Gilbert Corrales - How To Sell Your Amazon Products On Shopify
15 Jun 2020 · 42 min
Gilbert Corrales, founder of Leaf Grow, explains how Amazon sellers can build their own Shopify stores and drive traffic through Facebook ads and email marketing. He covers setting up pixels, funnels, and scaling beyond Amazon's platform.
Hey, how's it going? It's Olly here. Very warm welcome to the Ecommerce Freedom Podcast. So just before we dive in, I've got two special new resources for you. First resource is a PDF with 15 smash hit products on it, ready to go. Examples of products you can sell on Amazon. So you can use this for inspiration or you can just see, you know, what types of products do really, really, really well. I've even included revenue examples so you can see the amount of money that each product is likely to generate. The Amazon Marketplace. If you want to grab this free PDF, just go to ecommercefreedom.com and you'll see a link at the top of the page where you can grab the PDF. The second resource I want to give you is a free Amazon accelerator call. The whole point of this call is for us to have a quick chat and we'll gather up a little bit of information about your situation and together we'll develop a plan for you to build an Amazon business that either works as a side hustle for you or could replace your your job and will take into account your situation, your experience, your background and give you a clear set of action steps to go ahead and build the business. If you want to book one of Those, go to ecommercefreedom.com, go to the top of the page and click Amazon Accelerator call. You fill out a quick form and you can book a call. Alright, thanks so much for joining me for another episode. This one's going to be good and enjoy it. Hey everyone. Very warm welcome to another episode of the E Commerce Freedom Podcast. So before we dive in today, little update. So I've actually moved here in Stockholm. Moved apartment, living in a new place right now recording this episode using a couple boxes as desk.
Right.
And the one thing that's different about this apartment is it's in a better location, which is good because it's right next to everything. I mean, I look out my window and you know, I see high street shops, everything really, really great place to live. Only issue though is that there's quite a busy road I'm on. So if you do hear any sirens or cars in the background. Yeah, maybe. Hopefully it'll be quite a relaxing sound. Who knows? But that might be a slight addition to this episode. But what I'm way more excited about, speaking of additions, is Gilbert Corrales, who is my guest for today. So Gilbert works for a company called Leaf Grow. Okay. And it is both an agency and also a platform that helps you run your social Media marketing. So it plugs into Facebook, helps you manage your Facebook ad campaigns, organizes everything for you and helps you scale your ad campaigns and do all the heavy lifting for you. So the reason I wanted to speak with Gilbert is because really he is unbelievably knowledgeable about traffic.
Right.
Which is quite funny because there's going to be loads of traffic in the background today and I wanted to get his insights about how we can can use this stuff with E commerce and with Amazon. So, Gilbert, it's really fantastic to have you on the show today. How are you doing today, man?
Yeah, pretty good, Oliver, thanks for having me. It's a bit of a rainy day in the north of England, but, you know, beautiful and you know, lots of birds singing, so can't complain.
Good stuff, man. Fantastic. So what I'd love to start off with first is I'd like to just hear a little bit about your story. You know, what led you to create this agency? How did it start out? I know that I've heard that it started out with something slightly different, maybe in the music industry. Yeah. So tell me a little bit about those first few steps and what led to Leaf Grow being what it is today.
Yeah, of course. When we started Leap, we started with a very simple mission and it was to empower musicians all over the globe to engage, grow and monetize their audiences. You know, as you will know, right, the music ecosystem and the music landscape has changed very, very much in the last 20 years. And despite the fact that nowadays you're kind of like more connected than ever, getting to those fans whenever you want them, it's very difficult because they're not really your fans. And so we thought about how can we change that and how can we empower musicians? And that's kind of like how we started. We started with a consumer facing product that will let people to discover artists, putting the artists at the center rather than the playlist, as essentially every single music service is out there and really allowing artists to do that. Now, funny enough, as we were getting ready to launch the app, we realized that we didn't have any marketing experience in the team to get it out to people. So we kind of took a very engineering approach to marketing and in doing that, we came up with a methodology which essentially sits at the core of LeafGrow. And iterating over that methodology, it allowed us to reach millions of people to build a very big fan base. And then that led us to start really delivering on our mission and helping musicians, labels and so on. And so forth to reach and engage audiences. And at that time, we realized that actually what we were building was, you know, like a marketing solution, right, that will allow people to do that, you know, like engage, grow and monetize. Now, little did we know that musicians don't really care about making money, they care about making music. But the money side is somebody else's business, right? And scaling that and delivering on our mission was probably gonna take us slightly different. Now, in doing that, we stumbled into something and it was that, you know, that same methodology and same technology essentially that we built behind for ourselves was actually gonna help anybody that wanted to find an audience, reach that audience and convert that audience in one way or the other, whether that's your musician, which we still do, and have a lot of labels and musicians as customers, but also as a commerce or as a brand, you want to reach and engage. At the end of the day, you're competing, I guess the same thing, which is a space in the newsfeed for people to take action. And that, in essence, is how Leaf has evolved from a music only company to now one that allows businesses of every size to engage, grow, but most importantly to convert and monetize those audiences through purchases.
