How I Would Build A $10 Million Per Year Facebook Ads Agency

Matthew Larsen outlines how to build a $10M/year Facebook ads agency targeting Shopify brands doing $3M–$20M annually. He maps the full funnel from messaging research through sales, details an intro offer to scale winning ads, and lays out a three-year hiring plan to reach $10M by year three.
Questions this video answers
550 agencies
66 agencies
$10,000,000/year (≈ $833,333 per month)
$10,000 per month average client payment
30% net margin
Chapters
This is going to be a video about how in theory I would go about building a $10 million per year e commerce Facebook ad agency. My name is Matthew Larson. I've worked with 550 agencies since the start of 2024. 66 of them have gone over 5 million per year and a few have gone over 10 million per year. So I'm going to go over everything in this video. I'm going to go over the strategy. I would use the icp, I would target the bottom, middle and top of funnel strategies and then I would break it down how I do this over the course of a three year period. So we're going to go over how I would build in theory a $10 million per year Facebook ad agency for E commerce. That's a pretty good goal. Of course, 10 million per year, you don't see too many agencies get to that size. But at the same time there are many examples of plenty of E commerce agencies or just Facebook agencies in general that are well above that. So if you don't know me and it's the first time you've ever watched one of my videos, I grew my last marketing agency from 0 to 900k per month and sold it in 2023. Since then I've been coaching and consulting with over 550 agencies, big and small. Most of the agencies that I work with are between 500k and 5 million per year. And over the past six months I've also broken into the VC backed startup industry where it's about 20 to 25 different VC backed startup, mostly tech and SaaS that benefit from the same type of thing that all the others do. If you want to watch some of my case studies and some of my results for the clients, you can check out some of them. 113k to 1.8 mil per month and 61k to 379k per month. On my channel, here's some of the clients that I've been working with over 550 and 66 of them have gone on to make 400k per month or more in revenue. And over the past year or so I've spoken at 12 events, most of them in the agency space, but a lot of them in the affiliate and the e commerce space as well. So about the video, what we're going to do, we've already gone over about me and in a second I'm going to go over about the video and then we're going to talk about the things like the economics, the strategy, the messaging, the offers the sales process, we're going to go over the bottom, middle and the top of the funnel and really what we look to do for each if our goal is to get to 10 million per year in revenue. So what I'm going to do here is I'm going to focus on the lead generation strategy for the business only. I'm going to follow really like a what, why, how, format, and I'm going to go on to deep detail on each step. But keep in mind this is going to be a high level video and I'm not going to literally build it out in front of us as that would take 20 to 30 hours even with AI. So what we're going to do is we're going to start from the ground up. We're going to start with the economics and then the strategy and then the messaging and then we're going to end with the top of the funnel traffic. It doesn't really make sense to start at the top for kind of the same reason that you wouldn't try to put the roof on a house before the foundation, the walls, the frame and all that kind of stuff. So we really need to understand that this is going to be an extraordinary result. Right? And if we want an extraordinary result, we need to be extraordinary at a lot of parts of the business. So if you go onto government websites such as the Bureau of Labor Statistics, they say the chances are the amount of businesses that hit 10 million per year are literally one and a thousand 0.1%. And although it's not separated out to agencies or startups or anything like that, like I usually work with, I would say that agencies are probably even less percent chance of getting to that because a lot of the larger businesses that hit 10 million a year, you know, there's a lot of just high revenue retail service businesses like a lot of luxury hotels, restaurants, that kind of stuff. Who, you know, the businesses that have 2, 3, 4, 10% margin but just do so much revenue that's skewing it upwards. So for what we're talking about for agencies or VC backed startups, it's going to be even less than that. And in my view, the five real pillars that we need to do, at least personally as the founder or the owner, we need to get our funnel right, we need to get our messaging right, we need to get our metrics right, our planning right and then our personal habits, our personal skills, focus, you name it, we need to get that right. And to get to 10 million per year we also need leverage. So a lot of People, including me, are big fans of the quote, give me a lever long enough and a fulcrum on which to place it, and I shall move the world. Archimedes, an ancient Greek philosopher, said that. And I really like the kind of pyramid of leverage. And it's from someone named Naval Ravikant, if you ever heard of him. So the definition of leverage for the purpose of this video and what we're talking about is the difference between what we put out and what we get in. And there's four main types of leverage. There's code at the top, which is the most important, media, and there's capital. Then there's labor. So starting at the bottom, labor would be, you know, all these outsourcing firms. Or you hire someone for 5k a month and you train them up and coach them, and then you get 15k a month value from them. Capital leverage, you know, obviously investing. But in the context of running an agency and lead generation, an ad funnel, you put in $1, you get $4 out. For example, media would be your YouTube videos, your newsletter, your content, that kind of stuff. Where I have to record this video once in thousand, two thousand, three thousand. Who knows how many people are gonna see it. I don't have to get on a zoom call one at a time and show everyone. It's just. It's a form of leverage right there. And then code leverage. Like a lot of the tools, maybe a cold email tool, you don't. You no longer have to just copy and paste and send the emails like that. You could set up the campaign and send a hundred thousand emails per day. Like, that's an example of code leverage. Just like your internal tools, AI, all that kind of stuff. So we need to incorporate all forms of leverage to large degrees, because it's not really, do you have labor leverage? Do you have capital leverage? Do you have media leverage? Do you have code leverage? It's to what degree you have it. And obviously more is better. Facebook ads, Google Ads, for example, like, you know, Meta and then Alphabet. As a company, you know, they built their platform that got the users, and now it's infinitely valuable because they're just selling ad space over and over and over again. You don't need to be on the phone, like manually selling ad space. It's all digital. That's a great example of code leverage. I also want to talk about that. If we really want to hit 10 million per year, we need to get the infinite cycle of lead generation into our favor. So let's go through it very quick. When we have leads, we become less needy. When we become less needy, it becomes easier to sell. When it's easier to sell, we can say no to nightmare clients. When we aren't dealing with idiots, we have more capacity to get more clients and that means more referrals, which means more leads. Now we're very confident we can raise our prices. Raising prices means more margin. More margin means better hires. Better hires means less time spent working and fixing mistakes. Less time spent working means more time to reinvest in growth. More time