Gen-X, Millennial Homeowners Opps: Floor & Decor increased drastically increases YTD digital spend

Floor & Decor (F&D) started increasing digital spend in 2020 and has continued this year. The company has also improved its CRM database which has allowed it to improve marketing efficiency. This has helped it find new customers and retain existing ones. Per its Q4 2020 earnings report, the CRM data has allowed it to create more personalized and relevant ads, and the company believes digital channels are the best way to reach the consumers. 

According to iSpot, F&D spent around $1.6m on national TV ads YTD, a 19% decrease from $1.9m spent during the same time period of 2020. Full-year spend increased 26% from $9.1m in 2019 to $11.5m in 2020. This year, it placed ads during programming such as "Gold Rush," "Main Cabin Masters," "Airplane Repo," "Sports Center" and "Naked and Afraid." 

Per Pathmatics, F&D earned 65.7m impressions through desktop video ads (88%), desktop display ads (6%), Facebook ads (3%), mobile display ads (1%) and Instagram ads (1%). It placed the majority (95%) of these ads site direct onto sites such as youtube.com, facebook.com, nbcsandiego.com, instagram.com and yahoo.com. It placed the remainder (5%) indirectly through AppNexus and Google AdX+AdSense onto sites such as yahoo.com, politico.com, att.yahoo.com, football.fantasysports.yahoo.com and thedailybeast.com. It spent around $910.1k on digital display ads YTD, a massive increase from $163.9k spent in this channel during the same time period of 2020. Full-year spend equaled $2m in 2020, a 54% increase from $1.3m in 2019. 

Sellers-- F&D mainly targets Gen-X and millennial homeowners through national TV and digital display ads. It has been shifting dollars from TV to digital, which means it may be targeting a slightly younger audience, or digital ads provide a better ROI. It typically spend the majority of its ad budget towards the end of Q3 and into Q4. Sellers should reach out offering relevant ad space. 

Agency & martech readers-- Our researchers are working to confirm any possible agency relationships this company may have. I recommend looking for work elsewhere; there do not seem to be any signs indicating a potential review.