Love it, man. That's fascinating. It's fascinating how you really started to develop a lot of these strategies that were going to help the people using your app when you were actually trying to get the app out there. That's a really interesting, really interesting thing that happened to you. So I understand you've had recognition from Facebook and Twitter and your recognized platforms and recommended platforms by them. Can you tell me a little bit about that?
Yeah, I mean, it was funny, right? Because when we were doing live music and as he was growing, both Twitter and Facebook reach out separately. Twitter to see how we were doing, what we were doing, because we were getting 40 times better results than the next one. This was not just in cost, but in quality. You have to remember that sometimes not all engagement is great because not all of that converts into actual action. But also the quality. Our next day retention, which, if you have an app that's important, next day retention means how many people that downloaded the app today come back to your app tomorrow. Right? And that's what in many ways defines how successful are you going to be in retaining those customers? And for us was pretty high. It was about 60, 65%, which means that 65% of the people that we were acquiring today will come back tomorrow. So they came back to us and they work with us and with the team to understand our methodology, and they allow us to model our experiments in spreadsheets and they will run it on the back and things like that, because we will. We would really quickly kind of max out what was possible to be done in there. These are the early days. Twitter didn't have strong API against which we could interact and model things. And then on the other hand, we have Facebook and we were doing a lot of experimentations on the back of their marketing API and the same. They recognized what we were doing. They wrote a case study about us and the success that we were getting. Spotify started targeting our customers in Latin America, which was funny. And then later, we know we have people from Spotify customers of ours telling us about their view of us in the region there, and I think it was very interesting. But we got invited to Facebook in 2018 to Palo Alto to spend some time there and. And understand more about kind of like where they saw things going. And we realized that there was a great opportunity in E commerce. We saw there was a great opportunity in helping businesses make better sense of their customer base, of how they are able to convert. And I think that really opened our eyes a lot and also made us realize of the technology and the methodology that we have built. And in many ways since then, you know, we kind of turned the page and never looked back. And, you know, we're super happy with the impact that we've had. And, you know, businesses small that are now getting bigger and bigger, businesses who are strengthening and doing even more things on top of that.
That's awesome. And I couldn't help but noticing you actually have Bear Grylls as a case study. So what stuff did you do with him?
Yeah, I mean, Bear Grylls is actually a pretty interesting experience. When we started engaging with them, we did it through their main agency, which is called retrofos now, mates of ours from Manchester. And they had engaged Retrofos to kind of have a rebuild of their website and look at some of their digital strategy and so on and so forth. And they came to us and one of the things that they wanted to do was start building up or accelerate Bear Gryll's email subscription list, you know, where. Through which, you know, Bear will chair, you know, stuff that he's doing with the, you know, with the scouts and, you know, through different things that he does. You know, like they were about to launch a podcast on Spotify and, you know, some other stuff with NatGeo and so on and so forth. And so they came to us and said, you know, hey, can you, can you help us with this? And we say, sure, what's your goal? And you know, goal was X. And I was like, right, so for when it was like, no, for the end of the year. And we said, well, we probably can deliver that in a month. They're like, nah, no way. It was like, yeah, maybe we can start with that. But we started looking at their E commerce and they were looking to transform and launch a full E commerce experience around Bear Grylls, his brand and the brands that he collaborates with. And we said, well, actually there is a great opportunity on that. And, and we started collaborating with them and then we launched right before Black Friday last year, full new e commerce experience. And since then we've been growing quite accelerated. It was also a very interesting challenge because him being a celebrity and especially a global celebrity, your engagement Persona, your engagement market, people who engage with your content is very different to the people who will go and buy products from you, right? Bear Grylls has, you know, the product, you know, probably spread is quite big from like specialized products that are expensive all the way to, you know, like more affordable, you know, merchandise around his brand. But, you know, making that distinction and understanding who, you know, who your buying Persona is, what does that target market looks like and finding that in a relatively fast fashion in a way that you can scale it was pretty interesting. And you know, like in, you know, about six months we've been working with them. You know, their business has been growing and you know, we started with, you know, this was probably the other way around where we started with, you know, his D2C store or direct to consumer store. And then we started expanding to Amazon, right? And now, you know, we're launching Amazon in the US you know, we've been doing it in the uk you know, alongside that strategy with, with the GTC store. It's been a very interesting and successful experience.
