Behind The Revenue

Summary

Aleric Heck shares his expertise on using YouTube ads to generate consistent leads and sales. He explains that the biggest portion of his revenue comes from coaching and training businesses on how to run YouTube ads. Aleric discusses targeting strategies on YouTube, including intent-based audience targeting and targeting competitors and complementary sites. He also emphasizes the importance of creating converting ads on YouTube, which involves providing value, educating the audience, and including a clear call to action. While the conversion costs on YouTube may be slightly higher, the quality and intent of the leads are generally better compared to other platforms like Facebook. In this conversation, Aleric Heck discusses the strategies and tactics for running successful YouTube ad campaigns. He explains how to target specific household income brackets and build a profile of the audience using Google's data. Aleric also shares insights on using YouTube ads and in-feed ads to reach the target audience effectively. He discusses retargeting and funnel strategies, as well as the breakdown of a master class funnel. Aleric provides valuable information on scaling ad spend, backend sales, and the role of a fractional media buyer. He also mentions his software, KeywordSearch, which offers AI ad targeting for YouTube and Google ads.

Takeaways
  • Targeting specific household income brackets can be done using Google's data and allows for more precise audience targeting.
  • YouTube ads and in-feed ads are effective ways to reach the target audience and drive engagement.
  • Retargeting and funnel strategies are crucial for maximizing conversions and driving sales.
  • Scaling ad spend requires careful monitoring and optimization to ensure a positive return on investment.
  • Having a backend offer and focusing on high-ticket sales can help offset the cost of ad spend and increase profitability.
  • Working with a fractional media buyer can provide expertise and high-quality ad management for businesses.
Chapters

00:00 Introduction and Background
01:14 The Biggest Portion of Revenue
04:09 Targeting Strategies on YouTube
06:24 Intent-Based Audience Targeting
08:25 Targeting Competitors and Complementary Sites
10:05 Single Keyword Audiences
11:36 Comparing YouTube and Facebook Ads
19:45 Direct Funnel vs. Warm-Up Strategy
22:43 The Secret Sauce to Creating Converting Ads
26:08 Conversion Costs on YouTube
30:18 Targeting Specific Household Income
31:19 Building a Profile of the Audience
32:19 Using YouTube Ads to Reach the Audience
33:15 In-Feed Ads on YouTube
34:43 Retargeting and Funnel Strategies
36:05 Breakdown of the Master Class Funnel
38:54 Scaling the Funnel and Backend Sales
47:46 Starting and Scaling Ad Spend
53:02 Backend Offer and Losing Ad Spend
55:31 Fractional Media Buyer and Agency Services
56:33 Resources and Software

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Chad Kodary (00:01.692)
What's going on everybody and welcome to another episode of behind the revenue. I've got my good buddy, Aleric heck from ad outreach. You've probably seen his face plastered all over the ad networks. He's been following you around and now he's finally here live in person. Uh, Aleric, I know, I know a lot about you, but for those, the people who don't, if you don't mind, just give some quick context. Who are you? What do you do? All that good stuff surrounding.

Aleric Heck (00:26.748)
Awesome. Thank you so much for having me on. I'm so excited. So of course I help businesses use YouTube ads to get consistent leads and sales and grow. I also go in and train businesses on that, run ads for certain clients. And then we also have a software that I developed as well, keyword search that does AI ad targeting for YouTube and Google ads. And yeah, that's the big thing that we do. I've been on YouTube for 15 years, started out with a channel, built it up to about half a million subscribers. Then about eight years ago, I went into the -

the ad side of things and haven't looked back since.

Chad Kodary (00:59.452)
Love it, man. And so right now, where does it like the primer and it, cause you do a lot, right? You have the software, you have the agency, you do the coaching, right? Where would you say that a biggest portion of either revenue sales, like where's like the biggest piece of the puzzle and all of this for you.

Aleric Heck (01:04.38)
Thank you.