and money, realistically. And then that equals more leads. And now we're back. And now it's getting even better. Even better. Infinitely. This is how businesses scale basically kind of just like that for most people, you know, basically everyone who can't get to 10 million a year, they're on the reverse side of the cycle. They have less leads, so they become more needy. That makes it harder to sell. They have to take on nightmare clients. They have less capacity to get more clients, which means less referrals, which means might even have to lower prices, which squeezes margins. So you have to hire only VAs instead of actually a players. You're gonna spend so much time babysitting and fixing mistakes and don't have any time to grow, which, which leads to less leads. Every business is either on the positive side of this or the negative. I probably say more than 99% of this are on the negative. Realistically, we need to get on this if we have any chance to make 10 million per year with this Facebook ads agency. And then what we're really going to talk about throughout this is building a complete funnel. Because there's four main problems that are really going to stop us in this case from building this agency. The problems are, you know, we're not going to get enough traffic. The second problem is going to be we don't have a way to capture and nurture leads efficiently. The third problem is you can't really rely on referrals and networking. And then the fourth problem is going to be how would you say, you know, if we're going to go after the clients that we're kind of going to talk about in this presentation, then we're not really going to be selling to that much of the target market, right? Where if we have to rely on getting 10k, 20k, 30k, 40k a month clients, there's only so many people who are going to be able to afford that. So we're going to want to have different offers to sell to different levels of the target market. So the first thing that we need to do is we need to go over the economics because in my opinion the three things that matter the most for businesses is sell something that people has to buy or have to buy. And that's kind of what we're doing here. If you have an e commerce store, you have to have Facebook ads. Number two is you need to get your unit economics specific, specifically your LTV to CAC ratio over 12 to 1 if you're doing a service based business. And then the third is going to be going up market where in my view the way you scale an agency, the way you scale a service based business is you're getting clients at the start. You get all of the results, you get all of the proof, you get your reputation, then you get to the next level of client, repeat the process and the next you don't get to 10 million a year or a hundred million or a billion a year in service based businesses by just churning out, you know, thousands and thousands of 1k or 3k a month clients. This doesn't really work like that. So those are the things that I think we really need to think about. So right here we're going to put a 10,000 or 10 million per year in revenue, which means $833,333 per month in revenue. I want to be generous with myself because I run a night I would be running a much more profitable business than most people. But I don't want to be too unrealistic. I'm going to give myself a 30% net margin and I'm going to get that by charging premium pricing, using AI and automation for a lot of it, keeping a lean team and then. But there's going to be a lot of costs, labor costs, customer acquisition cost, software costs, taxes, you name it. And then what we're going to do because we have to make some form of assumptions here is we're going to give ourself a 10% monthly churn rate which equals basically what a 10% monthly churn is. The average client relationship is 10 months. When we're going industry standard, about 18% churn is mostly what I've seen across 550 agencies is kind of the median. The best ones will usually have 4%, 5%. If you're trying to sell to private equity in those situations, they're usually selling to higher level clients who just don't churn, um, in the sense that there's multi year contracts. But it is what it is. The average client payment for me Because I'm gonna go for 10 million. I'm probably not going to do anything for less than $10,000 per month. So I'm gonna say $10,000 per month is gonna be my average client payment. And yes, not a lot of people can do $10,000 per month, but if that's the case and you can't do that, you're probably going to need to work on your skills more often than anything else. And for close rate, I'm going to, because I'm doing a team. I'm going to be 20% from cold traffic and I'm just kind of going to assume it's going to be $400 for qualified call because we have to make some assumptions here. And I have a reverse engineering calculator here. So to basically, realistically, If I have $10 million in revenue there and I have a 30% margin, oops, kind of breaking my own calculator here, that's going to mean I'm going to be making 3 million bucks a year. It's pretty good for what I'm trying to do at least. Then we're going to give ourselves a 10% monthly churn and a $10,000 per month payment. Let me see if I can zoom in a little bit here so we can actually see what I'm doing here. So, and then we're gonna do a 20% close rate and we're gonna assume a 400 per cost per qualified call. And I would really want to get a bit less than that, but the keyword there was qualified. If I'm like only targeting brands that, you know, can afford $10,000 a month or more, $400 when you amortize it between paid ads, content, email and partnerships is probably going to be realistic. So if we go back to what we really need, this means at these economics, our average lifetime value is going to be a hundred thousand in terms of revenue. And that means to hit this goal, we basically need to get a hundred clients. And then if we close a hundred clients at 20%, that means we need to get 500 calls over the course of the year and then we need to get 1.37 calls per day. So basically at this level, we need about $548 per day in spend. If this was indeed accurate, and it should be, because we're also going to be sending cold emails, we're also going to be posting content, all that kind of stuff, which can kind of make up a little bit of the slack in terms of our things. So what we need to do here. So let's just go here. Calls required or let's go clients required 100 of them, calls required 500. At this level it's probably doesn't make sense for me to get a closer just because if we're gonna book, you know, 1.37 calls per day, probably unnecessary, we can just do founder led sales there. And what we really need to do is you know, ad spend required. $548 per day I believe it was. Yep. Plus all of the other kind of stuff that we're going for. As we're going to be getting calls from cold email, we're going to be getting calls from content partnerships. But let's plan that we'd have to do it all with ad spend. So the basically for the strategy here we need an ICP which stands for our ideal customer profile. So when we're doing this like a few things come to mind for me. The first is how much revenue would someone need to do to be able to afford 10k per month for creatives, for media buying, you name it. And then on the high end like what would be too much revenue to where they would just be doing this in house? And that's kind of like what I would be thinking of where we, they need to have enough revenue to afford it but they also don't. They can go back and forth on this because I know a lot of big e commerce stores just hire like 10 different creative agencies at the same time. But, but to what extent or to what revenue would be too much where they would have this in house and just be less likely to buy. And I think what I'm going to do is so shopify brands doing between 3 million and 20 million per year would be my ICP. Of course the ICP is the ideal client profile. This is just basically in my view what