CEO of Pareto Solutions, Performance Marketing Powerhouse promoting unicorn brands such as Eko, Fiverr, NectarSleep, Mixtiles, The Flex Belt, Uprightpose, Puls etc.
If you live in the US and had internet access you've most likely seen Pareto's fast-paced, product-oriented ads approximately squillion times and based on the revenue data - chances are you've bought a product or service they promoted.
On today’s episode, Kunle interviews Moshe Saraf, Founder and CEO of Pareto Solutions, an elite performance marketing agency headquartered in Tel Aviv, Israel. They specialise in promoting direct-to-consumer and unicorn brands such as eko, Fiverr, NectarSleep, Mixtiles, The Flex Belt, Uprightpose, Puls.com
If you live in the US or the EU, chances are that you will most likely have not only seen one of Pareto’s fast-paced, product-oriented ads but also purchased a product or service (like Kunle has), that the agency has promoted on Facebook or Snapchat.
The focus of our conversation today was on creative led media buying on the Facebook Advertising Platform.
Here is a summary of some of the most important points made,
Pareto Solutions operate a Creative Leasing Model – this means that they exclusively work with brands with a monthly Facebook ads spend starting from $500,000 – the take on $200,000 as a test to prove their expertise and control not just campaign structure but more importantly control all creatives.
When they demonstrate their entire campaign and creative structure to be better, the lease out their creatives to the clients.
They apply an 18% campaign management fee to the $200,000 spend and then a 7.5% fee on the campaigns leasing their ad creatives.
Moshe says that they spend 80% of their time and focus on eCommerce ads campaigns on either creating creatives or optimising existing creatives.
When selling direct-to-consumer you essentially want to create product-oriented ads
Their campaign structure is incredibly simple – it is comprised of just 2 campaigns
The first frame of creatives are hugely important for engagement – craft them like you craft a landing page – you want to address either the key value or a key pain as early as possible in your creative.
Do not limit signals to Facebook by limiting audience sizes or focusing on narrow audiences.
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08:57 – Introducing Rohan Sheth of Pareto Solutions
12:08 – Importance of Creatives in Scaling
Creatives is 80% of your success
“You can succeed with a really shitty structure and a great creative but you can’t succeed with the most amazing structure and a bad creative.”
14:22 – What to look at from an account structure setup?
Do not limit the amount of signals because without enough data, it just collides.
Facebook needs a sample size that’s going to average on your conversions and target CPA.
Limited budget with big bids
18:13 – What approach to take for fashion brands with 100+ SKUs?
Discovery campaigns on Instagram
Measure organic engagements and then filter out the products that are getting more organic engagements.
21:13 – What does your creatives look like?
Zoom
Carousel
Video
Consumers need specific details about the product.
22:40 – Creative Leasing Model
Duplicating successful campaign structures from Pareto Solutions
Tests out an initial campaign with a video creative on behalf of the client in which the client can access and copy
Pareto Solutions leases out their creatives
Charges an 18% agency fee
31:58 – Graphics and Video Subtitles
Cohesive use of text and graphics
Long texts are irrelevant if it doesn’t appropriately pair up with good graphics
Cut to the chase and give people the meat
It’s much more easy to consume if you have the graphics to support the story rather than subtitles.
34:36 – Guidelines for creating great ads for Facebook
Facebook is a running page
The title is the most important otherwise, it’s going to bounce.
You have a split second to catch the attention of your audience. Even if the second frame is amazing, they’re not going to see it.
The beginning is the most important. If you don’t have that, nothing else matters. And what should be in the first frame should be the key value or the key thing and not the clickbait.
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38:47 – Thumbnail Images
Thumbnails are not significant in Facebook ads because of the autoplay.
39:29 – Use of Sound
The video should be totally understandable even on mute.
Set a specific tempo/beat
40:53 – Designing your video creatives
Make the first frame very interesting
Set a beat for each frame to get you in a flow
Use summary captions (not more than four words)
Product in action on human beings
Put the product first
43:11 – The Creatives Team
Give them the freedom to express their creative juices.
45:47 – Nectar Sleep Creative
Used the idea of showing pain and pleasure
Understand what the people are saying
Keep it simple
Focus on the key value
Answer customer questions
Demonstrate social proof to establish trust
50:23 – Use of Emojis on Text
51:12 – Other Creatives
Show the pain points of the product and then show them in order of importance
55:43 – Learning from Failures and Past Projects
59:51 – Why are not on Facebook groups?
A lot of data and not enough signals
1:01:01 – Testing Phase
A version should at least be 20% better performance-wise than the previous version.
No more than 2 ads in the same ad set. It’s always a contender and a winner.
No multiple small tests, one big test every time.
Test with a hypothesis in mind.
1:03:51 – Join the 2xEcommerce Accelerator Mastermind Facebook Group
Key Takeaways:
In Facebook advertising, do not limit the amount of signals because without enough data to analyse, it just collides.
It’s much easier to consume an ad if you have the graphics to support the story rather than subtitles.
You have a split second to catch the attention of your audience. Even if the second frame is amazing, they’re not going to see it.
The beginning is the most important. If you don’t have that, nothing else matters. And what should be in the first frame should be the key value or the key thing and not the clickbait.
The video should be totally understandable even on mute.
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