EP296: Adding Intelligence to Your Marketing Mix; Balancing Sales Today With Future Growth & Profit, With DEMA Co-Founder Henrik Hoffman Kraft

Inside Commerce: Ecommerce Strategy, CX and Technology Podcast

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Summary:

In this ecommerce podcast, independent consultant James Gurd speaks with Henrik Hovfman-Kraft, founder of DEMA, about the challenges and strategies in ecommerce marketing.They discuss the importance of balancing short-term sales pressures with long-term growth strategies, the role of marketing mix modelling (MMM) in understanding marketing effectiveness, and the significance of incrementality testing in measuring true impact. Henrik shares insights from his entrepreneurial journey and how DEMA provides data-driven solutions for brands to optimise their marketing efforts and avoid leaving money on the table.

Key takeaways:

1. DEMA was founded to address the lack of data-driven decision-making in ecommerce.

2. Marketing mix modeling (MMM) helps brands understand the effectiveness of their marketing spend.

3. Incrementality testing is crucial for measuring the true impact of marketing efforts.

4. Brands often leave money on the table by not optimizing their marketing strategies based on data.

5. Data silos hinder effective decision-making in e-commerce.

6.. Understanding contribution margin is essential for sustainable growth.

7. Brands need to connect online and offline data for a comprehensive view.

8. The ad stock effect is important for measuring the long-term impact of marketing spend.

9. Brands should always experiment and test their marketing strategies.

Chapters:

[00:30] Navigating the E-commerce Landscape

[07:30] The Importance of Data in Marketing

[14:20] Understanding Marketing Mix Modelling (MMM

)[20:00] Balancing Short-term and Long-term Strategies

[26:37] Incrementality Testing in Marketing

[45:30] Identifying Missed Opportunities in Sales