makes up our like range of 80% of our customers. We could have people below it if they can pay, we could have people above it. But that's just kind of who it would be at this, at this range we probably have Shopify brand founders or CMO job title just put cmos because that's an important distinction. Because the ICP shouldn't be the brand because the brand is just a corporation. It should be who would be making the decisions. Because as I'm going to go through in this video it's going to make a big difference in kind of the ads and the messaging we do as opposed to just an anonymous type faceless corporation. Because basically what we're trying to do is appeal to the founders and the CMOs, not anything else. The type of funnel. So the four or five types of funnels that I really advocate for are the webinar funnel, the VSL book, a call funnel, the newsletter funnel and the digital product funnel. For brands like this I probably because let's break some of them down. A book, a call funnel is best when you really like you already know what the service is. And Facebook ads for E commerce, everybody knows what it is. They've probably already been doing it. If they got to 3 to 20 million per year, no one really needs to explain it the value to them. So a book, a call funnel would be very reasonable here on the other hand where like people who are doing 3 to 20 million per year, a lot of them are not, you know, they're working, they're not doom scrolling. A lot of them are just too busy to book a call. Could be true, could not be true. And in that case a newsletter funnel is great. They might not yeah signing up or booking a call from a Facebook ad, but they will sign up for an e commerce newsletter where you can sell them Facebook ads over time. That's another option. Digital product I don't really like here. Ad templates would come to mind but just very difficult to do ad templates properly. And I don't think something like you know, teaching them how to do AI ads, you either. I don't think that does that much to demonstrate your authority and up your value. I think it probably does the opposite because if they know you're using only AI to do the ads, for example, they probably value your service less. And then a webinar funnel. Webinar funnel is great when you know you have to condense the buying cycle like whether there's something that you know they need to know with order to buying and instead of like them watching your YouTube videos for seven months, you just stick it on a 90 minute webinar or something. But I just don't think there's too much there. So I think for this one I would probably be doing a book a call funnel with a VSL plus a newsletter funnel then convert them over time. I think that's kind of what I would be doing. I'd be running both funnels in parallel because a lot of the time they like the funnels work together the same way that you know Facebook and content or ads and content and outreach work together where someone's on your newsletter, they like it and then they hit book a call and then they, you Know when they're ready to buy or someone has booked a call they didn't buy but now they're on their newsletter and I think they work together great. The types of content I would focus on are anything that demonstrates my expertise. Because we're not going to do how to videos, we're not going to really do courses because we're just at higher level brand owners who have a basic fundamental understanding. So what I would be doing like the four types of videos, I'd be doing case studies, I would be doing audits so going through their ad library and auditing their ads frame by frame. Next I would do how I would make ads for X brand, like how I would make ads for a supplement brand and then the final piece of content would be, you know, process. Five, five step process to solve X problem which would be kind of short or 10 minute videos. Folks like, you know like an example of that. What would be, what would you do when you're. Every time you go over 3k spend per day your CPA skyrockets or something that's a problem that you could have a five step process to solve. Five step process to ab testing your landing pages. You may. So basically my strategy would be use high level messaging content and a newsletter funnel to drive the right form of traffic into my funnel, nurture them with YouTube and newsletter and then ultimately convert them with the book. A call funnel is really what I would do here because you know, 3 to 20 million per year stores, I don't have the metrics up but you know that would let's say probably less than 3% of total stores for sure. But so he can't just like make mass market videos, you know, entertainment motivational. We need to really demonstrate our skills here and write a good newsletter is realistically what we need to be doing. So remember when I said before that I don't know what percentage that fall into the 3 to 20 million per year category, but less than 3% for sure. So we need offers that target the top 3% of the market. So big mistake that I see a lot of people make when they're trying to target, let's just say rich people or let's just open it up here. Either rich people or like high revenue businesses is they make the offer kind of like unappealing to who they're trying to target. Like I would never hear say that my offer would be we'll set up your Facebook ads or you know something like that. They already set up their Facebook ads. It doesn't make any Sense. And that might sound stupid, but you see that shit all the time with people who are trying to acquire customers where we need to have the offer actually be good for the market. So realistically, if they've gotten to 12, if they have gotten to 3 mil into 20 million per year in revenue, it is almost certain that they have Facebook ads that work to some degree already, right? That's kind of like a given. I, I would say there's going to be very little exception to that rule. So we know that they have Facebook ads already. We're not trying to figure out their Facebook ads or more like trying to scale them. And that's a completely different offer. So to some degree, you know, they probably have just a few ad creatives that actually work and drive all of the revenue. And I would say that's going to be true for anyone between 3 and 20 million per year. So what my intro offer would be is I and like, bear with me here. So we will take your winning ads and we will recreate them exactly with different avatars. So like, we will make your ads with a white, black, Asian, Latino, what are some other ones? Native American, man and then woman, then old, young, you know, fat, skinny, etc. We're basically going to take your ads that are proven to work by you and just recreate them with other avatars to basically this will vastly increase your reach and make you appeal to all kinds of demographics. Is if you just have, like me, for example, I'm 29 years old at the time of recording. I am a white male. If I just, if it's just me in the ads, what's gonna happen is people buy and trust people who look like them. Just how it is. We can cry about that or try to legislate that out of life as much as possible, but it's not gonna work. And you'll see a lot of the time when you run your ads, you're going to get. Most of your customers are going to be people who look like you. And this is, I'm not saying there's nothing wrong with that in terms of a social justice warrior perspective. What I'm saying is that let's say the market in the United States is 300 million people who you could possibly do it to. Few, you know, 29 year old white male, let's just say late 20s, early 30s white male. Um, I don't know the exact percentage, but let's say it's 15% of the population. That means your ads are not ideal for the other 85%. So we'll just recreate them. You already know as the brand owner that it's going to work because it's already working and you're just going to be able to scale and get much, much more reach and that's basically going to be it. In my opinion, that's