YouTube2Text

Meta Ads Creative Strategy in 2026: The Full System — Transcript

by Blue Sense Digital · 30,855 words · 4,465 segments · language en · Watch on YouTube

Full transcript

  1. 0:00In 2026 and 2027, creative is the lever
  2. 0:03that sits within Meta ads. Media buying
  3. 0:05fundamentally is not your advantage
  4. 0:07right now. You need to become incredibly
  5. 0:09good at creative strategy, at creative
  6. 0:11design, production, then moving that
  7. 0:13into the ad account, and analyzing the
  8. 0:14creative to create this flywheel effect.
  9. 0:16By the end of this video, you'll know
  10. 0:18everything you need to know about
  11. 0:20creative for 2026. We're going to be
  12. 0:22running through why creative is the
  13. 0:24growth lever, how Meta's algorithm
  14. 0:26actually works in 2026, concept
  15. 0:28architecture, hook strategies that
  16. 0:30actually scale, all the formats you can
  17. 0:32use and test, a testing framework to
  18. 0:34take that creative and actually put it
  19. 0:36into the account to get statistically
  20. 0:38relevant results. We're then going to
  21. 0:39move into creative volume, creative
  22. 0:41diversity, and a financial model that
  23. 0:43ties it all together. We're going to
  24. 0:44talk about fatigue, scaling winners,
  25. 0:46portfolio management, creative
  26. 0:48production, so what do the teams, the
  27. 0:50briefing, and the process look like? And
  28. 0:51then lastly, we'll tie all of it
  29. 0:53together and package it into the 2026
  30. 0:56playbook. So with that being said,
  31. 0:57diving into section number one, we have
  32. 1:00why creative is the growth lever. I've
  33. 1:02been media buying on Facebook since
  34. 1:032018. So I've been about eight coming up
  35. 1:06on nine years in the Meta Ads Manager.
  36. 1:09And I remember back in 2018, 2019, 2020,
  37. 1:11there was so much leverage in media
  38. 1:13buying. You actually didn't need to be
  39. 1:15very good at creative, and as long as
  40. 1:17you had a massive edge on media buying,
  41. 1:19you could beat a lot of people. And the
  42. 1:20reason for that is that there was a
  43. 1:22massive skill gap. In fact, I would
  44. 1:24argue that any arbitrage opportunity
  45. 1:26that exists within a market is a product
  46. 1:29of the skill gap that exists at that
  47. 1:30point in time. So, back then, the
  48. 1:33difference between someone that just
  49. 1:34goes and opens up the ad manager and
  50. 1:36someone that is a super advanced media
  51. 1:38buyer that spends 12 hours a day doing
  52. 1:40this and that's three years in, there
  53. 1:42was such an enormous difference that
  54. 1:44that difference allows for arbitrage and
  55. 1:46allowed for the opportunity. Now, over
  56. 1:49time, Meta has slowly compressed media
  57. 1:52buying. The targeting is now fully
  58. 1:54automated. I would recommend 99% of
  59. 1:56people are just running broad only, so
  60. 1:57there's no skill within interest
  61. 1:59targeting. Andromeda now optimizes for
  62. 2:01the distribution of the creative.
  63. 2:03Consolidation is always favored across
  64. 2:05all of these digital platforms now
  65. 2:07because conversion data consolidates,
  66. 2:08which allows for better machine learning
  67. 2:10modeling. And all of the media buying
  68. 2:11hacks that used to exist, like
  69. 2:13duplicating ad sets or using bidding
  70. 2:16models in a certain way, none of them
  71. 2:18really work that well anymore. None of
  72. 2:20them really give you a big arbitrage.
  73. 2:21And so because of that, this arbitrage
  74. 2:23opportunity has compressed. And instead,
  75. 2:26where the big arbitrage opportunity
  76. 2:28exists right now, is in creative. And it
  77. 2:30is because most people, fortunately for
  78. 2:33you, are terrible at creative. And so
  79. 2:36because of that, there is this huge
  80. 2:37opportunity that if you simply become
  81. 2:39good at creative strategy, at
  82. 2:41understanding what a good ad looks like,
  83. 2:44and then being able to build a system
  84. 2:45that can churn out a ton of high-quality
  85. 2:48ads, this is where you now make all the
  86. 2:50money on that. And by the end of this
  87. 2:51video, you should unlock
  88. 2:54this opportunity. So, the first thing I
  89. 2:55want you thinking through here is the
  90. 2:57portfolio model. So, let's say that you
  91. 3:00have $1,000 a day in ad spend, and there
  92. 3:03is two different scenarios here.
  93. 3:05Scenario one is you have one single
  94. 3:07creative that's holding that entire
  95. 3:09$1,000 per day, and you're at a 4x ROAS.
  96. 3:13And then you have another
  97. 3:16pathway that you could choose. You've
  98. 3:18got three ads holding $1,000 a day
  99. 3:20together, and this is also at a 4x ROAS
  100. 3:23blended across these three creatives.
  101. 3:25Now, I would rather be in this situation
  102. 3:28every single day of the week. And the
  103. 3:30reason being is that this situation
  104. 3:32decreases risk enormously within the
  105. 3:35business, because any of these three
  106. 3:37creative can fatigue, and the other ones
  107. 3:40will pick up the slack, and you can
  108. 3:41continue operating at this efficiency,
  109. 3:43at this ad spend.
  110. 3:44>> [snorts]
  111. 3:44>> But over here, if this creative
  112. 3:46fatigues, you're done. And I say this
  113. 3:49out of PTSD, working with probably eight
  114. 3:52to 10 clients now over the course of the
  115. 3:54last six years who have come to us 40%
  116. 3:57down year-on-year in new customer
  117. 3:59acquisition. Their business is in a
  118. 4:00terrible spot and they're going, "Our
  119. 4:03business is declining. It's because we
  120. 4:05built this eight-figure business off
  121. 4:07three creatives that held a million
  122. 4:09dollars in ad spend and now these three
  123. 4:11creatives are all fatiguing and we're
  124. 4:13trying to spin up variants and it's kind
  125. 4:14of keeping us at some reasonable level,
  126. 4:16but we just can't get back to the level
  127. 4:18and we keep declining." And my response
  128. 4:20these days is, "It's too late. We're not
  129. 4:23taking on that account because you
  130. 4:24should have fixed that six to eight
  131. 4:26months ago." What people will do is they
  132. 4:28will get one or two winning ads that can
  133. 4:31hold a tremendous amount of ad spend.
  134. 4:33And then what they do is they just stop
  135. 4:34making more ads and they go, "Like, why
  136. 4:36would we spend money on creative
  137. 4:37production? That's useless. Let's just
  138. 4:39double down and put all our ad spend
  139. 4:40here and then focus on other areas of
  140. 4:42the business." Yeah, amazing until these
  141. 4:44creatives fatigue. And the only reality
  142. 4:46of creatives in Meta ads is that every
  143. 4:49single creative will fatigue. Every
  144. 4:50single creative has a maximum spend
  145. 4:52threshold that it will reach. And so you
  146. 4:55want to be constantly thinking through
  147. 4:56creative production ad account
  148. 4:58management and creative through the lens
  149. 5:00of this portfolio model, which is that
  150. 5:02we want to get as many ads as possible
  151. 5:04holding as much spend as possible. We do
  152. 5:06not want to over leverage into one or
  153. 5:08two ads because this is ultimately what
  154. 5:10ends up destroying a lot of businesses.
  155. 5:12Let me give you three common mistakes
  156. 5:13that most teams are making when it comes
  157. 5:15to creative. Number one is a lot of
  158. 5:17people confuse activity for strategy.
  159. 5:19I'll give you an example of this, which
  160. 5:20is recently in the last few months I've
  161. 5:22seen two ad accounts that are launching
  162. 5:242,000 plus new ads a month and they're
  163. 5:27barely able to crack quarter million
  164. 5:29dollars in ad spend per month. Now, for
  165. 5:30those that work on large ad accounts,
  166. 5:32you would know that that is insane. You
  167. 5:35do not need two to 3,000 new ads a month
  168. 5:38on a quarter million dollar budget.
  169. 5:40That's so much volume. And they weren't
  170. 5:42profitable. And so you're looking at the
  171. 5:43fact that they're launching so much
  172. 5:45volume, they're not profitable, They're
  173. 5:47doing so much activity, but there's
  174. 5:50clearly a gap in strategy.
  175. 5:52Because if you were putting 2,000 great
  176. 5:55creative into the account with a good
  177. 5:56offer, with a good persona, with a good
  178. 5:58angle, then you shouldn't need anywhere
  179. 6:00near 2,000 ads a month. And so yes, I
  180. 6:02think volume's good. I think you should
  181. 6:03be launching as many ads as humanly
  182. 6:05possible, but with a standard of quality
  183. 6:09and with a strategy behind the creative
  184. 6:11that's actually going into the account.
  185. 6:12So do not mistake activity for strategy.
  186. 6:15This is really common right now because
  187. 6:17people think they can just launch more
  188. 6:18ads and their brand will scale. In fact,
  189. 6:20I hear this all the time, which is
  190. 6:21people are like, "Okay, I need to double
  191. 6:23my business. Do I just launch 40 more
  192. 6:24ads a month?"
  193. 6:25I was like, "If it's that simple,
  194. 6:26everyone would do it. There's a little
  195. 6:28bit more to just increasing activity."
  196. 6:30The second one is misdiagnosing
  197. 6:32bottlenecks. So with in creative, there
  198. 6:35is a ton of different bottlenecks that
  199. 6:37exist that could be holding you back. It
  200. 6:39could be the quality of the creative. It
  201. 6:41could be the format diversification. It
  202. 6:43could be the quantity that's sitting at
  203. 6:45the different stages of awareness or the
  204. 6:47stages of the funnel. So you have
  205. 6:48nowhere near enough top of funnel assets
  206. 6:50to produce the scale that you actually
  207. 6:52want.
  208. 6:53This might be a bottleneck on not
  209. 6:55actually introducing partnership ads or
  210. 6:57employing different strategies into the
  211. 6:58ad account to unlock more spend. There's
  212. 7:00so many different bottlenecks that exist
  213. 7:02just within creative that holds a
  214. 7:04business back, and most people don't
  215. 7:06understand all the bottlenecks that
  216. 7:07exist. So they misdiagnose it. They
  217. 7:09don't realize what the actual bottleneck
  218. 7:10is, and so then they focus on activity
  219. 7:12that doesn't actually move the needle.
  220. 7:14For example, those two brands that I
  221. 7:15spoke about before, they were not only
  222. 7:18mistaking activity for strategy, but
  223. 7:20they were also misdiagnosing the
  224. 7:21bottleneck in the business, which is
  225. 7:23that they thought just increasing sheer
  226. 7:25volume would suddenly unlock growth, but
  227. 7:27it's not doing anything for them. And
  228. 7:28it's because they're trying to fix
  229. 7:29something that actually doesn't need to
  230. 7:31be fixed. And then the last one, which I
  231. 7:32hope people are getting over by now, but
  232. 7:34I still see it from time to time,
  233. 7:38which is that creative is seen as a cost
  234. 7:41center rather than a revenue driver.
  235. 7:44And this is fundamentally because of the
  236. 7:46shift away from media buying to
  237. 7:48creative, which is that back in the day
  238. 7:50when media buying had a lot of arbitrage
  239. 7:52behind it, you didn't need a lot of
  240. 7:53creative and a lot of volume of
  241. 7:54creative. And so because of that,
  242. 7:56business owners would often see the ad
  243. 7:58spend in the platform, the spend on
  244. 8:00Google, the spend on Meta, the spend on
  245. 8:01TikTok, Pinterest, Microsoft as revenue
  246. 8:04driving, but the actual creative that's
  247. 8:06used to fuel that spend as a cost
  248. 8:09center. We want to minimize that cost as
  249. 8:11much as possible because we just want
  250. 8:12the platforms to find us customers, but
  251. 8:14that's the complete wrong way around.
  252. 8:16The creative is actually what is driving
  253. 8:19the revenue and Meta and these other
  254. 8:20platforms are just driving the
  255. 8:22distribution. Now, the fact that you can
  256. 8:23actually just post this stuff on organic
  257. 8:25and get free distribution as well means
  258. 8:27that creative is also the revenue driver
  259. 8:29organically. And so if you're thinking
  260. 8:30that creative is a cost center, you've
  261. 8:32got the completely wrong approach. We're
  262. 8:34going to be diving into later in this
  263. 8:35video exactly how much spend you should
  264. 8:38have on creative production respective
  265. 8:41to your ad spend levels so you can know
  266. 8:43if you're currently under or over
  267. 8:44investing in creative. Before diving
  268. 8:46into creative strategy, you first need
  269. 8:48to understand how Meta's algorithm works
  270. 8:50because this is the distribution tool
  271. 8:52for the assets that you're putting in
  272. 8:53it. Now, everyone's probably heard the
  273. 8:55word Andromeda. It's a massive buzzword.
  274. 8:56I've talked about it in a lot of
  275. 8:57content. And to put it simply, it's just
  276. 8:59an algorithm change that Meta made
  277. 9:01because they had a lot of GPUs for
  278. 9:03training AI for their metaverse that
  279. 9:05kind of fell flat, and so they
  280. 9:07repurposed all of those training chips
  281. 9:09towards a better ad serving platform.
  282. 9:12With that, the mechanical shift that you
  283. 9:15need to be across is that before
  284. 9:17Andromeda, and to be honest, we weren't
  285. 9:19even doing this pre-Andromeda, but it's
  286. 9:21an easy way to simplify the concept and
  287. 9:23then I'll go a little bit more nuanced,
  288. 9:24which is that pre-Andromeda, you would
  289. 9:25choose the audience. So you would say,
  290. 9:27"Hey,
  291. 9:28here is our interest.
  292. 9:30Please target this interest." And you
  293. 9:32would then go and load all the creatives
  294. 9:34in.
  295. 9:35And so you'd put creative one, creative
  296. 9:37two, maybe you're putting three
  297. 9:38creatives under this ad set. And you're
  298. 9:40saying, "Here's the interest, here's the
  299. 9:41ads, go and match them." Now,
  300. 9:43post-Andromeda, what happened is you
  301. 9:45actually do the opposite. So, you put
  302. 9:48the ads into the account, and you don't
  303. 9:50select any targeting.
  304. 9:52And then Meta goes and looks at the
  305. 9:54creatives, and it goes, "Okay, I think
  306. 9:56that these are going to resonate with
  307. 9:57these people based on the transcript,
  308. 9:59based on the words in the ads, based on
  309. 10:00the copy, based on my understanding of
  310. 10:02historical conversion data."
  311. 10:04And then it will go
  312. 10:07and find the people to target.
  313. 10:09Now, this is fundamentally a way better
  314. 10:10system because interest targeting has a
  315. 10:12lot of downside. Okay, when you're doing
  316. 10:14interest targeting, you're effectively
  317. 10:16labeling people with an interest, let's
  318. 10:18say pets, and then just arbitrarily
  319. 10:20serving all your creative to people that
  320. 10:21are interested in pets. But the reality
  321. 10:23is is that it's not just people
  322. 10:25interested in pets that want your
  323. 10:26product. It's probably people that are
  324. 10:28interested in pets within a specific age
  325. 10:29range that also have other variables or
  326. 10:32psychographic data points that are
  327. 10:34similar between them. And so, there's so
  328. 10:36much additional nuance that needs to be
  329. 10:38captured. And this
  330. 10:40serving mechanism ends up capturing that
  331. 10:42nuance better than the old one. Now, the
  332. 10:44reality is is that Meta was kind of
  333. 10:46already doing this pre-Andromeda. We
  334. 10:48haven't used interest targeting in most
  335. 10:50accounts for like two years. But what
  336. 10:51Andromeda really did is popularize this
  337. 10:54new approach to structuring an ad
  338. 10:56account. And so, there were still so
  339. 10:58many agencies and so many people running
  340. 10:59interest targeting, it was crazy, even
  341. 11:01though we have a video that was put out
  342. 11:03two years ago about this exact topic on
  343. 11:05the Meta algorithm. And this was before
  344. 11:07Andromeda. So, I was explaining this
  345. 11:08concept before this whole update even
  346. 11:11rolled out, and why we don't use
  347. 11:12interest targeting. It's called How
  348. 11:14Machine Learning Works in 2025 on Meta
  349. 11:18Ads. But this has popularized this
  350. 11:19approach, and now this is really how you
  351. 11:21want to be thinking through the asset.
  352. 11:23Now, why this becomes important is
  353. 11:24because the creative that you loads in
  354. 11:26that you load in is the targeting. So,
  355. 11:28if you load a bunch of creative that's
  356. 11:29all the the you end up just targeting
  357. 11:31the same person. You don't reach new
  358. 11:33people. If you end up loading in a bunch
  359. 11:34of creative that isn't clearly
  360. 11:37resonating with a specific target
  361. 11:38demographic, then it's going to get
  362. 11:40confused. For example, if you're calling
  363. 11:42out everyone in your ads, if you're
  364. 11:43like, "Hey, everyone, look at this
  365. 11:45product." Meta is going to be very
  366. 11:46confused cuz it's going to go, "What
  367. 11:47should we target the entire population?
  368. 11:49Is there a subset? Who should we
  369. 11:50actually go after?" You also need to
  370. 11:52think through this targeting mechanism
  371. 11:54at an ad set level in terms of
  372. 11:55structuring because if you just put a
  373. 11:57bunch of ads together that are all
  374. 11:58targeting different people under the one
  375. 12:00ad set, the ad set will also get
  376. 12:01confused. Who are we targeting? So,
  377. 12:03there's a lot of of additional nuance
  378. 12:04that we'll break down here when we get
  379. 12:06into the structure and testing section
  380. 12:07of this video. But, this is
  381. 12:08fundamentally the key concept that you
  382. 12:10need to understand here. There's also
  383. 12:11the creative similarity score that
  384. 12:13rolled out of Meta recently. Now, most
  385. 12:15people still can't access this in their
  386. 12:16ad accounts, but if you reach out to
  387. 12:17your dedicated Meta reps, they can get
  388. 12:19you this score. So, you can have an idea
  389. 12:22of what your similarity score is in the
  390. 12:24business. And as it currently works, the
  391. 12:26higher the number, the worse it is
  392. 12:29because the more similar your creatives.
  393. 12:31Now, why this matters so much is because
  394. 12:33of Andromeda bundling.
  395. 12:35And so, if you have, as I said before,
  396. 12:37multiple different creatives here, let's
  397. 12:39say one, two, three, but they're all
  398. 12:41slight variants. Let's say they're the
  399. 12:43same campaign shoot, but the model's
  400. 12:45just standing in a slightly different
  401. 12:46position. Or let's say it's UGC, but
  402. 12:49maybe there's a slight variation in the
  403. 12:52script halfway through the video. Or
  404. 12:53let's say these are actually very
  405. 12:54different videos in terms of formatting,
  406. 12:57but they're all speaking to the exact
  407. 12:58same audience. Well, what ends up
  408. 13:00happening is Andromeda will bundle them
  409. 13:03together and serve them all to the same
  410. 13:06pool of audience. Now, because of this,
  411. 13:07because they're similar creatives going
  412. 13:09to the same audience, what happens in
  413. 13:10the ad account is frequency goes up. So,
  414. 13:13frequency is how many times users are
  415. 13:15seeing your ads.
  416. 13:16Obviously, these ads are just going to
  417. 13:17serve to the same people over and over
  418. 13:18again, so frequency goes up. Your reach
  419. 13:21will go down, so you'll stop reaching
  420. 13:22that new users.
  421. 13:24And as a function of this over time,
  422. 13:27your return on ad spend will go down.
  423. 13:29And so you will start seeing diminishing
  424. 13:31returns in the platform.
  425. 13:32So instead, the position that you
  426. 13:34actually want to be in here is launching
  427. 13:35three creatives into the account, but
  428. 13:37these three creatives talk to different
  429. 13:39people,
  430. 13:40and therefore
  431. 13:42reach their own audiences.
  432. 13:45And with that, frequency declines
  433. 13:47because you're reaching different people
  434. 13:48with these ads, it allows you to unlock
  435. 13:50more spend because as they scale, you
  436. 13:51can almost think about this circle
  437. 13:53expanding as it goes to cold on cold
  438. 13:54audiences.
  439. 13:56But because these are talking to
  440. 13:57different people, you can see there's
  441. 13:58not much audience overlap.
  442. 14:00And as a function of that, you're going
  443. 14:02to be able to scale to new audiences
  444. 14:04effectively without just increasing
  445. 14:05frequency and saying efficiency decline.
  446. 14:08Another incredibly important concept
  447. 14:10here about how the platform algorithm
  448. 14:12actually works is in sequencing of
  449. 14:14creative and the reliability of return
  450. 14:16on ad spend as you decline through the
  451. 14:18account structure. So when it comes to
  452. 14:20sequencing creative, the reality is, and
  453. 14:23I think everyone watching this will
  454. 14:24agree with this, which is that if you
  455. 14:25just serve one ad to a user once, will
  456. 14:28they buy? And the answer 99.99%
  457. 14:31of the time is no.
  458. 14:33Generally speaking, you need to see an
  459. 14:35ad more than once to be confident in
  460. 14:37purchasing. Now, yes, there are some
  461. 14:39people out there that are getting one
  462. 14:41hit by ads and suddenly buy, right? That
  463. 14:42does happen. In fact, it's probably
  464. 14:44happened to me at one point in my life,
  465. 14:46but it's very, very rare and you
  466. 14:47definitely cannot build an efficient
  467. 14:49business off of those people. And so
  468. 14:51because of that, you need to serve them
  469. 14:53generally more than one ad. Now, you
  470. 14:55could serve them this ad again, a second
  471. 14:57time. However,
  472. 14:59Meta put out a article ages ago, it was
  473. 15:01like four or five years ago, which said
  474. 15:03that after two impressions of an
  475. 15:05identical creative, probability of
  476. 15:07purchase declines precipitously. And so
  477. 15:10if you look at the probability of
  478. 15:13someone buying, let's say this is a
  479. 15:14percentage, and then you look at the
  480. 15:16amount of ads that they are seeing. So
  481. 15:18this is frequency of an identical ad. So
  482. 15:21we're talking about the same ad here.
  483. 15:22You're not showing them different ads,
  484. 15:23just the same ad.
  485. 15:24When you show them the ad once, there
  486. 15:26might be a certain percentage uh chance
  487. 15:29of them buying. Then, when you show them
  488. 15:30the ad twice, it might be the same. It
  489. 15:32actually might even be slightly higher.
  490. 15:34Because on second viewing, now they're
  491. 15:36warmer and they're more likely to buy.
  492. 15:38But then on third viewing, it declines
  493. 15:40massively.
  494. 15:42And then on fourth, massively. And then
  495. 15:43it pretty much declines to zero. And so,
  496. 15:46there is very little purpose at all in
  497. 15:48showing a user the same identical ad
  498. 15:51more than twice. And the way to actually
  499. 15:53stress test this idea that I'm telling
  500. 15:55you right now in your own ad account is
  501. 15:56you can pull your ad account up, you can
  502. 15:58go down to the ad level, look at the
  503. 16:00last 30 days, 60 days, and look at
  504. 16:02frequency at an ad level on cold
  505. 16:04campaigns. And what you will see is that
  506. 16:06cold ads almost never have a frequency
  507. 16:09above a two. And if they do, you have a
  508. 16:12creative fatigue issue. You do not have
  509. 16:14enough diversification and volume in
  510. 16:15your account, and that is a red flag.
  511. 16:17Any good account that we're running,
  512. 16:19which is all of them, um no one has a
  513. 16:21frequency above a two on a cold ad. Just
  514. 16:23doesn't happen. Because if we see this,
  515. 16:25immediate red flag. We need to fix it.
  516. 16:27We need more diversity. We need more
  517. 16:28volume. Now, the big kicker here is that
  518. 16:32what Meta are published in that
  519. 16:34statement, and if I can go and find that
  520. 16:36article, I'll put it in the description
  521. 16:37below, is that if you then go and
  522. 16:39introduce a novel creative, the
  523. 16:42probability of purchase stays high. And
  524. 16:45so, after seeing the same ad once and
  525. 16:47then twice, if we go and serve a
  526. 16:48different ad in as the third impression,
  527. 16:52probability stays up here.
  528. 16:54And then if we go and serve a different
  529. 16:56ad as the fourth impression,
  530. 16:57probability stays up here.
  531. 17:00And so, we can actually keep probability
  532. 17:01of purchase up by rotating in new novel
  533. 17:04creative. Now, the question becomes, how
  534. 17:07does the algorithm do this and how does
  535. 17:08it decide the sequencing of creatives to
  536. 17:11these users to try to get them to
  537. 17:12convert? And this is where sequencing
  538. 17:14comes into the ad account structure.
  539. 17:16When Meta is optimizing across serving
  540. 17:18users ads, they're optimizing across
  541. 17:22understanding what sequence of creative
  542. 17:24actually gets the purchase. So, is
  543. 17:26showing users ad one, then ad two, then
  544. 17:29ad three going to get the click and
  545. 17:30purchase? Or is it showing users ad
  546. 17:32three as the opening creative, then ad
  547. 17:35two, then ad one going to get the
  548. 17:37purchase? Or is it some other kind of
  549. 17:38combination? Are we coming in here and
  550. 17:39then going back here? There's all of
  551. 17:41these different combinations of serving
  552. 17:43these ads in a particular order that
  553. 17:45might yield a click and might yield a
  554. 17:46conversion. Now, the kicker here is that
  555. 17:50Meta only attributes based on last click
  556. 17:52attribution. So, if we assume that the
  557. 17:55first sequencing example is what is
  558. 17:57actually occurring. They're going 1 2 3.
  559. 18:00If the click occurs here, all of the
  560. 18:03return on ad spend, all of the revenue
  561. 18:05gets attributed to this ad and it looks
  562. 18:07really good. Let's say it's at a 6X
  563. 18:08ROAS.
  564. 18:10Ad two, maybe some people buy at this
  565. 18:11stage in the sequence, but not a lot.
  566. 18:13And two at a 2X. And then on this top
  567. 18:16ad, we're down at like a 1.4X. When you
  568. 18:18look at this and you look at spend
  569. 18:20distribution, let's say spend is equal
  570. 18:22across all three creative. Naturally,
  571. 18:24you go in here and you go, "Oh, this is
  572. 18:27obvious. Turn ad one, turn ad two off."
  573. 18:29Cuz ad three's getting all the
  574. 18:30performance. But that would be a bad
  575. 18:32idea. And this is the concept in a lot
  576. 18:34of our content about do not turn a
  577. 18:35creative off when you are hitting KPI.
  578. 18:38If this is hitting your performance goal
  579. 18:40overall as an ad set, don't touch
  580. 18:42anything. Because Meta is sequencing
  581. 18:44between these creatives on purpose and
  582. 18:46it is creating an outcome. Meta's
  583. 18:48optimization is not based on last click.
  584. 18:51Really important concept to understand.
  585. 18:53Meta's optimization is actually based on
  586. 18:56multi-click and view. And so, Meta sees
  587. 18:58that people are viewing this ad, viewing
  588. 19:00this ad, then clicking on this ad and
  589. 19:01buying, and therefore it distributes
  590. 19:03spend here, knowing that it played a
  591. 19:05role in the purchasing journey. But you
  592. 19:07don't see that. Unfortunately, we don't
  593. 19:09get any visibility into this at all
  594. 19:11within the ads manager, which is
  595. 19:12actually really annoying. And so, as a
  596. 19:13product of that, we just need to trust
  597. 19:15the system. We also need to think about
  598. 19:18the creatives that we're putting into
  599. 19:19the account. How are they working
  600. 19:21through this purchasing journey?
  601. 19:22Normally, if you're good at creative, if
  602. 19:24you're good at creative strategy, you
  603. 19:26can look at these three creatives, and
  604. 19:27you can go, "Oh, it's pretty obvious to
  605. 19:29me that this is actually the opening ad.
  606. 19:31This is then probably the second ad, and
  607. 19:32then this is the converting ad." Because
  608. 19:34this is a super unaware top of funnel
  609. 19:36creative. This is then a product aware
  610. 19:39creative, and then this is a bottom of
  611. 19:41funnel very aware creative. And so, it's
  612. 19:43super obvious to me just looking at the
  613. 19:45three ads that that's what the sequence
  614. 19:46looks like. But, if you don't understand
  615. 19:48creative strategy, you're going to look
  616. 19:50at this and go, "I don't understand
  617. 19:52what's going on. Why are the ROAS like
  618. 19:53this? Turn off, turn off, turn off,
  619. 19:55destroy performance." We're going to go
  620. 19:56into this in a lot more detail later on
  621. 19:58once we start going through the testing
  622. 20:00structure and actually KPI'ing and
  623. 20:01understand what is a good ad, what is a
  624. 20:03bad ad, but this is a really important
  625. 20:05concept to be across.
