Ecommerce Playbook: Numbers, Struggles & Growth Diagnose Your Ecommerce Growth Potential in 5 Minutes
6 snips
May 22, 2025 Discover the new Strategic Growth Scorecard that helps assess your e-commerce brand’s growth potential in just minutes. The hosts discuss replacing ROAS with Incremental Marginal Return (IMR) for better insights. Learn the key metrics for sustainable growth and how to spot red flags in customer acquisition strategies. They share a compelling tale of marketing nostalgia through backyard concerts, highlighting the importance of customer lifetime value. This is packed with actionable strategies for navigating today’s volatile market.
AI Snips
Chapters
Transcript
Episode notes
Active Customers Drive Growth
- Revenue growth depends on your active customer file size and new customer acquisition efficiency.
- Leaning too much on existing customers risks long-term growth sustainability.
Plan For Margin Compression
- Prepare for a longer growth journey when reinvesting in new customer acquisition.
- Expect margin compression initially as new customers often acquire at break-even first order.
Balance Ratio With Growth Rate
- A high ratio of first order value to new customer acquisition cost isn't enough alone.
- New customer growth rate must also be considered for true growth potential.