New IMS Tool Measures Long-Term Impact of Branding

In London, consultancy firm Independent Marketing Sciences (IMS) has launched an econometric tool called BrandEquity ROI, assessing the impact of brand marketing on long term business performance.

IMS employs specialists in econometrics, marketing and communications analytics, and media effectiveness, working with brands in the US, UK and EU to uncover marketing and customer insights to fuel business growth, with an emphasis on long-term as well as short. The firm was established in 2019 as a supplier of advanced analytics, by Alex Vass (pictured).

Unlike most short-term-focused brand lift models, IMS says BrandEquity ROI uses modelling and metrics which 'uniquely provide a tangible measure of how much a company's revenue declines over the ensuing years if brand investment is cut.' The tool compares metrics such as brand awareness, sentiment and reputation against business KPIs such as sales and leads, with the latter tested themselves for their sensitivity to brand media. Among other general findings to date, the tool reveals that 'brand activity delivers 65% of its total value in the years after a campaign ends, highlighting the pitfalls of solely measuring short term marketing impact.'

Founder and CEO Vass says the tool solves a critical gap in traditional measurement approaches. He comments: 'Performance marketing platforms from Google and Meta provide finance-friendly attribution models that overstate their own impact. Once a brand reaches maturity, we often see budgets cut and funds diverted from brand-building to protect short term margins. This leads to a cycle of decline in the business that is often impossible to revert. BrandEquity ROI protects mature brands from decline by providing CMOs and CFOs with a financial case for sustained brand investment, countering the common pressure to cut brand building marketing tactics.' Burger King, Bupa and Hovis are among early users.

Web site: www.im-sciences.com .