Aleric Heck (01:14.012)
That's a really great question. And honestly, it probably surprises people in that it's actually on the coaching and training side. Because what I found is a lot of different businesses, they might have an internal marketer or media buyer, or maybe smaller businesses, the entrepreneur themselves are running ads, maybe they're running Facebook ads. And they're trying to figure out how to do YouTube, because they know that there's an opportunity. Maybe they've seen some of my videos, some of my different trainings that I have out there. I've been

You know, beating the YouTube ads drum long before it was cool, you know, and I remember people laughing at me and saying, what, YouTube, you know, you can get conversions on that. You people just thought it was branding back in the day when I had gotten started. And so now, you know, people have come around to it, which is really amazing. But what we've actually found is the biggest area is us coming in and training businesses on how to run YouTube ads. So that's the type of thing that we've done with a lot of different internal teams is training their own media buyers, their own teams in YouTube ads, even.

Chad Kodary (01:42.958)
you

Chad Kodary (02:05.436)
Wow.

Aleric Heck (02:07.1)
you know, the ClickFunnels team, we train them in YouTube ads and different people like, originally like Cole Gordon's team and Proctor Gallagher, you know. So, a variety of different types of businesses will come in and will train their team on YouTube ads and then that way they can really take it and run with it.

Chad Kodary (02:24.476)
Dude, so I, the first question that I want to ask you and once again, selfless question. I need to know this.

I haven't been able to crack the YouTube code. I'll be honest hands up. Okay. I'm guilty as charge. Um, I, I live on Facebook and Instagram.

Chad Kodary (02:44.412)
you get ads to work on YouTube? Like what is this? I know it's obviously a lot more of a complex question that I'm asking, but like for me, the only, so I'll add some context and maybe add a little context to the question, right? For us, what we do is we do all of our cold traffic. Basically we try to scoop up from Facebook and Instagram ads. So cold, uh, uh, just people have never heard of Das Facts, right? And then we do only, the only ads that we're running on YouTube is a remarketing campaign. So

people that have been to our website, basically that didn't sign up and create their free dash account. We'll hit them with remarketing. Um, you know, when a YouTube video pops up, uh, they see us before the video. So I had some context for people who are not familiar with YouTube ads, right? That's, and we're not doing a big budget there. I'm talking about like maybe like 20 bucks a day. Like it's nothing crazy, right? It's just purely remarketing. I think we've had like one video running for the past year and a half. It's the same retargeting video, which is it's still converts, right? Um,

But like, what are you doing? What's the strategy? Like, how do, how do I get new people who are interested in, and we target, I'm going to add even more context. I'll dig a little deeper, right? We target marketing agencies, right? So DashClicks is a software platform and white label fulfillment center for marketing agencies. That's what we do. A hundred percent of our, of our audience is marketing agencies. How do I get these marketing agencies who have never heard of DashClicks

to see our ads and get into our world. What would you do if you were our YouTube advertising coach or specialist, right? What would you do?

Aleric Heck (04:18.748)
Yeah, great question. So what we really wanna do is there's a couple of big components. The first is the ad itself and how you structure the ad. And I'll walk you through all of that. And then the second is the targeting. And the targeting is also where a lot of people get things wrong because there used to be more content targeting in the past where you'd target in front of specific videos or channels or what we're called kind of placements, right? And content targeting. Now it's all audience -based targeting. So building out an audience.

based on who that person is, that agency that's looking to use DashClicks, right? And so what we wanna do is reach the right people at the right time with the right video. That's the key. And there's actually ways, even with the audience targeting, to target people based on intent. So actual searches that they've done. The reason I'm starting there and then I'll get to the video and then I'll go back to targeting and just kind of like weave it all together is because we gotta understand who's actually gonna see these ads. So what we wanna do is define who is that agency owner that we wanna get DashClicks in front of.

Chad Kodary (04:56.572)
you

Aleric Heck (05:15.772)
And so with that, we're going to build an audience on Google Ads, which runs all the YouTube ads inside of the Google Ads dashboard. What we want to do is we want to build an audience based on who that ideal person is, that agency owner. So what are they searching for on YouTube or on Google? Now, you can actually target people with YouTube ads based on people's Google searches. So maybe what they're looking up are questions around how to scale my marketing agency, how to best

Chad Kodary (05:38.972)
Yep, yep. Or some competitors.

