E-commerce + driving traffic

[hughjasle]

I now have access to a Dutch Facebook Ads account, this means that my ad account misses some functionalities like "behavior> purchase behavior" ad targeting. The reason is that EU Law forbids Big Data usage. I want to target the US market.

My question is: how important are these missing features and should I try everything to get hold of an US account or is it something that you don't use anyway?

I've used some of those, but they aren't necessary. Do you need some of the blocked targeting? most likely you don't. Sounds like what you are missing out on is the third party data that FB buys (and then passes the costs onto you), I try and NOT use those anyways as it increased my CPM more than it increases my conversions usually.

 

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[LPPC]

I've used some of those, but they aren't necessary. Do you need some of the blocked targeting? most likely you don't. Sounds like what you are missing out on is the third party data that FB buys (and then passes the costs onto you), I try and NOT use those anyways as it increased my CPM more than it increases my conversions usually.

Thanks to you and @Insaint for your replies!

I thought I might use the purchase types in the future as it seems useful. But as you said, using that function might only be beneficial costwise when selling luxury goods.

Exactly! It's those third party data that I'm not allowed to use.

You answered my whole question with saying that you don't use them because they make the CPM more expensive than it helps your conversions. It's really good to know whether I'm really missing out on something!

Do you think Facebook uses third party data when you choose 'optimize for conversions' objective or 'look-a-like' audiences? The data might help them optimize. I guess that nobody knows this...

 

[LPPC]

A little update: my RSI complaints have been slowing me down by a lot. Using the computer without pain is really tricky right now. I have to set my workstation up perfectly.

Seems to be affecting a lot of computer users!

 

[LPPC]

Just a little update, I ran my first 2 ads with a total budget of $38 but only $18 got spent because my desktop ad almost got no impressions. I got not sales. Now it's time to figure out when and how to run the next ad for the same product. I got a really high CPC of $1.10, my ad was really targeted with lots of interests targeting and two times the usage of the option "MUST ALSO MATCH on of the following. Maybe that's why I got such a high CPC." Here are the stats:




@MJ DeMarco Hi MJ, I have a question about my forum account. Could you please PM me?

 

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[Andy Black]

Moved outside at request of @LPPC

 

[LPPC]

Moved outside at request of @LPPC

Thank you Andy!

Might as well add a little update. I've found out that my website needs an overhaul and my ad too. After reading some material I am pretty sure that I've done some important things completely wrong. This decision is partly based on the ad I have run, although the data I got is way too small to tell anything statistically significant.

 

[jesset17]

Could you provide some information of the 'important things you've done completely wrong?' I am going to be selling some product outside of Amazon soon and will be going down the same path as you have through this thread. This thread has given great advice already and as I am in a similar position (beginner) I hope I can avoid the same mistakes.

Keep up the good work, thanks for the insight so far!

 

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[LPPC]

Could you provide some information of the 'important things you've done completely wrong?' I am going to be selling some product outside of Amazon soon and will be going down the same path as you have through this thread. This thread has given great advice already and as I am in a similar position (beginner) I hope I can avoid the same mistakes.

Keep up the good work, thanks for the insight so far!

Great, hopefully we can learn from each other! I've done 2 things wrong in my opinion.

1) The facebook ad should prep the customer for my webpage. The ad should be clear in what the product is, so that they wont get surprised when they land on the landing page. My facebook video ad was too short and didn't demonstrate the product clearly. When you don't prep the costumer well, they will click on your ad even though they're not sure what it's about and then bounce. If you bid CPC then this will cost you money for the click and it will also affect the CPC you have to pay because high bounce rates will make your CPC higher it seems from what I've read.

2) When creating the landing page (shopify page) I was too focused on making it look beautiful. In short, my landing page violated some important guidelines like having the BUY button at the end instead of at the beginning of my website/page. Do some research about landing pages. you will get all the info you need on the internet.

Hope it's clear. Good luck!

 

[Paul Thomas]

What methodology did you use for video ad of the product? If you didn't have the product yet did you just use a random youtube vid embedded? Thanks!
Also..

2) When creating the landing page (shopify page) I was too focused on making it look beautiful. In short, my landing page violated some important guidelines like having the BUY button at the end instead of at the beginning

So you had the buy button at the bottom of the page before and that was wrong in your opinion? Just want to make sure I'm taking away from this correctly...

Thanks!

 

[LPPC]

What methodology did you use for video ad of the product? If you didn't have the product yet did you just use a random youtube vid embedded? Thanks!
Also..




So you had the buy button at the bottom of the page before and that was wrong in your opinion? Just want to make sure I'm taking away from this correctly...

Thanks!

I ordered samples and I'm going to make my own video with it.

Yes exactly, it should be as easy as possible for the costumer to order the product IMO.

Take my advice with a grain of salt because I haven't made a single dime yet.

