Ready to scale your online store with Facebook ads?
If you’re watching or listening to this episode, you may have already seen some of our ads on Facebook, Instagram, or YouTube. If you’ve been paying attention, you know that our paid ads strategies are designed for businesses that have already achieved 10K in sales per month. In response to those ads, the most typical comments are:
- “That’s the easy part. The first 10K is the hardest.”
- “Once I get there, I won’t need a marketing agency; I just need you to get me there.”
It’s important to dispel this myth.
The First $10K: Before and After – What’s the Difference?
The Low Hanging Fruit
A company that hasn’t achieved the $10K monthly milestone is most likely leaving low hanging fruit on the tree.
To leverage the brand’s low hanging fruit, companies often tap into:
- Family and friends
- Professional connections
- Even second-degree connections
- Local connections
Laser focused attention is much easier when you’re on your way to $10K per month.
- Your personal goals are 100% aligned with achieving that level.
- E-commerce owners are going to events like farmer’s markets or boutique shows.
- You’re recruiting influencers and find a handful of folks in their community to back you.
When that focus is 100% on growing the company, you don’t need to outsource or hire a lot.
Although it’s awesome once you begin consistently achieving $10K, you’re growing and things get hairy. The next phase – for the foreseeable future – is entirely different.
- Now, you can’t focus 100% on any one aspect of the business.
- You’ve got finances, taxes, and hiring to worry about.
- You find out very quickly that you’re limited in your ability to do everything well. In fact, it’s hard to really feel like you’re even doing one thing as well as you’d like.
After $10K, you need to begin outsourcing or hiring internally for something like marketing or sales.
Whatever you are focused on is going to be amplified.
- If the founder is focused on sales in the first quarter, the marketing suffers.
- You focus on getting marketing back up during the next quarter. Then you notice sales declining.
Something has to give.
Why $10K is an Interesting Number
Most founders are hoping to take $10K per month home at some point.
For that to happen, some eCommerce businesses realistically need to be making almost 10x that amount when you’re factoring in Cost Of Goods and Operating Expenses. It certainly takes time to get that momentum going.
When you really think about cost of goods sold, you’re going to need help figuring out how to make more to have more to go around.
As a business owner, if you can’t feel good about throwing $3K a month at paid ads or a marketing agency to help drive business for you, then owning your own business might not be the right move for you.
From a paid ads standpoint, companies will quickly get to $2K per day on ad spend. That gets hairy to manage very quick.
Sounds brutal, but once you get to $10K, it’s time to get serious and ask some tough questions:
- As a business owner, what is required of you mentally?
- What are you willing to invest to get to the next level?
- Are you really looking to create a solid ecommerce brand?
- Do you have that next level mindset that’s required to gain real market share?
What It Means to Have a Next Level Mindset
Once you get to $10K and prove that you can function beyond that point, then the goal is to become the product that gets added to the cart among a large competitive marketplace. In simple terms – it’s time to start thinking about market share.
Let’s say you’re starting and spending 100-200 per day. Now it’s time to have a long-term focus and understand that if you aren’t seeing sales on that particular day, it’s not necessarily a bad thing.
Especially in the ramp-up period, you are purchasing other things with your ad spend:
- website shoppers
- add to carts
- product views
Further marketing to these individuals will create a “virtual shopping” experience on their social media feeds, and keep them coming back to your store for repeat sessions.
This is a data purchasing process. You’ve invested in market share, data, etc. And now, you can advertise in a much more effective way.
Where Shopanova Comes In
Getting to $10K is not easy, but it’s the “easier” part.
At some point, organic ecommerce marketing reaches a point of diminishing returns.
- There is only so much that an influencer can do for you.
- There is only so much market share at the farmer’s market.
You will hit a plateau and need to pivot to paid ads in order to amplify.
When businesses learn about the potential of paid ads, local store owners are speechless. How easy it is to sell products nationwide blows their minds.
Shopanova has expertise with that next level mindset. If the low-hanging fruit has been maxed out and now your company needs expertise to scale to $100K and beyond, apply for a no-cost growth audit with our team.