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Strategies & Market Trends : Turnarund Investing
NOVS 0.0666-16.0%Aug 1 5:00 PM EST
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To: bankbuyer who wrote (946)5/1/2012 8:24:27 PM
From: grahamcracker1 Recommendation  Read Replies (1) of 1876
 
Re "Ad dollars are a necessary evil. How else do you get people into the stores?"

That wasn't me, I think it was Covenant. Anyway, I agree with both of you. Retail must advertise, not debatable. But it also presents an opportunity for cutting and getting and getting an ROI on the cuts. The trick is to get the right people into the store. No sense in spending $20/customer to generate $10 in incremental sales.

"We'll make it up in volume"
"You have to spend money to make money"
LOL.

Years ago I worked in both the packaging and the printing industries and when the going got rough, marketing/adv got slashed every time. Marketing ROI's are based on a lot of bs to try and protect budgets and pretty quickly the bean counters pluck that long-hanging fruit.
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