Moteefe Weekly Live Stream – Stop turning off winning POD ads
How do you know if an ad is profitable? What’s the magic CPP number that determines a good profitable ad from a bad useless one? How long should I test an ad for? The answers to these questions are all dependent on your base costs and profit margins. In fact, some sellers may be turning off ads that are making them money.
In this week’s live stream, Print on Demand experts Thomas Gentleman and Aidan Kessell explain the importance of understanding your numbers so that you leave your profitable ads running.
Check out the timestamps below to see what you need to know when it comes to Facebook ads:
- 00:14 – What are winning POD ads and why you should stop turning them off
- 03:47 – What time frame should you look at to review your numbers?
- 05:26 – The importance of keeping ads going for retargeting purposes
- 08:09 – Don’t stop running your winning ads before Mother’s day
- 09:35 – Q&A – The Coffee niche
- 11:33 – Q&A – General store vs Niche store
Stop turning off winning POD ads: the key takeaways
Don’t have 30 minutes to spare? Here’s a summary of the main points:
What are winning POD ads? And why should you stop turning them off?
Figure out the costs associated with marketing your product and the amount of profit you actually generate from these ads. Ads may have resting periods and periods of fluctuating sales. As long as you are breaking even or profiting, you should not be turning them off. This is all dependent on your selling price.
What time frame should you look at to review your numbers?
You should look at the last seven days. If you’re just looking at the metrics day by day, you will only notice their performance on an individual basis. By actually reviewing the last seven days, you’ll see the overall performance for all days of the week.
The importance of keeping ads going for retargeting purposes
You can have ten ad sets that are all breakeven, but then you’ve got a retargeting ad that could be picking up and making a lot of money and filling in those gaps. People that were on the fence when it came to purchasing your product may give in and purchase your POD product the second time around.
Q&A – The Coffee niche
Coffee can be a good niche, however you may want to niche down. Coffee in general is too broad so it would be a good idea to narrow down your focus to something specific in the coffee world. Perhaps a type of bean or blend.
What’s better for a beginner?
Creating a general store or a niche store? Niche store. If you create a general store, there are too many variables to consider. Customers may be clicking ads because of one specific item they want but your data may not specify which ones. A niche store focuses on one niche, making it easier for beginners to determine what works and what doesn’t.
If you are still aiming to increase your POD knowledge, use our free resources to help you increase sales in your POD business:
A free 13-video Teachable course taught by POD expert Thomas Gentleman. The course takes you through the process of how to create original POD designs, advertise your product and use Facebook Ads.
Join our community Facebook group and connect with active sellers who are keen to share their experiences and knowledge on all things POD.
Moteefe’s YouTube channel features live streams every Thursday with POD experts Thomas Gentleman and Aidan Kessell.
A downloadable PDF containing common phrases in multiple languages for marketing purposes.
You can watch the full live stream on YouTube or read the transcription below. Want to be notified next time we go live? Don’t forget to tune in every Thursday for weekly live streams with Thomas and Aidan where they discuss all things Print on Demand!
Stop turning off winning POD ads: full transcript
What are winning POD ads and why you should stop turning them off
T: Hey Aidan, I’m good, thanks. Everybody out there, so, yes, this week we’re talking about a subject that comes up a lot. I see people doing this all the time and it’s really not a great idea and that it’s turning off ads that are either breakeven or just profitable or in fact, even very profitable and just not that being picked up and noticed and then turning off the ads. So this really isn’t great. The more pixel fires that you get on the purchase event, especially if you’re optimising for purchase, the better because it gives Facebook more data to optimise the other ad sets that you’ve got running, so anything that’s breakeven or better, really you should be leaving on and trying to get as many of those going at the same time as possible because also ads have to have a life cycle. Sometimes you have a good day on an ad, sometimes you have a bad day on an ad. So if something’s breakeven it could stay breakeven or get a little bit better. But yes, it’s always those pixel fires that you want to keep going.