That's amazing, man. And I'm really glad I asked because that segues us quite nicely into the E commerce stuff. So you were literally driving traffic to his E commerce store to sell people. What things? Like what does he sell? Knives and camping gear and stuff? I don't know. What?
Yeah, I mean things like from like military grade watches to.
Oh, wow.
Like. Yeah, yeah. It's not just like, you know, like a canteen here. I mean there is like some very cool stuff, you know, like that, you know, stuff for hiking, camping. But these are like, you know, great quality products, right? And then you have, you know, like, you know, like more affordable, you Know, like water bottles and, you know, posters and stuff like that, or, you know, it does a lot of great books, you know, so that's available there as well. So. But probably something to bear in mind, this is just not traffic, right? This is about performance marketing, right? And I think this is one of the things that people need to get into their minds, right? Especially when you're doing things like shopping, you're not just driving traffic, you're actually looking at how you're attracting customers to your brand. And in many ways, I was talking to somebody some time ago and just like, you know, if you have a store in a mall, right, Having the store, it's just kind of like the step one, right? Getting the foot traffic in the mall is the step two, right? But getting the quality for traffic into the store, right, It's a step three. And that's what you want to, you know, and the quality traffic would mean people that will come in and actually buy something. Right now there will be people who will be, you know, will come in and out, you know, and, you know, will probably come, you know, back three times, you know, like to buy it before they buy something. But, you know, it's making sure that, you know, you're looking at, you know, the people that you bring, you know, to your. To your website from that perspective, you know, like, how do you. It's not just about traffic, but it's about the quality of the people that you bring in, the different touch points, you know, and articulations that you have for them to buy at the end of the day, something, right?
Absolutely, yeah. We don't just want people browsing or people jumping on the site, then bouncing or bots, right? We want people who are interested and ready to engage and who are potential lifetime customers. So what I'd love to talk about is, I think this would really benefit my listeners. My audience is, let's say you've got an Amazon website, right? You've got an Amazon business and let's say you're doing, I don't know, a few thousand a month or something like that, and you've got a product that's doing well. My initial aim for any private label product is to do £1,000 profit per month, for example. So let's say somebody did that and they're just starting, they're just beginning to grow just in the UK and they realize that, you know, Amazon is an amazing platform, it does a lot of stuff for you, but there's always the risk, you know, that Amazon one day could get your account in trouble or there could be some problem with the listing or something and they're thinking, oh, maybe I want to diversify. What would be the first few steps if somebody wanted to take this product, not just sell it on Amazon, but also sell it maybe on their own e commerce store and actually have to drive their own traffic and create their own engaged audience. What would be the first step to make that happen?