 

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[ShadowX]

Only 3 abandoned carts with these 3 ad sets. I have killed the first 1. Should I keep it running, any ideas?

 

[Paul Thomas]

ok well $10 is hard to make work on paid traffic, but not impossible. Not really enough info to know if oyu can make it work yet. That's just the game. It's expensive. Less expensive than ordering $10k of inventory that doesn't move tho.

Possible abandoned cart reasons:
Are you offering free shipping?
What kind of payment methods are you allowing?
Are you showing the price before the checkout or do they have to add to cart to see the final price? (this includes cost of shipping)
Do you inform them how long shipping takes?
Do you give them any reason to buy now? ie sales price ending?

hey @hughjasle , and @LPPC - sorry to ask in this thread, but was trying to soak in more knowledge. Hope this question helps others.

For someone new then to the paid traffic, would you not recommend even trying a $10 or below product? I had things set up for a $5 product, but people would likely buy 5-6 of them (in my mind, but you never know) ? I figure I'll try it anyway to see if I can even get a single sale on the product and go from there.. but interested in your thoughts

 

[hughjasle]

would you not recommend even trying a $10 or below product? I had things set up for a $5 product, but people would likely buy 5-6 of them

For me it's not about the product cost per se, but the package cost. I have a below $10 product, but I only offer it in packs of above $15 with my avg cart being roughly $26. The trick with paid traffic is turning a profit on small cart values as a $2 increase in CPA could potentially wipe your profits and CPA costs fluctuate all the time.

 

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[IGP]

For me it's not about the product cost per se, but the package cost. I have a below $10 product, but I only offer it in packs of above $15 with my avg cart being roughly $26. The trick with paid traffic is turning a profit on small cart values as a $2 increase in CPA could potentially wipe your profits and CPA costs fluctuate all the time.

To add to this, I've had to kill some profitable "small margin" campaigns because the amount of profit just wasn't worth the work involved.

Even if you drop ship, there is still work involved with order processing, customer service, returns, refunds, keeping up with your ads comments etc.

Fundamentally, there is no difference in selling a $5 dollar product and a $50 product.

 

[LPPC]

@ShadowX Sorry, I don't have enough knowledge and skill right now to give you a good advice.

 

[LPPC]

@hughjasle

Hey Hugh! It's been a while since I posted in this thread. Could you please tell me if my thought process, that I'm going to lay down here, is correct? I'm in the phase of testing whether this product will be profitable or not, as the process outlined in your own progress thread.

Having a video of the product on your site is important. I haven't found a video online of the exact same version of this product that I'm trying to sell. I've found a video of a similar product, but mine also has a LED light so it's not the same. The product on the video must match the product images, or else your site won't look credible and you won't really know whether people really want this product and your test will be unreliable.
Therefore it will pay off if you create a video of your own product. It is even essential to have a somewhat professional looking video made, because that will give credibility to your store.

I have the opportunity to have a pretty decent video made for 120 euros. Do you think I should do that and it's better than to make it myself since I've never made such videos?

Or is this too much and it's a manifestation of my perfectionistic character?

Thank you!

 

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[hughjasle]

I have the opportunity to have a pretty decent video made for 120 euros. Do you think I should do that and it's better than to make it myself since I've never made such videos?

Or is this too much and it's a manifestation of my perfectionistic character?

$120 is pretty good depending on the video. But if there is no video of your product, you are gonna have to do everything you can do to get one.

As for professional looking, that's tricky. Sometimes pro vids come off too "staged" or too "as seen on tv" style and the more amateur types of videos work better. But that goes both ways. Seems hit or miss. I find videos done by YT influencers who put real emotion and likability into their videos do best for me.

 

[LPPC]

$120 is pretty good depending on the video. But if there is no video of your product, you are gonna have to do everything you can do to get one.

As for professional looking, that's tricky. Sometimes pro vids come off too "staged" or too "as seen on tv" style and the more amateur types of videos work better. But that goes both ways. Seems hit or miss. I find videos done by YT influencers who put real emotion and likability into their videos do best for me.

Thank you for the quick reply!
That's remarkable, because you would think more professional looking video's would communicate to the costumer that they are dealing with a professional company. So a video where you can see me using the product, with a soundtrack and bulletpoints, could work better than a video where there is good camerawork and different scenes and such?

Interesting, maybe it's even easier to find a youtube influencer and post their vid on my webshop. Thanks! Something to think about...

 

[hughjasle]

So a video where you can see me using the product, with a soundtrack and bulletpoints, could work better than a video where there is good camerawork and different scenes and such?

Yes and no - good camera work is essential to all videos. Crappy lit videos and poor quality videos almost always suck.

IMO its people seeing others with the product make it seem more trustworthy than just a run of the mill professional video. Gotta remember that people are inundated with stiff professional videos on TV and everywhere. They still work, but you have just keep that in mind. The other side of the coin is that people keep making them (pro videos) because they still work for them.