So it’s very important to review your ads and really understand exactly how much money you’re making from those ads. So you need to see the exact amount of items on average that are purchased. So you see one purchase event. But that doesn’t mean that they only purchase one product, they could be purchasing two, three, four or five, six products at a time. And so you need to know exactly what’s in there. And you can look at that by looking at your…
In Facebook, it will show you how much money the ad set has generated, so it will give you your return on ad spend, only need to calculate your return on ad spend vs. your cost exactly to what it needs to be for the items that you’re selling. So if you were selling a digital item with no overheads, with no, no, you know, where you were taking 100 percent of the profit, then anything of a return on the spend of one or better would be OK.
When you’ve got a POD product with Moteefe, then OK, you do have to pay for the base price that comes out of the profit. So you just have to know exactly what that is and then keep a calculation of it. And you will find, if you get that calculation right, that you have been turning off almost certainly ads that were actually profitable or the very least breakeven. And really, you definitely don’t want to be doing that.
So on paper, for instance, you could have an ad set where you spent $120 and got 12 purchases, but you’re only making $11 per item sold. However, you’re sending more than one item each time, so you could be sending to every time, which means that you would have just turned off an ad set that was actually doubling your money. But you didn’t realise that because you weren’t looking at the return on ad spend. You were only looking at the cost per purchase and you hadn’t done all of the calculations to know your numbers.
So whenever you’re selling anything, the first thing is that you need to know your numbers exactly. And if you’re spending money, you need to know what you’re spending, how much you’re getting back, and don’t just rely on what Facebook tells you, actually look on your dashboard, make sure that you know exactly what’s coming in and definitely keep those ads running at break even or better, which is going to be a much higher number than you would originally thought of the.
A: No, amazing. Yeah, I think it’s kind of a schoolboy error and people do this without running the numbers, and yet you hate to see it. You definitely hate to see it.
What time frame should you look at to review your numbers?
T: Well, the thing is, most people don’t see it. And that’s the problem because they’re looking at numbers and they think there is one thing, but it’s actually another thing. So the other part of this is what time frame do you look at to review your numbers? You should look at the last seven days. So you should never be doing this on the first day. You should be looking at your cost per click and all of that other stuff, cost per cart, whether you’ve got a purchase or not.
OK, that’s one thing. But after an ads got through that an ad set’s got through there, you need to look back at the last seven days. If you’re just looking at today every day, then you’re going to have a good day or bad day on an ad by actually over the last seven days, it would have been profitable. So you need to look at the last seven days, not just at the today when you’re reviewing an ad that’s been running for a while otherwise you will definitely be turning off ads that in the day or two years time will be profitable again.
And there are also days of the week where some ads, some issues are I just always do poorly and other days where they do better. So you might have, say, Saturday where you always do poorly. And if you review your ads just on Saturday’s performance, then you’ll turn them off, even though they would have been profitable for the rest of the six days.
So it’s very important to review the last seven days. Look at the last seven days. Now your numbers know exactly what you’re getting per purchase. Facebook will show you. They calculate. You can see the numbers in there. Look at the return on ad spend and know exactly what return on ad spend. You need to at least be profitable. Do not just go on the cost per purchase. It will ruin you. It will ruin your day.
The importance of keeping ads going for retargeting purposes
T: You need to know your numbers right down to exactly what it is. And even if it’s just losing a tiny little bit, maybe 30, 40 cents, you can still keep that running because it’s worth it. You’re still building up a retargeting audience. So that’s the other point of this. You can have ten ad sets that are all breakeven or even slightly worse than breakeven, although I would try and keep at least break even. But then you’ve got a retargeting ad that could be picking up and making a lot of money and filling in those gaps.
So it’s really important that you try and get as much in and keep that rolling over as much as you can. And don’t just look for the ones that are obviously making. Oh, that one’s obviously making our game purchases for three or four dollars. There’s if you’re just only leaving those ones on your leaving a lot of money on the table.
A: Yeah, definitely retargeting is a huge opportunity. And it’s like we’ve said before, like people have been in the middle of buying it, but their train came, you know, and there’s more than one reason why someone couldn’t just get it just then and there.
