This week’s panel
7 contributorsLouis Ducruet · Josiah Roche · Jonathan Palley · Callum Gracie · Sahil Agrawal · and 2 more
Vol. 7 · Weekly editionOctober 21, 2026
The Hub for Economic Articles & Insights
Q&A
EZ
Economist ZoneJune 24, 2026
Marketing leaders face mounting pressure to balance brand-building investments with immediate performance demands, yet few have a clear framework for making these tradeoffs. This article presents seven strategic principles that help teams allocate resources between awareness and conversion without sacrificing long-term growth. Drawing on insights from industry experts, these guidelines offer practical methods for testing adjustments, measuring impact, and maintaining brand equity while pursuing measurable results.
Louis Ducruet · Josiah Roche · Jonathan Palley · Callum Gracie · Sahil Agrawal · and 2 more
Louis Ducruet — Founder and CEO, Eprezto
When results dip, I lean spend toward direct response for the recovery, but I never let brand fall to zero, and I move budget in small steps rather than swings.
The common mistake is treating it as either/or, and reacting hard. Founders under pressure either dump everything into performance ads chasing immediate sales, or keep spending on awareness they cannot measure while the dip gets worse. Both create exactly the kind of violent swing that confuses teams and customers.
My rule at Eprezto is simple. When results soften, most of the spend goes to direct response, because we are bootstrapped with no outside funding and every dollar has to point at a result. But we protect a brand floor, because, in insurance, trust is the product. Nobody hands a digital broker their car and their money based on a name they have never heard of, so brand is what keeps the performance ads cheap. The split shifts toward direct response; it does not abandon brand.
The one rule that improved results and reduced risk was moving budget into the activity that does both jobs at once, being genuinely useful at the exact moment someone is searching. Clear answers about how car insurance works, what is required, what to consider. That content captures intent like direct response and builds trust like brand, so reallocating toward it avoided the swing entirely. We stopped paying for attention and started paying for readiness to buy.
The honest part is that the temptation in a dip is a dramatic reallocation. Big swings just transfer the instability to your team and your funnel. Small, deliberate shifts let you read the effect before committing more.
My advice is to default toward direct response when results dip, never starve brand completely, move in small steps, and hunt for the spend that does both jobs at once. That is where a tight budget compounds instead of whipsawing.
Josiah Roche — Fractional CMO, JRR Marketing
A 70/30 guardrail has worked well: keep about 70% of spend in the channel mix that's still producing demand now, and protect at least 30% for brand so awareness doesn't collapse three months later. When results dip, the first move isn't to slash brand. It's to check whether the drop came from creative fatigue, tracking issues, seasonality, or a sales bottleneck, because cutting the wrong line item can hide the real problem.
One rule that reduced risk was this: only move 10 to 15% of total budget at a time, then wait one full buying cycle before moving more. I used that with a services client when lead volume fell about 18% over six weeks. Rather than pulling hard into direct response, we changed 12% from upper-funnel video into branded search, retargeting, and high-intent paid social, kept the rest of the brand spend running, and reviewed results after 30 days. Cost per lead dropped from about $118 to $89, lead quality held steady, and the team didn't have to rewrite the whole plan mid-quarter.
That rule helps because big swings create false signals. Sales sees a short spike from demand capture, marketing sees branded search stay afloat for a month or two, then pipeline thins because fewer new people entered the market. Small, scheduled reallocations are easier for teams to follow and easier to explain to customers, because the message and cadence stay consistent while the spend mix changes underneath.
Jonathan Palley — CEO, QR Codes Unlimited
This is one we'd have to drill down on to establish a clear strategy.
If we're struggling to bring in new customers and revenue from existing customers is flat, we'll generally push harder on brand marketing to generate more leads.
In good economies, we're often able to rely on growth from our clients to fuel our own growth.
Callum Gracie — Founder, Otto Media
When marketing results dip, I do not raid brand spend to rescue a bad week. I first check whether the problem is demand, offer, tracking, creative fatigue or conversion, then shift budget only when the cause is clear. The rule that reduced risk was giving every budget change a written reason, a review date and one leading metric, so the team knows it is a controlled test, not a panic swing.
Sahil Agrawal — Founder, Head of Marketing, Qubit Capital
How do you tell whether a dip is the brand work fading or the direct response just having a bad month? Most of the time you can't. So we stopped treating them as one pool you slosh money between.
The rule we settled on is that brand spend doesn't get touched for at least a quarter, whatever the weekly numbers look like. Direct response can flex week to week because that's what it's for. When results dipped we cut the weakest campaigns inside direct response and left brand alone. That stopped the whiplash where everyone panics and pulls the long-term stuff to fix a short-term number.
Teams calmed down once they knew brand was ring-fenced. There's a harder question underneath about whether brand spend even shows up in the weekly metrics. We haven't answered it. You can sort that out before the next dip forces your hand.
Mark Bietz — CMO, Halloween Costumes
When performance drops, we rebalance through message continuity first and budget changes second. Our rule is: themes do not change at the same time as budget strategy. If we increase direct response spend, the audience may narrow and the offer tighten. The core story stays consistent for a learning cycle so results are easier to read.
We rely on this because confusion is expensive and signals make it hard to judge outcomes. If media mix and message shift together, no one can tell what caused the outcome. Holding the narrative steady gives cleaner readouts and keeps execution more calm across teams. It reduces testing and protects trust because customers see the same promise as channels change.
Kevin Lourd — Founder, Distribute.you
When marketing results dip at Distribute, the natural reflex is to pull money out of brand and dump it into direct response to force pipeline. We used to do that. But cranking up outbound volume when the market isn't receptive just burns through your contact list faster and hands the sales team a bunch of unaligned leads.
To rebalance spend without causing whiplash internally, we use one specific rule: we tie our budget shifts entirely to our soft negative ratio. We run a sentiment layer over our outbound campaigns that tracks the exact ratio of polite rejections--people saying "not right now"--to positive replies.
If direct response results dip but the intent ratio stays healthy, we hold the budget steady and just tweak the copy. But if the soft negative replies suddenly spike, it means our audience is fatigued. That is our hard trigger to cap direct response spend and shift the overflow back into brand marketing. We stop hammering inboxes before we actually damage our reputation. It keeps the pipeline clean, sales doesn't get distracted by false signals, and we stop wasting money on outbound when people just aren't ready to buy.