Ad Exchanger: The Uncomfortable Truth About Advertising Effectiveness

February 13, 2025
Screenshot of Ad Exchanger Website

A new article in Ad Exchanger by William Grosso and Julian Runge highlights that despite the significant financial investment in advertising, many marketers avoid rigorous experimentation to truly measure its effectiveness. It points out that randomized controlled trials (RCTs) are the gold standard for determining causality, yet most advertisers rely on less reliable measurement methods such as correlation-based attribution models or last-click attribution. As a result, many brands continue to make decisions based on flawed or incomplete data, leading to inefficient ad spend and missed opportunities for optimization.

The authors argue that embracing true experimentation is essential for maximizing advertising effectiveness. While running RCTs requires effort, they provide clear insights into what truly drives business outcomes. Marketers who prioritize rigorous testing can improve their campaigns, allocate budgets more efficiently, and ultimately drive better returns. The piece concludes by encouraging the industry to shift its mindset, valuing scientific rigor over convenience and vanity metrics, to make advertising more accountable and impactful.

Read the entire article here.

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