the perfect intro offer. And for the recurring service, there's not too much creativity that someone could actually do for that. It's more like, you know, or $10,000. We will make you probably about 100 new ad creatives per month with 70% iterating on winners and trying to make them better and 30% testing new concepts. It's probably what I would do for my offers here. And remember, like the intro offer is something to get them get their foot in the door. And I think this is great because they really already know that it's going to work because it's already working. They're just going to have more reach. And then because I anticipate such a high ratio of success, for example, it shouldn't be too much of a problem to sell a lot of these people to the recurring service where you could just basically keep doing this on a monthly basis or you could do what I do here, you know, iterating on winners and trying to make them better and then testing new concepts. And I think might be easy to sign a year contract when you've proven yourself here already in terms of the referral partnerships. Because remember, like, I would estimate that 97%, maybe even more of the people we generate are going to be not qualified to pay 10k. So we want to have different offers because we don't just want to like generate these people and do nothing with them. So what I would do is, you know, make referral partnerships with email, Google Ads, SEO influencer, CRO, landing page agencies and refer them back and forth. Make partnerships with probably Eastern European and South American Indian Facebook ad agencies and refer to them for cheaper collect fees in both situations for the course. I basically be, you know, repurposing all of the internal employee trainings into a course and selling this probably or $5,000. You're going to have all these trainings tools, that kind of stuff anyways. You could put it in a course and sell it for people who can't afford 10k a month. Be, you know, adding some consulting calls and group chat onto the course and selling this for 15,000. So the course and the program are for people who can't necessarily buy it from you or they don't necessarily. How would you say either can't afford your service. It's not a bad timing. They don't want it, they want to do it in house, whatever. These two offers are going to be pretty good to collect some of the like more revenue for that. For digital products, I probably do 100 ad templates statics for $97. These should be editable for people who want that kind of stuff. And for affiliate commissions, you know, stuff like triple Will North Beam, vwo, anything that helps them with their ads, you know, foreplay. You don't know what these tools are. Don't worry, they're just e commerce tools. So basically what's going to happen is they're going to come into my funnel, right? I'm going to come in, I'm going to try to sell them either the intro offer, the recurring service. If they're unqualified, we might refer them, we might send them to the program or course or if they're very unqualified, send them to the program. You name it. Because we are selling to someone who, you know, 97% or more are going to be unqualified. We really need to have these different offers even more so than a lot of the time or so we're just going to be wasting so much ad spend sending so many cold emails, posting so much content, getting so many people on our list that really have no chance of buying from us. Next thing we need to do is get our messaging right. Because I think number one reason that people, especially with ads, especially with cold email, it doesn't really work for them is because their messaging is usually, you know, unintentionally wrong. Most of the time what happens is they do their messaging what they think they should be doing for it. But it targets usually too low level of client in the, in the same niche. Like for example, I, my, my Target Market's agency owners. 500k to 5 million per year. You know, there's certain things that happen to them that don't necessarily happen to other levels. Like right, I would never make a video or never run an ad saying how to get your first agency client or how to start your agency or how to do an agency service because that is not interesting to my target market. But a lot of people will do this with their target market and then wonder why everyone who clicks on their ads and comes into their CRM is an absolute rookie and not valuable to them at all. So what I would do here is I would basically be doing research like things that my target like basically I would be what types of language do use that other levels, you know, that maybe lower level E commerce store owners do not. I have some that comes to mind like contribution margin incrementality, you know, that kind of stuff. But I would be really. Yeah, exactly. Like this is basically our bottleneck right now is creative throughput versus we need better ads. You know, ops can't support faster scale without breaking CX versus what's the best Facebook ad strategy. Like this is exactly the kind of crap that's so important versus other stuff. So things like, you know, contribution margin incrementality. Let's look at some other ones. I'm not going to do all of this. But you would need to. You would need to do this for your company. Of course. This is your company. This cohort breaks even in 62 days. Like chat. GBT is giving us some straight fire to illustrate the concept right now. I probably work on stuff like, you know, revenue per session, mer instead of roas and cpv like you name it. And the language you use is so important because it's almost like a status symbol that if you use low level level language, number one, it doesn't resonate with the target market. But number two, like just kind of signifies that you are not at that level yet. And every industry has this kind of stuff here where you know, I love what ChatGPT is doing here where you know, it has a high hit rate. We expect one in ten creatives to scale. This channel is volatile but asymmetric. You get it, you don't need to do too much on there. But we just need to do some simple research to what the target market likes, doesn't like the language they use. And then we're going to go over into some more advanced stuff. So now in a list format, tell me what my ICP likes and dislikes. Facebook ads and Facebook ads agencies. More spend does not equal more profit. I'm just writing these down mostly for, You know, other stuff. What they dislike, obsession with roas over contribution margin. Yeah, that's a good one. One size fits all. And to be honest, like dislikes are kind of better for your ad angles than other stuff. Let's just put these in a comma list now. Like perfect. Like that's exactly what we kind of wanted to see. Let's just do this down a bit. There we go. So the language they use, contribution margin, blended metrics, cohort, payback period, you name it. More spend doesn't equal more profit. Agencies obsessing with roas over contribution margin. And if you don't know what contribution margin is? Let's just show you here. Basically, contribution margin is just your revenue divided by your ad spend or roas. But contribution margin is your revenue minus all your variable, variable costs. So that's including your ad spend, but it's also your returns, your payment fees, your cost of goods, your shipping, all that kind of stuff. And that tells you the actual profit per order versus just kind of the theoretical return on your ad spend. And that's what high level agencies or high level e commerce brands run on. And to be honest, if you like, that's why beginners don't use this metric. They probably have no idea what it means. So by using that metric you stand out from both other agencies and it resonates a lot more with your target market. So what we're going to do here is let's actually turn this into a table. We'll go problems, circumstances, outcomes. Let's delete this here. And we'll just get 15 different problems, circumstances and outcomes that