Aleric Heck (05:45.784)
you know, dashboard for agencies, right? Like a software for agencies. Maybe they're searching that, whether it be on YouTube or on Google, you could build something called, exactly, your competitors. So you can put in your competitors' names there. So...

Chad Kodary (05:56.636)
We're coming people, we're coming.

Aleric Heck (05:59.5)
Exactly, exactly. So what you could do is you could put all of those in what's called a custom search intent audience. So essentially you're building this out and you're targeting people with your YouTube ads based on people actually having recently searched for those different terms, whether it's kind of more general terms around how to scale their agency that you know your ideal person is gonna be potentially asking.

more specific about software, what's the best software for my agency, or maybe even, you know, go really high up the levels of awareness, you're targeting specific competitors or other products that they might be looking for. And that's just one way to target people. That's the intent based audience. You can also target, yeah.

Chad Kodary (06:37.252)
Is that, let me, I want to, I want to peel the onion back on this just a little bit more before we go down. Cause we're, we're going to dive down a really deep rabbit hole here and I'm excited for this intent based targeting. So like building that, or well building this one audience that you were just talking about. So just from my understanding and for context, if somebody goes to google .com and they go to search for something and let's say they're searching for white label Facebook ads as an example, right?

Aleric Heck (06:43.676)
Yeah.

Aleric Heck (06:47.132)
Oh yeah, yeah.

Aleric Heck (07:05.126)
Yeah.

Chad Kodary (07:05.148)
Even if they're not on YouTube today, if they go to YouTube three days later or seven days later or 10 weeks later, if they search that one term on Google, Google YouTube, obviously, because they Google owns YouTube, obviously in their database, they know that. And now the next time they go to YouTube, no matter what my talk, well, I'm assuming I use that specific targeting. And then my ads would that audience. I basically target that audience.

Aleric Heck (07:27.196)
Yeah, that specific targeting. Yep. And then you'll reach them. Now, Google won't tell you how long the timeframe is from them making that search to seeing the ad, other than the fact that it's within a recent timeframe. So the 10 weeks for that particular type of targeting, that may not be the case, but a day later, an hour later, a week later, that's the type of thing. So somebody is recently, whatever recently kind of technically means, Google's, there's some things Google will tell you, there's other things that they don't, but.

Chad Kodary (07:53.212)
Wow.

Aleric Heck (07:57.052)
they've recently made a search on Google or YouTube for that term, right? So they're looking that up. It might be a longer term, like what are the best software for my agency? That does X, Y, and Z, and then it pulls that little piece, right? So it's not necessarily an exact match keyword, it's a little bit more broad match. But essentially what you're doing is you're targeting people based on they have searched for this particular term or a very similar term on Google or YouTube, and I wanna target them with ads as soon as possible.

And then that's making sure that you're reaching the right people. Now we talk about audiences. I'll get a little bit more granular here. I described three different types of buckets. I would do those as three different audiences. So I would do the more general agency, scale my agency, like a few different keywords into one audience group, right? Or that's just one audience. Now, when I say group, you can actually group these together because they're all kind of like audiences, but this is one individual audience. So essentially you're building, you know, this audience group.

Chad Kodary (08:40.252)
That was my question.

Aleric Heck (08:55.74)
And then inside of that, you have multiple audience segments, right? So these are the individual segments that you're targeting. So one could be people searching terms around agency scaling. The other could be people specifically looking up agency software. So there's a few different keywords inside that audience segment, inside this overall audience group, right? Then you could also target people who are looking at competitors. That could be a competitor audience segment. Again, all of these can be in one campaign.

but you wanna have them in separate segments because what you can do is you can check as the campaign runs which segments performing the.

