We live in an auction-media driven digital advertising world.
That typically means that the more budgets go up, the more expensive the media gets at the margin. Add to that the fact that a smart media buyer is buying the highest value media first (either DR or Branding), then you get a double-whammy, the media gets more expensive as the quality drops.
SEM (paid search) is particularly inelastic…
I had the pleasure of chatting best-practices with Seth Hirsch, co-founder of ShopFluency, a company whose mission is to help e-commrce companies acquire new customers, reduce advertising costs, and increase lifetime value. We did a deep-dive on the best ways to balance campaign ROI/ROAS with campaign scale.
In the full interview, which I recommend, we also discussed ShopFluency’s origin story, how the platform works, strategies to address the loss of tracking and targeting fidelity associated with cookie deprecation, best practices for audience segmentation and retention marketing. We also touched-on how marketers can use data appending to improve segmentation.