In mature ad markets, creative quality is the biggest variable for success, not media spend. High-performing companies now shift budget away from platforms like Meta and Google and reinvest it into producing more content. This superior creative makes the remaining, smaller media spend far more effective.
Stop spending money to test ads. Instead, publish a high volume of organic social content and identify what naturally gains traction. Then, convert only those proven, high-performing pieces into paid ads. This model dramatically lowers customer acquisition costs by ensuring ad spend only scales winners.
A low Customer Acquisition Cost (CAC) might seem successful, but it could be hiding inefficient creative. Optimizing creative strategy could dramatically lower CAC further (e.g., from $39 to $16), unlocking greater profitability and scale, especially as you increase ad spend.
A blended CAC across all channels hides crucial information. By calculating CAC for each individual platform or method (e.g., paid ads, content, outreach), businesses can identify their most efficient channels. This allows them to reallocate budget and effort to the highest-performing areas for more profitable growth.
Stop planning creative and media buys simultaneously. Instead, post creative organically first. Then, exclusively allocate media spend to amplify the content that has already demonstrated strong consumer engagement, forcing creative to be effective on its own merit before receiving paid support.
If your creative assets aren't culturally relevant, you're forced to overspend on media to achieve impact. Truly resonant content generates organic reach and makes paid amplification more efficient, a key argument for CFOs on the value of creative investment.
Agencies are optimized for efficiency, stifling the creative experimentation needed for platforms like Meta. Top-performing brands employ an in-house strategist whose sole job is generating a high volume of diverse, "wacky" ad concepts—a function that can't be effectively outsourced.
In the current "interest media" era, social platforms act as a free testing ground. Post content organically, identify what performs best with the algorithm, and only then invest media dollars to amplify those proven winners, eliminating expensive guesswork.
Don't waste money testing ad creative from scratch. First, post content organically across platforms. When a piece performs exceptionally well, use that as a clear signal to put paid advertising spend behind it. The algorithm and audience have already validated its appeal, de-risking your ad budget.
With Meta's Andromeda algorithm automating audience targeting, the primary reason for poor ad performance is no longer incorrect targeting settings. Wasted money is now almost exclusively a result of insufficient or non-diverse creative, making creative strategy the most critical component of a successful campaign.
By enforcing a strict budget cap on any single commercial, Liquid Death operates a 'small bets' strategy. This minimizes the financial risk of any one piece of content flopping and allows for a higher volume of creative outputs, ensuring the ROI is massive when a video succeeds.