90% of advice in marketing is 'we just need more traffic'

90% of advice in marketing is 'we just need more traffic'

well, you couldn't be more wrong

every week I track 5 numbers for my CMO clients

(and ur expensive af ad agency is petrified of you hearing this btw)

revenue = traffic x conversion x AOV - right?

notice the multiplication

the weakest number caps every other number in the equation - fact

want to argue maths, go speak to the Babylonians not me

so.. if your CVR is broken, every pound u put into ads gets multiplied by...

✨ that same broken number ✨

if you double your spend, alas you double your leak

hate to say it, but it gets worse

more traffic usually LOWERS your CVR bc you're reaching colder and colder people

(one brand in a US benchmark study nearly tripled its traffic and watched conversion drop from 7.2% to 2.4% 🤡)

u cannot out-spend a bad conversion rate (!!)

so i wrote the whole thing up properly on my Substack: → the maths on why most brands spend £135k to make £126k (of revenue! not profit!) → the 5 numbers that billion-dollar brands use to scale (and yes, that is from experience) → why your mobile vs desktop gap probably isn't a UX problem → the 90 day rule i use in million and billion dollar brands

and if someone on your team is asking for more ad budget right now... send it to them xx

https://lnkd.in/ecKEVr3N