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How to Run THC & CBD Ads on Facebook (Without Getting Banned) with Aaron Nosbisch — Transcript

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0:00What's going on everybody? Welcome to
0:02the third edition of Four Play Fireside
0:05this year.
0:06We definitely have a super interesting
0:09one today.
0:11I've known Aaron for a while now
0:13and he's like building one he's you know
0:15built an amazing agency Lucid.
0:18He's like figured out how to you know
0:19advertise a lot of the things
0:21that a lot of us think that we can't
0:23advertise on Facebook and built like a
0:25ton of just like knowledge and expertise
0:28around that which I'm excited for him to
0:29share. But on the other side he's
0:31definitely eating his own dog food
0:34with and launching Breeze
0:35which is actually like an amazing
0:37product. Unfortunately, I can't get it
0:39here in Canada but I've tried it
0:41three or four times now
0:43while I'm in the US and it's like for me
0:45like alcohol has always been something
0:47I'm like okay it's it's definitely cool
0:48like socially but I can definitely feel
0:50the impacts in my life
0:52and it's like an amazing alcohol
0:54alternative like it's not one of these
0:55things that people just like talk about
0:58and you drink it and it doesn't do
0:59anything. Yeah,
1:01pretty much what they say it does it's
1:02it's it's an amazing product and so
1:04they're scaling that company incredibly
1:06fast. I know Aaron's going to jump into
1:08it. They're super transparent with
1:09numbers and everything like that.
1:12But yeah without further ado I'm going
1:14to bring on Aaron he's going to take it
1:15away.
1:16As always if you have any questions
1:18along the way definitely leave them in
1:19the chat and we have Q&A after.
1:21So I'll be sitting through all the
1:22questions and making sure we got them
1:24all answered.
1:25And so yeah I'm going to bring on Aaron
1:26now and I'll see you guys at the end.
1:31What's up? Hey guys, good to see
1:33everyone. Zach thanks for the intro.
1:34That was sick. If you guys can hear me
1:36all right give me like a thumbs up or a
1:38yes or something in the chat. Let's make
1:40sure that this thing's rolling. I'm
1:42going to make sure that this is a cool.
1:44I see you Gary there thank you.
1:46Cool sounds like you guys can hear me
1:47great. What's up peeps? My name's Aaron
1:50Aaron Nacefish. I am the founder and CEO
1:53of Breeze which maybe you guys have
1:55heard of. If you haven't I'll let you
1:56know about it shortly. And then I'm also
1:58the founder of uh Lucid. I was the CEO
2:01there, but now I'm not. My buddy Aubin,
2:03partner Aubin, is the CEO there. And so,
2:05today I'm going to tell you guys about
2:07what you're most interested in. So, I
2:08can tell you about the journey of
2:09Breeze, if you want to hear about the
2:10journey of Breeze, I can tell you about
2:11how to advertise CBD and THC, or we can
2:13try to do all of it. But before we
2:15begin, Zach has some really cool tools
2:18in this little presentation thing for
2:21So, for example, let's see if we can
2:22start some of these polls. So, are you
2:23located in the US or Canada? Uh there
2:26should be a poll that just started. Let
2:28me see See that? Look at that. This is
2:30so cool, Zach.
2:32Cool, cool, cool. Okay, mostly US. Cool,
2:34that's super helpful. All right, let's
2:35try another one.
2:36Have you ever tried to advertise THC
2:40before? I think we just started the
2:42poll.
2:44Maybe I didn't start that.
2:46Okay, if I didn't start that one, can
2:47you start it?
2:52No.
2:54Okay, let's assume you did try to
2:56advertise it. Did you get banned when
2:58you tried to advertise it?
3:00Yes. Oh, that sucks.
3:01I'll show you how to fix that. No, I'm a
3:03pro. Hell yeah. See you pros out there.
3:05Good deal, good deal.
3:07Okay. Okay. Okay, good. Let's try one
3:09more. Stop that poll. So, one question I
3:11have for you guys today is, do you want
3:13to know more about Breeze, or do you
3:14want to know more about uh THC and CBD
3:17advertising? More about THC and CBD
3:19advertising. Okay, a little bit of both.
3:20I can do both. So, not a big deal, but
3:22I'm curious what you're most interested
3:23in.
3:25Okay. Okay. Okay.
3:28Cool. Looks like we're going to talk
3:29about THC and CBD advertising more.
3:32Okay. Let me hide that.
3:34Should be able to go away now.
3:38Cool.
3:39Okay. Hey guys.
3:41Um okay, cool. And let me see if I can
3:44share my screen. So, you can see my
3:46screen here. Is that right? Yep, great.
3:49I'm going to try one more. I'm going to
3:50share this tab instead.
3:53And I'm going to start it over here.
3:57Um
3:58okay.
4:00Uh I have to Okay, cool. You guys can
4:02see me.
4:03All right. Sweet. Sweet. Sweet. Sweet.
4:04Sweet.
4:06All right, cool. So, let's go ahead and
4:06jump in. Uh and the presentation's a
4:08little weird cuz I have to kind of put
4:10it on the side like this. So, I'm going
4:11to make it as big as I can. If you can't
4:13see it, throw it in chat. And then I'm
4:14going to pull up chat on the side so
4:15that way we can talk about it. But,
4:17first and foremost, uh what you
4:18advertise literally changes the world.
4:20Uh whether it's for the better or worse
4:22is your decision. This is one of my
4:23favorite quotes. Uh probably my favorite
4:25quote because uh I'm the one who wrote
4:26it. Uh but
4:28the general idea here is like uh like
4:30guys, we don't People don't realize how
4:32powerful of a tool meta advertising
4:34actually is. Uh you know, you We're
4:36spend spending uh very little money uh
4:38relative to the amount of attention that
4:40we're getting for these advertisements.
4:41And when we sell these products, whether
4:43it's THC, CBD, cannabis, hemp, lion's
4:46mane, or uh vitamin C, it doesn't really
4:48matter. Uh socks, you're you're changing
4:50the you're changing the world. You're
4:51changing people's lives. And it's it's
4:52it's really important that you realize
4:54uh that in this process and that you're
4:55not just carelessly using these
4:57uh weapons, these tools of uh mass power
5:00that we have been lucky enough to be
5:02born into and become experts at. So, um
5:04just be very mindful when I teach you
5:05these strategies. I'm going to give you
5:07tips and tricks on how to do things that
5:08other people can't do. And when I do so,
5:10I want to make sure that you use those
5:12effectively and wisely. So, uh I trust
5:15you're you're going to.
5:16So, uh I'm going to talk a little bit
5:18about the conscious compound revolution,
5:19cannabis, adaptogens, psychedelics, and
5:21e-com, uh and how to advertise them
5:23since I guess that's what you're most
5:24interested here. So, first off, what are
5:26conscious compounds? Um so,
5:29I always uh I think this is a funny
5:30meme. Uh getting drunk is like borrowing
5:32happiness from tomorrow. You know, no
5:34one is like drinking alcohol and like,
5:35"Oh, I'm going to feel [ __ ] awesome
5:37tomorrow." Like, it's usually the exact
5:38opposite. I'm going to feel like trash
5:40and uh and I'm going to want to and it's
5:43So, I would consider that a net negative
5:45compound.
5:46Um for
5:47inversely, I would consider conscious
5:49compounds as therapeutic compounds that
5:50lead to a net positive returns. They're
5:52generative and give more than they take
5:54such as CBD, hemp, adaptogenic
5:56mushrooms. So, I would say conscious
5:57compounds are these compounds that leave
5:59you to feeling better when you're done
6:01using them. Vitamin C is an obvious one
6:03or vitamins, but electrolytes, but also
6:06CBD, adaptogens, functional mushrooms,
6:08etc. So, the entire CPG and D2C game
6:11will be impacted by these conscious
6:13compounds over the next few years. It's
6:14already started. I'm sure you guys are
6:15seeing it. I'm sure some of you guys are
6:16in the business, but it but it's already
6:18started. You see it from brands like
6:20this. This is Aplós, which is a liquor
6:21replacement with a hemp derived liquor
6:24bottle that uses CBD. This is Recess, a
6:27very big brand. You probably see them at
6:29your local stores that use CBD, that use
6:31magnesium, that use adaptogens like
6:33L-theanine to create a unique positive
6:35relaxing effects. This is Mindbloom.
6:38Mindbloom literally ships you ketamine,
6:40which is just insane. And they use that
6:42ketamine in order to help treat
6:43depression
6:45as well as other things. So, you can see
6:46psychedelics are now becoming D2C.
6:48Smartwater's in the game, which is owned
6:50by Coca-Cola. They sell a tranquility
6:51blend that uses L-theanine and others.
6:53Pabst has a
6:54a THC beverage. Coca-Cola Life is their,
6:57you know, adaptogenic centric drink. So,
7:00you can see this is already starting to
7:01change our society. But before we get
7:04too much more into how we go about
7:05advertising this, who am I and who is
7:06Lucid? I'll tell you about who is Breeze
7:08as well in the process.
7:09I'm Aaron Nosich. I've been an
7:11entrepreneur, investor, adventurer for a
7:14very long time. My wife's a travel
7:16writer by trade, so I'm I'm on the road
7:17with her.
7:19I'm on the road with her a lot, so we
7:20travel around the world. I build cool
7:22companies from my computer, and I do and
7:24I do that. So, my two main companies is
7:26Lucid, which is the largest cannabis
7:27advertising firm in the world now. We do
7:2990% of all social media ads for cannabis
7:32brands, whether it's CBD, THC, hemp,
7:34etc. Also, a lot of adaptogens. We also
7:36do some with psychedelics like this
7:37ketamine.
