Article · ~10 min read
Prospecting and Retargeting Campaigns
Demand Curve Free Beginner
This is the cleanest answer to the exact question of how to divide cold and warm budgets when you are just starting. It gives you a concrete number to start with (roughly 80% cold prospecting, 20% retargeting) and a simple rule for when to shift it, instead of vague theory. Demand Curve teaches growth to early founders, so the framing assumes you are working with a small budget and no in-house media buyer.
- Start around 80% prospecting and 20% retargeting, then move toward 70/30 only if retargeting cost per acquisition is clearly lower after about 30 days.
- Retargeting looks great on paper because it converts warm people cheaply, but it cannot grow you: every new customer still has to enter through cold prospecting first.
- Size your retargeting budget to how much prospecting traffic you are actually driving, not as a fixed slice of total spend.