😯 Sean Frank reveals how he built a brand scorecard in <1 hour
🤑 Connor Rolain shares how Wild sold to Unilever for 9 figures
😎 Connor MacDonald gives 5 tips for winning AppLovin this Q4
Plus, the top headlines in consumer.
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Connor Rolain
Head of Growth, HexClad
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How Wild Sold to Unilever for 9 Figures
I don’t spend a lot of time listening to podcasts by our SaaS providers, but Fulfil has been on an absolute tear recently.
- BTS on the Ekster x Messi collab
- How Cuts aligns marketing + ops
- Nomadix’s wholesale playbook
Freddy Ward’s interview was a banger. He’s the co-founder of Wild, which sold to Unilever for a reported nine figures. My biggest takeaway:
Don’t pull every growth lever at once.
Freddy breaks scaling into three buckets:
- New channels
- New countries
- New products
Wild focused on getting its hero right, then making it work in-store and internationally before expanding into other SKUs.
He also explains why retail forced Wild to get better at planning inventory. You can dial back ads when stock runs low. Store orders are harder to predict, and you still need to deliver.
Plus, a bunch of other stuff:
- Revenue threshold for selling
- What strategic buyers look for
- When to ignore your investors
- Losing $500K in funding
- Life after a nine-figure exit
If you’re planning your next expansion, this is worth 46 minutes.
How I built a brand scorecard in <1hr
If you do not know your numbers
your business is going to die.
- Cash in unsold inventory
- Most profitable SKUs
- Margins by channel
The alpha used to be getting answers. Three years ago you had to stitch together six exports and chase your finance guy.
It was worth it. Because whoever has the most insight wins.
That is still true today.
Businesses die because of no data.
They die faster because of bad data.
That is why I built a monthly scorecard with 200 numbers across sales, CM, marketing, products, and inventory using ChatGPT and Saras Analytics' MCP in under an hour.
A few prompts.
Nothing fancy.
I literally talked to it.
Here are 9 sections that belong in your monthly scorecard and why they matter. I included screenshots of the dashboard I built and then show you how to build it.
THIS IS DUMMY DATA
1- Rev, profit + EBITDA
2- Channel breakdown
3- SKU performance
4- Channel x product
5- Marketing efficiency
6- New vs returning
7- Inventory runway
8- Operating costs
9- Marketing platforms
1- Rev, profit + EBITDA
Getting bigger is easy if you are willing to make less money. I want to know if I am keeping more money.
Your numbers are a ladder.
At the top is all the cash you collected.
The bottom is what is left in your pocket.
Gross Revenue
Minus discounts + refunds …
= Net Revenue
Minus COGS …
= Gross Profit
Minus marketing + fulfillment …
= Contribution Profit
Minus operating expenses …
= EBITDA
Pay attention if:
Rev up, gross margin down-
- Check discounts
- Product costs
- What you are selling
Gross margin up, EBITDA down-
Your gains are getting eaten further down the P&L. Check:
- Marketing
- Fulfillment
- Overhead
Rev up, EBITDA margin up-
You are selling more AND keeping more.
Hell yeah.
Good work.
These numbers do not answer why.
They tell you where to look.
2- Channel breakdown
Your business can still grow while a major channel shrinks.
Blended data hides that.
Break revenue out by channel.
Compare the same period YoY.
Look at growth in dollars AND percentages.
% shows speed
$ shows scale
A small channel up 100% can add less revenue than your biggest channel up 10%. Know what is shrinking, what is accelerating, and what is carrying the business.
3- Product comparison
Your bestseller and your biggest growth driver are not always the same.
Rank products by revenue added and lost YoY.
Investigate declines:
- Out of stock?
- Less promo?
- Sunsetted?
- Losing demand?
If lower-margin products are taking over, that is a red flag.
4- Channel x product
We tried our wallets as the hero on TikTok.
It did not work.
But our power banks crush.
What wins on one channel can flop on another.
Different platforms.
Different audiences.
Different intent.
Find your winners on each channel.
Also your losers.
Optimize and stock up or down.
5- MER
MER is revenue divided by spend.
3.51x MER= $3.51 in revenue for every $1 on marketing.
It does not mean this month's ads caused every sale. Returning customers, organic demand, and past efforts all contribute.
Track the trend.
If you spend +20% and revenue grows +10%, MER falls. Marketing is consuming more of each revenue dollar.
Can your margins support that?
Is contribution profit still growing?
A falling MER deserves investigation.
Use it to spot when growth is getting more expensive. Then figure out what changed.
6- New vs returning
How much revenue comes from first-time buyers? How much comes from people buying again?
Track the dollars and the mix.
Rising return-customer share either means buyers love you or you stopped acquiring new ones. Maybe both.
Set expectations around what you sell.
A wallet is not a monthly supplement.
Customers do not need twelve wallets.
We created new categories so we can sell more stuff.
- Wallets
- Rings
- Power banks
- Luggage
- Chains
Drinkware coming soon.
7- Weeks on hand
You can have too much inventory and be nearly out of stock at the same time.
How?
Too much of the wrong product.
Not enough of the winner.
Examine sales velocity + inventory by SKU.
Then "weeks on hand." It shows how long stock lasts at that pace. Compare that to your replenishment time.
3 weeks of stock sounds fine. Not if your next shipment is 8 weeks away.
Before ordering more, check:
- Demand changes
- Upcoming promos
- Inventory by location
- Stock committed
- Inbound quantities
- Expected arrival dates
8- YoY OpEx
Costs going up does not mean you are getting less efficient.
But it might.
Compare:
- Orders vs fulfillment
- Revenue vs overhead
- Sales vs fees
Fulfillment costs up 30% with 40% more orders means cost per order improved.
Fulfillment up 30% with flat orders, dig in:
Heavier products?
