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It is important for retailers to track ASONTV spending accurately because it represents the true popularity of products and correlates with eventual in-store sales. The more the ASONTV marketerspends, the higher the eventual retail sales should be. As a result, ASONTV marketers promote their spending data to retailers.
That is significantly higher than what companies typically spend on sales and marketing. Take department store Kohl’s, last year its marketing costs were only 4.9% A survey by Gartner found the average marketingspend as a percentage of a company’s revenue was 6.4% of revenue.
The company launched back in 2015 with a $171,000 Kickstarter campaign. So let’s say 50% of their $143M marketingspend is actual media budget, and a third of that amount is spent on Google Ads. (I In this article, I will show you how their unlikely story played out. And how they leveraged Google Ads to accomplish this.
And it was really when we purged all that stuff around 2015, seeing the Caspers of the world emerge and Warby Parker’s and even Tesla with their showrooms. By the way, TV advertising is still a big piece of our marketingspend.
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