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Time of India

Mark Ritson's 12x rule: Why better ads mean bigger profits

At the 2025 Cannes Lions Festival , amid the usual dazzle of bold campaigns and big-budget brilliance, a quieter truth took stage—one that might redefine how marketers think about creativity. Mark Ritson , branding expert and founder of the Mini MBA in marketing, opened his session with a challenge: Why do so many marketers still treat creativity like a gamble? Despite years of research and industry buzz, a staggering 68 per cent of marketers still see creativity as a risk, not a strategic asset, he pointed out. But new research, jointly conducted by Effie Worldwide and System1, suggests they might be thinking about it all wrong. 'Creativity isn't a risk. Ignoring it is,' Ritson said, summarising the findings of a joint study that could reshape how brands approach advertising effectiveness. Titled 'The Creative Dividend,' the research dug into over 1,250 campaigns across the US and Europe, covering more than USD 140 billion in market share and hundreds of thousands of ad performance data points. The goal was to find out what, if anything, makes creativity pay off. At the heart of the findings is the 'Creativity Stack'—a framework of five proven principles that help ads work harder and longer. Rather than magic, the Stack is built on evidence, answering tough questions marketers often grapple with: What kind of brand effects should we prioritise?Does differentiation matter more than distinctiveness?How does emotion factor into long-term growth?What makes an ad truly profitable? A 12x profit multiplier Referencing analysis by media effectiveness expert Paul Dyson, Ritson highlighted a striking figure: the most creatively effective ads can generate up to 12 times more profit than weaker ones. This isn't abstract theory—it's drawn from real campaign comparisons, he emphasised. But there's a catch: creativity alone isn't enough. The research shows that it's a combination of factors—especially emotion, brand clarity (known as fluency), and campaign duration—that unlock this multiplier effect. 'That 12x figure isn't a fantasy—it's a reality marketers can aim for,' Ritson explained. 'It's not about guessing. It's about building campaigns on what we already know works.' Three pillars of effective advertising 1. Emotion : More than a feel-good add-on Emotionally engaging ads don't just make audiences feel good—they drive results. Across all markets studied, ads that sparked strong emotions significantly outperformed those that didn't, both in consumer preference and bottom-line growth. Interestingly, emotional impact worked best when paired with broad audience targeting—a strategy often overlooked in favor of hyper-specific digital tactics. In other words, emotional resonance isn't niche—it's mainstream. 'If your ad doesn't make people feel something, it's not moving the needle,' said Ritson. And in markets like the U.S., where emotional engagement lags slightly behind other regions, the opportunity for creative improvement is especially large. 2. Fluency : The art of being remembered Even the most moving ad falls flat if viewers can't recall who made it. That's where brand fluency comes in. The research shows that clear brand identification is crucial—and often underestimated. Distinctive brand assets, like a jingle, product shape, or mascot, make a measurable difference. Used consistently—ideally seven times per ad—these 'codes' can boost recognition and amplify impact. Yet many brands underuse or overestimate their own codes' effectiveness, highlighting a gap between marketers' assumptions and consumer perception. Ritson pointed to Kit Kat's 'I want to break free' campaign as a masterclass in 'fluent emotion'—a blend of emotional resonance and unmistakable brand identity, refined over decades with the same agency. 3. Time : The hidden ingredient One of the more surprising insights challenges a common industry habit: pulling ads too early. Contrary to the belief that ads wear out quickly, the study finds that most successful ads maintain (or even increase) their effectiveness over time. Ritson recommended, 'fewer campaigns, run longer.' Ads with strong emotional and fluent elements perform better the longer they stay in the market—especially over two years. Patience, not novelty, drives long-term returns. 'We're addicted to change, but repetition is what builds memory and market share,' Ritson noted. For Ritson, the takeaways are simple but not easy. Brands should focus on fewer, better campaigns—built on emotional depth, branded clarity and long-term presence. 'The creative dividend isn't a theory. It's a measurable, repeatable, scalable outcome,' he said. 'If you want to grow your brand and your profits, creativity is the most powerful—and the most underused—tool you've got.' Ritson concluded, 'Creative advertising isn't a gamble. Betting against it is.'