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1,000 Hours of Studying The Most Profitable Apps in 17 Minutes — Transcript

by Superwall · 3,554 words · 521 segments · language en · Watch on YouTube

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  1. 0:00You've watched these videos of teenagers
  2. 0:02who've made hundreds of thousands of
  3. 0:03dollars through apps you've probably
  4. 0:05never even heard of and you're wondering
  5. 0:06is this even real and if so how are they
  6. 0:09even doing this? To me when I watch
  7. 0:11stuff like this I feel like oh they
  8. 0:12figured something out that I haven't and
  9. 0:14I've watched a lot of these videos too
  10. 0:16and I keep feeling this. So I spent the
  11. 0:18last two years studying exactly how they
  12. 0:21do it and I do this by going straight to
  13. 0:23the source like the kids that have made
  14. 0:2550k a month on pure commission on TikTok
  15. 0:27shop, the scrappy Discord anons running
  16. 0:30up e-com brands with the most degenerate
  17. 0:32but effective mass UGC tactics. I've sat
  18. 0:35down with founders of apps like Halo
  19. 0:37which went from zero to 300k a month in
  20. 0:3945 days, Study Fetch hitting 10 million
  21. 0:42ARR and Coco Note which does 6.7 million
  22. 0:45dollars a year. But I also run growth
  23. 0:46for apps you've probably never heard of
  24. 0:48like apps doing 1 to 5 million ARR from
  25. 0:50a single marketing channel. So in this
  26. 0:52video I'm going to break down every
  27. 0:54single thing I've learned from being
  28. 0:55behind the scenes of some of the biggest
  29. 0:57app operations and the decisions I help
  30. 1:00founders make that actually help their
  31. 1:01app become a success. And all of this
  32. 1:03starts with why most people have the
  33. 1:05basic economics of app growth completely
  34. 1:07backwards. So here's a conversation I
  35. 1:09have all the time. A founder will
  36. 1:10message me typically someone in the 1 to
  37. 1:125 million dollar ARR range and they grew
  38. 1:14their app mostly through Facebook ads
  39. 1:16and clearly the ads worked for them but
  40. 1:19when the same founders look at these
  41. 1:20teenagers blowing up on TikTok that vibe
  42. 1:23coded a random app and they're hitting
  43. 1:24these insane revenue numbers there's
  44. 1:26this FOMO like how are they doing that?
  45. 1:28And they get a little bit insecure you
  46. 1:29know like am I falling behind? My ads
  47. 1:31keep fatiguing. I'm on this treadmill of
  48. 1:34continually making new creatives and
  49. 1:36trying to scale and these kids are just
  50. 1:37like posting videos. So let me just lay
  51. 1:39out the math. Paid ads typically run at
  52. 1:4110 to 30% margin. That's the standard
  53. 1:44that I've seen which basically means
  54. 1:45that if you spend $10 you're going to
  55. 1:47make back 11, 12, maybe $13. Everyone
  56. 1:50says ads are the most scalable channel
  57. 1:52and yes they kind of are but the problem
  58. 1:54is it never stops. Your ads will get old
  59. 1:57once you've saturated the audience it
  60. 1:59gets shown to. So, you constantly need
  61. 2:01new angles. But, on the other hand,
  62. 2:03organic content runs at 50% margins.
  63. 2:07This is what I've seen from mass UGC
  64. 2:08campaigns with apps. I'm going to
  65. 2:10explain how in a bit, but let me just
  66. 2:12tell you the downside first. So, when
  67. 2:14you're running ads, you're basically
  68. 2:15buying people's attention. The
  69. 2:17distribution problem is handled
  70. 2:19automatically and you just focus on the
  71. 2:22conversion. On the other hand, organic
  72. 2:23content flips that completely. So,
  73. 2:25nobody's going to watch your video just
  74. 2:27because you posted it. You have to earn
  75. 2:29every view while also making sure that
  76. 2:31the content sells the app without making
  77. 2:33it feel like an ad. This sounds
  78. 2:35impossible, but this is exactly what the
  79. 2:38Vibe Creators are doing right now. It
  80. 2:39just takes one video to go viral and
  81. 2:42just like that you've got like 50,000
  82. 2:44downloads. I'm not making any of this
  83. 2:45up, by the way. I interviewed the
  84. 2:47founder of Halo on this channel a while
  85. 2:48[music] ago. You can check it out here.