  626. 20:06Second concept to be across is that the
  627. 20:09reliability of ROAS declines as you go
  628. 20:12down in the account structure. So,
  629. 20:14everyone who's opened up a Meta ad
  630. 20:16account knows the basic structure, which
  631. 20:18is you have campaigns, you have ad sets,
  632. 20:20then you have ads. Right? The campaign,
  633. 20:23you set up the budget typically, and you
  634. 20:24set up the overall uh optimization of
  635. 20:26it. So, is it optimizing for sales,
  636. 20:28reach, etc.
  637. 20:29Ad set, this is where all the targeting
  638. 20:32occurs. Now, people forget that these
  639. 20:33days because people go, "Oh, targeting
  640. 20:35is just broad, so I don't even really
  641. 20:37know what's happening at the ad set
  642. 20:38level." But, it's really important to
  643. 20:40reinforce targeting is occurring at the
  644. 20:42ad set level. And then down here, the
  645. 20:43ads, this is obviously the creative that
  646. 20:45gets served to the end user. Now, when
  647. 20:47we look down at the ad level, and we
  648. 20:49start assessing creative, the issue here
  649. 20:51is everything I just went through. We
  650. 20:53can look at the ROAS numbers,
  651. 20:56but they're kind of meaningless because
  652. 20:57they're last click attribution, and
  653. 21:00there's a multi-click or multi-view
  654. 21:01through journey occurring here. And so,
  655. 21:03I can go in and say, "Yeah, this has a
  656. 21:056x ROAS, is Let's like try to scale it
  657. 21:07or make more ads like that. But it's
  658. 21:09often a bad decision. So instead, when
  659. 21:11we move up to the ad set level right
  660. 21:14here, now we can look at all of these
  661. 21:16returns as a group. And we can go, let's
  662. 21:18not go into the individual ads because
  663. 21:20the reliability of uh the attribution
  664. 21:23here is terrible because there's so much
  665. 21:24happening across these different
  666. 21:25sequences. So let's just go up to the ad
  667. 21:27set and look, okay, at the ad set level,
  668. 21:29what's our ROAS here? And maybe overall
  669. 21:31it's at a 3x.
  670. 21:32Now this is a lot more reliable. It is
  671. 21:34worth noting that cross-serving of ads
  672. 21:37still occurs at the ad set level. So you
  673. 21:39can have uh multiple different ad sets.
  674. 21:42So if I just throw another ad set in up
  675. 21:44the top here,
  676. 21:45we'll call this ad set two. And let's
  677. 21:47just put a couple creatives under here.
  678. 21:51A sequence that can occur is that people
  679. 21:53see this ad in ad set one.
  680. 21:55They then see this ad.
  681. 21:57And then they get served another ad set.
  682. 21:58Now it's not prioritized by the
  683. 22:00algorithm. The algorithm will always
  684. 22:02prioritize serving adjacent ads under an
  685. 22:04ad set due to the way that targeting is
  686. 22:06siloed, but there is cross-ad set
  687. 22:09targeting. And so because of that, we
  688. 22:11might have a 3x here. We might have a 4x
  689. 22:14up here. This ad set seems to be doing
  690. 22:16better, but it's actually just because
  691. 22:19this ad set is picking up some
  692. 22:20bottom-of-funnel conversions being
  693. 22:22generated from this ad set. That can be
  694. 22:23completely avoided as long as your
  695. 22:25structure is good and you're
  696. 22:26diversifying concepts across the ad set
  697. 22:28level, you shouldn't have much cross
  698. 22:29targeting. And you can measure all this
  699. 22:31and we'll go into it later on, but the
  700. 22:32whole idea is ad set is better.
  701. 22:35We can trust this number. We can trust
  702. 22:36it more than the ad level. Then once you
  703. 22:38go all the way up to the campaign level,
  704. 22:41the campaign ROAS number, as long as
  705. 22:43it's on 7-day click attribution, is
  706. 22:46super reliable. This is generally very
  707. 22:48congruent with the actual P&L as long as
  708. 22:51it's on 7-day click and as long as
  709. 22:53existing customers are excluded. And so
  710. 22:55because of that, when we're making
  711. 22:56decisions within Meta, when we're
  712. 22:57thinking about structure, when we're
  713. 22:59thinking about introducing creative, we
  714. 23:01want to be thinking about measuring at
  715. 23:03the ad set or the campaign level, not
  716. 23:05the ad level, and we want to be thinking
  717. 23:06through this idea of sequencing. So, the
  718. 23:08practical implications of Andromeda and
  719. 23:10the way that the algorithm and ad
  720. 23:12platform currently works is fourfold.
  721. 23:14Number one, you need concept diversity.
  722. 23:17We're obviously going to go into what a
  723. 23:19concept is, how to break it down, how to
  724. 23:21come up with concepts, what diversity
  725. 23:22looks like later on, but number one is
  726. 23:24you need diversity within the creative
  727. 23:26going into the account. You also
  728. 23:28obviously need that introduced into the
  729. 23:29structure so that you're having a
  730. 23:31concept per ad set so you don't have any
  731. 23:33of this cross targeting going on.
  732. 23:35Number two is you need format variety.
  733. 23:37Okay, you can't unfortunately just have
  734. 23:39the same format of all of your creative.
  735. 23:42And the reason being is that Meta will
  736. 23:44prioritize formats that people resonate
  737. 23:46with. I'll give you an example, which is
  738. 23:48that I never ever, and I could scroll my
  739. 23:50Instagram feed for the next 3 hours and
  740. 23:52show you, I will never get a piece of
  741. 23:54UGC under my profile. Just doesn't
  742. 23:56happen. And it's because I never click
  743. 23:58on them, I never resonate with them, and
  744. 24:00so Meta inherently knows that low-fi UGC
  745. 24:03content should not be served to me. And
  746. 24:05so, if your ad account is just low-fi
  747. 24:07UGC, I'll never see it. Now, same thing
  748. 24:11actually for DPA ads. Now, DPA are very
  749. 24:14bottom of funnel. This isn't really
  750. 24:15cold, so I'd have to be already very,
  751. 24:17very product aware and on the website,
  752. 24:19but I don't think I have ever been
  753. 24:22served a DPA almost in the history of
  754. 24:25the ads that I get served on my personal
  755. 24:26profile. Now, that is likely a product
  756. 24:29of the fact that DPAs are not a creative
  757. 24:32type that I resonate with. I never click
  758. 24:34on them. And so, if you just had UGC and
  759. 24:36DPAs, it's very unlikely you'd ever
  760. 24:38reach me. So, you need to be making sure
  761. 24:40you have as much diversity in format
  762. 24:41type, and I'm going to be giving you all
  763. 24:42the formats and how you should be mixing
  764. 24:44and matching them later on so that you
  765. 24:45can reach as many people as possible. We
  766. 24:47then have hook quality. So, this is
  767. 24:49going to be a big section of this video,
  768. 24:51but with Andromeda, any kind of persona
  769. 24:54call out that occurs within the actual
  770. 24:56creative is going to go and prioritize
  771. 24:58that persona. So, if I make an ad and at
  772. 25:00the start I say, "If you're a business
  773. 25:02owner doing over $5 million a year,"
  774. 25:04Andromeda is going to read the
  775. 25:05transcript, it auto transcribes every
  776. 25:07single ad, and it's going to go, "Okay,
  777. 25:08let's try to find a similar audience to
  778. 25:10what he just said." What if my ad or my
  779. 25:12content has nothing to do with that
  780. 25:13audience? Well, then we've just pushed
  781. 25:14the creative to an audience that's not
  782. 25:16actually relevant. And people do this a
  783. 25:17lot. People's hook actually isn't as
  784. 25:20good as they think it is. People call
  785. 25:22out a persona without problem agitating.
  786. 25:24There's the so many different issues
  787. 25:25that actually lie in hooks, which is why
  788. 25:27we're spending so much time on it, cuz I
  789. 25:29think people are terrible at hooks. Most
  790. 25:30ads I see, they're just not good. And
  791. 25:32then lastly, is that with Andromeda,
  792. 25:34volume is absolutely critical. The spend
  793. 25:37capacity of most ads isn't very high.
  794. 25:40Most ads that you went to the into the
  795. 25:41account, if we look at mean ad spend per
  796. 25:44ad unit, sits at about $700 to $1.5
  797. 25:47thousand depending on the ad account.
  798. 25:49And so, generally, you can't get much
  799. 25:51spend through most ads. So, you need
  800. 25:52volume to compensate, but you also need
  801. 25:54strategy at the same time. Because if
  802. 25:56you're just putting sheer volume into
  803. 25:58the account, which I've seen so many
  804. 26:00people do, with no actual strategy
  805. 26:02behind the volume, it doesn't actually
  806. 26:03work. So, let's run through concept
  807. 26:05architecture. This is how you need to be
  808. 26:07thinking through the segmentation of
  809. 26:08different creative. This is how your
  810. 26:10naming convention should be set up on
  811. 26:11Meta as well. This is how you should be
  812. 26:13ideating in a Google Sheet or whatever
  813. 26:15format you want to think through this.
  814. 26:16And we'll also talk about the AI
  815. 26:17implications into this ideation process.
  816. 26:20So, what actually is a concept? A
  817. 26:22concept is a persona, angle, and offer.
  818. 26:25And so, to have diversity within the
  819. 26:26creative that's going into the account,
  820. 26:28you need one of these three variables to
  821. 26:30change. If the offer changes, it will
  822. 26:32resonate with a different audience, with
  823. 26:34a different pool of people, because it's
  824. 26:36either a different product, or if it's
  825. 26:38it's a different value proposition or
  826. 26:39packaging of the product. If the angle
  827. 26:40changes, obviously, it's going to
  828. 26:42resonate with with someone different,
  829. 26:43because you're problem agitating on
  830. 26:44something else. And so, if you sold skin
  831. 26:46care, you might start by problem
  832. 26:48agitating on wrinkles, but then you
  833. 26:50might have another ad that problem
  834. 26:51agitates on that. They're going to reach
  835. 26:53two very different audiences even though
  836. 26:54it's the same product because the angle
  837. 26:56changed. And then lastly we have a
  838. 26:58persona change. Now the easiest way to
  839. 27:00think through a persona change is
  840. 27:02obviously who are we talking to, but
  841. 27:03also who is actually in the ad. And so
  842. 27:05if there's a 60-year-old woman in the
  843. 27:07ad, it's obviously going to resonate
  844. 27:09with a very different target demographic
  845. 27:10than if there is a 20-year-old woman in
  846. 27:12the ad. And so because of that we can
  847. 27:14adjust the persona and that will
  848. 27:16inherently adjust who resonates with the
  849. 27:18creative and who it will target on the
  850. 27:19platform. And so one of the easiest ways
  851. 27:21to ideate here and come up with almost
  852. 27:23infinite creative concepts is to start
  853. 27:26ideating on who are all the different
  854. 27:27personas that we want to reach. What are
  855. 27:29the core personas in the business? And
  856. 27:30you can go through and you can probably
  857. 27:32come up with two or three or four. And
  858. 27:34then if you really drill deeper, you can
  859. 27:36come up with tons more. So yeah, we
  860. 27:38could go like females age between 40 to
  861. 27:4045, etc. But then we can start digging
  862. 27:43into like what are the actual pain
  863. 27:44points. And so females age 20 to 20 five
  864. 27:47dealing with acne. Females age between
  865. 27:4930 to 35 dealing with acne which is a
  866. 27:51slightly different problem because acne
  867. 27:52shouldn't be occurring at that age so
  868. 27:53maybe it's hormonal acne. And then we
  869. 27:55can go women age between 40 to 45 with
  870. 27:59acne as well. That's also a completely
  871. 28:00different problem that should be fixed
  872. 28:02by now and so what are the different
  873. 28:04underlying causes that we can then
  874. 28:05resonate within that persona. And so you
  875. 28:07can build personas out in ridiculous
  876. 28:10detail based on all of the problems that
  877. 28:12the product solves. By the way, this is
  878. 28:14the case in every industry as well as
  879. 28:17fashion. So in fashion people really
  880. 28:19struggle to get their head around
  881. 28:20concept architecture, but with personas,
  882. 28:23it's the same thing. Most large retail
  883. 28:25fashion brands will break their target
  884. 28:27demographic down into like four core
  885. 28:28personas and they'll give them names.
  886. 28:30But the reality is you can go way deeper
  887. 28:31than this because a persona could be a
  888. 28:34particular problem that a particular
  889. 28:37person is facing. And so there's this
  890. 28:39particular person who's a mom age
  891. 28:41between 30 to 35 with young kids and the
  892. 28:44problem that they face is they need an
  893. 28:46affordable dress that can go from a work
  894. 28:49dress into a night dress on a Friday
  895. 28:50afternoon. That is a persona. That's a
  896. 28:51persona that you could make infinite
  897. 28:53creative for for that exact particular
  898. 28:55pain point and circumstance. And you
  899. 28:57could probably think of 400 examples of
  900. 28:59that. When we move into angle, it's the
  901. 29:01presentation of how we're actually going
  902. 29:03after the problem. So, what is the
  903. 29:05angle? What is the value proposition?
  904. 29:07Why would you purchase the product? And
  905. 29:09then the offer is obviously really
  906. 29:10straightforward, which is what are we
  907. 29:12actually offering? The key here is
  908. 29:13personas
  909. 29:14>> and demographics. They're archetypes
  910. 29:17that are defined by problems, desires,
  911. 29:19and buying triggers. So, we want to be
  912. 29:20thinking about who are our avatars. And
  913. 29:23you want to think hard on that. Spend 20
  914. 29:25minutes on it. Then, what problems do we
  915. 29:27actually solve for these people?
  916. 29:30Then, what are the differences in pain
  917. 29:33points, language as to how we talk to
  918. 29:36this person, and the proof that is
  919. 29:37required for this person? And once we
  920. 29:40understand these three, we should be
  921. 29:42able to build out a whole lot of
  922. 29:43personas, which you can then, once that
  923. 29:46is done manually, go to an LLM like
  924. 29:49Claude or ChatGPT or Gemini,
  925. 29:51give it the entire persona list, and
  926. 29:53tell it come up with 20 to 30 more, and
  927. 29:55give it as much context as possible,
  928. 29:57which you should already have loaded in
  929. 29:58there in some capacity about the
  930. 29:59business, about the target demographic,
  931. 30:01etc. Claude, OpenAI LLMs, they're only
  932. 30:04going to give you averages. And so, if
  933. 30:07you just give it three or four personas,
  934. 30:09and you give it your website, and you
  935. 30:09say, "Hey, come up with some more
  936. 30:10personas," you're going to get an
  937. 30:11average outcome. And everyone's going to
  938. 30:13be doing it, and you're going to get the
  939. 30:14same as them, and you're going to revert
  940. 30:15to the mean. So, what you want to do is
  941. 30:16if you are going to do this, you need to
  942. 30:17put all the manual effort into actually
  943. 30:19building out proper 30 to 40 personas
  944. 30:22that are actually good, and then you
  945. 30:23need to give it an unbelievably wide
  946. 30:25amount of context as to the business and
  947. 30:26the target demographic and everything
  948. 30:27you can, so that it can actually ideate
  949. 30:29properly on another 20. And of the 20
  950. 30:31that it produces, you shouldn't just be
  951. 30:33putting that in there. You should be
  952. 30:34refining down, probably cut down to four
  953. 30:36to five, give that back in, say these
  954. 30:38four to five are good, ideate on another
  955. 30:4010 to 20. And then that way you can beef
  956. 30:42this out from 20 to 30 personas or
  957. 30:44whatever you get to and double the
  958. 30:46number. One really important note here
  959. 30:48is that people die in persona work by
  960. 30:51keeping the personas too broad. Broad
  961. 30:53personas end up producing forgettable
  962. 30:56creative that is nowhere near specific
  963. 30:59enough for the target demographic that
  964. 31:01you want to resonate with. And so if you
  965. 31:02come away with a persona while you're
  966. 31:04building this out, which is let's say
  967. 31:06women age between 25 to 45, this is a
  968. 31:11terrible persona. The creative that
  969. 31:13you're going to make for this audience
  970. 31:14is nowhere near specific enough that
  971. 31:16it's going to resonate with enough
  972. 31:18people to be able to hold a good amount
  973. 31:19of spend. As an example, instead of
  974. 31:21going for the persona busy professional,
  975. 31:23which I actually see so much when when I
  976. 31:25tell people to do this concept build
  977. 31:26out, and instead you would want to
  978. 31:28delineate this into a consultant who
  979. 31:31flies twice a week and needs a carry-on
  980. 31:33wardrobe that works for boardrooms and
  981. 31:35bars. Way more specific. And now with
  982. 31:36that persona call out, you're already
  983. 31:38thinking about how to talk to this
  984. 31:39person. You can almost visualize who
  985. 31:40this is, what their problem is, what we
  986. 31:42need to solve, what the creative should
  987. 31:44look like. It gives so much more
  988. 31:45specificity into the actual briefing and
  989. 31:47production process. And then guess what,
  990. 31:49we actually reach this audience
  991. 31:50properly. But when we say busy
  992. 31:52professional, what is a busy
  993. 31:54professional? That is so wide, there are
  994. 31:55so like the age is all over the place,
  995. 31:57their gender is all over the place. What
  996. 31:59do they actually do? What do they get up
  997. 32:01to? Why do they even need this product?
  998. 32:02This is so broad that you will you will
  999. 32:05end up with mediocre creative. You are
  1000. 32:07better off making five ads for this
  1001. 32:09target demographic than five for this.
  1002. 32:11Now five for this will scale harder. If
  1003. 32:13you can actually do a proper unaware ad
  1004. 32:15that is going to resonate with this
  1005. 32:17entire pool of people, yes it's a bigger
  1006. 32:18total addressable market, so yes you'll
  1007. 32:20be able to hold more spend. But the
  1008. 32:21reality of you making a good ad for an
  1009. 32:23audience this broad is actually very
  1010. 32:25unlikely. And so you are way better off
  1011. 32:27making more ads for very specific
  1012. 32:29personas, and then as you start to
  1013. 32:31become a eight mid-eight figure brand,
  1014. 32:34you can start to play around in trying
  1015. 32:36to get ads to work for very broad
  1016. 32:38audiences, but the skill level required
  1017. 32:40here is so high and it is just not
  1018. 32:42required for most ad accounts. Most ad
  1019. 32:45accounts you can just go hyper specific
  1020. 32:46and get way better results than needing
  1021. 32:48to go and try to target the entire of a
  1022. 32:50population. Another example here is
  1023. 32:51instead of doing, let's say, health
  1024. 32:53conscious parent, you could target a mom
  1025. 32:56who's tried six different supplements
  1026. 32:58because her toddler won't eat
  1027. 33:00vegetables. Once again, way more
  1028. 33:02specific. Now, you could go away and you
  1029. 33:03could write a script for that. You know
  1030. 33:04exactly what that ad looks like. You
  1031. 33:05know who who should be in it. You know
  1032. 33:06who you're talking to. You know what the
  1033. 33:08proof needs to be for that particular
  1034. 33:10target demographic. You know what the
  1035. 33:11language needs to be and you know the
  1036. 33:12pain points of that particular persona.
  1037. 33:14Now, an angle is the specific argument
  1038. 33:17or perspective that you take when you're
  1039. 33:19speaking to a persona. This is where a
  1040. 33:21lot of creative strategy actually ends
  1041. 33:23up failing because brands default to
  1042. 33:25product features rather than crafting
  1043. 33:28genuine angles that resonate with the
  1044. 33:30persona. So, I'm going to give you a lot
  1045. 33:31of tactical application here. Number one
  1046. 33:33is you want to problem agitate in some
  1047. 33:35capacity. You don't need to do this in
  1048. 33:37all of your creatives. In fact,
  1049. 33:39especially if people aren't even problem
  1050. 33:40aware, then you can't even problem
  1051. 33:41agitate, right? But you want to be
  1052. 33:42leading with pain as much as possible
  1053. 33:44and you want to make the viewer feel the
  1054. 33:46pain, feel like they have been heard
  1055. 33:48before you go and introduce the
  1056. 33:50solution. Another great angle here is
  1057. 33:52approaching with a contrarian truth. So,
  1058. 33:54you want to challenge a common belief
  1059. 33:56that people have which allows them to
  1060. 33:57reframe. An example of this,
  1061. 33:59particularly just as a hook, is
  1062. 34:01everything you've been told about X is
  1063. 34:03wrong. Everything you've been told about
  1064. 34:05the protein industry is wrong. And then
  1065. 34:07you go into obviously an educational
  1066. 34:09piece that then might problem agitate
  1067. 34:10that then obviously loops into a
  1068. 34:12solution. You want to typically always
  1069. 34:13have social proofing in the angle. You
  1070. 34:15want to build some kind of authority or
  1071. 34:17expertise in
  1072. 34:19the domain. So, this is more
  1073. 34:20specifically domain expertise. So, you
  1074. 34:22don't need, for example, a doctor in a
  1075. 34:24lab coat showing up in every single ad
  1076. 34:26for every industry. Right? If you're
  1077. 34:27selling a running product, you want a
  1078. 34:29marathon runner showing up. You want
  1079. 34:30someone with authority in the domain
  1080. 34:32that you're trying to sell it. Curiosity
  1081. 34:34is great and is commonly in most angles
  1082. 34:36that do well, and this is specifically
  1083. 34:38creating what's called a curiosity gap.
  1084. 34:40And so, when you open up a video asset,
  1085. 34:42and you can actually do this in image
  1086. 34:43assets, too, but when you open up the
  1087. 34:45video, you open up and create a
  1088. 34:47curiosity gap or an information gap. As
  1089. 34:49an example, you'd say, "Here's what the
  1090. 34:52top 1% of millionaires know about saving
  1091. 34:55money that they don't want you to know
  1092. 34:57about." And then you don't answer it
  1093. 34:58straight away. And you go into a story,
  1094. 35:00and you go into something else. You go
  1095. 35:01into any of these other aspects. You
  1096. 35:02problem agitate. You have a contrarian
  1097. 35:04truth. You go into some degree of social
  1098. 35:06proofing, although that's probably
  1099. 35:07stacked towards the back of the ad. And
  1100. 35:09then eventually, the ad goes on and on
  1101. 35:10and on. You pull people through this
  1102. 35:12journey. You educate them on everything.
  1103. 35:13And then you end up actually answering
  1104. 35:15the curiosity gap. And so, you didn't
  1105. 35:18have any information. You want to get to
  1106. 35:19the information, and eventually the
  1107. 35:20information's provided to you. And so,
  1108. 35:22that's how you hold people through an
  1109. 35:24ad. All good angles also have some
  1110. 35:26degree of comparison or objection
  1111. 35:28handling. And so, often people who are
  1112. 35:31watching your ad have tried to solve
  1113. 35:33their problem through other solutions.
  1114. 35:35And so, you want to tell them why your
  1115. 35:37solution will work versus all of the
  1116. 35:38competitors. You've probably tried this.
  1117. 35:40You've probably tried this. You've
  1118. 35:41probably tried this. If it's a piece of
  1119. 35:42user-generated content, you'll commonly
  1120. 35:44see the actual person in the script
  1121. 35:45going, "I tried this, just like you
  1122. 35:47would have, and it didn't work for me. I
  1123. 35:48then tried this. I thought it was
  1124. 35:49overhyped. It didn't work. And then
  1125. 35:51finally, I was like, okay, I'm going to
  1126. 35:52give one more thing a shot, and it
  1127. 35:53actually worked." And then this one is
  1128. 35:55the least compliant, but it is the best
  1129. 35:57performing component to add into an
  1130. 36:00angle, so I'm going to throw it in,
  1131. 36:01which is a transformation, aka a before
  1132. 36:05versus after. Uh before versus after's
  1133. 36:08Meta does not like them. You have to
  1134. 36:09sneak these into creatives in a way that
  1135. 36:12the algorithm doesn't flag it. But these
  1136. 36:14are some of the best performing
  1137. 36:15creatives ever, because people want to
  1138. 36:16see visually a before and after. I think
  1139. 36:18this is basic human psychology. Before
  1140. 36:20and after's will always crush for as
  1141. 36:22long as they exist. And because of that,
  1142. 36:24Meta doesn't like you uh running them.
  1143. 36:25So, when we're thinking about the angle,
  1144. 36:28we're starting at the persona and then
  1145. 36:30we're thinking about what angle and
  1146. 36:31approach do we need to be able to
  1147. 36:33resonate with this target persona. And
  1148. 36:34what you will notice is I've given you a
  1149. 36:36lot of tactical application that can be
  1150. 36:39included or built together into a script
  1151. 36:42that creates the angle. So, the real key
  1152. 36:44with the angle is actually you can
  1153. 36:46simplify it into a one sentence, which
  1154. 36:47is if our persona is women with kids age
  1155. 36:5035 to 40 that are having energy issues,
  1156. 36:53we're going to then sell them creatine
  1157. 36:56powder and the angle is going to be that
  1158. 36:59it solves energy issues based on
  1159. 37:01particular studies and then we can
  1160. 37:03continue training it out. The thing is
  1161. 37:05the angle realistically, if you're going
  1162. 37:06to write this out properly, we're just
  1163. 37:07talking about the script, okay? And so,
  1164. 37:10you just want to write the whole script.
  1165. 37:11If it's a static, this is obviously
  1166. 37:12going to be a bit tighter and you could
  1167. 37:13probably encapsulate this in a few
  1168. 37:15sentences, but the idea is we want to
  1169. 37:17figure out what angle are we approaching
  1170. 37:19selling this person on with a myriad of
  1171. 37:22different strategies that's going to
  1172. 37:24resonate with them. And so, if we take
  1173. 37:25for example that, uh, woman age 40 to
  1174. 37:2745, uh, with creatine and energy issues,
  1175. 37:30well, we're going to want social
  1176. 37:32proofing, but we want to we're going to
  1177. 37:33want social proofing for that particular
  1178. 37:35persona. So, we're going to want either
  1179. 37:36case studies around persons people like
  1180. 37:38that or the clinical studies that we're
  1181. 37:40going to reference, which is going to
  1182. 37:41give us expertise and authority, needs
  1183. 37:44to reference their particular age and
  1184. 37:45gender. We want to think about problem
  1185. 37:47agitation on that particular persona.
  1186. 37:49So, how are we going to agitate to that
  1187. 37:51problem? Are we going to pull in some
  1188. 37:52kind of contrarian truth or curiosity
  1189. 37:55gap that's going to hold them into the
  1190. 37:56asset? Can we do any kind of comparisons
  1191. 37:59to stuff that they've tried in the past?
  1192. 38:01Has this persona tried things or is this
  1193. 38:02very new to them? And then, can we pull
  1194. 38:04in any kind of transformation at the end
  1195. 38:07as a piece of social proof to back into
  1196. 38:09the creative? And so, we choose the
  1197. 38:11elements that we want, we think about
  1198. 38:12how we're going to slice and dice these
  1199. 38:14into a script and that becomes the
  1200. 38:15angle. And we're going to build out some
  1201. 38:17actual examples of this in a moment, but
  1202. 38:19before we do, I want to talk about the
  1203. 38:21testing priority order. Which of these
  1204. 38:24three components has the largest impact?
  1205. 38:27What should you be thinking about
  1206. 38:28testing the most of or the least of?
  1207. 38:30Number one at the top is angles. So,
  1208. 38:32this is exactly what we're just
  1209. 38:33discussing. This is the message or the
  1210. 38:35argument. The reason why this is such a
  1211. 38:37high priority is because we can sell to
  1212. 38:39any persona that is relevant to the
  1213. 38:40product. You should be able to
  1214. 38:41effectively look at who has bought from
  1215. 38:43you in the past. What persona do they
  1216. 38:44sit in? Why did they buy from you? And
  1217. 38:47then, we just need to craft an angle to
  1218. 38:48that particular persona. If that persona
  1219. 38:50isn't purchasing from us, we know that
  1220. 38:52it's actually really an angle or an
  1221. 38:54offer issue. It's not an issue with the
  1222. 38:55persona cuz we've already proven that
  1223. 38:57these people buy from us, okay? And so,
  1224. 38:59when something's not working, we
  1225. 39:00typically don't want to look at the
  1226. 39:01persona as long as you did it well.
