2. Visualize Insights: Marginal Return

Is your client stuck in the “more is better” mindset? 

Consultants constantly advise clients on where to invest their resources best. 

But sometimes, additional investments aren’t the key to driving better results. 

Find the tipping point to avoid wasting resources using the marginal return framework. 

It helps you visualize the point of diminishing returns – where the extra effort no longer delivers meaningful gains. 

The marginal return framework is especially useful for prioritizing growth investments, optimizing pricing and services, and streamlining operations. 

Picture a fractional CMO working with a SaaS company.  

The client kept increasing the ad budget every year and expecting growth, but new sign-ups still stalled. 

Using the marginal return framework, the fractional CMO showed them that the extra ad spend wasn’t driving enough new customers to justify the cost. 

Instead, they shifted the ad funds to referral programs and content marketing, which delivered better results for less money. 

The result? Customer acquisition costs dropped 20% and organic sign-ups grew by 35%. 

The marginal return framework helped the client see when the spending wasn’t worth it – and where to invest instead. 

Save time and download our template here:

Step 2 - Marginal Return.pptx