Module 2: The #1 Cardinal Sin Of Ecommerce Marketing
“Where was I? Even I didn’t know.
I just wanted to kick some a**.
Life got f*cked up.
Like it’s going to be yours.
When I came to know that this GAME….
…This Game is way bigger than you.
Way bigger than me.
And way bigger than all these dimwits out there!”– Ganesh Gaitonde
Sacred Games (Season 2), Netflix
So now that you’re in, let’s begin…. And yes this chapter is 3000+ words big.
I just couldn’t hold myself back when I realized so many things are at stake because way too much misinformation is out there. Somewhat had to nail this thing down to the core.
You’ll know what I mean by that …
But first, let’s go with the basic drill of FB & Google ads because if your Front-End marketing is not profitably set, you will never ever get traction in your sales & revenue the way YOU WANT! ….
Warning: If you’re just a fresh noob in the world of FB ads, Ecom and Direct Response Marketing in overall, you may need to Google or Youtube some terms, keywords or concepts to understand better. And yes, read every sentence carefully. And read them again and again, till the principles sink in.
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Product Research (applies only for Dropshippers and Print-on-Demand)
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- Scour through AliExpress just for the sake of fun. Or use Product research tools like E-Sniper, DropPoint, AliDropship, Niche Scraper, etc. Till your eyes pop out.
- Or surf non-stop on FB & IG feeds triggering Add To Carts, Content Views, Or Initiate Checkouts till competitor products flood on your feed.
- Or choose a winning product based on what others are doing. (not recommended at all)
- Or courageously choose your own products based on its awesome features, usability, portability and make it profitable.
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Setup (ROUGH) for both Shopify and 3rd Party Platforms)
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#1) Google Ads Conversion Tracking:
- Open Google Ads.
- Go to Tools & Settings.
- Create Conversion Action >> Purchase.
- Attribution — 7 day (1 week click) + 1 day view
- Install Global Site Tag inside <head> section of all pages on site. Install Event Snippet tag wherever necessary.
#2) OR Google Analytics:
- Link your Google Analytics to Google Ads Account.
- Turn on the Enhanced Ecommerce Targeting option in Google Analytics.
- Attribution Window in Google Ads — Last Click
- Add the Analytics code to your store. (Has to be done manually on custom platforms).
#3) Facebook Ads:
- Create a FB Pixel (using Business Manager — business.facebook.com)
- Attribution Window for FB ads — 7day click + 1 day View.
- Install It. Shopify has a placeholder for it in Settings. (Has to be done manually using code depending on which Platform you’re using).
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You should install both Google Ads and FB Ads Pixel right at the start of any Campaign. When FB ads start bringing Traffic & Sales, the Google pixel will also be primed and trigger events from the very start. If possible also install pixels of other Ad Platforms likes Twitter, LinkedIn, Quora, Snapchat, etc.
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#4) Creating Audiences
2 Main Custom Audiences (or Remarketing List in Google’s terms) to make: (1) People who visited your Product (Landing) Page. (2) People who Purchased your product (Buyers)
(4.1) Google Ads:
- Go to Tools & Settings >> Shared Library >> Audience Manager.
- Create a Website Remarketing List >> Visitors of a page who did not visit other page (for custom platforms).
- For Shopify create >> Visitors of a page (your Product Page) — Audience 1 GA (AKA Visitors) — 60 Days
- And >> Visitors of a page with specific tags (People who viewed your product page, bought the product and got tagged as “Purchasers”, “Customers” or “Buyers”) — Audience 2 GA (AKA Buyers) — 60 Days
(4.2) [OR] Google Analytics
- Admin >> Audience Definitions (under Property >> Audiences >> + New Audience) Create an Audience List in Google Analytics who VISITED A CERTAIN PAGE (PRODUCT PAGE) using the Referral source as “facebook.com” — Audience 1 GA, using URL of Product Page. Membership 60 days.
- (Admin >> Goals (under View >> Audiences >> + New Goal) Make sure you’ve set Conversion Tracking for product in Analytics. Create a Goal in Analytics, so that you can track who PURCHASED YOUR PRODUCT — Audience 2 GA (AKA Buyers) using URL of thank-you page for custom platforms. — 60 Days
- Add Google Ads + Analytics as Destination. Hit publish.