  1227. 39:03Like, let's not do broad 25 to
  1228. 39:0645-year-old females. Let's get hyper
  1229. 39:08specific into a very specific person
  1230. 39:10that has purchased from us before, and
  1231. 39:12let's target them. But then ultimately,
  1232. 39:14it's going to come down to an angle or
  1233. 39:15offer issue, which is why angle is the
  1234. 39:17first thing you should test if things
  1235. 39:18aren't working. You need to rotate that
  1236. 39:20and improve the angle. And then the
  1237. 39:21second is the offer. Now, fundamentally,
  1238. 39:24the offer actually might be the number
  1239. 39:25one most important thing out of all of
  1240. 39:27this, but the issue is is that you
  1241. 39:29actually don't have much flexibility in
  1242. 39:30changing the offer. What do I mean by
  1243. 39:32that? The offer is two things. The offer
  1244. 39:34is the product, and then the offer is
  1245. 39:36the value proposition or the way that
  1246. 39:38we're framing value. Now, when it comes
  1247. 39:40to the product, if you have a single
  1248. 39:42product and ads aren't working, well, I
  1249. 39:44can't really tell you to change the
  1250. 39:45product, right? Now, you could. You
  1251. 39:46could change the whole business, but the
  1252. 39:48reality is is that the product is the
  1253. 39:50product. We need to change the angle or
  1254. 39:52the persona, right? So, even though this
  1255. 39:54is the most important thing, the product
  1256. 39:55ultimately is king out of anything, we
  1257. 39:57don't have much flexibility here. Now,
  1258. 39:58if you have a very large skew count, and
  1259. 40:00maybe this is a new product that's being
  1260. 40:02launched into an existing 20-product
  1261. 40:04portfolio, then sure. Then we can go and
  1262. 40:06say, "Is this an offer issue? Is this an
  1263. 40:08issue with the product?" And we can
  1264. 40:09start to troubleshoot accordingly. But
  1265. 40:10for most people, you're pretty stuck on
  1266. 40:12the product. Then when it comes to the
  1267. 40:14value proposition, the value proposition
  1268. 40:16we've got a couple options, right? We
  1269. 40:17can go and try testing bundles, we can
  1270. 40:20go and try testing like a gift with
  1271. 40:22purchase, we can go and try all of these
  1272. 40:24different repackaging of the offer,
  1273. 40:27right? We can do like tid as well, so
  1274. 40:29you get percentage off when you buy two
  1275. 40:30or three. We can go and throw in like a
  1276. 40:31subscription offer. So, there's a lot of
  1277. 40:33testing that we can do here. And we do
  1278. 40:34this with a lot of clients is we'll come
  1279. 40:36up with a bunch of different offers and
  1280. 40:38how we should reframe value to try and
  1281. 40:39get the funnel working more effectively.
  1282. 40:41But ultimately, you are limited here.
  1283. 40:43There's only so many offers you can
  1284. 40:45test. And we run into this issue, which
  1285. 40:46is like, "Ah, we've tested like seven
  1286. 40:48variations of how we can spin these two
  1287. 40:50to three products. And now we're
  1288. 40:51relatively stuck. And the only way that
  1289. 40:53we can increase the value perception on
  1290. 40:55the offer is to just do harsh deep
  1291. 40:57discount. And we don't want to do that.
  1292. 40:59We don't want to go and just eat 40%
  1293. 41:01into margin and build a brand off a
  1294. 41:03heavy discount reliance." And so,
  1295. 41:04although the offer is unbelievably
  1296. 41:06important, this is a huge variable that
  1297. 41:08we do a lot of testing on. And we do a
  1298. 41:09lot of offer testing for clients. It's
  1299. 41:12something that eventually you're going
  1300. 41:13to hit a wall on. There's only so much
  1301. 41:15offer testing you can actually do. And
  1302. 41:16once you've found the best performing
  1303. 41:18offer, you're stuck on it. And so, that
  1304. 41:19is where then we want to be doing a lot
  1305. 41:21of switch ups in personas. And personas
  1306. 41:24is ultimately what's actually going to
  1307. 41:25give us breadth and volume in the
  1308. 41:26account. And then I have number four in
  1309. 41:28here. There is actually a fourth
  1310. 41:29component of concept design. Now, this
  1311. 41:32didn't really used to exist
  1312. 41:34pre-Andromeda, but it's an additional
  1313. 41:36component that we've added in recently.
  1314. 41:38And it's because of the way it then
  1315. 41:40Andromeda will take different formats
  1316. 41:42and serve it to different people. So, as
  1317. 41:43I said before, I don't get UGC content.
  1318. 41:45I don't get dynamic product ads. And so,
  1319. 41:47you could do all the mix and matching
  1320. 41:49that you want of personas, of angles, of
  1321. 41:51offers to try to hit me, but if the only
  1322. 41:53ads in the account is UGC and DPAs. And
  1323. 41:56so, there is a fourth component to be
  1324. 41:58able to reach more people, which is the
  1325. 41:59format. You can have the same persona,
  1326. 42:01same angle, same offer, and you can
  1327. 42:02change the format and you will reach a
  1328. 42:04different audience. However, this is
  1329. 42:06nowhere near as effective as these other
  1330. 42:09components. If you do this and then you
  1331. 42:10change the format, the reality is you're
  1332. 42:12probably going to hit a lot of the same
  1333. 42:14people cuz you are talking to the same
  1334. 42:15people, you are going with the same
  1335. 42:16angle, and you are offering them them
  1336. 42:18the same thing. You'll get a bit of
  1337. 42:19novel reach, you'll obviously reach
  1338. 42:20people that don't resonate with the
  1339. 42:21current format, but this isn't like a
  1340. 42:23huge unlock great variable in the
  1341. 42:25account. And that's why it is down at
  1342. 42:27number four in the testing priority.
  1343. 42:29Now, the big issue here and the reason
  1344. 42:30why I spent so much time going through
  1345. 42:31the testing priority order is everyone
  1346. 42:33gets this completely the wrong way
  1347. 42:34round. People spend all of their time
  1348. 42:37testing formats. They go, "Oh, let's
  1349. 42:39test some UGC cuz UGC will work." UGC as
  1350. 42:42a concept doesn't work. It is the
  1351. 42:44script, it is the persona, it is the
  1352. 42:46angle, it is the offer that is contained
  1353. 42:48within this type of content that is what
  1354. 42:50works. Just like a professional photo
  1355. 42:53shoot doesn't work. The format isn't
  1356. 42:55what works, it's what's contained within
  1357. 42:57the format. Then people move up to the
  1358. 42:58persona and they go, "We need to reach
  1359. 43:00different people." Okay, we understand
  1360. 43:01that in Andromeda we need to talk to
  1361. 43:03different people, so let's talk to
  1362. 43:04different people. This is the second
  1363. 43:05priority. It is not because if your ads
  1364. 43:08aren't working, fundamentally, you have
  1365. 43:10bad messaging and you have bad arguments
  1366. 43:12for why they should buy. The creative is
  1367. 43:14just bad. And creative being bad is
  1368. 43:16normally a function of the angle and the
  1369. 43:17scripting. And so this is what you
  1370. 43:18should be fixing. Changing up the
  1371. 43:20persona is just you trying to target
  1372. 43:22different people with terrible ads. Then
  1373. 43:23they go to the offer and they say,
  1374. 43:24"Well, all the big influencers, Hormozi,
  1375. 43:26says offer is king. That's the thing
  1376. 43:28that matters the most, so we need to go
  1377. 43:29to the offer." Sure, but you're going to
  1378. 43:31once again fatigue offer testing pretty
  1379. 43:33quickly. There's only so much you can do
  1380. 43:34with your one or two product. And then
  1381. 43:36they end up at the angle, which is their
  1382. 43:37lowest priority, but it should be the
  1383. 43:38highest. So this is how you need to be
  1384. 43:40thinking through testing priority. Now,
  1385. 43:41the practical application of thinking
  1386. 43:43through this format type actually
  1387. 43:45translates directly into the account
  1388. 43:47structure,
  1389. 43:48>> [snorts]
  1390. 43:48>> which is that when you have a campaign,
  1391. 43:50you want your ad sets to be segmented
  1392. 43:53out based on concept. And the reason
  1393. 43:55being is that the targeting exists at
  1394. 43:57the ad set level. And so if you go and
  1395. 44:00put in, as I said before, a bunch of
  1396. 44:02different ads that are a bunch of
  1397. 44:03different concepts resonating with
  1398. 44:05different people, well then the ad set
  1399. 44:07that's trying to figure out who to
  1400. 44:09target is going to get confused. It's
  1401. 44:11going to go, "Wait a second, this is
  1402. 44:12resonating with men, old men, this is
  1403. 44:14resonating with young women. Like, why
  1404. 44:15are there all these different angles in
  1405. 44:17here? Who do we actually target?" Now,
  1406. 44:18yes, there is some siloing of target
  1407. 44:21demographic targeting at an individual
  1408. 44:22ad level, but a lot of it still sits at
  1409. 44:24the ad set level. And so, you're going
  1410. 44:25to get worse performance when you go and
  1411. 44:27bundle all different concepts together.
  1412. 44:28Not only that, because you can't trust
  1413. 44:30the reliability of ROAS at an ad level
  1414. 44:33very well, when you go and put all these
  1415. 44:34together and you don't hit KPI, you do
  1416. 44:36hit KPI, let's say you maybe you got a
  1417. 44:383x ROAS here, well, then you're going to
  1418. 44:40look at these ads
  1419. 44:42and not actually understand what concept
  1420. 44:44worked because there's three concepts
  1421. 44:46here. So, what is the learning from this
  1422. 44:47ad set? Well, if it was all under one
  1423. 44:49concept, one persona, one angle, one
  1424. 44:50offer, we could go, "This concept works
  1425. 44:53really well. Let's go and make more like
  1426. 44:54this. Let's double down in this
  1427. 44:56direction. Let's not over leverage.
  1428. 44:57Let's think about portfolio management,
  1429. 44:59but we should definitely put a little
  1430. 45:00bit more resourcing here cuz there's a
  1431. 45:02squeeze available." If instead you have
  1432. 45:04three different concepts in here and
  1433. 45:05it's hitting KPI, what what's the
  1434. 45:06conclusion? Is Is all the concepts
  1435. 45:08working, but this one doesn't have a
  1436. 45:09good ROAS? So, we know that ROAS at the
  1437. 45:11ad level isn't reliable. So, like, what
  1438. 45:12is it How do we draw conclusions out of
  1439. 45:14a campaign structure with mixed-up
  1440. 45:16concepts at the ad set level? You can't.
  1441. 45:17It's very difficult to do. You just got
  1442. 45:19to hope your ads are good and that you
  1443. 45:20get a good return. But, if you want to
  1444. 45:21actually have any kind of learning
  1445. 45:23feedback loop, you want to be
  1446. 45:24structuring
  1447. 45:26the account based on concepts. All
  1448. 45:28right, so here's a full buildout that
  1449. 45:30I've just put together of a persona,
  1450. 45:31angle, and offer that I think would
  1451. 45:33actually crush. The formats we can add
  1452. 45:36as we go along here. So, and you're
  1453. 45:38going to have to excuse my writing.
  1454. 45:41Persona: casual runner training for a
  1455. 45:43sub 4-hour marathon. It's a male.
  1456. 45:46They're a gym-goer. So, they're not just
  1457. 45:47a runner, but they've gone to the gym.
  1458. 45:49They follow XYZ influencers. So, there's
  1459. 45:52particular influencers that we've called
  1460. 45:53out and we know that they're probably
  1461. 45:55following them in some capacity. And
  1462. 45:56they make about 70k a year per annum.
  1463. 45:59This is important in terms of framing
  1464. 46:01value around what we're actually going
  1465. 46:03to try to sell to them. So, where do
  1466. 46:04they actually sit in terms of income
  1467. 46:06level? In terms of the angle, we're
  1468. 46:08going to come in with science backing
  1469. 46:10because we know that this person
  1470. 46:11probably follows someone like Andrew
  1471. 46:13Huberman, so we can come in with at
  1472. 46:15least an angle around him. We're going
  1473. 46:16to go through how creatine improves
  1474. 46:18recovery, but it doesn't improve
  1475. 46:20recovery in general cuz we want to talk
  1476. 46:22to this persona. So, it improves
  1477. 46:24recovery for the long run. Now, people
  1478. 46:26are only going to be doing a long run if
  1479. 46:28they're training for a marathon. That
  1480. 46:29enables a 5-minute improvement on the
  1481. 46:32marathon time. So, we're directly
  1482. 46:34connecting the entire angle to the
  1483. 46:36persona, and we're giving them an
  1484. 46:37expected outcome. Then, the offer is
  1485. 46:39relatively straightforward. Creatine
  1486. 46:41gummies, buy two, get one free. Now,
  1487. 46:43this offer was selected by myself just
  1488. 46:45due to the income level here. So, we
  1489. 46:47probably won't increased perceived value
  1490. 46:49cuz creatine gummies are generally quite
  1491. 46:50expensive, and it's going to be hard to
  1492. 46:52push it onto someone and to reframe them
  1493. 46:55against creatine for running. The actual
  1494. 46:57format here, this is where we can chop
  1495. 46:58and change this, and we can have like 10
  1496. 47:00different ads, right? We could go into a
  1497. 47:01VSL format. Probably not going to work
  1498. 47:03as well on this age demographic, but it
  1499. 47:07is a potential option. We could go into
  1500. 47:08UGC, which I think is going to be great.
  1501. 47:10We could go into founder talking head.
  1502. 47:13We could go into a more educational
  1503. 47:14high-fi style piece.
  1504. 47:17You could also actually translate this
  1505. 47:18into a carousel. Formats go on and on,
  1506. 47:20but they're probably the starting ones
  1507. 47:22that I'd go for. VSL, I might just leave
  1508. 47:24out for now because the age is too low
  1509. 47:26for a VSL to work on. And so, that is
  1510. 47:28one concept. We're now we can come into
  1511. 47:30here, and we can start changing one of
  1512. 47:32these variables to be able to mix and
  1513. 47:34match it to different target
  1514. 47:35demographics. And so, the reality is is
  1515. 47:37that this angle will also work for women
  1516. 47:42that are training for a marathon. So, we
  1517. 47:43can change over that persona, and we
  1518. 47:44have now a whole different concept that
  1519. 47:47we can start making an ads for. Now, we
  1520. 47:48can tweak the angle a little bit, and
  1521. 47:50rather than making it for long days, we
  1522. 47:52could make it for people that are trying
  1523. 47:54to get up to a 5K run. And if you're
  1524. 47:56just started running and you're trying
  1525. 47:58to get to a 5K run, creatine is a great
  1526. 48:00way to build up initial improvements in
  1527. 48:01recovery, and therefore we can now
  1528. 48:03resonate with a different persona. So,
  1529. 48:04you can start to mix and match this
  1530. 48:06accordingly to reach way more people.
  1531. 48:08Now, on hook strategy, everyone thinks
  1532. 48:10that the hook of an ad is a trick to try
  1533. 48:12to get someone to watch the video. But,
  1534. 48:14the hook of an ad is a play towards
  1535. 48:16relevancy. What you are doing is
  1536. 48:18promising the user that what they're
  1537. 48:19about to watch is relevant and
  1538. 48:21contextual to them. And that distinction
  1539. 48:23matters enormously because a lot of
  1540. 48:26people think that they should just be
  1541. 48:27baiting people into watching. They
  1542. 48:28should be trying to hook them through
  1543. 48:30some kind of meme at the start. And yes,
  1544. 48:32that'll give you really high hook rates
  1545. 48:33if that's what you want to optimize for,
  1546. 48:35but it's not actually going to give you
  1547. 48:36conversions. Now, there's actually three
  1548. 48:38different layers to the hook. You have
  1549. 48:40the visual. This is what's actually on
  1550. 48:42the screen.
  1551. 48:43You then have audio.
  1552. 48:45This is obviously the underlying audio.
  1553. 48:46And then you actually have the copy that
  1554. 48:49overlays the visual. This could also be
  1555. 48:51the primary text that sits above the ad.
  1556. 48:53Now, the reason why I'm even putting
  1557. 48:54this as a section in the video is
  1558. 48:56because the hook is so important in
  1559. 48:59video assets because 80% of people never
  1560. 49:02watch past the hook. And so, if you're
  1561. 49:03going and serving ads into the
  1562. 49:05marketplace and 80% of people never even
  1563. 49:08watch your ad cuz they don't like the
  1564. 49:09hook, so they just skip straight past
  1565. 49:11it, well, it's pretty critical then for
  1566. 49:13us to try to optimize the hook, okay? If
  1567. 49:14most people are never going to see past
  1568. 49:16this point in the video, then let's make
  1569. 49:18sure this video is relevant, providing
  1570. 49:19value in some capacity. You're trying to
  1571. 49:21pull people through the video that are
  1572. 49:22relevant and need to watch. An example
  1573. 49:24of this in terms of resource allocation
  1574. 49:26is that you can spend an hour going and
  1575. 49:28making two hooks and then five different
  1576. 49:31bodies for this ad, or you can go and
  1577. 49:33spend the same amount of time, but just
  1578. 49:35make two bodies and then 15 hooks, and
  1579. 49:39you will probably always get better
  1580. 49:40performance here given that the actual
  1581. 49:42scripting is good on the bodies. And the
  1582. 49:44reason being is that the delta available
  1583. 49:46in performance increase is normally
  1584. 49:48higher in the hook than it is in the
  1585. 49:49body. Once again, assuming scripting's
  1586. 49:51good. If you're not good at scripting,
  1587. 49:53well then like one of these bodies might
  1588. 49:54actually be a good script and then it
  1589. 49:56will hit and you'll get a
  1590. 49:56misrepresentation of the actual impact
  1591. 49:58here of the different components of the
  1592. 50:00ad. Now, in terms of rating whether a
  1593. 50:02hook is good, cuz I do this a lot. I do
  1594. 50:04a lot of reaction videos on Instagram
  1595. 50:05saying this is a bad hook, this is a
  1596. 50:07good hook. And I'm rating how well
  1597. 50:09people have done in putting a hook
  1598. 50:11together. Well, there is actually a
  1599. 50:13grading system that you can think
  1600. 50:14through as to how good your hook
  1601. 50:16actually is. Number one is clarity. Can
  1602. 50:19a stranger understand what you are
  1603. 50:21actually talking about within the first
  1604. 50:233 seconds or are you just trying to
  1605. 50:25confuse them as a way to hook them in?
  1606. 50:26Number two is relevance. Now, people
  1607. 50:28mistake this for a persona call out.
  1608. 50:30They mistake this for me taking the
  1609. 50:32persona that I was talking about before
  1610. 50:34and just calling them out at the start.
  1611. 50:36Hey, if you're a mom that has kids and
  1612. 50:38you're age 30 to 35 and you have this
  1613. 50:40problem, well listen up. Persona call
  1614. 50:41outs are super overrated and it's
  1615. 50:43because no one wants to hear themselves
  1616. 50:45called out. People want to hear the
  1617. 50:47problem that they're actually dealing
  1618. 50:49with and so you'll always see much
  1619. 50:50better performance agitating on a
  1620. 50:52problem than you will on any kind of
  1621. 50:55persona call out. And I have this from
  1622. 50:56personal experience. Anytime I get an ad
  1623. 50:58saying agency owners who need XYZ,
  1624. 51:01listen up. I never watch the ad. I move
  1625. 51:03on. But if they agitate on a specific
  1626. 51:05problem, it feels much more genuine. I
  1627. 51:07actually wants to I actually want to
  1628. 51:08watch through and find out what the
  1629. 51:09solution is to the problem that I am
  1630. 51:11actually currently facing. So, you want
  1631. 51:13it to be relevant but persona call outs
  1632. 51:15are nowhere near as effective as just
  1633. 51:18making the problem agitation relevant to
  1634. 51:19the person. We then have novelty. This
  1635. 51:21isn't a requirement but this is a really
  1636. 51:23good way to create white space within
  1637. 51:26the ad that you're making. And so this
  1638. 51:28concept of white space is also this
  1639. 51:30concept of purple ocean theory, which is
  1640. 51:32that you have a blue ocean over here.
  1641. 51:35You then have a red ocean over here.
  1642. 51:37Now, this is actually one of my favorite
  1643. 51:38books that I've ever read. I actually
  1644. 51:39reference it in a lot of content, blue
  1645. 51:41ocean theory. This is that you want to
  1646. 51:42reposition your product into a market
  1647. 51:45that differentiates you from everyone
  1648. 51:46else so that you're not competing on
  1649. 51:48pricing, you're not even getting
  1650. 51:49compared, and you're seen as a
  1651. 51:50completely novel product or service
  1652. 51:52within the market. Red ocean means that
  1653. 51:53you're selling the same stuff as
  1654. 51:55everyone else, and then you're just
  1655. 51:56getting priced down to zero. These are
  1656. 51:57terrible businesses. These are
  1657. 51:58incredible businesses. The issue with
  1658. 52:00blue oceans is they don't really exist
  1659. 52:03because if you're going truly blue,
  1660. 52:04you're selling something that's never
  1661. 52:05been sold before, and that's kind of
  1662. 52:08risky cuz there's no actual market
  1663. 52:10knowledge. You need to do tons of
  1664. 52:11education, and there's no proven product
  1665. 52:13market fit, either. So, yeah, you could
  1666. 52:15reposition into something that you think
  1667. 52:16people might want, but they might not
  1668. 52:17even want it. And so, you realistically
  1669. 52:19want to sit like somewhere in the middle
  1670. 52:21here where you're repositioning into
  1671. 52:22something novel, but it still has proven
  1672. 52:25product market fit. It's still proven
  1673. 52:26that it is going to work. It's just not
  1674. 52:28what everyone else is doing. It's
  1675. 52:29slightly adjacent. And so, we do this a
  1676. 52:31lot in our own content in terms of
  1677. 52:33format testing. So, we'll rotate in
  1678. 52:34different formats cuz we want to test
  1679. 52:36new things. We'll take ideas from other
  1680. 52:37industries, from other people. We'll
  1681. 52:39come up with our own ideas to try to cut
  1682. 52:41through and have novelty that people
  1683. 52:43haven't seen before. I would say this
  1684. 52:44YouTube video is actually an example of
  1685. 52:46that, which is that there isn't many
  1686. 52:47creative courses on YouTube for meta ads
  1687. 52:50that are 2 plus hours long. So, you want
  1688. 52:51to be thinking through that concept,
  1689. 52:53too, in the hook. Now, once again, it's
  1690. 52:54not a requirement, but it will help in
  1691. 52:57standing out without having some kind of
  1692. 52:59gimmicky tactic to hold people through
  1693. 53:01the ad that's not actually unique. The
  1694. 53:03question I would be asking yourself here
  1695. 53:05is has this hook been done a million
  1696. 53:08times? And if the hook's been done a
  1697. 53:09million times, probably don't do it. The
  1698. 53:11next is specificity. So, is there a way,
  1699. 53:13and you're not going to be able to do
  1700. 53:14this in a lot of hooks, but in our
  1701. 53:15specific hook, is there a way we can use
  1702. 53:18numbers, maybe quantify names, or maybe
  1703. 53:21even quantify outcomes right out of the
  1704. 53:23gates
  1705. 53:24that's going to build authority into the
  1706. 53:27hook. Anytime you can start a hook by
  1707. 53:29name-dropping someone that's super
  1708. 53:31famous that's relevant to the product in
  1709. 53:32some capacity, it always does better. If
  1710. 53:34you can name-drop some kind of number,
  1711. 53:3667% of people got this result, then once
  1712. 53:39again, it's going to build authority. If
  1713. 53:41you can speak straight to a specific
  1714. 53:42outcomes, it's going to build authority
  1715. 53:44and it's going to be more specific to
  1716. 53:45your target demographic that you want to
  1717. 53:46resonate with. And then lastly, we have
  1718. 53:48credibility, which is fairly obvious.
  1719. 53:49Now, with credibility, you're usually
  1720. 53:51not going to be able to do this through
  1721. 53:52the copy or through the audio. It's
  1722. 53:54typically going to have to be done
  1723. 53:56through the visual. And so you were
  1724. 53:57going to need either like someone famous
  1725. 53:59that pops up at the start, you're going
  1726. 54:01to need someone that is uh contextually
  1727. 54:03relevant. So if you're selling
  1728. 54:05supplements, you have a doctor who pops
  1729. 54:06up. If you're selling running
  1730. 54:08supplements, it's obviously like a
  1731. 54:10runner that pops up. You want to be
  1732. 54:11thinking about how you can build
  1733. 54:12credibility. Now, you don't need 10 out
  1734. 54:13of 10 scores on all of these to be able
  1735. 54:15to have a good hook. You really only
  1736. 54:16need a couple of them done well. This is
  1737. 54:18how you should be thinking through hook
  1738. 54:19creation. Now, let me give you a bunch
  1739. 54:21of hooks that you can go and start
  1740. 54:23using. Number one is problem agitation.
  1741. 54:25Do you want to lead with the pain that
  1742. 54:27the viewer is already feeling and you
  1743. 54:29want to make them feel seen. An example
  1744. 54:31of this is "Are you struggling with back
  1745. 54:33pain from desk work?" This will only
  1746. 54:36resonate with problem aware audiences.
  1747. 54:38So you can get really good performance,
  1748. 54:39but it isn't going to be scalable above
  1749. 54:41that stage of awareness. Number two is a
  1750. 54:43contrarian truth. So you challenge a
  1751. 54:44common assumption, you create cognitive
  1752. 54:47friction that demands a resolution. An
  1753. 54:49example here is everything you've been
  1754. 54:50told about protein timing is wrong. And
  1755. 54:52this works across all levels of
  1756. 54:54awareness and it works strong in organic
  1757. 54:56and paid. Number three is specific
  1758. 54:57proof. So you want to lead with a
  1759. 54:59measurable outcome, numbers, time
  1760. 55:00frames, specificity. An example of this
  1761. 55:03is "I lost 12 kilos in 90 days without
  1762. 55:06giving up pasta." So you build
  1763. 55:07credibility throughout the hook. The
  1764. 55:09next one is a curiosity gap. We spoke
  1765. 55:12about this before, which is that you
  1766. 55:14create an information gap that can only
  1767. 55:15be closed by watching. An example is
  1768. 55:18"What the top 1% of brands know about
  1769. 55:19meta ads that you don't." And a funny
  1770. 55:21side note is that my average view time
  1771. 55:23when I use that hook or some variation
  1772. 55:25of that hook is over 45 seconds. And so
  1773. 55:28that hook actually works incredibly well
  1774. 55:29because it creates an information gap in
  1775. 55:31my own organic content. Truth bomb,
  1776. 55:33there's actually one specific client
  1777. 55:34where this is just unbelievably well
  1778. 55:36for. So that's why I threw it in here
  1779. 55:38cuz I don't see many people doing it,
  1780. 55:39which is that you lead with an
  1781. 55:40uncomfortable truth about the product's
  1782. 55:42price, ingredients, or industry. The
  1783. 55:43honesty itself becomes the hook. And so,
  1784. 55:46the hook in this instance is something
  1785. 55:47along the lines of, "This product costs
  1786. 55:49$120. Yeah, it's super expensive, but
  1787. 55:53it's our best seller and everyone buys
  1788. 55:54it. Here's why." It ends up working
  1789. 55:56exceptionally well for premium or higher
  1790. 55:58average order value products where the
  1791. 56:00price ends up being the main objection
  1792. 56:02that people have. So, you confront it
  1793. 56:04way up front, and it actually works
  1794. 56:06really well at cutting through on cold
  1795. 56:07audiences. Cuz even if I've never seen
  1796. 56:08the product before, if someone's opening
  1797. 56:10with, "This thing is expensive." I'm
  1798. 56:12like, "Okay, what is that thing? Teach
  1799. 56:13me more." And then it can go into a very
  1800. 56:15very educational piece. Obviously,
  1801. 56:17that's only going to be relevant to very
  1802. 56:19specific industries. The next is
  1803. 56:22psychological confrontation. And so,
  1804. 56:24this is being direct and pattern
  1805. 56:25interrupting with a statement that feels
  1806. 56:27like a friend calling you out. An
  1807. 56:29example here would be, "You know that
  1808. 56:31drawer full of products you never use?
  1809. 56:33That's the problem." Or, "Stop buying
  1810. 56:35things that make you feel guilty for not
  1811. 56:36using them." It's not clickbait, but
  1812. 56:38it's playing on an emotional pain point.
