The Andrew Faris Podcast

Bill D'Alessandro Is Obsessed With Contribution Margin

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Bill D'Alessandro is the founder and CEO of Elements Brands, an aggregator that includes the rapidly growing Natural Dog Co. And while it's always too much to talk about "the secret" to someone's success, it's not an accident that Bill's success comes alongside his obsession with tracking & optimizing for contribution margin.

In this episode we start by defining "contribution margin," talk about why and how Bill's team ruthlessly reports on it, and how it helps you get away from the deceiving ubiquity of revenue metrics.

EPISODE HIGHLIGHTS

  • [1:39] Bill's personal background
  • [3:24] About Natural Dog Co.
  • [4:51] What do you mean by contribution margin?
  • [9:31] Contribution margin metrics
  • [9:24] Peet's climate tech funding opinion
  • [12:24] What Bill's digital marketers report on: contribution margin vs revenue
  • [13:45] How do you report contribution margin in the organization?
  • [18:40] Revenue is not how you value a business!
  • [20:40] LTV impact in the Facebook dashboard
  • [22:12] Other operational opportunities for contribution margin conversation in the business
  • [26:37] Why are you making a move to 3PL?

    • Places to follow up with Bill:

    Follow Bill on Twitter: @BillDA

    Bill’s Podcast: Acquisitions Anonymous (Apple, Spotify)
    Work with Bill: www.elementsbrands.com

    Places to follow up with me:

    Follow me on Twitter: @andrewjfaris

    Email me: [email protected]
    Work with me: www.ajfgrowth.com

    Intro Music: "Tell Me Mama" by The Devious Means

    Outro Music: "Rusty Little Scissors" by The Devious Means

    ...more
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    The Andrew Faris PodcastBy Andrew Faris
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