Most would likely quickly agree that it requires spending some money to make some money. Advertising, marketing, and research and development, they all cost. Are you going to spend more?
One way to beat the competition is to outspend them. We see it in political campaigns, the pizza chain, and entertainment venues.
Should You Measure ROI?
The risk becomes about the return on investment. Unless of course, the metric of measurement is to dominant and annihilate. Still the question often comes back to, “At what cost?”
Spending your way out of problems or the consideration of spending your way to success has perceived value, but what is the cost?
Small and large businesses want to make the most of the Google search algorithm. We call it organic search results. It means we are not spending, at least not directly.
Sure, plenty of businesses spend money on social media and Google advertising. Do they get their return on investment or is it about beating the competition in that space?
There is a saying, “The best ideas sell themselves.”
Should you spend more?
Spending more is always an option. If you have the cash, or the investors cash, you can certainly spend your way to some higher numbers. Will it be a positive return?
Gas station style convenience stores are well known for building across the street from each other. Who will win? Can they outspend?
Certainly, merchandising and service will play a role, and so will low price.
The hope may be that eventually one will destroy the other. Bring them to their knees, knock them down, and run them out of town.
What are your metrics?
If you are not measuring for quality, interest, or engagement, you may have to be prepared to buy your way to success.
Dennis E. Gilbert is a business consultant, speaker (CSPTM), and culture expert. He is a five-time author and the founder of Appreciative Strategies, LLC. His business focuses on positive human performance improvement solutions through Appreciative Strategies®. Reach him through his website at Dennis-Gilbert.com or by calling +1 646.546.5553.