So this video is going to be one of the most important ones in the training because I'm gonna teach you how to analyze your data on Facebook being able to do this is without a doubt the most important aspect of testing products because it's going to allow you to understand if your product is successful or not and what you need to improve to capitalize off of that product moving forward. So there is our some important terms that you need to know before you spend even a penny on Facebook ads and I want you to maybe write these down somewhere and your notes app or on a notebook. Whatever it is. We're gonna get into these terms right now. The first one is row as which is return on ad spend. This is one of the most important metrics because it basically shows you for how much money you put in how much money you're getting back out and if things are looking good you're gonna have this number pretty high, you know at the highest row as I've ever seen on Facebook. I was seeing around six seven, which means that for every dollar that I'm spending. I'm getting seven dollars in return. It's Basically a money printing machine once you get that dialed so understand that term row has because I mentioned it and Brandon mentions it a lot in this program. The next one is Click through rate. So this is the percentage of people who saw your ad versus the percentage of people who clicked on your ad so a thousand people see your ad a hundred people clicked on your ad clicked on your link to go to your website. That's gonna be a 1% CTR. The next metric is going to be CPC, which is your cost per click essentially. This is how much money you spend per click to your website pretty self-explanatory. The next one is cost per purchase. This is how much you spend per purchase on your store. So how much money it costs you to acquire a customer on your store. Next one is CPM, which is cost per 1000 Impressions. This is how much money you're paying Facebook to get 1,000 eyeballs on your ad and we want this number to be as low as possible and Going to kind of give you some guide on how to do that. Now these next two are extremely important and I don't hear people talk about them enough. Then the first one is the conversion rate, which is the percentage of people that purchase from you on your website. This is a number that you can see on Shopify on the dashboard on Shopify and it's something that you need to pay very close attention to and lastly this one is without a doubt going to be the make or break for a lot of you guys when you're first testing is the quality ranking. This is Facebook's analysis of the quality of your video advertisement. So they split this up into a couple categories. They have the quality the engagement and the conversion rate ranking and you're going to set up your columns with all of these and we'll do that in a later moment. But these are the most important terms that you need to know when you're running Facebook ads. This is what I like to call the hierarchy of success with Facebook ads at the top of the hierarchy. What are we trying to get? We are trying to get profitable sales on our store. But if we break that down to a bunch of different levels, you're going to see what the foundation actually looks like. So To achieve profitable sales. We need just two things and optimized creative and a strong offer if we can get those two things dialed in we have a money printing machine that we can scale to thousands of dollars a day. The problem is you guys don't take it seriously enough to actually get these things down and you're looking for this Band-Aid get rich quick type situation when it's not that you need to hone in you need to focus on developing and optimize creative and a strong offer. How can we analyze our data to determine if we have these things? Well, when you're looking at your data on Facebook ads to tell if you're creative is optimized properly. We're gonna want to look at the click-through rate and the cost per click the CTR and the CPC and we're gonna want to look at the Quality ranking and the CPM. These four metrics are going to tell us how optimized our creative actually is and I'm gonna give you some numbers so you can understand if yours are good or if yours are bad and basically just some benchmarks. You should look for when you are testing now when it comes to a strong offer we're going to be looking for a row as that is high and a cost per purchase. That is low. Again, I'm going to give you some numbers to go off of that one's a lot more specific to your product. But I'm gonna give you some numbers to follow and we're gonna look at our conversion rate what percentage of people actually show up to the page and up buying our product. If it's low then that means that our website sucks or our offer sucks. So if we can nail the optimized creative and a strong offer, I cannot stress enough you will be making more money than you know, what to do with your store will scale 2000s of dollars a day, but you need to take this seriously and read your data and figure out what is broken in your funnel. The truth is beginners typically are only focusing on getting profitable sales and you never diagnose the real problem. You never look at the whole picture and understand what's actually broken. You're just like murder. Just want to get some sales. I'm just trying to figure out how to get sales. Well, you don't realize that your creative sucks or that your website is completely off or the offer is not on point because if the found Mission is broken. There's no chance. You're gonna get any sales. Okay, so when we talk about creatives, these are some rules of thumb to follow what I want you to understand is that the differentiating factor between you making sales and wasting money on ads is a good creative. The good creative is crucial and if you don't have that you are just going to burn money on ads it takes time to become good at making creative. I'm sorry to say this. I know you guys are looking for the quick fix business. But if you guys want to really make money in this business, you have to treat it like any other skill in your life and becoming skilled at making creatives is what's gonna make you and incredible marketer and it's going to