Perpetual Traffic

The #1 Lesson Marketers Can Steal From Cadillac's $450M Wager on F1

Sep 19, 2025
Explore how understanding Media Efficiency Ratio (MER) can transform marketing strategies. Discover the vital need to reconnect with customers when budgets are tight, and the necessity of setting clear business goals. Learn from Cadillac's big bets on F1, showing how investment in branding and experiential marketing can pay off. Plus, find out why patience and strategic planning are crucial for long-term growth over short-term gains. It's a masterclass in refocusing marketing fundamentals!
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ADVICE

Measure MER Two Ways

  • Calculate MER either as revenue ÷ media spend or revenue ÷ total marketing spend.
  • Include marketing labor and agency fees when you want a full-picture MER.
ADVICE

Don't Use Agencies As Hail Marys

  • Avoid hiring an agency as a Hail Mary when runway is short.
  • Instead do focused consulting or fix fundamentals before paying for full outsourced ad budgets.
INSIGHT

Experience Beats Price Competition

  • If you can't compete on price you must win on marketing or experience.
  • Copycat products without experiential differentiation have short lifespans.
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