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Home Depot Shifts Advertising Strategy from ROAS to ROMO, Sparking Investor Skepticism
Home Depot Shifts Advertising Strategy from ROAS to ROMO, Sparking Investor Skepticism
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BTCCSquare news:
Home Depot's stock (NYSE:HD) dipped slightly as the home improvement giant overhauled its advertising valuation framework. The company is pivoting from Return on Ad Spend (ROAS) to Return on Marketing Objective (ROMO), a metric designed to capture the full customer journey rather than immediate sales conversions.
The shift reflects Home Depot's recognition that big-ticket items like refrigerators involve extended decision-making periods. ROMO tracks long-term engagement across its Orange Apron Media network, but investors remain unconvinced—shares fell fractionally following the announcement.
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