In episode #2716, we dive into key business strategies and marketing insights. We cover the dangers of depending too heavily on giants like Amazon and Google, stressing the importance of exploring diverse channels and platforms. We delve into the impact of creating catchy terms and acronyms on social media, the role of storytelling and unique content in engagement, and the nuances of measuring ROI. Highlighted too are the benefits of gift cards in marketing, the trend of leveraging current trends, and using podcasts for revenue.
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All right, so did you know here, Let's start with this one. So you're basically this one company. They were doing eight million dollars in Amazon and the whole thing went up in flames. And so I'm gonna share my screen with you real quick. This is shared by my friend Matt Paulson, who, by the way, will be at the Leveling Up Founders event. That's the mastermind I do for founders once a year levelingof dot com slash Founders if you want to learn more about it. But he's got a thirty to forty million dollar newsletter business, and his tweet here says this, this is what I've been saying for more than a decade. Don't build a business that relies on one a big company, big tech companies whims. So basically this company went from eight million dollars per year to zero. It took this whole, this man's whole business away. Poof Amazon is for sure the final boss of e com. So it's a text message here and it says in this text message, we did eight million dollars in Amazon last year. We were closing our business because of the new fees and because of Amazon's one P so three P I know what's what's first is that first party fulfillment one P. I have no idea. I don't see on Amazon. I know we optimize their listings, but I'm never.
Yeah, I think has something to do with fulfillment.
So we have had exclusivity exclusivity on one hundred products of Blank Out Corporation to sell on Amazon. Blanked Out Corporation just terminated our contract because Amazon one P told them they would pay them more for the products we sell and will sell them for less because they.
Do not have to worry about the three P fees. Right, So I watched.
Yeah, I'm watching my inventory run out and then we'll get hit with with low inventory fees because I cannot replish my inventory from blank Company because Amazon negotiated us out of the picture. We have sold forty million dollars in the last six years. I've spent over two million dollars in advertising on Amazon. I would love for someone on Amazon to acknowledge or care that they put us.
Out of business. Scott, Wow, it's a doggy dog world.
It's business.
It's sad, but it's true. Yeah.
I have like as I was reading this, I'm like, I feel bad for the guy. But I'm also it's like profs to Amazon for negotiating, because like that's within their interest. I think the mistake that the business owner made in this situation was betting all their eggs, putting all their eggs in one basket. You know, once you max a channel out, it's in your best interest to diversify into other areas. So if one leg gets cut out, you can still sit on another two. But if you only have one leg, then the whole thing crumbles, right, And so I think this is a lesson. This is just another lesson that there's always platform risk. And just like for example, even though Neil and I have an SEO background, Google's great, but we've diversified like this, we have our YouTube channel. Like by the way, I showed YouTube the stats or Neil the stats the other day, one hundred and sixty seven thousand views in the last thirty days.
Pretty good, still growing, right?
How do we build how do we diversify away from just Google? Because that's the world we're going into anyway. So anything else you want to add to this before we move on? No, But funnily enough, I had one topic that I want to talk about. You and I have seen this.
So I did something on Twitter. It was just.
Experimac and it did really well and it ended up you know, the hook I want to read the whole thing is if you're going to use AI to write content, you can't forget about drive. And I capitalized drive dr ive, and I'll actually share my screen and then I'll get to the point in what people can end up lurting from this. So if you can see here on the screen at capitalize drive, I pretty much say that drive stands for data review, insights, visuals, energy, spelling out, drive in essence, and I break down what each of those things are that posted quite well as you can see here in the analytics add three hundred and fifty nine hearts or likes, whatever you want to call them, in four hundred and eighty two bookmarks, thirty six comments, and sixty reposts.
But what's entertaining.
Is is you know, I ended up creating this not because I wanted to share drive. I already knew the concepts on what you really need in AI written content for it to do well. But it was funny because you know, I was watching some videos online because I look at what's popular and what's trending for other people. And I see that people are using different things like you know, skyscape or technique, or they have different acronyms for stuff, and people are making up, you know, their own terminology like growth hacking. When you start doing some of those things, some of those terms take off, some of them don't. It's okay whether they take off or not. But one commonality that I saw is if you start coining terms or acronyms that social content typically does better than your other posts, whether or not it catches on on fire and everyone uses it going forward. But it's a really good way to create hits because a lot of people focus on hits by like, oh, here are ten hook formulas that work well. Instead of just copying formulas, try to create your own acronyms or try to create your own words or phrases that people could be using with an industry. In other words, you're coining terminology and we found that to do extremely well for social media content. And by the way, like when you coin these terms, it's almost like posting reels too. You just don't know what's going to hit. Some of them will hit, and some people remember, like the skyscreper technique. It's still stuck to this day. I think it's got to be over ten years now, right, even Google coming up with double eat like people still like people are repeating that over and over and so with this acronym like drive, it might stick, it might not stick, right, But the fact of the matter is it's at least it's easy for you to remember and if people catch on to it, then at the end of the day you can say, oh, I coined that term. Yes, it's so funny because it's like if you end up doing it one it helps you with like speaking fees and things like that, Like people get Sean allis in growth acting Oh yeah, yeah, he cleaned up on that one. This message is brought to you by Leveling Up Founders. And level Up Founders is an invite only event for founders. Happens once a year, usually during August and Pacive tidies include Peoples, which is Ali Abdahl, Cody Sanchez, Neil Patel Van that's allow on. The list goes on and on, and ultimately it comes down to the quality of the group with the people we tried to create, keep the group high caliber.