  1813. 56:40And so, the viewer ends up feeling
  1814. 56:42personally addressed, which ends up
  1815. 56:43acting as a scroll stopper. Once again,
  1816. 56:45all of these things also apply into
  1817. 56:47organic, which is where I think getting
  1818. 56:48good at organic content is actually a
  1819. 56:50very critical skill for getting good at
  1820. 56:52creative strategy because it just
  1821. 56:53translates into paid. We'll keep going
  1822. 56:55here, which is you can also do sensory
  1823. 56:59I'm going to call this a texture hook as
  1824. 57:00well. This does unbelievably well in
  1825. 57:02fashion right now. This is just an ASMR
  1826. 57:04hook. So, you don't need any words, 2 to
  1827. 57:063 seconds, close-up of the fabric being
  1828. 57:08handled, a product being squeezed,
  1829. 57:10liquid being poured, package being
  1830. 57:12opened, something ASMR related. These do
  1831. 57:14incredibly well. Uh we have a lot of ads
  1832. 57:16right now that are high performers on
  1833. 57:18this hook. You've then got a founder's
  1834. 57:20letter. You can go and apply all of
  1835. 57:21these into most brands. So, you want to
  1836. 57:23open with the founder and their origin
  1837. 57:25story. So, we started this because {dot}
  1838. 57:27{dot} {dot} Or, "Here is why I left my
  1839. 57:29career to go and build this." The more
  1840. 57:31risk you can build within the hook as
  1841. 57:33well, the better. And so, you want to
  1842. 57:34build tension. And this is once again a
  1843. 57:36big organic strategy that you just want
  1844. 57:38to translate into paid, which is that
  1845. 57:40you want to have high stakes within the
  1846. 57:42hook if you're going to have a founder's
  1847. 57:43letter style hook, so that people have a
  1848. 57:45reason to continue watching. I
  1849. 57:47remortgaged my house and put $300,000
  1850. 57:50down to be able to order my first order
  1851. 57:53of this product. And here's what's
  1852. 57:54happened since. Like that hook, I could
  1853. 57:57almost guarantee it would do well. Now,
  1854. 57:58obviously, that has to be a real
  1855. 58:00circumstance, which is why that hook
  1856. 58:01does well. Right? It's things that you
  1857. 58:03can't fake. If you actually did put so
  1858. 58:06much risk on the line, it's a great
  1859. 58:08angle to be able to talk about that
  1860. 58:09risk. The last one here is social proof.
  1861. 58:13So, you want to lead with some kind of
  1862. 58:14credibility marker. 90% of customers saw
  1863. 58:16results in 30 days. Now, this is nine
  1864. 58:18different hook types that you can go and
  1865. 58:20take. You can probably apply at least
  1866. 58:21seven of these into your particular
  1867. 58:23brand right now. There are infinite hook
  1868. 58:25strategies. Right? I could write hooks
  1869. 58:26here all day long. I could fill the
  1870. 58:28whole board with 50 different hook
  1871. 58:29types. You can go to Claude or ChatGPT
  1872. 58:31right now and say, "Give me all the
  1873. 58:32different hook types that I can run."
  1874. 58:33The idea is that you want to take hook
  1875. 58:36strategies and you want to translate it
  1876. 58:37into your brand, but the scripting is
  1877. 58:39going to be critical. And where you're
  1878. 58:40going to really see uh a standout from
  1879. 58:43competitors is over here in this novelty
  1880. 58:45piece on whitespace. So, you can become
  1881. 58:47an eight-figure brand by using these
  1882. 58:49hook strategies and having relatively
  1883. 58:50good scores over here, but if you want
  1884. 58:53an ad that's going to hold half a
  1885. 58:54million dollars in spend, you do
  1886. 58:55probably want to generate something
  1887. 58:57novel at the beginning of the creative
  1888. 58:59that's going to stand out from
  1889. 59:00competitors. And then what's going to
  1890. 59:01happen is all your competitors are just
  1891. 59:02going to go and copy it. And so, you
  1892. 59:04will set the trend. Now, I've spoken
  1893. 59:05about the hook a lot, but an an
  1894. 59:07important subcomponent of the hook is
  1895. 59:09the bridge, which is where you move
  1896. 59:11between specific components within the
  1897. 59:12video. Now, the two big bridges that
  1898. 59:14often occur is when you go from hook to
  1899. 59:17body, and then when you go from body to
  1900. 59:19CTA. These two bridges often don't end
  1901. 59:22up being done well. And so, what ends up
  1902. 59:24happening is if you think about product
  1903. 59:26awareness on the Y axis and then you
  1904. 59:28think about time going through the video
  1905. 59:30asset on the X axis, what ends up
  1906. 59:32happening is people hook you in and
  1907. 59:34you'll become aware that it's an ad and
  1908. 59:36then suddenly as you bridge to the body,
  1909. 59:38some people will just instantly
  1910. 59:39introduce the product. So they'll hook
  1911. 59:41you with something like, are you trying
  1912. 59:43to train for a marathon and you want
  1913. 59:44better recovery? Well, creatine from
  1914. 59:47Blue Zones Digital is your solution.
  1915. 59:49That ad won't do well. Hook was good,
  1916. 59:52bridge ruined the whole thing. The whole
  1917. 59:54body could be good. Like the body
  1918. 59:55scripting could be perfect, hook
  1919. 59:56scripting could be perfect, call to
  1920. 59:58action could be great, but the bridge
  1921. 1:00:00ruins the whole asset. And so you don't
  1922. 1:00:03want your asset to look like this where
  1923. 1:00:05there's this massive step change in
  1924. 1:00:07product awareness as a user goes through
  1925. 1:00:09the creative. Instead, you want to blend
  1926. 1:00:11these out so that people are slowly
  1927. 1:00:13becoming aware that they're being sold
  1928. 1:00:15to. And so instead, you're looking like
  1929. 1:00:17this. And so I don't really even need to
  1930. 1:00:19give you that much information on how to
  1931. 1:00:20do this. To me, it's pretty intuitive
  1932. 1:00:23which is just blend in the introduction
  1933. 1:00:25of the product. Don't just suddenly
  1934. 1:00:27introduce it or else people go quickly
  1935. 1:00:29from oh, I was watching something that
  1936. 1:00:30was educational or that was teaching me
  1937. 1:00:32to oh, I'm actually being sold a
  1938. 1:00:33product. And people don't intuitively
  1939. 1:00:35like that feeling. This also, this jump
  1940. 1:00:37in bridge will typically ruin the flow
  1941. 1:00:40of scripting in most very good top of
  1942. 1:00:42funnel unaware ads. And so when it comes
  1943. 1:00:45to really good top of funnel unaware
  1944. 1:00:47ads, what they do is they move people
  1945. 1:00:49through the stages of awareness as you
  1946. 1:00:51progress through the ad. This is
  1947. 1:00:52actually something that VSLs, video
  1948. 1:00:54sales letter ads do unbelievably well
  1949. 1:00:57because they get the capacity to teach
  1950. 1:00:59through the asset. And so you start with
  1951. 1:01:01unaware. So you're hooking people in
  1952. 1:01:03with something that they might be
  1953. 1:01:04interested in, usually some kind of
  1954. 1:01:06curiosity gap. Then you're making them
  1955. 1:01:07problem aware. Okay, now I understand
  1956. 1:01:09that there's a problem with drinking
  1957. 1:01:11water. If I just drink water every day,
  1958. 1:01:13not only does it not have electrolytes
  1959. 1:01:15which apparently I need, I didn't even
  1960. 1:01:17realize this was a problem, but also tap
  1961. 1:01:19water's incredibly bad for me. Okay,
  1962. 1:01:20that's interesting. What's the solution?
  1963. 1:01:22Oh, the solution is is that I need this
  1964. 1:01:23amount of salt in this kind of ratio and
  1965. 1:01:25then I need to stop using tap water.
  1966. 1:01:27Okay. Ah, there's actually a product
  1967. 1:01:30that solves this problem. It's canned
  1968. 1:01:32mineral water with electrolytes in it.
  1969. 1:01:34Ah, okay. I was unaware of anything. I
  1970. 1:01:36became problem aware. I became solution
  1971. 1:01:38aware. I'm now product aware. Okay, this
  1972. 1:01:40is going to fix all of these problems
  1973. 1:01:41that I didn't realize I had and now I
  1974. 1:01:43move down into the aware stage of
  1975. 1:01:45awareness where maybe I convert on a
  1976. 1:01:46retargeting ad. Now, this is generally
  1977. 1:01:48how you want to be thinking through
  1978. 1:01:49scripting on really good top of funnel
  1979. 1:01:50ads, but what most people do is that
  1980. 1:01:52they'll start really unaware. They'll
  1981. 1:01:54then go problem aware and then like in
  1982. 1:01:56here they'll just introduce the product.
  1983. 1:01:58And you're like, "What are we doing? We
  1984. 1:01:59haven't even moved them to the next
  1985. 1:02:00stage of awareness. We can't introduce
  1986. 1:02:02the product yet." And people do this cuz
  1987. 1:02:04they think in retention curves. And so
  1988. 1:02:06they go, "Well, if we look at the
  1989. 1:02:07retention curve on an ad, which is how
  1990. 1:02:09many people are still watching on
  1991. 1:02:10average as we move through a creative,
  1992. 1:02:12the retention curve will look like
  1993. 1:02:13this." And so intuitively you go, "Well,
  1994. 1:02:1680% of people are going to drop off by
  1995. 1:02:19the 90-second mark. So we need to
  1996. 1:02:20introduce our product before the
  1997. 1:02:2290-second mark cuz we don't want most of
  1998. 1:02:25the users to not know they're being sold
  1999. 1:02:26our product. It's the wrong way to think
  2000. 1:02:28through it. Okay, you actually want to
  2001. 1:02:30introduce your product as late as
  2002. 1:02:31possible in the creative because you
  2003. 1:02:33want people to be problem aware and
  2004. 1:02:34solution aware and really pre-framed and
  2005. 1:02:37engaged, ready to buy once the product
  2006. 1:02:39is actually introduced. You don't want
  2007. 1:02:41to introduce the product too early
  2008. 1:02:42before they're actually aware of what
  2009. 1:02:44the problem and solution is. And so you
  2010. 1:02:46often end up getting way better
  2011. 1:02:47conversion rates out of an asset by
  2012. 1:02:49moving the product introduction and call
  2013. 1:02:51to action way later because these people
  2014. 1:02:54are now way more qualified to actually
  2015. 1:02:56buy and are way more higher intent. And
  2016. 1:02:58so yes, you can introduce it sooner, but
  2017. 1:03:00they're not high intent enough that you
  2018. 1:03:02will actually have worse conversion
  2019. 1:03:03rates and even though it's more total
  2020. 1:03:05people, you will ultimately get worse
  2021. 1:03:07total purchase volume out of the asset.
  2022. 1:03:09And so that is something to be really
  2023. 1:03:11careful of when you're thinking about
  2024. 1:03:12bridging. Now, to wrap this section up,
  2025. 1:03:14one final question that I get a lot is
  2026. 1:03:17does hook testing still work post
  2027. 1:03:19Andromeda? Because isn't the whole point
  2028. 1:03:21in Andromeda that we need diversity? And
  2029. 1:03:23if I have a 90-second Facebook ad, me
  2030. 1:03:27just changing the first 3 seconds at the
  2031. 1:03:29start, that's not diversity.
  2032. 1:03:31Right? That's the same ad. We just
  2033. 1:03:33changed the first 3 seconds.
  2034. 1:03:35Meta will still recognize a different
  2035. 1:03:37hook as a different creative. It will
  2036. 1:03:39get its own creative ID. It will not get
  2037. 1:03:42pulled together with this asset. It will
  2038. 1:03:44go and reach a novel unique audience.
  2039. 1:03:46Now, obviously, there is going to be
  2040. 1:03:48some degree of overlap because 87
  2041. 1:03:50seconds of this asset is going to be
  2042. 1:03:52talking to the same person with the same
  2043. 1:03:54problem with the same offer. So, if we
  2044. 1:03:56actually look at the concept framework,
  2045. 1:03:58it is the same concept. It's just the
  2046. 1:04:00hook chain. So, the question becomes is
  2047. 1:04:01hook changes worth it? Yes. Why is it
  2048. 1:04:04worth it? Because it is so low effort.
  2049. 1:04:06Rotating in new hooks is almost free.
  2050. 1:04:09Okay, when you record the ad, you just
  2051. 1:04:11record the hooks six times and it takes
  2052. 1:04:13an extra few minutes and you've got six
  2053. 1:04:15different hook variations. Or you can
  2054. 1:04:17take existing high performers and you
  2055. 1:04:18throw new hooks on them. We have had ads
  2056. 1:04:20that have spent 50 100 thousand dollars
  2057. 1:04:22fatigued, then we just rotate 50 new
  2058. 1:04:25hooks on and we get another 100 thousand
  2059. 1:04:27dollars to spend at the same efficiency.
  2060. 1:04:29And those hooks took like 1 hour to
  2061. 1:04:32shoot. And so, you can very much so keep
  2062. 1:04:34winners alive through changing hooks.
  2063. 1:04:36You can also take ads that didn't work
  2064. 1:04:38and then suddenly make them work by
  2065. 1:04:40fixing the hook that had a really bad
  2066. 1:04:42hook rate. So, yes, absolutely hook
  2067. 1:04:44testing still works post Andromeda. You
  2068. 1:04:46should be doing it. It is still the
  2069. 1:04:47highest leverage point in videos,
  2070. 1:04:50organic, ads, YouTube, everything. All
  2071. 1:04:52right. So, when it comes to formats,
  2072. 1:04:54there's five questions that you need to
  2073. 1:04:55be asking yourself when you're thinking
  2074. 1:04:57on a format. Number one, what is the
  2075. 1:04:58concept? We need to define the concept
  2076. 1:05:00first before we even think about
  2077. 1:05:01formats. You want to go out, build your
  2078. 1:05:03persona angle offer, then come back to
  2079. 1:05:05thinking about the format. You don't
  2080. 1:05:07start with the format and work
  2081. 1:05:08backwards. This is the last step.
  2082. 1:05:10Secondly, does this concept require
  2083. 1:05:12education? Now, if it requires
  2084. 1:05:14education, you likely need to go into
  2085. 1:05:15some longer form asset that's going to
  2086. 1:05:18educate. Number three, can the value
  2087. 1:05:20prop be communicated in a single frame?
  2088. 1:05:22This is obviously going to lean yourself
  2089. 1:05:24towards images, carousels, something
  2090. 1:05:26that's easier to produce. Can obviously
  2091. 1:05:28still be in a video, but you do have an
  2092. 1:05:30advantage with images that they're very
  2093. 1:05:32easy and cheap to produce and you can
  2094. 1:05:33produce a lot of them. So, anytime you
  2095. 1:05:35can produce statics over videos, you
  2096. 1:05:38generally want to do it. Now, there's
  2097. 1:05:39two different approaches to statics, if
  2098. 1:05:41we just leave these out for the moment,
  2099. 1:05:42which is number one, you can use statics
  2100. 1:05:44to quickly test different angles and
  2101. 1:05:46different concepts, get fast feedback,
  2102. 1:05:48and then develop that into a video
  2103. 1:05:50format where you can go a lot deeper and
  2104. 1:05:52create a more scalable asset. And then
  2105. 1:05:54number two is that images are very cheap
  2106. 1:05:57to make and so they often end up
  2107. 1:05:59outweighing videos in the cost of
  2108. 1:06:01production. So, if you look at the
  2109. 1:06:02average spend of an image versus a video
  2110. 1:06:04in your account, it might actually make
  2111. 1:06:05a lot of sense to just go way harder on
  2112. 1:06:07images because the cost of production is
  2113. 1:06:08super low and the average revenue
  2114. 1:06:10generation is decent in proportion. And
  2115. 1:06:12so, this is what is called cost of
  2116. 1:06:14production against the average revenue
  2117. 1:06:18per ad. This is something that we
  2118. 1:06:19calculate for everyone during the audit
  2119. 1:06:21process because we want to understand
  2120. 1:06:23what is the average revenue per ad that
  2121. 1:06:25you put into the account. For most
  2122. 1:06:27people, it's about like $2,000-ish.
  2123. 1:06:29And then what is your cost of production
  2124. 1:06:31against this delineated down to
  2125. 1:06:33contribution margin. And so, we minus
  2126. 1:06:36off gross profit, we minus off the cost
  2127. 1:06:38of serving the ad, we might find that
  2128. 1:06:40average contribution margin per ad unit
  2129. 1:06:42is, let's say, $350.
  2130. 1:06:45How much is it costing us to make an ad?
  2131. 1:06:46It might be costing us $400. Okay, this
  2132. 1:06:49equation doesn't work. We're currently
  2133. 1:06:50paying more to produce an ad than we're
  2134. 1:06:52getting contribution margin out of each
  2135. 1:06:54ad. We can then go and delineate this
  2136. 1:06:56down to images specifically. We might
  2137. 1:06:58find out images cost us about $50, but
  2138. 1:07:01they're producing us $300.
  2139. 1:07:04Videos are costing us 500 and we're only
  2140. 1:07:07getting 400 here. And so we actually
  2141. 1:07:09find out even though videos do perform
  2142. 1:07:10better, the actual cost of production
  2143. 1:07:13versus expected contribution margin is
  2144. 1:07:14worse than image assets and therefore we
  2145. 1:07:16should actually just double down on
  2146. 1:07:18images. And I know people doing
  2147. 1:07:20$200,000 a day in revenue on just AI
  2148. 1:07:23images. And so there's absolutely no
  2149. 1:07:25reason as to why you can't do hundreds
  2150. 1:07:26of thousands of dollars a day on images
  2151. 1:07:29only. And if you can't, it just ends up
  2152. 1:07:30being a skill issue. Number four is does
  2153. 1:07:32the product need a demo? This is just
  2154. 1:07:34going to be a general question that
  2155. 1:07:35applies to the business as a whole,
  2156. 1:07:37which is how much education do we need
  2157. 1:07:39to force people through because
  2158. 1:07:41obviously you're going to be relatively
  2159. 1:07:42restricted with images then unless you
  2160. 1:07:44get really fancy and you you have a good
  2161. 1:07:46designer. And then lastly, which ties
  2162. 1:07:47into both of these points, is what stage
  2163. 1:07:49of awareness are we sitting in? Okay, if
  2164. 1:07:51we're sitting in a very high stage of
  2165. 1:07:53awareness, we need a creative that is
  2166. 1:07:55going to be a longer format that can
  2167. 1:07:56educate, typically a video. If we are
  2168. 1:07:58sitting at a very low stage of
  2169. 1:08:00awareness, like the product aware or
  2170. 1:08:02aware stages, uh we can just go for DPAs
  2171. 1:08:05and images and get away with very bottom
  2172. 1:08:07of funnel ads. I want to reiterate that
  2173. 1:08:08the belief that image ads are bottom of
  2174. 1:08:11funnel and video ads are top of funnel
  2175. 1:08:13is fundamentally a skill issue. Once
  2176. 1:08:15again, I have seen multiple ad accounts,
  2177. 1:08:17I've talked to multiple people that do
  2178. 1:08:19hundreds of thousands of dollars per day
  2179. 1:08:21in revenue off just that. And so if
  2180. 1:08:24you're saying, "Oh, statics don't work,
  2181. 1:08:25they're bottom of funnel assets." It's
  2182. 1:08:27because yeah, the way that you design
  2183. 1:08:28them and the way that you approach them
  2184. 1:08:29and concept them out is bottom of
  2185. 1:08:31funnel. But you can make top of funnel
  2186. 1:08:32statics. We're now going to cut out two
  2187. 1:08:35three ad breakdowns that I have done on
  2188. 1:08:38static images. We're going to go through
  2189. 1:08:39an organic tweet format, which is an
  2190. 1:08:41IM-8 health ad. We're going to go
  2191. 1:08:43through a creatine gummies ad. And then
  2192. 1:08:45we're going to go through a GLP-1 hair
  2193. 1:08:47loss ad and you will see three statics
  2194. 1:08:49that are holding tons of spend on top of
  2195. 1:08:51funnel. This is an incredible static ad.
  2196. 1:08:534.7 thousand likes down here. It's by
  2197. 1:08:56IM-8 and let's break down exactly why
  2198. 1:08:58it's so good. Number one, it's a new
  2199. 1:08:59format. They're actually using a tweet
  2200. 1:09:01here and they're re-posting it, so it
  2201. 1:09:03feels organic to the platform, but it's
  2202. 1:09:06actually an ad. Now, further to this,
  2203. 1:09:07they're reinforcing it by using not a
  2204. 1:09:10partnership ad, so they're not
  2205. 1:09:11collaborating with IMA and Dr. James,
  2206. 1:09:14but it's just Dr. James. So, they're
  2207. 1:09:16running it as effectively a whitelisting
  2208. 1:09:18ad through this profile, so you don't
  2209. 1:09:20know that this is an ad. In fact, you
  2210. 1:09:22would look at this for a very long time,
  2211. 1:09:23and it's only until you start getting
  2212. 1:09:25through the copy that sits under the
  2213. 1:09:27creative over here, that you actually
  2214. 1:09:29realize that you're getting sold
  2215. 1:09:30something. So, what's so good about the
  2216. 1:09:31static over here, other than it being a
  2217. 1:09:32common format and that you're not really
  2218. 1:09:34knowing that it's an ad, so it feels
  2219. 1:09:35organic? Well, symptoms of vitamin
  2220. 1:09:37deficiencies. So, right away, we're
  2221. 1:09:38problem agitating into okay, here's some
  2222. 1:09:42education around how vitamin
  2223. 1:09:43deficiencies could be impacting you.
  2224. 1:09:45Then, this is an unbelievably wide set
  2225. 1:09:49of symptoms. So, if you have dry eyes,
  2226. 1:09:51if you have poor vision, if you have low
  2227. 1:09:52energy, if you have bad skin, if you
  2228. 1:09:54have cracks on your mouth, if you have
  2229. 1:09:56fatigue, if you have bleeding gums, if
  2230. 1:09:57you have painful muscles, if you have
  2231. 1:09:59excessive bruising, all of these things,
  2232. 1:10:02very, very wide total addressable
  2233. 1:10:03market. Well, then, it's an issue with a
  2234. 1:10:06vitamin deficiency, and it tells you
  2235. 1:10:07exactly what the vitamin deficiency is.
  2236. 1:10:09So, you get education around okay,
  2237. 1:10:11here's my problem, here's the solution.
  2238. 1:10:13Then, you start probably reading the
  2239. 1:10:15copy, and you go, "The best multivitamin
  2240. 1:10:17equals IMA, daily ultimate, 10% off.
  2241. 1:10:20Here's the thing." Then, you get more
  2242. 1:10:22educational pieces here about how the
  2243. 1:10:24product actually works, and obviously,
  2244. 1:10:25because this is an ad, a big call to
  2245. 1:10:27action will appear at the bottom here
  2246. 1:10:29that it will allow you to click straight
  2247. 1:10:30off the site. So, it problem agitates to
  2248. 1:10:32a very wide target demographic, it then
  2249. 1:10:35educates about exactly what the solution
  2250. 1:10:38is in terms of vitamin to solve your
  2251. 1:10:39particular problem. It does it in a
  2252. 1:10:41format that's super organic. It then
  2253. 1:10:43maintains that organic feeling by not
  2254. 1:10:45having the brand and company name
  2255. 1:10:47attached with the post, and then this is
  2256. 1:10:49obviously driving off to cold audiences,
  2257. 1:10:51probably driving off to this guy's
  2258. 1:10:52audience, which is even better up
  2259. 1:10:54because we're obviously piggybacking off
  2260. 1:10:56his organic. This is an advertorial
  2261. 1:10:58static card. These are really good. They
  2262. 1:11:00perform incredibly well. They only
  2263. 1:11:02perform well though if you go to an
  2264. 1:11:03education-based landing page or you use
  2265. 1:11:05the primary text to educate heavily. So,
  2266. 1:11:07let's break it down. The best hair
  2267. 1:11:09growth products of 2025 and the ones to
  2268. 1:11:11avoid. Here's what the big brands are
  2269. 1:11:13not telling you. And then we have a
  2270. 1:11:14bunch of different products here. So, we
  2271. 1:11:16know or we at least assume, okay, this
  2272. 1:11:18is some kind of blog. This is some kind
  2273. 1:11:20of article that's going to educate us
  2274. 1:11:21around what hair growth products we
  2275. 1:11:23should actually be buying. Now, even
  2276. 1:11:24better, it's running through a doctor's
  2277. 1:11:26page. Okay, so there's a bit of
  2278. 1:11:28authority here. As a dermatologist, I
  2279. 1:11:30set out on a mission to find the most
  2280. 1:11:31effective hair growth products. Not very
  2281. 1:11:33long copy, so they're not selling us on
  2282. 1:11:34anything here. Okay, so we want to find
  2283. 1:11:36out more. So, what do we do? We go and
  2284. 1:11:38we go and click learn more. Now, from
  2285. 1:11:39here we end up on a website called
  2286. 1:11:41dermatologist reviews. Now, this website
  2287. 1:11:43is owned by the brand that's trying to
  2288. 1:11:45sell you on something. This is a really
  2289. 1:11:47good funnel. So, hi, who is the person?
  2290. 1:11:50Why do they have authority? This is the
  2291. 1:11:51blog posted. I set out on a mission and
  2292. 1:11:54here are just the products. Right. And
  2293. 1:11:55then it goes into all of the reasons as
  2294. 1:11:58to why and it goes into selling that
  2295. 1:11:59product. And then it does go into the
  2296. 1:12:01other ones, but it goes into why yeah, I
  2297. 1:12:03probably wouldn't choose these. They're
  2298. 1:12:04not the best. Now, why is this a
  2299. 1:12:06giveaway that this is actually a brand
  2300. 1:12:08pushing? Well, because if we look at the
  2301. 1:12:09rankings here, you can't click on any of
  2302. 1:12:11these, right? But you can click on this
  2303. 1:12:13one. And if you click on this one, goes
  2304. 1:12:14to a custom landing page that then takes
  2305. 1:12:16you through a quiz funnel. You go
  2306. 1:12:18through a quiz funnel and then you get
  2307. 1:12:19pushed through to the conversion. So,
  2308. 1:12:21this is a really good funnel that
  2309. 1:12:23they're running here. I really like it.
  2310. 1:12:24And almost to make sure they're a little
  2311. 1:12:25bit compliant, I imagine. As you scroll
  2312. 1:12:28down, this takes you to the same funnel,
  2313. 1:12:29but as we continue going down, look at
  2314. 1:12:30all the green ticks here. So many green
  2315. 1:12:32ticks, one red. Only available online.
  2316. 1:12:34And then him and hers, oh, widely
  2317. 1:12:37available online. Oh, that's the best
  2318. 1:12:38thing about it. All of these negatives,
  2319. 1:12:40but you can still click here and it
  2320. 1:12:41takes you to an Amazon affiliate link.
  2321. 1:12:44And so they're like, "If people are not
  2322. 1:12:45clicking on us, then we may as well
  2323. 1:12:46still redirect them somewhere." And then
  2324. 1:12:48obviously you can see they've put the
  2325. 1:12:50the into reviewing all of these and all
  2326. 1:12:51the reasons as to why they wouldn't buy
  2327. 1:12:53them. This is a super effective funnel.
  2328. 1:12:54I imagine this is doing quite well for
  2329. 1:12:56them. If your target demographic is 50
  2330. 1:12:57plus, you can serve on Facebook feeds,
  2331. 1:12:59this ad type crushes. It's static image
  2332. 1:13:02ads with long-form copy. And the reason
  2333. 1:13:03why they do so well is they go through a
  2334. 1:13:05massive story that speaks to an unaware
  2335. 1:13:08audience and slowly pulls them into
  2336. 1:13:10being problem aware, pulls them into
  2337. 1:13:12being solution aware, then pulls them
  2338. 1:13:13into being product aware, and then
  2339. 1:13:15finally, they're all the way at the
  2340. 1:13:17stage in which they can convert. These
  2341. 1:13:19ads will crush on cold audiences, but it
  2342. 1:13:22takes an enormous amount of skill to
  2343. 1:13:23actually be able to write this copy
  2344. 1:13:25properly. Like, yes, you can be AI
  2345. 1:13:26assisted, but if you don't know
  2346. 1:13:28fundamentals of how to emotionally
  2347. 1:13:29appeal to a specific target demographic,
  2348. 1:13:31then it's not going to work. And this is
  2349. 1:13:33ultimately where getting good at
  2350. 1:13:34copywriting really matters. If you can
  2351. 1:13:36get good at copywriting and you can get
  2352. 1:13:37good at pulling people through the
  2353. 1:13:39stages of customer awareness, then that
  2354. 1:13:41is ultimately how you can create these
  2355. 1:13:43static image ads with long-form copy
  2356. 1:13:45that are going to absolutely crush. Now,
  2357. 1:13:47in addition to that, to keep it
  2358. 1:13:48contextual to 2026 in the time in which
  2359. 1:13:50this video is being made, a type of
  2360. 1:13:52video asset that does incredibly well
  2361. 1:13:54right now on older target demographics
  2362. 1:13:56is a VSL, a video sales letter. The
  2363. 1:13:58reason why these types of ads do so well
  2364. 1:14:00is because they pull people through all
  2365. 1:14:02of the stages of awareness and they're
  2366. 1:14:03highly educational. You can also really
  2367. 1:14:05leverage AI within them. We make a lot
  2368. 1:14:08of just AI VSLs end-to-end, and they do
  2369. 1:14:11quite well. And then some of them do
  2370. 1:14:12unbelievably well and hold hundreds of
  2371. 1:14:14thousands of dollars in ad spend. So,
  2372. 1:14:15what we're going to do now is I'm going
  2373. 1:14:17to pop up a few examples of VSLs and me
  2374. 1:14:19breaking them down so you can see an
  2375. 1:14:21example of what this ad type looks like.
