1. How's your funnel doing? We all know there is a sequence of steps a customer needs to take before they purchase your brand. While the steps may change depending on the category, we know a brand needs to be sufficiently known, understood and felt good about before a customer is ready to purchase. Using quantitative techniques we can determine the % of the total addressable market that sits at each stage of the funnel and we can benchmark that against competitors. Your brand’s performance across the funnel serves as the foundation for annual marketing planning.
2. It takes money to make money: The same funnel data reveals something more fascinating - the investment required to nudge a potential customer from one stage of the funnel to the next, all the way to purchase. Using this data, we can game-plan various investment scenarios required to generate different levels in sales. The benefit of this top down approach is that it quantifies the role of top of funnel brand building as it is a pre-requisite for all further stages in the funnel. Collectively, this data drives the business case marketing can use to secure budgets from the finance team.
3. The role of campaigns: Different types of campaigns help improve your brands performance across the funnel. Brand building creates emotional affinity, whereas a discount sale can help nudge people to purchase. Every brand needs a combination of both. In general 60% of your annual media budget should be allocated to brand building and 40% to sales activation. Whatever type of campaign you are running, align on your key KPIs before launch. Aim for 2-3 max and make sure you set both a benchmark and a goal.
Want to learn how we used ‘Video completion %’ and ‘ROAS (return on ad spend)’ as key metrics to optimize a full funnel campaign that delivered $3.6 million in sales in one month? Download our exclusive white paper here.