Mike Andes reports 1.1 billion in monthly revenue across three departments and asks whether to focus on content or start paid ads. Alex recommends doubling down on content because Mike is stronger there, using an audience-pyramid metaphor to explain why converting more from existing reach beats building a new paid channel.
About 40–50 units per year; they have been running for five years.
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Last month is 1.1 billion of revenue.
Across three different departments. So 50% of that comes from the franchise, 20% from the media side of things, and 30% from Copilot CRM, which is like software. My question is, should I focus more and better on the content side or just start a second marketing channel or acquisition channel?
So you want to grow faster. How many units a month are you selling?
40 to 50 units every year, basically, since we started five years.
So in a week, if we imagine your audience as a triangle, you basically have persisted at making money by letting people kind of float to the top of that, that little peak. And then some of these people convert, right? And then you have a huge amount of people underneath that are just kind of consuming free stuff. Now you can either move the line down and convert a higher percentage of the audience, which you would do via ads, or we extend the size of the pyramid overall so that the percentage of people who convert then becomes a larger slice. And so then the question is, okay, which do you have more skills that you can do in a shorter time period?
I would say I'm better at the content than figuring out paid ads.
That's where I would double down on. And I wouldn't double down on it. I'd be like, how do I 5x down on it?
