Bridger Pennington explains why a 4-10x return on ad spend means you're not spending enough. Companies making millions annually are likely leaving money on the table by under-investing in growth, R&D, and acquisitions.
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So, a mentor told me this and it changed my life. He said, if you're getting a 4 to 5x on your ad spend and/or your business, he goes, you're actually not spending enough money. And I thought about that for a long time. So, because we run ads, we do social media stuff, as you know, sometimes we get a 4, 5, 7, 10x ROAS, return on ad spend, on our ads. And he said, Bridger, you're not spending enough if that's the case. And I took that same concept and translated to business as well. And I thought about this for a long time. If you're producing millions of dollars to yourself every year out of your business, you're actually probably not spending enough on R&D and growth and acquisitions in your company.