Perpetual Traffic

[INSANE Case Study] How to Spend LESS & Make MORE on Meta & Google

25 snips
Nov 19, 2024
Guest
John Moran
John Moran, a digital marketing strategist from the Tier 11 team, joins Ralph to discuss a groundbreaking case study on advertising efficiency. They dive into the Media Efficiency Ratio (MER) and its potential to uncover growth as opposed to the traditional ROAS. Listeners learn about reallocating ad budgets, reducing unnecessary spending, and real-world strategies for maximizing outcomes. Throughout the conversation, they explore the complexities of digital metrics and challenge established marketing norms, offering a fresh perspective on smarter advertising.
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ANECDOTE

Brand Spend Reallocation

  • A clothing store client overspent on branded search campaigns, getting a high ROAS but limited new customer growth.
  • By drastically reducing brand spend and reallocating it to Meta, they increased revenue and new customers.
INSIGHT

ROAS vs. MER

  • ROAS can be misleading, especially for established brands.
  • Focus on Media Efficiency Ratio (MER) to assess true marketing impact on overall business growth, including all channels.
ADVICE

Optimize Brand Spend

  • Don't overspend on brand campaigns if you have strong brand recognition.
  • Redirect that budget to top-of-funnel activities like Meta ads to acquire new customers.
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