Yeah, I mean I think that's, that's very important. I mean, you know, you want to have your own destiny or destination to own your own destiny. In many ways I think Amazon is great for you to get started and to start testing and to start kind of like playing with getting a product and selling to potential customers. But you also have to understand that those are Amazon customers, that they're allowing you to kind of like interact with you, but on your website they are your customers. And it's about building the balance and the strategy between both. Doesn't mean one is better than the other one. They are complementary. And I think you need to, you know, start building, you know, from that mindset just like you do, right post purchase engagement with your customers on Amazon, right? Where you send them a survey, you ask them to review, you know, you want them to, you know, there are things that you can do like, you know, take them to your website for either, you know, like registering your product or you know, whatever. So that way you can engage with them and increase the lifetime value. You always need to be thinking about, not that one, just purchase, but the relationship that you built with your customers in the long term and doing it in your own property, in your own website. Sometimes it's easier than doing it just on Amazon. And I think as you said, sometimes you can get into some tricky situations with your Amazon account and it doesn't happen to everybody, it doesn't happen always. There is always a possibility and you want to make sure that you always have that fallback. Now your own website is something that you own. That's a brand that you built. It's that direct to consumer experience that you can build. And it's the place where you can actually express your own self in many ways or the soul of the brand and the products that you sell. And doing that the simplest way is just to get a Shopify store, right? You can also take a WIX store or you can do, you know, like there are many ways, right? But I think Shopify out of all they're there is probably, I will say the safest bet, two ways to get started. There are a lot of plugins that you can, you know, and simplest plugins that you can put in, even to the point where you can connect your Amazon store to it and fit in and out, you know, out of that and, you know, you can get up and running, you know, very simple with that. And, you know, from there is to start understanding how do you build that brand, you know, to start building, you know, bringing traffic of quality to it, to start looking at the conversions and the different touch points that exist in between.
Yeah, you're right, man. Shopify is just a really simple platform. I think it's probably one of the fast. I mean, I've experimented with it, haven't really used it like fully. I've experimented with it and I've got a site up and running in about a day with everything, the cart, the upsells, you can arrange the page how you like, which is something you can't do on Amazon. So let's say you've got your Shopify store, you've got a couple products on there, could probably do that in a few hours. Let's say you get some customers on the site, how do we make sure they come back? How do we make sure they don't just see our site and then leave and never come back again?
Yeah, I think that that's great. I mean, one of the first things that I would do that, you know, alongside with your Shopify, you know, you will probably want to have your Instagram account and your Facebook page, you know, have those connected and you know, like have, you know, create what is called a pixel. And you know, that pixel is essentially a piece of code that you can drop off your Shopify, you know, as simple as a 1 number, you know, and, you know, happy to go to, you know, I can send some of the resources so that. Oliver, can you put it on the show Notes where we explain you step by step. How do you get your pixel, how do you go to Shopify? Put it there. Once you have that, it allows you to start learning about your customers. It will give you anonymized data about the actions that your customers are taking in your site. One of those are the events, or you can fire events. So whenever somebody adds a product to your cart, it fires themselves. Somebody in Stockholm added a product to your cart. Whenever somebody checks out, you also fire an event around that. So you can then set up campaigns in Facebook that actually will be optimizing. Its main objective will be to optimize towards those events. So you're going to be Looking at it as a funnel. It's a sales funnel. You have your top of funnel, which is people learning about your product or learning about your brand. You have your middle of funnel, which is people who already come to your site and then have not taken an action, or maybe they added something to your car but they bounced off. And then you have your bottom of funnel. And bottom of funnel is getting people to that last action, which is purchase. You're going to be having campaigns that are going to be driving towards this strange three stages of your funnel. And if you architect them that way in your campaigns, and again, you can use Leaf Grow to do that, or you can do it directly on Facebook, then you're going to be optimizing for the different stages of that funnel. That means that if somebody comes to your site doesn't take an action, you can retarget them with an ad. Maybe even at the bottom of funnel, some of the things that you do is you can offer them a coupon. So you say, hey, that thing that you put on your cart here is a 10% coupon. Come back, get a dad buy. And then there is the post purchase experience. Post purchase experience is just as important in Amazon as it is on your own store and probably more on your own store. Because you want to be looking at that lifetime value of your customers. You want customers to repeat with you, to build that relationship with you, whether that's through your product or through the offering that you provide. And, you know, there are things that you can do, you know, there are services like Drip that you can connect, you know, to your Shopify store. And then whenever somebody buys, then you can, you know, automatically send them an email, you know, a few days later, you know, asking them, you know, how do you like their product? You know, having them to review their products, you know, like have a trustpilot kind of plugin in it so that people can start validating, you know, the reviews and things like that and all those different things, you know, getting gets people to, you know, and your brand to get stronger. Right. And again, you don't have to have all of those things from day one. If you have to have one thing from day one is have your Facebook Pixel in it because then that will allow you to start getting data, right? And getting data about your audience and, you know, about the people who are experiencing the site.
