Suppose a client operates with a very narrow profit margin – say, earning less than $5 per sale – which limits their ability to invest in marketing. Should the initial priority be to enhance those margins to allow for a bigger advertising budget, or would it be wiser to focus on affordable channels like organic SEO and social media outreach? I’m eager to hear which strategy you value more.
Based on my experience, enforcing a baseline customer acquisition cost is essential when margins are razor-thin. It prevents overspending on channels that may not yield satisfactory returns. I have observed that while organic methods such as SEO and social media outreach help, they should not be the primary focus if the cost per conversion is not closely monitored. Adjusting and improving profit margins is critical before attempting aggressive scaling through digital ads, as a disciplined cost approach can safeguard investments and lead to more sustainable growth over time.
i think its best to enhance margin first. organic channels work, but if margins are too tight, even cheap ads become fallout. building a healthier margin lets you scale up more effectively later.