All right everybody, welcome to our Daily Huddle episode number four.
Today is actually our fourth day having our daily huddle where every single day I simply answer five questions. It can be anything about building your business. If you’re stuck on something and you’re trying to scale up your business if you’re trying to run ads or anything that I can actually help you to get your question answered that can actually help you with your business this is what our daily huddle is all about. If you’re on Facebook right now, right above this video there’s a link where you can click on it and submit your question so that your question can actually be featured in our daily huddle. And if you’re watching this on YouTube right on the video below there’s a video description, you’ll see a link where it is basically www.fredlam.com/ask and you’ll be brought to a form to simply put in your information and most importantly to actually put in the question that you have that you want me to answer.
Obviously right now the timing that we’re actually doing this is very different from what we normally used to. We were doing this around 6 PM Pacific, 9 PM Eastern but today it was a very, very long day for me on handling some of my personal connections have actually been coming back. My apologies. These are basically things outside my control. So, we are all back. Awesome! We are all back right now my apologies for that. Anyway, it’s still pretty late right now as you guys can actually hear my energy level is not as at peak as I was for the past couple of days because it’s actually getting late. With that, put in the word ME in the comment box or in the chat box if you’re on YouTube if you guys are excited even if we are doing this pretty late, put in the word EXCITED so I can see all you guys and actually look at all the comments. I got Marcus from Facebook saying, “You’re a beast! Awesome.” So, I’m getting a lot of ME’s coming in right now from YouTube and then I’m starting to get the ME’s coming in right on Facebook at the same time. If I were to do this three hours ago there’s a lot more people here than actually being this late. Anyway, with that, I’m not going to waste a lot of your nice time, I’m going to dive right in into the questions that have been submitted to us today. Our topic is going to be for Facebook ads and Shopify quick start plan. All these questions are from people who are starting out with their e-commerce store on Shopify and on Facebook ads and there are some questions and I’m going to actually address them right now.
[0:03:05] Question 1: If it takes 3 days for a 5$ ad to see if it will convert, does a $10 ad cut the time in half?
Great question! Right now I always tell people to start with $5 a day budget especially for those of you who have a limited budget to actually get started. You actually want to get fast results and really see if that product is going to sell or not. I won’t just do $10, I will actually start a campaign at $20 a day right out the gate because again the more budget you have per day, the more data that you are going to get and the faster you are going to actually see if the product is going to perform or not. Now, here’s the other thing though even if you’re running a $5 a day campaign, $10 a day or even a $20 a day, you don’t need to run for full three days to know if that product is going to sell or not. There different data indicators that will alert you or basically show you if that product is going to sell or not. Let’s say that you start with$20 a day. If you start with $20 a day and you’re selling a product that’s going to be around $10, if you’re using the trip bar method that’s going to be like $10 then you basically will know in 24 hours if you’re actually going to get a sale or not. If you did not get a sale that means that well chances are there’s a high chance that the product may not sell well because you already spent $20 which is two times what your selling price is for your product then you’ll know straight out from day one if that product is going to sell or not. However, let’s say that if you are just running $5 a day and your price for your product is $10 then the first day cannot basically show you right away if that product is going to sell or not because let’s say that you spent $5, you still haven’t made a sale yet and if you made a sale the second day then basically you’re going to be breaking even right out the gate. So before you even wait for the second day, I look at primarily the cost per click link and the click-through rate link. These are the two most information I take to look at right away. And here are the reasons why:
You want to make sure that get under a cost per click of a buck. If you can get your cost per click under a buck chances are for you to actually make a profit or sell that product that your advertising is going to be a higher chance. Now, the click-through rate is also a very important data point to actually look at. The reason why is that on average when you’re selling eCommerce product or any other product or services that you have you want to actually have a click-through rate of 1.5%. If it’s actually below 1.5%, it basically tells you two things. Number one, chances are is that the product is not having any interest in your targeting and number two is that there’s something wrong with the creative or the interest targeting itself because if you’re not able to actually achieve a higher click-through rate then the market is just telling you that hey their not interested. If I were you right out the gate the $5 and I’m getting like $3 cost per click and the click-through rate is like 0.8% or like 0.7%, I would actually pause it right away and I won’t even wait for the three days because I know right away that the market is not even responding to the ad that I actually have. So again, to answer your question, in short, is that yes, if you actually have a higher budget per day right out the gate, you’re going to get this data point back so much faster and so much quicker for you to make a decision if that product is going to sell or not. Now if you guys are like, “You know what I’m all in. I know that this product can sell.” Well I really want to know if the product is going to sell and I don’t want to wait for like a couple of days to get data well, guess what starts with $20 right away and then you actually have data in like a couple of hours to show you if that product is potentially going to sell or not. So that is the first question of the day.
[0:7:22] Question 2: Hi Fred, you're so cool, question, I am just starting out, I already invested a couple of hundred bucks in to Facebook ads, here and there sells, what tools do you recommend for improving my target research?
