Wednesday, March 02, 2016 12:26:31 AM
It works best in the health and fitness segment of the business. FD has no dog in that fight. They are 100% convenience and diet. It works very poorly in the convenience market and so-so in the diet market. There are other forms of advertising that are much more effective in those markets.
You need to remember that this is all about scale. FD needs enormous volume to be profitable because it has a lot of overhead. That means marketing has to be scalable. You have to be able to invest a million dollars cost effectively when you have it to generate new customers. Finding a cost effective and scalable marketing technique is a problem for everyone in the business.
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