Absolutely, yeah. That Pixel gives you, almost gives your website like some memory. So when someone walks into the shop, it remembers who they are and then it can follow them around the Internet. So I Don't know if you've ever been on a website and you're looking for some shoes or something and you're looking to buy these shoes and then all of a sudden you go on to, I don't know, the New York Times or the Guardian or whatever website and you see the shoes on the side of the page in an advert, alright? That's the pixel. What's happened is you've been retargeted and the people who own the website are trying to get you back to the site so you can go ahead and actually make the decision to buy those shoes. So if you own a website and you use your pix properly, I mean, this is a way to constantly make every hit on your website amplified several times because you can see those ads all over the Internet then. So some really, really great insights there. And you mentioned briefly, Gilbert, about drip and about email sequences. So my audience know that I send a lot of emails to them because they get them and they realized obviously there's a reason I do this and it gets them, well, probably got them to listen to this podcast episode and sometimes it gets them to buy stuff, right? So how would you effectively use email campaigns to increase engagement and to increase sales within E commerce store?
Yeah, I mean, I think that's, that's key. I mean you want to be, and you have to be mindful, right? You always want to be giving people something of value, right? You want to make sure that people engage with you and create that relationship. So you have to be adding value, right? And you know that value can come in, in very different forms, right? Somebody like, you know, if you're buying, if you're selling like, you know, using the example of Bear Grylls, right? Like you're not just selling, you know, products, you're also providing value, right? Like in his case, you know, right now with all this, you know, lockdown and Covid stuff, he's been providing, you know, training sessions, right to, to his followings, right to his followers. He's been providing content or even links to other people's content. You want to be providing, building that relationship around the concept of what you have to sell. And I think not everything is a purchase. You have to understand again, looking from a funnel perspective, your top of funnel is about building that brand awareness, is about building that brand relationship. Your middle and bottom of funnel is more about taking that action, right? So if you capture somebody's email and they don't check out again, you can prompt them a day later, a couple days later, with a discount and say, hey, I saw that you added these two products to your cart. You did in Chicago is a 10% discount so you can make it through. And it's about doing those different options. You can get people to subscribe to your newsletter and on return you give them a discount for their first purchase. So there are different things and you want to make it as having somebody, as a conversation, having a conversation with somebody and start building that relationship and start building that course. At the end of the day you don't want that one transaction. You want actually that lifestyle lifetime value relationship.
Absolutely. We've all had that experience where you join someone's email list and it's either rubbish emails with pretty much no content that you just never read, or it's like their mission to just extract as much money as humanly possible from you by constantly giving all this scarcity and all these sales and everything. And it just feels icky. So you really want there to be value? You really want there to be value. You want to build a lifetime relationship and have that trust there through the emails and the sales will naturally come, you know, once people trust you. So I'm totally with you on that. So going back to Shopify then let's say we've got our pixel set up and let's say we've got an email sequence set up and you know, a checkout email and an abandoned cart email follow up sequence and things like that. Are there any other apps that we can use on Shopify to really help us improve that middle bottom of funnel experience?
Yeah, I mean there are many and I think it gonna come to kind of like how and what you want to build. Right? I mean there are the, you know, there are the basic one, like I said, I mean Drip is one that you can use for that, you know, like Shopify itself has, you know, their own services, I think more than the app or the plugin, right. I mean it's more about, you know, having to think about the strategy. Right. And I think in this ways, you know, how do you want to build that relationship? And then you know, you can even use mailchimp if you want for, you know, for those. And I think this one is going to come to yourself to start building that toolkit. And I think it's also for you to start, you know, getting embedded, you know, in this business. I think one of the, the key things is a lot of people are out looking for like, you know, the quick method to become rich, you know, type of thing. And I feel like you know, people need to understand that in many ways, this is not. You're not running a sprint, right? You're running a marathon. If anything, you know, this is almost like an arrow, right? Run. And you want to make sure that, you know, you're always training, you're always building, right. That you are learning. And podcasts like this are great for giving people that extra knowledge about how they can, or ideas even of how they can be sharpening the soul. And how do you get better at building that? But you're only going to be able to do it if you start and you're never going to have all the dots aligned. And I think that's also important. You're also probably going to, you know, make some mistakes in the way. But I think the key, important thing about this is just like with your marketing campaigns, you have to come in at it, you know, in a very naive type of way. Be open, you know, to learning. We're open to how you can iterate and always keep that, you know, that essential mindset that, you know, that you're learning every time that you're trying. Right.
I love the attitude, man.
Yeah.
