More Measurement Isn’t Making Marketers More Confident: Study

More data isn’t making marketers more confident in the decisions they need to make.

While the industry has “never been more data-rich,” a new report from the Coalition for Innovative Media Measurement and the American Association of Advertising Agencies found that “executives are overwhelmed with the task of prioritizing data inputs, linking disparate data across different sources and harmonizing definitions across ‘black box’ metrics.”

The report, The Paradox of Plenty, sponsored by Kochava, Nielsen and TechEdge, looks at seven types of measurement areas: media delivery, media verification, audience delivery, attention metrics, brand impact, media performance and attribution metrics.

“Marketers, more than ever, have access to a world of plenty, but paradoxically feel increasingly challenged to derive clear conclusions on the impact of their advertising investments. Confidence is strongest where signals are direct and operationally familiar, and more measured where insights depend on stitching together datasets, modeling outcomes or reconciling multiple systems,” the report says.

The study is based on a broad quantitative survey of 197 marketers, plus a deep-dive set of 16 executive interviews. 

“We’re drowning in dashboards. We don’t need another report. We need a single version of reality. Everything is technically measurable, but none of it lines up without a lot of manual reconciliation,” said one of the executives interviewed.

The most important thing advertisers want to measure is media performance. This metric is used to justify budgets. But those surveyed say that attention, verification, audience delivery, brand impact and attribution are becoming more important. 

Advertisers value those newer metrics but are cautious about using them to make decisions because of a lack of standardization in methodology, limited transparency and a lack of interoperability across systems. 

The survey found that marketers are optimistic that these challenges can be overcome. More than 90% do not see any severe measurement barriers emerging in the next three to five years. They called issues such as cross-platform measurement, transparency, signal loss and incrementality manageable. 

Artificial intelligence is expected to help, according to more than 80% of those surveyed. AI could help meet the demand for faster interpretations, predictive insights and relief from manual reconciliation. 

The report concludes that “advertisers are not seeking a single source of truth. Instead, they are looking for greater clarity about how different truths relate to one another, and for systems that make measurement easier to explain, validate and use with confidence.”

It outlines steps that could increase confidence in measurement. Those include: 

·         Shared definitions and standards 

·         Greater transparency into methodologies and assumptions 

·         Innovation paired with guardrails that support trust and usability 

·         Focused investment in interoperable, future ready infrastructure 

“Ultimately, confidence will grow not from more data or more tools, but from measurement systems that help advertisers understand what counts, why results differ and how to act with assurance in a complex ecosystem,” the report says.

NewtonX conducted the survey of 197 executives and the executive interviews. The research focused on executives at companies with U.S. marketing budgets over $50 million. Companies participating in the interviews include Google, T-Mobile, Intuit, Mastercard, Bank of America, Kraft Heinz, Unilever, Bank of America, Sanofi, Toyota, Optum, Wayfair and Microsoft.

“Advertisers are navigating real challenges around comparability and identity in an increasingly fragmented environment,” said Jon Watts, managing director, CIMM. “Encouragingly, they don’t see those barriers as insurmountable. They’re not looking for a single source of truth, but clarity about how different truths relate. The opportunity now is alignment: shared definitions, greater transparency and interoperable systems that make measurement more actionable and trustworthy.”

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Netflix said it is giving advertisers new ways to connect to its subscribers through the Amazon DSP and the Yahoo DSP.

“By applying Amazon’s exclusive signals to Netflix’s highly engaged viewers, advertisers can reach the right audiences and drive even stronger performance, Netflix said. 

“When buying through Yahoo DSP, advertisers can now also activate deterministic Yahoo DSP audiences on Netflix deals,” it said. The Yahoo audiences are derived using hundreds of millions of global interest, behavioral, purchase and life stage signals.

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Speaking of Amazon, Smartly said it has been integrated into the Amazon DSP. The arrangement extends Smartly’s AI-powered creative optimization and campaign management tools to Amazon’s premium streaming inventory including Prime Video and Fire TV. 

“As CTV matures, entertainment, commerce and social are merging into one experience,” said Melissa Yang, senior VP of ecosystems & AI applications at Smartly.

“This integration gives marketers the performance precision and creative intelligence they’ve long expected in CTV, enabling personalization at scale, real-time optimization and full-funnel impact. With intelligent creative and direct access to Amazon’s premium supply, Smartly brings the rigor and accountability modern marketers rely on.”

"Driving impactful business outcomes across channels is key for advertisers and this partnership brings CTV and social campaigns together for maximum, measurable impact,” added Erin McGee, director of partner and advertiser growth Marketing at Amazon Ads. “Through this integration with Amazon DSP, advertisers and agencies who work with Smartly can now extend their proven social creative to premium streaming inventory in a fraction of the time—driving efficiency, expanding reach and making streaming TV activation as simple as their social advertising."