Episode Summary
In episode 17 of the “7 Figures and Beyond” podcast, Greg Shuey engaged in an enlightening conversation with Harry Tripp, a seasoned marketer from the renowned shoe company, Sperry. The discussion centered around the intricacies of developing and optimizing a full funnel paid media strategy, which is pivotal for any high-revenue e-commerce brand aiming for growth. Harry, with his background in both agency and in-house roles, shared detailed insights into the strategic segmentation of paid media into brand and performance media, each serving distinct goals from awareness to conversion. He highlighted the importance of aligning creative strategies across different funnel stages and emphasized the use of data-driven attribution (DDA) and market mix modeling (MMM) to allocate and optimize ad spend effectively. The conversation also touched on budget allocation techniques, particularly around peak sales periods like Black Friday, and the shift towards more profitable advertising practices as e-commerce continues to evolve.
You can read the full transcript here.
Key Takeaways
- Full Funnel Strategy Development: Understanding and implementing a full funnel approach in paid media is crucial. This involves defining the brand strategy and distinguishing between brand media aimed at driving awareness and performance media focused on conversions.
- Data-Driven Decision Making: Utilizing tools like DDA and MMM allows for precise allocation of the advertising budget across various channels based on their performance, ensuring that every dollar spent contributes to incremental growth.
- Creative Alignment Across the Funnel: Tailoring creative content to different stages of the funnel enhances effectiveness. At the top, it’s about broad awareness, while at the bottom, the focus shifts to direct response ads to drive conversions.
- Strategic Budget Allocation: Timing budget increases around key sales events, and employing tactics like increasing mid-funnel spending ahead of these events can significantly enhance the efficiency of ad spend and conversion rates.
- Emphasis on Profitability in Advertising: The future of e-commerce advertising lies in a profit-driven approach, where contribution margin targets become a primary metric over traditional KPIs like ACOS, reflecting a shift towards optimizing for profitability rather than just sales volume.
Links
Greg Shuey LinkedIn: https://www.linkedin.com/in/greg-shuey/
Harry Tripp LinkedIn: https://www.linkedin.com/in/harry-tripp/
Sperry: https://www.sperry.com/
Laurel is a member of the executive team at Stryde. She’s been doing digital marketing for businesses for 10 years. Two years ago, she started set up her own ecommerce business selling baby gowns and knows the struggles of a small business owner. She loves talking about digital marketing, content, SEO, and conversion rate optimization.