Contact us
← Research
Branding · White paper · 12 min

The 60/40 rule of brand vs. activation

Why brand-building investment compounds over years while short-term activation flattens after a quarter.

60/40
Optimal brand vs. activation split
Long-term ROI advantage

Les Binet and Peter Field's landmark IPA analysis of more than 700 case studies found that brands allocating roughly 60% of marketing investment to long-term brand-building and 40% to short-term sales activation produced the strongest, most sustained business effects. Brand-building builds memory structures that influence buying decisions for years; activation harvests demand that already exists.

Activation-only strategies show a sharp spike in sales followed by an equally sharp decline as soon as media weight is removed. Brand-building, by contrast, lifts the baseline — every subsequent activation campaign starts from a higher point because more people are mentally available to consider the brand.

The 60/40 split is not a fixed law. B2B brands with longer sales cycles often lean closer to 46/54 in favour of brand. Mature categories with high switching frequency may push closer to 50/50. The principle that holds is simple: starve brand-building and you cap your ceiling on growth.

Source
Binet & Field, IPA

This summary is an editorial interpretation by Evolve. Please refer to the original source for the full study, methodology and attribution.