  2376. 1:14:23>> IBS, leaky gut, or bloating, you're
  2377. 1:14:26probably missing this one thing.
  2378. 1:14:29>> That's a really good VSL. First off, it
  2379. 1:14:31starts with a persona callout. If you
  2380. 1:14:33have these issues, keep watching.
  2381. 1:14:34>> Doctor probably told you to just manage
  2382. 1:14:36it with a course of pills. That's
  2383. 1:14:37because
  2384. 1:14:38>> Then it's going into objection handling,
  2385. 1:14:40the common way to fix it.
  2386. 1:14:41>> They're treating the symptom, not the
  2387. 1:14:43cause. But here
  2388. 1:14:44>> Then it problem educates and opens a
  2389. 1:14:46curiosity gap. Okay, I thought it was
  2390. 1:14:48actually going to cause us to fix the
  2391. 1:14:50problem, but this ad is saying it's not.
  2392. 1:14:52All right, I'm going to keep watching.
  2393. 1:14:53>> Here's what they're not telling you.
  2394. 1:14:55Your gut isn't broken, it's starving.
  2395. 1:14:57Your gut is an ego
  2396. 1:14:58>> I don't love that because it's an AI
  2397. 1:15:00script. So, that's called contrast
  2398. 1:15:02negation, which is where you say it's
  2399. 1:15:03not X, it's Y. You see a lot of this in
  2400. 1:15:05a lot of scripting these days. I
  2401. 1:15:06probably would take that out.
  2402. 1:15:08>> an ecosystem of trillions of bacteria.
  2403. 1:15:10When the good bacteria die and bad
  2404. 1:15:12bacteria take over, everything
  2405. 1:15:13collapses. When you get inflammation, a
  2406. 1:15:16leaky gut, and your body stops absorbing
  2407. 1:15:18nutrients. This
  2408. 1:15:19>> Really good educational piece.
  2409. 1:15:21>> is dysbiosis, and it's not rare. 40% of
  2410. 1:15:24people have it. Most of them don't even
  2411. 1:15:25know. You might be among them, but
  2412. 1:15:27here's the problem with
  2413. 1:15:29>> Really good way to enforce that no, you
  2414. 1:15:31do have this problem because when you
  2415. 1:15:33prescribe a problem to someone,
  2416. 1:15:35particularly when it's like a disease or
  2417. 1:15:37it's a physical medical issue, the
  2418. 1:15:39immediate reaction is, well, I probably
  2419. 1:15:41don't have this. I imagine this is rare.
  2420. 1:15:43So, instantly increasing the TAM by
  2421. 1:15:44knowing that 40% of people actually have
  2422. 1:15:46this problem is a really good way to
  2423. 1:15:47keep people watching to go, okay, maybe
  2424. 1:15:49I do have the problem. Tell me a little
  2425. 1:15:50bit more about it.
  2426. 1:15:51>> with every gut supplement you've tried.
  2427. 1:15:53They just throw probiotics at it. That's
  2428. 1:15:55like sending a single soldier into a war
  2429. 1:15:57zone. One probiotic can't survive in a
  2430. 1:15:59toxic gut. It dies. It doesn't colonize.
  2431. 1:16:02It doesn't help. I AM 8 daily ultimate
  2432. 1:16:04essentials doesn't just add probiotics.
  2433. 1:16:07First, digestive enzymes clear
  2434. 1:16:09>> I don't love the bridge. If the ad
  2435. 1:16:11team's watching this, I would extend for
  2436. 1:16:13another 15 seconds and educate around
  2437. 1:16:15how the I AM 8 ingredients actually fix
  2438. 1:16:17the issue and then introduce I AM 8 as
  2439. 1:16:20the solution that has those ingredients.
  2440. 1:16:22>> and undigested food. Second, prebiotics
  2441. 1:16:24create a safe environment for good
  2442. 1:16:26bacteria. Third, 10 billion CFU of
  2443. 1:16:28probiotics flood in and colonize.
  2444. 1:16:31Fourth, postbiotics strengthen your gut
  2445. 1:16:33lining and stop the leaks.
  2446. 1:16:34>> So, the 10 to 15 seconds would be
  2447. 1:16:36saying, uh the way that you get
  2448. 1:16:38probiotics to work is that you have
  2449. 1:16:39prebiotics and postbiotics around it,
  2450. 1:16:41and that's actually what creates the
  2451. 1:16:43system to work. Fortunately, Biome Aid
  2452. 1:16:45has put all of those three solutions in
  2453. 1:16:46one sachet, so you can get them all at
  2454. 1:16:48once, and it can fix the issues that we
  2455. 1:16:50agitated at the start.
  2456. 1:16:51>> It's a complete military operation, not
  2457. 1:16:53a single soldier.
  2458. 1:16:54>> That's an AI script once again, contrast
  2459. 1:16:56negation. I'll try to avoid that.
  2460. 1:16:58>> And it works. In a 12-week clinical
  2461. 1:17:00trial, 85% of
  2462. 1:17:01>> And then it goes into social proofing,
  2463. 1:17:03it keeps going on. Overall, really good
  2464. 1:17:04ad. Just some small points of
  2465. 1:17:05improvement.
  2466. 1:17:06>> This ad has 25 million views. It's been
  2467. 1:17:08running for 3 to 4 years now. It's
  2468. 1:17:10absolutely crushing, and I'll show you
  2469. 1:17:12what it does so well. It takes a really
  2470. 1:17:14common format of VSLs, and then it adds
  2471. 1:17:16objection handling UGC to the front. So,
  2472. 1:17:19let's click play and start to watch the
  2473. 1:17:20ad.
  2474. 1:17:21>> I want to talk to you about something
  2475. 1:17:22that's been making waves on social media
  2476. 1:17:23lately. You've probably seen this guy
  2477. 1:17:26all over your feed claiming that cutting
  2478. 1:17:28carbs is
  2479. 1:17:29>> So, they're using the split screen for
  2480. 1:17:30engagement and to add more context to
  2481. 1:17:32the video.
  2482. 1:17:32>> necessary for weight loss. No need for
  2483. 1:17:34long hours on the treadmill, either.
  2484. 1:17:36Now, I know it sounds too good to be
  2485. 1:17:37true, but let me tell you, there's more
  2486. 1:17:39to this than meets the eye.
  2487. 1:17:40>> I decided When you're watching this, you
  2488. 1:17:41think that this guy is obviously going
  2489. 1:17:43to disagree with the cutting carbs
  2490. 1:17:45because he's coming from a news
  2491. 1:17:46authority perspective, and it kind of
  2492. 1:17:48feels like a collab video. Like, this
  2493. 1:17:50guy is talking about how you don't need
  2494. 1:17:51to eat carbs, it's crazy. Like, what is
  2495. 1:17:53he talking about?
  2496. 1:17:54>> I decided to delve into this topic and
  2497. 1:17:55do some research. Turns out, this guy is
  2498. 1:17:57a celebrity trainer who's gained a
  2499. 1:17:58massive following for challenging
  2500. 1:18:00mainstream advice. He claims that what
  2501. 1:18:02we've been told about weight loss is
  2502. 1:18:03wrong, completely wrong. And you know
  2503. 1:18:05what? Makes a lot of sense when you
  2504. 1:18:06listen to what he has to say. So,
  2505. 1:18:09>> So, that's the first time in which he
  2506. 1:18:10validates the person he's talking about,
  2507. 1:18:12but everything through that first 28
  2508. 1:18:14seconds was contrarian hooks, contrarian
  2509. 1:18:16takes over and over again.
  2510. 1:18:18>> Celebrities don't cut carbs.
  2511. 1:18:20>> That ain't how you lose weight. I don't
  2512. 1:18:22do that. None of my clients do that.
  2513. 1:18:25Nobody that has ever asked me how to
  2514. 1:18:26lose weight have I ever told them to do
  2515. 1:18:28that because it simply just doesn't
  2516. 1:18:30work. For anyone who doesn't know their
  2517. 1:18:31metabolic type, listen up. The fastest
  2518. 1:18:34way to burn fat and get shredded is not
  2519. 1:18:36keto, it's not paleo, it's not
  2520. 1:18:39carnivore, it's not vegan.
  2521. 1:18:41>> Note that this creative is just going
  2522. 1:18:44very, very hard on contrarian takes.
  2523. 1:18:47It's pretty much the entire strategy of
  2524. 1:18:48this whole ad is like, how do we put as
  2525. 1:18:50many contrarian takes in here as
  2526. 1:18:51possible to continue to string people
  2527. 1:18:53along as we kind of educate and we kind
  2528. 1:18:55of hint towards that we have our own
  2529. 1:18:57system. And then eventually we obviously
  2530. 1:18:59bridge into that system. So they're
  2531. 1:19:00creating a curiosity gap through this
  2532. 1:19:02whole thing. Okay, if no one needs to
  2533. 1:19:04cut carbs, then what is the actual
  2534. 1:19:06solution?
  2535. 1:19:07>> And it's definitely not super intense
  2536. 1:19:09exercises like this. Cuz listen, if
  2537. 1:19:11you're trying to get in shape and I
  2538. 1:19:13don't care what it's for, a wedding,
  2539. 1:19:14vacation, summer, don't care. If you're
  2540. 1:19:16trying to get in shape fast, you need to
  2541. 1:19:18follow a plan for your body type. And
  2542. 1:19:20there is a very simple breakdown of body
  2543. 1:19:23types. There's three body types. Uh you
  2544. 1:19:25have the skinny person who's trying to
  2545. 1:19:27put on muscle. Then you have someone
  2546. 1:19:28who's kind of in the middle, maybe has a
  2547. 1:19:30little bit too much fat
  2548. 1:19:31>> turns going to go into the educational
  2549. 1:19:33piece. It's effectively going to sell
  2550. 1:19:34his system in the way that he views
  2551. 1:19:36weight loss and body types and
  2552. 1:19:37programming, etc. This is such a good
  2553. 1:19:40ad. In the last 5 days it's got 2,000
  2554. 1:19:42likes. Let's break down exactly why.
  2555. 1:19:45>> So you hop on chest is
  2556. 1:19:46>> opens with a contrarian hook and
  2557. 1:19:48obviously the visuals pull you in.
  2558. 1:19:50>> What I would say if I was a caveman that
  2559. 1:19:52wasn't aware of all the way
  2560. 1:19:54>> builds contrast and then goes into an
  2561. 1:19:55educational piece.
  2562. 1:19:57>> is that you can boost it naturally.
  2563. 1:19:58Being low T can be caused by many fac
  2564. 1:20:00>> switches over to a different format,
  2565. 1:20:02which is the faceless format, which is
  2566. 1:20:04better in it to education, particularly
  2567. 1:20:06on organic and we're trying to make this
  2568. 1:20:08ad feel organic.
  2569. 1:20:09>> High stress, vitamin deficiencies, not
  2570. 1:20:11enough fat in your diet, not enough good
  2571. 1:20:13sleep, microplastics, high estrogen,
  2572. 1:20:15high inflammation. It's become a serious
  2573. 1:20:17problem for young men who often feel
  2574. 1:20:19like there's only one solution.
  2575. 1:20:21>> Af
  2576. 1:20:21>> So notice they'll problem agitate and
  2577. 1:20:23then they'll educate. Problem agitate,
  2578. 1:20:25then educate. So there's all the
  2579. 1:20:26problems, here's the solution. This
  2580. 1:20:28isn't the solution for you. Goes back
  2581. 1:20:30into problems.
  2582. 1:20:31>> After all, global testosterone levels
  2583. 1:20:33have dropped over 30% in the last 50
  2584. 1:20:35years. Young, fit, healthy
  2585. 1:20:37>> So, there's the education, and then
  2586. 1:20:39here's the problem agitation.
  2587. 1:20:40>> guys will have the testosterone of a
  2588. 1:20:4170-year-old that has never seen the
  2589. 1:20:43inside of a gym in their life. It's a
  2590. 1:20:45grim side effect of our modern society
  2591. 1:20:47with low test taking away the feeling of
  2592. 1:20:49being a real man. A consequence of this
  2593. 1:20:51is a wave of young men, even teenagers,
  2594. 1:20:54hopping on TRT out of desperation and
  2595. 1:20:57because they don't want to fall behind.
  2596. 1:20:58But, injecting test is a minefield of
  2597. 1:21:00side effects. Rapid hair loss, high
  2598. 1:21:02estrogen causing gyno, mood swings,
  2599. 1:21:04>> objection handling around the core
  2600. 1:21:06premise of the hook, which was injecting
  2601. 1:21:08test, and so now he's explaining why
  2602. 1:21:09that's not a good idea.
  2603. 1:21:10>> There's infertility and acne, not to
  2604. 1:21:12mention a big-ass needle injected
  2605. 1:21:14multiple times a week. In amongst this
  2606. 1:21:16chaos, how do I, a lifetime natural,
  2607. 1:21:19have more testosterone than most guys
  2608. 1:21:21running cycles? Whilst I'm dialed with
  2609. 1:21:23my sleep, training, recovery, and diet,
  2610. 1:21:25so many guys who are low T. However, my
  2611. 1:21:27secret weapon is a Nattie Plus all of
  2612. 1:21:30me.
  2613. 1:21:30>> And there you go, there's the product.
  2614. 1:21:31So, the product's been introduced after
  2615. 1:21:32about a minute and a half into the
  2616. 1:21:34creative, which is why it's done so
  2617. 1:21:35well. It's why it's scaling so well.
  2618. 1:21:37It's on an influencer profile. People
  2619. 1:21:38know this influencer. It's likely
  2620. 1:21:40prioritizing getting served to his own
  2621. 1:21:41audience. And so, when people are
  2622. 1:21:43watching this, they're not knowing it's
  2623. 1:21:44an ad. They're thinking it's
  2624. 1:21:45educational. And honestly, it's a great
  2625. 1:21:47educational piece. It goes into
  2626. 1:21:48everything you need to know about
  2627. 1:21:49testosterone and why you would want to
  2628. 1:21:51get behind and buy this product. And it
  2629. 1:21:52does it in a way that's very
  2630. 1:21:54entertaining. It's fast cuts. It's
  2631. 1:21:55constantly changing formats. It's built
  2632. 1:21:58native for the platform, which is why
  2633. 1:22:00it's scaling so well.
  2634. 1:22:01>> One important PSA here is DPAs, okay?
  2635. 1:22:04DPAs, dynamic product ads, those are the
  2636. 1:22:07carousel ads that will dynamically pull
  2637. 1:22:09in the product that someone visited on
  2638. 1:22:10the website, as long as your pixel is
  2639. 1:22:12set up correctly, pushing back in data
  2640. 1:22:14on which pages were viewed. DPAs cause a
  2641. 1:22:17death spiral in a lot of brands. I see
  2642. 1:22:19this in fashion particularly, uh which
  2643. 1:22:21is that DPAs have really good attributed
  2644. 1:22:23ROAS. The ROAS number is very high. Now,
  2645. 1:22:26the ROAS actually isn't very high once
  2646. 1:22:29you delineate out existing customers.
  2647. 1:22:31So, if you remove existing customers, it
  2648. 1:22:33drops precipitously. And then, you also
  2649. 1:22:36want to delineate the attribution model
  2650. 1:22:37down to incremental attribution. And so,
  2651. 1:22:41you can do this by clicking on the
  2652. 1:22:44breakdown button in the top Actually,
  2653. 1:22:46sorry. You click on the columns button,
  2654. 1:22:48compare attribution settings,
  2655. 1:22:51incremental attribution, apply. And
  2656. 1:22:53then, you'll get a split out of what the
  2657. 1:22:55incremental ROAS is on the ad. A quick
  2658. 1:22:57lesson on how incremental attribution
  2659. 1:22:59works is that every single day, Meta is
  2660. 1:23:01targeting, let's say, 10,000 people in
  2661. 1:23:03this square. It will hold out 10% of
  2662. 1:23:05users, and it will look at these people
  2663. 1:23:07that didn't see your ads, how many of
  2664. 1:23:08them converted. Let's say, 1% of them
  2665. 1:23:10converted. Over here, the people that do
  2666. 1:23:12see your ads, 2% of them convert. Okay,
  2667. 1:23:15great. What we can do, what's called in
  2668. 1:23:17data science, is a
  2669. 1:23:18difference-in-difference calculation,
  2670. 1:23:19which is simply minusing the control
  2671. 1:23:21versus the treatment. This equals 1%.
  2672. 1:23:24So, your ads are actually having a 1%
  2673. 1:23:26impact, not a 2%. And so, when we see a
  2674. 1:23:28five ROAS on that DPA, let's say as an
  2675. 1:23:31example, we actually need to adjust that
  2676. 1:23:33down by 50% to 2.5. So, that's what
  2677. 1:23:35incremental attribution is doing. That's
  2678. 1:23:37what it's going to show you on the ROAS
  2679. 1:23:38here. And the ROAS in your DPAs is going
  2680. 1:23:40to be way lower than you think it is,
  2681. 1:23:42particularly on new audiences. I am
  2682. 1:23:43still yet to see an ad account where
  2683. 1:23:45this is a great scalable ad type on cold
  2684. 1:23:47audiences. Now, is it an ad type that
  2685. 1:23:49can work on cold audiences? For sure.
  2686. 1:23:52Can you spend a thousand dollars a day
  2687. 1:23:53on it?
  2688. 1:23:54For sure. We have some ad accounts that
  2689. 1:23:56do.
  2690. 1:23:57Can you spend fifty thousand dollars a
  2691. 1:23:58day on it? Absolutely not. Like, you
  2692. 1:24:01just can't scale DPAs that well on cold
  2693. 1:24:03audiences. Most people are way
  2694. 1:24:04overspending cuz the ROAS number looks
  2695. 1:24:06good. So, just be super careful. Cuz
  2696. 1:24:07what ends up happening there is because
  2697. 1:24:09DPAs sit at the bottom of the funnel
  2698. 1:24:11down here, is that people start
  2699. 1:24:12reallocating their budgets from these
  2700. 1:24:14top-of-funnel efforts that have bad
  2701. 1:24:17return on ad spend, and they just start
  2702. 1:24:19moving budget down here. And when you
  2703. 1:24:21start moving budget down here, you start
  2704. 1:24:23losing the quantity of users that are
  2705. 1:24:24coming through from the top of funnel,
  2706. 1:24:26and you start scaling something that
  2707. 1:24:27isn't scalable, and the whole funnel
  2708. 1:24:29topples over, and return on ad spend
  2709. 1:24:30declines, and everything goes poorly.
  2710. 1:24:32So, in fact, when you're thinking about
  2711. 1:24:33funnel budget allocation, you want to be
  2712. 1:24:35thinking about 70% to 90% of budget
  2713. 1:24:38going towards top of funnel. You want
  2714. 1:24:4020% ish of budget going to middle of
  2715. 1:24:43funnel, and then you want really like 5%
  2716. 1:24:45to 10% of budget going to bottom of
  2717. 1:24:46funnel. There's actually a better way to
  2718. 1:24:48calculate bottom of funnel budgeting,
  2719. 1:24:49which I'm going to show you later in the
  2720. 1:24:50video. But, this is rough split on how
  2721. 1:24:53it should look. Now, what's interesting
  2722. 1:24:54these days is that you used to do this
  2723. 1:24:56through campaign structure. So, you
  2724. 1:24:57would have your top of funnel ads, and
  2725. 1:24:59you would just set your budget here,
  2726. 1:25:00you'd have your middle of funnel, you'd
  2727. 1:25:01set your budget here, and then you'd
  2728. 1:25:02have your bottom bottom of funnel. Uh
  2729. 1:25:03the issue right now is there actually is
  2730. 1:25:05a lack of campaign structure. You
  2731. 1:25:06shouldn't be structuring like this. You
  2732. 1:25:07should just consolidate these down, and
  2733. 1:25:09you might be able to have a bottom of
  2734. 1:25:10funnel that sits separate. And so,
  2735. 1:25:11because of that, the actual budget
  2736. 1:25:13allocation is coming from the creative
  2737. 1:25:15production volume. And so, you want 70%
  2738. 1:25:17to 90% of the volume of assets you make
  2739. 1:25:20to be at the high stages of awareness,
  2740. 1:25:22and you want 20% of them to be at the
  2741. 1:25:24middle to bottom of funnel stages of
  2742. 1:25:26awareness. So, this is more so a
  2743. 1:25:28percentage allocation of creative
  2744. 1:25:30production than it is a percentage
  2745. 1:25:32allocation of budgets across a campaign
  2746. 1:25:33structure. I would say one of the most
  2747. 1:25:35underutilized
  2748. 1:25:37formats in 2026 is partnership ads. Now,
  2749. 1:25:39I think people are catching on to this
  2750. 1:25:40actually, and the arbitrage is probably
  2751. 1:25:42coming towards its end. So, by the time
  2752. 1:25:43you watch this video, if you're way into
  2753. 1:25:45the future, this might not be the case
  2754. 1:25:46anymore. You might have missed it. But,
  2755. 1:25:48partnership ads, what they are is they
  2756. 1:25:49run through the creator's profile. So,
  2757. 1:25:51you'll have your profile here, so your
  2758. 1:25:53company name on the top of the post, and
  2759. 1:25:55then you'll have and and then the
  2760. 1:25:57influencer's profile right here. Now,
  2761. 1:25:59these days there's actually a setting
  2762. 1:26:00that allows them to change the
  2763. 1:26:02combinations, and so sometimes you'll
  2764. 1:26:03just see the company, sometimes you'll
  2765. 1:26:04just see the influencer, sometimes
  2766. 1:26:06you'll see both, and it will split test
  2767. 1:26:07and decide on whatever the best mix is.
  2768. 1:26:09Uh but, the reason why these ads do so
  2769. 1:26:11well is that the targeting uses the
  2770. 1:26:14audience on both handles. And so, if
  2771. 1:26:16this is an influencer that's actually
  2772. 1:26:18somewhat contextually relevant to your
  2773. 1:26:19target demographic, which I hope it is,
  2774. 1:26:21this ad will go and reach their
  2775. 1:26:22audience, and it will use their audience
  2776. 1:26:24data to find new people. And so, you're
  2777. 1:26:26effectively leveraging the influencer's
  2778. 1:26:28audience to help in your targeting on
  2779. 1:26:31cold, not even just targeting on warm.
  2780. 1:26:33And that's why they end up doing so
  2781. 1:26:34well. They also feel super authentic.
  2782. 1:26:36When you get an ad from a uh influencer
  2783. 1:26:38profile like this, it doesn't feel as
  2784. 1:26:40much so like an ad, so it doesn't feel
  2785. 1:26:41like you're getting sold to. So, when
  2786. 1:26:42you're getting an organic piece of
  2787. 1:26:43content, it resonates better. And some
  2788. 1:26:45accounts that we're working on, we have
  2789. 1:26:46ad spend up to 40% of total account
  2790. 1:26:48spend running through partnership or
  2791. 1:26:50collaborator ads. And so, this is a
  2792. 1:26:52really important thing that you should
  2793. 1:26:53have in your account. If you are not
  2794. 1:26:55running them, you were just at a
  2795. 1:26:56disadvantage to competitors. All right,
  2796. 1:26:57so going into the testing framework and
  2797. 1:26:59how this then translates into the ad
  2798. 1:27:01account, this is what the testing cycle
  2799. 1:27:03looks like, which is that you build a
  2800. 1:27:05hypothesis, which is you define what
  2801. 1:27:07you're actually testing. So, when we're
  2802. 1:27:09introducing new creative, generally the
  2803. 1:27:11test is the concept, and particularly
  2804. 1:27:13one of those four variables that we're
  2805. 1:27:14changing in the creative. Then we want
  2806. 1:27:16to build a bunch of ads under that
  2807. 1:27:17concept. One big mistake that a lot of
  2808. 1:27:20people make is that they come up with a
  2809. 1:27:21concept, they build it all out, it looks
  2810. 1:27:23amazing, and then they make one ad, or
  2811. 1:27:24they make two ads, or they make three
  2812. 1:27:25ads. Like, really, if you want to test a
  2813. 1:27:27concept properly, you want at least 10
  2814. 1:27:29plus ads, considering that most people's
  2815. 1:27:31hit rates in their account are around
  2816. 1:27:32about 5%. And so, technically speaking,
  2817. 1:27:34if you have a new concept coming in, you
  2818. 1:27:36would need to do, if you had a 5% hit
  2819. 1:27:38rate, you'd need to do at least 20 ads
  2820. 1:27:40to expect a winner. And so, thinking
  2821. 1:27:41about your hit rate in the account as a
  2822. 1:27:43function of how much volume you need to
  2823. 1:27:45do to be able to validate the hypothesis
  2824. 1:27:47is critical. Then you want to go and
  2825. 1:27:48launch, and I'm going to show you with
  2826. 1:27:50the exact structure that you should
  2827. 1:27:51launch into. You then want to go and
  2828. 1:27:52analyze, particularly against the
  2829. 1:27:54hypothesis. So, what did we expect? What
  2830. 1:27:56How much spend did we want to go
  2831. 1:27:57through? How many conversions did we
  2832. 1:27:58expect? What was the ROI? And then how
  2833. 1:28:00did that compare? If it worked, we want
  2834. 1:28:02to be looking at how we can employ
  2835. 1:28:03strategies to scale, and then we want to
  2836. 1:28:05go down and iterate. And this iteration
  2837. 1:28:07process gets faster and faster the
  2838. 1:28:09bigger your ad spend. So, now when we
  2839. 1:28:11think about account structure and
  2840. 1:28:12introducing tests into the account, this
  2841. 1:28:14is where there becomes a lot of
  2842. 1:28:15flexibility. And this is where we prefer
  2843. 1:28:17not to actually make broad sweeping
  2844. 1:28:20account structure recommendations
  2845. 1:28:21because the fundamentals of account
  2846. 1:28:23structure is that the complexity of the
  2847. 1:28:25ad account should be a product of the
  2848. 1:28:27complexity of the business. And so, if
  2849. 1:28:29you run a startup that's doing $10,000 a
  2850. 1:28:32month in revenue and you have one
  2851. 1:28:33product and you have one persona that
  2852. 1:28:35you're trying to crack, the account
  2853. 1:28:36structure should be unbelievably simple.
  2854. 1:28:39You don't need 100 different campaigns.
  2855. 1:28:41On the other hand, if you're an $800
  2856. 1:28:43million fashion retailer with 50 new
  2857. 1:28:45SKUs coming out per week and you have
  2858. 1:28:48all of these different business units
  2859. 1:28:49and regions within the business, well,
  2860. 1:28:51the ad account's probably going to be
  2861. 1:28:52pretty complex because it needs to match
  2862. 1:28:54that complexity in some degree so that
  2863. 1:28:55we can align the commercial goals of the
  2864. 1:28:57business with the structure that is
  2865. 1:28:59being run in the ad account. And so, the
  2866. 1:29:00structure I'm about to give you is a
  2867. 1:29:02very broad sweeping, this will work if
  2868. 1:29:05you're a small to mid-size business, but
  2869. 1:29:07it's probably not exactly what you
  2870. 1:29:08should run right now and moving into the
  2871. 1:29:10future as it will likely evolve as the
  2872. 1:29:13business dynamics evolve. But to keep it
  2873. 1:29:15simple, you generally want a testing
  2874. 1:29:17campaign. Now, whether this is an or
  2875. 1:29:20a CBO is honestly going to come down to
  2876. 1:29:22personal preference and I'll tell you
  2877. 1:29:23how to think about this problem in a
  2878. 1:29:25moment, but then underlying this, you
  2879. 1:29:27have your concepts at the ad set level.
