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A-M-A Finally Made a Breakthrough - Affiliate Marketing (From Broke to 6 Figures)

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integrity

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For a long time I've envisioned being able to make a post like this one somewhere. I was however a little hesitant to make this thread at first once things did start picking up, as I'm a pretty reserved guy, but I figured if I've already shared my hardships and tough times (in my intro thread, here) I should also share my successes. Thankfully my prayers have been answered much sooner than I had anticipated. So here goes; hopefully I can also help a few others that have been venturing down the same path as me.

Quick Recap

I've been doing affiliate marketing for a little over 2 years now. It's been almost exactly 1 year since I kicked the training wheels off and dived head-first into paid ads. At that time, I think my budgets were like $25-50 a day MAX, and my credit card limit was about $800. So not much breathing room, especially for PPC.

Given my monetary situation at that time, I had to bootstrap as much as possible. Scavenging google, forums, youtube, any information I could find to teach myself paid ads. I couldn't afford a decent expensive VPS, so I had to learn to set up, manage and optimize a self-managed VPS for my tracker and to host landers.

I reinvested my profits into more learning resources like paid marketing forums, which really turned out to be invaluable in terms of the information and coaching I received. everything I made went back into the business. And not having big budgets forced me to be extra conservative with my campaigns. Thankfully, I don't think I ever lost more than $300 in a full month while testing and learning. So, I guess that's an advantage of starting out broke.

The Details

It took me 6 long months of non-stop grinding to finally hit a breakthrough. During these months, I don't think I made any significant profit. In fact, I may have been at a slight loss considering all the hosting/tracker/forum membership costs.

But finally one day, it was like the POWER switch flipped on. Literally, my breakthrough was from a few days to another.

I found a hot offer and matched it up with a great traffic source. It was also right around this time that I had just finished setting up my corporation, business bank accounts, and fortunately had gotten approved for some higher limit credit cards, JUST as all my other ones were nearly maxed out from all the daily adspend.

Within a couple of weeks, I had taken my previous $30-50 profit days (good days) to $250 - $300 profit days. And within a few more weeks of optimizing and adding some additional offers to the mix, I was doing anywhere from $500 to $1700 profit a day. In 4 months, I was able to generate over 6 figures in revenue, and almost hit 6 figures in profit as well. Overall ROI was a little over 100%. THIS is what I had been waiting for.

Flashback to 1 year ago when even spending $30 on ads every day was a stretch.

Needless to say, this has been like a huge burden lifted off my back. This money doesn't guarantee my financial security or puts me and my family into the fastlane -- but it's a start. And some breathing room certainly a great thing after struggling for so long.

Lessons Learned

I started reading TMF during these last 4 months, and MJ's principles have really changed my perspective on my current business. I lack a very important thing -- control.

The first week of August I got my ad accounts banned. Recovered them a week later, but then the main offer I was running got paused. Not only that, but regulations in that particular country also affected every other similar offer in that particular geo. So conversions are nowhere where they used to be. I made some good cash in that 4 month run, but now it has mostly dried up. I'm back to working on some other campaigns to get my daily profit back to where it used to be, again.

But after reading MJ's book, I can't help but feel as though I'm building a sandcastle right next to the shore. Yeah, I might do 45k again next month, but these offers have a shelf like. There's no building upon this to do 100k in 3 months, then 300k, and so on. Well, technically you can. But realistically offers will go down and you'll have to rebuild that lost profit.

Looking back at the previous offer I ran the most volume to, while my conversions stopped coming in after it got paused, the offer owner is still making money from the subscriptions I generated him. Lots of money. So moving forward, I will be looking to to transition from affiliate to offer owner.

Not quite sure how to go on about that, but I'll figure it out. All I know is that to get where I want to go, that's the road I'll have to take. I need to have more control over my business, and not be at the expense of offer owners pausing their offers, lowering their payouts, or other regulations that I can't control being imposed on the offers I'm running.

So, my journey onto the fastlane isn't complete. But I'm definitely a lot closer than I was a year ago. :)

If you have any questions, ask away. Please try to keep them on this thread, and not on PMs. I want to keep everything on here for others to read.
 
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integrity

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I'm looking forward to part two. I hope you've saved some of your money.

Thanks @jon.a, means a lot.

And all of it has been saved, aside from my business expenses and what I take out to pay our monthly expenses. Oh, and taxes. Can't forget about taxes.

No Ferrari yet.. Hopefully that will be in Part 2.
 