So we’re drilling back into targeting. To improve your targeting it all drills down to you knowing your customers and most importantly you stalking, knowing who they are. If you want to actually succeed in selling on Facebook, you need to know who the persons on the other side of the computer are. Are they older demographic? Are they someone who is simply grandma or grandpa? Or they are buying this product for themselves or they are buying it for someone else? Or they are expressing specific interest in certain things? In order for you to know all these, you need to use the audience insight to share this information with you. Now, right out the gate, yes you are “blindly” going to the market because you don’t know what interest is working and what is not. But right out the gate when you are let’s say that you were telling me that you are getting some sales here or there, look back at the interest targeting that is actually getting you to sale. And from there you want to use the audience insight to look at what are the commonalities. I look at what I call trends and what is in common with those interests because at the end of the day you maybe actually having three interest targeting that’s getting you sales here and there. There is something in common about these three interests targeting or these three audiences and you want to actually discover that through the audience insight. Because let’s be honest Facebook has so much data point. Facebook is actually scary on how much information Facebook has that you as an advertiser can get access to you through the audience insight for you to understand exactly what they like and what they don’t like and most importantly what they buy so like I actually talk about yesterday in our daily huddle third episode, giving you a very amazing tip for those of you who are advanced, I discovered that one of my e-Commerce stores actually have people that are anti Trump. I would never ever imagine that but guess what that would open up new sources of interest and targeting and traffic that I can go after because I do my due diligence, I look at who my customers are. I look at what is in common, what are the things that these people have in common? And from there you will basically start to drill down even further down on knowing exactly who your customers are. And when you know who your customers are and actually see other interest that they are interested in through the audience insight, it will give just a lot more power for yourself to have a higher chance of succeeding for your ad. And one of the most important thing also is that the more that you know about your customers guess what the better you write the ad and the better your ad is going to be, the higher click-through you are going to get, the lower cost per click that you’re going to pay which in result you would actually invest a lot less to actually acquire a sale or acquire that person’s email address and all those other stuff. So again, you have to abuse the audience insight. I cannot stress the importance of this. If you want to find more targeting, if you want to find more interest, if you want to really know who your customer avatar is, the tool that I always ask you to use is simply using the audience insight tool.
There is another tool that you can use that I use as a secondary to really help me out to look at things. So what I would use is alexa.com and similarweb.com which tells me more about the interest. Let’s say that if you’re advertising a baby shop or whatever, I’m just making it up right now. Let’s say that if you’re advertising a baby shop, well guess what you can actually look at who goes to Babies R Us and people who actually go to BabiesRUs.com where else do they go? And from there you basically look into your customer avatar a lot deeper for you to understand what other things they will like and what is potentially going to work for your business. So I hope that really helps you guys out in that realm of things.
[0:12:43] Question 3: Fred, will I need stripe and Paypal or will Paypal be sufficient? I'm from Jamaica.
Great question. Obviously when you guys are trying to build an e-commerce store through Shopify and Shopify obviously only allow Shopify payments for several countries and if it is outside allowed countries then you need to use stripe and some places don’t allow stripe so you really just end up with Paypal.
So here’s my answer to your question, is to simply start with Paypal first. You’ll be surprised that there’s a lot of people that actually buy with Paypal, like my stores over 50% of my transactions are all done through Paypal so at the end of the day every advertising into like UK, Canada, Australia and even in the US these people really do have Paypal accounts. Right now with the Paypal check out process you don’t even need to have an account with Paypal and you can use a credit card. So it won’t really have that huge of a difference right out the gate. What I do suggest start with Paypal first and then slowly find a way to actually have a payment option in place. Here’s one thing, if you are living in a country that just doesn’t allow stripe, doesn’t allow Shopify payments, I will highly encourage you to actually hop on to live chat at Shopify and they will basically share with you right out the gate what is the best option for you when it comes to processing credit card orders aside from just using Paypal. So again, Jourdain just having Paypal right out the gate is going to be sufficient enough for you to actually get started.
I’m just looking at comments and everything. Put a 1 in a comment box if you guys are loving our daily huddle. We’re actually getting a lot more people here with us even at like this pretty odd hour. A lot of people are like winding down and start to go to sleep right now but I’m here answering all these questions.
[0:15:48] Question 4: How many products should I be running (Facebook) ads for at one time? I'm new and feel stuck!
This is a great question again that’s why I put it on our quick start Facebook ads and Shopify topic. It really depends on how much you are willing to invest. And here’s one thing, a lot of people think that when I advertise on Facebook, it is an expense. You don’t want to basically see that it is an expense; it is an investment towards your business to get data to understand if your products are going to sell or not because the more data you have, the better your decisions going to be and the faster you can actually push the business forward.