7:39And then I'm also Uh, and of Breeze. And
7:41and I'm the CEO of Breaze. And so,
7:43Breaze is a
7:45um cannabis and mushrooms in a can. It's
7:47the fastest growing cannabis beverage in
7:48the world, the third largest online.
7:51And we're growing it rapidly. We're
7:52experiencing massive growth. We did 1.3
7:55million in our first uh 9 months of
7:57business. We did our 1 to 2 million in
7:59the next 45 days. Uh, we did 640 last
8:01month. We're on track probably for like
8:03750 uh this month, maybe even a little
8:05higher. So, we'll see. And so, growing
8:07very very quickly.
8:09Uh, so these are the type of clients
8:10that we advertise for. You probably know
8:11some big ones like Martha Stewart,
8:13Cheech & Chong, Lord Jones, Charlotte's
8:14Web.
8:16Uh, so okay, and that's cool, but you
8:18can't advertise CBD on Facebook. It's
8:20against meta's policy. Uh, the reality
8:22is it is possible. You simply need to
8:23understand uh the policy and how to
8:25innovate upon it. Um, so something I
8:28kind of think about this real quick.
8:29It's like a
8:30I want to teach you about principles in
8:32this call. If you understand principles
8:34rather than tactics, then you're going
8:35to understand not just how to advertise
8:37CBD and THC, but whatever you want to
8:38advertise. And that's what really
8:40matters here. It's really understanding
8:41those principles. So,
8:43the principles to uh understand uh first
8:45and foremost is there's two ways to
8:46innovate. Uh, one is you throw out all
8:48the rules. This is what most innovators
8:50do. Uh, they don't listen to the rules.
8:51They make their own rules. The other way
8:52to innovate is what politicians do. Uh,
8:55this is where they really understand the
8:56existing laws that are in place or the
8:58existing policies that are in place when
9:00it comes to an advertising platform. And
9:01then once they really understand the
9:03rules, they create new rules on top of
9:05them. Um, it's a very important uh you
9:07need to know what the current you need
9:09to know how to play soccer if you want
9:11to build a new game on top of it or if
9:12you want to change the regulations. And
9:13so, you you got to know the rules in
9:15order to build new rules.
9:16So, first off, here's some examples of
9:18some ads. Uh, so these are we've changed
9:21how we do advertising lately. I'm going
9:23to show you both how we've done it in
9:24the past and then how we're doing it
9:25right now. And I'll pull some ad
9:26libraries so you can see. But you can
9:28see this is an ad from Joy Organics. The
9:29ad literally says CBD in it uh both here
9:32and here.
9:33Uh, and talks uh Now, what's kind of
9:35interesting about this is there's no
9:36actual product promotion happening here.
9:38This is an educational ad about CBD
9:42that's leading to additional
9:43information. And I'll get into a little
9:45bit more depth there in a moment. But
9:47it's not just So, I wanted to point out
9:49though it's possible and it's
9:50profitable. We spend way more money than
9:53this at way higher ROAS's than this, but
9:55just to get an idea, this is 473,000 at
9:57a 4.6 ROAS. This is 616,000 at a 4.02
10:02from two different accounts. I mean,
10:04these numbers are kind of embarrassing
10:05these days. We've scaled six brands by
10:07659% on average in the last six months
10:11just alone, which took brands from
10:1250,000 to 600,000. So, essentially like
10:15Breeze times six.
10:17And at least in we're doing it
10:18regularly. Um
10:20Hemp derived THC sells a lot better than
10:22CBD as I can as sure you can imagine.
10:25So, so how do you get
10:27The keys. Compliance. You need a deep
10:29and clear understanding of the existing
10:30compliance regulations across the
10:32governing bodies. The primary governing
10:34body here is Meta or Google, whoever
10:36you're advertising on. And then it's the
10:37FDA and the FTC. What you need to know
10:39about the FDA is that you can't treat,
10:41cure,
10:42or
10:43fix diseases or or or things like that.
10:46So, you can't say that you're going to
10:47fix anxiety. You can't say that you're
10:49going to cure someone's depression or
10:51fix their insomnia. You can say that you
10:53can relieve someone's stress. That you
10:56can calm their nerves. That you can help
10:57them relax. That you can help them feel
10:59euphoric. These are not disease claims.
11:01These are like positive mood therapeutic
11:03suggestions. So, that's something to be
11:06mindful of. Innovation. Once you
11:08understand the rules, you have the
11:09opportunity to innovate upon them. We
11:10talked about that a moment ago. And then
11:11platform support. Each platform
11:14is a there's a supporting representative
11:16whose purpose is to help you spend more
11:17money on their platform. So, many of you
11:19guys know this. This is not marketing
11:21reps at Facebook. I'm talking more so
11:22about the actual agency reps at Facebook
11:25or
11:27agency reps at Google or reps at TikTok,
11:30wherever it might be.
11:31And these guys want you to spend more
11:34money. They're on your side. So, you
11:35want to align with this platform
11:37support. A lot of people who don't have
11:38rep support are like, "Oh, if I don't
11:39have rep support, I'm just kind of out
11:41and I don't really can't play the game."
11:42That's not true. There's There's live
11:45chat support. I'm sure many of you guys
11:47are familiar with that. If someone has
11:49the link to live chat, go ahead and drop
11:51it into the chat. I'll share it
11:54a little later, but it's
11:55business.facebook.com/help.
11:57There's a live chat there. Not every
11:59profile has it, but many profiles do.
12:01So, you want to get platform support.
12:02Remember that these companies want you
12:03to spend on the platform. Okay, so here
12:06is an example of the CBD and hemp policy
12:08at Meta.
12:10It's changed a little bit, but I want to
12:11show you a couple things in here that
12:13are that are curious. Advertisers So,
12:16this is all saying no, no, you can't
12:17advertise CBD, can't advertise CBD,
12:18can't advertise CBD. But then what this
12:20says is advertisers may promote
12:22informational articles about on CBD
12:24products. So, that's one. We can We can
12:26We can promote information about CBD
12:28products, okay? Ads that are informative
12:31of the benefits of a specific CBD or
12:33ingestible hemp product can direct to
12:35websites with additional information.
12:36Super important. So, if their ads are
12:39informative of the benefits of a
12:40specific CBD product, then you can let
12:42them to additional information. So,
12:44what's important about this is this is
12:45if we want to say CBD in the ad itself.
12:48Okay, there's a bunch of stuff saying
12:50what's not allowed. But then here's what
12:51is allowed. Sale of non-ingestible hemp.
12:55This changed recently. All hemp products
12:57are now allowed. It now That's not the
12:59same as CBD or THC products, but all
13:01hemp products are allowed now. And then
13:03news articles on CBD and hemp are
13:05allowed. So, I'm going to pull up
13:07I'm going to make this a little bit more
13:09live as we do this. But here's the
13:11current hemp policy
13:13at Meta.
13:16Should be pulling up for you now.
13:20I'll grab this link, too.
13:24So, I just threw that in chat.
13:27So, this is Okay, so we allow for CBD as
13:30related products with the following
13:31products. You must come So, then there's
13:33some new policies that say that if you
13:34get a legit script requirement that you
13:36can then advertise CBD.
13:39Uh
13:40you don't really need to worry about it.
13:41LegitScript is this third-party company
13:43that can allow you to
13:45create a certification for your company,
13:48but they only issue certifications for
13:50topical products. So, you can't really
13:51even get it for most CBD products. So,
13:53Meta's essentially trying to pass off
13:54the liability of who can advertise to
13:57LegitScript. That's not really what you
13:59really want to look at. What you do want
14:01to look at is
14:05What you do want to look at is, if I can
14:08find it,
14:20is
14:22Hm, it's not really saying it here.
14:24There's There's a few different
14:25policies. You can probably find them
14:26here, CBD and related policies. Here's
14:28the other one. I'll drop that in chat as
14:29well.
14:30These are both from Meta.
14:32Uh there's essentially a policy that was
14:34updated that says that you can sell hemp
14:36products. Uh
14:38Advertisers can run ads that promote
14:39hemp products in the following
14:40jurisdictions and must comply with
14:42applicable local laws as required or
14:45established in industry guidelines. So,
14:46Canada, Mexico, and United States. Notes
14:48that product subject to Meta's policy
14:50and prescription do not apply. For more
14:52information, so you can see the full the
14:53full policy here. But, the general idea
14:55is essentially saying that you can
14:57advertise hemp products if it uses hemp
15:01language or what we do often is not
15:03include hemp language
15:05and just not mention any CBD THC. Or,
15:07you can advertise
15:09CBD educational ads. And that's if you
15:12want to use the word CBD. So, like I
15:13showed you here, if you want to use the
15:15word CBD, it needs to be educational in
15:17nature. If you want to advertise a
15:19product, it needs to either be
15:20referenced as hemp or it needs to be
15:22referenced as uh um
15:25uh
15:25or as or not mentioning it. And so, this
15:28is kind of where we and other people
15:30have gone from like more of the
15:31compliance always really strict about
15:34making sure that we're buttoned up and
15:35make sure we're doing everything right
15:36to being more of an activist agency in
15:38the space.