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MJ DeMarco

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Looking back at the previous offer I ran the most volume to, while my conversions stopped coming in after it got paused, the offer owner is still making money from the subscriptions I generated him. Lots of money. So moving forward, I will be looking to to transition from affiliate to offer owner.

Yup, that's the power of owning your gig and your brand.

I will be looking to to transition from affiliate to offer owner.

but I'll figure it out

Based on your incredible story above, one of perseverance, I have no doubt you will figure it out. Affiliate marketing is a tough racket and I wholeheartedly believe that rockstar affiliate marketers can be rockstar Fastlaners.
 

integrity

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MJ DeMarco" data-source="post: 395500" class="bbCodeBlock bbCodeBlock--expandable bbCodeBlock--quote js-expandWatch">
Yup, that's the power of owning your gig and your brand.





Based on your incredible story above, one of perseverance, I have no doubt you will figure it out. Affiliate marketing is a tough racket and I wholeheartedly believe that rockstar affiliate marketers can be rockstar Fastlaners.
Thanks MJ, coming from you that means a lot as well.

Next step on the list is getting on the Inside. The free information I've gotten out of here so far has been incredible -- I can only imagine how good the Inside is.
 

integrity

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Can you recommend any of the paid forums you used to learn?

Are you a member of STM?

The most recent one I was on (which unfortunately doesn't exist anymore) was IMGrind. Before that I was on STM. I haven't been on there since almost a year ago, so I don't know if their most current information relates to what I was doing. Nonetheless, it's a great wealth of information.

Since I didn't go into much detail as far as actionable advice goes, I'll do that now as well:

One of the most important things I'd recommend is understanding traffic sources.

You have to really understand how the traffic you're buying is being delivered. Not all traffic is created equal and therefore your approach to each source (or more specifically, each ad type) must be different.

Adwords for example is comprised of a search and display network. With search you're getting more targeted users, while with display you have to "interrupt" the user's regular browsing habits. You'll likely have to be more aggressive when advertising on display networks (not just google) as opposed to search to get better results. Since users searching for stuff are more engaged and interested in the ads that would be appearing, they'll also be much easier to convert. Although that also translate into higher CPCs for coveted keywords. The trick is in getting creative.

Facebook is also a completely different beast altogether. People on there are browsing through friends' profiles, snooping around their pictures, sharing stuff they think their friends will "like", and overall just passing time. They are not in "buy mode" or looking to sign up to stuff. So you'll have to keep those things in mind when promoting your offers on there. Just because an offer is not converting well on Facebook doesn't mean it won't do really well on Google Search. And vice versa.

Then you have PPV/Pop-Up and redirect ads which are a lot more intrusive. These are typically harder to convert as users are totally not expecting your offer/lander to pop up in their face (nor will they be very happy when they do see it) so you'll have to work to get over that barrier.

Just some things to keep in mind.
 
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CosMoen

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Did you get started with POF or another traffic source before you became profitable?
 

integrity

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Did you get started with POF or another traffic source before you became profitable?

I actually did some of my first campaigns on POF.

Honestly, I never got very far there. I had some luck with a niche dating offer, but couldn't maintain a good CTR on my images for more than a few days. Had I gotten a consistently good CTR with low CPMs and good volume, and it would have worked. Then again, the same rings true for virtually any traffic source out there.

I was brand new then with a very limited testing budget, so perhaps POF could have worked for me with more testing.
 
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Phantom309

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Thanks for the AMA integrity, congrats on the success you've had and best of luck to you in merging into the fastlane in the future. I just started my affiliate marketing journey, I've floundered around for 4 years now but I've learned a lot this year and have somewhat of a heading to maintain after reading a marketing method on another forum. My end goal is similar yours of being an affiliate owner.

I've read a lot of things some I remember and some I don't, but one that has stuck in my mind was something was said by MJ,"Why be the affiliate marketer, when you can be the affiliate owner." That's been my goal just heavens knows how's I'll get there and I didn't know that the learning curve could be this big.

Thanks again for sharing your success, I can't wait to read part two, and I have more studying to do.
 

integrity

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Thanks for the AMA integrity, congrats on the success you've had and best of luck to you in merging into the fastlane in the future. I just started my affiliate marketing journey, I've floundered around for 4 years now but I've learned a lot this year and have somewhat of a heading to maintain after reading a marketing method on another forum. My end goal is similar yours of being an affiliate owner.

I've read a lot of things some I remember and some I don't, but one that has stuck in my mind was something was said by MJ,"Why be the affiliate marketer, when you can be the affiliate owner." That's been my goal just heavens knows how's I'll get there and I didn't know that the learning curve could be this big.

