Most early-stage consumer brands neglect paid media, focusing on relationships with retailers instead. Such brands often lack the funds for paid advertising due to excessive costs to support retail partners. Only direct-to-consumer brands prioritize immediate consumer awareness. As a brand grows distribution, awareness increases slowly, often taking years to reach significant milestones. Therefore, paid media investment is crucial not just at any stage, but after achieving a healthy growth rate and broad distribution, ideally accompanied by a rule of 20% annual growth to represent long-term viability.
Emerging consumer brands should invest in paid media only when they have a strong distribution and are maintaining a healthy growth rate; otherwise, spending is premature.
Slow growing brands can take years to achieve significant brand awareness, highlighting the importance of strategic investment in paid media at the right time.
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