  86. 2:50He literally took a personal loan, hired
  87. 2:52a bunch of creators, and went from zero
  88. 2:54to 300 K a month in 45 days. He got 600
  89. 2:57million views in the first 2 months and
  90. 2:59this was without any ad budget. His
  91. 3:01entire philosophy revolved around the
  92. 3:03formula that revenue equals total views
  93. 3:06multiplied by conversion rate. So, this
  94. 3:08method does work, but let me share a
  95. 3:10number that nobody really talks about.
  96. 3:12Organic content has a natural TAM of
  97. 3:14about 1 to 3 million dollars a year from
  98. 3:17just organic views on TikTok and IG
  99. 3:19Reels. So, there is sort of like a
  100. 3:21saturation point, but if you're only
  101. 3:23running ads, you're leaving a lot of
  102. 3:24money on the table. So, one of the most
  103. 3:26asked questions I get is what happens
  104. 3:28once I max out that organic ceiling and
  105. 3:30it starts to become slightly less
  106. 3:32profitable. Well, then you can use your
  107. 3:34organic viewers as fuel for your paid
  108. 3:37campaigns. So, let me explain. You can
  109. 3:38just run the viral organic videos as
  110. 3:42paid ads. They're already proven to
  111. 3:43work, so you don't need to think about
  112. 3:45more ad creative. You're going to make
  113. 3:47the creative anyway and with organic you
  114. 3:49get to double dip. You do the organic,
  115. 3:51it converts, you do ads, and it converts
  116. 3:54again. One way to do that is you just
  117. 3:55take the hooks that performs well
  118. 3:57organically, and you attach it to your
  119. 3:59normal ad creative. Another method is
  120. 4:00you just pick the creators who performs
  121. 4:02well organically, and have them record
  122. 4:04ad UGC for paid campaigns. Organic
  123. 4:07creators are better than 90% of
  124. 4:09traditional UGC ad talent because
  125. 4:11they've been trained by the algorithm.
  126. 4:12They're forced to get views, so their
  127. 4:14hooks are better. Their content doesn't
  128. 4:15feel like an ad, so it'll naturally just
  129. 4:17perform better on paid ads. So, I just
  130. 4:19told you three ways you can reuse your
  131. 4:21viral content for paid ads, and that's
  132. 4:23just off the top of my head. But,
  133. 4:25reusing content only works if your
  134. 4:27strategy is rock solid, which brings me
  135. 4:29to my next point. Which strategies work,
  136. 4:32and which fail? I've been doing this for
  137. 4:34the past 3 years, and after seeing
  138. 4:36inside hundreds of these operations,
  139. 4:38there are very specific tells I can just
  140. 4:40tell you within a week whether a
  141. 4:42strategy will blow up or just flop. I'm
  142. 4:44going to start by sharing what makes
  143. 4:46strategies flop because that's the
  144. 4:47biggest concern for most founders. If
  145. 4:49someone comes to me and and they tell me
  146. 4:50they went out and found influencers with
  147. 4:52huge followings, paid them thousands of
  148. 4:54dollars, this is the biggest telltale
  149. 4:56sign that the content will probably just
  150. 4:59not get traction. Influencer marketing
  151. 5:00does work still, but there needs to be a
  152. 5:03very strong audience fit and a lot of
  153. 5:05negotiation to make this actually
  154. 5:07profitable. Most influencers don't
  155. 5:09really have experience marketing apps,
  156. 5:11and they just have too many inbound
  157. 5:12brand deals to make their pricing work
  158. 5:14for most apps. So, it ends up being too
  159. 5:16overpriced and just not worth it. And
  160. 5:17the same thing applies to copying trends
  161. 5:20too. I've seen people hire Gen Z kids
  162. 5:22because they think they'll know recent
  163. 5:24trends, and most of these kids do know
  164. 5:25the trends, and they know how to make
  165. 5:26Tik Toks. But, that knowledge alone is
  166. 5:28not enough to create a video that
  167. 5:30actually converts. A trending Tik Tok
  168. 5:32format might get you views, but that's
  169. 5:34not your main goal. You need downloads
  170. 5:36and revenue. But, the biggest mistake I
  171. 5:37see founders make is creating videos
  172. 5:39that hard sell the product. No one on
  173. 5:41social media enjoys ads, and that's just
  174. 5:44the brutal truth. If your videos scream,
  175. 5:46"This is my product, buy it. The first
  176. 5:48thing people will do is just scroll past
  177. 5:50it and your content is basically telling
  178. 5:52the algorithm that it's not worth
  179. 5:53watching and the videos will just die.