  2880. 1:29:29So, this is concept one, this is concept
  2881. 1:29:32two,
  2882. 1:29:33this is concept three,
  2883. 1:29:35etc., etc. Now, you're either setting
  2884. 1:29:37budgets across these manually using an
  2885. 1:29:39or the CBO's just going to
  2886. 1:29:41distribute budget. Under here, you're
  2887. 1:29:42going to have all your ads. A common
  2888. 1:29:44question I get is, "Well, okay, we go
  2889. 1:29:46and put four ads or five ads under here.
  2890. 1:29:48How many ads should we launch and when
  2891. 1:29:49we come up with new ads for this
  2892. 1:29:50concept, do we launch it in here or do
  2893. 1:29:52we launch a new ad set?" Which is both
  2894. 1:29:54really good questions. In terms of ad
  2895. 1:29:56volume, this is really open based on
  2896. 1:29:58budgets, but you generally want a
  2897. 1:29:59minimum of three ads and then a maximum
  2898. 1:30:03of probably 50 to 100, but honestly, the
  2899. 1:30:05limit is kind of the sky based on your
  2900. 1:30:07ad spend. And so, I wouldn't really be
  2901. 1:30:09thinking about upper funnel upper
  2902. 1:30:10limits. I would just be thinking about
  2903. 1:30:12lower limits, which is a minimum of
  2904. 1:30:13three.
  2905. 1:30:14When you then want to go and introduce
  2906. 1:30:15more ads, this is based on whether
  2907. 1:30:17you're hitting KPI. So, what is going to
  2908. 1:30:20happen when you introduce more ads under
  2909. 1:30:22this ad set is you were going to reset
  2910. 1:30:24the learning phase to some degree.
  2911. 1:30:26Because there is sequencing that is
  2912. 1:30:27occurring across all of these different
  2913. 1:30:29creative. And then when you go and
  2914. 1:30:30launch more ads in here, you disrupt the
  2915. 1:30:32sequencing and it relearns how to
  2916. 1:30:34distribute your spend. Now, that is not
  2917. 1:30:36good if the ad set's performing well.
  2918. 1:30:39If this ad set is crushing it and you're
  2919. 1:30:40really happy with it and you're scaling
  2920. 1:30:42it up, don't go and mess with the
  2921. 1:30:44learning phase. Don't go and inject a
  2922. 1:30:46bunch of new ads. You might mess the
  2923. 1:30:48performance up. And I've actually
  2924. 1:30:49personally done this years ago and so
  2925. 1:30:51that's why I'm very big on not touching
  2926. 1:30:53stuff that's working. If it's not
  2927. 1:30:54hitting KPI, and this is way
  2928. 1:30:56underperforming,
  2929. 1:30:58go for your life. Do whatever you want.
  2930. 1:30:59You can turn ads off. It doesn't matter
  2931. 1:31:01cuz yes, you're going to break some
  2932. 1:31:02sequencing, but the sequencing isn't
  2933. 1:31:03working. So, who cares? Go and launch as
  2934. 1:31:05many ads as you want in here, right? Do
  2935. 1:31:07whatever you want cuz it's not a KPI.
  2936. 1:31:09So, you need to change something. But if
  2937. 1:31:11things are working, definitely don't go
  2938. 1:31:12and launch more ads in here. If you go
  2939. 1:31:14and make more ads for this concept,
  2940. 1:31:16let's say the concept's crushing it, so
  2941. 1:31:17you go and make 20 more ads, go and
  2942. 1:31:19launch another ad set, right? And call
  2943. 1:31:21it concept one and then like shoot two.
  2944. 1:31:24Or obviously, whatever naming convention
  2945. 1:31:26you want to use to be able to clarify
  2946. 1:31:28the difference between these, but then
  2947. 1:31:29also be able to filter that they are the
  2948. 1:31:31same concept. Now, the question becomes,
  2949. 1:31:32well, how do you scale? Let's say
  2950. 1:31:33concept one is performing well. What do
  2951. 1:31:36we do? Well, number one, increase
  2952. 1:31:37budgets. Never turn this off. A big
  2953. 1:31:39mistake that people make is they take
  2954. 1:31:41something that's winning and they turn
  2955. 1:31:42it off and they go and launch it in like
  2956. 1:31:43a scaling campaign. It's such a rookie
  2957. 1:31:45mistake, just fundamentally speaking,
  2958. 1:31:47because if something works, don't touch
  2959. 1:31:49it. Leave it.
  2960. 1:31:50Increase the budget. Now, in addition to
  2961. 1:31:52that, sure, you [snorts] can take these
  2962. 1:31:54post IDs and you can wrap them around
  2963. 1:31:56into a scaling campaign. That's fine.
  2964. 1:31:58And that will work. It works in a a of
  2965. 1:32:00accounts. We run scaling campaigns in a
  2966. 1:32:02lot of accounts, a lot of accounts we
  2967. 1:32:03don't run scaling campaigns. Once again,
  2968. 1:32:05it's dependent on the actual ad account
  2969. 1:32:06and the business. You can run a scaling
  2970. 1:32:07campaign, you can take these, you can
  2971. 1:32:09post them over here. If it doesn't work,
  2972. 1:32:10don't do it. Just keep it in the
  2973. 1:32:11testing. And then next to these two, the
  2974. 1:32:13only third campaign that I would usually
  2975. 1:32:14recommend is to have a retargeting
  2976. 1:32:17campaign that is generally on existing
  2977. 1:32:20customers. So, it gives you the ability
  2978. 1:32:22to exclude existing customers from here
  2979. 1:32:25and exclude existing customers from
  2980. 1:32:26here. So, these can surely be cold and
  2981. 1:32:28that allows you to control budgets.
  2982. 1:32:29Depending on how long the customer
  2983. 1:32:30journey is as well, you might want an ad
  2984. 1:32:32set here on 90-day website visitors as a
  2985. 1:32:34mid-funnel. But, this is only if you
  2986. 1:32:36think that you need to increase
  2987. 1:32:37frequency on engaged audiences. Now,
  2988. 1:32:39what are the metrics that matter for
  2989. 1:32:41being able to measure the performance of
  2990. 1:32:42creative? Let's list them out in order
  2991. 1:32:45of reliability. Number one is amount
  2992. 1:32:47spent. Now, this is counterintuitive. A
  2993. 1:32:49lot of people look at this and go, "Why
  2994. 1:32:50would budget distribution to an ad be
  2995. 1:32:52the most important proxy for performance
  2996. 1:32:54over extended time periods?" And the
  2997. 1:32:56reason being is due to the sequencing
  2998. 1:32:58that we talked about before. Right? So,
  2999. 1:33:00if you have a bunch of different ads,
  3000. 1:33:01attribution's only going to go to the
  3001. 1:33:03last ad. So, if we use ROAS as the
  3002. 1:33:04primary KPI, we're going to miss the
  3003. 1:33:07fact that Meta's actually putting all
  3004. 1:33:08your budget here. Why? When this only
  3005. 1:33:10has a 1.7 and this has a 2.2, why would
  3006. 1:33:12all the budget go here? Probably because
  3007. 1:33:14this ad is causing purchases elsewhere
  3008. 1:33:17in the account. And so, this is actually
  3009. 1:33:19a great top-of-funnel asset that likely
  3010. 1:33:21has a low frequency that's cutting
  3011. 1:33:22through on new audiences. And so, if
  3012. 1:33:23you're going to look at these three ads,
  3013. 1:33:25I would say that this is the highest
  3014. 1:33:27performer if it has double the spend of
  3015. 1:33:28the other ones. Even though this is a
  3016. 1:33:30higher ROAS, sure. But, if this could
  3017. 1:33:31scale, it would have more spend in it
  3018. 1:33:32and it doesn't. And so, amount spent
  3019. 1:33:34becomes the best proxy for performance
  3020. 1:33:36when looking at creative. Number two,
  3021. 1:33:39sure, is ROAS or CPA. You just want to
  3022. 1:33:42be making sure you're looking at 7-day
  3023. 1:33:43click or incremental attribution. Number
  3024. 1:33:45three is going to be CPC and CTRs. This
  3025. 1:33:49is a leading indicator for the
  3026. 1:33:52effectiveness of the ad. Obviously, you
  3027. 1:33:54can have good CTRs and good CPCs, but
  3028. 1:33:57the conversion rate of the ad can suck
  3029. 1:33:58and that's not a good ad. And so this
  3030. 1:34:00obviously isn't a primary indicator of
  3031. 1:34:02the quality of a creative. That is where
  3032. 1:34:04you have to use multiple different
  3033. 1:34:06metrics in conjunction to be able to
  3034. 1:34:08assess quality.
  3035. 1:34:09Um but it is a good leading indicator,
  3036. 1:34:11particularly on the fringes. So like if
  3037. 1:34:13we look at CPCs as an example, and let's
  3038. 1:34:15say this is what your CPCs on average
  3039. 1:34:17look like across all of your ads. If
  3040. 1:34:19above this point is let's say a $3 CPC,
  3041. 1:34:22and none of these ads have ever been
  3042. 1:34:24profitable, we can use this as a leading
  3043. 1:34:26indicator to know that these ads at very
  3044. 1:34:28early spend will actually never work cuz
  3045. 1:34:29it's too expensive to drive traffic. The
  3046. 1:34:31next two are hook rates and hold rates.
  3047. 1:34:33These only apply to video assets,
  3048. 1:34:34obviously, because the hook rate is how
  3049. 1:34:36many people make it past 3 seconds in
  3050. 1:34:38the video, and the hold rate, there's
  3051. 1:34:40different definitions of hold rate. We
  3052. 1:34:41actually look at a lot of different
  3053. 1:34:42definitions in our reporting, but as a
  3054. 1:34:45generalization, this is how many people
  3055. 1:34:46make it past 15 seconds. Obviously, hook
  3056. 1:34:48rates and hold rates are not correlated
  3057. 1:34:52to conversion performance, but they are
  3058. 1:34:54a diagnostic tool that allows us to
  3059. 1:34:56iterate on creative based on what we
  3060. 1:34:58think is letting us down.
  3061. 1:35:00And so we may have a creative that we
  3062. 1:35:02thought was going to do really well, but
  3063. 1:35:04the hook rate is terrible against our
  3064. 1:35:05average. And so we try to switch the
  3065. 1:35:08hook out to try to fix that to see if
  3066. 1:35:09the body actually performs. Same thing
  3067. 1:35:11applies to hold rate. People might not
  3068. 1:35:12be holding through the bridge. Turns out
  3069. 1:35:14the bridge was actually done poorly, so
  3070. 1:35:16we redo that part of the video and then
  3071. 1:35:18we can iterate accordingly. So before I
  3072. 1:35:19said I would explain versus CBO and
  3073. 1:35:22the risk profile here. So the reason why
  3074. 1:35:24you would choose one over the other is
  3075. 1:35:26actually based on risk tolerance. So
  3076. 1:35:27what happens when you use CBO is that
  3077. 1:35:29it's going to play in to Pareto's
  3078. 1:35:32principle. This applies literally
  3079. 1:35:34everywhere I've ever seen it, which is
  3080. 1:35:36that 80% of something will drive will be
  3081. 1:35:39driven from 20%. So this applies into
  3082. 1:35:42companies where 20% of people will drive
  3083. 1:35:4480% of revenue generation. This applies
  3084. 1:35:46into the ad account, which is that 20%
  3085. 1:35:48of ads will drive 80% of revenue. 20% of
  3086. 1:35:51ads will hold 80% of revenue. Crazy
  3087. 1:35:53thing about Pareto's principle is that
  3088. 1:35:55it compounds in on itself and you see
  3089. 1:35:57this within every single data set I have
  3090. 1:35:59done on ad accounts breaking down their
  3091. 1:36:01ad profile. Which is that of this 80%,
  3092. 1:36:0580% of this which comes out to 64% of
  3093. 1:36:08total is driven by 20% of this, which
  3094. 1:36:10this comes out to 4%. So, 4% of ads will
  3095. 1:36:14hold about 64% of total spend and total
  3096. 1:36:17revenue generation within the business.
  3097. 1:36:19Now, CBOs play into Pareto's principle.
  3098. 1:36:23And what that means is that if you just
  3099. 1:36:24allow the campaign to distribute budgets
  3100. 1:36:27however it wants, it will naturally end
  3101. 1:36:29up distributing budgets like this. Where
  3102. 1:36:31majority of all of your budget in the
  3103. 1:36:32account will go to 4% of your ads. Now,
  3104. 1:36:35that's fine cuz that's going to yield
  3105. 1:36:36the best efficiency and performance, but
  3106. 1:36:39it is super risky. Because if these ads
  3107. 1:36:41fatigue, you are in a very bad position.
  3108. 1:36:43You don't have backups. If we go back to
  3109. 1:36:46the start of the video, which is
  3110. 1:36:47portfolio management, CBOs are terrible
  3111. 1:36:50for portfolio management. Okay? Because
  3112. 1:36:52you're going to over leverage into a few
  3113. 1:36:55ads. This also becomes an issue when you
  3114. 1:36:57want to control sell through rates
  3115. 1:36:58across multiple different products. And
  3116. 1:37:00so, you might have a large product
  3117. 1:37:02portfolio that all sit under the one CBO
  3118. 1:37:04and then all of the spend just goes to a
  3119. 1:37:06few to particular products. Because
  3120. 1:37:08Pareto's principle applies into a
  3121. 1:37:10product level as well. 20% of products
  3122. 1:37:12will drive 80% of revenue. And so, your
  3123. 1:37:14entire business will end up skewing and
  3124. 1:37:16increasing the risk profile, which you
  3125. 1:37:17might be fine with, but that's the
  3126. 1:37:19trade-off that you have to make. So,
  3127. 1:37:21when you think about these two,
  3128. 1:37:22CBO is increased risk,
  3129. 1:37:25but likely increased ROI. This is
  3130. 1:37:28decreased risk, but likely slightly
  3131. 1:37:31lower ROI. And it depends on which
  3132. 1:37:33position you want to be in. I
  3133. 1:37:34personally, if I'm running the business,
  3134. 1:37:36I actually choose this every day of the
  3135. 1:37:39week, dependent on like what season and
  3136. 1:37:42where you are in the business. And so,
  3137. 1:37:43there are periods in time in which I
  3138. 1:37:45would actually switch over to CBO if I
  3139. 1:37:47need a quick spike in efficiency,
  3140. 1:37:49efficiency is isn't where we need it to
  3141. 1:37:50be. I don't care about testing and
  3142. 1:37:52de-risking right now. We just need ROI
  3143. 1:37:54to come through. But then, ideally, you
  3144. 1:37:56want to be in a steady state over here
  3145. 1:37:58where the business is de-risked across
  3146. 1:38:00more ads, across more products, and a
  3147. 1:38:02lot more stuff is working so that if
  3148. 1:38:04something stops working, you aren't in a
  3149. 1:38:05terrible position. Uh this next point
  3150. 1:38:07I'm particularly calling out cuz we work
  3151. 1:38:09with a lot of nine-figure large
  3152. 1:38:10retailers here in Australia. And if any
  3153. 1:38:12of them are watching, then they'll know
  3154. 1:38:14that this problem exists, which is that
  3155. 1:38:16in a lot of large retailers who a lot of
  3156. 1:38:18my audience is spent on, there is this
  3157. 1:38:2090/10 problem with desire versus pain
  3158. 1:38:23point led content. And this
  3159. 1:38:24fundamentally comes from old-style
  3160. 1:38:26marketing, which is campaign shoots. And
  3161. 1:38:28so, a lot of these large uh retailers in
  3162. 1:38:31fashion or whatever industry it is, they
  3163. 1:38:34were built around campaign shoots. And
  3164. 1:38:36campaign shoots do one thing, and that
  3165. 1:38:38is that they build desire. And so, they
  3166. 1:38:40have models, they have shots that make
  3167. 1:38:42you want to desire having the product,
  3168. 1:38:44but play to pain points at all. And so,
  3169. 1:38:47you end up with the ad account being
  3170. 1:38:48significantly overweighted towards
  3171. 1:38:50desire rather than towards pain. And at
  3172. 1:38:52the end of the day, the best performance
  3173. 1:38:54marketing assets are those that sit on
  3174. 1:38:57pain. And so, I would strongly recommend
  3175. 1:38:59looking at your current creative mix
  3176. 1:39:01through this lens and thinking about how
  3177. 1:39:03do we actually start to shift this ratio
  3178. 1:39:06over to 60/40. Now, I personally think
  3179. 1:39:08that the best brands are probably closer
  3180. 1:39:11to 70/30 here. You can almost think of
  3181. 1:39:13this in a way of like this is
  3182. 1:39:15performance marketing driven assets.
  3183. 1:39:17This is branding driven assets. Now, one
  3184. 1:39:19last thing in the testing framework is
  3185. 1:39:20assets for retargeting. So, how should
  3186. 1:39:23you be thinking about retargeting ads on
  3187. 1:39:25bottom of funnel? This is something I've
  3188. 1:39:26been saying for a very long time. This
  3189. 1:39:28is probably one of my first YouTube
  3190. 1:39:30videos that we put out, which is that on
  3191. 1:39:32your bottom of funnel retargeting
  3192. 1:39:33campaigns, you want to think about
  3193. 1:39:36objection handling. This is the primary
  3194. 1:39:38purpose of a product aware ad. And you
  3195. 1:39:40can think about this mathematically,
  3196. 1:39:42which is that let's say you have a 5%
  3197. 1:39:44conversion rate on the website. That
  3198. 1:39:46means that 95% of people did not buy.
  3199. 1:39:49Now, the question is, why didn't these
  3200. 1:39:52people buy? What were their objections?
  3201. 1:39:54Maybe 20% of them had a price objection.
  3202. 1:39:58It was just price too high. They never
  3203. 1:40:00will buy at that particular price. Now,
  3204. 1:40:02they might buy in the future when you're
  3205. 1:40:03on sale, but right now they won't buy.
  3206. 1:40:0520% of people
  3207. 1:40:06don't trust the brand. There wasn't
  3208. 1:40:08enough trust credibility markers on the
  3209. 1:40:10website or the ads that they
  3210. 1:40:11particularly saw to reinforce them to
  3211. 1:40:14actually purchase the product. 20% don't
  3212. 1:40:17like the quality. They think the quality
  3213. 1:40:19is probably going to be bad. Now, this
  3214. 1:40:20is arguably a trust issue, but these are
  3215. 1:40:22really two different things and they
  3216. 1:40:23should be come at in two different ways.
  3217. 1:40:25And then maybe another 20% of people are
  3218. 1:40:27just not ready to buy yet. Okay, so it's
  3219. 1:40:29too soon. It was the first ad they've
  3220. 1:40:32seen. It was the first ad they've
  3221. 1:40:33clicked on. They just need a little bit
  3222. 1:40:35more time to purchase. So, we want to
  3223. 1:40:37understand this mix. We want to
  3224. 1:40:38understand why people aren't buying, and
  3225. 1:40:40then we want to handle all of these
  3226. 1:40:42objections in our bottom of funnel
  3227. 1:40:43creative. And so, on the price
  3228. 1:40:45objection, we want to be showing
  3229. 1:40:46discounts. We want to be value
  3230. 1:40:48anchoring. We want to even going for a
  3231. 1:40:50creative that's like a cost per use
  3232. 1:40:52angle. These actually crush on bottom of
  3233. 1:40:54funnel. So, if you're selling like a
  3234. 1:40:56supplement, you compare it to a coffee.
  3235. 1:40:58It's a cost the price of a coffee with
  3236. 1:40:59the same caffeine, etc., etc. If they
  3237. 1:41:01don't trust the brand, we want to come
  3238. 1:41:03in with social proofing. How many
  3239. 1:41:05customers do we have? How many five-star
  3240. 1:41:06reviews do we have? Do we have any
  3241. 1:41:08user-generated content testimonials that
  3242. 1:41:09we can use here? If they're doubting the
  3243. 1:41:11quality of the product, we want to show
  3244. 1:41:13UGC of the product actually in use. We
  3245. 1:41:15want before and afters. We want
  3246. 1:41:17demonstrations. And if it's simply too
  3247. 1:41:19soon for them to buy yet, we want to be
  3248. 1:41:21staying present and top of mind with
  3249. 1:41:23educational or lifestyle content. And
  3250. 1:41:24then this is what the mix should be in
  3251. 1:41:26all of our bottom of funnel assets. And
  3252. 1:41:28this is how you ultimately yield strong
  3253. 1:41:30conversion rates once people have been
  3254. 1:41:31moved through the funnel. The question
  3255. 1:41:33is, does diversity or volume matter more
  3256. 1:41:35when it comes to creative? So, you want
  3257. 1:41:36to be thinking through volume through
  3258. 1:41:38this hierarchy, which is that volume
  3259. 1:41:40matters the most, then concept quality,
  3260. 1:41:43then hook strength, then editing
  3261. 1:41:44quality, then UGC talent, then
  3262. 1:41:46storytelling all the way down the
  3263. 1:41:47bottom. Now, it's not to say that any of
  3264. 1:41:49these components aren't important, but
  3265. 1:41:51it's the fact that volume ends up
  3266. 1:41:53creating quality, and hit rates are
  3267. 1:41:55limited within an ad account. And so, a
  3268. 1:41:57way to conceptualize through this idea
  3269. 1:41:59is that if you take the best creative
  3270. 1:42:01strategists, you can pull 10 of them out
  3271. 1:42:03of 10 different businesses, and you can
  3272. 1:42:05show them five ads that are all
  3273. 1:42:07objectively good creative, and you tell
  3274. 1:42:09them which of these five was the winner.
  3275. 1:42:12Which one produced the most spend or the
  3276. 1:42:14most return? None of them will be able
  3277. 1:42:16to guess it. It will just be a complete
  3278. 1:42:18guessing game. They'll a-
  3279. 1:42:20assign reasons as to why they believe
  3280. 1:42:21this creative is better than the other
  3281. 1:42:23ones. Might have been due to the concept
  3282. 1:42:24quality, might have been due to the
  3283. 1:42:25hook, but the reality is is that people
  3284. 1:42:28are not very good at guessing the top
  3285. 1:42:30end level of creative performance. And
  3286. 1:42:33so, instead, you want to understand
  3287. 1:42:35where the bar of quality is, and just
  3288. 1:42:37ensure that ads are reaching that
  3289. 1:42:39standard. And so, if all of these five
  3290. 1:42:41ads sit above this bar of quality, and
  3291. 1:42:44we could objectively say that this is a
  3292. 1:42:45seven out of 10. So, if an ad is better
  3293. 1:42:48than a seven out of 10,
  3294. 1:42:50it meets that bar, and it is
  3295. 1:42:52indistinguishable from any other
  3296. 1:42:54creative in being able to try to guess
  3297. 1:42:56its performance. Where you end up dying
  3298. 1:42:58in creative strategy is trying to win
  3299. 1:43:01the game of understanding which ads will
  3300. 1:43:04perform well at a high level. No one is
  3301. 1:43:06able to objectively do this well. I've
  3302. 1:43:08never seen anyone be able to pick
  3303. 1:43:09winners. And so, you instead want to
  3304. 1:43:10become very good at understanding what
  3305. 1:43:12is the minimum bar of quality, what does
  3306. 1:43:14a good ad look like, and then how do we
  3307. 1:43:16reach that level of quality, and then
  3308. 1:43:18maximize volume above it. Where people
  3309. 1:43:20get volume completely wrong, and the
  3310. 1:43:21example that I gave way back at the
  3311. 1:43:23start, which was people were
  3312. 1:43:24misunderstanding activity for creative
  3313. 1:43:26strategy, is that they were putting tons
  3314. 1:43:28of ads into the account, but they didn't
  3315. 1:43:30have an understanding internally of what
  3316. 1:43:32the bar of seven out of 10 actually
  3317. 1:43:34looks like. And so when you go and do an
  3318. 1:43:36ad breakdown of all the creatives that
  3319. 1:43:37they were putting into the account,
  3320. 1:43:38which was thousands a month, the ads
  3321. 1:43:40just weren't very good. They didn't have
  3322. 1:43:43any of the elements of a good concept.
  3323. 1:43:45They didn't have any of the elements of
  3324. 1:43:46a good hook. They didn't have any of the
  3325. 1:43:48elements of formats that were relevant
  3326. 1:43:50to the stage of awareness of the
  3327. 1:43:51creative that they were trying to
  3328. 1:43:52produce. And so because of that, yes,
  3329. 1:43:55they put tons of volume in the account.
  3330. 1:43:56Yes, they followed this hierarchy, the
  3331. 1:43:58most important thing on it. But it was
  3332. 1:44:00just junk volume. It was just a bunch of
  3333. 1:44:02ads that aren't even good.
  3334. 1:44:04And so instead, you need to focus your
  3335. 1:44:05efforts on how do we understand where
  3336. 1:44:06the bar is, then how do we maximize
  3337. 1:44:08volume, and then how do we start
  3338. 1:44:10step-stoning down through all of the
  3339. 1:44:12different priorities to create a good
  3340. 1:44:14ad. The question off the back of this
  3341. 1:44:15then becomes, okay, well, how much
  3342. 1:44:16volume do we actually need then? And
  3343. 1:44:19there's a really easy, simple answer,
  3344. 1:44:21which I'll give to you, and then there's
  3345. 1:44:22a more complicated answer that you'd
  3346. 1:44:23have to go and build a financial model
  3347. 1:44:25out for. And if you're an e-commerce
  3348. 1:44:26brand, uh we'll give it to you
  3349. 1:44:27completely for free. We'll put the link
  3350. 1:44:29in the YouTube description below.
  3351. 1:44:31So the simple answer is, for every
  3352. 1:44:33$1,000 in monthly spend, you want one
  3353. 1:44:36new ad.
  3354. 1:44:38And so if you're spending 30K a month,
  3355. 1:44:3930 new ads. 50K a month, 50 new ads. Now
  3356. 1:44:42this is in AUD. Also translate this into
  3357. 1:44:44USD. Roughly that ad volume is fine. Now
  3358. 1:44:47the better way to do this is to back
  3359. 1:44:49propagate based on hit rates and
  3360. 1:44:51expected spend per ad. So what you can
  3361. 1:44:53do is you can calculate the average
  3362. 1:44:54spend of an ad. So if you know that
  3363. 1:44:56across the last year of ads, you've
  3364. 1:44:58launched, let's say, 500 ads,
  3365. 1:45:01and you've spent $500,000,
  3366. 1:45:03well then each ad here, on average,
  3367. 1:45:06spent $1,000.
  3368. 1:45:08Now if you know the average return of an
  3369. 1:45:10ad, which you can look at either your
  3370. 1:45:12acquisition MER, which is new customer
  3371. 1:45:14revenue divided by ad spend in the
  3372. 1:45:15business, or you could just look at
  3373. 1:45:17ROAS, but if you're going to look at
  3374. 1:45:18this, look at it on a 7-day click basis.
  3375. 1:45:21And let's say your average ROAS is a
  3376. 1:45:23three,
  3377. 1:45:24and you've got $1,000 in mean spend,
  3378. 1:45:28well then we know that the average
  3379. 1:45:29return, or you could call this the
  3380. 1:45:31expected value,
  3381. 1:45:33if we're using probabilistic math,
  3382. 1:45:35is then three thousand dollars in
  3383. 1:45:38revenue. So, every time we launch an ad,
  3384. 1:45:41we should expect on average, on a larger
  3385. 1:45:43data set, that we generate three
  3386. 1:45:44thousand dollars in revenue. So, then we
  3387. 1:45:45can start to back propagate this into
  3388. 1:45:48our actual revenue targets. Now, more
  3389. 1:45:50specifically, I would actually delineate
  3390. 1:45:52this down into new customer revenue to
  3391. 1:45:54be specific to acquisition. So, if you
  3392. 1:45:56have a 300K
  3393. 1:45:59monthly new customer revenue target, you
  3394. 1:46:02take 300K, you divide by your 3,000, 100
  3395. 1:46:05creatives per month
  3396. 1:46:08are required. Now, there's a few nice
  3397. 1:46:10things about this. Number one, you can
  3398. 1:46:11flex the actual volume of creative in
  3399. 1:46:14conjunction with spend, which is what
  3400. 1:46:16you should be doing. As you go through
  3401. 1:46:17the year, and your forecast changes
  3402. 1:46:21in terms of expected new customer
  3403. 1:46:22revenue, your creative volume should
  3404. 1:46:24flex accordingly. So, this should be
  3405. 1:46:26exactly what your revenue looks like,
  3406. 1:46:28but also what your creative volume looks
  3407. 1:46:30like. Now, there are two disadvantages
  3408. 1:46:31to this simplified model, which is that
  3409. 1:46:33number one, it doesn't take into
  3410. 1:46:34consideration the average time of an ad
  3411. 1:46:37spending, and so these ads might
  3412. 1:46:39generate three thousand dollars in
  3413. 1:46:41revenue, but it might take four months.
