Monday, August 26, 2024

whatever you meter you get more of

 Nike’s $25B blunder shows us the limits of “data-driven”


Heh - and at the risk of saying  another thing you can always say at a meeting and people wil agree with: "It's all about finding that balance".


I do recall one small internal startup I was at that incentivized us with "if we get X,000 trial subscriptions by such and such a date, everyone gets a iPad for the holiday". BUT... marketing had a spigot of ad spend. And there was a pretty direct relation between subscriptions and ad spend. So... the taps were opened wide, we got our iPads, then the budgets went back down to a trickle.
 

So I guess you can never shake the need to be data driven (and not all gut feels) but you do need to be careful.

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