  180. 5:55But the strategies that do work come
  181. 5:57down to three things. First is virality.
  182. 6:00Your video needs to hit the algorithm
  183. 6:02and actually get views to get
  184. 6:04recommended on the For You page on
  185. 6:06TikTok or Instagram or whatever platform
  186. 6:08you're uploading on. Second is
  187. 6:09conversion, which basically means your
  188. 6:11video needs to show the app in a way
  189. 6:13that makes the viewer download it. If
  190. 6:15you have a super viral video, but it's
  191. 6:17just getting views and not converting,
  192. 6:19it's pretty much useless content. The
  193. 6:20end goal is to get as many downloads as
  194. 6:23possible. So make sure to have a smooth
  195. 6:25CTA in the video. Either showing the
  196. 6:27actual app UI or mentioning the app as a
  197. 6:30core part of the storyline of the video.
  198. 6:33The third thing is repeatability. You
  199. 6:35need formats that keep working with
  200. 6:37small variations.
  201. 6:38>> Here's a question. What do you think
  202. 6:39might happen if there isn't enough
  203. 6:41vitamin B12 for red blood cell
  204. 6:42production?
  205. 6:43>> Honestly, I have no idea.
  206. 6:45>> Can you explain this to me in simpler
  207. 6:46terms?
  208. 6:47>> Finally, during pregnancy, the
  209. 6:49metabolism of vitamin D changes.
  210. 6:51>> Yeah, can you tell me more about how
  211. 6:53vitamin D metabolism is altered during
  212. 6:56pregnancy?
  213. 6:56>> Especially the amino acids from protein.
  214. 6:59Does that give you a clearer starting
  215. 7:00point?
  216. 7:00>> Yes, I understand this, but can we talk
  217. 7:02about why our protein needs increase
  218. 7:05with age?
  219. 7:06>> This is really important because if
  220. 7:07you're forced to come up with new ideas
  221. 7:09every single day, you're now back to the
  222. 7:11same problem as ad creative fatigue and
  223. 7:13you'll just burn out really fast and the
  224. 7:15results will be very inconsistent. Now
  225. 7:17this all sounds really simple, but most
  226. 7:19people make the mistake of hiring just
  227. 7:21one person to handle all of this stuff.
  228. 7:23The truth is you can't find an all
  229. 7:25around person who's good at creative
  230. 7:26strategy, has the talent to replicate
  231. 7:28existing formats, and can make
  232. 7:30unforgettable content. So if you're
  233. 7:31looking for someone to help you with
  234. 7:33this, there's two skill sets that you
  235. 7:35need to target and you're going to need
  236. 7:36two separate people for this unless you
  237. 7:38just find that like unicorn person.
  238. 7:40Skill number one is talent and this is
  239. 7:42the person who's actually going to be on
  240. 7:44camera. So, this person needs to know
  241. 7:45how to execute the perfect video with
  242. 7:48the right angle, lighting, pacing, tone
  243. 7:50of voice, where to put the captions, and
  244. 7:52pretty much every single thing that
  245. 7:54makes the video feel like it belongs on
  246. 7:56the For You page. Basically, a channel
  247. 7:58expert. And then secondly, you have the
  248. 7:59creative strategist. This is typically a
  249. 8:02different person because this person
  250. 8:04handles how to understand how short-form
  251. 8:06content works at a higher level and what
  252. 8:09kind of high-converting content the
  253. 8:11algorithm will push. But, there's a very
  254. 8:13important thing to note here. The
  255. 8:15creator is bringing the talent, but in
  256. 8:17the example of StudyFetch, which hit 2
  257. 8:19billion views and eight figures ARR, the
  258. 8:21CMO Kieran and his team are the
  259. 8:23strategist and the strategy is the most
  260. 8:26crucial thing in content. The three
  261. 8:28layers of creative strategy. I see
  262. 8:30creative strategy as having three
  263. 8:32layers. Layer one is copying. This means
  264. 8:35exactly what you think it means. If a
  265. 8:36video format worked for another app,
  266. 8:38it'll probably just work for yours, too.