Chad Kodary (09:29.908)
Which one's performing? Yeah. So as an example, adding context here for everybody in that competitor audience group that I build out, I can literally, let's say I have five competitors that are competitors of ours that have agency software, it's a agency fulfillment or whatever the case is. When I'm running ads, I can look into my performance reports and basically see, Oh my God, this specific competitor is getting us the most clicks or the best.

Aleric Heck (09:36.236)
Yeah.

Chad Kodary (09:58.012)
uh, CTR conversions or anything like that. It's kind of like when you're in Facebook's think about, I'm thinking about this as like ad sets. Is that kind of how it is in.

Aleric Heck (10:05.98)
So there's a yes and a no to that. So the yes is you can see which of these different segments is performing the best. You're not necessarily gonna see inside each keyword. So that's why once you figure out what segment's working best, the next thing we do is single keyword audiences. So what we would do is we would create another campaign. And this is, again, this is like, by the way, more in the weeds than I usually get, but I know you started off, I think it was before we started recording, like saying, let's dive in. Let's like get nerdy on it, which I love.

Chad Kodary (10:15.834)
Got you.

Chad Kodary (10:26.204)
I'm a yeah, I'm a nerd. I'm a nerd marketer. Yeah

Aleric Heck (10:35.804)
So essentially what we wanna do is once we find, let's say we launch these three and it wouldn't be a shock to say, okay, wait a second, this competitor's one is performing really, really well. Well, let's go and let's launch another campaign and take all the individual keywords inside that competitor's audience and do what are called single keyword audience segments. We can take, let's say there's five competitors and they start all together in one audience, because we wanna see which audience is gonna work best, right? What you can do is you can then,

create a whole new campaign with a new audience group. And inside that group are individual, five individual segments that just have that one keyword. You don't necessarily want to start there because it's almost like you want to cast a wider net, then narrow down, and then focus on what wins, right? So, you know, the competitors one is one where you could potentially start with single keyword audiences. But for other keywords, you don't know, you know, what grouping is going to work a little bit better. And then once you hone in on that, then you can say, okay, let's actually extract these out and see what

which one's going to perform better and can we give that a little extra scale.

Chad Kodary (11:36.476)
So, all right, let's take a quick break right here really quick. So, cause, cause I'm going to go, I'm going to, I'm going to jump into Facebook really quick and then I'm going come right back here cause I want to compare the two, right? So like, I'll give you a perfect example for Facebook. We have a strategy and a campaign that's been running on Facebook right now, fairly new for about maybe two months, right? And basically what we're doing is we're doing, we're building our own audience with basically, um, we have three campaigns, uh, cold, warm, hot, and then we have a remarketing campaign as well. So technically four.

Aleric Heck (11:44.316)
Yeah. Yep.

Chad Kodary (12:04.444)
Right. And basically what we'll do is your good old general, you know, a lot of video and engagements, a lot of videos, um, in like trainings on top of funnel for like, kind of like educating people. Right. And then the hot campaign is essentially targeting people who watch 50 % or more of those videos or liked or engaged in pages or clicked on our website or anything like that. Right. Um, and then going to the hot audience where it's like direct marketing call to actions, like full blown, like, dude, you need this click the link below, like, like attacking basically. Right.

And then obviously remarketing is people who have been to our website, didn't sign up. Now we want to circle them back. So for us, like in each one of those, like in the cold bucket, I probably have like 15 to 20 ads rotating, just educating people on different things. Like for us, it's like, why, uh, why use a white label fulfillment company for is doing it in house, right? One video. And I have like 20 different videos like that. So in YouTube, when you're setting up, like if you were to create like a structure like this in YouTube,

Right. Where you're basically like, kind of like building up your own audience. Would you do a structure like that? Or would it be more direct since you kind of know what they're searching for already? The reason why, by the way, we do this structure is because to target marketing agencies on Facebook is very difficult because there's only like literally one, I think it's called advertising agencies. There's like one demographic that you can target aside from lookalike audiences or custom audiences that you can then turn into whatever, like right going down that path. So.