15:39You know, there's there's a lot of
15:43there's a lot of
15:45there's a lot of ways to advertise fully
15:47compliant through this educational
15:48content, but you can also start
15:50exploring what the optionality is if you
15:53really understand these rules. And so,
15:54I'll show you some of those in in the
15:56ads as we go. So, what does this policy
15:58mean? You can educate information about
16:00CBD that leads to additional
16:01information.
16:02You can advertise hemp topicals. Now,
16:04this is all hemp products since I made
16:05this. So, hemp products that can that
16:07use a landing page that use either use
16:09hemp language or
16:11or no hemp language at all, but never
16:12CBD and THC. And you can advertise news
16:14and price articles that are promotional.
16:16Here's an example of the chat support.
16:18I'm going to grab this link and send
16:20this to you guys. This is
16:22Thank you.
16:23Uh yeah, we do. I'll tell you about I'll
16:26answer your question about Europe in a
16:27minute.
16:28But we can do it. So, this is the
16:30Facebook support. On this page, there's
16:31actually a live chat app. I'll come back
16:33to that in a moment, but sometimes you
16:35need that in order to appeal ads that
16:37get rejected. This QR code should also
16:39take you there. So, you can see where I
16:41wrote here, "Your ads will get rejected
16:42initially often when you're submitting
16:44CBD and THC ads, but if you're following
16:46the rules that I laid out so far, that
16:48you'll just need to submit an appeal
16:50through live chat and or through any
16:52contact that you have or the email
16:53contact that's on that page, and that
16:55will often get it overturned.
16:57So, let's get got a little bit. Here's
16:59some examples of what those ads look
17:00like. This is an ad for Charlotte's Web
17:02CBD that we ran. So, you can see see
17:04this is a what I consider an educational
17:06CBD ad. So, CBD is an easy way to keep
17:09the mind clear and throughout the day.
17:10Learn more about the benefits of
17:12introducing CBD in daily life here. How
17:14to get rid of brain fog with CBD. So,
17:16notice the key factors here. This is
17:18educational about CBD. It's not
17:20promoting any specific product. It is
17:22running from the brand. That even says
17:24Charlotte's Web CBD, but it's not
17:26actually showing the physical product.
17:28This is the landing page that that
17:29drives to. You'll see here, this is uh
17:32I'll show you these on I'll show you
17:33these in ad libraries, but this is
17:35hosted on a subdomain initially. Uh
17:37that's just an article here, how to get
17:40rid of brain fog, not promotional of
17:41product, just educating like a listicle
17:43about uh you know, the the product. And
17:45then you hit learn more, and then that
17:47learn more can go to your homepage or to
17:49your product page, uh what have you. So,
17:51I'll show you some real-time examples in
17:52ad library in a moment as well.
17:54Here's another example. This is a hemp
17:56This is topical, but it can be any hemp
17:58product. So, you'll see uh this is now
18:00showing the product and talking about
18:02benefits and we're and we're promoting
18:03the sale of it. You can either use
18:05hemp-infused topicals where you're using
18:07the language hemp, or you can just not
18:09include hemp and just call it infused
18:10topical, and then uh and then run it
18:12that way. You can see here the landing
18:14page as well. This is going directly to
18:16their product page that uses hemp
18:18language. The landing page that it lands
18:19on from this This is a very important
18:21point. The landing page that lands on
18:23from from the ad has to either use hemp
18:26language or no hemp language at all. But
18:28you can't have CBD language, can't have
18:29THC language on that landing page. The
18:31page after that can have CBD, THC, or
18:34hemp language. Um and don't worry if you
18:36don't understand that yet. I'm going to
18:37show you some real-time examples and
18:39we'll do some Q&A so you can really get
18:40that. This is another example of what's
18:42possible. This is the news uh kind of
18:45example. So, you see this ad literally
18:46says marijuana from The Motley Fool. Uh
18:49what does this map mean for marijuana?
18:50So, this is educational or news related
18:52to cannabis, which is why it's allowed.
18:54It's not driving the sale of product on
18:56at least on the first page that it goes
18:58to. And it's talking about the 2020
19:00election, the marijuana boom. So, that's
19:02also compliant cuz it's news. And then
19:04we were talking about ketamine uh moment
19:06and how you would I mean, it's like
19:07seems like it would be so crazy to
19:09advertise something like psychedelics on
19:11Facebook, but it's actually very
19:12possible. And these are actually super
19:14compliant ads. These are not, you know,
19:16gray area even.
19:17Join 90% of clients reporting
19:19improvement in anxiety symptoms after
19:20just two sessions with Mindbloom.
19:23They can say anxiety even though it's
19:25not allowed on the FDA, but ketamine is
19:26an FDA-approved substance, which is why
19:28it's a little little different here.
19:30This is an expert-guided science-backed
19:31approach to psychedelic therapy. And so
19:33you see here it's uh
19:35I'll let it start over.
19:38Mindbloom, experience your breakthrough.
19:40Essentially, psychedelic medicine is
19:42here. This is a live Facebook ad
19:45with an animation and science-backed
19:46ketamine therapy. So sometimes they put
19:48words like ketamine not here and not
19:50here, but actually in the creative,
19:51which makes it a little easier to get
19:52approved. So something to think about.
19:55Relief from anxiety backed by science.
19:57And then that's going to a landing page
19:58like this. Now, what's interesting about
19:59this landing page is it's informational
20:01and promotional, but it's not really
20:02like selling ketamine. It's more so, am
20:05I a candidate? That's the the call to
20:07action for this. So it's essentially a a
20:09form that qualifies the person for
20:12for the product. So policy at Meta is
20:14constantly evolving. And this is the
20:15current state of the game. I'm going to
20:16show you a little bit of an update, but
20:18remember what you advertise changes the
20:20world. So when you use these strategies,
20:21it's very critical that you that you do
20:23so effectively. Okay, so that was fun
20:25and we did the whole
20:27presentation thing, but this is a lot
20:30more interesting of what's possible
20:32here. So I'm going to pull up Breeze's
20:34ad account just to give you some
20:35references
20:36of what we can do here. So this is an
20:39example for Breeze.
20:41Cool.
20:42So this is Breeze. This is a THC, CBD,
20:45and cannabis product. Introducing our
20:47next-gen infused social tonic that
20:49provides an undeniably euphoric,
20:51relieving, inspiring effect you've been
20:52waiting for. So what's the key factor
20:54here? Is I am promoting the idea of what
20:57the product is and what it's doing, but
20:59I am not saying THC, CBD, or cannabis in
21:03this ad. Very, very, very critical. See,
21:05Breeze Now, creative's a little
21:07different. I'll talk about that in a
21:08minute. Infused social tonic, does
21:10anyone know what an infused product is?
21:12I mean, I do. I think a lot of people
21:14do. What about a microdose product or
21:16what about
21:17a, you know,
21:19an edible or a gummy? Like there's
21:22implications to words that are not
21:23necessarily what the words are and
21:25that's how you want to use language on
21:27advertising in order to stay compliant
21:29and get these ads live. Now, creative's
21:31a little different. Creative's is a lot
21:33easier. You'll see that this is a little
21:34low-res so it's not so obvious, but this
21:36does say THC and CBD and it does say
21:38cannabis.
21:39That's technically not allowed, but
21:41because of the angles and the creative,
21:44we've been able to get it approved. I
21:45would suggest not doing that. This goes
21:48down most of the time. If they see THC
21:50CBD, they have good AI systems that pop
21:52it up and you'll get shut down most of
21:54the time, but it is possible and
21:56especially once you warm up an account
21:57and you keep it healthy for a little
21:58bit.
21:59Okay, so now this is where you need to
22:00pay attention. This is kind of how how
22:02the game works.
22:03Breeze, here's the ad. The creative, no
22:05mention. This is promotional. I'm
22:07showing the product. So,
22:09this would be what I was calling a hemp
22:10ad. I'm not actually saying hemp, but
22:12this is a hemp product and I'm call and
22:14I'm using no hemp language, no CBD
22:16language, no THC language. I hit shop
22:19now.
22:20Now, you want to look where I'm landing.
22:22I'll share this tab instead. Okay. So,
22:25you guys can't see my domain, but I'm
22:26going to drop the link and of this page
22:28so you can check it out.
22:30try.drinkbreeze.com/fb.
22:32So, what's interesting about that is I
22:33host it on a subdomain. You don't have
22:35to host it on a subdomain, but Meta's
22:37going to scrape your page for language
22:39of THC, CBD, etc., etc. You don't want
22:43to have any language about THC CBD on
22:45that page. If you do, it can lead to a
22:48rejection or ban. So, I host my landing
22:51pages on subdomains so that way it's a
22:53much higher likelihood that there is no
22:55mention of THC CBD anywhere on that
22:57page. So, I don't know if you can see
22:58it, but if I do command find and I find
23:00type in THC or CBD, you won't find that
23:02on the page, you won't find it in the
23:03metadata, etc.
23:05Um so now, let's keep going. Microdosed
23:07next-gen social tonic. Uh what we don't
23:10say here is CBD THC. Um we're talking
23:12about the effects of the product. Why
23:14are people buying a THC product? Why are
23:16people buying a CBD product? Why are
23:17they buying these different things? Like
23:19that's what's far more interesting is is
23:22that. A euphoric, calming, and inspiring
23:23drink with an unparalleled effect.
23:26Blah blah blah, the most fun you can
23:27legally have, approachable and
23:28stackable, no hangovers or regrets.