  267. 8:40So, you find a viral video space, you
  268. 8:43recreate it for your product. This is
  269. 8:44the fastest path to results, but it
  270. 8:46saturates most quickly because
  271. 8:48eventually everyone starts copying the
  272. 8:50same formats. Okay, I think you want to
  273. 8:51hear this. For the past 2 years of my
  274. 8:52life, I've talked to 743 app founders.
  275. 8:56This is literally my calendar a lot of
  276. 8:57weeks because I want to figure out who's
  277. 8:59actually making money. And for the ones
  278. 9:01making 1 to 10 million dollars a year, I
  279. 9:03dug into their playbooks from ideation
  280. 9:05to build to marketing to figure out what
  281. 9:07actually made them successful. And like
  282. 9:09how much of that is even profit. But,
  283. 9:11what I found is the difference between
  284. 9:13apps that kind of work out versus the
  285. 9:14one that seemed to like hyper-scale
  286. 9:16effortlessly is actually more of a
  287. 9:17science than people think. And running
  288. 9:19this pod, I get a lot of similar
  289. 9:20questions around app businesses. So,
  290. 9:21after 2 years of doing this, I finally
  291. 9:23sat down, drank my energy drinks, and I
  292. 9:26just spent the last 4 days straight
  293. 9:28combining all of my private notes plus
  294. 9:30the growth systems I've personally run
  295. 9:31to add like 6 million ARR now for the
  296. 9:33founders of some of these apps. And I
  297. 9:35created a presentation. I'm going to
  298. 9:36give this presentation one time on a
  299. 9:38live Zoom call on Sunday night, October
  300. 9:4011th. It will not be recorded. I'm just
  301. 9:42giving this to people who are really
  302. 9:43serious about maximizing this run we
  303. 9:45have with consumer apps right now. It'll
  304. 9:47be fun, interactive. The past 2 years of
  305. 9:49consumer apps, and to be honest, like
  306. 9:50the past 8 years of me being internet
  307. 9:52businesses are just packed into this for
  308. 9:54you. Also, it's free, of course. Use the
  309. 9:56link in the description to register.
  310. 9:57I'll see you there, October 11th. Layer
  311. 9:59two is iteration. You take something
  312. 10:01that already worked, maybe one of your
  313. 10:02own videos, maybe a competitor, and you
  314. 10:04isolate one single variable. This could
  315. 10:06be the hook, the caption copy, or the
  316. 10:09entire script. You tweak that single
  317. 10:11variable and see if the video still
  318. 10:13works. But, this brings me to the third
  319. 10:15layer, which is referential concepting.
