In the rapidly evolving world of advertising, businesses continue to look at marketing return on investment (ROI) as their number one priority. No doubt, with the ever-evolving media landscape, determining what media will deliver the biggest bang for the buck is the holy grail. Each planning cycle, ROI remains the number one goal which of course, drives 78Madison to analyze performance metrics and adjust strategies accordingly. Moving into 2025, what have we observed as the most effective media in terms of ROI? There are indeed a few key players.
SEARCH – PAY PER CLICK
Search advertising, particularly through platforms like Google Ads, has consistently delivered high ROI for advertisers. It capitalizes on intent-based marketing – reaching potential customers when they are actively searching for specific products or services. The immediate visibility provided by search ads, paired with the ability to target keywords with precision, ensures that budgets are spent on reaching individuals ready to convert.
What has made search advertising even more effective in recent years is advancements in AI-driven optimization tools, which automate bidding and targeting for better results. Coupled with detailed analytics, advertisers can tweak their campaigns in real-time, making the most of every dollar spent.
SOCIAL MEDIA
Social media advertising, particularly on platforms like Facebook, Instagram, and TikTok, continue to provide solid ROI. The ability to hyper-target users based on detailed demographics, interests, behaviors, and even lookalike audiences has revolutionized how advertisers approach engagement. Facebook and Instagram remain dominant, particularly for businesses aiming to generate leads and increase brand awareness.
However, in recent years, TikTok has rapidly emerged as a contender. Its short-form, engaging video content resonates strongly with younger audiences, and its cost-per-click and cost-per-view metrics have proven attractive for advertisers looking to stretch their ad spend. The combination of virality potential and strong creative opportunities makes social media advertising a valuable channel.
VIDEO
Video advertising, especially on platforms like YouTube and OTT (over-the-top) streaming services, has seen substantial growth. Consumers are consuming more video content than ever before, and advertisers have capitalized on this trend. What makes video advertising particularly effective is its ability to capture attention and tell a compelling story in a short period.
YouTube’s integration with Google Ads enables precise targeting similar to search ads but with the added visual appeal of video. With programmatic ads and options for skippable and non-skippable ads, businesses can optimize their spend for maximum exposure while only paying for truly engaged viewers.
PROGRAMMATIC
Many thought it would go away – was just a fad – but programmatic advertising, which automates the buying and selling of ad space through AI, continues to be a game changer. By using algorithms to purchase digital advertising in real time, advertisers can target the right audience at the right moment across multiple devices and platforms. Programmatic advertising has shown to improve ROI by increasing efficiency and reducing wasted ad spend.
What’s especially effective about programmatic is its scalability and personalization capabilities. Advertisers can run highly targeted campaigns, refining based on real-time data, leading to better conversions and higher returns.
EMAIL
Despite being one of the oldest digital marketing channels, email marketing has maintained its status as a strong ROI performer. Businesses that have invested in building high-quality email lists and crafting personalized, automated campaigns have seen excellent results. Emails allow brands to communicate directly with their audience in a personalized and cost-effective way, leading to higher engagement and conversions.
When integrated with CRM data and marketing automation tools, email marketing becomes even more powerful, allowing businesses to send timely, relevant messages that resonate with their audience.
INFLUENCERS
Influencer marketing has grown tremendously in the past few years and has proven to deliver substantial ROI, particularly in industries like fashion, beauty, and lifestyle. By partnering with influencers who already have a loyal and engaged following, brands can gain credibility and trust quickly. While this strategy may not always provide immediate conversions, the long-term brand awareness and customer trust it builds can lead to sustained sales growth.
What makes influencer marketing increasingly effective is its shift towards micro-influencers – those with smaller but more engaged audiences. These influencers often have more authentic relationships with their followers, translating to higher trust and better results for advertisers.
NATIVE
Native advertising – ads that blend in with the editorial content around them – has also risen in effectiveness. It provides an unobtrusive way for brands to deliver their message without disrupting the user experience. Platforms like Taboola and Outbrain help distribute native ads across high-traffic websites, giving brands access to large audiences while still preserving user trust.
Native ads tend to have higher engagement rates since they don’t feel like traditional ads, leading to better ROI, especially when the content is high quality and aligns with the surrounding material.
AUDIO – PODCASTS and STREAMING
Podcast advertising and ads on streaming platforms like Spotify have seen substantial growth in recent years. Podcast listeners are known to be highly engaged, and the trust they place in hosts can make podcast ads feel more authentic and less intrusive. For advertisers targeting niche audiences, this has proven to be an effective way to build brand awareness and drive conversions.
To summarize, no single media channel holds the key to advertising success, and the most effective ROI media will vary depending on a brand’s goals, audience, and industry. However, what’s become increasingly clear over the past few years is that a multi-channel approach tends to deliver the best results. Combining search, social media, video, and programmatic advertising, for example, creates a comprehensive marketing strategy that captures potential customers at multiple touchpoints.
For 78Madison, the key to maximizing ROI is constant testing, refining, and adjusting strategies based on performance data. As technology advances and consumer behaviors continue to evolve, advertisers who stay agile and data-driven in their approach will continue to see the best returns on their investments.
Would love your thoughts.
Joe Bouch
CEO, 78Madison
78Madison is a full-service, Orlando based marketing, digital, advertising, public relations, and social media agency, which serves businesses all over the country. Let’s start a conversation. jbouch@78madison.com or (407) 788-7070.