(4.3) Facebook Ads
- ALSO, create the first custom audience in FB Ads, who VISITED your Product Page — Audience 1 FBA (Visitors) using URL of Product Page — 60 Days
- And, create the second audience in FB Ads, who PURCHASED your Product — Audience 2 FBA (Buyers) using Purchase Event or URL of thank-you page for custom platforms — 60 Days
(4.4) Shopify Apps:
- OR a better option if you have money in your pocket — use Google Remarketing Pixel app and Facebook Retargeting app on Shopify to set the Visitors and Buyers Retargeting list automatically. Costs a little, but worth in the long run. Just make the duration of list or audience to 60 days.
I am sometimes giving baby-steps in between so that anyone who is using Google & FB Ads, irrespective of Shopify platform, will also know the little nuances in between, to setup and run ads to bring Conversions likes Purchases.
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Interest Research (FB Ads)
Highly Recommended.
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- Go to Audience Insights in Business Manager.
- Select your Country. 23+. Gender (if needed)
- Enter your basic and targeted Interest that you think resonates with the product in the blank field on the left side.
- Click on the Page Likes tab. You’ll see all the pages with AFFINITY beside them, like 10x, 20x, etc. These are the pages that will Highly resonates based on your keyword and Interest.
- These are exact pages you’ll use as Interests when Targeting.
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Keyword Research (Google)
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- Google and find out all the niche keywords that are related to the product you’re selling.
- Google search suggestions. Type any keyword related to niche in Google and enter space. All suggestions will popup.
- Read niche articles or blogs and handpick keywords for laser-targeting.
- These same niche keywords can be used for Interest Targeting.
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For A/B testing
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Note: Use Placeit.net for creating instant Video Creatives for FB Ads)
Note: Use $3/$5 per adset. If 10 adsets, then $30 or $50 daily campaign budget.
Note: If everyone’s betting $5 adset, it may happen that $8 adset may give more results separating yourself from the ‘Vanilla’ Dropshippers crowd
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Option 1.0 PPE
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Note: Can also be used as Targeting Ad for cheap audience building for Retargeting. No one buys the product moment they see it. They need more Awareness and Consideration. This can get the job done for Targeting Ad without any cost per purchase. Plus, the Social Shares keep on compounding creating social proof.
Run a PPE (Page post engagement) Campaign with 1–5 different ad copy + creative (Image or Video) per adset. NO Call to Action Button. Simply a Photo or Video post with CTA and link in description.
- Use 1 Interest per Adset ($3/$5 per adset) if the product has a niche attached.
- Or no interest, if it has a viral factor — not really suggested if you’re a noob.
- Targeted country, English All, 23+
- Duplicate the first adset, change the interest to another. Keep doing it. 5 interests (total 5 adsets) to be tested Minimum. 10 for full power testing.
Wait 4 days, check the best performing combination of ad copy, creative & Interest… based on engagement of the ad — Link Clicks, Video Views (in case of a niche and Interest like a Survival Knife product)
…and also Share & Likes & Comments (incase of no niche, no interest, but simply mass viral appeal Product like a Customized Shower head)
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Option 2.0 LPV
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Run a Landing Page View (LPV) campaign with the same process as above. Track which combination of Ad Copy + Creative + Interest is bringing the Most Clicks.
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Stage 1: Targeting Ad (The Penetrator), weird name I know!
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Run a WEBSITE CONVERSION — PURCHASE campaign:
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If A/B tested before:
- Make 25% — 95% Video View Custom Audience. (Go for 25% for high number of Audience, 95% for High number of Buyers, use 95% VV if on tight budget) Create Lookalike ( LLA)
- And View Content (Custom Audience) . Create Lookalike.
- Use existing posts not create new ads, the social share will be carried when using the Use Existing Post option. Enter the post id. Google or Youtube this if need to.
- US 21–65, with the winner Interest + Winner Ad Copy + Winner Creative in each adset + 1 LLA in it with a $3 / $5 budget per adset.
- The number of ad sets depend on how many Winner Interests you have + LLA. If you have 3 winner Interests (Ex: Travel Lovers, Wanderlust, Hippies) + 2 LLA (Video View and View Content) then it will be 6 ad sets (Ex: Travel Lovers + VV | Wanderlust + VV | Hippies + VV , Travel Lovers + VC | Wanderlust + VC | Hippies + VC ).
