This is a question from a business acquaintance:
I’ve been approached by a network and their TV show about featuring our line in a commercial as part of an episode. The rub is that they want a $50k “scheduling fee” from us in order to do the segment. This would be a big bet for us, about 6-9 months of marketing budget and I’m trying to figure out if it’s worth entertaining. The show will air twice nationally in the same time slot and our segment would be 5-6 minutes long featuring our products and telling a story about why people should care about the ingredients in their products (and highlighting our brand as a gold standard). They also provided me with the attached deck which breaks down their viewership. Overall, I’m trying to figure out if it’s worth it (or even potentially worth it) and you’re the only person I’ve met that’s done anything like this.
My take is that as a small company, this kind of spend must yield measurable results in sales dollars. Branding value is hard to measure, especially when you are a small company. If you were in 30K+ retail outlets and doing 30mm a year in sales, then certainly, opportunities like this might represent great branding value. So, that said, I put on my direct marketing lens to see what kind of metrics I need to at least breakeven on my $50K spend.
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