Thanks again for sharing your success, I can't wait to read part two, and I have more studying to do.

Thanks man -- best of luck to you as well.

Honestly, transitioning from affiliate to offer/product owner was ever really on my radar. In the beginning all I really wanted to do was sit at the computer, pick an offer, run some traffic and make money. I thought that's where it was at. No stress, just watching conversions coming in all day.

And yeah, while it's certainly nice when the ball is rolling and the money is coming in, it's really frustrating when something happens and you have to start all over. I didn't know that feeling when I first started. Then I read TMF and started seeing things differently.

Don't get me wrong, I'm not dropping affiliate marketing right now either. It still makes me money and is relatively hands-off when campaigns are set and optimized. But I definitely understand I need to make a big effort to transition into something that gives me more control. Also, in order for me to run my own offer, it was necessary to have taken the affiliate road first. This has been my school. Had I not been able to find success promoting offers for others, chances are it would not have worked well for my own.

Looking forward to seeing a progress thread from you.
 

Hope

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Hello @integrity

You are basically where I want to be, I want to get better in the affiliate marketing business method and sell a few small information products as well, and then save my money and eventually (after 2-3 years of saving) start my own bigger non-affiliate businesses.

I have a few questions but I'll try to keep them brief:

  1. was the method you were using only paid traffic to someone else products, or were you developing your own Niche sites, marketing them, and lacing them with affiliate offers relating to the niche?
  2. did you start off by doing paid traffic? or did you switch over to predominantly paid traffic after making some level of consistent daily earnings.
  3. Do you have any programming knowledge? or do you just use WordPress or something similar to it?
  4. How many sites do you currently operate?
  5. Should someone looking to become a successful affiliate marketer create one site first, and try to monetize it and only focus 100% on that one site, or should you create multiple from the onset and attempt to operate all of them at once?
  6. Realistically, how quickly could a beginner with a good mindset and skills start to earn $100 USD daily through affiliate marketing, in your opinion.
  7. BONUS: "What color Ferrari should I buy?" (JK ;))

Thank you very much for your time, I wish you great luck with your businesses.

PS: I'd absolutely love to see a thread about your journey, and maybe some good "how-to's" mixed in as well.
 
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Phantom309

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Thanks integrity, right now I'm at that stage where I have to see it to believe that it's actually possible to make real money with affiliate marketing. The site I'm focusing on now is real young less than a month and I've made 1 affiliate sale so far. I made a whopping $1.74 in commission but I felt like I had won the lottery because it was $1.74 that I didn't have that morning that I woke up.

TMF is a great read, and it's getting about time to read it again. Likewise with you I can't wait to read more updates and hear awesome news from you.
 

integrity

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Hello @integrity

You are basically where I want to be, I want to get started in the affiliate marketing business method and sell a few small information products as well, and then save my money and eventually (after 2-3 years of saving) start my own bigger non-affiliate businesses.

Thank you, @Hope. Attaining those goals are certainly possible. It's not an easy space and failure is something that will happen often, but successes more than make up for it.

was the method you were using only paid traffic to someone else products, or were you developing your own Niche sites, marketing them, and lacing them with affiliate offers relating to the niche?

In the beginning, I went with the niche site approach with SEO as my main traffic source. Took me like 3 months to rank a site and start getting traffic. About a month after I tweaked my monetization methods to make a reasonable amount of money from it (at that time/$200mo) Google updated their algorithm and I lost like 80% of my traffic and earnings. I dropped SEO after that.

Since I was bootstrapping, I managed to make some money with other free traffic methods (blog/website commenting) but that was a short stint as well. However, I did use it to fund my paid traffic ventures, which is all I've been focusing on for the last year.

did you start off by doing paid traffic? or did you switch over to predominantly paid traffic after making some level of consistent daily earnings.
Above post should answer this one as well. And earnings were never consistent with free traffic. Actually, earnings in affiliate marketing are never really consistent, so that's something you'll have to get used to.

Do you have any programming knowledge? or do you just use WordPress or something similar to it?
For my blogs I use Wordpress. Any programming knowledge I have was gained as I went along and had to figure things out. However, I have not used wordpress at all for pretty much all the paid advertising I've been doing. Believe it or not, most of the money I've made has been direct linking affiliate offers (primarily mobile offers). For some offers that needed a more aggressive level of pre-selling I, use simple single-page html landers.

