Most brands don't have an advertising problem.
They have a “unit economics” problem.
Everyone wants to talk about scaling.
More ad spend, better creatives, new AI tools, or the latest Meta ads strategy.
The questions marketers should be asking are:
- What's our target CAC?
- What are our gross margins?
- What's our LTV?
- How much can we afford to spend to acquire a customer profitably?
Most brands don't know the answers to those key questions.
If the economics don't work, scaling only makes the problem bigger.
For most, the answer isn't spending more.
It's improving the fundamentals, lowering costs, increasing AOV, or fixing your tracking.
Profitable growth starts long before increasing ad spend.
Watch the video clip >
Jon Denney
Denney Bros
P.S. The first thing to look at isn't the ad accounts. It's not what you'd expect.