Tag: Marketing

Learnings

Determine which advertising channels result in incremental sales

Chris Labs

Do a geo-location holdout. This idea is basically to stop either one advertising channel or one region of the country for a certain period of time. During that period, everything else should stay the same. By doing that, you might find that a channel that on paper is very profitable (Google search ads let’s say) is actually causing zero incrementality. In other words, regardless of whether you spend on Google search ads or not, you make the same amount of sales. You might find that some channels are underperforming (being credited more sales than they actually generate) and other channels … Continue reading Determine which advertising channels result in incremental sales

Learnings

Pricing depends on customer perception

Chris Labs

For example, in the customers minds, the difference between 20.95 or 21.95 or 22.95 on your website is not that big. But the difference between 20.95 or 19.95 is huge and should be taken into consideration. In a different scenario, where your product is sitting on a shelf in target. And your competitor sells for 24.95. In this case, whether you price your item at 21.95 or 22.95 will make little difference in the customers’ minds. – Mike Beckham (SimpleModern), (around 8mins) E018: How To Price Your Products. A Deep Dive Special. Continue reading Pricing depends on customer perception

Learnings

Where you should excel depends a lot on your pricing strategy

Chris Labs

Let’s say you are a chinese seller on Amazon and your differentiating factor is that you undercut your competitors. In this case, you should focus on producing that t-shirt for a low cost. And that should be your absolute priority. In this other example, where you are now selling a 400$ t-shirt, the price to manufacture the t-shirt almost doesn’t matter at all. Instead, you should excel at marketing and desirability. – Mike Beckham (SimpleModern), (around 10mins) E018: How To Price Your Products. A Deep Dive Special. Continue reading Where you should excel depends a lot on your pricing strategy

Learnings

When you discount, don’t discount across the line of colors… Discount a few select ones.

Chris Labs

What they have seen, is that people will still get the color that they want. But this tactic will spike the traffic, spike the interest, people will come in and buy the color they want even if it’s full price. That works very well with things like Prime day as it allows you to benefit from the traffic without losing all your margins. – Mike Beckham (SimpleModern), E006: Marty Wholesome Goods, De-Risking Talent, Data & Testing, Gamers, Panzerism, Prime Day & More. Continue reading When you discount, don’t discount across the line of colors… Discount a few select ones.

Learnings

Run a *BRAND NAME* day at the same time as Prime Day

Chris Labs

The concept behind it is that you have a ton of people that are in the mindset of spending online. Marty from Wholesome Goods runs a day for 4 days, from one day prior to Prime to one day after Prime. It runs in parallel with Prime day. They send 2 emails a day for 4 days straight. They made 1.065 M$ in incremental sales above their baseline revenue for that 48 hours period on their DTC website alone. BE CAREFUL: You cannot call this your Prime Day sale… This will get flagged by Amazon. One of the operators call … Continue reading Run a *BRAND NAME* day at the same time as Prime Day

Being CEO

How to structure Marketing Department

Chris Labs

It is such an important role, the role of media buying. You do not want all your business to rely on one or very few individuals. On the podcast Operators, Marty gives this structure recommendation. Basically, the department should be divised into two groups: – Marty, E006: Marty Wholesome Goods, De-Risking Talent, Data & Testing, Gamers, Panzerism, Prime Day & More. Continue reading How to structure Marketing Department

Learnings

You should focus and fine-tune your flagship product. Up until 15-20M$ depending on your niche

Chris Labs

Too many brands focus too soon on product diversification and expansion… The reality is that depending on your market, let’s say people buying a dog harness, you can easily do 30-40-50M$ by doing just that. If however, you’re selling trombone oil, your TAM (Total Addressable Market) is much smaller and you should consider diversifying a lot sooner. That will allow you to have certainty in your business. You will have market fit. And you will have mastered this product and its supply chain. -The OPERATORS, E005: Attribution Modeling, Branding, Panzerism, Company Acquisition, Ridge Regrets & More. Continue reading You should focus and fine-tune your flagship product. Up until 15-20M$ depending on your niche

Learnings

What is making Säker successful?

Chris Labs

Buying a harness is part of a ritual. In most cases, people don’t actually need a harness. But they are brain-washed by the industry to believe that they do. Because a harness rarely caters to a precise need, it comes down to shopping the different options. We could compare it with buying a watch. Similar to buying a watch… Most people don’t need a watch, they could simply check the time on their phone. But the watch is a vehicle is to make a statement. Below are some of the reasons why people are using a watch. – For its … Continue reading What is making Säker successful?

Virality

The mere fact that something isn’t readily available can make people value it more…

Chris Labs

And tell others to capitalize on the social currency of knowing about it or having it. A great example from McDonald’s: In 1979, McDonald’s introduced Chicken McNuggets. They were a huge hit and every franchise across the country wanted them. But at the time McDonald’s didn’t have an adequate system to meet the demand. So Executive Chef Rene Arend was tasked with devising another new product to give to the unlucky franchises that couldn’t get enough chicken. Arend came up with a pork sandwich called the McRib. […] But then the sales numbers came in, Unfortunately, they were much lower … Continue reading The mere fact that something isn’t readily available can make people value it more…