That's why it's invite only.
So if you are a founder at the top of your game, you can go to leveling up dot com slash Founders to learn more about it, and then you can apply and we'll see you on the other side. By the way, Neil and I have an agency owners group called the Agency Owners Association. All you have to do just go to marketing school dot io slash Agency. Once again, it's Marketing School dot ioslash Agency to learn more.
And now back to the show.
By the way, you know, I got a report back on Remember I was talking about this one company that's paying like, you know, forty five to fifty grand a month or so, and they're getting like one hundred and fifty million views from this this you know, using different agencies.
So basically I checked in, let me give you. I'm gonna give you here. Here's the clipable moment.
So here's the ROI of getting one hundred and fifty million short form views per month. So check back in with the company that's paying agencies to do so. And maybe two three months ago when I checked in with the CMO, I said, okay, you're paying this amount, then it's a good amount of money and you're getting five thousand pieces a month, and you know they got you sixty seventy million views. Now it's like, you know, one hundred million plus, right, And I said, okay, I'm gonna I said, what's the ROI of it? At the time, She's like, I don't I'm not sure. We just started check back with me a couple months later. It has now been a couple months later, and I said, okay, just check it in again.
What's the ROI.
But she's like, honestly, we can't measure it, Like we have no sense of what the ROI is. And this is almost impossible to track unless you have a unique funnel that drives this traffic into that funnel. But we think it's moving us in the right direction. And funny enough, as we're doing this podcast today, I actually got a text message from Alex Lieberman, who's one of the co founders of Morning Brew, and then my other friends Steve Gatina from pray dot Com text me too. He's like, dude, my friends are are sending me forwarding me your Your Instagram reels like you're blowing up right now or whatever, right, and so you know, there's kind of like it kind of reinforces that, like there's no direct ROI to this stuff. Like, we did well in the last twenty days ten million views or so, and it's going to continue to go up.
But it's like it's hard to measure. Wait, you got ten.
Million views in the last twenty eight days. Which channel we're all all combined to two two point eight million on Instagram and then four point one on YouTube and then another like four another four million or so on TikTok. Is it the still the rich bf F It's it's diversified now, good for you. Yeah, So it's like there there is an ROI, but it's hard to track, Like this is very much a dark social thing, and you know, if you want to put time and resources into it, great.
I think we can keep compounding ours.
I think you could certainly compound yours too, because at the end of the day, what I've learned from all this is forget about the overproduced videos. I'm just like, just tell decent stories and you'll get good views.
Yes, it really is good stories.
The other thing that helps quite a bit too, that I've seen is if you can just go out there and you can create content that is somewhat new and what I mean someone new is I'm not talking about just leveraging news and trends like that. I'm talking about if you end up talking about stuff that others aren't talking about, you'll do well. If it's regurgitated information, I don't care what subject it is, it just.
Doesn't do as well. That's actually important point, Neil.
So for this podcast, the way we do it now is we used to be we used to try to get a month ahead. Now we're usually like two weeks ahead, which is riskier for us because Neil and I travel quite a bit, but still travel a lot reduced mind, that's besides the point. But so what we do now is if a video or a topic we're talking about is trending, I'm gonna highlight that topic in red, and so when my editing team jumps on it, they're gonna move that topic up. That topic moves ahead of everything else. And so we're jumping on that topic because if we're talking about something that's trending today and the episode doesn't come out for two to three weeks, by that time it's already gone down, we're not going to get as many views. And so it's really important to trend jack when you can for sure the trendsacting is huge. If you look at the all In podcast, what makes them do well is they're just covering current events. Yeah, and it's it's once a week, so it's actually risky for them too. It's like, I mean, by the way, the fact that it's four people and they all travel out, they're all busy, means that no matter what we do, we should be able to do once per week two. But but I think we're a little risk adverse to it. Yeah. But also on their end, what they also do is if someone can't make it, they bring in another guests. Yeah, which we which we which we can do too, which we do do sometimes too. I wanted to bring up this other topic over here.
