Sample interview questions: How do you evaluate the return on investment (ROI) of media buying efforts?
Sample answer:
1. Define Clear Goals and KPIs:
* Establish specific, measurable, achievable, relevant, and time-bound (SMART) goals.
* Identify key performance indicators (KPIs) that align with the goals, such as impressions, clicks, leads, or conversions.
2. Track and Monitor Campaign Performance:
* Use analytics tools to track campaign performance in real-time.
* Regularly monitor metrics such as reach, engagement, and conversion rates.
* Identify areas for optimization and adjust campaigns accordingly.
3. Calculate ROI:
* Determine the revenue generated by each campaign and subtract the cost of media buying efforts.
* Calculate ROI as a percentage by dividing the net revenue by the media buying cost.
4. Consider Long-Term Impact:
* ROI calculation should not be limited to immediate returns.
* Consider the long-term impact of brand awareness, customer acquisition, and retention.
5. Use a Multi-Touch Attribution Model:
* Assign value to each touchpoint in the customer journey to determine which media channels contributed to conversions.
* This provides a more accurate represent… Read full answer