Ad retargeting CHEAT CODE (few know this)

Hey, Vince, we were talking earlier. You know, does adder targeting even work?

Mike, have you ever seen those Halloween movies? Retargeting. It's like legalized stalking.

It's real simple, Mike. It starts with the CPM formula. Once you understand the power of the CPM formula and how to use it. Mike.

Oh, geez, Vince.

My bad. Got caught up in character.

Take a chill pill here.

My bad.

Just making sure he ain't behind me.

It's getting scary out here. Marketing. Geez.

Formula. Master the CPM formula. Then you move into the next two steps, which is understanding how you should be using retargeting, because you can actually retarget two ways, really. You can leverage this formula to retarget and build your brand, or you can do number three, which is leverage retargeting to generate more sales. Most people don't know how to distinguish the two. Good for people watching right now, because you know what's about to happen. Mike. What I'm gonna tell them. Oh, yeah, I'm telling y'. All. Ready?

But before you do, please make sure to hit that, like, button, because this is gonna get real good. All right, let's get back to it.

And spooky.

And spooky.

Spooky.

I'm just shivering my boots. So you talk about, number one, CPM formula.

All right, The CPM formula. You know, this is my favorite, because once you really understand how something works, you can just take advantage of it, right? You can do all these things to your advantage. So let me explain the CPM formula. This is actually how you're actually charged when you run ads. Most people don't even know that. They just swipe in cards, just, why is my ad cost high? Why is my ad cost low? Don't even know why. Don't know how they're charged whatsoever. But really, it comes down to this formula. So let me break down the formula and how it works.

CPM formula looks like this. You take your cpm, it actually equals your cost divided by number of total impressions times 1000. Now, it could be an entire episode just on that, but that's essentially the formula that your ads go through to dictate how much you're actually billed per 1000 impressions. An impression is an actual eyeball. Someone saw the ad. Doesn't mean they clicked. It doesn't mean they interacted with it. It just means that it was somewhere on the computer. It was visible to their eye. That's what an impression is. Now, you know, based on what happens within that formula dictates how Much you're charged per 1,000. So the better everything is, the lower Your cost per 1000, the lower your lead cost or your sales purchase percentages are going to be. Does that make sense?

I just calculated it. Yep, that makes sense.

Little complex, but that is how essentially you are charged. Why is this relevant to essentially your retargeting? Well, it lets you understand the power of why retargeting works. Because the question was this retargeting work. The reason retargeting works is because essentially the majority of the people who you're at or placed in front of are people that already know like, and hopefully trust you, right? So therefore, the number, the cost per lead, the cost per sale that gets spit out from individuals who already know you based on that formula is going to be to your advantage because less of the people who essentially see your ad are strangers. So that's why retargeting works.

Stranger danger.

Stranger danger. So think of it this way. So imagine that, you know, you got in trouble, somebody came, locked you up more times than Donald Trump.

Dang.

We can't use that. Get canceled right off the bat.

I know it's crazy, but this is actually a good example, right? And you know, if you got a good lawyer, right? A good lawyer understands the law. They understand the code, right? So if you understand the code, you could find literally like one sentence, one error, one word off and get the entire thing wiped out. And this is why it's important for you to understand the formula. Because when you understand how the formula works, you can use it to your advantage.

The second thing we talk about branding.

Yes. So one of the reasons people say retargeting doesn't work is because they start running retargeting campaigns and they don't generate any sales. And that's because they don't understand that there's a few ways to actually leverage retargeting. And as I said earlier, one way is for branding. Now, if you're not effective with it, you could be building the wrong type of audience. That might not even be branding or generating sales. Or you might be trying to look for sales, but it's actually just running retargeting campaigns that are more built for branding. That makes sense. So an example would be this. So let's just say that you are in the nightclub business, okay? Because I know you were thug. Look at you got Tupac bandanas on over there. And you know, you running the hip hop club, right? You got all the artists popping in. You're doing this for, you know, several Years, you're known as. You want to go to a good hip hop club, find Mike, right? That's your break.

That's right.

Then all of a sudden, right, Someone approaches you and they're like, hey, there's this new, like, country artist. Like, you know, you got a lot of people. This is a good venue. Like, why don't you just have, you know, a little country night, right?

Why not?

And then you start running ads to your audience, right? And you say, hey, we're having this amazing country night. And you're all excited. We're gonna change it up now. We're gonna get the hip hop audience. We'll get the country audience. And you go in there and there's like one dude out there just line dancing, okay? And it's not even with his girlfriend. It's with his cousin.

Dang.

That'S unfortunate.