our target market may find themselves in. Because this is really, this is like, this is really what's going to be the basis for our content, for our advertising campaigns, for our outreach campaigns, you name it. It's a very, very important part of the process. And this part of the process is important that it's done. Like it's very important that you do it with the, the language and the likes and the dislikes. So what we want to do here is I'm just gonna use AI for this just for the sake of time because I don't want this video to be 30 hours long. So give me a list of 15 different problems, outcomes and circumstances that my ICP faces that lower level brands would not incorporate the appropriate language, likes and dislikes as it relates to agencies as well. We're going to see what it says. So basically no need to put it like that. Just list them off so I can easily copy and paste, clearly label them and try to describe it as the ICP would. So let's put that in here. We're off the page here for sure, but that's fine for now. Let's, Let's try to get this nut looking super up. That would be nice, wouldn't it? Of course it would. Looks like I'm missing a missing one here. Anyway. So let's copy and paste these things in. Let's. We'll just leave it like that for now. It's 1, 2, 3, 4, 5, 7. Made a mistake, maybe by, Made a mistake a little bit by formatting it like this. But, you know, it's my video, we'll be fine. And what you'll notice if you do an exercise like this, that a lot of them or almost all of them really are going to be quite similar. Because, you know, an example of this. Oh my God. An example of this is. You know what would be an example of this? My problem is that I'm capped out at ads. Like I. My problem is I'm unable to scale my ads. Circumstance would be every time I scale the ads past, you know, 3K a day, my CPA skyrockets and my outcome is I want to be able to spend 10k per day on ads. Like at its root cause or at its core, that's like essentially the same thing, right? But when we're doing it, one of those will always jump off the page, much more so than anything else. Just having a little camera overheating problems. I'm just going to pause it and then I'll fix that. Okay, we fixed that. So a lot of them are going to look similar, right? But they're just basically one of them will usually kind of be better than the other two. So I would say for this one, like we need to, we need constant creative throughput to unlock more spend. Like that would be a good ad angle in my opinion for this one. You know, blended CAC is creeping up even with platform. Roas looks fine. Testing velocity is too low to find winners. Discounts and promos are hitting long term. Lo, I think this is some bad UI on Google Slides here. This also works like that. Let's see what the is up with Google Slides here. Very bad, very bad user experience. But you'd go through these and you brainstorm these. You'd look at trustpilot. You think you just need to find out how to. You would find out like the problems of circumstances and the outcomes that your client wants that we would really need to do. So here's another one. If you feel like you've out like what I would do is if I could hear someone saying it to me on a sales call, like that would be really what we're looking at here. Incentives for your does your incentive for your agency feel misaligned? I could definitely hear someone saying that. Payback windows matter more than a return on ad spend. And you really keep going. Wouldn't say this is the best work that I could ever, I'd ever seen with ChatGPT, but the purpose of this, you might have a thousand of these different ones. But what we're really trying to do is narrow down about top 25 ad angles. So what I would do is probably go back to the drawing board. So let's go over here. This should all be in the context of my icp. The problems they face, the bad circumstances they find themselves in and the outcomes they desire. Use the language they use. It really should have been more specific. There we go. Those ones are much better. What we'd be doing is we would be looking at the top 25. So I'm just going to do it for the sake of time here, decide the top 25 best ones total. I am looking for 25 unique ad angles to test to target this ICP. I am a Facebook ads agency owner and you would do this. And realistically after I've narrowed it down to the top 25 or so. And again, let's try to do. Let's try to do a table for this. I don't know why I didn't do a table to begin with, but some top 25 ad angles, top 25 YouTube video ideas. Once you find these, you really kind of only got to do that work one time and then you're kind of basically done with that. Because the, the problems, the angles, all of that kind of stuff that people face are really going to be. They're constant the whole time. They're not changing in the same way that a lot of other stuff changes. The only time that these problems, circumstances and outcomes change are if you change your icp. And you might well change your ICP as you grow up market. But the purpose of getting a $10 million per year. So let's go through these here. So creative throughput is the real spend cap. No, no, no. So let's go. Let's. Because this is very important. So yes, let's just find them ourselves. Yes, Yes. Attribution is noisy and hard to trust. It's not really going to be what I think of that. And also I'm not really going to be solving their inventory and ops issues. Discounts and promos feel saturated, cash flow tightens. Again, I'm not really going to be focused on fixing their customer experience. And ops, We rely on blended attribution instead of clean. Is going to be better payback window matters more than roas. That's a good one. Ads that attract high value customers. I like that one. Revenue growth without LTV degradation. And a lot of these are going to be very similar, but they're going to make for very different ads. Right. Like I said in the example before, my problem is every time we Go or my problem is that, you know, every time that I try and scale my ads, my CPA skyrockets. The circumstances. We can't go more than 3k without and still be profitable outcome. I want to get to 10k per day and spend. Those are essentially the same thing, but they make for very different ads in an overall strategy. So let's see, how many is this? 16. Add nine more unique ones. Give me a list of 25 more unique ones. So because we need to add the rest here, Like winning ads don't equal winning cohorts that like really makes. It's a high level thing there. But I don't think we're going to get any more juice out of Facebook. So we're going to add these here, list these out very compact so I can copy and paste. So what we're doing here, like this is some of the most important work that you could possibly be doing. Whereas like, if you don't have this messaging, right, and that's why we're taking so much time on it, nothing else is going to work because it's just going to attract the wrong level of client and we can only like, we're only really working with clients here that can pay 10k a month or more. So if we don't do this, we are just absolutely screwed. So I would be doing it for my own business too if I was watching this video for sure. So add angles. I'm just going to add some more. Anyway. So like that's going to be the YouTube ad angles and we're going to make ads that go around basically each of them. So like, let's just read it as the, the hook. You know, is your spend limited by the amount of creative you're putting out? Is your blended customer? Acquisition costs keep creeping up as you scale. What happens when your paid performance looks good but profitability doesn't? Are you struggling with shipping winning creatives fast enough? Are discounts and promos eroding your brand's ltv? Does meta feel saturated for your core icp? Are your ads driving volume but not high quality customers? Are you sick of agencies that optimize for roas instead of contribution margins? Are you sick of agencies telling you