GTM Sauce

Practitioner pattern · Eric Seufert (The Fabulous, Eric Seufert's previous employer (Facebook app advertiser, 2018))

Spend on your biggest channel until it hits your ROAS floor, then add the next

Advice from his consulting; keeps overhead and complexity low

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What they did

When optimizing for maximum spend under a ROAS constraint: max out the biggest channel until it hits the ROAS threshold, then move to channel two until it hits the threshold, then channel three. Only add a channel when existing ones are saturated or it creates an interaction effect (e.g. brand channels). A new channel must exceed, not match, the ROAS existing channels would get on the same budget, because it adds integration, creative-format and measurement overhead. High ROAS at tiny spend is not a reason to add it.
36:39
“max out the biggest channel, right, until it hits my ROAS threshold, then move on to channel two”
Eric Seufert
35:34
“it's the ROAS doesn't have to meet the ROAS of the other channels that could have absorbed that budget, it has to exceed that, because you're supporting a new channel”
Eric Seufert

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