If directly Purchase Ads:
- US 21–65, English All, Gender (all or depending on Product and niche)
- 1 Interest per adset.
RULES (also applies to PPE & LPV campaigns):
- [UNTICK] Expand Interests when it may increase conversions / Reach people beyond your detailed targeting selections when it’s likely to improve performance.
- NO AUTOPLACEMENTS — ONLY MANUAL PLACEMENTS — MOBILE FEEDS [FB & IG] ONLY. Turn everything else off. Rest is all junk traffic.
- [UNTICK] Optimize For Link Clicks or Landing Page Views until there is enough data to optimize for Conversions.
- ONLY Use INTEREST TARGETING — Job Title, Buying Behavior, is Trap for Targeting ads. Gender & Demographics is optional wherever necessary.
- ONLY 600x600 photo or video post — FB charges more for pixels. Mobile Newsfeed shows only 600x600 photo & video in vertical view for Smartphones.
- NO FB Call To Action (Signup, Shop Now, etc) — Simply a photo or video post with link in description / caption.
- [NO] Optimize for Website Click.
- [NO] Optimize for View Content.
- [NO] Optimize for Add To Cart before or after conversions.
- NO Dynamic Product Ads. — Junk Traffic
- NEVER EVER Start Your Ad After 12:00 pm — Algorithm goes crazy and rushes to spend all your money. Schedule at 12:00 am.
- NO Create Ad — Use Only Existing Post option and set up a new Photo post, Dark post, Video Post. All other ad creations (Slideshow, Carousel, etc) are ONLY good for MANUAL RETARGETING.
Wait 4 days… check the ads manager…
Kill the adsets below True ROAS …
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True ROAS is the real ROAS after MINUS-ing all the Fees from Final Price like payment processing % + shipping cost + etc fees + cost price.
FORMULA:
Actual Earned = Final Price — 15% (OR x 0.85) (Processing Fees, Shipping, Shopify Fees, etc).
True Margin = Actual Earned — Cost Price
Margin Percentage = True Margin ÷ Final Price.
TRUE ROAS = 1 ÷ Margin Percentage
Ex: $100 (Final Price)
Actual Earned = Final Price × 0.85 = $85
True Margin = 85 — $20 (cost price) = $65
Margin % = 65 / 100 = 0.65
True ROAS = 1/0.65 = 1.53 ROAS
Anything above 1.53 in this case is profitable.
Using this FORMULA price your products Wisely & Higher.
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Stage 2: ReTargeting (The Sucker)
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- Use Existing Post or you can create a new one with a Discount Code and the winning creative and ad copy.
- Create and add a new 25% Video View or 95% Video View Custom Audience + View Content Custom Audiences (Audience 1 — FBA) BUT EXCLUDE Buyers (Audience 2 — FBA)
- On every platform, doesn’t matter Google, FB, Twitter, LinkedIn, etc. where you’re Targeting and Retargeting, always have 2 audiences — (1) The Product Page Visitors and (2) Buyers. Conversion tracking via Pixel is necessary. And in Retargeting its always (1) — (2). Include visitors exclude buyers.
- 2 adsets or 2 separate campaigns, for Video View and View Content, depends on how you want to track it, coz the end goal is Purchase or Sale anyways.
- $3/$5 per adset daily budget.
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Stage 3: Scaling (The Dominance)
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3.1 Vertical Scaling AKA Scaling Up.
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Targeting Campaign:
- Increment the Campaign budget by $5 every 4 days to see how ROAS is doing. It shouldn’t decrease.
- If ROAS decreases, then decrease the budget by $5. Wait 4 days.
- When you cross $100 daily ad spend for the campaign, increment Campaign budget by 20% every 4 days to see how ROAS is doing. It shouldn’t decrease.
- If ROAS decreases, then decrease the budget by 20%. Wait 4 days. Increase and experiment with a 10% threshold.
- When you cross $1000 daily spend, just duplicate the campaign and turn on Campaign Budget Optimization (CBO)
- Increment or decrement by 20% CBO budget depending on the ROAS. Wait 4 days. Same as above.