about best practices but it doesn't really work at your scale? Are you, are you worried about cashflow tightening when every time you try to push ad spend, like you could keep going on and on? Like if you can't read them out like that and it makes sense as a hook, probably don't have the right thing Are you sick of agencies like do you need an agency that has strategy built for your scale, not just some templates they use over and over again? Does your E Comm brand need faster test and kill loops for your ad creatives, you know, over and over and over again? Are you sick of your agencies reporting they're, they're doing so well on ads but that doesn't really translate to your profit and loss statement or your P and L is growing your E commerce brand feel harder with every incremental, incremental dollar in your advertising spend. You know, are you stuck because you have creative systems that don't exist? I don't know. That's kind of a weird one. But this is what you would do over and over and over again. Of course I'm not trying. This is more of a theoretical exercise in teaching how to do it. I'm not literally trying to make this Facebook ad agency and I'm out of E commerce for years at this point. The point is you'd probably doing a one or two hours worth of you actually doing this and you only have to do it once, assuming your ICP stays the same. Or you can keep doing it over and over and over and over and over and over again and just creating variations and variations and variations of essentially what is the same thing. So let's go on to the sales process here because we're not going to spend any more time on the messaging or this might just end up being a 24 hour video. So in our sales process like realistically what we want to do is have a few things. So let's go recall actually let's take out these bullet points here. So pre call on call and then post call. Let's put the bullet points back. So pre call would be someone books a call. What I would do is you know 16 part email flow retargeting ads manual reach out with a selfie video. Hey, it's Matt. I saw you booked a call. I'm excited. What I would do is be researching their brand of course and then I would be coming to the call, come to the call at least 10 creative concepts for them. I would probably build a an AI tool to help with that and that's going to really come to the call prepared and going to really show them what you can or can't do as opposed to just drawing out the sales process or being compared to every other person who didn't do their homework and didn't come to the call on time. In terms of the call, I would go Introduction would go, you know, ask five questions to see if good fit. Then what I would be doing was a five to seven minute presentation going over sort of a demo of what you do. Then the, obviously the objection handling close and then Bamfam. So if they're not ready to buy on the call, which most of them are not going to be, you know, I need to book the next meeting in the post call. And I'd also come with, come to the call with case studies of similar brands, probably do that as well or relevant brands, not similar maybe, but post call, you know, follow up systematically for 60 days, send case studies, industry insights and so on. And if they're not going to book a call, I'd probably, you know, send them to my newsletter, webinar, YouTube videos, et cetera to further nurture. I don't really like the fact that I'm even going over the sales process here because it's so specific and would take so long to really nail that in future videos like this. I'm not really going to do that. But let's get over to the bottom of the funnel and I really think that we need to. Bottom of the funnel. Let's duplicate some of these on the fly so it makes more sense. Top of funnel. Let's put this here, Let's put that here, let's put that here. Let's actually go back to where our offers were. Put that there just to make ourselves feel better. You know, I like to feel about myself. So let's put that. So the bottom of the funnel, the purpose is really, if you had to describe it in one sentence, it is to convert people from your email list to actual sales calls. That's the purpose of your bottom of funnel. And what we'd want to do is we want to have a few different ways to do that. If I can scroll in or zoom in a little bit better, you'll see that the few are the webinar or a vsl, you know, a live workshop, a newsletter, a community appointment setter and then content. So what I would be doing here is, you know, I would be having a webinar. Let's just list these out. Vsl, three day live workshop newsletter, community appointment setter and then long form content. So like these are kind of the, the things that I would say are standard. Like I'm sure there's some crap for every niche that you could be doing, but these are the ones that are going to refer to or be relevant to every single niche no matter what. So let's just Kind of brainstorm what these things are going to be. And I think the ultimate sophistication is being able to tell you what they're going to be in one line each. So for a webinar what I would be doing is you know, the kind of way you describe this is going to be a lot of the value to it. Right. So like a webinar wouldn't be how to launch an E commerce brand or it wouldn't be how to do, you know, X, Y and Z. It would be focused on something that is relevant to 3 million to 20 million brand owners. And most people will do pick the topic that is, you know, relevant to people under 3mil. But there does a point where people make the topic of their stuff too high level. And that's not great either. So for the webinar, you know. I probably do how we helped X brand like I probably do a case study webinar here. Case study webinar how we helped X go from Y to Z revenue in a timeframe. How we helped what's an E commerce brand Ridge wallet go from a hundred million to two hundred million in twelve months. Something like that. For the vsl I would be doing the direct offer which is the intro offer. So that would be we will create your winning ads with 20 plus different avatars. That's probably what I would do for that and that would be the VSL on my site and the ones that I'm going through. The three day live workshop I'd probably do something like day one metrics tracking plus attribution. Day two messaging Day three creative systems. Like I probably do something like that because remember we want our live workshop to be high level too. But a lot of like a lot of people just need help doing metrics and attribution tracking where you could just go on the screen, charge 1k for the 3k or for the 3 day live workshop and just kind of do it like that newsletter I would be doing is kind of. I'd probably be doing a minimum of I probably do five day per week newsletter in the weekdays, you know, alternating between case studies, brand reviews and then processes similar to what we're going to go over in the content above the community. I probably do a vetted community, I don't know free or paid where they must prove they do over 3 mil per year appointment setter would be calling within 5 minutes and if they are not ready to book a call, send to webinar or workshop and then long form content. I'd probably be doing minimum two times per week, news or YouTube videos, alternating between case studies, audits, how I would do X and process videos, and then 1x per week newsletter. Talking with brand owners or podcasts rather about creatives. It's probably what I would be doing, kind of interview style, but kind of not. So that when we have people in our stuff, they come in through our paid ads, they're on our email list, but they're not quite ready, then we can send them. Okay, go to the webinar, watch the vsl, go to the live workshop, read the newsletter, join the community appointment center will be talking to you. Watch the content to where you either confirm that it's right for you and you book a call, or when they sign up, you could collect their revenue range and you can reach