23:31Drinking evolved. So,
23:33uh even here, it's I did mention hemp
23:35once, full spectrum hemp. You don't have
23:37to do that, but it if uh if a meta
23:38reviewer or an AI system sees that, it's
23:41uh it's compliant, so that's that's
23:42allowed. And then we put the alliance's
23:44name, we talk a little bit about that.
23:45Okay, so what you're mainly noticing
23:46here is I'm not mentioning THC. We've
23:48also photoshopped off cannabis, we've
23:49taken off THC and CBD off of the label
23:51here.
23:52Um that's that's essentially the play.
23:53But I hit So, this is the first page, so
23:55the things that really matter to Meta is
23:57your ad and your landing page. The ad
24:00and the landing page, the first click.
24:01The ad, that's the click to to the
24:03landing page. So, if I hit it again,
24:06now I'm jumping to
24:07drinkbreeze.com/products/lemon.
24:10I'm going to drop that in chat as well.
24:12Um so, you you're you're able to track
24:14conversions, all right. I'll show you
24:15how.
24:16Um so, uh so this is this is now on my
24:19main site. So, I'm not on a separate
24:21site. And so, to your first question,
24:22Laura, this is this is going from this
24:25is going from my ad to my landing page.
24:27My landing page is on a subdomain. That
24:29subdomain has a pixel installed on it.
24:31It has the same pixel that's on my main
24:33website. It's firing a page view on my
24:36landing page. And then when I click over
24:38to my PDP, this is the main PDP on my
24:40main website. If I hit this little
24:41Breeze logo, I'm brought to my main site
24:44that does say microdosed cannabis
24:45mushrooms in a can. I hit back, now I'm
24:47back on the PDP. Uh and now here you'll
24:50see I am saying THC, I am saying CBD,
24:52cuz this is my main site, my main
24:53everything. And my pixel's installed on
24:55this website. So, if someone goes in
24:57here and buys a product or add to cart,
24:58all of that is being tracked through the
25:00pixel and reported back to Meta.
25:04So, that's like the general gist of how
25:07that works. I'm going to show you once
25:09more on another ad just so you can get
25:11an idea
25:12of what's possible here.
25:15Here's another example.
25:17Uh share this tab instead. Okay. Uh
25:20"Breeze, unlock the power of natural
25:21euphoria." So, another I'm saying what's
25:23the benefit of the product? I'm using
25:25our herb and mushroom. So, you see how I
25:28use emojis here instead of saying
25:31instead of saying
25:33uh cannabis mushrooms. "Infused tonic
25:35delivers a refreshing, clear, and
25:36relieving effect within minutes." I
25:38named the flavors. I'm using emojis here
25:40rather than saying it. I photoshopped
25:42off THC and CBD for our hemp beverage.
25:44Uh and then Infused Social Tonic, I
25:46click, I'm on this landing page. When I
25:48make that click, it's tracking. It's
25:50tracking my page view on this landing
25:51page. This would go to my shop. This
25:53would go to my vault. This would go to
25:54my home page, but I'm not on that. I'm
25:56on a landing page. Okay, cool. I'm still
25:59interested. That's so cool. I'd love to
26:00buy it. Now I'm here on the product page
26:03where I can actually buy the product and
26:05track the events along the way.
26:07So, that's uh a good example of how
26:10that's done. I can just keep showing you
26:13examples, but I think it would be more
26:15beneficial to you if I answer questions
26:18and then I can show examples with those
26:20questions as we go. So,
26:22let's uh let's do that. Uh I'm going to
26:25scroll back. If you have questions, go
26:26ahead and put them into chat
26:28uh and
26:30uh
26:30uh yeah, so I just got an initial
26:32question. I'll just throw some up here
26:33as we go.
26:34So, we can do the same on TikTok ads. Uh
26:37TikTok and Google are different beasts.
26:38So, the overall summary for TikTok and
26:40Google, let's start with TikTok. TikTok
26:42uh you can't mention hemp. You can't
26:45mention uh THC, CBD, etc. They're
26:48actually more strict than Meta.
26:50Personally, what we do like don't
26:52advertise very many brands on TikTok. We
26:54have done it in the past, but it's very
26:55challenging. You shut down a lot. For
26:57Breeze, we have our infused product.
27:00This is the THC and CBD. We have a
27:01lion's mane only product as well. The
27:03lion's mane only product we put onto
27:06TikTok Shop and we send it to affiliates
27:08and then we do spark ads with that. And
27:10that's fully compliant. There's no
27:12nothing wrong. So that's how we do it.
27:13You can also We're also going to do
27:15organic content for TikTok and then
27:17we're going to be about the main product
27:18that's infused. Organic content about
27:20THC and CBD is fine. Sometimes you can
27:22boost it. So that's TikTok. Google
27:24Google requires you to use a hemp only
27:27website. So you have to have a dedicated
27:29webpage a website not webpage that's
27:32full full circle hemp. You can only use
27:34hemp language in the entire website.
27:36It doesn't work nearly as well. It works
27:37for branded but it's really hard to get
27:39it to work for
27:41non-branded and cold traffic. So that's
27:43that's generally the consensus there.
27:46Okay, so I'm just going to start picking
27:48some of these out and Gary and Zach feel
27:50free to take some of these out with me
27:52and we can
27:53we can pull them in together. But and if
27:55you guys really want to hear an answer
27:56to a question then go ahead and
27:59and like
28:01heart it or something so we can we can
28:03check it.
28:04Hey dude. Yo.
28:06Yeah, I got a few here that kind of came
28:08on earlier if you wanted to just like
28:10hop through them. So
28:12um
28:13So I don't know if this is kind of in
28:14your ball like wheelhouse or anything
28:16like that, but Sharif you know is
28:18wondering
28:19if like the activist approach would work
28:21for like vape products or anti-cigarette
28:23smoking educational content things like
28:24that. Have you ever seen that?
28:25Yeah. Does that work?
28:27Yeah, so you know Meta is most careful
28:29about vapes
28:31and smoking products. Although it all
28:33works the same. It's the same thing I
28:35showed you today. It's the same thing.
28:36Actually it works for about any product.
28:38Doesn't matter if it's
28:40sex sexual wellness product or
28:43a maybe a like a a gun holster or
28:46something like this. It works for many
28:48product categories. It's kind of the
28:49same the same path, but but yeah, you
28:52know, it's always better and safer to
28:54use it and more of these like edibles,
28:56gummies, drinks. That's always an easier
28:59bet than the vapes. Cool. But same same
29:01otherwise. Yeah, and Peter is wondering
29:03like how do you actually stay
29:04up-to-date, you know, with some like
29:07these requirements that are obviously
29:08ever changing. You don't want to be in a
29:09situation where like if something
29:11changed you didn't know and then you got
29:12an account banned or something. Do you
29:14have like a team that's
29:15just always looking or do you have a
29:17mailing list, stuff like that?
29:19Yeah, great question. So, we've been
29:21doing it a long time, guys. You know,
29:22like I had a I had a CBD brand in 2018.
29:24So, the Farm Bill came out in 2018,
29:26which is what made CBD legal. I started
29:28a CBD brand then. I tried to advertise
29:30it and I got shut down every which way,
29:31so I just kept working on it. I got the
29:33official policies from Meta, so which is
29:35I what I just put in the chat earlier
29:37and we can repost those if you'd like,
29:38but I look at those. I pay attention to
29:40those and honestly, it's just finesse it
29:42these days. Like you have the latest and
29:44greatest that there is. It's it's not
29:45changing that often, but most people run
29:48into walls and when you run into walls,
29:50it can be pretty painful. Your ad
29:51account can go down. Your business
29:52manager can go down and then you have to
29:54respin up a new business manager and
29:55have to respin up a new ad account. So,
29:57you really want to be on the safe side
29:59of this fence until your ad account is
30:01warmed up. You have some spend in there.
30:02You have a lot of approved ads. You
30:04know, and if like the other thing is
30:05like take the principles of keeping your
30:07account healthy. Like learn from the
30:09great media buyers in the space on how
30:10to keep a healthy ad account in general,
30:12whether it's CBD or THC or others wise
30:14and that's going to allow you to allow
30:17you to keep it strong. So, what does
30:18that mean? Like avoid rejected ads.
30:21Like and when you get them, solve them.
30:23So, these are like key principles in
30:24order to keep the account healthy
30:26overall.
30:27And then James wants to know like how
30:29you're using white list listing if you
30:31are at all.
30:33Is that like applicable to this? What
30:35does that look like for you guys? So,
30:36there's two ways people mean white
30:37listing. So, like some people think are
30:39we white listing accounts or like
30:41protecting accounts.
30:42There used to be special programs at
30:44Meta that you can enroll as a part of an
30:45agency that would give like a closer
30:47review to your ads, but there's never
30:48been a white listing program or
30:50paid-to-play program at Meta. I just
30:51want to be super clear about that. I
30:53think a lot of people assume that maybe
30:54we have some special, you know, side
30:57deal that no one else has, but that's
30:58not the case. We're just better at it
31:00than most are
31:01because we've done it a lot. Um, so we
31:03don't have any way of white listing an
31:05account.
31:06We just know how to not break the rules
31:08and how to follow them exceptionally
31:09well. That's one. Two, there's white
31:11listing in the more traditional media
31:12buying sense, which is like Zach Murray
31:14is a influencer. He wants to promote our
31:17products. He can share his Facebook page
31:19and his Instagram account to my ad
31:21account and then I can run ads under his
31:22account. That's totally allowed and it's
31:24the same as anything else we just went
31:26over. It can be risky for the person the
31:29influencer's page or the influencer's
31:31account. So just be careful with their
31:32pages and accounts. But, you know, if
31:34you're really following what I said and
31:35you do it right and you keep your ad
31:36account healthy, like I think we've had
31:38maybe one ad account go down in the last
31:4012 months. So it's
31:42it doesn't need to be this painful
31:43process.
