[wmd 2015] tradesy >> tracy dinunzio, "the ceo growth playbook: how to be your own...
TRANSCRIPT
The story of Tradesy’s marketing-driven growth
0
75
150
225
3002
012
20
13
20
14
20
15
ValuationGMV
(pac
e)
@tracydinunzio @tradesy
TRADESY GROWTH S INCE LAUNCH
The true story of Tradesy’s marketing-driven growth
0
75
150
225
3002
00
9
20
10
20
11
20
12
20
13
20
14
20
15
ValuationGMV
(pac
e)
@tracydinunzio @tradesy
WHAT REALLY HAPPENED
THE METHOD
IDENTIFY TEST EXPLOIT AUTOMATE
Find channel opportunities off the beaten path
Use rigorous methodology paired with agile process
Make what’s working 25% more valuable
Productize and delegate channel, rinse + repeat
A simple + direct methodology for lean, early-stage marketing development
Go where no (wo)man has gone before Find paid, earned, and organic media + marketing opportunities
where the crowd isn’t looking
LIMITED UPSIDE
Mature Channels Already established and saturated; ad unit prices
reflect the LTVs of your biggest competitors.
!!• SEM
• Facebook Ads
• Google Display
• Retargeting
• Email Marketing
IDENTIFY: MATURE VS EMERGING CHANNELS
LIMITLESS UPSIDE
New + Emerging Channels Underpopulated channels set ad prices lower to
drive growth
!!• Podcast Ads
• Snapchat Content Marketing
• YouTube Ads
• TV Commercials
• Direct Mail Marketing
@tracydinunzio @tradesy
Interest Over Time Source: Google Trends
!• Facebook Marketing
• YouTube Marketing
• Pinterest Marketing
• Podcast Marketing
• Snapchat Marketing !!
Increased demand makes your marketing channels expensive Popular channels with increasing demand result in higher advertising prices
Getting in before the curve peaks gives you the best chance for a home-run ROI
IDENTIFY: THE NOT-SO-BEATEN PATH
INFLECTION POINT
@tracydinunzio @tradesy
Projecting and Prioritizing for Next Steps
IDENTIFY: PRIORIT IZ ING OPPORTUNITES
Measure level of ease/affordability of testing, and projected upside
on a 1-10 scale*, then prioritize your tests accordingly
*Warning: Dramatically simplified!
Example analysis - Ease/upside of
channels are unique to each businessSnapchat
Marketing
!
Podcast
Advertising
Television
Commercials
Direct Mail
Marketing
Level of Ease/Affordability Is it low-cost? Fast? Resource-light?
3 7 1 5
Potential Upside How big is the projected opportunity?
5 5 9 2
Average 4 6 5 3.5
@tracydinunzio @tradesy
TEST: 3 KPIS
Visitor CPC
!!!
Signup CPL
!!!
Buyer CPA
!!
Traffic
TEST 1 TEST 2
SPEND $10,000 $10,000
CPC
Cost per Click$1 $2
NEW UNIQUE VISITORS 10,000 5,000
CPL
Cost per Lead (a lead = a signup)$10 $20
NEW SIGNUPS 1,000 500
CPA
Cost per Acquisition (acq = a buyer) $100 $200
NEW BUYERS 100 50
Example Test Results Conversion-to-signup rate = 10%
Conversion-to-purchase rate = 10%
Keep Marketing KPIs Dead Simple: CPC - CPL - CPA
@tracydinunzio @tradesy
TEST: CALCULATE LTV
@tracydinunzio @tradesy
Forget LTV and Focus on CAC Payback PeriodEarly stage startups often don’t have enough data to accurately
project lifetime value. Here’s a hack.
TEST: CALCULATE LTV
@tracydinunzio @tradesy
Forget LTV and Focus on CAC Payback PeriodEarly stage startups often don’t have enough data to accurately
project lifetime value. Here’s a hack.
X
Apply ruthless rigor to your testing
TEST: AVOID COMMON PITFALLS
How you test matters as much (or more) as what channels you test
Testing outcomes are the “information” your team will base future decisions on.
DON’T LEAD YOUR TEAM ASTRAY!
@tracydinunzio @tradesy
Iterate toward world-class creative
TEST: CREATIVE IS EVERYTHING
$160 CPA $32 CPA
$210 CPA
$37 CPA
Better creative = increased network effects (branding), and lower CPA
@tracydinunzio @tradesy
THE METHOD AT EARLY STAGES
IDENTIFY TEST EXPLOIT AUTOMATE
In 2011, Recycled Bride became profitable using this method
This is what my marketing stack looked like
• PR
• Blog
• FB Organic
• FB Ads
• Google SEM
• YouTube
Organic
• Influencer
Partnerships
• YouTube Ads
• Print Ads
• Affiliate
Marketing
!
@tracydinunzio @tradesy
!Now throw away channels that didn’t work,
and exploit the ones that did
EXPLOIT: GOING DEEPER
Make it 25% more valuable than during testing
+25%
@tracydinunzio @tradesy
Productize and Delegate What’s Working
AUTOMATE: PASS THE BATON
Move on to conquer new channels
@tracydinunzio @tradesy
THE METHOD AT MATURITY
IDENTIFY TEST EXPLOIT AUTOMATE
The Method Expands as Your Marketing Team Does
Find great people to start automation, then have them work backwards down the chain
• PR
• SEM
• Blog
• FB Organic
• FB Paid Mobile
• Google PLA
• Retargeting
!!!!
• FB Ads
• SEO
• Affiliate
Marketing
• Shopping feeds
• Polyvore Paid
Organic
• Email mktg
!
• Influencer
Partnerships
• Print Ads
• Pinterest Paid
• TV Ads
• Tumblr
• Comparison
shopping eng.
• Pop-up shop
• Event mktg
!!
@tracydinunzio @tradesy
• YouTube Ads
• Billboards
• Tumblr Paid
• Outbrain
Content Mktg
• Radio
• In-air video
• Exit Intent Offer
• Forums + FB
groups
• xx
!