Duplicative, Distribution Taxed or Incremental? Avoiding the Cobra Effect in Down-Funnel Channels

Pay-for-performance is an attractive model; CEOs and their finance teams can be assured of a certain number of new customers at a predictable customer acquisition cost (CAC). However, we now find ourselves with a “Cobra Effect” in digital advertising--when a solution to a problem actually makes the problem worse, named after an incident where a bounty on cobras led to people breeding them for the reward. We now are faced with an abundance of "cherry pickers" waiting at the end of the funnel, taking a large share of economic rent. In this webinar, we will detail techniques for putting upper funnel (demand creation) channels on an even footing with lower funnel (demand capture) channels. Specifically, we recommend breaking demand capture's contribution into three buckets—incremental, cost-of-doing-business, and inefficient. Inefficient spend can be reallocated to demand creation, driving superior ROAS.