Linear TV Advertising Delivers Worst ROI, Streaming Audio Best

Linear TV advertising delivers the lowest return on investment (ROI) among media channels, while streaming audio yields the highest, according to Big Chalk, a marketing analytics firm. 

In 2024, linear TV generated just 62 cents in gross profit margin per dollar invested, up slightly from 58 cents in 2023. Across 11 media channels, the average ROI was $2.07, a 46% improvement from $1.42 in 2023.

Despite its lag, linear TV retains value for brand building, says Rick Miller, Big Chalk’s marketing effectiveness partner. “It’s not all about ROI—linear TV’s brand-building power still moves products off shelves.” However, its high cost per thousand viewers (CPM) of $43.99—the priciest among channels—hampers efficiency. In contrast, connected TV (CTV) has a CPM of $20.31.

Streaming audio led with a $3.22 ROI per dollar, driven by lower ad-skipping rates. Other strong performers include retail media networks ($2.47), paid social media ($2.38), and digital display ($2.29). Online video ($2.08) and CTV ($1.78) outperformed linear TV, improving from $1.20 and $1.66 in 2023, respectively.

For sales volume (return on average sales, or ROAS), streaming audio topped the list at $10.73, followed by out-of-home media ($9.73), retail media networks ($8.22), and paid social media ($7.94). “Media ROIs have improved since our last benchmarks, offering some solace to marketing executives,” Miller noted in a press release.