Good morning, {FirstName}, are rising customer acquisition costs keeping you up at night? 

For many direct-to-consumer (D2C) companies, digital marketing is the lifeblood of customer growth. It enables digitally-native brands to own the entire funnel, tracking every customer detail down to the cost it took to capture them. But as more D2C companies flood the scene, digital acquisition costs are skyrocketing to unsustainable levels. And now, we’re reaching a point where acquisition costs are beginning to exceed total customer lifetime value, which puts companies operating under this approach on the fast track to failure.

The rising ad volume on Instagram is, in part, living proof that customer acquisition costs are nearing saturation. As more D2C advertisers drive the need for more ad inventory, the competition in the auction ecosystem is bursting at the seams – and social platforms like Instagram are increasing ad load just to keep pace. In an increasingly crowded digital space, how many ads will be too many before users become desensitized entirely? And how are brands expected to keep up when the cost of digital acquisition is becoming so untenable?

For the digitally-native brands that grew up in the golden days of online advertising, sustaining growth in today’s environment means a return to brand-building basics, where digital isn’t always the silver bullet. Creating memorable experiences and delivering personalized value online and offline is essential for retention, and allowing your tech stack to power a deeper understanding of the customer will build the framework for sustainable growth.

Keep scrolling for a Pro Tip on how to provide value through email by focusing on the customer’s seasonal priorities, and more. 

 Taylor Peterson,
Deputy Editor

Pro Tip

Deliver authenticity in every email – and keep seasonality in mind

“Selling galoshes and warm wool clothing in the dead of summer is not delivering value or demonstrating that you’re operating in the same hemisphere as your recipients,” cautions Len Shneyder of Twilio SendGrid. “Referencing sparklers, kids out of school, holidays, warm weather and other relevant topics help your product seem relatable to the recipients’ immediate needs. Test your calls-to-action and subject lines to ensure they’re not tone deaf. Track your opens, clicks and unsubscribes to ensure that any deviations or summer experiments are viewed through a baseline lens to capture your successes and failures. Remember, email is iterative. It requires time to build a good healthy list and a keen understanding of the metrics and analytics available to email marketers.”

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Compare 14 top marketing automation platforms

MarTech Today’s “B2B Marketing Automation Platforms: A Marketer’s Guide” examines the market for B2B marketing automation software platforms. This report includes profiles of 14 leading B2B marketing automation vendors, capabilities comparisons, pricing information, and recommended steps for evaluating and purchasing.

Get it now »

Search Shorts

WhatsApp’s plans for India, Pew Research’s YouTube study and Twitter’s 2020 Olympics coverage

WhatsApp payments coming to India. WhatsApp plans to roll out a payments service for users in India, according to a report from India’s Business Today news site. The company has been testing the payments service in India since last year, aiming to compete against platforms like Paytm, PhonePe and Google Pay. “We believe if we get this right, it will accelerate financial inclusion and bring value for people in India’s fast-growing digital economy,” said Will Cathcart, the Global Head of WhatsApp. WhatsApp confirmed last week it now has 400 million users in India.    

Pew uncovers details on YouTube’s most popular channels. The Pew Research Center analyzed YouTube channels with a minimum of 250,000 subscribers and found that a large majority of videos from popular channels are being produced by a small number of creators. “Just 10% of the popular channels identified in the Center’s mapping produced 70% of all the videos posted by these channels during the first week of 2019. Similarly, the 10% of popular-channel videos that had the most views in this period were responsible for 79% of all the views that went to new content posted by these channels,” reports Pew Research Center. 

Twitter partners with NBC for the 2020 Tokyo Olympics. Twitter has entered a partnership with NBC to produce a 20-minute daily show that will air live from Tokyo during next year’s Olympics coverage. According to a report from Variety, the show will be exclusive to Twitter and available only to users in the U.S. The partnership will also include video highlights from each day’s events shared on Twitter, along with a daily poll that lets fans on Twitter choose one live-streaming event to run during NBC’s primetime Olympics coverage. The content will reside on NBC’s @NBCOlympics Twitter handle. 

What we're reading

We've curated our picks from across the web so you can retire your feed reader

Amazon is unapologetically spending money on one-day shipping – Quartz

EPIC privacy group sues FTC for letting Facebook off easy – The Verge

‘Soft enforcement’: DSPs are beginning to enforce app-ads.txt – Digiday

Half of Organizations Send the Wrong Marketing Messages to Customers – Street Fight

Google’s Secrecy About YouTube Rankles Investors; Study Claims Anonymous Users Are Easily Re-Identified – AdExchanger

Amazon’s ad sales rise 37% to outpace digital rivals – Marketing Dive

Are marketers missing customer signals on social? – Twitter Blog