This was a phenomenal episode on performance marketing and paid media. Timothy Davis is a wealth of knowledge and gave me some great insights and takeaways as a performance marketer myself.
Thank you, Lenny, for sharing this insightful content. It would be fantastic if you could create an episode dedicated to 1x1 performance marketing. This could include a step-by-step guide from zero to one, using a sample product such as a t-shirt, which is in a crowded market, or books, which cater to a niche market. While we often discuss great strategies, seeing them applied in real-time would be incredibly valuable. This practical demonstration would help me and others replicate similar approaches in our day-to-day work. By the way, I’m writing this just a few minutes into the video. I’m a huge fan of your content and look forward to seeing more. Keep up the great work!
Great episode, it hits me that we all do the same things even at different budget levels. I would even say that with smaller budget the level of complexity and analysis is even deeper.
There's a widespread notion in the content creator community that customers who are acquired through paid ads are high churn or not as loyal as customers acquired by organic marketing. But it seems to me that a paying customers - whether acquired by paid or organic has taken the ultimate step. At that point it's a matter of customer retention. Lenny, do you have any insights on the topic from this guest or others. I think the paid vs organic is a superficial way of viewing the issue.
This drove me bonkers. Please don't segment Meta LALs by percentage unless you have different creative or a very clear testing framework in place to determine your upper limit % [ie at which % point it's ineffective to exceed. 1% WILL ALWAYS OUTPERFORM 4-5%] Also 1% in the US will always be ~2.3M people, so if you did a 2-4% vs a 1%, the 2-4% audience size is 3x greater, and audience size has a massive impact on costs in Meta. Just be careful following this - some of these practices are outdated and drive inefficiencies
Hey @masonsmom10923, Tim here from the podcost 👋I think you were ultimately missing the objective of the exercise/comment. The overarching point is where to start. My standpoint is to "start with your own data" as opposed to using the platform targeting options (e.g., demographics, interests, or behaviors). By building LALs based on your existing customers, you're tapping into an audience of proven success. This approach isn't just theory - it's backed by real-world results, consistently outperforming other targeting options in terms of quantity and quality of conversions. Think about it: “you don’t know what you don’t know” by turning on a new platform, so why waste time and resources on broad, untested demographics when you have a blueprint for success right at your fingertips? Your current customers are living proof of your ideal target audience. By leveraging this data, you're essentially cloning your best customers, dramatically increasing your chances of attracting similar high-value prospects. By beginning with a LAL audience, you're setting yourself up for early wins. This approach not only boosts confidence but also provides valuable data to inform future marketing decisions. As for creative, depending on the maturity of the business, they could be creatively constrained. But remember, even with limited resources, focusing on a highly targeted audience means your message is more likely to resonate, even if it's not the most sophisticated creative out there. Yes, there are now AI tools and other options within the platform to help build more unique creative, but again, we're giving users a place to start within a potentially new platform, not advanced tactics. Once there is proven success with the LAL audience, you'll have a solid foundation to expand from. You can then start testing other targeting options, armed with data and insights from the initial campaigns. In essence, starting with your own data isn't just a safe bet - it's a smart, strategic move that sets up users for long-term success. Let me know if you'd like to discuss further. I'm happy to provide more clarity if needed.
@@timothydavis4077 I didn't miss the point. I did leave an unbalanced comment specific to your remarks on breaking out LALs by 1% vs 2-4% without a clear way of treating them differently [creative, lp whatever]. This splits budget unnecessarily and the way FB sizes it is based on targted country population. So 1% of US adults is about 2.3M people and if you compare that ad set against the same ad set of 6M+ , you have efficiencies from less also constraints playing a role in the second LAL even though the first one is closest to your customer base. Just do 3% or 4% to test for signs of life. I agree with you on a high level and use LALs everywhere I run paid media for performance marketing. I've just spent the last 5 years fixing this approach in Meta and it matters. Definitely start with your own data. Fully aligned. My issue was the kind of haphazard tactical references that foster meaningless and inefficient performance. In many ways creative is the new targeting, which is the only reason I brought it up. My point is simply structure impacts your performance. In general, unless you have a clear purpose for breaking out similar audiences, you should not break them out. Creative is one of those near reasons [although specific to a single CRM LAL audience, I wouldn't recommend this either].
This was a phenomenal episode on performance marketing and paid media. Timothy Davis is a wealth of knowledge and gave me some great insights and takeaways as a performance marketer myself.