So like for YouTube, how would I, would I create a similar structure in YouTube or am I just like straight up direct marketing people and, and, and going at them with a direct message and trying to get signups right off the get go.

Aleric Heck (13:45.628)
Great question, and the answer is both strategies work. There's actually a specific strategy where you're getting people to engage with YouTube content. You're doing a cold, warm, hot audience strategy, which I'll explain in a second. That said, you don't necessarily need to do that. That's what's gonna work better for lower levels of awareness, right? But the people that have higher levels of awareness, one of the reasons you might need to do that on Facebook is, like you said, there's not as many targeting options. There are so many more targeting options on YouTube. Also, you're reaching people at the right time. So on Facebook,

Chad Kodary (14:04.22)
Yeah.

Chad Kodary (14:10.17)
Yes.

Chad Kodary (14:13.946)
Wow.

Aleric Heck (14:15.58)
Facebook, people could just.

Chad Kodary (14:17.5)
That's all they're doing, dude, yeah.

Aleric Heck (14:19.164)
on YouTube, they're watching videos. If you can target people that recently searched for how to scale or grow their agency or specifically for your competitors, then you're reaching them at the right time. By the way, you can even target people. There's something called URL audience targeting, where you could go in as URL audience affinity, essentially. What you can do is you can actually target people based on websites that they've been on. So you put all your competitors' websites in a list and it's...

Chad Kodary (14:38.364)
I've heard of that.

Chad Kodary (14:43.58)
Crazy. Because of Google Analytics, right?

Aleric Heck (14:47.196)
Yeah, so you put that in and you put that into one of these custom audiences and you're now targeting people that have been to those sites or similar sites. So essentially what you can do is go and actually target people that are going to your competitor sites. It's like sneaking in and installing your pixel on their site. And the thing is this blows people's minds. They're like, well, how is that possible? Cause they're used to Facebook. We got to remember Google has so many more data points than Facebook does because what does Google have?

Chad Kodary (14:50.684)
Peace.

Chad Kodary (15:00.828)
Yeah, it's crazy.

Aleric Heck (15:16.252)
Google doesn't just have Google search and YouTube, right? It was the things people usually think about. They also have Google Chrome, which has massive adoption, as well as Google Analytics and Gmail. So they see whose list you're signing up for. They have Google Analytics, right? Google Analytics is installed on over 55 % of all websites online.

Chad Kodary (15:24.924)
Oh wow, yeah, I didn't think about that.

Yeah. Wow. Very true. Wow. That's crazy.

Aleric Heck (15:41.052)
they are tracking more than half the web. And by the way, those sites are also a lot of the main sites you're going to. So again, it's like if you actually look up like popular sites, it's probably even higher percentage than that. And so what you can do is take advantage of that and Google will literally let you target your competitors' traffic because it's on their platform. And so the thing is, is you going out and doing that and knowing that, and that's why like,

this is such a powerful thing is you can go in and target people based on that. You can also target complimentary sites, right? So, you know, another strategy and actually we've found oftentimes this might even work better. It's like, if this then that, if they have this software, they might be interested in this or if they go to this site, they might be interested in this, right?

So, you know, let's say there's different funnel designers or webinar softwares or whatever it is. And you're like, okay, well, if they're using this or maybe an agency, like maybe there's something else. And obviously you've got the agency software, but maybe there's something else that agencies are going to, another website that you know. Exactly. And then what you can do is build complimentary sites because one thing that is, and we've actually found, I'm giving, I'm spilling all the secrets right here.

Chad Kodary (16:41.818)
the mines already going on

Aleric Heck (16:52.796)
That's what we found is one of the best audiences because remember, if you're targeting the competitors, they are in a decision -making framework. So those audiences are really good. And it's cool to like take from the competitors. And it's kind of like a curve, right? It's like, that's almost to the degree where they are even more sophisticated, where they're actually, they are comparing different things. What we found is that if you do a URL audience or you do a custom search audience for kind of complimentary,

whether it be software or websites or maybe news publications they might read, whatever it is, complimentary sites, and you take that, that is going to be even better. One of the things we'll do is we'll target the URLs of masterminds. I know people are at these different, let's say, coaching or consulting or course masterminds, we work with a lot of expert -based businesses. Well, great.