out to them, you name it. We need a way to convert the people who maybe downloaded a lead magnet or on our lead magnet or on our email list in some way to actually becoming booking a call. It's very important. So the next thing is the middle of the funnel. And that's mostly going to imply that like the top of the funnel really is where you're driving attention. The middle of the funnel is where you capture and nurture them. And the bottom of the funnel is when you convert that to usually going to be a sales call. So like in the middle of the funnel that's going to be like your kind of. It's going to be how you would say, let me find a graphic that I really like. So the middle of the funnel would be you have your funnel. Right, let's duplicate this. So you have the funnel created really. So I would obviously create the funnel, But your middle of the funnel really is going to be your lead magnets, your opt in page, your confirmation page, and your welcome flow. Like as far as, you know, what we're trying to do here and what we're going for, that's really gonna be what it is. And we're gonna try to keep it fairly simple on here. So let's remove some of these bullet points here. So for the welcome flow, I'd probably do, you know, three email or four emails in first hour, you know, lead magnet delivery. What we do, why we do it, how it works. People really kind of push back on that a lot. But think of it, they're never going to be more warm or more interested than they are right after they signed up. So we need to maximize that time window. Then the next I'm going to be, you know, one email per day for three days. Biggest Case study, biggest transformation, best insight. Then the following week, you know, three emails the following week. Objection one, Objection two Objection three. Overcoming them like essentially. And then alternate, you know, alternate 2x per week for a month. Case studies on Mondays, insights on Thursdays is probably what I would do for my welcome flow for my opt in page. Simple opt in in exchange or lead magnet. Simple form maybe in exchange for lead magnet and of something like lead generation, just kind of something like this. The confirmation page I'd have one like a one sided sales call video. Basically like record a five to seven minute video. It's basically me doing the demo I would do on a sales call and I would embed that in the thank you page. I'd like put like confirm the appointment and email and then I'd have breakout videos for the lead magnet. I think the thing that I would probably try to do for the lead magnet would be. Probably do like how to create a creative testing flywheel and that probably have 12 types of ads, how to recruit different avatars, creators, filming guide and then an editing guide and then a posting guide. Something like this where the middle of the funnel, where it's something that you know how to create a creative testing flywheel as a lead magnet is probably going to be nailed for the 3 to 20 million a year avatar versus a lot of the other ones where you know how to set up your Facebook ads or how to scale to a hundred K a month that's just a little bit beneath this audience. Whereas people above the 20 million probably already have a creative testing flywheel. So that probably wouldn't be as good for them. So the middle of the funnel, like the kind of the flow that we're trying to do here is if we. Let's see. So if we have a line middle of the funnel probably be you know like what we're really talking about is the content, the opt in page and the welcome flow. And then they either book a call from there or they don't. Like we just need to have most of that funnel in place. And the final thing that we'll probably talk about is and the funnel part is the top of the funnel. So paid ads. So for paid ads you know you really need to do the top 25 AD angles. What I'd be doing, cuz I'd probably be doing. How would you say I'd be doing a VSL ads with a banner at the top. I'd be writing four scripts per day. You know, so let's just say you, you know four scripts four times scripts times six days equals 24 ads. We'll just say 25 and then film all 25 ads at once on the seventh day. I think that is one of the best ways to really do it for our purposes here. And my, my kind of scripts that I'd be doing or my ads like it's basically kind of like this. Let me see if I can screenshot it and put it in there. My paid ads would probably start by looking like this. Where I have a banner. So like Shopify store owners are you stuck at 3 million per year? And then I have the captions and I just have all of those different ad angles that I had earlier. Just basically do it like that. Paid ads are up here and they drag down into the funnel of course and you know, probably going to be your most scalable traffic source. But let's get to it. So I would do two times YouTube videos per week. Basically basically be doing this here. Well let's just copy and paste this here. So we've already wrote it down a couple of times. Then I would do one times thread on Twitter per day and I would go one times carousel on LinkedIn and Instagram per day. Also go one short form video per day, one auto DM on Twitter and LinkedIn per week. And then that'd probably be my content strategy more so than anything else. I think that's all you really need to do. But I'd be focusing on topic like the notes here. Let's put some notes. The content, you know, topic determines the targeting. I would not really do any deviation from the topics that 3 million to 20 million per year brands are concerned about. We need to make a steady stream of bingeable content. So basically all of the problems, the outcomes of circumstances I talked about earlier, I would just be making content that kind of addresses or goes over that. So for this one I'd be doing cold email, I'd be doing cold LinkedIn, probably be doing cold calling to be honest, cold Instagram. And really what I would be doing, the strategy for all of them would be the same. And what I would be doing is I be building notes. I would be building a list of people using Shopify, probably with a founder CMO job title with their business having between 10 and 50 employees is probably the range exporting lists, using revenue, it doesn't work that well. So I would be doing all that probably I would start by using Apollo built with or store leads and I would enrich through clay and clean the list with million verifier. That's probably what I would do. So I would, you know, probably there's a few different platforms but one of them is store leads where you can get it. And then I would probably be using Million Verifier to clean it. And then once I've done that I'd be enriching with clay because it's going to be very easy to get, you know, in this case it's very easy to get the email of these stores. But typically it's much harder to get the LinkedIn accounts, the personal ones, not the company and the personal Instagram accounts is because you know, on LinkedIn like someone like a Realtor will have Realtor in their job title. But most people, you know, I would say effectively none are gonna say E commerce store owner or brand owner as their job title. It's gonna be CEO or founder at whatever their brand name is. So you can't really filter it as effectively as a lot of different industries. So for partnerships the things that I would worry about are white label plus referral and then media. So for white label and referral I would list all of the potential partners that have other services the brands need and what I would do there like that would be Google Ads, landing page 0, SEO, email marketing influencer and so on. And I'd be cold emailing all of these people to try to get them to refer to me or to white label to me, either one. And for media I would be, you know, emailing newsletter, e commerce newsletters, podcasts, YouTube channels, events, masterminds, communities and and I would be trying to get them to allow me to do a guest post or to do a speech or to do something or to be featured