How many sites do you currently operate?
I have an agency website that I use for my business. But aside from that, the single-page landers I use and some old projects, I don't actively promote affiliate offers through my websites.

Should someone looking to become a successful affiliate marketer create one site first, and try to monetize it and only focus 100% on that one site, or should you create multiple from the onset and attempt to operate all of them at once?
Whatever you do, focus on one thing at a time. Whether it is one website, one offer, one traffic source, ect.. Master it. Just make sure the traffic source is good (Google, Facebook, Bing, ect..) and the offer is proven to convert (ask your AM what offers are bringing in the most revenue). You don't want to get stuck promoting a dud offer or running it on an obscure traffic source where you have no idea where the traffic is coming from.

Realistically, how quickly could a beginner with a good mindset and skills start to earn $100 USD daily through affiliate marketing, in your opinion.
That really depends and it's hard to answer. Could be a day, could be a year. It took a lot longer for me because my budget really limited what I was able to test. In my case, that was actually a good thing. And also, depending on what offers you run, they could get hot and cold from day to day. So maybe $100 profit today, $20 profit tomorrow, $300 profit the next day. Realistically, Once things "click" and you can scale your traffic, you're going to be surpassing the $100/day mark.
Blue. :)

Thank you very much for your time, I wish you great luck with your businesses.

PS: I'd absolutely love to see a thread about your journey, and maybe some good "how-to's" mixed in as well.

Anytime, glad to help. Likewise!
 
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integrity

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Thanks integrity, right now I'm at that stage where I have to see it to believe that it's actually possible to make real money with affiliate marketing. The site I'm focusing on now is real young less than a month and I've made 1 affiliate sale so far. I made a whopping $1.74 in commission but I felt like I had won the lottery because it was $1.74 that I didn't have that morning that I woke up.

TMF is a great read, and it's getting about time to read it again. Likewise with you I can't wait to read more updates and hear awesome news from you.

The first sale is always feels so good -- regardless of the amount. I remember my first $1.75 commission from an email zip submit the first time I tried PPC.

Sounds like you're doing SEO, which does take a bit longer to get any traction. I'd recommend leveraging social media as much as you can for now, as relying solely on search engines can take ages.

But you gotta start somewhere. :)

Edit -- I'm rushing off to the gym now but I have some more tips I want to share when I get back.
 
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Phantom309

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Thank you very much for the advice can't wait to read the other tips. Any thoughts on pinterest? I've thought about giving that a whirl. I don't have a facebook or twitter
 

integrity

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Okay, so here are a few tips that really helped me in my transition from struggling affiliate, to making it.

Choosing and Testing an Offer

The offer(s) you decide to test should depend on your available testing budget. When starting out on a limited budget, you should pick low-payout offers in the $1 - $3 dollar range. Why? Here's an example.

Lets say you decide to test a $25 offer on 40 different website placements with a $100 budget.

$100 / 40 = $2.50

That means the above test yielded only $2.50 in adspend per each website placement (or keyword). Since the offer pays $25, assuming no conversions came in on the first $100 in adspend, we still don't have enough data to conclude if this campaign is profitable or not. Because out of those 40 placements, we don't know if 2 or 3 (or even more) of them would turn out to be profitable if we were to receive more traffic from them.

In order to know for sure, we'd have to give each placement or keyword at least $25 in adspend. Perhaps even $50 or more depending if you want to test different variables like time of day, ect..

So in reality, to properly test a $25 offer on 40 different websites or keywords, you'd need at least $1,000 to gather some conclusive data; not $100. Any time you add more variables into the mix like different banners, multiple OSs, ect.. Each variable combination should get at least 1x the offer payout in adspend. Minimum.

The same also goes for running campaigns for your own products or services.
 
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integrity

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Thank you very much for the advice can't wait to read the other tips. Any thoughts on pinterest? I've thought about giving that a whirl. I don't have a facebook or twitter
I don't have any experience advertising on Pinterest. Not even sure if they have a paid advertising platform.

Honestly though, unless you're specifically looking for unorthodox ad units like PPV and popups, you can do really, really well on the 3 sources everyone knows, Google, Facebook and Bing. And while the the attention is usually always around Google and Facebook because they have huge potential to scale, Bing is a pretty underrated traffic source with quality traffic and decent volume. So don't discard it.

Regardless of where you're buying though, always try to understand what sort of inventory you're buying, whether it's search, display or something else. Be mindful of how your campaign may be perceived through those avenues.
 
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Hope

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Thanks for all the info so far @integrity

I am turning 18 in less then a month and will be starting a site in a particular niche, so far as I can tell it has good search volume and low-ish competition.

