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Successful Budgeting Approach

 

Like the Reasonable Targeting Approach, we have learned through experience what it looks like to have a Successful Budgeting Approach.

The philosophy is to focus on long-term success for a client’s program, where their spending is effective in driving a positive ROAS. So, when estimating the daily opportunity of addressable visitors, sending the maximum volume of cards might not be the best approach.

Instead of thinking about mailing to all addressable visitors, focus on higher-intent visitors.

Example: one client wanted to send to all visitors, and while the mailing volume was high, the response rate was low. But when we refined the targeting to specific pages, the response rate went up. So even though the client mailed fewer cards per day than before, they had a higher ROAS. And over time, they’ve continued the program for years.

You would rather have a client successfully sending 50 cards per day for two years than sending 100 cards per day for a month and dropping the program. Please read the next articles about specific Budget recommendations.

 

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