offers more value to the marketer, then the marketer should, in turn, pay their agency more for a job well done. The opposite should also hold true.
That's the definition of accountability.
The scale can slide, second-by-second. It’s called Second-by-Second Compensation.
Everyone talks about engagement as if it is a media issue. Scanscout, for instance, has created a cost-per-engagement (CPE) method for measuring ads run on the digital platform. If a viewer clicks on a commercial to watch it, it is considered engagement.
Engagement is impossible without a time element to it. A sixty-second engagement offers an advertiser more value than a three-second engagement. Scanscout’s CPE model has nothing to do with view duration.
It’s really just a cost-per-click model called by a different name.
As we said before, engagement is more of a creative issue than it is a media issue. The job of media is to expose viewers to the message. The job of creative is to engage the viewer in the message.
Both can be measured. Both can be monetized.
So why are marketers having so much trouble with accountability?