T: Yeah. That’s it so, maybe they only did it for a second, maybe they didn’t mean to click on it right then. But you’ve still got them in the audience and you can still retarget to them. And the more ads that you’ve got running, the bigger your retargeting audience is going to be, the bigger your add to cart, view content, purchase audience is going to be. And you need those audiences to be as big as possible.
So Facebook or whichever ad platform you’ve got, this is going to be true for however you’re running traffic has more to optimise for.
A: Yeah. And that’s, I suppose, one way to think about all the breakeven campaigns that you keep running. That’s just sort of an investment into the pixel in a sense. Isn’t it useful building in a sense?
T: You’re building the pixel, but you’re also building a retargeting audience so that if only if you’ve got a conversion rate of five percent on that ad set itself and its breakeven. Well, that means 95 per cent didn’t buy and you can target them. And if you get two percent of those people to buy on another ad that’s running in retargeting now, you’ve got a seven percent which would have been profitable in the first place. So it’s very important that, you know, your numbers, you keep stuff running that is at least breakeven or better and even even push quite hard to get stuff running that break even or better, because most people I’m going to say most people are not getting this right all of the time.
And they’re turning off ads and ad sets that are definitely, definitely helping them. And they just don’t realise that that’s the case.
A: So, guys, what do you think? Well, so far, any comments or questions, if you guys want us to, to elaborate on anything at all, guys, how are your Mother’s Day designs going? Your Father’s Day soon to be. How are they going? I’d love to hear.
Don’t stop running your winning ads before Mother’s day
T: So a big push now for Mother’s Day. You should all be getting custom text ready on cushions are the products mugs make it funny with Mother’s Day even an engagement ad targeting the US. So your classic niches, family, Christianity, that kind of thing. Anything to do with family is big and yes, with just engagement ads, if you make a funny design, so inject a bit of humor into the design, put some custom text on it and then start driving traffic to that.
So just driving that is an engagement ad even that can take off and be profitable. It’s a huge opportunity. It’s a massive, massive sales event in the US and absolutely this weekend coming up is the time to do it. So in combination with that, now that you know that you shouldn’t be turning off your ads when they’re at least break even, you should be able to absolutely crush Mother’s Day.
Q&A – The Coffee niche
A: Yeah, and Marcus could say that you’re hyped for Mother’s Day and you’re absorbing the knowledge we have another question. And, is coffee a good niche?
T: It can be good natured people like coffee. People are passionate about coffee. But if you’re going to target coffee, you probably just targeting coffee in general isn’t going to be good enough. You’re going to have to go and find some quite specific interests within coffee.
Maybe a type of bean. I’m not sure what’s in there. But it’s definitely something that people are passionate about, care about more in the United States a little bit. It’s opening up more on the continent, on continental Europe. But there are very expensive beans, very expensive coffee machines. It’s something, though where people are spending money. They are passionate about it. They do care about it. Get the terminology right and and take it from there.
But, yes, certainly a lot of money is being spent every year on coffee and in the coffee niche. Billions.
A: Yeah. Yeah. And I mean, it’s it’s it’s kind of one of those niches that you can mix with other niches, right?
T: It’s like you kind of need to sub it down. You kind of need to get into a sub niche you can’t just be like instant coffee or something. People aren’t that bothered about that. If you’re talking about, I don’t know, Ethiopian coffee, as everyone I’m sure is aware, coffee is originally from Ethiopia and there is more genesis of coffee within Ethiopia than there is around the rest of the world. So because the people that found the coffee, they only took out a few different varieties and that’s what’s grown everywhere, whereas there was a lot more variety in Ethiopia.
So there are specialist coffees. There are different ways to make coffee, you’ve got espresso and all these different all these different ways of consuming the coffee. So if you can find targets within there and put a design out where people are going to be super motivated by it, then yes. But just, you know. Yeah, remember that it’s a big niche. We’re going to need you’re going to need some good targeting and a really good design at this stage to target those people effectively.
A: No, that’s good. General store or niche store? Which is the best for beginners.