in some way to where I can leverage their audience and get in front of their audience who and that basically builds me up as quite an authority. So I'd be having probably a full on partnership manager to do that for me. So let's go to maybe the most important part of the video if you're even still watching it. It's kind of the five key objectives and then the three year plan that really I think is going to get me to $10 million in this instance. So I think that no matter what you're trying to do, you can basically get it done in five steps. So the first five step is I want to get my customer acquisition cost to zero, which I'm going to talk about in a second. The second step is going to be a complete, we're just going to say team for brevity here of where all I going to have to do is film content and they're going to do the rest. The next thing I'm going to do here is what could be the next thing. I'm going to break it down into five parts. Probably going to probably have internal AI tools or cup for internal AI tools. We'll just expand on it after. Don't really need a sales team here because I don't need that many calls to to get it done realistically. So CAC to zero complete lead gen team. Just put leads, Internal AI tools for the work. Probably going to want to speak at least 2x per month. Probably the last thing to do. Last thing to do zero. That'll be something to do with operations so that I can, you know, probably hire a full C suite is the five key objectives here. That's probably what I need to get to 10 million per year. So once I have that, I'm going to plan for this to take 3 years because 0 to 10 million 3 years. Be aggressive, but very possible. I think that if I were to plan to do this in one year, probably be make it less likely to happen because you'd be having to use tactics that are very high risk and very high failure rate. So let's kind of do some notes on each of this stuff. So because I have such a high kind of threshold for who could become a client, they have to pay 10k a month. Getting my CAC to 0 is going to be very, very important. So blended with paid ads, with content, with outreach, I'm going to assume that CAC will be around $2,500, probably counting on a $400 cost per call paid ads, it could probably be less than that. But let's just say that this is a very reasonable one when you take into account partnerships, content, outreach and that kind of stuff. So what I would do is I would do a couple of things. So if they cannot, if they cannot afford my service, I would heavily push my program so that, you know, my CAC for my service is kind of offset with my program. I'd also do in onboarding. I would ask if they need other services. Then I would refer and collect a upfront, an upfront fee. So stuff like email marketing, stuff like Google Ads, stuff like all of that kind of stuff, I would have it in my onboarding process. Okay, you've signed up here. Do you need Google Ads, yes or no? Do you need E commerce ads? Yes or no? Do you need S.E.O. s or no? And if they say yes, I would refer them away and Try to collect about a $5,000 fee in referrals for any of them because they're going to be a high value client and I'd not really partner with anybody who doesn't give me a 5k referral fee. No lifetime, you know, 10% a month or any bullshit. I want a 5k fee up front. And if you have someone and they trust you through the combination of my program and course or masterminded course, subsidizing my CAC and then basically the referral fees, that's 5K. You know, some people might sign up for three different services that I recommend and it should be where the referral fees and the program fees completely cancel out my customer acquisition cost and then it goes to zero for the lead gen team. I basically what would need to happen. So I'd probably need to. I don't really believe, I don't believe in outsourcing, you know, YouTube videos, but I would have someone to turn YouTube videos into threads, carousels, short form scripts, newsletters, etc. I'd have editor, designer, publisher. I'd have a partnership manager or podcast and media partnerships. I'd have. Once you do, once you do the. Okay, I'm just going to put this up. I'd have inbox manager and list builder for cold email. And then I would have, you know, writer and editor or ad scripts. I basically could, in my opinion, outsource all of that pretty fast. I'd have internal AI tools for research, internal AI tools for copywriting. And then kind of the same process of, you know, the messaging that I did for the clients for the messaging for them for their clients. Then I would have, so I'd have an AI tool to do the research for each client, an AI tool to do copywriter. I would have something like a copywriter into Claude project, into, you know, AI video tool, into Google Drive, into editing workflow into ads, manage AI. And basically let's say I have a bunch of different ads. So I have a man on the street ad, a podcast style ad, a UGC style ad, an overlay ad us for them ad. I would have different cloud projects where I could plug in my copywriting brief into each different custom built cloud project. It would rewrite it into that format and then it would go into the AI video tool and then make the ad and automatically save it to Google Drive. And then my editors would get at it and then I would do ad manager AI. I'd have, we're going to take this to internal AI research tool, AI copywriting with Human editor. I would have a 30 day training work that I put all of my copywriters, editors through, that kind of stuff. That's my key objective. So let's kind of completely. And then I'd have a manager to recruit and manage ugc, influencer marketers or influencers. I think that's kind of what I would do there. Partnership manager to cold outreach all newsletters, youtubers, podcasts, events, communities, masterminds, etc. To have me receive speaking opportunities, not prioritize in person for that. And then at about 50k per month, you know a COO type person, I'd probably be the CEO for now. Once I have figured out out ads, content, outreach and partnerships then I would hire a CMO to take over and do it all for me. I probably don't need a chief revenue officer to be honest, just because with the economics that I have there's not going to be that many sales people and chief revenue officer without salespeople to manage doesn't make sense. Hiring a full C suite. So coo, cmo, once my AI tools begin to break or just simply need to be better, probably have a CTO and then once I am over 300k per month revenue I'd probably do a CEO. That would give me time to grow the business because I wouldn't be inside the business anymore. That's probably my hiring plan. So year one I probably try to do about a million dollars. Year two three million, year three 10 million. So really in the first year I would try to be getting act to zero. I would try to be figuring out every lead generation channel. And I would be building my internal tools. So back to zero, building some internal tools and hiring my, figuring out every lead generation channel and then I'm probably going to do hiring COO because at this point I don't really have too much time or resources to build the full on lead gen team and then I don't have time to be traveling speaking all over the place. So year two what would I be doing? You know, building out full lead generation team, hiring partnership manager to start building opportunities. Probably be doing hiring my CMO to manage my Legion team so I'm fully kind of out of the business. And then year three what would I be doing? Probably hiring my cto, hiring the CEO and then fully dedicating myself to growing the business. That would be kind of my plans. And I had this here but I'm probably just gonna cut that out for this video because it's already quite long. But that's how I would get to my basically $10 million per year e commerce agency in three years. I hope this was valuable and I'll see you in the next one.
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