$16M a Year and Still a One-Man Show

0:00Hello. My name is Ricardo. We sell wellness products and solutions protocols to clients, some businesses. Our revenue are on track this year to do 16 million. >> Congrats. >> As far as Thank you. As far as revenue goals, 100 million plus. You know, not not >> say wellness products, what does that mean? >> So, wellness products as far as like nutraceuticals. We also have protocols, dietary protocols that people can follow and also get the results.

0:27>> So, you sell supplements. >> Mhm. >> Okay. And meal plans and [ __ ] >> Mhm. >> I say that like not to diminish, just so I can understand. Um I was in the supplement business, too. It's all good. Um okay. So, you were selling direct to consumer. Are you doing uh are you doing via ads? What's the method? >> Mostly ads, yeah. >> Okay. Um do you have any kind of influencer strategy or just pure direct response? >> Just pure direct response. >> Got it. Okay. So, uh what's so why can't we do more of that?

0:54>> Uh I think the the the more problem is A players now. >> Okay. >> Because >> So, you just can't manage all. >> Yeah, I'm doing everything. >> Got it. Okay. Um What are what's uh what's net profit on it? >> Uh net profit, 22%. >> Okay, got it. So, you have Well, cash wise, are you okay? Okay. Um So, what roles Let me What roles What things are you spending your time on that are the least valuable that are taking the most time?

1:22>> Mhm. The marketing and making the >> That's the least valuable? >> Well, least valuable. >> Yeah, I was like >> I That's pretty valuable. >> you'd be doing marketing, but like that's probably not the least valuable. >> I would say making the ads, it takes a lot of time. >> Okay. >> It's also extremely valuable as well. >> Yeah. So, all you do all day is just make ads and run ads? >> For the most part. >> Okay. Uh then split splitting that up. Do you have somebody else doing the media buying or you doing the media buying?

1:50>> I'm doing most of the media. >> You can prob media buying I think is more and more commoditized skill. So, I would probably attack that first. There's also like I don't know if you saw the the new plugin that just got uh released from Claude. But it manages Facebook ads in real time. So something to consider there. Beyond that on the creative side, I think what you probably need is I call it a self-licking ice cream cone, but basically you need a way where the the regular activities of the business create the creative to fuel the business.

2:26And so some of you guys you know did a video on the way in. That's a method for us to just allow the machine to continue to feed itself. And I've done this in every business that I have and it's because like ultimately you don't want the business to be about you. You always want the business to be about your customers, right? And so it's do you have a community that you bring people together? Okay. So I would say I would probably do a couple things. So one is I would run a testimonial contest tomorrow for a year's worth of supplements.

2:51For the person that leaves the best you know testimonial. Thing one. Thing two is I would create some sort of unlockable bonus that happens in the first 7 days. So that someone can capture and so that unlockable would be maybe like some 30-day cleanse. Whatever it doesn't matter. Just some sort of digital thing that sounds sexy and is small but like attractive that people would want to do something to get for free so that they can send you a video in. That'd be the second thing.

3:21The third thing is I would say in that community if you do like a once a month or once a quarter you do a like a referral strategy and the goal is not necessarily to to bring referrals but to capture people posting cuz you want them to post to bring their friends but you just want the posts, right? And so each of these is basically a creative cadence that you'll need. Now long-term if you think about this business as an e-commerce business which is what it is, you'll have to probably think about a brand and influencer strategy because there's there's almost no companies that get to $100 million a year in e-commerce that do not have brands.

4:05For sure, there's the the smash and grab guys, that's a thing. Um but they they they they come and go. They disappear overnight and I'm guessing you don't want that. And so we have to think about like if you really want to go next level. So what I just gave you is like that that'll, you know, it's the next 6 months, right? That'll You'll get more creative, you'll be able to scale with that, blah blah blah. If we want the much bigger move, the $100 million move, you're really serious about it, you're going to have to make a bet on, call it one to three creators who embody what you want the values of the brand to be and then you will want that association and then you'll need to white list their, you know, them making ads for you and then run that. That's the play that you'll want to do. Now, those people, you'll want like really legit people because this is the higher up you go, the more you'll be able to recruit the next level.

4:52>> Exactly. I had a conversation with one of the guys earlier. He was mentioning that they were they brought in nutritionists and dieticians to do >> So either you go the influencer side or you go the authoritative side, the doctor so-and-so side, or you go the beauty {slash} health influencer. Different brands. And so you figure out which one you want for you. Um I would say I've seen brand brand typically more health and beauty.

5:22Uh smash and grab guys who scale doctor. I'm just saying you've seen plenty of them. Um and it's usually cuz the doctors don't really care as much and they just like make the doctor into a celebrity and they just use the white lab coat and the doctor's credibility to convert. Um and they have them read the VSLs. So I'm just being real. But if you want to build something that's really big and not just a pure smash and grab, long term, you'll want to have one to three really strong associations, have them create the creative for you, um and then using their brands leverage to get the micro nano influencers underneath. Because that's basically you'll need to build out your own version of a TikTok shop for the business.

5:56Um but a community now of the promoters, not just the customers. >> Okay. Beautiful. >> All of those are just creative machines. >> Okay. Same for Should we do the same on TikTok? Because we just launched TikTok this year. >> Yeah, you'll murder it. It's It's insane how easy it is. Yeah. >> Okay. Thank you, Alex. >> [applause] >> Just for everyone For those of you who sell direct response not Who's here runs ads?

6:25Okay. Yeah. Higher than normal. Um you like the world has changed. It is now game of massive creative. And so what I would like a writer downer is more specific creative. And so the world has changed. Hopefully that doesn't fall. There we go. So we used to be able to run campaigns that were to the ocean, right? We're like 45-year-old females, whatever, right?

6:54We are now in a world where it's about capturing a hundred ponds. And so with Andromeda, which is the new meta ads update, is it me who's being hackley? Oh. Okay. [laughter] You're good. Um Meta wants to optimize the user experience so that you feel like the maximum amount of content is relevant for you. And so that means that is inclusive of the ads. And now with AI, it knows exactly what your ads and the content is saying and they can also can perceive the videos and backgrounds and everything else. So many of you guys might have noticed it's becoming more and more addictive over the last however many years. It's because it's more and more relevant for you.

7:34And so that means that we Gone are the days of the very large national advertising campaign. It is now hundreds of micro ads. And so this is where having a constant strategy that is based around volume and ideally, especially in your situation, um where are you? I lost you. Oh, he was just like, "Fuck this [ __ ] I'm out." Um >> [laughter]

7:55>> in his situation, uh where where a creating a leveraged uh audience of people who will promote your products allows you to create that huge amount of creative that you need to feed the machine. And so for those of you who have started running meta ads more recently, let's say in the last 6 months, maybe you noticed that your cost per result went down, great, but then you burn through creative like that. Anyone see that? Right. It just means that we now need to feed that machine because one piece of creative will burn through this at a more efficient rate than it did before, so your cost is lower for a shorter period and then skyrockets. So you have to just keep feeding this machine with or this pond with as many of those little micro pieces as possible. Does that track? Okay. Yes, ma'am.

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