 

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[LPPC]

Yes and no - good camera work is essential to all videos. Crappy lit videos and poor quality videos almost always suck.

IMO its people seeing others with the product make it seem more trustworthy than just a run of the mill professional video. Gotta remember that people are inundated with stiff professional videos on TV and everywhere. They still work, but you have just keep that in mind. The other side of the coin is that people keep making them (pro videos) because they still work for them.

Got it! Thanks a lot Hugh

 

[LPPC]

• Site loads fine (2-3second load time max)

Hi Hugh. I suppose you mean max load time of 2-3 seconds on Desktop? Because when I use Gtmetrix.com to test the mobile load time of sites like asos.com and Amazon.com they are no less than 5-6 seconds.

 

[LPPC]

I think it's a good idea to update my progress thread. I had to work on my master thesis for half a year, so my entrepreneurial endeavors were temporarily on hold.

Right now I've graduated and I've continued with my eCommerce journey. I have tested one more product, a dog costume. I saw a video of a similar type/looking costume on Facebook and many people in the comments were asking where to buy it. I couldn't find that exact costume, but I found one that was similar looking.

I got 2 sales only by spending $60 on advertising. Profit would be $5 per sale, so this was not profitable at all. I think because it's a fad. It might have been trendy and profitable in Q4 of 2016, but I started testing it like a month ago.

After the testing of this product, I decided to look up all the notes I've gathered since the beginning and make a plan out of it. I especially made sure to read all posts by @hughjasle, because he got me started and his posts are superb! Many thanks to him and also @JasonR and @Sanj Modha for their great threads.

Since reading all of that, I found out how ignorant I was about this game (and still am ).

For example, it would be wise to look for products that solve paint points. I think those products are more sellable/profitable.

I will be updating this thread regularly in the hope that people find some use in it.

 

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[MitchC]

Think of a market that spends money, then think of a problem they have or a product they would buy. Key is though they can't have seen it before, it has to be something new or better. If you aren't in the market you may think that a product is new and better because you have never seen it but because they are in the market they have seen a million ads for it.

 

[LPPC]

Think of a market that spends money, then think of a problem they have or a product they would buy. Key is though they can't have seen it before, it has to be something new or better. If you aren't in the market you may think that a product is new and better because you have never seen it but because they are in the market they have seen a million ads for it.

Awesome advice! Very important indeed to advertise to an audience that is willing to spend money online. Yes, find an audience first and then think of what this audience needs. Not the other way around, meaning finding a product first and then looking for an audience for it.

Key is though they can't have seen it before, it has to be something new or better. If you aren't in the market you may think that a product is new and better because you have never seen it but because they are in the market they have seen a million ads for it.

Do you know of any methods to check whether a product has been advertised before?

Thanks man!

 

[Sanj Modha]

I think it's a good idea to update my progress thread. I had to work on my master thesis for half a year, so my entrepreneurial endeavors were temporarily on hold.

Right now I've graduated and I've continued with my eCommerce journey. I have tested one more product, a dog costume. I saw a video of a similar type/looking costume on Facebook and many people in the comments were asking where to buy it. I couldn't find that exact costume, but I found one that was similar looking.

I got 2 sales only by spending $60 on advertising. Profit would be $5 per sale, so this was not profitable at all. I think because it's a fad. It might have been trendy and profitable in Q4 of 2016, but I started testing it like a month ago.

After the testing of this product, I decided to look up all the notes I've gathered since the beginning and make a plan out of it. I especially made sure to read all posts by @hughjasle, because he got me started and his posts are superb! Many thanks to him and also @JasonR and @Sanj Modha for their great threads.

Since reading all of that, I found out how ignorant I was about this game (and still am ).

For example, it would be wise to look for products that solve paint points. I think those products are more sellable/profitable.

I will be updating this thread regularly in the hope that people find some use in it.

The day you stop learning is the day you're dead! This industry moves quickly so always be a student.

Congrats on taking action and chasing your dreams!

 

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[LPPC]

The day you stop learning is the day you're dead! This industry moves quickly so always be a student.

Congrats on taking action and chasing your dreams!

Thanks a lot @Sanj Modha!

Right now I'm trying to figure out what audience to choose and focus on. The idea is to find an audience that is big, spends a lot of money online and preferably does impulse buying.

Instead of focusing on the US market, I could also sell on the Dutch and Belgian markets (I'm Dutch). I think the competition will be much less here, but also the population is not that big (27 million combined).

Tough choices but I will figure it out!

 

[LPPC]

These are the criteria I use right now to choose an audience/market. I've gathered them from multiple sources.

* It must be a huge audience for it to be able to scale well.
* Preferably, you have to know your audience. This will make it easier to find products for them, invent new products, write ad/landing page copy, create content and so forth.
* It must be a passionate audience
* An audience that has money to spend and also spends this money online.
* An audience that preferably does impulse buying (Facebook advertising)