Split shipments?
Higher carrier rates?
Farther destinations?
Same with marketplace fees. If Amazon becomes a bigger part of the business, they will try to bleed you dry.
Overhead is different.
You DO NOT NEED 30% more overhead with 30% more sales.
Hire for bottlenecks.
If you hire ahead of growth, know what capacity you are adding and get clear on why and when you need it.
9- Marketing platforms
Did a channel perform better-
Or did you just spend more?
Put spend growth beside attributed sales growth.
If spend grew faster, ROAS fell. You paid more for each dollar of attributed revenue.
If attributed sales grew faster, ROAS improved.
What changed:
- New creative?
- Different offers?
- More retargeting?
- Branded search?
How to build your scorecard
Five years ago, if you told me you could not figure out which SKUs were making money because sales, ad spend, and product costs lived in different systems, I would have sympathized.
Now you have no excuse.
You can build this in under an hour. All you need is Saras Analytics, ChatGPT, and this free playbook I put together.
It includes:
- 3-min video of me making it
- direct access to my live dashboard
- a prompt to build your own
Want it?
Hit reply and tell Aaron …
Stop making me beg in these emails. Give me the goods!
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Connor MacDonald
CMO, Ridge
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How to Win on AppLovin in Q4 (and Q5)
AppLovin is a seven-figure channel at Ridge during gifting periods.
It carried our entire Black Friday two years ago when Meta underperformed. We were forced to make a last-minute pivot and scale the channel to roughly 40% of our ad budget.
If you’re looking for another place to spend profitably this holiday season, AppLovin should be in your mix.
Their Q4 playbook breaks down what to run, what to test, and when to scale.
Five takeaways:
1️⃣ 30s+ Videos With the Offer Up Front
81% of AppLovin’s 1,000 top-spending videos run longer than 30 seconds. Show the offer in the first five seconds, then use that time to sell the product.
2️⃣ ROAS for Bundles + Multiple Prices
A ROAS goal gives higher-value orders more weight. Use it when selling bundles or products at different prices so the platform optimizes for revenue per dollar spent.
3️⃣ Raise Budget, Check Results, Repeat
Start with a daily budget of roughly 10x your existing social CPA. Increase spend in steps, checking you’re still hitting your ROAS or cost-per-purchase goal before raising again.
4️⃣ Refresh Ads for Holidays Weekly
Top advertisers upload new creative every week. Start with ads that already work: add your Black Friday offer on screen, update the opening, or swap in holiday messaging.
5️⃣ Swap for Shipping Deadlines
In December, shift from discounts to ship-by dates, then gift cards when delivery cutoffs pass. Follow with New Year offers for shoppers buying for themselves.
The full playbook includes campaign settings, creative examples, and a month-by-month plan to keep selling after Black Friday.
Amazon Playbook: 5 Things DTC Brands Must Get Right
These Numbers Should Drive Your Black Friday Budget Calls
6 Ecommerce Brands We Are Studying (You Should, Too)
The five top stories from this week in commerce and DTC.
1. DoorDash to Buy Instacart for $17B: Reuters
DoorDash agreed to acquire Instacart for approximately $17B, combining its restaurant delivery network with Instacart’s grocery business, retail technology, and advertising tools.
DoorDash plans to retain Instacart’s brand and app + combine membership benefits so customers pay one subscription fee. The companies will operate separately until the transaction closes, expected in late 2027 or the first half of 2028, subject to approvals.
2. Google Expands AI Search Ads: Google
Google is expanding ads in AI Mode to 10 additional countries, including Canada, Australia and India. In the US, it’s also introducing ads during follow-up questions within AI conversations.
Existing Search, Shopping, and Performance Max campaigns are automatically eligible, without separate campaigns or budgets. Advertisers cannot opt out of AI Mode placements independently of Search. The UK, Brazil, and Mexico are slated for expansion later this quarter.
3. Mondelēz Buys Majority of Undercover: PR Newswire
Mondelēz agreed to acquire a majority stake in Undercover Snacks, the chocolate-covered quinoa brand founded by Diana Levy in 2016 after two of her daughters were diagnosed with celiac disease.
The brand now sells in more than 25,000 retail locations; United Airlines has distributed over 175 million units since 2023. Diana and Michael Levy will retain a significant minority stake and continue leading the business.
4. Meta Rates Creative Variety: Performance Marketing News
A Creative Diversity column spotted in Meta Ads Manager this week rates ad sets High, Medium, or Low based on how similar their images and video thumbnails look.
Available through Customize Columns, the metric is intended to flag when an ad set needs more visual variety. Meta describes it as still in development and hasn’t announced a broader rollout or published the thresholds behind each rating.
5. Halloween Shoppers Buy Smaller Treats: Reuters
US Halloween chocolate sales fell $33.1M year over year in the nine weeks through October 17, according to NIQ data reported this week. Small-pack sales rose 24% in dollar terms while larger pack sizes declined.
Retailers are also seeing growth in lower-sugar candy and alternatives such as popcorn, bars, and yogurt-coated snacks. The figures cover the run-up to Halloween, rather than the final holiday total.
Why must I make you beg?
If you are reading this that means my inbox is about to get flooded with replies that say:
Stop making me beg in these emails. Give me the goods!
Tedious, if I’m being honest.
It takes me a lot of time to reply to each one and make sure “the goods” are duly received. No doubt it also takes you several thoughtful moments to copy, paste, and send that message.
I know what you’re thinking.
Why not send a link in this email and save us all the trouble?
Two reasons, dear reader:
- Deliverability
- Sean is worth it!
With thanks and anticipation,
Aaron Orendorff
🤓 Chief Executive Officer
P.S. (Disclaimer): Special thanks to Fulfil and AppLovin for sponsoring today’s newsletter.