Retargeting Campaign:
- If the Retargeting ad has become PROFITABLY-Stagnant in terms of ROAS, like it’s pulling profitable 5+ ROAS since 1 week, increment the Campaign budget by $5 (if under $100) or by 20% (above $100 daily spend) to see if ROAS is increasing more. Wait 4 days.
- If ROAS decreases,then decrease the budget by $5 or 20% of Campaign budget.
- When you cross $1000 daily spend, just duplicate the campaign, turn on CBO.
- Increment or decrement by 20% CBO budget depending on the ROAS. Wait 4 days. Same as above.
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3.2 Horizontal Scaling AKA Scaling Out
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Lookalikes:
- Go for LLAs like 95% Video Views, AddToCart (ATC) & Purchase for your new Targeting Ad campaign. PURCHASE is the most dominant and direct-to-goal Lookalike. If your pixel has recorded minimum 100 purchase events, then go directly for Purchase Lookalikes. Hot buyers right in your pocket.
- LookAlikes of your current customer emails is also a winner as it highly resonates with people who already purchased what you’ve to offer.
- Again start with $3/$5 per adset daily campaign budget, Same Targeting Ad post and Same product as above.
- Always have an INTEREST with a LookAlike for Targeting Ads.
- Make sure you’re keeping track and scaling your ReTargeting ads in a profitable way.
Interests:
- Find new Interests to penetrate new markets with the same product. Experiment with the scaling process given above.
International:
- Find new Countries to target.
- Tier 1 — US, UK, Canada, Australia, NZ
- Tier 2 (List is big Google this).
- Tier 3. Also you can make the Product page, Ad Copy & Creative, all multilingual for highest conversions. Fiverr can be of help.
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Stage 4: Cross Platform ReTargeting via Display Ads (Operation Money Heist)
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- Use the Website Audience list that you created in the Setup Section (Audience 1 — GA) at the very start of this email and Target them via Standard Display Ads BUT EXCLUDE Buyers (Audience 2 — GA) in Targeting. Each Campaign has inclusion and exclusion tabs side by side. It’s easy. Simply INCLUDE Audience 1 and EXCLUDE Audience 2 in Targeting.
- Standard Display ads — Mobile only. Upload Creatives of all Sizes. You never know which will bring in sales. Target your countries. English.
- YouTube ads — use the same video as in fb ads. 500x500 — Mobile only. Simply INCLUDE Audience 1 and EXCLUDE Audience 2 in Targeting.Target your countries. English.
- Gmail Ads — write the email just like any personal email as possible. No imagery, no fancy, nothing like that. Just a simple plain-text killer email with a killer subject line and CTA for your product with a discount code if any and also your name … In other words, make it an actual email dummy! Don’t make it look commercial, they hate that and fails to pull sales just like classic olé email. Simply INCLUDE Audience 1 and EXCLUDE Audience 2 in Targeting. Target your Countries. English.
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Stage 5: Cross-Platform Syndicate (A New Era):
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- Install all other Paid Ads pixels on your site and prime them while the above process is going on. If possible do this step when you install pixels of FB & Google Ads. They all will start priming and triggering events.
- LinkedIn, Twitter, Snapchat, TikTok, Quora, Reddit, AdRoll, Tumblr, Pinterest, Bing Ads, Yahoo Gemini, Media.net, Bidvertiser, Taboola, Outbrain and any major commercial Targeting & Retargeting platforms or any Ad Platform that has (1) Website Conversions (2) Custom Audiences and (3) LookAlike like features.
- Obviously each one’s exact UI-type process is different, but the PRINCIPLES are the same.
- Create Custom Audience & Purchase Lookalikes (if option available) of your own Website Visitors on all these other Ad Platforms and start Targeting & Retargeting ads. Experiment with each, one by one with just $3/$5 per adset daily Campaign budget only. Makes it easy to test the new waters.
If I were you, and had only $500 in my pocket and had a gun on my head, this is the exact way I would do FB Ads & Google Ads for my Store for fast profitable revenue.
Now that your system and Marketing ‘Skynet’ is set, and that your Ship of Hundreds & Millions of Dollars has sailed!! Or Sold!??
Whatever…
You have to make every cent count!
And then Happy Ever & After ….. is it?
See, it’s really OK if you’re innocent. But NEVER EVER BE STUPID!