This is the site I will focus almost all of my attention on, outside of a few freelancing gigs I do for additional earnings.

I have around $1000 USD to use currently for business supplies and services and such.

My question is, should I go with a duel pronged approach of using SEO and paid traffic, or start out with only SEO or vice-versa, I know you said that you don't count on SEO anymore, but I was thinking it'd be a good idea to use both, so long as one has the time to do so.

And if I were to use paid traffic, how much (in your opinion) of money should I invest into it. (and would you say that the best paid traffic to go with would be google PPC?)

Thank you once again.
 
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integrity

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Hey @Hope

I'm probably not the best person to answer that question, as I'm not particularly experienced in the "niche site" scene, where I'm assuming you're building a site targeting specific long-tail keywords.

About search volume and competition, it certainly makes it easier to start out and rank for those "easy" keywords. Although Google has changed their algorithm so many times lately, I honestly don't know just how "easy" that is anymore.

And that also raises another flag, "Why doesn't it have competition?"

That's something I'd really look into before you pour a lot of time into something, only to find out you can't monetize it enough to make it worth your while.

When I started as an affiliate, I didn't touch paid ads until about a year into it. That's just me, and it doesn't mean you should wait that long. But I'd probably recommend sharpening your chops before jumping into it.

You don't have to reinvent the wheel here either. Spend some time browsing the internet and click on the ads. Those guys are paying money to be seen, and must be making money somehow. Find out how, and try to do the same with your own system (don't flat out copy them, although many in this industry do). Want to run international offers? Get a VPN for $11 a month. Use tools like Similarweb.com to run sites you find interesting and see where the traffic is coming from, and where it goes.

That'll give you a better idea of what is working right now.
 

Phantom309

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Awesome advice integrity. Thank you so mulch for sharing. I'm definitely going to research pock and see if it something I can do successfully. Thanks again for your time.
 

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For your company, how could we inquire more info about how you could help us? I'm doing self publishing and also freelance writing but need more help with marketing and haven't yet thought about doing paid ads. The extent I'd thought about going down the route you have more experience with is Clickbank and trying to let affiliates help sell my products. I'd be interested in talking with you more to see if there's any room for us to explore more!
 

integrity

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Hey Seamless,

None of those are really strong areas for me in terms of previous experience, but I'll try to answer you from a general perspective.

As far as self-publishing and freelance writing goes, it would depend on what margins you have to work with. If you're selling $2.99 ebooks on Amazon for example, that doesn't give you a lot of room to be aggressive when buying traffic. I have zero experience promoting ebooks with paid traffic, so I don't know if this is a viable option or not, or at what price point it would be -- it would depend on what conversion ratios you can achieve.

Most of the leads I've generated in the past few months were in the $3 range, so there's definitely potential with low payouts like that. But given that they were CPA offers, the conversion flow was pretty easy to complete. I don't know what are the average conversion ratios on ebook sales -- perhaps someone in the space can chime in with some numbers.

As far as freelance writing goes, one thing that comes to mind would be scalability. The great thing about paid ads is that you can scale quickly. But if you're doing all the writing yourself, the possibility of getting more work than you can handle would come up. If you can get it outsourced, that may be another option then. I've also seen a lot of people advertising their freelance writing on other IM related blogs like the WarriorForum, so that could be something to look into. Not all paid advertising has to be on Google, Bing, Facebook, ect..

Selling info products (Like you mentioned, ClickBank) could be another option as well. Again, not something I've gotten into but it has crossed my mind (I have promoted some products though). Getting affiliates to start promoting your product sounds like a fantastic idea, but I'd imagine it's not as easy as it sounds. I've seen tons of ads from Clickbank vendors promoting their affiliate programs, which tells me affiliates aren't picking it up on their own. Clickbank is a crowded space, so you have to find a way to stand out.
 

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Congrats on your beyond exceptional achievement! You're motivating a lot of forum members to keep pushing, myself included.
 

integrity

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Congrats on your beyond exceptional achievement! You're motivating a lot of forum members to keep pushing, myself included.

Thank you for the kind words. Threads like this really helped me when I was starting, so hopefully I can help others that same way as well.
 

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If starting over,

What would you do to cut the learning curve on AM?
 

integrity

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If starting over,

What would you do to cut the learning curve on AM?

Honestly, I wouldn't change anything. Everything I tried, all the things that didn't work, all the projects and campaigns that failed, I learned something from all those experiences.
 

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