Summary List Placement
Before he hit the headlines over his friendship with former President Donald Trump and his support for voter-fraud conspiracy theories, MyPillow CEO Mike Lindell was perhaps best known for the dozens of late-night infomercials he appeared in.
The company relies heavily on these infomercials, many starring Lindell himself, to spread awareness of the brand and drive sales.
It doesn’t plan on stopping the adverts any time soon, Lindell told Insider in a phone interview Thursday.
But over the last few months, MyPillow’s products have been pulled by at least 22 retailers, including Sam’s Club, Kohl’s, and Bed Bath & Beyond. Lindell previously told Insider’s Jacob Shamsian he expected this to cost the company around $65 million in lost revenue this year.
Read more: The MyPillow guy says God helped him beat a crack addiction to build a multimillion-dollar empire. Now his religious devotion to Trump threatens to bring it all crashing down.
As a result, MyPillow may need to rely more on direct-to-consumer (DTC) sales.
Analysts told Insider infomercials have worked well for the brand in the past — but it may need to knuckle down on social-media advertising if it wants to attract new customers.
Infomercials helped MyPillow to grow
“By using infomercials, MyPillow went from a tiny business into the massive company that it is today,” Iliya Rybchin, a partner at Elixirr Consulting, told Insider.
Lindell previously told Insider’s Kate Taylor that he run ads on more than 5,000 channels and 500 radio stations that span the political spectrum and that the company reaches “everyone.”
Lindell told Insider that MyPillow uses its promo codes to track adverts and that “we view every single spot as our only spot.”
Lindel said: “Let’s say it’s 4 in the morning and it’s an ad on CNN, if that spot costs $1,000, if it doesn’t break even or make money we never run it again.”
The company has also ramped up its advertising in radio and podcasts because these channels are “booming right now,” he added.
In court filings, the company has said it spends an average of $5 million a month on advertising, per The New York Times.
The publication reported that Lindell spent 59% of its total television spending in 2020 with Fox News, citing data from MediaRadar.
Because MyPillow has always focused on direct consumer advertising, the shift from retailers to DTC sales won’t be hard for the …read more
Source:: Business Insider