  320. 10:17This is an idea popularized by Nick
  321. 10:20Kendler, who was the head of growth at
  322. 10:22Calm, the meditation app. They
  323. 10:23hyper-scaled on Facebook ads, but the
  324. 10:25idea of referential concepting also
  325. 10:27applies to organic. So, let's say you
  326. 10:29came across a video with 5 million views
  327. 10:31in the fintech niche, and you think,
  328. 10:33okay, this concept would really crush in
  329. 10:35the dating niche. Now, you're not just
  330. 10:37taking one variable from the video that
  331. 10:39worked. You're taking the entire
  332. 10:41creative idea, and you're applying it to
  333. 10:43your niche. This is actually the best
  334. 10:45strategy because it almost guarantees
  335. 10:47that you're the first one in your niche
  336. 10:49to make this format. I'm not going to
  337. 10:51lie, it is risky because it might just
  338. 10:53not work at all, but it is also how you
  339. 10:55become the market leader. Instead of
  340. 10:57copying or just iterating, you're
  341. 10:59creating the trends that everyone else
  342. 11:01ends up copying from you. For example,
  343. 11:03Pingo did this with their content. It's
  344. 11:05a language learning app, so we all know
  345. 11:07Duolingo owns this niche, but Pingo saw
  346. 11:09that reaction content was blowing up on
  347. 11:12TikTok, so they had creators try to
  348. 11:13speak different languages, like Spanish
  349. 11:15or French, on camera, mispronounce
  350. 11:17words, and Pingo's AI would roast them
  351. 11:19in real time. They basically made the
  352. 11:21app demo itself a funny, memorable
  353. 11:23thing. This strategy got them to
  354. 11:25$500,000 a month and over a billion
  355. 11:28views. But, don't get me wrong, you
  356. 11:29don't have to just choose one layer and
  357. 11:31stick to it. You can run all three
  358. 11:33together and see which one works best
  359. 11:35for your app. And you can start with the
  360. 11:36level one and two and work your way up
  361. 11:39to level three as you get more
  362. 11:40comfortable with content. However, don't
  363. 11:42just hire the first agency you hear of
  364. 11:44and just run all this organic stuff for
  365. 11:46you. I've talked to pretty much every
  366. 11:48agency, freelancer, and in-house
  367. 11:51operation in the space and I really
  368. 11:52believe you should know what you're
  369. 11:54getting yourself into first. An app
  370. 11:56founder told me recently they wasted
  371. 11:58$30,000 a month on a agency that seemed
  372. 12:01to have good case studies, but just
  373. 12:02didn't really align incentives with the
  374. 12:04team and ended up flopping. Honestly,
  375. 12:05this happens all the time because most
  376. 12:07people don't understand what roles they
  377. 12:10actually need for organic growth.
  378. 12:11Basically, what any agency or in-house
  379. 12:14operation will look like at its best.
  380. 12:16There are three people you need on your
  381. 12:18team and these are pretty much
  382. 12:19non-negotiable. Number one, head of
  383. 12:21social growth. This is your Gen Z brain
  384. 12:24rot expert. And what that actually means
  385. 12:26is someone who watches viral content all
  386. 12:28day and has developed an inherent sense
  387. 12:30for which principles from those videos
  388. 12:32can be applied for your app. These guys
  389. 12:34are crazy good at identifying what's
  390. 12:37blowing up. Number two, the creator
  391. 12:38manager/coach role. Your creator manager
  392. 12:41is the person who gives feedback to
  393. 12:43every creative you have on the team.
  394. 12:45Their entire role is to make micro
  395. 12:47adjustments to hooks, storylines, CTAs,
  396. 12:50and visuals to improve content. This is
  397. 12:52really important because if you have a
  398. 12:53manager who just approves content
  399. 12:55without going through it and
  400. 12:56scrutinizing it, TikTok will just feel
  401. 12:58like a lottery to you and you're just
  402. 13:00hoping something will hit without
  403. 13:01actually iterating on your content. The
  404. 13:03last person is the talent scout. This is
  405. 13:05someone who can do outreach to thousands
  406. 13:08of creators and build efficient
  407. 13:10recruiting pipelines. When you think
  408. 13:11about it, this outbound, extreme volume
  409. 13:14mindset, and systems mindset has almost
  410. 13:17zero skill overlap between that and the
  411. 13:19creative roles, which is why it's so
  412. 13:21hard to find that magical unicorn who
  413. 13:23will just do everything for you. The
  414. 13:25worst thing you can do is be lazy about
  415. 13:27this and just look for the all around
  416. 13:28person. There are none of these people
  417. 13:30except for founders that just do it
  418. 13:32themselves, right? So, hire the right
  419. 13:34person for the right role. Outside of my
  420. 13:37Superwall interviews that I do and all
  421. 13:38these chats with founders, most of my
  422. 13:40time is spent just digging through
  423. 13:42discords and Twitter DMs and Telegram
  424. 13:45chats just finding these young
  425. 13:47freelancer type people that have one or
  426. 13:50two really good case studies, but they
  427. 13:51haven't been snatched up in-house or
  428. 13:54started some like bloated agency yet.
  429. 13:56This is literally the playbook a lot of
  430. 13:58founders I know have followed. This AI
  431. 14:00writing tool scaled to 750k a month, a
  432. 14:03fitness app grew to $600,000 a year, and
  433. 14:06dozens of others all by following the
  434. 14:08same stuff I explained and creating mass
  435. 14:10UGC content. So, the stuff works
  436. 14:12clearly, but the biggest problem every
  437. 14:14founder runs into is where do I start?