Getting away from the how do I make 25k in the next 30 days and more towards how do I build a really sustainable business over the next five to 10 years? And if you can do that, then what happens is you get rich slowly, which is always more beneficial for everyone involved because you build something so much more special. And, yeah, it's just a great asset.
And I think you said something key there, Oliver, and this is something that we tell all of our customers and all of our clients. And that is you want to be looking at building a sustainable business. You want to be looking at how do you scale in a way that is sustainable and that can give you access those things like that longevity into your business. And for that, it's very key to understand your unique economic and to understand, you know, like, and start scaling in a responsible kind of way. You know, we. The first thing that we do with any, with any client that we onboard is look at the unique economics and start putting benchmarks. Doesn't mean that you're gonna, you know, that you're gonna be cash flow positive from day one. But it's important for you to know, kind of like, what are you building towards? Right. And we were having this conversation with, with a client actually of ours, you know, that we onboarded a couple of months ago. And, you know, he's again, an Amazon seller. He's been doing a million Pounds a year in sales. And he's now wanting to, you know, take some of that, you know, experience and start building, you know, his D2C store. Right. And you know, we were talking, he's like, you know, how soon am I going to be able to be looking at cash flow positive on this side? And you have to remember, right, it's something both businesses are very different, but one has the sustainability that you own your audience, the other one you don't. And it's how to start building towards that. But for him, it's understanding what the unique economics should be. What is the target return on investment? What is the target return? So that you're always going to have that end in mind and a goal. And as you build, you're getting closer and closer to it. Right. One thing that's important for you to understand because at the end of the day, you want to make sure that this is something that will grow with you but also will outlive you and that will give you that security at the end of the day, that it can not only pay for itself, but it can actually grow and scaling itself.
Absolutely, yeah. And when the thing is, you can start building assets as well. You, when you have your own list, when you have your own site, they're assets that you own. Like when you sell on Amazon, you don't really own those assets. Amazon's logo, Amazon's website, Amazon's customers all belong to Jeff Bezos, right, And his shareholders. And you're borrowing them, you know, but when you have your own site, it's your thing. When you have your own list, it's your thing. No one can take that away from you. And so that will be very valuable. And even if, let's say you break even on advertising for a whole year and you don't make a profit, well, now you've built up a massive list and you've got that asset which will pay off for years to come. So, yeah, thinking long term is so key. So you mentioned benchmarks. What would be like a few of the things we'd need to think about? Let's say, okay, I've got a product on Shopify, right. I want to turn on some ads, right? I want to get some people from, say, Facebook and Instagram to go to my website. I want to make a few sales. What kind of numbers would we be thinking about? I mean, the first thing that jumps to my mind is understanding what the break even point would be, you know, after the cost of the product and the cost of landed goods and the shipping, how much room we have to spend on ads. What other things do we need to consider when we're, you know, trying to build an ad campaign that doesn't just bleed money?
Yeah. And I think it's key to look at all of those things and you know, I will say there is no one benchmark. It's very different business to business. It depends also on the product that you're selling and kind of like the margins that you can play with. If you have products that have low margin, it means that more often than not, things like makeup or consumables sometimes have low margins. But you can think of those in a way that you want to build against, you know, relationship with your customers where you know, your cost of acquisition is front loaded. But then, you know, you kind of make it, you know, you make the profit in the, in the relationship, right? In the lifetime value of that customer. So you know, you can say, you know, okay, you know, my cost of acquisition, I'm willing to go for, you know, 1x of the cost of the product and you know, probably gonna, you know, not gonna make any money on that first, first job. I'm gonna, you know, kind of like break even. But I'm going to be making the profit, you know, in the second, third for whatever, you know, purchase repeatable from that customer. Now other products, right, have very high margins, which allows you to. But also, you know, probably the repeatability, right, of that, of that purchase, you know, will be lower. Therefore you will want to be maximizing towards that, you know, initial purchase because then you want to be seeing a proper return on it. One of our customers has this baby product brand, it's one of those, and he has a very cool product, but it's one of those things where you only buy once. It's not something that, or twice maybe, but not something that you will be buying in a repeatable kind of way. So for him it's very important that he makes his return right on the first purchase. So for somebody like him, when we started the targets was pretty high for him. He wanted to get back his return on investment needed to be on the multiples of X. Sometimes with different products you can vary. But I think, you know, key to that will be to understand very well your unique economics. And then what, you know, what will that tells you, right? Like what's that, you know, kind of like affordable cost of acquisition that you can, that you can aim at. And then you work towards that, right? And then obviously you want to, you know, the results will tell you right. Whether you know that's attainable or not. And then that means that you probably will have to tune, tuning things in and out. One of the things that we provide our customers, both as a managed service or in the platform is your reports will let you see pretty good what your return on investment is. It also will allow you to stack different campaigns because you also have to understand that despite the fact that you might have one campaign that is the one that whose aim is for that conversion, there are other campaigns that are playing their role. And it's like one of those, we like to use this analogy, like who scores the goal, the player who last touched the ball, or all the different players that you touched the ball in the play that made the goal. You have to understand that this is a team sport where there are going to be different touch points. Now sometimes it's going to be the same one, but more often than not it's a combination of touch points that you're going to be making with a customer before they buy something. And for you is to understand the user journey, customer journey, and how they make their way to you. And understanding that at the end of the day you'll be looking at a blended cost of acquisition, which probably is going to be a combination of different things that make up for that, for that purchase to happen.