This is from our.
Or this is from my friend Maybybe. I think you met Amen too, so Amin brand Uh. He was the CEO of app Sumo for a while. And this is interesting because I've talked to a couple more founder friends. It's like, oh dude, they're like, you know what works really well gift cards. So when you sing gift card request to people on LinkedIn, say hey, we'll give you a hundred and twenty five dollars Amazon gift card or one hundred dollars gift card for thirty minutes of your time. And so Aman says this, So he's like, I'm about to use Shepherd support Shepherd, which is like a V eight or it's like a you can hire a vas there. So we're about to use Shepherd to hire a doppelganger to sit in on all of these pitches. I'll pay four dollars an hour to get one hundred dollars back quick alpha.
And so my point of.
This is saying, hey, we might be at peak gift card right now because everyone's starting to utilize this tactic. And when all marketers start to utilize the same tactic, that's when it starts to just not work anymore.
What's there? So Shepherd pay more.
I'm a little bit confused on this gift card strategy.
So here's how it works. So imagine Neil.
Let's say I want to sell you marketing services. Right, So I say, hey, Neil, I'll send you like a LinkedIn message saying hey Neil, I'll give you a hundred and twenty five dollars Amazon gift card.
Do you have like thirty minutes to talk about your marketing. You get what I mean.
I'm basically just using that into like factoring into my meeting how much.
I'm willing to pay to book a meeting. Got it?
And so instead of running ads, there's pretty much giving away free gift cards. Correct, and they're finding the conversion and all that to be still as effected. Yeah, I'm assuming they're targeting very specific people account based marketing. They're only giving the gift cards to people they know that would be their idea.
That's correct.
And by the way, imagine if you did this and then, like you did this with your email list, for example, you identified who's on your email list, They're probably even more likely to convert.
Yeah, that's pretty cool.
Yeah, But what I'm saying is if aims showing two in a row over there, that means more and more marketers are doing it. So if you're going to try doing this, start doing it right now, because in a year or so, two years or so, like when everyone's doing it, that's when you converge rates.
Tank. Yeah.
Have you seen the frame current method where he just gives you ten grand cash?
No, no, explain, explain, Like.
Literally, guy shows up to your door a quick phone call ten grand for what what's the offer?
Any offer that you're pitching.
He's like, if you want to get really well network with the right people, they just have someone show up with a thousand dollars five ten And he's like, here's a cash right now, quick call? What the heck?
Oh? Someone? So someone's gonna ring your doorbell and I'll give you cash. Yes, oh okay.
That's even crazier because there's like human effort that's going into it, and it's cold, hard cash and you're hoping that someone doesn't run away with your cash. Yeah, yeah, what's the incentive there? Like I just stealed the ten grad But I thought it was really cool because he's like, yeah, you know, you want to do well hunting and get calls with the right people, they have people show up at their door with the cash.
I was like, no, I've never thought about that. That is a pretty sick idea. Yeah, hey, let me know when you do it. You can do it first. I'm okay, But what's you know?
I was on the phone with I was on a podcast interview with Uh, what's that agency?
Their dt C agency.
Out of Canada. Dude, I don't know why I can't remember the agency. Either way, they're they're a decent size and scale. One thing that they've been doing to get customers instead of giving away stuff for free, is they just do a podcast, which my team's talk to me about a lot, like Neil, you should do a podcast just interviewing cmos, And some of my team actually does this in different countries, will interview like the head and marketing person at Procter and Gamble in Brazil or wherever maybe, and it ends up generating quite a bit of revenue from because now you have your ideal customer on a phone call team.
I've I've so.
By the way, the Growth Everywhere podcast now called Leveling Up, like that's that's what I used to do.
It worked well. Like interviewing.
I used to mostly just focus on SaaS people or marketers. I think twenty minute VC twenty VC by Harry Stebbings that worked out really well. I think he started that podcast when he was nineteen years old, and he will even a VC yet, right, He just interviewed a lot of vcs and then now he interviews a lot of founders and it's gotten bigger and bigger. And that's let the deal flow for him and it's worked out well. But you know, I like the formats and he has a fund because of that podcast. He don't have a forehand, right yeah, the kick after Yeah, and so everything worked like getting the funding, like, what how are you gonna get funding? Well, people have to know who you are, right, That's how he got the funding. How do you get deal flow? Well, people have to know who you are, and so it worked out for him.
It's a good business model. So that is it for today.
Please don't forget to rate view, subscribe, and if you want to join the Agency Owners Association, it's kind of like yp or EO, but for agencies. That's the group that Neil and I put together. You can go to marketing School the Ioslash Agency to learn more. There's an online community and there's a live community as well, and we look forward to seeing you inside.
So goodbye.