take you some time but the fastest way to learn this and the way that I learned it and the time frame that I did is literally by studying what's working for your competition and copy it. Yes. You heard me copy it you don't need to come up with a brand new marketing campaign. You're not at marketing executive. You're a beginner marketer look at what's already working and It but copy it in your own way and make it even better. And I'm telling you this is faster than reading any marketing book and it's way better because it's a live example of what's working today. When I did the Sleep band test. I didn't come up with a brand new ad that had never been done before I literally took the ad that was already working and I used very similar copy to what they were doing, but I used higher quality footage and I bit a little bit of better ad copy inside of here and that's how I was able to backpack off of that product now to double down and scale it further. I took the format of the ad that was already working, but then I filmed my own Clips. So now I got a super high resolution video following this exact format that already worked. I didn't script any new footage. I didn't come with any brand new video clips. I literally just refilmed the clips from my video that I was using but I did them in a new way. So they were higher quality. I filmed with my iPhone and I show you guys that in Reveal, it just goes to show that I didn't do anything revolutionary to make millions of dollars on the internet. I'm not some Super Genius. All I'm doing is appreciating the skills of marketing and I'm studying the competition and I'm trying to become the best marketer possible based on that. Even if you're gonna go out there and Outsource videos to our partners and have them do it. You still need to be able to understand what makes a great video and we have a module in the program that teaches you that so I want you guys to study that meticulously and more importantly. I want you guys to always be learning about that whether that be on YouTube whether that be just from paying attention on your Facebook and Instagram feeds you guys need to constantly be studying that because again becoming skilled at making creatives is what makes you an incredible marketer. Now what I'll say is follow the training on how to make great video ads and get your videos reviewed before you spend a penny on them submit them to our coaches. They're there for a reason bring your videos to me on the weekly call and get your stuff reviewed because it's going to be much better for you. Now. What stats should you be looking for? I put this for major countries only and the reason why I put that is because if you're running ads to India or Africa, you're going to get the cheapest link clicks and the the highest CTR in the whole wide. Road, but the thing is that traffic is really low quality and they're not going to have a lot of purchasing power. So when I say major country, I mean United States United Kingdom Australia New Zealand Canada and a few others, but major countries. These are the metrics we want to look for in the CPC and the CTR categories. Now, there's a difference you have CPC regular which is people that just stop and click on your ad and then you have CPC link. We want to pay attention to the CPC link. This is the cost per link click to our website. Right? And if you're seeing that it is above one dollar and fifty cents. Typically I'm gonna tell you you're gonna have to kill your ad and make a better ad because that is so expensive just to get one person to your website. You have to spend almost two dollars that is very unsustainable, especially in the testing phase. If you spend $20, you've only got 10 people to show up to your website and you need one of those people to purchase. It's just Way harder, if it's under a dollar now you're getting in the area where you can actually operate and I would accept if it's under a dollar but what we're really striving for on a top level ad is a CPC link click under 50 cents. If you're seeing something in that range, that means that your ad is speaking to this Target demographic and they are interested to check out that product. So they're gonna stop what they're doing and they're gonna click on that video. Now. The next thing is the Ctrl link same story the ad has to be engaging and captivating enough to get their attention to stop what they're doing and click if it's under 1% which is very low you're gonna want to go ahead and just kind of kill that ad and improve sometimes I've seen ads work and they're under one percent but as a general rule of thumb you want it to be higher than 1% because that means that at least one percent of people that are seeing your ad are clicking to your website anything less than that. It's just Means that you're bleeding money on ads, it just means that you're missing out on thousands of people that can be clicking to your website. Think of the difference between 1% click-through rate and 3% click-through rate. That's the difference between 1 and 10 people clicking your ad to three and 10 people clicking your ad which at scale adds up very quickly and you end up burning a lot of money. So these are the metrics. I want you to look for in your test in terms of creative. Now, let's keep talking about that. The next thing you need to look for is your quality ranking. So essentially what this is based on is the quality of your Clips the offer and video matchup, like for example, if you're selling this product, but they go to the website and the store is branded in another Niche and the website experience is kind of off. It's going to give you a lower quality ranking. This is based on a survey that people get asked after they watch your video and you can only be ranked in three categories above average average and below average. I don't need to explain those. Those are extremely self-explanatory and you know, which one you want to go for if you're at the below average. category it means that something within these three categories is busted and you need to diagnose that because what happens is If your quality ranking is really low then your CPM is going to be higher which means you're going to spend more money for every single