So everyone seems happy with RZI abandoning its low cost acquisition strategy?? It has been their secret sauce since launch.
Abovetheline media will blow out acquisition costs.
Just wait for management to start talking about "building the brand" and new "brand" campaigns.
What they mean is "we are spending money on marketing that doesnt deliver customers". They will try to carve out "brand spend" from CPA spend to make the CAC still look good.
Actually, with this equity deal, will they forget they paid for this media, and just not include it in CAC calculations? In fact, is this a way to artificially boost profits? How do you account for this? Will it appear in the P/L as a cost??
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