  438. 14:17Cuz if you're at $0 a month, you
  439. 14:19shouldn't be hiring an agency. You
  440. 14:20should probably be starting scrappier
  441. 14:21first, so you're the one driving the
  442. 14:23strategy in the long term. But, if
  443. 14:25you're already at 50-100k a month and
  444. 14:27you're still trying to do everything
  445. 14:28yourself, maybe you do want an agency or
  446. 14:30maybe at least get help setting it up
  447. 14:32in-house. And the strategy that works
  448. 14:34for a looks maxing app might have
  449. 14:36nothing in common for what works for a
  450. 14:38study tool. It depends on the niche, how
  451. 14:40much trust is required for a user to
  452. 14:41download, and how it monetizes. These
  453. 14:43all require different content and
  454. 14:45different strategies. So, what I've
  455. 14:46learned from talking to hundreds of app
  456. 14:48founders is if there's one overarching
  457. 14:51thing that separates the people who grow
  458. 14:52slowly and stagnate versus the ones who
  459. 14:55see the we have with consumer apps that
  460. 14:58AI and these growth strategies are
  461. 14:59giving us right now and go parabolic
  462. 15:02with their app and honestly their entire
  463. 15:04entrepreneurship career, that one thing
  464. 15:06is maximizing their alpha seeking. What
  465. 15:09I mean by this is founders who actually
  466. 15:11talk to other founders who made all the
  467. 15:13mistakes, cracked the strategy for their
  468. 15:15own app, and then not just hearing them
  469. 15:17tell their story, but actually getting
  470. 15:20the experts take on their app. How they
  471. 15:22would apply the same strategies,
  472. 15:24identify blind spots, and high-leverage
  473. 15:27personalized insights that can change
  474. 15:29the trajectory of their growth. So,
  475. 15:31that's why I've been building Consumer
  476. 15:32Club for the past 2 years. I've met over
  477. 15:34a thousand app founders, and I just
  478. 15:36collect the ones who are not only
  479. 15:38successful, like doing 1 to 10 million
  480. 15:40ARR, but who are also super willing to
  481. 15:43share what they've learned and coach
  482. 15:45other founders along the entire journey,
  483. 15:47as long as it's in a trusting
  484. 15:48environment with a good amount of
  485. 15:49buy-in. I've met dozens of founders now
  486. 15:51who have grown from complete zero to
  487. 15:53100K month and 100K month to 3 to 10
  488. 15:56million dollars a year after finding
  489. 15:59high-signal and high-trust conversations
  490. 16:02with other founders and experts inside
  491. 16:04Consumer Club who have complementary
  492. 16:06alpha and skills, like organic growth,
  493. 16:08ads growth, monetization, paywalls,
  494. 16:10product and engineering, company
  495. 16:12building. The Consumer Club membership
  496. 16:13is very expensive, but honestly, I'm
  497. 16:15just one person. I spend most of my time
  498. 16:18continuously hunting for the best app
  499. 16:20and growth people, which I introduce to
  500. 16:22Consumer Club members to learn from, to
  501. 16:24hire, to meet as co-founders. So, even
  502. 16:26though I love to, I can't just have
  503. 16:28everyone join. But, if you want to lock
  504. 16:29in and maximize this run we have with
  505. 16:31consumer apps, there is a link below. As
  506. 16:33soon as you join, we'll just do an
  507. 16:34onboarding call, where I will personally
  508. 16:36get to know you and your app and [music]
  509. 16:37introduce you to the playbooks you can
  510. 16:39apply to grow your app, plus
  511. 16:41introductions to founders, hires,
  512. 16:43everything you need that will be a lever
  513. 16:45for your app. Even if you decide not to
  514. 16:47join, we do have a huge backlog of
  515. 16:49interviews with founders who share their
  516. 16:50whole playbooks on this channel. So, if
  517. 16:52you follow any one of those three
  518. 16:55strategy layers I mentioned, start
  519. 16:56creating organic content, let me know
  520. 16:58how it works out. Thanks for watching.
  521. 16:59I'll see you in the next video.

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