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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 factScenario data
Growth from one channel80% over 2 years
Channel acquisition costUp 60% in 6 months
Conversion, creative and landing pagesUnchanged
Proposed responseLarge creative refresh
What is the most likely situation, and the right response?

Choose an action, then lock it in to reveal the reasoning. This is untimed practice.

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