I can go and target people that have been to those websites. And I know that they are a high caliber, you know, entrepreneur that is, you know, in these types of masterminds is my ideal client. And I can go and target them with my ads. And that is just a really, really powerful way to do it. You could do the same thing. You could target agency masterminds. You're an agency mastermind audience. Yeah, yeah, it's pretty, it's pretty cool. Yeah.

Chad Kodary (18:12.988)
That's the, you're spinning my wheels here right now like crazy.

Chad Kodary (18:19.42)
All right. So, so hands down, Facebook can do way more targeting. Uh, excuse me. YouTube can do way more targeting than Facebook. We get that right now. Talk me, uh, talk me through like the ad strategy, right? Because you can target great, but most people suck at creating ads, right? And then they don't get it to convert. I want to talk about the ad side. And then at the end, I want to bring it full circle. And I actually want to know, like, I'm sure you have like you've split tested, like,

same campaign, same videos on two different platforms and like, what are you seeing? Like the conversion rates, like, like, are you seeing the, where like YouTube is just absolutely like crushing it, like 50 % cheaper, better quality leads. Like, I'm just curious. We'll, we'll get to that towards the end. Let's talk about the ads thing really quick. So what, what's like the secret sauce to creating converting ads?

Aleric Heck (19:01.596)
Yeah. Yeah.

Aleric Heck (19:08.156)
So I will walk you through the baseline funnel that we have found just works the best. There is another funnel that you alluded to, which is kind of like the more warm people up. That is later. And with where you're at, I think that that can be an additional strategy you can do because you're also trying to reach like potentially colder markets. But before you even do that, I would do a direct funnel with an ad. Yeah.

Chad Kodary (19:33.436)
Can I say one thing really quick? One thing really quick, by the way, to add to what you're saying, like that strategy that we're doing, we're warming people up. We've been running it for two months and we found that it's a longer, way longer sale cycle for us. And now we're basically, I think we're launching it today or tomorrow. We're launching our low ticket $27 like, you know, liquidation funnel basically, right? To get people in and then sell them stuff on the backend. So just to add some context, maybe that's something that we can do on YouTube.

Aleric Heck (19:45.4)
Mm -hmm.

Aleric Heck (19:54.268)
Yeah, and that's one possibility there too. I will walk you through. So we have some people that do sell, you know, low ticket products on the front end. We had a funnel that we really ramped up ourselves. We got many clients that do that. You know, we got clients that run like every type of funnel. I will say that there's a proven funnel that just...

It's like, this is the tried and true. This is the first thing that we'll recommend on YouTube is you go from the YouTube ad and I'll walk you through the components of a winning YouTube ad script in a second. And you're obviously targeting that in front of the right people. We talked about what they're searching for, websites that they're going on, things like that. And I'll also touch on my software too, because that also kind of helps find some of those things. But basically, you're taking that ad, we'll get into the ad, we'll explain a little bit more of the targeting in a second.

Chad Kodary (20:28.154)
Yeah, please.

Chad Kodary (20:39.068)
Yeah.

Aleric Heck (20:46.268)
But that's, or we kind of did that already, but I'll talk a little bit about the software. But basically you're getting the ad for the right people. Now what we're doing is we're sending them, it's more of a direct ad. So actually this is a good opportunity to talk about the ad. So it's hook, educate, call to action. You want to draw people in, capture their attention, provide value. This is the biggest thing people miss out is providing value on the ad. It's very different than Facebook. Facebook, the goal is to stop the scroll, get them interested, get them to click.

And then what does the heavy lifting? Usually the sales page, the next page you send people to. That's also why sending, and you've got a good idea here, sending people to like a $27 on Facebook, that works well because that feeds into the Facebook mentality of scroll, scroll, oh, that looks interesting, here's a sales page, scroll, scroll, okay, that's interesting, buy now, impulse buy $27. That's what people do. It's like that's an element there. Whereas on YouTube, what are people doing on YouTube? They're consuming content.

