ABC analysis can be applied to online ad spending by categorizing the ads into three categories: A, B, and C. 'A' category ads are the most valuable ones that generate the highest revenue or have the highest impressions. These should be prioritized and allocated the most budget. 'B' category ads are those that have moderate value. They should be given a balanced approach in terms of budget allocation. 'C' category ads are those that generate the least revenue or have the least impressions. These should be given the least budget or can be considered for discontinuation if they are not performing well. This way, ABC analysis can help in efficient allocation of ad budget and maximizing the return on ad spend.
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