  3414. 1:46:42And so, that needs to be factored in cuz
  3415. 1:46:44obviously volume needs to be a lot
  3416. 1:46:45higher then. And it also doesn't factor
  3417. 1:46:47in the difference between a winner and a
  3418. 1:46:48loser. If you got 100 losing ads this
  3419. 1:46:52month, you will generate barely any
  3420. 1:46:54revenue. If you got 100 winners, you'll
  3421. 1:46:56generate like multiple millions in new
  3422. 1:46:58customer revenue.
  3423. 1:47:00And so, you need a forecast losing ads
  3424. 1:47:01versus winning ads separately, and then
  3425. 1:47:03you need to add the time component.
  3426. 1:47:05We've built a model that does all of
  3427. 1:47:07this. Once again, if you're an e-com
  3428. 1:47:08brand and you want it, you can click the
  3429. 1:47:10link in the description, uh fill out the
  3430. 1:47:12form, and we'll send it out to you. Now,
  3431. 1:47:13when we're thinking through creative
  3432. 1:47:14budget, how much budget should go
  3433. 1:47:16towards production versus actual
  3434. 1:47:18distribution of the assets? If you're at
  3435. 1:47:20four to 30K a month in spend level,
  3436. 1:47:23there is no reason as to why your
  3437. 1:47:25content shouldn't be super founder led.
  3438. 1:47:27And the actual budget here on production
  3439. 1:47:29is your time rather than money. Because
  3440. 1:47:33you really don't need to go and pay for
  3441. 1:47:34production on this kind of spend level.
  3442. 1:47:36This can all be done literally through
  3443. 1:47:38statics in most businesses, but even
  3444. 1:47:40just founder led videos can get you to
  3445. 1:47:4230K a month in spend easily. And
  3446. 1:47:44honestly, I would challenge that the
  3447. 1:47:45founder of a business at this size
  3448. 1:47:47should be creating content because
  3449. 1:47:49content and creative is the largest
  3450. 1:47:50lever that exists within the business.
  3451. 1:47:52And so, understanding what good looks
  3452. 1:47:54like, what good creative looks like,
  3453. 1:47:55getting an understanding for how to
  3454. 1:47:56piece it together, what the editing
  3455. 1:47:58process looks like, what the ideation
  3456. 1:48:00process looks like, gives you the
  3457. 1:48:01ability to then KPI and train people
  3458. 1:48:03moving forward on one of the most
  3459. 1:48:05critical roles in the business. As you
  3460. 1:48:06then move into 30 to 100K per month in
  3461. 1:48:09ad spend, you want to be thinking of
  3462. 1:48:10allocating 25% of media budget towards
  3463. 1:48:13production. So, at 100K a month, that's
  3464. 1:48:1425K a month into creative production.
  3465. 1:48:17This is way more than like 99% of brands
  3466. 1:48:20are actually spending. And that's also
  3467. 1:48:22one of the reasons why brands don't
  3468. 1:48:24actually scale and do that well. It's
  3469. 1:48:25because they significantly under weight
  3470. 1:48:27the allocation that needs to go into
  3471. 1:48:28their media budget. Now, this is an
  3472. 1:48:29uncomfortable range because the cost of
  3473. 1:48:32production is so high excessive to the
  3474. 1:48:35scale of the business right now that it
  3475. 1:48:36feels off. It feels like this is too
  3476. 1:48:39high, but it does democratize as you
  3477. 1:48:41achieve more scale. Once you crack
  3478. 1:48:43through 100K plus, this percentage
  3479. 1:48:45really should asymptote down to around
  3480. 1:48:47about 10% of media budget. And so, as a
  3481. 1:48:50function of revenue in the business,
  3482. 1:48:52let's say that you're at a 25% MER, 10%
  3483. 1:48:55of this would therefore be 2.5% of total
  3484. 1:48:58revenue in the business. So, 2.5% of
  3485. 1:49:00total revenue should be going towards
  3486. 1:49:01media budget. This kind of spend
  3487. 1:49:03allocation allows diversity in the
  3488. 1:49:05creative that you're putting in. This is
  3489. 1:49:06enough budget to have UGC going into the
  3490. 1:49:09account, to have partnership ads going
  3491. 1:49:11into the account, to have a full-time
  3492. 1:49:13either international designer or someone
  3493. 1:49:15part-time uh in-house on statics, and it
  3494. 1:49:18can likely support a low-cost uh agency
  3495. 1:49:21in some capacity to supplement with
  3496. 1:49:23another creative type in here as well.
  3497. 1:49:24Maybe it's VSLs or something. I'll give
  3498. 1:49:26you a real example of a client that
  3499. 1:49:28unfortunately we had to part ways with
  3500. 1:49:30about uh 6 to 8 months ago because we
  3501. 1:49:33couldn't get this concept across to
  3502. 1:49:35them. And this is why I stress this so
  3503. 1:49:36much in a lot of content that we put out
  3504. 1:49:38now, and it's really important that
  3505. 1:49:39people understand this particularly
  3506. 1:49:40through the initial discussions when
  3507. 1:49:42they start talking with us because we
  3508. 1:49:44really don't want to onboard brands that
  3509. 1:49:46aren't across this concept. So, this
  3510. 1:49:48brand was spending 350k
  3511. 1:49:52per month on Meta when they started
  3512. 1:49:53working with us. Their CAC was declining
  3513. 1:49:56pretty steadily over the course of the
  3514. 1:49:57last 2 years.
  3515. 1:49:59Now, they only had about 15 ads live
  3516. 1:50:03within the account on a 350k a month
  3517. 1:50:05spend, which is crazy. And so, right out
  3518. 1:50:07the gates, we made a bunch of media
  3519. 1:50:09buying changes. The account was super
  3520. 1:50:11over-segmented. The previous media buyer
  3521. 1:50:13was doing so much over the top stuff
  3522. 1:50:15because he didn't have anything to work
  3523. 1:50:17with from an ad and creative
  3524. 1:50:18perspective. And so, when you don't have
  3525. 1:50:20anything that you can do on creative,
  3526. 1:50:22what do you do? Well, you go to the next
  3527. 1:50:23thing, and that's let's create 25
  3528. 1:50:25different campaigns. Let's use big caps,
  3529. 1:50:27cost caps. Let's try everything to try
  3530. 1:50:29to squeeze these 15 ads, which
  3531. 1:50:31ultimately isn't the lever that's going
  3532. 1:50:32to double this business. And so, when we
  3533. 1:50:34did the audit, we identified this as the
  3534. 1:50:35bottleneck. And what we did immediately
  3535. 1:50:37is as we came in, we went and took all
  3536. 1:50:40old performers and started relaunching
  3537. 1:50:41and reworking them a little bit. Even
  3538. 1:50:43though at the time we weren't doing
  3539. 1:50:45creative production in house, we just
  3540. 1:50:46threw this on top cuz we knew that this
  3541. 1:50:49was the limiter and that we had to get
  3542. 1:50:50this done. So, we took the ad account up
  3543. 1:50:52to about 60 ads. Nowhere near where it
  3544. 1:50:54needs to be, but this is all we could do
  3545. 1:50:56in terms of high-quality assets that
  3546. 1:50:57have been turned off in the past. Now,
  3547. 1:50:59what the results ended up being for this
  3548. 1:51:01brand is we actually turned them around,
  3549. 1:51:04which was one of the most insane case
  3550. 1:51:05studies that we've done cuz we did it
  3551. 1:51:07with no new creative. And we actually
  3552. 1:51:09took them from 350k a month in spend. We
  3553. 1:51:11increased their spend by about another
  3554. 1:51:1340k and we decrease their CAC by about
  3555. 1:51:1520 to 30%. And so new customer revenue
  3556. 1:51:18expansion off the top of my head,
  3557. 1:51:20there's a case study out there on this
  3558. 1:51:21somewhere, I think it was about like
  3559. 1:51:2328%. And so we were able to turn this
  3560. 1:51:25brand around substantially because of
  3561. 1:51:27this. Now the issue was that this
  3562. 1:51:30founder was very much so of the opinion
  3563. 1:51:33that this spend on Meta is a revenue
  3564. 1:51:35driver and he spent towards creative
  3565. 1:51:37production is a cost center. And so
  3566. 1:51:39because of that, they refused to do any
  3567. 1:51:42more creative production. We intro'd
  3568. 1:51:44them to multiple agencies, they went and
  3569. 1:51:45chatted to them. Uh they actually signed
  3570. 1:51:47on and then pulled out a lot of a lot of
  3571. 1:51:49those deals. And so we weren't able to
  3572. 1:51:51get any more ads,
  3573. 1:51:52any more creative. And so because of
  3574. 1:51:54that, there's only so far that you can
  3575. 1:51:56push media buying over time and so
  3576. 1:51:58performance started to come down. And
  3577. 1:52:00then as performance started to trickle
  3578. 1:52:01down due to these 60 ads fatiguing, ads
  3579. 1:52:04started to need to be turned off, spend
  3580. 1:52:05started getting distributed away from
  3581. 1:52:07them and the account slowly fell back to
  3582. 1:52:09what it was previously. Now the
  3583. 1:52:10proposition that we put forward to this
  3584. 1:52:12brand well before any of that happened
  3585. 1:52:14was that if you took just $10,000 of
  3586. 1:52:18this budget, just 10k out of it, and you
  3587. 1:52:21decrease from Meta and you moved it over
  3588. 1:52:23to creative production, this could get
  3589. 1:52:25us with an agency that we were talking
  3590. 1:52:26to about 40 assets. Not all unique, some
  3591. 1:52:29were just hook swaps, some were statics,
  3592. 1:52:30but it would give us 40 assets.
  3593. 1:52:32This would allow us to almost double the
  3594. 1:52:33amount of active ads in the account,
  3595. 1:52:35which would likely unlock at least a 5%
  3596. 1:52:38improvement in efficiency. Now a 5%
  3597. 1:52:41improvement in efficiency on 350k is the
  3598. 1:52:44equivalent of times 2.5%, a 17.5k
  3599. 1:52:49saving. So we could either drop 17.5k
  3600. 1:52:52out of this budget, which we already
  3601. 1:52:54did, we dropped 10, so we've effectively
  3602. 1:52:55made 7 and a half grand, or we could
  3603. 1:52:58keep the budget where it is and this
  3604. 1:52:59would provide us with an incremental 3x
  3605. 1:53:02was their return at the time on this, so
  3606. 1:53:04we would make an extra 40 to 50k a
  3607. 1:53:06month. And so you would actually get
  3608. 1:53:07revenue expansion in this business by
  3609. 1:53:09keeping spend the same but
  3610. 1:53:10redistributing it over to production.
  3611. 1:53:13It's a similar concept to just changing
  3612. 1:53:14between channels, but instead of it
  3613. 1:53:15being a channel, it's creative with an
  3614. 1:53:18output. But unfortunately, this founder
  3615. 1:53:19was very set on the fact that they
  3616. 1:53:21didn't need new creative, that we could
  3617. 1:53:23just repurpose these existing assets,
  3618. 1:53:25and that would continue the business
  3619. 1:53:26going. And this all definitely could
  3620. 1:53:28have been fixed well ahead of time
  3621. 1:53:30simply through a slight allocation of
  3622. 1:53:32this budget over into production. So,
  3623. 1:53:34definitely avoid being that brand that
  3624. 1:53:37sees creative as a cost center rather
  3625. 1:53:39than a revenue driver. Now, one last
  3626. 1:53:41tactical piece of advice here that
  3627. 1:53:43applies right now as of April 2026, this
  3628. 1:53:47might change as the algorithms change,
  3629. 1:53:49this might not apply into the future,
  3630. 1:53:51but one of the best ways to quickly test
  3631. 1:53:53high volumes of assets right now, we
  3632. 1:53:55actually do this on all of our own ads,
  3633. 1:53:57is that you post them as trial reels and
  3634. 1:53:59you cut the CTA off. So, if there's a
  3635. 1:54:00call to action at the end, cut the call
  3636. 1:54:02to action out, throw it up as a trial
  3637. 1:54:04reel on the business page that's going
  3638. 1:54:05to run through or the personal page
  3639. 1:54:06that's going to run through, and then
  3640. 1:54:08what you will get back is two things.
  3641. 1:54:09Number one, you'll see how viral does
  3642. 1:54:11the post actually go, does it get any
  3643. 1:54:13views, does it not, so you're going to
  3644. 1:54:14have comparative data. But number two,
  3645. 1:54:15you're also going to get retention
  3646. 1:54:16graphs, which is going to show you how
  3647. 1:54:18you've retained viewers throughout the
  3648. 1:54:21ad. Now, the retention graph is going to
  3649. 1:54:23show you was the hook bad, was the
  3650. 1:54:24bridge bad, was the body bad, and this
  3651. 1:54:27lets you iterate quickly on the next
  3652. 1:54:29shoot without needing to actually push
  3653. 1:54:30the ad straight into the ad manager. And
  3654. 1:54:32you can do this before it's perfected.
  3655. 1:54:34So, if there's some issues with the
  3656. 1:54:35captions or there's some stuff that
  3657. 1:54:36isn't great and needs to go in for
  3658. 1:54:37another round, you can just take the V1,
  3659. 1:54:40throw it as a trial reel, cut the call
  3660. 1:54:41to action off in app, and get feedback
  3661. 1:54:44while that round two version is actually
  3662. 1:54:45getting worked on. And then you could
  3663. 1:54:47pass even more feedback on during that
  3664. 1:54:49round two within 24 hours before you've
  3665. 1:54:52even got the final asset. And so, we
  3666. 1:54:53found this is a really effective way to
  3667. 1:54:55take a bulk amount of creative and
  3668. 1:54:57quickly test, particularly on hook
  3669. 1:54:58variations as well. So, we can take like
  3670. 1:55:0020 hook variations, throw it up as trial
  3671. 1:55:02reels, what hooks actually perform the
  3672. 1:55:03best, and then only put five ads into
  3673. 1:55:05the account rather than wasting 20 ads
  3674. 1:55:07and spending money on trying to figure
  3675. 1:55:08it out. So, now we move into creative
  3676. 1:55:10fatigue. So, there's two concepts to
  3677. 1:55:12understand with creative fatigue. Number
  3678. 1:55:13one is the two reasons why creatives
  3679. 1:55:15fatigue, and the other concept is to
  3680. 1:55:17understand the maximum spend threshold
  3681. 1:55:20of an ad over time. So, when you think
  3682. 1:55:22about launching an ad, and on the Y axis
  3683. 1:55:24we'll put spend, and on the X axis we
  3684. 1:55:27have time.
  3685. 1:55:28You launch the ad, it does well. And so,
  3686. 1:55:31one of two things happen. Either you
  3687. 1:55:32start manually spending more on it, so
  3688. 1:55:34you start increasing budgets, or Meta
  3689. 1:55:36will go and automatically distribute
  3690. 1:55:38spend to it. And so, spend goes up and
  3691. 1:55:39up and up and up. Eventually, there will
  3692. 1:55:41be a limit in how much daily spend that
  3693. 1:55:44ad can hold.
  3694. 1:55:46You'll reach that limit, you'll probably
  3695. 1:55:47go past it, you'll course correct, and
  3696. 1:55:50then you'll find the maximum daily spend
  3697. 1:55:52limit of the ad. Let's say it's at like
  3698. 1:55:53$500 a day or $1,000 a day.
  3699. 1:55:56From there, this ad will continue
  3700. 1:55:58spending moving forward in time. It will
  3701. 1:55:59eventually start fatiguing. It will
  3702. 1:56:02start falling off, you'll either start
  3703. 1:56:03pulling budgets or the CBO will pull
  3704. 1:56:05budgets out of it, and then eventually
  3705. 1:56:06you will just turn it off entirely or
  3706. 1:56:08Meta will stop distributing spend.
  3707. 1:56:10Now, this area under the curve here is
  3708. 1:56:13the total spend capacity of the ad. So,
  3709. 1:56:15you can go and do derivative math and
  3710. 1:56:18just get an understanding of how much
  3711. 1:56:19area there is there, and you will have
  3712. 1:56:21total spend capacity. Now, what's
  3713. 1:56:24important to understand is number one,
  3714. 1:56:26every ad has a total spend capacity,
  3715. 1:56:28every ad will fatigue, every ad will get
  3716. 1:56:30turned off. Number two is you can change
  3717. 1:56:32what this graph looks like over time.
  3718. 1:56:34And so, if you want, you can squeeze ads
  3719. 1:56:37harder in the short term, but they will
  3720. 1:56:40fatigue faster. And so, you could take
  3721. 1:56:42this ad all the way up to here in daily
  3722. 1:56:44spend, but it just means it's probably
  3723. 1:56:45going to fatigue and be turned off here.
  3724. 1:56:47Or you could go even more aggressive and
  3725. 1:56:49you could actually launch it at a high
  3726. 1:56:50budget, take it way up, but then it's
  3727. 1:56:51going to fall off. Or you could
  3728. 1:56:53obviously do the opposite. And you
  3729. 1:56:55could, under portfolio management
  3730. 1:56:57theory, which is what we did at the
  3731. 1:56:58start, is that you actually just want to
  3732. 1:57:00introduce this ad, but keep it at $100 a
  3733. 1:57:02day, and you'd rather have it live for 6
  3734. 1:57:05months than die off within 6 weeks. Now,
  3735. 1:57:08this is ultimately more so going to be a
  3736. 1:57:10product of the inventory constraint and
  3737. 1:57:12demand within the business. So, if you
  3738. 1:57:14have a lot of inventory that you need to
  3739. 1:57:15sell through for the current
  3740. 1:57:17profitability position in that month,
  3741. 1:57:19then obviously you should go with option
  3742. 1:57:21one here and just squeeze the winning ad
  3743. 1:57:23to sell through as much product as
  3744. 1:57:24possible, even if it's at a degraded
  3745. 1:57:26MER. On the other hand, if you don't
  3746. 1:57:28have much inventory, um or if you're
  3747. 1:57:30waiting for more inventory to happen, or
  3748. 1:57:32if you're growing too quickly that your
  3749. 1:57:33cash conversion cycle can't actually uh
  3750. 1:57:35keep up with the growth rate, well, then
  3751. 1:57:37why would you do this? This would be a
  3752. 1:57:39ridiculous decision. You would instead
  3753. 1:57:41want to operate at higher efficiency and
  3754. 1:57:42let the ad breathe for 6 months.
  3755. 1:57:44However, if you're working with an
  3756. 1:57:46agency, they don't have any of that
  3757. 1:57:48wider context within the business unless
  3758. 1:57:50they're asking for it unless you're
  3759. 1:57:51actively giving it to them, and so they
  3760. 1:57:54will see an ad that's winning, and they
  3761. 1:57:55will go, "Let's squeeze the hell out of
  3762. 1:57:57it." Because of two things. Number one,
  3763. 1:57:59we just started working with this brand,
  3764. 1:58:00and this will give us a great
  3765. 1:58:0130-to-90-day case study. And number two,
  3766. 1:58:04is well, this is giving us the best
  3767. 1:58:05ROAS, and we report on ROAS or
  3768. 1:58:07efficiency and profit, and so let's do
  3769. 1:58:09this. But the issue is it completely
  3770. 1:58:11screws up the long-term longevity of the
  3771. 1:58:12ad account and the business because
  3772. 1:58:14you've over-prioritized short-term gain
  3773. 1:58:16for the long-term stability in the ad
  3774. 1:58:18account and the inventory purchasing.
  3775. 1:58:21So, you're just going to go out of stock
  3776. 1:58:22here, and you're going to ruin a lot of
  3777. 1:58:23what's going on. Then the two drivers of
  3778. 1:58:25creative fatigue. Number one, is the ad
  3779. 1:58:27itself just becomes stale.
  3780. 1:58:29So, this is a function of it's just
  3781. 1:58:31reached its maximum spend capacity, and
  3782. 1:58:33it will ultimately just achieve at the
  3783. 1:58:34end of its life cycle.
  3784. 1:58:36Um this could also be just a function of
  3785. 1:58:38the ad has the same visuals, it has the
  3786. 1:58:40same concepts, it's targeting the same
  3787. 1:58:42audience as the other creatives in the
  3788. 1:58:44account, and so you'll get much more
  3789. 1:58:46faster fatigue because you're targeting
  3790. 1:58:47the same audience with the same value
  3791. 1:58:49propositions. The second reason ads
  3792. 1:58:51fatigue is that the audience is actually
  3793. 1:58:53just too small. When we went through the
  3794. 1:58:55persona component of uh this video, we
  3795. 1:58:58talked about how specificity in the
  3796. 1:59:00persona is critical to being able to
  3797. 1:59:02script a better ad that resonates with a
  3798. 1:59:04very specific target demographic. This
  3799. 1:59:06is also going to generate way better
  3800. 1:59:08results cuz you're talking to a few
  3801. 1:59:10people rather than a lot. Making very
  3802. 1:59:12good top of funnel unaware ads is
  3803. 1:59:14incredibly difficult. The skill ceiling
  3804. 1:59:16is very high. Most people shouldn't try
  3805. 1:59:17to do it unless you're already a $50
  3806. 1:59:20million plus brand. Now,
  3807. 1:59:22with that, if you speak to a very small
  3808. 1:59:24persona, there is obviously going to be
  3809. 1:59:27a maximum daily spend capacity that you
  3810. 1:59:29can spend talking to that persona. And
  3811. 1:59:31so, if we go back to the example before
  3812. 1:59:34of men trying to run sub-4-hour
  3813. 1:59:37marathons that have gone to the gym,
  3814. 1:59:39that are trying to cut 5 minutes off
  3815. 1:59:40their time using creatine, very specific
  3816. 1:59:43target demographic. Now, there's still a
  3817. 1:59:44lot of people there. There are a lot of
  3818. 1:59:45people are trying to run marathons and
  3819. 1:59:46trying to run sub-4, but you're not
  3820. 1:59:48going to be able to spend, particularly
  3821. 1:59:49in the Australian market, $10,000 a day
  3822. 1:59:51on that creative. It's just not going to
  3823. 1:59:53happen. And so, you need to find out
  3824. 1:59:55what the spend capacity is, keep it
  3825. 1:59:57there, rotating creative so that once
  3826. 2:00:00they use fatigue, we can continue to hit
  3827. 2:00:01that audience over and over again,
  3828. 2:00:03because that is an audience that churns,
  3829. 2:00:05which is really important. So, people
  3830. 2:00:06will enter into that audience, then run
  3831. 2:00:08a marathon and enter out of it. So,
  3832. 2:00:09there's constantly new people coming in
  3833. 2:00:11that we can continue to saturate. But,
  3834. 2:00:14we don't want to oversaturate,
  3835. 2:00:16over-prioritize, overspend, drive up
  3836. 2:00:18frequency, and then just ruin the
  3837. 2:00:20profitability of us targeting this
  3838. 2:00:21audience altogether. Now, an obvious key
  3839. 2:00:23learning here is that broader audiences
  3840. 2:00:28will scale much further.
  3841. 2:00:30And so, if you have a top of funnel
  3842. 2:00:32unaware ad that speaks to a much larger
  3843. 2:00:34TAM, total addressable market, you will
  3844. 2:00:36obviously be able to spend a lot more
  3845. 2:00:38money on that. In a B2B context, an
  3846. 2:00:40example of this is that if I have a
  3847. 2:00:42persona call out at the front of one of
  3848. 2:00:44our ads that says e-commerce CFOs in
  3849. 2:00:47Australia earning over a hundred million
  3850. 2:00:50dollars a year in your business. That is
  3851. 2:00:52such a tiny pool. There's like how many
  3852. 2:00:54people fit that particular persona in
  3853. 2:00:56Australia? It's probably a thousand,
  3854. 2:00:59maybe two thousand. And so because of
  3855. 2:01:01that, when I go and put that ad in
  3856. 2:01:02market, I can't spend a lot on that ad.
  3857. 2:01:04There would be no point of me going and
  3858. 2:01:05putting ten thousand dollars a day
  3859. 2:01:07behind that creative because I would
  3860. 2:01:09then just be hitting the thousand people
  3861. 2:01:10like six hundred times a day. Makes no
  3862. 2:01:12sense. But then if I expand the persona
  3863. 2:01:15callout to e-commerce founders earning
  3864. 2:01:17over a hundred K a year, well then
  3865. 2:01:19that's a much larger target demographic.
  3866. 2:01:21So the daily spend capacity improves.
  3867. 2:01:24Now does that mean I should just do
  3868. 2:01:25broad callouts? Absolutely not because
  3869. 2:01:28broad callouts means you have to have
  3870. 2:01:29better creative that resonates with more
  3871. 2:01:30people. And so you're actually better
  3872. 2:01:32off having the more specific persona
  3873. 2:01:35callouts that force you to create better
  3874. 2:01:36assets and then move into broader
  3875. 2:01:38audiences once you hit a particular
  3876. 2:01:40scale. In terms of tactical things that
  3877. 2:01:42you can do when creative fatigue, there
  3878. 2:01:45are changes that you can make. Number
  3879. 2:01:46one is you can make iterations. And so
  3880. 2:01:48you can take an asset that's already
  3881. 2:01:50done well, which I mentioned before, a
  3882. 2:01:51hero ad that started to fatigue, and you
  3883. 2:01:53can just rotate new hooks on and you'll
  3884. 2:01:55be able to get more spend through that
  3885. 2:01:56asset. Number two is you can move the
  3886. 2:01:58ads over into a cost cap campaign and
  3887. 2:02:01you can try to get more spend through
  3888. 2:02:02here. Now this will also work. It will
  3889. 2:02:04fatigue the creative faster and it's a
  3890. 2:02:06short-term tactical media buying
  3891. 2:02:08strategy. It's not something that's
  3892. 2:02:10really going to materially change the
  3893. 2:02:11business. Number three, you could go and
  3894. 2:02:13duplicate ad sets. It's not something
  3895. 2:02:15that I would recommend. I'm not even
  3896. 2:02:17going to go and put it down here. I know
  3897. 2:02:18it's something that people still argue
  3898. 2:02:20works. I think it's too tacky as a media
  3899. 2:02:22buying strategy. It used to work back in
  3900. 2:02:24the day and I could explain the concept
  3901. 2:02:25as to why it works and why it doesn't
  3902. 2:02:27now. But if it's something you want to
  3903. 2:02:28do, you can do it, but I wouldn't
  3904. 2:02:29recommend it. You can take the post ID
  3905. 2:02:31of the creative so it retains all of the
  3906. 2:02:33engagement and you can go and move that
  3907. 2:02:36into another campaign like a scaling
  3908. 2:02:37campaign to try to get more spend
  3909. 2:02:39through it. This sometimes works, but
  3910. 2:02:41once again, like this isn't going to
  3911. 2:02:42save the account. And then you could
  3912. 2:02:44rotate, which is kind of a variation of
  3913. 2:02:45number one. You could rotate formats.
  3914. 2:02:48And so if this is a video that's doing
  3915. 2:02:50really well, you could try to translate
  3916. 2:02:52it into an image. If it's a VSL that's
  3917. 2:02:54doing really well, you could try to
  3918. 2:02:56translate it into UGC. If it's an image
  3919. 2:02:59that's doing really well, you could try
  3920. 2:03:01it translated into an unaware long-form
  3921. 2:03:03copy Stan image, which is actually
  3922. 2:03:05completely different strategy. So
  3923. 2:03:07they're really the four options as a
  3924. 2:03:08creative fatigue. It is just worth
  3925. 2:03:10noting that once a creative fatigue
  3926. 2:03:11fatigues, there's not like a whole lot
  3927. 2:03:13you can do about it. You're That's why
  3928. 2:03:14you need the portfolio management
  3929. 2:03:16approach, and you need other ads that
  3930. 2:03:17are doing well so that you can fall back
  3931. 2:03:19on them. There are things that you can
  3932. 2:03:20do though just to squeeze a little bit
  3933. 2:03:22more out of the back end of a creative,
  3934. 2:03:24which is what these tactics are. Tying
  3935. 2:03:26all of that back into portfolio
  3936. 2:03:28management, on account spending greater
  3937. 2:03:30than 50k per month, really the job of
  3938. 2:03:32the media buyer is portfolio management
  3939. 2:03:35across the ads and diversifying risk
  3940. 2:03:38here. Portfolio management against the
  3941. 2:03:40products, and assuring commercial
  3942. 2:03:43objectives within the business is
  3943. 2:03:45aligned with what is actually occurring
  3944. 2:03:47within the ad account. And so the 80/20
  3945. 2:03:49Pareto principle's rule applies into
  3946. 2:03:52ads, and so the question becomes, do we
  3947. 2:03:54want this naturally occurring within the
  3948. 2:03:56account, or do we want to force back
  3949. 2:03:57against it through introducing some
  3950. 2:03:59structure so that we're not
  3951. 2:04:01over-leveraged on ads?