So important. And a lot of these things only really materialize once you've been running the business for a while because you also need to understand, you know, what is the average cart value, what was the average amount that a customer is going to spend? You know, once you know that number now you can start really dialing in your ad campaigns based around it. So you know, if someone spend is going to spend $100 their first purchase now you might want to either aim to break even with the ads on that or you might want to be okay with making a loss if you know that the lifetime value of that customer, that is what they spend over, say two, three, four months over their life cycle. You know, you'll be able to recoup after 30 days or after 60 days. And yeah, like you say, a lot of this stuff can be gathered in reports. And yeah, if your software enables people to get those easily, then that's amazing. So what I'd love to do, Gilbert, is just let people know where they can find you, where they can find more out about Leaf Grow and how they can work with you if they need your help.
Yeah, yeah. Before I do that, just to close on your point, something that is key for People to understand is that your marketing budget and your cost of acquisition is a factor of the cost of your goods. And you have to understand this because you're going to be looking at a return on investment right now. If your product costs 100 or if your product costs 10, the cost of acquisition or the budget required is going to be different. Right now if your product costs 100, you're probably going to need 100 in multiples. Right? The cost of your product in multiples as your budget for marketing. Because Facebook and any marketing platform or channel is going to require multiple sellings to people. And so you're going to be getting that in multiples, right? So if you have a product that costs 400, and we've seen it in the past with some customers that came and say, right, my product costs $500, but my marketing budget is, I don't know, you know, a thousand, we would be like, well, I mean, you know, you're looking at a thousand and you want to, you know, convert that into money, you know, and your product costs $500. You know, like you're probably going to need to reach a lot of people, you know, before that and you're going to probably require multiples of that. So have that in mind. Right, because we've seen, you know, especially when you only starting that, you know, like, you want to know, oh, how much budget should I put? That budget is going to be, you know, probably a reference to the cost of goods that you're selling. Right?
Absolutely.
Yeah. So going back to your question about us again, you know, like our, our service works as a platform or as a service. We're a Facebook marketing partner. We're also Facebook marketing preferred agency, which means that, you know, Facebook audits what we do, you know, they test us, they try us, you know, and all that. We're also a Shopify partner as well. So we kind of know our way around and we're happy to help you both on the Amazon or outside of the Amazon on your DTC side of things, you can look it up at Leafgrowth IO and you can book a call with one of our team members. Happy to look at your case and see how we can help you. If you know what you're doing, meaning you've run Facebook campaigns before and things like that, you can just make use of the platform. It abstracts about 80% of all the complexity from front running your Facebook campaigns and makes it super simple for you to be launching campaigns across the funnel that are set up for success. And then on the other one. We're happy to provide you with a done for yourself type of service where we work with you in building successful strategies and delivery of those. Love it.
Fantastic. So leafgrow IO is that right?
Yeah. Correct.
Fantastic. All right, Gilbert, well, look, today's been really insightful, man. Thanks so much for sharing all of your insights and everything. And I hope a lot of people go check out your website and go see what you're all about. And yeah, hope you enjoy the rest of your day, man, and we'll talk soon.
Likewise. Happy weekend. Happy week, everybody. Bye. Bye.