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Growth Levers to Pull
š° Underlooked areas for improvement
Hoping you all had a great week full of health, wealth and abundance.
For everyone whoās read these before - welcome back.
For those of you who are new, sit back, kick your feet up, moisturize yourself, and enjoy.
I got offered the opportunity to hire a ghostwriter for these and funny enough I almost said yes, but I came back to my senses!
This week has been overwhelming with new opportunities, out of nowhere, Iāve been offered a stake in 3 different CPG companies
I havenāt said yes to anyā¦but Iām thinking about it.
As I was doing due diligence into a brand Iām thinking about acquiring
The deeper I went into the business the clearer the picture got.
The acquisition wasnāt the problem - profitability was
Sp today I want to talk about some of the main areas of opportunity I found in one of these brands and what I would focus on to scale it from 1 million a year to 10+ million a year
So without any further ado, letās get into it
Growth Hacking
We have a supplement brand with
2 Hero products
1m+ in revenue in the last 24 months
One main acquisition channel is META
One offer
A great product in a highly competitive industry, 40% of revenue came from subscription
Iām just trying to draw a picture here ok..
These are the highlights for the brand Iām doing diligence on
I went deep into the numbers and instantly recognized a few areas of opportunity that is probably the case for a lot of you too.
Offer Is Everything
A shitty offer in place (my opinion)
Letās break down the brand vs a random competitor side by side
Here:
| Premium Competitor:
|
Who would you buy from?
Personally, I prefer expensive supplements because they make me feel like I'm getting a high-quality product. It's important to me because I'm putting it into my body, and many others feel the same way.
While this brand is competing for price, the competitor is competing for quality and selling 10x more volume at 2x the price.
If you are struggling to acquire customers, often times the answer is on your website not inside your ad account
Reconsider your offer and the way itās presented.
AOV Bumps
Acquiring customers on paid ads isnāt rocket science letās be honest
But what a lot of other brands lack is the ability to increase their AOVs
Iām good at it š
This is our AOV for today on NZT-48 (not every day but its up there)
The difference between a good business and a great business is the ability to persuade customers to spend as much as possible
The best way to do that is by instantly giving your customers one-time offers right after theyāve made a purchase.
Some of the best upsell offers that work for us POST Purchase.
Offering a low-ticket digital product (ebook or guide)
Offering another unit of the product purchased at 20% off
Offering a one-time āexclusive productā
Believe it or not, the brand I did the due diligence on has done ZERO upsellingā¦ZERO!
So the second area of opportunity would be post-purchase upsells.
If youāre looking for an app to make this stuff easy for you I use One Click Upsell - itās the best.
Free Discovery
Get on Amazon!
The biggest competitor for this brand does over 80 thousand units a month on Amazon meanwhile this brand isnāt even listedā¦
Iāve said this before but Iām saying it again, every single CPG brand should be on Amazon no matter what.
Massive potential customer reach for FREE
Lower marketing costs than Meta and Tiktok etc
Free 2-day shipping and free same-day shipping which is HUGE
Access to a built-in customer base of Amazon shoppers and Prime subscribers
Ever since we opened up Amazon as a sales channel for NZT weāve seen an average 4x ROAS consistently month over month.
To say the least, this brand has a massive upside and so does the one you are currently operating you just need to look at it from a different perspective.
Take a step back, remove yourself from day-to-day operations, and figure out new areas to improve day-to-day outside of just better marketing.
With that being said, hoping you have an incredible week, see you next Sunday.
Until then..keep building that Moe-mentum!
Tweet Of The Week:
We lost multiple transactions for Bambu Earth at the finish line last year.
The lesson..
Build yourself multiple paths to liquidity.
Depending on a transaction to access the value from your business leaves you at the mercy of skittish investors.
Build a cash flow andā¦ twitter.com/i/web/status/1ā¦
ā Taylor Holiday (@TaylorHoliday)
8:41 PM ā¢ Feb 16, 2024
Memes
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