eyeball you get on your ad this makes a huge difference in your profitability and it's something that I really need you to pay attention to and optimize and these are the things you guys aren't doing which is why I hate to say it but you're going to always be struggling if you can't figure out what you're stuck on this is really why it is. The CPM is based on the quality of your ad and the product audience fit. We really want to have this in the below $20 range anything over twenty dollars. It gets a little difficult to scale because again, this is the cost that you're paying per 1000 Impressions. So you want to have that number as low as possible if we can even get it under $10. We're really doing well. If all your creative stats look good. So you're saying less than $20 CPM you seeing average or above average quality ranking. You're seeing under 50 Cent link clicks above 2% CTR. Then they're like the problem is pretty much gonna be on your website. Okay, and we can figure that out specifically if you submit your data to the coaches will help you get an analysis, but you need to be able to analyze and diagnose these problems yourself. So that way you can be clear on what you need to improve we're gonna help you with that but you being able to analyze it is going to be the thing that again makes you a better Advertiser and a better marketer, but I will say after reviewing thousands of stores and working with a bunch of people 90% of the time if you followed where I told you about product research and store design, the creative is the problem 90% of the time the creative is the problem. So if you're struggling to get your first sales, I'm gonna almost always say the creative is the problem if you're struggling to scale they're creative is the problem. So Focus your energy as a beginner on becoming incredible at making Activating add creatives and you'll start seeing sales on every single product you test I can take any product that's trending right now launch it and get sales within the first day because I understand how to make a great creative. Now. The second Foundation is going to be a strong offer. This part can be very simple. What you need to do is follow what I teach you in terms of finding products and look for stuff that is recently trending and selling. Well, if you're trying to pull products out of a hat and be the first one to make them work, it's harder to determine if the offer is on point if we see that a product is already crushing and selling extremely well, that means that we know that this product is gonna work. So all we have to do is make our creatives work. You understand. You don't want to deviate too far away from offers that are already working unless you're adding new value to them. So some things that you can do to add value as I've highlighted here is adding a 30 day risk free trial letting people try product. I'm doing air quotes right now for 30 days risk free. This is something that helps people convert way quicker and adds value to your website. You can also offer things like a free ebook this thing. We did for sleep man. It actually boosted the conversion rate pretty good. You can go to Google and find other competitors that are selling the product and see their price points as well. This is something that's just gonna give you a clear idea on what the offer should be. And what I really want you to do above all else is go into the course and study the video from Brandon called the framework and he's gonna teach you how to craft a strong offer because Brandon's done 10 million dollars on sales not because he's some Mega genius it's because he knows how to make a good offer and he knows how to make a good creative. I've done millions of dollars and sales of Facebook ads because Can you guess I know how to make a good offer. I know how to make a good creative. That is the thing and he talks about a really well in the framework. It's a long video, but I promise you it's worth your time. So the stats that you should be looking for in your test are going to be row as and CPC like we mentioned before and what you're gonna want to do is use the kpi sheet that I've actually provided to you guys to go ahead and figure that out. So the reason why I want you to use the sheet is because everybody's product is different here. So like I can't give you one size fits all numbers for this. So I want you to plug your product information into these categories on the sheet and this is going to tell you the metrics that you're looking for on your conversion stats Okay, just set that up and that's gonna give you the number you're looking for obviously, if you're seeing it at break even that means you are beginning to lose money. And if you're seeing it closer to this, that means that things are looking good on those categories the other thing we want to look at. This is going to be the actual conversion rate under 1% conversion rate on a Shopify store is pretty horrible. Especially with Facebook ads with tiktok it gets that low sometimes but with Facebook if you're seeing under 1% that's pretty damn bad. You want to see a conversion rate between ideally one to three percent at the minimum but for reference when I found the sleep man, I was averaging around seven to eight percent conversion rate and that's what major traffic us UK Australia Canada. So these are the numbers we want to look for if you're converting at under 1% There is massive room for improvement on your website and offer and hey, you know, if you can't figure out what that is bring it to me on the call and I'll help you figure out or diagnose that problem but at the end of the day, if you can't read your data and properly troubleshoot what's broken, you're not gonna be able to succeed in this business and that is the difference. I say between beginners and intermediate people that do make money. So hopefully this video helped you get an understanding of what that actually looks. Like and hopefully this video gave you some good benchmarks to follow in the testing phase. So now when you launch your product tests, you can analyze your data and see where you're messed up. So you can improve on that product and you can improve with every further campaign that you launch.