31:44Sweet.
31:45Um, and in terms of like e-commerce
31:46platform, you guys on Shopify? Do you
31:48have any trouble problems with that?
31:49Breeze is on Shopify. WooCommerce and
31:51Shopify is the majority of the the
31:53industry. We have to work with
31:54third-party processors for CBD and hemp
31:56and other products like that. But,
31:58but yeah, but we do use um
32:01but we use we use Shopify. So Shopify
32:03stopped letting CBD initially when CBD
32:06came out, Shopify said no CBD. Big
32:08Commerce took a bunch of the market
32:09share and then Shopify changed their
32:10mind and allowed CBD. So they haven't
32:13had an official policy about hemp THC,
32:15but their hemp policy covers the hemp
32:17THC that's inside of Breeze, which is
32:19why we're on Shopify. So and Shopify is
32:21a a huge hack. Like Shopify you can
32:23scale much faster on Shopify than other
32:25platforms just in general. Am I right?
32:27Yeah, and then on that subdomain, is
32:28that also Shopify landing pages or Great
32:30question. We actually host that on
32:32WooCommerce.
32:33I'm sorry, rephrase that. Not
32:35WooCommerce, WordPress.
32:36And and reason is it could be on any
32:38platform. Subdomains are actually
32:39technically separate sites, they're not
32:41the same site. So, we install the pixel
32:42on both sites, but we uh but you can use
32:45any platform. We just use WordPress uh
32:47because it's simple and and easy to make
32:49a landing page quickly. Okay. And then
32:51uh from that landing page, I have
32:52another question here on whether you can
32:54redirect directly to checkout from that
32:56landing page or do you need to just go
32:58to from PDP to another product page? You
33:00can, but you're going to confuse your
33:02customers. Uh like, you know, if you run
33:03to an ad that talks about a product that
33:05doesn't say the ingredient, they run to
33:06a landing page that talks about the
33:07product that doesn't say the ingredient,
33:09then uh now you're going to go to a
33:10checkout that doesn't say the
33:11ingredient. You're going to get people
33:13who didn't really want these products
33:14submit chargebacks. Uh so, I wouldn't
33:16recommend it. Like, it's like one really
33:18critical component of this, guys, is
33:19like you got to get out of the hacker
33:20mindset. We're not trying to be hackers,
33:22we're trying to be really clean,
33:23compliant advertisers uh and do the
33:25fundamentals well. But if you're trying
33:27to hack the system, Meta is a
33:29trillion-dollar company that's working
33:31to stop hackers. We're not trying to be
33:32hackers, we're trying to be compliant
33:34advertisers that understand the
33:35fundamentals of healthy advertising.
33:37Right. And so, the And so, Nick's
33:38wondering, does does this strategy like
33:40skating just digestible CBD policy or
33:42you or you had said it had had changed?
33:45It's a great question. So, the there So,
33:47there is their policy says that you
33:48can't advertise CBD and THC, but it does
33:50say you can advertise hemp. This is kind
33:52of like a fundamental problem with hemp
33:54and CBD and THC and the whole reason
33:55Breeze has a path to exist in the first
33:57place is there's all these different
33:58words and language that kind of say the
33:59same thing. 95% of hemp products are THC
34:03and CBD. So, you can advertise hemp
34:05products, but you can't advertise CBD
34:06and THC products. So, what do we do? We
34:08advertise hemp products where we don't
34:10mention CBD and THC in the ads and the
34:11landing pages. Uh and um sometimes they
34:14do have THC's and CBD in them. Sometimes
34:16they don't. So, this is that gray area
34:18that exists in the current marketplace
34:20of Now, if you do want to say CBD in
34:22your ads, uh then you just need to make
34:24them educational and go to articles that
34:26are not promotional. And then you can't
34:27say CBD in your ads. Although, they get
34:28rejected more often. Uh you just have to
34:30go through that appeal process. Got it.
34:32And then
34:34Go ahead. Sorry, just one thing. I saw a
34:35lot of people talking about UK and
34:36Germany. So, all
34:39So, Meta actually doesn't change their
34:40policies by region. So, the policies for
34:43Meta are the same for UK, for Germany,
34:45for England, for whatever.
34:47Now, if your country prohibits it,
34:50maybe you'll run into some some
34:52challenges, but it's rare. We We've ran
34:54ads in the UK and France and Germany and
34:57Italy.
34:59You you name place. Japan, Australia.
35:01We've run ads all over there. And it's
35:03uh
35:04still it's all it's all fine.
35:06And then Ryan wants to know, so since
35:07you have multiple SKUs with Breeze, what
35:09does your ad account structure look like
35:10on Meta? Are you, you know, separating
35:12each product in different campaigns?
35:14What does that look like?
35:15Yeah, I'll show you.
35:16Uh
35:18I'll get that pulled up real quick.
35:20So,
35:21here's a cool four-play exclusive.
35:25This is our ad account. All right, for
35:28you're the first guest to show their ad
35:30account.
35:32Oh, shoot. Let's see.
35:34I just pulled up my ad account and it
35:35says restricted, but it's the wrong ad
35:37account.
35:39So, I'm glad that's not Breeze's ad
35:40account. That'd be funny. Um, okay.
35:43Let's do another question while I pull
35:44it up cuz I got to log out of my profile
35:45and log into a new one.
35:47For sure.
35:48Um
35:49What I This is like another one. So,
35:50like what interests are you targeting,
35:52you know, on Meta?
35:53Um Dude, I am like an old-school
35:56advertiser. I've been doing this [ __ ]
35:57since I was 13 years old. Not Facebook
35:59advertising. E-commerce. And so, like
36:01I'm not really a big tactic advertiser.
36:03I think that these platforms are smarter
36:04than all of us. And I think that
36:06essential advertising, like I think
36:08giving the platform as much room to
36:11figure out who your customers are and
36:13acquire them is actually the best play.
36:14And that's not what brands want to hear
36:16when you're an advertising agency, but
36:17it's true. Like So, I run like for the
36:20majority of Breeze's history, I've run a
36:22single ASC campaign with 20 months plus
36:24broad targeting and just let it rip.
36:27And it's worked exceptionally well and I
36:28focus on things that really matter like
36:31creative, which is something Zach
36:32understands well.
36:33And so I just spend a lot of time on
36:34creative and landing pages and and
36:36that's that's what I that's what I do.
36:38So broad targeting, I let it rip. I let
36:40it do the auto. So I've I've changed now
36:41we're doing a few different tests which
36:43we just like we literally rolled out a
36:44new test in the last 2 weeks to see if
36:46we can outperform it. Uh but we really
36:48haven't been able to outperform it yet.
36:51Okay, and then uh Dylan just uh popped
36:53in. So he's wondering, you know, if a
36:55UGC ad mentions CBD, is that okay?
36:58Um
36:59and you said, you know, there's more
37:00flexibility with creative.
37:02Um have you tested any of that?
37:04So that's a good question. Uh so this is
37:06kind of what I was saying earlier too is
37:08like uh you if you're going to try to
37:10break the rules, which I don't
37:11recommend, like that's only going to get
37:14you in trouble. It's going to shut down
37:15your ad account. And like if you can't
37:16sustainably advertise, it's going to be
37:18really hard to profitably advertise. So
37:20you're So the goal is not to try to
37:21break the rules. But if you're trying to
37:23see where you can bend the rules a
37:25little bit, um creative is always easier
37:27to mention things than it is in uh in
37:30ads. They you know, like the AI from any
37:32platform, whether it's Meta or others,
37:33is picking up the data on the screen. So
37:35if your ad says CBD THC, it's going to
37:38pick it up and shut it down. But if
37:39we're having a casual conversation, I'm
37:40like, oh yeah, Bree uses lion's mane and
37:42adaptogenic mushrooms and there's a
37:43little bit of THC and CBD in there. Like
37:45I'm saying it so quick and I'm saying it
37:47so fast that it's probably not getting
37:48picked up by the platform. And so you
37:50can uh end up saying things like that a
37:52little easier. But again, like here's
37:54the real strategy, guys. Try not to do
37:56that and sell your products anyway. And
37:58if you can figure that out, you'll
38:00outperform everyone because now you're
38:01not running into the walls that other
38:03people are running into, which allows
38:04you to
38:05uh allows you to Right. So like figure
38:07out the angles in which like these
38:08questions are almost like irrelevant and
38:10you can just like run as fast as you
38:11want in that direction, right?
38:13Absolutely. Like my ads are saying like,
38:14you know, uh experience euphoria. Like
38:17uh if the feeling is relief and a great
38:19alternative to alcohol. Like, you know,
38:20like promote the ideas of what the
38:22product like people aren't actually
38:23looking for THC and CBD. People are
38:25looking to feel good. People are looking
38:27to have a good night and have a good
38:28time. Sell that and then by the time
38:30they get to your PDP, they'll have the
38:31details of what what allows that to
38:33exist.
38:34Right.
38:35And then Chris wants to know, you know,
38:36when setting up, you know, your your
38:38business page, creating your business
38:39manager, do you have like a checklist
38:42of like, you know, how if you're going
38:43to start this, how do you get like
38:45started on the right foot?
