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Marketing ROI: Stop confusing effort and effectiveness

  • 8 hours ago
  • 3 min read
karyonfood

In the foodservice industry, marketing activations often require considerable organization. A product launch, a tasting tour, or a promotional campaign mobilizes field teams, equipment, partners, and significant budgets.


For Thomas, Trade Marketing Manager at an FMCG brand, each campaign represents a strategic investment. The objective is clear: to increase brand visibility and boost sales in partner establishments.


However, once the operation is complete, one question often remains difficult to answer: did the activation actually generate value?


In many organizations, campaign evaluation still relies on the intensity of the effort deployed. The number of establishments visited, the booths set up, or the activities organized become indicators of success. Yet, these metrics primarily measure activity… not effectiveness.



When the intensity of activation becomes a false indicator of performance


In trade marketing teams, the success of an activation is often associated with its scale. The more field teams a campaign mobilizes, the more effective it appears to be.


The reports then highlight the number of points of sale activated, the volume of samples distributed, or the visibility obtained in restaurants.


This information is useful for understanding how the campaign unfolded, but it does not always answer the most important question: did the activation actually generate additional sales?


An operation can be perfectly executed in the field while having a limited impact on actual consumption.



Why marketing ROI remains difficult to measure in the hospitality industry


Marketing ROI calculation is normally based on a simple principle: comparing the revenue generated by a campaign with the resources invested to implement it.


In the foodservice sector, this exercise becomes more complex for several reasons.


The first reason is market fragmentation. Brands work with thousands of independent establishments that use different point-of-sale systems. This diversity makes accessing sales data more difficult.


The second difficulty concerns the timing of activations. The impact of an operation is not always limited to the duration of the event. A product discovered during a tasting may be consumed several days later, which complicates attributing sales to the initial campaign.


Finally, some activations indirectly influence consumption by improving the visibility or recommendation of the product by restaurant staff.


These factors explain why many marketing teams struggle to accurately link their field actions to sales performance.



Shifting from an activity-based approach to an impact-based approach


To improve the measurement of marketing ROI, trade marketing teams must gradually shift from an activity-centric approach to an impact-centric approach.


This means that the indicators used to evaluate an activation must be directly linked to product consumption. Sales recorded at the checkout then become the most reliable indicator for measuring the effectiveness of a campaign.


By observing the evolution of sales before, during and after an activation, it becomes possible to identify whether the operation actually influenced demand.


This approach also makes it possible to compare different activations and understand which ones generate the most value for the brand.



Understanding the mechanisms that actually generate sales


When consumer data becomes accessible, marketing teams can go much further in analyzing their campaigns.


For example, some activations may work particularly well in certain types of establishments. Others may generate more sales at certain times of day or in association with certain products.


These insights help to identify the mechanisms that actually trigger consumption.

Instead of evaluating a campaign solely on the basis of its execution, teams can then understand which activation formats produce the most impact on sales .



When data transforms the management of activations


Today, some solutions allow brands to access sales data directly from retailers' point-of-sale systems. This visibility offers a unique opportunity to link marketing campaigns to actual sales recorded at the point of sale.


By analyzing this data, trade marketing teams can measure changes in consumption and identify the most effective activations .


This approach transforms how campaigns are managed. Decisions are no longer based solely on the intensity of field actions, but on their real impact on consumption.


By connecting the point-of-sale data of thousands of establishments, some platforms now make it possible to precisely observe the performance of products and the effect of activations on sales in the hospitality sector.



Rethinking marketing ROI in the foodservice industry


In the foodservice industry, measuring the ROI of an activation is no longer simply about counting the efforts invested. The challenge lies in understanding how these actions actually influence customer consumption.


When brands are able to link their activations to sales data, they can identify the most effective strategies and optimize their marketing investments.


In an environment where budgets are precious and competition is intense, this ability to distinguish effort from efficiency becomes a strategic advantage for trade marketing teams.

 
 
 

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