In this newsletter, you’ll find:
Let’s dive in: 👇
Hot tip from the team at Pilothouse: Don’t put all your eggs in one channel basket this Q4. 🐣
Look at data, metrics, and the impact across your ecosystem of channels to leverage this Q4 to its full potential. 🔥
Let’s explain 👇
Throughout the next seven weeks, you need to take each channel's strengths and weaknesses into consideration when determining a) the role they play and 2) how to maximize their value. 📈
Early on in Q4, in October and early November, Meta is useful to generate brand awareness, grow your top-of-funnel, and build lists that will convert throughout the rest of the year (and beyond).
But as we get further into the quarter, shoppers will start to feel the pressure of holiday deadlines. They may be traveling for the holidays, have family in town, or need a delivery ASAP, and trust that it will be at their door. 📦
Those last-minute, ‘need as soon as humanly possible’ attributes fit one platform in your ecosystem very well. 👀 If you guessed Amazon, you’re right!
Having Amazon in your ecommerce toolkit lets you capture those last-minute conversions and ensure customers get their orders fast, with little to no extra shipping charges.
Throughout the year, it’s typical to see a lift in Amazon revenue when Meta (or other channels) drastically increase spend. However, although ever-present, this metric is fundamental to monitor through Q4.
As spend skyrockets, shopper intent will be high, and customers will be converting even more where they can confidently get their order as quickly as possible → Amazon. ✅
This only intensifies as we get closer to Christmas (where are our last-minute shoppers at? 🙋).
Depending on your DTC fulfillment capabilities, having Amazon FBA inventory can net you an additional 5+ days of sales during some of the highest intent traffic times.
So, how do you plan for this? 🤔
By zooming out and looking at your DTC ecosystem trends, you can explore a correlation between increases in off-Amazon spend and increases in Amazon sales — specifically branded search traffic.
If you see a positive correlation, you may be able to spend heavier into a lower return on ad spend (ROAS) on Meta, knowing that you’re making it up with the increase in Amazon conversions.
But you can only do this if you keep an eye on all your channels and watch for a correlation. 🤝
At Pilothouse, when running all channels for a brand, buyers collaborate on strategies and share data to ensure they’re operating with the best possible strategy for the brand as a whole rather than being siloed in single channel metrics. 👌
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📰 IN THE NEWS
🎧 On today’s episode of the DTC pod, we spotlight Juliana Casale, the dynamic founder behind Balloon Seltzer.
Hailing from Toronto, Juliana identified a gap in the seltzer market and took it upon herself to fill it. Throughout the ep, we'll discuss the intricacies of her journey — from the initial observation to the formulation challenges and the strategies she adopted.
By embracing passion and innovation, Juliana discusses how she successfully navigated the complexities of launching a DTC beverage brand.
Tune in to gain a deeper understanding of brand-building and the dedication required to transform an idea into a tangible product!
The takeaways 👇
🛍️ Embracing pre-orders
From her venture into the CPG world, Juliana’s insights underscore the value of a well-strategized pre-order campaign.
Juliana's utilization of a pre-existing Shopify store coupled with a pre-order app proved instrumental in her approach. Moreover, her active presence on social platforms and an engaged mailing list, which included friends, family, and contacts in the CPG space, ensured she could generate sales even before her product was manufactured.
This preemptive strategy doesn't just mitigate risks; it provides an accurate gauge of product demand, enabling businesses to refine their production process in real time!
🌽 Market testing through local initiatives
If there’s one thing we learned in this week’s ep, it’s that one can't emphasize enough the importance of direct feedback from potential consumers.
Juliana's decision to immerse herself in local farmers markets in Toronto served as a real-time feedback mechanism. These venues aren't just sales points; they're invaluable arenas to interact with consumers, understand their preferences, and gather genuine responses.
Additionally, targeting local retailers offers a two-fold advantage:
Starting small and focusing on localized efforts can provide in-depth insights that larger-scale efforts often overlook.
💰 What Juliana would do with an extra $50K:
Two words: vending machines.
By strategically placing them in airports, universities, and hospitals, she aims to capitalize on areas with consistent demand.
👉 Listen to the full episode with Juliana Casale here!
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