38:47Is there anything crucial at that at
38:48that stage?
38:49Yeah. So, um
38:52there's not really. I like I would
38:55honestly there's some really great
38:56advertisers out there that tell you how
38:57to set up the business manager and clean
38:58it up and like so this is what I'd say
38:59here is like do the fundamentals
39:01extremely well. Like get your business
39:03manager set up, start a new ad account,
39:05warm up the ad account. There's a $50
39:06spend limit on new ad accounts for the
39:08first like
39:09I don't know a couple weeks.
39:11Your first it's like first $2,000 in
39:13spend. So, spend it. So, here's like
39:15little tacticy things. You can change
39:17the threshold of your billing so it
39:19charges you every $50 rather than every
39:20$500. This is just going to allow you to
39:23charge more frequently. It shows a
39:25better rapport with Meta. So, that way
39:26you have a a strong account. Don't use
39:29credit cards that have been banned in
39:30the past if you can avoid it. Don't use
39:31names. Don't use accounts that have been
39:33banned in the past. Like start with a
39:34very clean and fresh profiles. Like try
39:36to have a very healthy compliant
39:39authentic relationship with the
39:40platform. Don't try to break the rules.
39:42This is what everyone does. You think,
39:44"Oh, I need to advertise CBD and THC. I
39:45must break all the rules." Don't do
39:47that. Try to follow all of the rules and
39:50then just expand on what's possible.
39:51Like Mark Zuckerberg's not sitting in a
39:53corner office like, "Oh, I want to get
39:54the CBD and THC guys." He doesn't care.
39:56He probably smokes a bunch of pot. Who
39:57knows? You know, like this guy is he's
39:59it's not his goal. They're trying to
40:00keep themselves from creating too much
40:02liability for their company. So, don't
40:04create liability for their companies.
40:06Right. And then so this is on the PDP
40:08from Chris. He's wondering, you know, if
40:10you did you went to an educational
40:12article about CBD, can you have, you
40:15know, products listed for sale in that
40:17article.
40:18Um
40:19Good question. Um I would suggest like
40:22majority of what we do these days is not
40:23go to educational articles. I I'm
40:26Hi Mark.
40:27I think majority of what we do these
40:28days isn't isn't
40:30isn't going to educational articles.
40:32Majority is going to hemp landing pages.
40:33So, I would suggest like this the
40:36listicles where you do say CBD, they can
40:37be helpful for like top five reasons
40:40people use CBD and if you want to do
40:42like a secondary strategy, but no, you
40:43you you want to not have products for
40:45sale. That will get it shut down. The
40:47whole idea is you can educate and you
40:48can use CBD language if it's educational
40:51and then it can click to a CBD.
40:53I When it goes from the educational
40:55articles, I almost always go to home
40:56pages, not PDPs. PDPs usually run into
40:59issues.
41:00Um but I wouldn't even focus on that
41:01strategy so much. I would focus on the
41:03ads to the LPs that use hemp language or
41:05don't use hemp language that click over
41:07to PDPs or product pages. That's much
41:09cleaner of a flow. It's much more
41:10promotional, which is the intention
41:11anyway. You're going to get better ROAS.
41:13You're going to get lower CACs. So,
41:14that's what I would do.
41:16On ROAS and CAC, Dylan wants to know um
41:19are you finding that CPMs are, you know,
41:21abnormally high for CBD?
41:23Um what does that look like?
41:24No.
41:26Uh I I think I think we do cheaper
41:28advertising in the entire industry.
41:30Uh like uh you know, like
41:33so CBD was a tough one, right? Like CBD
41:35went up and then it went down. Like CBD
41:36was this big bubble. Everyone was
41:37interested and then everything fell
41:38apart. Like if people weren't getting a
41:41buzz. Um THC is not the case. THC is a
41:44much stickier high. People love to feel
41:46good. Uh so, if you give them a product
41:47like that, it's an it's an easier sell.
41:50Um and you know, be creative, be
41:51innovative on how you do that. Um but
41:53so, the normal CACs, for example, like
41:56in wellness, I think $50 is the average
41:57CAC in uh THC CBD. I I don't know
42:00average maybe 45, 55, something like
42:03that. Uh but we're seeing CACs from
42:05anywhere from like 25 to 70 depending on
42:08the skew. But we're usually in that like
42:10$45, $50 range. Breeze, for example,
42:13Breeze gets hacked at $45 now according
42:15to Meta.
42:16Um so, that's what I'm scaling against
42:18today.
42:19Sweet. Um and I know I know I know you
42:21mentioned like ketamine and stuff like
42:22that, but have you seen this work for
42:23adaptogenic or psilocybin brands?
42:26Um
42:26is this working for that?
42:27So, we don't do any with psilocybin. Uh
42:30not because we can't, but because uh
42:31it's illegal to do so. So, just be
42:33careful uh if you're going to advertise
42:35for products that are illegal. I don't
42:36advertise any products that are illegal.
42:37We're you know, a real company doing
42:39real stuff. And so, it's it's very So,
42:41you got to be careful uh in that regard.
42:42So, I wouldn't I wouldn't recommend it,
42:43but
42:44uh but that being said, uh if you you
42:47can do it. It works very similarly uh
42:49technologically and strategy-wise.
42:51Sweet. Um I think the only one we were
42:53going to circle back to is account
42:54structure and and how you're, you know,
42:56matching the ads
42:57yeah.
42:58I'm trying to pull up the the account,
43:00but I use my buddy my brain mentor
43:01Corbin's uh Facebook and it's logged me
43:04out. I don't have the password. So, I'm
43:05asking him his for the password now.
43:08Okay. So, as soon as I get that, I can
43:10show you the the inner workings of the
43:12account. But I think Um have you ever
43:14tried lead gen um to then just do
43:16remarketing via email SMS?
43:19Uh yeah, it's great. Uh it works great,
43:21but you know, like it's the same thing
43:23uh for like the way to think about CBD
43:25and THC advertising generally, whether
43:26it's adaptogens or these other things,
43:27like think of it as the same as if you
43:29were advertising not CBD and THC. So,
43:31it's like if you would use lead gen in
43:33your strategy, then yes, it's great. If
43:34you would If you would not use uh lead
43:37gen, then uh then don't. So, I I have
43:40used it and it can work very well. Uh
43:42SMS, you can't really do SMS in CBD and
43:44THC very well. So, it's kind of a pain
43:46in the ass. I don't really do SMS, but
43:47email lead gen can be can be an
43:49effective strategy. I find driving
43:50direct sales and collecting leads on my
43:52website is better, though.
43:54Yeah, I mean, driving to an add to cart
43:55button is always going to, you know, if
43:57you can do it, you might as well do
43:59And we pick up leads on the website, you
44:00know, so all that traffic's going to the
44:01website and there's a mystery offer. And
44:03so, we're picking up a a lot a lot
44:05there.
44:06Is there anything that you're doing
44:07right now um specifically with Breeze
44:09like from like a growth marketing
44:10perspective outside of meta that that's
44:12like working for you guys or is like you
44:14guys are you know fully focused on
44:17you know scaling with meta and and stuff
44:18like that?
44:20Um, sorry. I'm trying to get into this
44:22account so I can show you the back end
44:23of our ad account as well but
44:25um
44:27Yeah, so we we
44:29are we doing the other growth hacks to
44:30get it going? So the the strategy in CBD
44:32and THC is there's probably a lot of
44:33cannabis people here. This entire CBD
44:35industry was built on five strategies
44:37which is the affiliates, SEO,
44:39influencers and PR,
44:42social advertising and email. So what
44:44Breeze is doing well is we do good
44:46email. That's probably driving 30-ish
44:48percent of our revenue. We do good
44:49advertising. That's driving a lot of our
44:51revenue as well. We are obsessed with
44:53our customers. We try to create a really
44:55great experience through the product and
44:56we have really good customer service and
44:57we have constantly improving shipping.
45:00And then
45:02that's like the core of the business.
45:04And what happens when you do great
45:05customer service is you get really good
45:08word of mouth referrals to people. So if
45:11those of you have tried Breeze, it's an
45:13awesome product and when you try it and
45:14you like it, you share it with other
45:15people and sharing it with other people
45:17leads to more people consuming it. We
45:19also focus on subscription. So if
45:21there's a hack, that's like the best
45:22hack to do. Start your brand with
45:24subscription from beginning. It's an
45:26exponential growth thing. It happens
45:27over time. So the longer that you're
45:29doing it, the better chances you have of
45:31it really scaling. But I mean a third of
45:32our sales are subscription now which is
45:34pretty pretty insane.
45:36That's awesome.
45:37Evan just like dropped in here.
45:39You know, he's a brand that is
45:40interested in working with Lucid. What
45:42would be the best email for him to reach
45:43out to?
45:44Yeah, I mean [email protected].
45:49I'll put it in chat real quick. I did
45:51just get access to Facebook I think so.
45:55Sweet. I'll pull that up.
45:56Yeah, so Jessica@wearlucid
45:58or the contact form on the website
46:01Uh, also uh,
46:03I so I'm I'm out of the day-to-day of
46:05Lucid but I have an amazing team. We're
46:06about 45 people strong now uh, and um,
46:09my my partner Alvin is CEO and he does
46:10an incredible incredible work. And so I
46:12think that I think you guys will We're
46:14not too expensive either. We're 5K or
46:1615% of that or of advertising. So reach
46:19out to them and they'll they'll give you
46:20the deets. Takes about 14 days to get
46:21your ads live.