  3952. 2:04:02Same thing applies into products. And
  3953. 2:04:04then on commercials, this becomes, are
  3954. 2:04:06we making a balance sheet or a P&L play?
  3955. 2:04:09And what I mean by that is that agencies
  3956. 2:04:11will always optimize to maximize profit.
  3957. 2:04:14Okay, the idea is how do we have the
  3958. 2:04:15highest efficiency, how do we have the
  3959. 2:04:17highest profit contribution? That is
  3960. 2:04:19what they are KPI'd on. But often in a
  3961. 2:04:21lot of businesses, if you do that, if
  3962. 2:04:23you over-optimize towards profit, you
  3963. 2:04:24end up end up under-optimizing towards
  3964. 2:04:27the balance sheet, and you end up in a
  3965. 2:04:29position where you have a lot of unsold
  3966. 2:04:30inventory sitting on the balance sheet
  3967. 2:04:32that isn't selling through. And yes, you
  3968. 2:04:34are making profit, and yes, you are
  3969. 2:04:35spitting out cash, but the cash gets
  3970. 2:04:37tied up in the balance sheet quite
  3971. 2:04:39quickly. And so, you could have a P&L
  3972. 2:04:41that says $2 million in profit, but then
  3973. 2:04:44you have a balance sheet that has $3
  3974. 2:04:46million in unsold inventory, and this
  3975. 2:04:48business is actually negative $1 million
  3976. 2:04:49in cash because all of this cash that
  3977. 2:04:52they produced just moved into unsold
  3978. 2:04:53inventory. And this is fixable through
  3979. 2:04:55paid media, through the account
  3980. 2:04:57structure. You just need to restructure
  3981. 2:04:59the account to sell through this stock.
  3982. 2:05:01It's not going to give you the best
  3983. 2:05:02return. Your efficiency isn't going to
  3984. 2:05:03be that good. You're going to have to
  3985. 2:05:04make creatives around this stock as
  3986. 2:05:06well, which is going to be a hard pill
  3987. 2:05:07to swallow, but it's going to allow you
  3988. 2:05:09to get out of this position and
  3989. 2:05:10rebalance the business. And this is
  3990. 2:05:12ultimately what the media buy needs to
  3991. 2:05:13be across. If the media buy isn't across
  3992. 2:05:15inventory, that is not good. Creative
  3993. 2:05:18strategy is worthless without the
  3994. 2:05:20production. And so, moving into creative
  3995. 2:05:22production, teams briefing, and the
  3996. 2:05:24process, I want to start with the three
  3997. 2:05:26content types. Number one is winning
  3998. 2:05:28content replications. So, this is taking
  3999. 2:05:31your winners and replicating them in
  4000. 2:05:33some capacity, okay? Whether that's
  4001. 2:05:34iteration on the hook, whether this is
  4002. 2:05:36translating them into different formats,
  4003. 2:05:38you're taking concepts, you're taking
  4004. 2:05:40ideas, you're taking creatives that have
  4005. 2:05:41already worked in the past, and you're
  4006. 2:05:43replicating on them. This is by far the
  4007. 2:05:45highest impact content type that you can
  4008. 2:05:48do across paid as well as organic. If
  4009. 2:05:51you have organic content that's
  4010. 2:05:52performing well, what most people don't
  4011. 2:05:54do enough is just repost the same stuff,
  4012. 2:05:56redo the same stuff over and over and
  4013. 2:05:58over again because every single time you
  4014. 2:05:59do it, it performs just the same, but it
  4015. 2:06:01reaches a new audience. So, this is
  4016. 2:06:03where a lot of your effort should go.
  4017. 2:06:05Then you move into iterative content.
  4018. 2:06:06This is trying to fix underperformers
  4019. 2:06:08through changes in hooks, changes in
  4020. 2:06:10formats. You're working on tangential
  4021. 2:06:13creative ideas. So, if you have a
  4022. 2:06:15concept that's working, you're making a
  4023. 2:06:16slight change to a new persona, or
  4024. 2:06:18you're introducing a new offer, and
  4025. 2:06:19you're trying to get it to work. This is
  4026. 2:06:21the second highest priority prioritized
  4027. 2:06:24by leverage. And then down the bottom
  4028. 2:06:26here is net new concepts. This is
  4029. 2:06:28testing completely new new completely
  4030. 2:06:31new angles, completely new concepts. You
  4031. 2:06:34should be doing this and you should be
  4032. 2:06:35allocating time and energy to it. How
  4033. 2:06:37much you allocate is based on the
  4034. 2:06:39performance up here as well as your risk
  4035. 2:06:41profile. What I would not recommend is
  4036. 2:06:43some people do 0% here. This is a
  4037. 2:06:45terrible idea because all of this will
  4038. 2:06:47eventually fatigue and fall off and
  4039. 2:06:49you'll be in a very terrible position.
  4040. 2:06:50So, you need to constantly be finding
  4041. 2:06:51new stuff to then flow up to the top of
  4042. 2:06:53the funnel here. But, I would say that
  4043. 2:06:55most people actually overweight towards
  4044. 2:06:58net new concepts. I would say that I
  4045. 2:07:00actually do this myself in my own
  4046. 2:07:02organic content, which is that probably
  4047. 2:07:0480 to 90% of the content I put out is
  4048. 2:07:07net new. It's new concepts, it's new
  4049. 2:07:09ideas, it's new stuff I've never spoken
  4050. 2:07:11about before and 10 to 20% is just the
  4051. 2:07:14exact same stuff over and over again.
  4052. 2:07:15And what ends up happening is all of the
  4053. 2:07:17winning content replication always does
  4054. 2:07:19unbelievably well, holds 80% of the
  4055. 2:07:21views and this stuff doesn't really work
  4056. 2:07:22that well. It does allow for continuous
  4057. 2:07:25winners to be pushed up here, but this
  4058. 2:07:27is probably an over-allocation. And so,
  4059. 2:07:29my recommendation, generally speaking,
  4060. 2:07:31this is going to change contextual to
  4061. 2:07:33the business, is that you want about 20
  4062. 2:07:36to 30% of effort down here, another 20
  4063. 2:07:39to 30% of effort down here, and about 50
  4064. 2:07:43to 60% effort up here. Now, when it
  4065. 2:07:45comes to briefing in creators, the key
  4066. 2:07:48here is that the quality of the output
  4067. 2:07:50of the creator is going to be a product
  4068. 2:07:52of the quality of the brief. Okay, so
  4069. 2:07:54you want to do two things when you're
  4070. 2:07:55sourcing creators. Number one is you
  4071. 2:07:58want to check what they've made in the
  4072. 2:07:59past. You want examples and if you're
  4073. 2:08:01not doing this, that's kind of crazy.
  4074. 2:08:03That this is kind of self-evident, but
  4075. 2:08:05you want examples of what they've
  4076. 2:08:05produced in the past. But, not only
  4077. 2:08:07that, this is kind of where the
  4078. 2:08:08additional source is is that you go
  4079. 2:08:10under that and you get the brief
  4080. 2:08:13of the example that they created. Cuz
  4081. 2:08:15that's going to give you a direct
  4082. 2:08:17one-for-one comparison of how does this
  4083. 2:08:18creator produce against a brief? Was the
  4084. 2:08:21brief super in-depth and therefore we
  4085. 2:08:23need to match that level? Did this
  4086. 2:08:24creator make something amazing with a
  4087. 2:08:26terrible brief? Okay, then we know that
  4088. 2:08:28we can give them relatively broad
  4089. 2:08:29strokes and they're going to pull it
  4090. 2:08:30into something that's going to be good.
  4091. 2:08:32Now, generally speaking, I want the
  4092. 2:08:34highest quality, most in-depth in-depth
  4093. 2:08:36brief possible. If they don't want to
  4094. 2:08:37hold to the script, that's fine. Shoot
  4095. 2:08:39one that's held to the script, shoot one
  4096. 2:08:41that feels more natural. We can choose
  4097. 2:08:43the best, we can run them both. Um but
  4098. 2:08:45you really want examples and the briefs
  4099. 2:08:47associated with those examples to be
  4100. 2:08:49able to set yourself up for success when
  4101. 2:08:51you're going and building out creative
  4102. 2:08:52briefs. When it comes to building out
  4103. 2:08:54teams around production, I've seen a lot
  4104. 2:08:56of different teams that all produce
  4105. 2:08:58enormous amounts of volume, but there's
  4106. 2:08:59a few different key hires that you
  4107. 2:09:01should think through when you're
  4108. 2:09:02thinking about maximizing volume within
  4109. 2:09:04a team. Uh number one is a video editor,
  4110. 2:09:06specifically for video ads.
  4111. 2:09:10Now, if this person can be AI native or
  4112. 2:09:12someone that uh has built a lot of AI
  4113. 2:09:14creatives in the past, this is even
  4114. 2:09:16better because this just unlocks the
  4115. 2:09:17ability to make way more assets and work
  4116. 2:09:20with way more footage that doesn't
  4117. 2:09:22actually exist yet.
  4118. 2:09:23Another one is a designer for statics.
  4119. 2:09:26Okay, now both of these can be based
  4120. 2:09:28anywhere globally. Both of them can be
  4121. 2:09:31part-time contractors based on actual
  4122. 2:09:33outcome or they can be full-time within
  4123. 2:09:34the business. Then as a third, you want
  4124. 2:09:37a creative strategist. Now, this is a
  4125. 2:09:39new role that didn't really exist two to
  4126. 2:09:42three years ago and therefore there
  4127. 2:09:43aren't actually many creative strategist
  4128. 2:09:45out there. So, what do you actually look
  4129. 2:09:47for when hiring for this role? Well, you
  4130. 2:09:50you look for number one, copywriters
  4131. 2:09:52because creative strategy is primarily
  4132. 2:09:55copywriting. They're writing the
  4133. 2:09:57scripts, they're writing the brief for
  4134. 2:09:59the static image, they're ideating on
  4135. 2:10:00new personas. This is exactly what
  4136. 2:10:02copywriters have been doing except
  4137. 2:10:04copywriters are now redundant because
  4138. 2:10:06LLMs will just produce most of it. And
  4139. 2:10:08so, these people are coming up with the
  4140. 2:10:10ideas and then they're moving this into
  4141. 2:10:12a Claude scale, which needs to be built
  4142. 2:10:14by you and brand purposed to then output
  4143. 2:10:16an actual script that then goes into
  4144. 2:10:18production. The next option is you just
  4145. 2:10:20poach a creative strategist from
  4146. 2:10:22somewhere else. There's enough floating
  4147. 2:10:23around now that you can probably find
  4148. 2:10:25one. Or the third is you actually
  4149. 2:10:28backfill this role from a designer or a
  4150. 2:10:30video editor. And so, you train a
  4151. 2:10:31designer or a video editor editor up
  4152. 2:10:34into becoming a creative strategist. And
  4153. 2:10:36this actually allows for faster feedback
  4154. 2:10:38loops cuz they can ideate on all the
  4155. 2:10:40ideas and then they can design and then
  4156. 2:10:42they can obviously brief in for any
  4157. 2:10:43video edits. These are really the two
  4158. 2:10:45pathways into creative strategists as it
  4159. 2:10:47currently stands. Now, in terms of a
  4160. 2:10:48side note here, what a lot of people
  4161. 2:10:50will do with their creative strategists,
  4162. 2:10:52which depending on the scale and volume
  4163. 2:10:54that you're at, depends on whether you
  4164. 2:10:55want to do this or not, is they will
  4165. 2:10:57actually pay out a percentage of ad
  4166. 2:10:59spend
  4167. 2:11:00based on the creatives that they
  4168. 2:11:02obviously come up with and then brief
  4169. 2:11:04in. And so, the creative strategist is
  4170. 2:11:06directly incentivized to maximize hit
  4171. 2:11:08rates because if their ads don't get
  4172. 2:11:09spend and don't perform, they don't get
  4173. 2:11:11paid. Typically, this sits at about 3%
  4174. 2:11:14of ad spend. So, you'll pay out the
  4175. 2:11:15creative strategist on top of a base
  4176. 2:11:17salary with a percentage variable model
  4177. 2:11:20that is obviously directly proportional
  4178. 2:11:22to the results within the account. Now,
  4179. 2:11:24I've seen this work really well on
  4180. 2:11:25mid-size brands. When you get really
  4181. 2:11:27big, this gets outrageous cuz these
  4182. 2:11:28creative strategists end up getting paid
  4183. 2:11:30like $80,000 a month and so then the
  4184. 2:11:32model kind of breaks and you end up
  4185. 2:11:33moving away from it. A really important
  4186. 2:11:35part of this whole component of all
  4187. 2:11:38production is where does AI fit into the
  4188. 2:11:41mix? When you break down the creative
  4189. 2:11:43process end to end, you've got ideation
  4190. 2:11:46as step number one. You then have
  4191. 2:11:48briefing. You then move into the actual
  4192. 2:11:50production and then you move into the
  4193. 2:11:52publishing into the account and
  4194. 2:11:54ultimately the analysis process that
  4195. 2:11:56feeds back into here on future ideation.
  4196. 2:12:00Now, a lot of people are going and
  4197. 2:12:02applying AI and they're building clawed
  4198. 2:12:03skills for this right here, the ideation
  4199. 2:12:06process. This right now, at least at the
  4200. 2:12:08time of recording, is not the place
  4201. 2:12:10where you want to automate because the
  4202. 2:12:12reality is is that all of the LLMs just
  4203. 2:12:14output the mean. And so, no matter how
  4204. 2:12:16much context you provide, no matter how
  4205. 2:12:18much documentation you have, no matter
  4206. 2:12:20how much you build out your skills to go
  4207. 2:12:22and scrape Reddit and all of these
  4208. 2:12:23different forms to come up with unique
  4209. 2:12:24ideas, ultimately the ideation process
  4210. 2:12:27here ends up not being strong enough to
  4211. 2:12:29differentiate from competitors, and you
  4212. 2:12:31still need a creative strategist to
  4213. 2:12:32really do a lot of heavy lifting here to
  4214. 2:12:34validate the concepting.
  4215. 2:12:36When you then move into briefing and
  4216. 2:12:38script writing, this is when this can be
  4217. 2:12:40heavily leveraged with AI. That's when
  4218. 2:12:42you want to build a Claude skill to be
  4219. 2:12:44able to walk you through like a
  4220. 2:12:4620-question questionnaire about who's
  4221. 2:12:48your persona, who's the concept, who's
  4222. 2:12:49the offer, do you want this to be
  4223. 2:12:51long-form, what stage of awareness is it
  4224. 2:12:53at? And so, you're answering all of
  4225. 2:12:54these questions, and then ultimately at
  4226. 2:12:56the end of it, it pumps you out a script
  4227. 2:12:58or a brief that's going to be 99% of the
  4228. 2:13:00way there, and you just have a 1% tweak.
  4229. 2:13:03On production, there's a lot of leverage
  4230. 2:13:04right now in AI as well. It's obviously
  4231. 2:13:06going to speed up workflows, but in VSLs
  4232. 2:13:08and static image ads as well, you can
  4233. 2:13:11pretty much get away with AI for 90% of
  4234. 2:13:13it. Then in the analysis process, this
  4235. 2:13:15is also where AI becomes a little bit
  4236. 2:13:18dangerous because it won't over weight
  4237. 2:13:20to the hierarchy of metrics that you're
  4238. 2:13:21looking at, and won't sit towards the
  4239. 2:13:23importance of the account structure and
  4240. 2:13:25aligning the context of the creative to
  4241. 2:13:28the commercial objectives of the
  4242. 2:13:29business. So, there is leverage here.
  4243. 2:13:31You can use it in analysis. We use it in
  4244. 2:13:34analysis. But there is so much context
  4245. 2:13:36required that it still misses a lot of
  4246. 2:13:38the time, and if you're using AI
  4247. 2:13:40analysis to make core decisions within
  4248. 2:13:42the business,
  4249. 2:13:43a lot of the time it actually misleads
  4250. 2:13:44you in the wrong direction. And so, with
  4251. 2:13:46AI application, I would try to skip the
  4252. 2:13:48outsides and really maximize throughput
  4253. 2:13:51on the middle. Want to make a quick note
  4254. 2:13:52here on content-first brands, which is
  4255. 2:13:56brands that are starting with organic
  4256. 2:13:57content first before they even touch
  4257. 2:13:59paid. I think this is the approach for
  4258. 2:14:02'26 and '27 because it's not due to the
  4259. 2:14:05fact that organic content outperforms
  4260. 2:14:07paid, but it's due to the fact that
  4261. 2:14:09organic content forces you to become
  4262. 2:14:11good at creative, which then compounds
  4263. 2:14:13into paid when you know how to make
  4264. 2:14:15content that people actually want to
  4265. 2:14:16watch. And so my recommendation to
  4266. 2:14:18smaller founders that are watching this
  4267. 2:14:20video is that I would be posting
  4268. 2:14:22organically every single day. I would be
  4269. 2:14:24getting good at figuring out what good
  4270. 2:14:25content looks like, see what actually
  4271. 2:14:27gains views, look at the retention
  4272. 2:14:28graph, look at the share and save rates
  4273. 2:14:31because this is ultimately going to
  4274. 2:14:32improve your ability to make ads that
  4275. 2:14:34are actually at a good quality. Another
  4276. 2:14:36side note here is that when it comes to
  4277. 2:14:38creators, you want to make sure that
  4278. 2:14:41they're regional to where you're
  4279. 2:14:42actually targeting. So as an example of
  4280. 2:14:44this, in Australia, you want Australian
  4281. 2:14:46accents. When you go to the US and you
  4282. 2:14:48try to translate an Australian accent
  4283. 2:14:50into the market, it just does not
  4284. 2:14:51perform as well. So you need native US
  4285. 2:14:53accents. Uh UK to AU actually translates
  4286. 2:14:57decently well, but still native accents
  4287. 2:14:59always outperform. So you want to make
  4288. 2:15:00sure the creative is a native to the
  4289. 2:15:02actual region that you're targeting. It
  4290. 2:15:03can be the exact same script, it just
  4291. 2:15:06has to be a local creator. And then one
  4292. 2:15:07final recommendation when it comes to
  4293. 2:15:09production is on copywriting.
  4294. 2:15:11Copywriting is still one of the highest
  4295. 2:15:13leverage skills when it comes to
  4296. 2:15:15building out video assets scripts and
  4297. 2:15:18also building out static images.
  4298. 2:15:21Particularly long-form copy static
  4299. 2:15:22images. There are four books on
  4300. 2:15:24copywriting that I have read and I
  4301. 2:15:26recommend you read all of them if you're
  4302. 2:15:28wanting to become good at creative
  4303. 2:15:29strategy and copywriting. Number one is
  4304. 2:15:31Breakthrough Advertising by Eugene
  4305. 2:15:33Schwartz. Number two is Scientific
  4306. 2:15:34Advertising by Claude Hopkins. Number
  4307. 2:15:36three is Ogilvy on Advertising by David
  4308. 2:15:39Ogilvy. And then number four is
  4309. 2:15:41Influence, the Psychology of Persuasion.
  4310. 2:15:44If you read those four books, you will
  4311. 2:15:45become exponentially better at being
  4312. 2:15:47able to actually script out copy that
  4313. 2:15:50will convert better through ads. So if
  4314. 2:15:51we now go and put it all together, the
  4315. 2:15:53foundation is that you want to
  4316. 2:15:54understand how the ad platforms work.
  4317. 2:15:56Understand that the creative is the
  4318. 2:15:58targeting. Concept separation is what's
  4319. 2:16:00going to allow you to reach new
  4320. 2:16:01audiences. Then when it comes to
  4321. 2:16:02concepts, you want to understand how to
  4322. 2:16:04split up a concept, start with personas,
  4323. 2:16:06move into angles, then move into the
  4324. 2:16:08offer, and as the final component, you
  4325. 2:16:10want to bring in the format. Hooks drive
  4326. 2:16:1280% of the view through within an ad, so
  4327. 2:16:14it's really important to spend time in
  4328. 2:16:16optimizing that portion of the ad, and
  4329. 2:16:18usually hook testing across multiple
  4330. 2:16:20different videos. The three components
  4331. 2:16:21of a hook is the visual, the copy, and
  4332. 2:16:23the audio. You can change any three of
  4333. 2:16:26these variables and improve performance.
  4334. 2:16:28Then, you move into the format. You want
  4335. 2:16:30to start with the concepting first, then
  4336. 2:16:31always move into formats. Statics are
  4337. 2:16:33great for quick testing on new concepts,
  4338. 2:16:35and then they can be validated and moved
  4339. 2:16:37into videos. Statics also are incredibly
  4340. 2:16:39underrated, and most people don't think
  4341. 2:16:41they perform well because it's a skill
  4342. 2:16:42issue. I have seen static image ads
  4343. 2:16:44spend $500,000 in lifetime spend. And
  4344. 2:16:47you want to always be careful on DPAs.
  4345. 2:16:48DPAs are good, but they generally
  4346. 2:16:49overspend and the ROAS number over
  4347. 2:16:51inflates them. When it comes to testing,
  4348. 2:16:53you always want to be testing one
  4349. 2:16:54variable at a time. You want amount
  4350. 2:16:56spent to be the best proxy for
  4351. 2:16:58performance, then ROAS and the tertiary
  4352. 2:17:00metrics. And the actual structure of the
  4353. 2:17:02ad account should be a product of the
  4354. 2:17:03complexity of the business. When it
  4355. 2:17:05comes to thinking through volume versus
  4356. 2:17:07quality, you want as much volume as
  4357. 2:17:08possible, as long as it meets the bar of
  4358. 2:17:10quality that we would classify it as a
  4359. 2:17:13good ad. If it's a good creative, no one
  4360. 2:17:15will be able to guess which one will
  4361. 2:17:16win, so put them all into the account.
  4362. 2:17:17When ads fatigue, it's because you're
  4363. 2:17:19either trying to push too much spend
  4364. 2:17:21through a niche audience, and it's
  4365. 2:17:22driving up frequency, or the ad has
  4366. 2:17:25simply reached its lifetime spend, it's
  4367. 2:17:27falling off, and you need to diversify
  4368. 2:17:29by thinking through portfolio management
  4369. 2:17:31risk. When it comes to production, we
  4370. 2:17:33ran through all of the relevant and tame
  4371. 2:17:35structure that you should think through,
  4372. 2:17:36as well as the fact that you want to be
  4373. 2:17:38putting majority of your production cost
  4374. 2:17:40towards iteration, rather than net new
  4375. 2:17:42concept design, because that's going to
  4376. 2:17:43drive most of the performance. And then
  4377. 2:17:45if we do one final breakdown of spend
  4378. 2:17:48per month, and the recommendations on
  4379. 2:17:50how you should approach creative, at 4
  4380. 2:17:52to 30k a month, the founder's creating
  4381. 2:17:54the content, it can be done on an
  4382. 2:17:55iPhone, you want it to come across
  4383. 2:17:57natural, all the leverage is going to be
  4384. 2:17:58in how strong the scripts are. You You
  4385. 2:18:00to be working on three core concepts,
  4386. 2:18:02you really don't need more than that at
  4387. 2:18:03this scale. You just want to do these
  4388. 2:18:05well.
  4389. 2:18:06You want a high testing allocation.
  4390. 2:18:08Realistically, 60 to 80% of your
  4391. 2:18:09budget's going to go towards testing
  4392. 2:18:10because you just don't have enough spend
  4393. 2:18:12yet to even scale winners. And then you
  4394. 2:18:14can use trial reels as well as a hack
  4395. 2:18:16for validating ideas. Once you move into
  4396. 2:18:1830 to 100k per month, you want two to
  4397. 2:18:21three UGC creators. 25% of this spend
  4398. 2:18:24needs to be going towards production.
  4399. 2:18:26You're going to move into five to six
  4400. 2:18:27concepts. You want to start branching
  4401. 2:18:29out and de-risking. You're going to have
  4402. 2:18:31an and then likely a scaling
  4403. 2:18:33campaign. You're sitting at 30 to 100
  4404. 2:18:35new creatives per month here, or you're
  4405. 2:18:37using our creative calculator and it'll
  4406. 2:18:38give you an exact amount. And then as a
  4407. 2:18:40little hack at the bottom, you want to
  4408. 2:18:42be introducing partnership ads. And then
  4409. 2:18:44if you're at over 100k per month in ad
  4410. 2:18:46spend, you really want a full creative
  4411. 2:18:48team. Someone who's doing scripting, you
  4412. 2:18:50want an editor, you want four to six
  4413. 2:18:52creators, and you want a designer. Now,
  4414. 2:18:54these could be part-time, but you want
  4415. 2:18:56these resources in place so that you
  4416. 2:18:58have the production machine in place to
  4417. 2:19:01churn out creative. That's really what
  4418. 2:19:02you want to be looking for at this ad
  4419. 2:19:03spend level, is you need a system that
  4420. 2:19:05consistently produces creative on an
  4421. 2:19:07ongoing basis. If that isn't in place,
  4422. 2:19:09you're just constantly going to be
  4423. 2:19:10scrambling and creative will be the
  4424. 2:19:12bottleneck. You want at least 10% as a
  4425. 2:19:14minimum budget going towards creative at
  4426. 2:19:16this spend level. You want eight to 10
  4427. 2:19:18active concepts within the account. You
  4428. 2:19:20want at least 100 new assets per month
  4429. 2:19:22based on the basic 1k per ad formula.
  4430. 2:19:25And you want a financial model in place
  4431. 2:19:26that's tracking your cost per asset,
  4432. 2:19:28ideally across the different sources.
  4433. 2:19:30So, how much is these creative pieces
  4434. 2:19:33costing you? And then, what is the
  4435. 2:19:35average profit contribution per ad on
  4436. 2:19:37these creatives? So, we can start to see
  4437. 2:19:39if the cost per asset of these different
  4438. 2:19:41content types is actually worth it. And
  4439. 2:19:43you want to be tracking ROI at an
  4440. 2:19:44individual ad level based on ad spend
  4441. 2:19:47against the cost of production. For most
  4442. 2:19:49people right now, creative is the
  4443. 2:19:50constraint on meta. You don't know what
  4444. 2:19:53good looks like until you start doing
  4445. 2:19:54volume, building out concepts,
  4446. 2:19:56scripting, getting ads in the account,
  4447. 2:19:58and beginning that feedback loop. So, as
  4448. 2:20:00a wrap-up, if you're a performance
  4449. 2:20:02marketer and you have at least 2 years
  4450. 2:20:03experience, please reach out to us in
  4451. 2:20:04the description below. We're always
  4452. 2:20:06hiring. And if you're an e-commerce
  4453. 2:20:07brand or a retail business doing at
  4454. 2:20:09least 5 to 10 million dollars a year at
  4455. 2:20:10a minimum, you can also click below or
  4456. 2:20:12reach out to us and we'll do a
  4457. 2:20:13completely free audit where everything
  4458. 2:20:15that you've learned in this video, we
  4459. 2:20:17will actually translate directly into
  4460. 2:20:19the ads that you're running, directly
  4461. 2:20:20into your ad account. We'll pick it
  4462. 2:20:21apart so that you can know how to unlock
  4463. 2:20:23the current bottleneck that's stopping
  4464. 2:20:25you from growing. And also, please
  4465. 2:20:26subscribe.

About this transcript

This page contains the full transcript of Meta Ads Creative Strategy in 2026: The Full System by Blue Sense Digital, generated from the public captions YouTube serves with the video. The transcript has 30,855 words across 4,465 segments, with the original timestamps preserved so you can click any line to jump to that moment in the embedded player.

What you can do with it

Use the transcript to take notes, quote the speaker, build a study guide, generate a summary with ChatGPT or Claude via the YouTube Summary tool, or export it as a timed subtitle file with YouTube to SRT. You can also re-open it in the transcriber to choose a caption track available on the video.

Free YouTube transcript tool

YouTube2Text is a free YouTube transcript generator — no signup, no daily limit. Paste any YouTube link and get the full transcript instantly, with timestamps, click-to-jump, caption language selection, AI prompts for ChatGPT, Claude, and Gemini, and exports to TXT, SRT, VTT, or Markdown.