Why that happened to me.

We rebranded the wrong audience. And this is the problem with retargeting. People keep seeing my ads, but every week it's a different person that they're retargeting. So essentially, they're just essentially retargeting, but they're just retargeting the wrong thing.

All right, so number three, you talk about selling.

Yeah. So with retargeting, again, understanding how the formula works, right? Understanding that if you are building a retargeting audience. And let's. Just for the sake of this video, let's just say we're referring to retargeting an audience of individuals who watch specific percentages of videos, right? That information is invaluable because you know the intent of why those individuals watch that particular video. So if we kind of bring it full circle to like, the club example from the. From your club, right? You would know that most of the people that have watched your content have seen videos about hip hop club, right? So therefore, when you go to sell, like a specific night, okay, you can then feature the different artists and generate more sales and change the angle by simply changing the artist, right? So by staying in front of that audience, you're staying in front of individuals who, you know, interested in that particular type of venue or club. And then, you know, you can change the angle, and then you can continue to put different offers in front of your ideal customer, right? And you're going to see better results because it's retargeting again, of all the people that the ad is exposed to, it's your specific audience. So retargeting for me is best explained when you think about that movie focus with Will Smith, did you ever see that movie?

Yeah.

What was that?

It was. I was just confirming that. Yes.

Okay. I thought you were like.

Yeah, I was like, damn, that's a good movie.

I thought you were like. What do you. What do you call it? Like, the Matador. I thought you were. Something was coming through.

Yeah. Your explanation.

Okay, please. And I will. So in the movie Focus, there was a scene where Will Smith, he was, you know, at a football game, right? And he made this bet with this kind of high roller, this guy that was known to make these really extravagant, crazy bets. And Will Smith's character in the movie, he was kind of a hustler who kind of figured out ways to swindle people by, you know, doing the things like I'm about to tell you now to people within the movie. So in this particular scene, he bets the guy that all he had to do was go out with binoculars, look onto the field, and think of the number of a person that's on the field. The difference was the girl who was with him had to pick the number. So if the girl picked the number that he was thinking, then Will would win the bet. So, long story short, the girl's freaking out because she didn't know he was going to do this. She looks in the binoculars, and sure enough, she recognizes someone on the field. And she kind of looks at Will and they kind of get it, and she picks the number 55. The guy starts kind of chuckling and laughing, and he's like, that's the number. And the guy's actually happy he lost the money. That's how crazy it was. And then he goes, how did you do it? He's like, I was setting it up all day. From literally your hotel room to the music that you were listening to, to the numbers you saw in the elevator driving to the stadium. You kept seeing the numbers like everything just had the number 55 right. And that's essentially what retargeting is. So if you really want to increase sales with retargeting, it's not just about them continuing to see, you know, the. The number. It's continuing to switch the angle and make the offer better, but keep it relative to what it is that they see. People that are retargeting wrong. They keep literally putting the same ad in front of the same person. I think what they need to do is keep the same messaging, but flip the angles so that way people continue to see you making offers in a new and fresh way.

So for someone that just wants a little bit more of explanation, can you break this down for them?

Yeah, man. I mean, it's. I wouldn't say it's simple, but it's true. There's always a tell with everything. Everything has a tell.

Can you tell me what this tell is?

I can tell that you're confused.

I can tell. I am confused as well. Do tell.

There's the tell. And I will do tell.

If I knew that you were confused. There's a lot that I can do with that.

I can hint.

I can. I could continue to confuse you, or I can make and create more clarity. So, you know, for example, right? In marketing, okay, it all starts with someone seeing your ad. That's what you pay for an impression, right? How you're charged is. Is based on that formula that we talked about. Understanding how to leverage that gives you an advant, right? Most people don't know. They're just like, my ad cost is high, as we talked about earlier. So, for example, if you think about the movie Rounders, it was a poker movie with Matt Damon. He's playing this Russian, and he ends up losing this really bad hand he thought he was gonna win. In the movie, the Russian was able to see Matt's tail and potentially just break him. Later on in the movie, Matt Damon goes back to play this guy again, and he figures out the Russian's tale and ends up just crushing the guy. And the guy has no idea how he figured it out, and he wins all this money, and that's kind of how the movie ends. When it came to marketing, I thought, you know, what is the. What is the marketing tail? Where can I get an advantage? Right? Well, the first thing you want to do is just figure out how the platform is literally charging you, okay? That's the first tell. So if I know they're going to charge me based off of 1,000 people who essentially see my ad, my only question that I have to figure out is how can I make sure that those 1,000 people are essentially people that know, like, and trust me?