46:23You know, it's like about this is how
46:24you do it but we've been doing it for 6
46:26years. So it's like if if you want to
46:28have it done, call us. If you want to do
46:29it yourself, uh, you know, watch this
46:31and that's that's probably the best bet.
46:33Sweet. Um,
46:35Patty wants to know if you have a
46:36minimum ad spend you work with at the
46:37agency or is that just like the 5K
46:39threshold and then after five if you
46:41know, it's 5K or or 15% whatever is
46:43greater?
46:44Yeah, so I actually said it wrong but
46:46it's it's 5K plus 15% until 10K or 15%.
46:49So that's how our platform but it
46:50includes creative. So we're making the
46:52ad creative for you and the copy. Um, so
46:54that's uh, we don't have a minimum uh,
46:56spend threshold. I actually think that
46:58people who do is just kind of silly.
46:59Like uh, we're like
47:01we want to spend as much money as we can
47:03profitably. So if that's $100 a day then
47:05that's what we're spending. If that's
47:06$10,000 a day then that's what we're
47:07spending. And so we're our goal is to
47:10our our goal is to get you to profit as
47:11quickly as possible. These days uh, THC
47:14brands we're finding a lot of success
47:15very quickly. Uh, hemp THC it's a great
47:17product. People love it. They want it.
47:18Uh, we're I we've scaled uh, numerous
47:21between six and 10 brands in the last
47:23six months from 50,000 to 500,000 uh, in
47:25just six months which is like equivalent
47:27just very close to Breach's growth. Um,
47:29and you know, like that's like what you
47:30know, what you and me and Nick talk
47:32about and Alvin talk about a lot is like
47:33we're trying like we're trying to put
47:34our money where our mouth is. Like we're
47:35we're literally rolling out the exact
47:37strategies that we do for our clients
47:38for our own brand and it's working.
47:40Sweet. I got a question um, just when I
47:43had seen you guys even, you know, launch
47:44Breach and I'm like, okay, like shipping
47:46must be a nightmare. Um, I'm curious how
47:49did you guys approach that problem and
47:50is it obviously maybe it's still a
47:52problem but um, anything that you know,
47:54you could give whether someone's selling
47:56THC beverage or just you know, normal
47:57beverages. I know it's a it's a hard
47:59one.
48:00Great questions. Um so, the you know, we
48:03like picked the hardest things to do all
48:04at once, which is kind of crazy and
48:06silly. Like we were like, let's do THC
48:08and CBD, let's do hemp, let's do
48:10beverage, let's do DTC.
48:12Just like really challenging things, but
48:13they're also the things that we're
48:14really good at. Um so, the the short
48:16answer is like we started with the unit
48:18economics before we got into the game.
48:19So, before I even like knew what I was
48:21going to make as a product and work with
48:23Travis to really formulate that product,
48:25it was really like, okay, what does this
48:27need to cost to even make it a viable
48:29direct-to-consumer product, which is
48:30like Breeze is not the cheapest. Um it's
48:32not It might be the most expensive
48:34cannabis beverage in the in the game. Uh
48:35we also It's also the best. Uh and so,
48:38we use very high-quality ingredients,
48:39but I knew that I needed an average
48:41order value somewhere between $60 and
48:43$120 just to even make
48:45direct-to-consumer viable in the first
48:46place. So, if I was selling six-pack for
48:48$20, that's not going to create an AOV
48:51that's going to be uh 60 or 70 to 120.
48:54So, uh so, that we we started with unit
48:56economics. Can we get a structure that
48:58works? So, how does that work? We have
49:00the single, the double. So, single's
49:02lower price, the double, but then we
49:03have a bundle, so we can do the duo, so
49:05you can buy both, and then you can buy
49:06the trio, so there's another, and then
49:07we have the lion's mane only, which
49:08allows us expansive advertising
49:10opportunity uh and distribution
49:11opportunities. So, so that led us to
49:13like an $80 AOV, uh which will get
49:16increasingly higher over time. So, if
49:18I'm paying a $50 cap or $45 cap and
49:20getting a $90 AOV, then that works.
49:22Also, there's this assumption that you
49:25need to give free shipping and uh in
49:28DTC. That's [ __ ] Like, don't listen
49:30to people. Like, it's not true. You
49:32don't have to do that. People realize
49:34that heavy things cost a lot of money to
49:36ship, and they don't expect you to pay
49:38for it. Uh so, uh we just charge
49:40shipping. Uh like it's $10, uh $10 to
49:43$15 for standard shipping on all Breeze
49:45orders,
49:46um and people pay it uh very regularly.
49:48And you know, we're not trying to rob
49:50anyone. Like uh the we use very
49:51high-quality ingredients, which costs us
49:52more than other people and creates
49:53better effect than other people and and
49:55it's expensive to make D2C work. So so
49:57we're so we're doing that and then as we
49:59get bigger and have better economies of
50:00scale, our plan is to shift over the
50:02cost savings to consumers. But I also
50:04like to play in the premier side of
50:07business. I think that there's a lot
50:08more opportunity in the premier side of
50:10business. You know, there's you can do a
50:11lot more, you can serve your customers a
50:12lot better and I'm really interested.
50:14Like we're on a mission to reduce human
50:16suffering and maximize human potential.
50:17You know, Lucid makes money. Like Breeze
50:19is a really it is our effort to change
50:21the world for it in in a positive way.
50:23So we're trying to create the technical
50:24structure that would facilitate that.
50:27And dude, it's working. Like you know,
50:28last month we were like 30% net profit.
50:31That's awesome.
50:32Yeah, we say that like the race to zero
50:34ends at zero. And so like you should
50:36never even like run that race because
50:38you you know, it goes to a destination
50:39that you don't want. In terms of like
50:41scaling your business as quick as you
50:42are and then obviously you know,
50:43maintaining a company profits, James
50:45wants to know if there's like an OPEX or
50:46percentage of revenue
50:48or target contribution margin that
50:50you're kind of like backing into on all
50:51your metrics for scaling.
50:53How do you think about
50:56Great question. Great question. I did
50:58just get access to Facebook, I think.
50:59It's logging in right now.
51:02Okay, stay logged in. Continue. Cool. So
51:05I'll pull that up so I can show you it's
51:06back into the platform. But
51:09the short answer is I'm looking at so I
51:12you know, there's different ideas in the
51:14company of what it should be. I'm like
51:15very profit-centric. I think a lot of
51:17old D2C got [ __ ] because they just
51:19went and spent so much money hoping that
51:21one day they were going to make money
51:22and they never did. That's not the
51:23approach I want to play. I want to make
51:25profit so that we can grow the business
51:26healthily and strong and etc. So
51:29I'm targeting somewhere I'm targeting a
51:31below $45 blended CAC. I'm often getting
51:34a $40 or below blended CAC. I would go
51:36up to a $50 blended CAC. But about $45
51:39blended CAC is my goal. And then I'm
51:41looking at a 3.5 MER. Now I brought some
51:44really smart people to help me kind of
51:46plan out the future cuz we're growing so
51:47quickly and they have suggested because
51:51of our subscription opt-in, because of
51:53our LTV, because of like all these data
51:55points that we have, that we should be a
51:56lot more aggressive on that. And so we
51:58might become a little bit more
51:59aggressive than we are, but
52:01I wouldn't I probably wouldn't ever
52:03advertise below a 2.5 blended blended
52:06ROAS or blended MER is what they call
52:07it. So, but right now if I had to pick a
52:10target, our current targets that are set
52:12on the wall kind of thing is $45 blended
52:14and 3.5 MER.
52:16Sweet.
52:17Uh do you have the do you want to bring
52:18up the Yeah, let's do it.
52:21Can you guys see my screen?
52:22Uh yeah, here we'll bring it in.
52:26Sweet.
52:27Cool, cool. You got me?
52:30Cool, cool. Okay, so this is our ad
52:32account. So, you know, I've shared some
52:33of this stuff a little bit before, but
52:35the kind of interesting thing to see
52:36here is this is literally the majority
52:38of our spend is in this one
52:41ASC campaign. So, you can see here $45
52:44cost per purchase, that's right around
52:46that mark I told you.
52:47Uh you can see some of this data. So,
52:49like I would recommend this for most
52:51people, it's like a single ASC campaign,
52:53launch all of your creatives in it, let
52:55it figure out where to spend that money.
52:58Uh and you can kind of see it pretty
52:59evenly distributes. It does pick
53:00winners, so sometimes I turn winners off
53:02and then let it shift to other ads, but
53:05uh you know, I just let it I let it rip.
53:07Then you kind of see here's some others
53:09that we've tested. Like uh here's
53:11another top of funnel $150 CAC. Here's
53:14another uh
53:15um
53:17new ASC at $61. Here's a new bottom of
53:19funnel campaign at 45, but then my main
53:21ASC is taking all my spend is at 45. So,
53:24I mean, I
53:27there's a thousand ways you can
53:28advertise.
53:29Uh my guess is that the trillion-dollar
53:31company Meta has a better idea how to
53:32spend my money than I do. Uh and I know
53:34that that's for people who've been
53:35advertising for a while, that wasn't the
53:37case for a very long time, but I do
53:38think that's the case today. Um so, I
53:40spend the majority of my energy trying
53:42to make better creatives and ads and
53:44better copy and then let the and then
53:46let it rip. No man, I don't do I don't
53:48do caps on Etsy either. I get why people
53:49do caps on Etsy, but I'm not trying to
53:51retain clients. I'm trying to grow my
53:53business.
