This is a Quora question I was asked to answer. My expertise is in B2C and B2B2C products so I will answer this question in context of these product types. A product-led growth strategy means the product sells itself without having to rely as much on marketing, distribution and sales. Product Development Build the marketing [...]
Here is a simple model to determine success of product sampling in e-commerce. I was presented with some quick performance metrics on an e-commerce product sampling campaign for a supplement startup, which included the cost of the sample plus shipping ($.70), the average order value ($39) and the response rate at 20%. That got my [...]
What is the advertising to sales ratio investors will look for in a direct to consumer e-commerce startup?
This is a Quora question I was asked to answer. Do you mean the return on ad spend ratio (ROAS)? I have never heard of “advertising to sales” ratio, but it probably means the same thing (revenue or sales divided by advertising spend…not to include media development costs or technology costs, just the costs to [...]
What are things that can make or break an online retail business (a specific niche retail business)?
This is a Quora question I was asked to answer. My answer is below. There are many things that can make or break and online retail business but some key ones in my experience are as follows. Marketing Not understanding what your breakeven return on add spend (ROAS) is for each product by channel. This [...]
This is a Quora question I was asked to answer. Absolutely yes, but I need to qualify my answer with more details to back that up. First, my focus is building consumer product startups, not managing large brands. So, I really have no clue if brand advertising is relevant or not because I have almost [...]
Marketing campaign goal metrics model: a simplified version of the most important financial model for any consumer product company
The ultimate goal in any company... ...is to acquire AND retain customers where costs to acquire and retain are less than expenses, which leads to profits. Boiled down to this single statement, then the most important variable in the finances is the marketing spend. Even if your other expenses are high or way out of [...]
The best way to think about this is a profit and loss statement, starting with revenue at the top and net income at the bottom. A customer flows from the top, acquired through marketing spend, and everything in between to deliver that product to them, with profit left over, and all the key metrics [...]
I had a pre-launch startup in the pet category contact me with a product idea and a website created around the idea. They were trying to raise money from investors for a seed round to produce a small number of units to sell. I personally did not think much of the idea, but what I [...]
I have not done any hard core research into the success or growth track of companies following a successful Kickstarter, Indigogo or other crowdfund campaign. But anecdotally, this is what I have observed. And this is definitely what I see in many startups, even ones that do not go the Kickstarter/crowdfund route. Take a look [...]
Here is how I use agile principles in consumer product development, marketing and sales: Conduct deep competitive analysis on what is already offered in the marketplace, including features, benefits, and outcomes. Find out which products are selling well through sites like Similarweb.com - Digital World Market Intelligence Platform and through exiting online and offline distribution [...]