Rising CAC and Channel Saturation
A short direct-to-consumer brand decision problem. Use the supplied facts, commit to one action, then check your reasoning. Fictional practice; no leaderboard score is recorded.
Direct-to-consumer brand · channel saturation
One channel drove 80% of your growth for two years. Cost per acquisition there has risen 60% in six months while conversion, creative and landing pages are unchanged. Your team proposes a large creative refresh to bring costs back down.
| Given fact | Scenario data |
|---|---|
| Growth from one channel | 80% over 2 years |
| Channel acquisition cost | Up 60% in 6 months |
| Conversion, creative and landing pages | Unchanged |
| Proposed response | Large creative refresh |