Again a new product, same shit different day, plugging holes in your ecom, always growing and growing, because you think it’s never enough…
Until a day comes, your Ads Manager is going out of your hands, ads getting banned for no reason, your ads getting rejected, accounts keep getting banned, appeals getting rejected, FB teasing and scaring you with their upcoming new & updated Ad Policies…
You start living in fear, realizing suddenly that your business is running YOU and not the other way around.
You seriously wish in your head that by some GOD’S Grace that a new marketing channel somehow appears out of thin air on which you can depend on anytime, anywhere to generate sales fast without any boatloads of technical assistance or spending months watching videos on YouTube….
And even if you wing it, you will be SET FOR LIFE!
Tell me.. Isn’t this what you truly crave inside?
But somehow the Monopolistic rules of Google, Facebook and Life made you bend and twist in such ways that you got twisted and tied yourself in a Super-Knot, and now you just can’t get out of it!
In the need of complexity, you complicated everything so much that now it’s getting out of your hands.
But no worries young Padawan! Somehow I will show you the light in this land of E-commerce Darkness.
During all those endeavors of chasing and scaling those first-hand sales via FB, IG & Google Shopping Ads, you forget something.
Something SO IMPORTANT that it’s actually the Universal Stable Platform on which any business both Local and Online Businesses, both Small & Super Large businesses are Truly built on.
Guess what is it??
RECURRING CUSTOMERS! . . . . you Dummy!!
Or in other words: Your own List or Database of Buyers / Customers made of Email Address, Phone Number (SMS) & Push Notifications Subscribers.
Which brings me to the obvious Cardinal Sin #1 of E-commerce — Not Following Up with Previous Buyers & Customers.
And, I hope you’re collecting your Customers email id & phone number on Checkout Page using Shopify.
You’d be extremely stupid to not to. Seriously, I have also seen Facebook Ad Millionaires who are stupid af and make the same mistake — Direct Response Marketing 101
If you like leaving money on the table even when it’s in front of you, you should seriously get a job. E-commerce ain’t for you.
Plus remember the Rules of this game in (Matthew Mcaughney’s voice):
Rule #1
“Move the Money from the customer’s pocket in your pocket!” — The Initial Sale via Paid Ads.
Rule #2
‘Move the Customers’ Data from their pocket in your pocket!” (Or how the hell you’ll follow up with them and make them buy from you again and again??) — Your Customers List
Rule #3
“Shift the Power in marketing from FB & Google’s pocket in your pocket!” (Sounds sexy! Considering you want to survive in this game for a loooooong time)
So use tools or apps like SMS Bump for sms, FirePush for push notifications. Use Aweber for collecting Customer’s (Buyers) Email Address on your Shopify store to plug the remaining holes in your marketing funnel.
Make sure these are Installed. And turn on all the basic rules of Cart-abandonment in those apps for the time-being (Tomorrow I will show you how to really increase ROAS super-high using one simple method, it’s at the end of tomorrow’s email).
If you’re doing $100/day, $1000/day, $5000/day in Sales, you already have a successful first-hand sales driven store. And I am guessing you’re already generating a Buyer’s List at the time of checkout.
The best thing about FB & Google is that with some tweaks and by filling the Knowledge Gap in your head, you can easily generate as many First-hand Sales you want & generate Buyers List both at the same time (hello Machine!) if you set your Targeting & Ad Copy & Product-to-Market match right. That’s the beauty of FB & Google ads.
But if you ONLY depend on those, then you have to play by their Rules. Considering they’re Multi-Billion Dollar Giants who can easily manipulate the rules of the game of marketing. Those in the internet marketing space since the last 10+ years know it very well by Experience.
Now as for what to do or what to Send, to generate maximum sales from your Customers List in minimum time, well for that hold onto your horses.
I will reveal exactly in the upcoming chapters to let you know how deep this ecommerce rabbit-hole goes….
In the meanwhile if your store is doing $1000+ in daily sales using Paid Ads and want to use superb Stories to boost sales of your Mid-ticket and High-ticket Products without risking it all on FB & Google Ads, follow this private Telegram Channel: https://t.me/joinchat/UiEvNp0IVYPLSVVx
- Satyajit
(Master Alchemist & Word Wizard at Backend Alchemy)
