Why Leading Retail Brand Cut Budget From All Marketing Channels Except Affiliate
Tough economies can have a large impact on marketing budgets - knowing which areas to cut from and which channels to lean into during an uncertain economy is imperative for long term success. When a retail brand reviewed their attribution model, performance results and returns from all of their marketing initiatives, the client's internal leadership team decided that budgets across all marketing channels needed to be either cut or significantly tightened.
Learn how Acceleration Partners helped this retail client identify a channel that would give them the best low-risk, cost-effective results.
The client realised higher ROAS via affiliate, receiving $6 back for every $1 spent through affiliate marketing.
$6back for every $1 spent through affiliate marketing
6:1 return on investment
After initially realising notable success from their paid and digital marketing, including significantly increased brand awareness and loyalty online, our client (a leading retail brand) eventually started to experience diminishing returns from these channels, including more expensive keyword bidding for branded and non-branded terms and lower return on ad spend (ROAS).
After a careful review of their attribution model, performance results and returns from all of their marketing initiatives, the client’s internal leadership team decided that budgets across all marketing channels needed to be either cut or significantly tightened.
The only exception to this was their affiliate marketing programme. Since affiliate marketing is a pay-for-performance model with consistently steady returns, the client determined that it made the most financial sense to not cut funds from their affiliate programme.