Podcast

Learn from Fast Growing 7-8 Figure Online Retailers and eCommerce Experts

EPISODE 251 64 mins

Scaling DTC Facebook Ads with Product Centred Video Ad Creatives



About the guests

Moshe Saraf

Kunle Campbell

CEO of Pareto Solutions, Performance Marketing Powerhouse promoting unicorn brands such as eko, Fiverr, NectarSleep, Mixtiles, The Flex Belt, Uprightpose, Puls.com etc.

If you lived 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.

He's also really great with kids.



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.

Covered Topics:

On today’s interview Kunle and Moshe discuss,

  • Campaign Structure
  • Designing Video Creatives
  • Account Structure Setup
  • Creative Leasing Model
  • Video Captions
  • Ad Testing

Timestamps:

  • 00:04 – What to Expect from this episode
  • 05:02 – Our Sponsors
  • 06:31 – Easily Grow Your Business With A Powerful Marketing Automation Platform! Check out Klaviyo and open a free account now!
  • 07:23 – Get the easiest way to backup your Shopify or BigCommerce store and undo unwanted changes with Rewind.io… Mention you heard about them at 2x eCommerce Podcast and get a ONE MONTH FREE TRIAL
  • 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.
  • 37:15 – Easily Grow Your Business With A Powerful Marketing Automation Platform! Check out Klaviyo and open a free account now!
  • 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.

Tweetable Quotes:

“The title is the most important otherwise, it’s going to bounce.”

Facebook Group • Continue the Conversation

The eCommerce GrowthAccelerator Mastermind Facebook Group has just launched.
It is a community…

✔️ for founders and experts passionately involved in eCommerce
✔️ for the truly ambitious wanting to make an impact in the markets they serve
✔️ for those willing and open to help and share with other members

Here is where to apply to join the Facebook group
>>http://bit.ly/ecommercefb<<

———–

SPONSORS:

This episode is brought to you by:

Klaviyo

This episode is brought to you by Klaviyo – a growth marketing platform that powers over 25,000 online businesses.
Direct-to-Consumer brands like ColourPop, Huckberry, and Custom Ink rely on Klaviyo.

Klaviyo helps you own customer experience and  grow high-value customer relationships right from a shopper’s first impression through to each subsequent purchase, Klaviyo understands every single customer interaction,  and empowers brands to create more personalized marketing moments.

Find out more on klaviyo.com/2x.

 

 

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About the host:

Kunle Campbell

An ecommerce advisor to ambitious, agile online retailers and funded ecommerce startups seeking exponentially sales growth through scalable customer acquisition, retention, conversion optimisation, product/market fit optimisation and customer referrals.

Learn from eCommerce Entrepreneurs & Marketing Experts


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