Q&A – General store vs Niche store
T: Niche, always go for a niche. Niche first. It just makes sense. You should especially if you’re a beginner, you need to if you’re running ads, then you need to learn that one niche. You need to learn what your numbers look like. Some niches you’ll get very cheap clicks and hardly any sales. Other niches you get quite expensive link clicks but a lot of those people go on to buy, so if you mix it up too much, you’re not going to be able to learn your numbers.
You’re just going to be testing. You’ll test one design. You’re saying the Mother’s Day niche, then the next time you’ll test to design in the hunting niche and you’ll never learn what was good engagement on one. What was great engagement on the other. Find something that you think is going to sell really well and go after that. Don’t worry about, “Oh, what I don’t like coffee or I don’t like my mother” or I don’t know whether whatever you’ve got any reason I don’t understand Mother’s Day, it’s about the money. That’s why we’re doing this.
It’s not because you’re super passionate about it. If you’re super passionate about something they do in your free time, if you can find something that’s a massively winning niche and you know a lot about it, then that’s great. But, you know, if you happen to have a, you know, I don’t know whatever a hobby where nobody else is interested in it or nobody wants to buy, then you’re better off with going with something where you’ve got a big audience ready to buy and and going after those rather than trying to find a few people that are just like you.
A: Yeah, it makes perfect sense. Roberts just said hello. Hi, Robert. Hi, Robert. And I just want to take a second to say to everyone that’s potentially watching this on YouTube, if you do, will excel getting involved. You want to see where the sort of conversation is taking place. In the description, you can find a link to our Facebook group. And we also have a Moteefe Facebook ads course. So if you’re looking to get involved in a take, take this opportunity that is Mother’s Day, which is literally just around the corner, go and learn how to do Facebook ads and get started. Now is definitely the perfect time to sort of get the ball rolling.
T: Absolutely. Absolutely.
So now is the time to launch Mother’s Day campaigns. If you haven’t started already, then start now and get them rolling in the United States as Mother’s Day and a few other places, you can easily check that. The United States is a big opportunity because it’s the big audience. If you can get something working now, you can really scale it up over the coming days and weeks and we should see some huge sales coming in.
I think we were already starting to see a big increase in sales around Mother’s Day products, so get out there, make it funny, add some custom text, get your targeting rights and start rolling over. Don’t turn off the ads, though, at least breakeven. But you’ve got to find out what breakeven means to you first. So don’t look at the cost only to cost per purchase. Look at the return on ad spend. Facebook could even give you a number of how…the value of stuff that you’ve sold.
You want to take that number and you wanted to talk to remove the base prices from. That’s all you can work out. It’s super easy. So you know exactly what your numbers are and then you’ll be able to really push and scale much harder. And as I say, the majority of people are going to be turning off ads that are actually winning for them or will be winning with retargeting or just keeping going and firing that pixel so you can optimise more quickly.
More is more. Less is not more here. More is more. We want more, more, more. So really scale up hard, keep stuff running that’s breakeven or better low and know your numbers. That’s the most important thing all businesses need to know their numbers are treated like a business. Get away from the cost per purchase. Look at a return on ad spend. It’s all in Facebook’s reporting or whatever ad platform you’re using is reporting or you can manually do it.
It’s super easy to work out. Just have a look around how to calculate return on ad spend and you’ll find that you’ve been turning off a lot of stuff that you shouldn’t have done. So stop that right away. Leave everything running up, double up and let’s crush Mother’s Day.
A: Oh, yes, yes. And just just wrap it up. If you guys have found any designs that are selling and showing some great promise. Feel free to message me Ana or Flor within the group and we’ll help you translate that. Redesign it, whatever you need to do to help get more sales, get more, more and more, as Thomas just said. Thomas, any final words? Anything, anything else to touch upon?
T: If you’re not already selling head over to Moteefe.com. Link in the description and start your POD journey today.
A: Yeah, sounds good to me. And then. Yeah. See you guys in the group and. Yeah. Have a great weekend and we’ll be back next Thursday for another episode for you guys. Take care
T: Thank you.
A: Bye bye!
P.S. Don’t forget to tune in every Thursday for weekly live streams with Thomas and Aidan where they discuss all things Print on Demand!