Dive into the essential tactics for advertising success! Understand the real journey your customers take from discovery to purchase, and the critical micro-decisions they make along the way. Learn to leverage customer reviews via chat tools for insights on trust and timing. Align your advertising strategies with actual business outcomes, measuring true profitability and long-term value. Finally, Nate emphasizes the importance of clarifying your business goals before chasing the latest marketing tactics.
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insights INSIGHT
Customers Make Hundreds Of Micro-Decisions
Customers make hundreds of micro-decisions over months or years before purchasing.
Understanding that full consideration cycle is essential to measure and design effective ads.
insights INSIGHT
External Factors Shape Consideration Timelines
External factors like seasonality, holidays, and social influence change the consideration timeline.
Identify who or what (influencers, authority, social proof) can sway those micro-decisions.
volunteer_activism ADVICE
Measure Real Revenue And True Profitability
Track revenue driven by an ad both for the featured product and for other products bought by that cohort.
Calculate 12-month LTV, subtract CAC, COGS, and marketing costs to know true profitability.
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2 Undefeated Advertising Tactics, regardless of any algorithm change, or the channel, or the year... these two tactics, when executed well & consistently, will improve the effectiveness of your advertising 100% of the time:
1. Understand your customers' REAL consideration journey. How long does it take someone from discovery to purchase? What micro decisions do they need to make along the way before they make the final purchase decision? What are the external & internal factors that are capable of affecting that decision making process? Who (other than the brand) can affect that process? Influencers? Social proof from real customers? An authority in your space? When is the right time in their lives to make this purchase?
If you don't have solid answers to those questions, then you're FORBIDDEN from listening to another marketing podcast. Don't listen to mine, don't listen to anyone else's. In fact, unfollow me on twitter until you find the right answers to those questions (HINT: you can upload all your customer reviews to Chat, ask it those questions, and it'll give you a great foundation to start with)
Then, you can start crafted better messages, offers, and campaign schedules to accelerate those customer journeys and more effectively persuade more of your target audience to buy.
2. Understand how your advertising impacts your ultimate business goals. When you advertise product X, how much revenue comes in from product X? How much revenue comes in from other products who saw an ad for product X. What does the customer journey (12-month LTV) look like for customers acquired on product X? Add up all that revenue, subtract COGS, CAC, and any other costs that went into selling it (software, content creation, etc). Is it actually creating the profit you thought?
Then you need to watch how your advertising inputs affects these outcomes. You might come up with an offer, like a big discount, that produces a higher 7-day ROAS. BUT, if the cohort of customers acquired on that offer are WORSE customers (less repeat purchases), then you might be hurting the long term health of the business.
So, those are my 2 undefeated advertising tactics:
- Understand your customers' real & complete consideration & purchase decision making process, and use that info in your marketing efforts
- Understand how your advertising inputs affect the business outcomes, and make sure that aligns with what the shareholders want to happen.
Stop talking about andromeda please
Tactical & Practical