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Nielsen Research Reveals How Meta Maximises ROAS for Businesses in MEA

The study reveals that Meta drives better returns compared to other digital and traditional channels, with improvements over the past few years in MEA (Middle East and Africa)

In times of economic uncertainty, prioritising profitability and evaluating the effectiveness of marketing investments becomes paramount.

Marketing Mix Models (MMMs) are a crucial tool for marketers to assess advertising impact across various channels and optimise spends, especially in industries like Consumer Packaged Goods (CPG), that engage in indirect consumer sales.

Through a comprehensive aggregate study, Nielsen consolidated results from multiple Marketing Mix Models for a diverse mix of CPG brands in the Middle East and Africa, spanning categories including Health, Beauty, Home Care and Food & Beverage, over 4 year period from 2019 to 2022.

Meta is the most efficient platform across other measured channels in this meta-analysis study

  • When analysing overall platform ROAS performance to total media, Meta drives 1.7x higher ROAS in MENA and 2.1x higher ROAS in SSA vs total media
  • Meta generates a ROAS of $1.74 in the Middle East which is 1.7x higher compared to TV and 1.3x higher compared to other social. For South Africa, Meta generates a ROAS of $1.67, which is 2.6x higher compared to TV and 1.4x higher compared to total digital.
  • In the short term, Meta’s ROAS ($1.74) exceeds the Middle East Digital Benchmark by 47%. Additionally, 6.4% of Total Media Investment is behind Meta driving 10.4% of Media Revenue in MENA. For South Africa, Meta’s ROAS ($1.67) exceeds the South Africa digital benchmark by 42%. Additionally, 7% of total media Investment is behind Meta driving 17% of media revenue in South Africa.

Meta ads generate a significant & measurable impact on brand sales

Across the analyses conducted in the Middle East and Africa, digital penetration continues to be substantial and on the rise. As a result, digital channels drive a higher sales proportion compared to media share of spend.

  • For MENA, digital investments have been consistently growing from 2018 with a 41% investment share in 2022 vs 8% in 2015-2022. Digital drives a higher fair share of Media spend and contributes to 32% of total media spend driving 36% of total media revenue
  • For SSA, digital contributes to 22% of total media spend, driving 41% of total media revenue

Moreover, in the Middle East and in Sub-Saharan Africa, advertisers stand to benefit from continuity and longer durations of their campaigns on the platform.

  • Leveraging these insights along with learnings from the ‘Beyond Brilliant Basics,’ maintaining a frequency of 1.5-2 times a week, while aiming for an absolute reach of 11-20% of the population is key in achieving better ROAS.

According to Ben Samuel, the Regional VP of Marketing Effectiveness at Nielsen for the Middle East, Africa & Turkey: “In the ever-evolving landscape of consumer behaviour and media consumption, marketers must steer through uncertainty with precision when it comes to their investments.

“There is a renewed recognition of the importance of accurately and sustainably measuring marketing activities; with Marketing Mix Models, once again proving to be a leading measurement solution for businesses to navigate through such turbulent times.

“Through this MMM meta-analysis, advertisers can unlock a guide to their media planning; to optimise and fine-tune their investments on the Meta platform, steering towards higher ROAS and effectiveness.”

With an eye to 2024, we believe that MMM will continue to thrive as a relatively future-proof measurement solution for marketers seeking actionable insights into cross-channel marketing and non-marketing efforts.

Rasheeqa Jacquesson, Marketing Science Lead, Meta, Middle East and Africa