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How I plan to dominate eCommerce for years to come:
With CPAs rising and big corporations pouring spend into FB/GOOG, audience-first is the way of the present and future.
How do we combat this?
~THREAD~
With CPAs rising and big corporations pouring spend into FB/GOOG, audience-first is the way of the present and future.
How do we combat this?
~THREAD~
Build & combine media, commerce, and tech infrastructures in-house, and build brands for existing audiences.
How do we typically think about starting in eCommerce?
Find a hungry market, and provide them with a product that resonates with them or solves a problem.
How do we typically think about starting in eCommerce?
Find a hungry market, and provide them with a product that resonates with them or solves a problem.
It is significantly easier to sell to an existing passionate audience through an authority figure (the content creator), whose customer profile you know than it is to sell to a market with cold traffic.
Not to mention, brand familiarity significantly lowers CPAs.
Not to mention, brand familiarity significantly lowers CPAs.
This audience-first philosophy is a concept called Linear Commerce that I learned from @web and his newsletter @2PMinc.
It's incredibly insightful and I highly recommend that you check it out if you're in the DTC / eCommerce space.
It's incredibly insightful and I highly recommend that you check it out if you're in the DTC / eCommerce space.
Ex)
Addison Rae running a Facebook/IG ad for her new makeup brand Item Beauty will have a much lower CPA than a brand new DTC brand will even with just cold traffic.
Not to mention, she can target her existing following first to convert at significantly lower CPAs.
Addison Rae running a Facebook/IG ad for her new makeup brand Item Beauty will have a much lower CPA than a brand new DTC brand will even with just cold traffic.
Not to mention, she can target her existing following first to convert at significantly lower CPAs.
It doesn't just stop at lowered CPAs though.
You can instantly create product-market fit by understanding the creator's audience and giving them a product that they're often already asking for.
Organic traffic from their passionate audience + low CPAs + engineered virality =
You can instantly create product-market fit by understanding the creator's audience and giving them a product that they're often already asking for.
Organic traffic from their passionate audience + low CPAs + engineered virality =
So what is the plan?
Short term:
Partner w/ numerous influencers to build and scale brands using their audiences with my team's existing tech & commerce infrastructure.
My team is currently in the process of pitching a number of different influencers to partner on new brands.
Short term:
Partner w/ numerous influencers to build and scale brands using their audiences with my team's existing tech & commerce infrastructure.
My team is currently in the process of pitching a number of different influencers to partner on new brands.
Long term:
Own a variety of different DTC brands with various influencers as partners under one umbrella.
Build a content creator incubator in-house and leverage existing partners' audiences + marketing spend to build creators from the ground up and own part of their audience.
Own a variety of different DTC brands with various influencers as partners under one umbrella.
Build a content creator incubator in-house and leverage existing partners' audiences + marketing spend to build creators from the ground up and own part of their audience.
Barstool is a great example of this.
They put the Barstool marketing machine behind @callherdaddy and built it into a top podcast.
This expanded their reach to a new demographic that wouldn't normally resonate with Barstool's content.
Then, they sell merch to the audience.
They put the Barstool marketing machine behind @callherdaddy and built it into a top podcast.
This expanded their reach to a new demographic that wouldn't normally resonate with Barstool's content.
Then, they sell merch to the audience.
Both eCommerce and the creator economy are here to stay.
Understanding how they intersect and utilizing the latter to offset increasing CPAs and leverage impassioned audiences will be the key to winning in eCommerce in 2021 and beyond.
Understanding how they intersect and utilizing the latter to offset increasing CPAs and leverage impassioned audiences will be the key to winning in eCommerce in 2021 and beyond.
For more information on the Law of Linear Commerce, check out this article below by @web https://2pml.com/2019/04/22/on-linear-commerce/
If you're interested in eCommerce and want to chop it up, follow me and let's chat
