#marketing-creatives-lp
Thread
What is the optimal point of a healthy margin & maximising sales? How are people deciding for Google search ads when to take a higher CAC when you’ve lost impression share to budget? I’d love to use data to answer this question, but wondering if others have solved this already?
This is dependent for each brand. I recommend getting a blended cost and projecting your revenue/contribution margin with a linear or polynomial regression and seeing at what spend/ROAS based on historical monthly data you are start to become unprofitable.
Margin is always up to the founder in terms of what the balance of volume to dollars in pocket looks like.
For most growth oreinted brands the answer is increase CAC until its at breakeven with expenses, or draw out to a short term ltv (60-90 day) to justify it.
My tool looks like for this.