Thank you, Lenny, for sharing this insightful content. It would be fantastic if you could create an episode dedicated to 1x1 performance marketing. This could include a step-by-step guide from zero to one, using a sample product such as a t-shirt, which is in a crowded market, or books, which cater to a niche market.
While we often discuss great strategies, seeing them applied in real-time would be incredibly valuable. This practical demonstration would help me and others replicate similar approaches in our day-to-day work.
By the way, I’m writing this just a few minutes into the video. I’m a huge fan of your content and look forward to seeing more. Keep up the great work!
Great episode, it hits me that we all do the same things even at different budget levels. I would even say that with smaller budget the level of complexity and analysis is even deeper.
Dropping Growth Bombs 💣💣💣
Thank you Lenny for sharing this episode! It was full of valuable insights.
Please bring more paid media content like this. 😀
I want request for more content on inhouse or marketing, initial days marketing.
deepdives not iceberg tips
There's a widespread notion in the content creator community that customers who are acquired through paid ads are high churn or not as loyal as customers acquired by organic marketing.
But it seems to me that a paying customers - whether acquired by paid or organic has taken the ultimate step.
At that point it's a matter of customer retention.
Lenny, do you have any insights on the topic from this guest or others.
I think the paid vs organic is a superficial way of viewing the issue.
About team structure in 2024: There is no more team haha
This drove me bonkers. Please don't segment Meta LALs by percentage unless you have different creative or a very clear testing framework in place to determine your upper limit % [ie at which % point it's ineffective to exceed. 1% WILL ALWAYS OUTPERFORM 4-5%] Also 1% in the US will always be ~2.3M people, so if you did a 2-4% vs a 1%, the 2-4% audience size is 3x greater, and audience size has a massive impact on costs in Meta.
Just be careful following this - some of these practices are outdated and drive inefficiencies
Hey @masonsmom10923, Tim here from the podcost 👋I think you were ultimately missing the objective of the exercise/comment. The overarching point is where to start. My standpoint is to "start with your own data" as opposed to using the platform targeting options (e.g., demographics, interests, or behaviors). By building LALs based on your existing customers, you're tapping into an audience of proven success. This approach isn't just theory - it's backed by real-world results, consistently outperforming other targeting options in terms of quantity and quality of conversions.
Think about it: “you don’t know what you don’t know” by turning on a new platform, so why waste time and resources on broad, untested demographics when you have a blueprint for success right at your fingertips? Your current customers are living proof of your ideal target audience. By leveraging this data, you're essentially cloning your best customers, dramatically increasing your chances of attracting similar high-value prospects. By beginning with a LAL audience, you're setting yourself up for early wins. This approach not only boosts confidence but also provides valuable data to inform future marketing decisions.
As for creative, depending on the maturity of the business, they could be creatively constrained. But remember, even with limited resources, focusing on a highly targeted audience means your message is more likely to resonate, even if it's not the most sophisticated creative out there. Yes, there are now AI tools and other options within the platform to help build more unique creative, but again, we're giving users a place to start within a potentially new platform, not advanced tactics.
Once there is proven success with the LAL audience, you'll have a solid foundation to expand from. You can then start testing other targeting options, armed with data and insights from the initial campaigns.
In essence, starting with your own data isn't just a safe bet - it's a smart, strategic move that sets up users for long-term success. Let me know if you'd like to discuss further. I'm happy to provide more clarity if needed.
@@timothydavis4077 I didn't miss the point. I did leave an unbalanced comment specific to your remarks on breaking out LALs by 1% vs 2-4% without a clear way of treating them differently [creative, lp whatever]. This splits budget unnecessarily and the way FB sizes it is based on targted country population. So 1% of US adults is about 2.3M people and if you compare that ad set against the same ad set of 6M+ , you have efficiencies from less also constraints playing a role in the second LAL even though the first one is closest to your customer base. Just do 3% or 4% to test for signs of life. I agree with you on a high level and use LALs everywhere I run paid media for performance marketing. I've just spent the last 5 years fixing this approach in Meta and it matters.
Definitely start with your own data. Fully aligned. My issue was the kind of haphazard tactical references that foster meaningless and inefficient performance.
In many ways creative is the new targeting, which is the only reason I brought it up. My point is simply structure impacts your performance. In general, unless you have a clear purpose for breaking out similar audiences, you should not break them out. Creative is one of those near reasons [although specific to a single CRM LAL audience, I wouldn't recommend this either].
shopify sounds boring.