So when you ask like well, how many products should I have running Facebook ads at one time? I will say you should be running as much as possible. If you were to ask me that question I would answer as much as possible because the more products you have right out of the gate and right in the Facebook ads, the more chances you are going to succeed. And here is the truth and a fact when it comes to e-Commerce and when selling a physical product, you really just need one single product and you can be making $1,000 a day in sales just one you don’t need a whole lot but right out the gate yes you need to test a lot of them because you don’t know what products are going to sell and what products you are going to make profit on so through that entire time yes a lot of people that I’ve been getting saying, “Fred I invested like couple of hundred bucks or several thousand dollars but I still be losing money.” You know what, yes it sucks but here’s the thing you have to be patient because once you find that one product you can quickly make all the money back in a very, very short period of time and I’m not kidding you a lot of people that are succeeding, a lot of my members that are succeeding they are diving in, they are testing every day. Again, they won’t feel defeated right out the gate because they’re like “Well you know what I’ve tested all this there’s no product that has been selling well.” But the truth is once you find that one product that sells well you’re going to make all your money back that you have invested but guess what through that process yes you feel like you’re losing money but the reality is that it is giving you number one an experience, number two knowledge and number three data for you to actually know what sells and what doesn’t sell. And by doing this process over and over and over and over again you will start to actually master running Facebook ads because you now see, you look at it as, “Oh this is an easy thing to do. I can just click here and just can create an ad right away.” But again, like I said “How much product you should have running out of a time?” As much as possible with one caveat, the one caveat is that if you are selling multiple products you need to A.) Either use a custom audience based on purchase for that specific product B.) use pixel bay to help you achieve that so that you are not confusing the Facebook pixel because if you are just optimizing off of just the purchase in general then what’s going to happen is that you are going to get a lot of data point and you will confuse the Facebook pixel which I had that experience before so you wanted to create like a custom audience of purchases and create that as custom conversions based on the specific product so that basically you are making Facebook job a lot easier in the algorithm. That’s what you want to do so that’s the one caveat that I want to actually bring at play.
[0:20:12] Question 5: I am in the stages of populating my product pages, after research, I’ve seen that the ‘imporitify’ type apps are more of a detriment to my business in the long term. Is there anything out there that can help me with populating my product pages to save me time, yet still provide anonymity of being a drop shipper?
That’s really it for today’s daily huddle and I answered five questions. Again, if you want your questions to be featured there is a link above this video on Facebook, click on it and if you’re watching on YouTube there is a link in the description right below and the URL is www.fredlam.com/ask and simply put in your question now. There is one request that I want to put out there, please just send one question, don’t send more than one question just send one question. It’s just to make it fair for everyone. There are people that are actually put in and ask like five different questions an at the end of the day I will only answer one so please, please, please if you want me to answer other questions too, submit that questionnaire multiple times if you want and that’s what we will do.
So other than that, that’s really it for today’s daily huddle. Today it’s our fourth episode and I obviously can see that you guys are very excited to be here and very excited to actually have all that. Now, I do have to actually take responsibility for something that I shared with you guys yesterday. Yesterday I was telling you guys that I’m going to release a video training this week but now it’s already Thursday and I’m getting really, really, really tired so at the end of the day, I may be releasing it over the weekend. I maybe releasing over the weekend. What I wanted to do is every single day I have this daily huddle and then I want to actually spend some time to create more video training for you guys that will actually help you, inspire you, and share with you the latest stuff and really going from there.
Anyway, if you guys are excited about all these give me the love symbol right in Facebook and then if you guys are on YouTube there is a thumbs up make sure you click on the thumbs up. Again, if you want to be always notified right away if we are having and when we’re having this daily huddle and having it on YouTube and having it on Facebook, make sure you follow me on Facebook and you subscribe to my YouTube channel; very important because those are the ways that you get instant notifications on when I’m going to be live. I’m not going to email you guys. I told you guys that I’m not going to hammer you guys with emails on getting you guys on board I’m just going to actually want you to basically be present with me and be ready that we are going to have a daily huddle every weekday and that in order for you to actually know when I’m going to come in live make sure you follow me on Facebook and you subscribe to my YouTube channel and I’m going to do this as long as I can. I’m going to do all the things that I can do to make sure that I am here live. I will be travelling end of next week but regardless if I’m traveling or not I will do it on a phone, I’ll do it somewhere I’ll make sure that I’ll be doing this daily huddle with you guys so that we stay connected. I am here to actually help you, to show you that I care about you guys, I care about your business, I want you to succeed. I really want you guys to basically say, “Fred, you really change my life.” and that’s all I really care about. Other than that, that’s it for today’s daily huddle so again, tomorrow I know it’s Friday night and all you guys are going to be like thank God it’s Friday so what’s going to happen is I may be doing our daily huddle earlier so that you guys can enjoy your weekend but to be honest with as an entrepreneur there is no weekends, you need to work your butt off so you don’t want to turn on the TV to watch the latest episode of Game of Thrones which is not even available anymore. Obviously you may be watching HBO on playback at the end of the day if you really want to succeed online, if you really want it you have to hassle; you have to give up your TV time, you have to give up your video games, you have to give up going to a bar with your friends and getting wasted and all those other stuff. As an entrepreneur you’re going to be like me, I hate to bring this to you but 9:30 I’m still in the office and I’m still going to be here for a couple of more hours. All right other than that guys I hope you guys enjoy our daily huddle today, I will see you guys tomorrow. Make sure you subscribe to my YouTube channel and follow me on Facebook to get instant notification on when I am actually coming on live. Other than that I’ll see you guys tomorrow.