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Getting the Right Ratio for Your Marketing Spend

A report by Econsultancy highlights a significant issue for digital marketers: most companies operate at a 92:1 ratio. In other words, for every $92 businesses spend driving traffic to their websites, they only spend $1 converting it. Through anecdotal evidence from speaking daily with companies around the world about their digital marketing efforts, I can

By |January 31st, 2017|Article, Blog|Comments Off on Getting the Right Ratio for Your Marketing Spend

Finding Budget for Improved Mobile Optimization

Earlier this year Shop.org and Forrester Research produced their annual report of e-commerce benchmarks based on a survey of retailers that sell online. The report noted that 29 percent of retailers believe that mobile traffic and sales negatively impact their overall conversion rates. As visits from smartphones and tablets increase, retailers are looking to improved

By |January 24th, 2017|Article, Blog|Comments Off on Finding Budget for Improved Mobile Optimization

Core Product Revenue vs. Ancillary Revenue

We’ve been talking a lot about ancillary revenue in previous posts. What is the difference between ancillary revenue and core product revenue? Here’s a quick overview.

Core product margin is the operating profit percentage on the product most associated with the retailer. In the case of an airline, this would be the margin on a plane

By |January 17th, 2017|Article, Blog|Comments Off on Core Product Revenue vs. Ancillary Revenue

The Three E’s – Enable, Enhance, Ensure

In my last post on 8/8/13 I pointed out that Amazon doesn’t optimize for percentage margin. That’s significant because it allows Amazon to lower prices as far as they want. But if we examine the bottom line of digital retailers, they appear to be healthy. How is it possible to remain profitable in a market

By |January 10th, 2017|Article, Blog|Comments Off on The Three E’s – Enable, Enhance, Ensure

If You Can’t Beat Them…

If your business depends on online sales and marketing, this statement from Amazon’s CEO, Jeff Bezos, given during an interview with the Harvard Business Review, should certainly catch your attention: “Percentage margins are not one of the things we are seeking to optimize.”

Are you getting that? The largest online retailer in the world isn’t worried

By |January 3rd, 2017|Article|Comments Off on If You Can’t Beat Them…
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