53:54Sweet. Uh, we're going to go to top of
53:56the funnel here. Uh, someone was
53:57wondering if you ever use like any
53:58different sort of ad platforms for top
53:59of funnel like Traffic Junky or any like
54:02display for top of funnel?
54:04I'm working on it. Uh, I'm trying to
54:05open up affiliate really quickly. Uh,
54:07we've been doing some TikTok organic
54:08videos. Um, you know, the thing is that
54:10Meta is such a strong platform on that
54:12it's really hard to compete with it. Um,
54:13so uh, but I'm looking at I'm looking at
54:16top of the funnel through I'm looking at
54:18affiliate platforms. I'm looking at SEO.
54:21I'm looking I'm working on TikTok Shop.
54:23Uh, we're working on influencers uh, and
54:26organic content creators to launch
54:28content into the into platform, but
54:30honestly like taking care of our
54:32customers has been the biggest hack.
54:34Like and this is what I'd say like, you
54:35know, Hermozi talks about it like
54:36experts always do the fundamentals. Like
54:39people look for tricks and hacks
54:41especially in the DTC community far more
54:44than they should. Like if you can just
54:45create a great product and treat your
54:46customers exceptionally well, uh, the
54:48business just grows. Uh, like the tools
54:50are already there. Like people can buy
54:52your product online. You can you know,
54:53so
54:54if I was to give some tactics and hacks,
54:56we use Upsell or not Upsell, we use
54:58Aftersell which is awesome. Uh, it
55:00increases our AOV significantly.
55:03Uh, so I would recommend that for sure.
55:05I would recommend uh,
55:07we use Stay for our subscription. We use
55:11Charge Flow for our chargebacks uh, and
55:13they're which we don't get very many in
55:14the first place, but they're great. Uh,
55:16we use Gorgeous for our customer service
55:17platform. We use uh, we just recently on
55:20board NoFraud for site speed. So I like
55:22I look for partners that can help our
55:24things move faster, but but honestly
55:27like the real focus should be on
55:28creating a great product and having
55:30great customer service and good
55:31shipping. If you can do that well, then
55:33great products they carry their own
55:35uh, inertia and momentum. For sure. And
55:37then so inside your ad account versus
55:39Shopify, are you are you seeing that
55:40your meta purchase data is like close to
55:41Shopify or
55:44Um, so I'm tracking I actually think
55:46meta always under reports. Like in the
55:49agency business, no one wants to like no
55:50one believes you when you say that, but
55:52it's true. It's always been true. Meta
55:53is always under reported. Like they're
55:55taking credit for their sales and
55:56there's
55:57maybe they take credit for some email
55:59sales or whatever as well through view
56:00through conversions, but like almost
56:02always my blended I'm always my blended
56:04CAC is always less than than my meta CAC
56:06and and yes, of course it's sales matter
56:09of place, but even new brands like it's
56:11it's I'm always getting more sales than
56:12meta's claiming. So um, I always see
56:14better performance in
56:17my uh, I think that I'm getting better
56:19performance than meta prescribes most of
56:21the time. And so I'm tracking and basing
56:23my decisions off of my blended results
56:26in Shopify. I use Lifetimely a lot. It's
56:29a good platform to just like pull in all
56:31my data together and then see what my
56:32blended costs are. I've used Whale and
56:35uh, in the past they're great.
56:36You know, there's a lot of great tools
56:37out there. They all do the same thing
56:38uh, for the most part. Some of them have
56:40cooler features than others. Triple
56:41Whale's great, but
56:42but I don't I don't have
56:44but I I'm just looking at my total spend
56:46and my total revenue and my total cost
56:48and then as we get more complex with
56:50additional channels, I will get more
56:52serious about mapping that out, but you
56:56know, like
56:57you got to focus on the things that
56:58matter. You know, there's not that much
57:00time
57:01for for these for people to run startups
57:03like this and make them successful.
57:04The things that matter are are
57:06are making sure that that performance is
57:08good, the creative is strong, and the
57:09customer service is great.
57:11Sweet. And then just how do you manage
57:13your creative specifically? Do you have
57:15a rule on like how long you let a
57:16creative run until you kill it? Do you
57:18have any rules around that? No. Uh, the
57:20beautiful thing about ASC campaigns is
57:22like it it auto spends according to the
57:24individual user. So it's not going to
57:26show Zach the same ad a bunch of times.
57:28It's going to show Zach different ads.
57:29And then if he's not buying, he's going
57:30to stop showing Zach ads. So I'm not
57:32rotating creative through a creative
57:34testing campaign very often. I'm
57:36literally just letting it run this ASC.
57:37I'm trying some new stuff to see if I
57:39can beat that beat my performance, but
57:41generally speaking, I'm just scaling an
57:42ASC campaign. Sometimes you can can amp,
57:45you know, one good creative can
57:46cannibalize all the other creatives
57:48because it wants all the spin. So,
57:50sometimes I turn off a creative in order
57:52to get it to give less less spend.
57:55But,
57:56but usually I'm wrong when I do that,
57:58dude. Like, usually the platform is like
58:01Like, Meta's not trying to keep sales
58:04from you. It's trying to help you drive
58:05more sales. Like, try to work with the
58:07platform than against it.
58:09Cool. And then I've got like one last
58:11question before we wrap it up here. I've
58:13actually been like looking at the
58:14retention numbers as whatever and like
58:16you've by far like the biggest retention
58:17numbers, so you've been like absolutely
58:18crushing it. So, thanks for like
58:20honestly like being like super
58:21transparent with everything.
58:23So, I wanted to mention, you know,
58:24obviously like Lucid is like working
58:25with other, you know, companies that
58:28might be a competitor to Grease. How do
58:30you like think about that? How do you
58:31kind of, you know, Yeah. What is your
58:33thoughts on that kind of stuff?
58:34It's my favorite question.
58:35You know, I had a client one time. He
58:37kind of joked around with me and he said
58:39he said two is a conflict, three is a
58:41specialty.
58:43And it always stuck with me. And I think
58:44it's true. Like, we understand the space
58:47better than anyone in the world does
58:48because we helped create this space. And
58:50I don't I don't mean that in a
58:51bragadocious way. I mean that in a very
58:52loving and caring way. I I want to help
58:55this category get as large and
58:56successful as it can. I think it's
58:58reducing human suffering. I think it's
58:59maximizing human potential. We're
59:01learning best practice across the
59:02industry that we're applying to the
59:04industry. But, we're very careful to
59:05keep all of our clients' data very
59:07siloed and protected. We also use a
59:09pod-based structure which Nick and Jake
59:12are a structure social very infamous
59:14for. So, we have a kind of like mini
59:15agencies inside of our agencies that
59:17only have a subset of clients. So,
59:18there's not like all the team's not
59:20working on 60 accounts at one time.
59:22Team's working on five to 10 accounts
59:25at one time per pod. So, that keeps
59:27strong data. We we don't we don't run
59:29all of these ad accounts from a Lucid
59:31Business Manager. These are ran from the
59:32client's business manager, the client's
59:34ad account, the client's pixel. They
59:36upload their audience data. We don't
59:37upload their audience data. So, we're
59:39very careful to be very
59:41but, you know, overall like we don't
59:43really believe in the idea of
59:43competition. It's a yesterday year idea.
59:45Like competition means that I'm
59:46following you and I'm trying to compete
59:48with you. If I want to really compete,
59:51don't follow. Just create your own North
59:53Star and go after it. We help brands
59:54define that North Star for themselves
59:55and achieve it and in doing so,
59:58hopefully create a product like Breeze
1:00:00or better than Breeze.
1:00:01Cool. Awesome, man. Well, again,
1:00:03appreciate all of your time. For anybody
1:00:05that hopped in halfway through live or
1:00:07sorry, the replay recording will be live
1:00:10probably by the end of the today.
1:00:12But, I just want to say yeah, thank you
1:00:13for, you know, one, your time, two,
1:00:15absolutely being like super transparent
1:00:16throughout this entire Fire Side Chat.
1:00:18So, yeah, thanks for sharing the
1:00:19community. I'll give it the floor back
1:00:21to you at the end. If there's anything
1:00:23you want to like, you know, promote or
1:00:24link to or anything like that, take it
1:00:26away.
1:00:27But, yeah, thank you.
1:00:29Dude, I'm so stoked to be here. I'm I'm
1:00:30very grateful. I think you're amazing. I
1:00:31think 4P is amazing. I think that this
1:00:33community is amazing.
1:00:35I don't have anything to hustle guys.
1:00:36Like I'm we're building a really cool
1:00:38product called Breeze. Trybreeze.com. If
1:00:40you haven't tried it, I highly recommend
1:00:41it. It's not just [ __ ] It's [ __ ]
1:00:43awesome. The product's great. It will it
1:00:45can change your life for the better.
1:00:47It's a great alternative to alcohol.
1:00:48We're at Lucid. We are lucid.com. If
1:00:50you're looking for support in your
1:00:51advertising, call us. We're happy to
1:00:52help.
1:00:53And then also, you can find me on the
1:00:54internet. I'm at @aaronjnospisch.
1:00:58n o s b i s c h. I'll just put it in the
1:00:59chat. I love you guys. I'm here for you.
1:01:01If you need anything, call me and
1:01:03appreciate you, Zach. Thanks, Garrett.
1:01:04Thanks, guys. Bye.

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