They're looking to learn, they're looking to grow. And so if we just have a quick video that gets them to click a link to potentially buy something, it's not always going to be the best next step. No, it can be, you can do, again, I'm just explaining kind of the macro trends, but basically what we found works best is to go from the ad, and I'll walk through kind of the components of the ad in a second here, it's kind of started to the hook edge, get called action. The ad leads people to a very simple opt -in. Simpler the better.

Chad Kodary (21:57.754)
Yeah.

Aleric Heck (22:13.116)
we had we had a client that came to us. And before working with us, they had this really long opt in, and they're getting like 7 % you know, conversions. And it was just like, no, you got to you got to get this up. They literally got to 52 % conversions by basically taking away everything now, by the way, this is at a smaller scale. So it's, you know, we'll see where that but this just happened like two weeks ago, they hopped on the call, like I did everything and now it's like 52 % like, yeah, they rip.

Chad Kodary (22:27.772)
Peace.

Chad Kodary (22:38.684)
And when you say take away everything and super simple, are you talking about like name and email, nothing else on the page is title, name and email headline, name and email.

Aleric Heck (22:43.696)
Yep, title, name, email. And then if you're a little bit more sophisticated, phone number as well, if you have a sales team to call people, that will technically reduce the conversion rate, but it'll drive up the quality and it'll also give you a lot more opportunity to reach out to people. So exactly, it's just the headline, name, email, and phone number if you want, and then the submit button. And so the simpler, the better, and that's what's gonna get people to convert. And so then, then,

Chad Kodary (22:51.632)
Yeah.

Chad Kodary (22:55.9)
Yeah, 100%.

Aleric Heck (23:10.908)
that goes into an immediate access. We call it a video conversion training. Now, it's like a VSL, but it's a cross between a VSL and a YouTube video. It's like the hybrid. So in that, it's driving to an outcome, usually to book a call, book a demo, get a free trial, you know, or purchase a product or a course or whatever that next step is. But it's driving to an outcome, but it feels like an educational YouTube video. So it's about 15, 20 minutes long.

Chad Kodary (23:38.46)
Is that?

Aleric Heck (23:40.124)
Yeah, 15, 20 minutes. And exactly. So, and you're also talking to the camera, you're going through a flow of re -hooking them at the beginning, you're treating it like a YouTube video, you're then establishing credibility, then you're actually gonna be, you know, demonstrating and providing value, you're gonna educate them a little bit.

then you're going to start showing what's possible. So testimonials, case studies, then you're gonna lead to the call to action. Then you're gonna reinforce the call to action and have some subsequent call to actions as well. And that's basically how it works. It's like a cross between a VSL and a YouTube video combined inside of that funnel. And so that's what people are opting into. And then underneath you have a little pop -up button that comes at the time when you mention it in the video that pops up to book a call, book a demo, start a free trial.

whatever that next step is. Right, and so that's what we want to take people through is on that journey to get them to take action. So we found that this funnel, it converts really well because you're targeting people that have intent, you're now hitting them with the hook educate called actually you're drawing them in, you want to split test different hooks. So usually we'll recommend three to six different hooks you want to test.

The educate section, there's kind of two main strategies for this. You either wanna teach on one thing and give like an aha moment, or you wanna hit a few key points, a few key things they need to know, maybe some misconceptions, things they might be doing wrong, things they can do better, maybe little cool features of the software, whatever it happens to be, especially when it's software, what you can do is you can do a little bit of a mini demo of some of the big aha features. And then,

You get the call to action at the end, you gotta make it very simple. You can sign up here and I'm gonna show you exactly how this works, how this can change your agency and help your agency grow and scale. And so, hook, educate, call to action, usually about a three minute long video, 15 to 30 second hook, one to two minutes educate, that's what people get wrong, it's like you gotta have the educate section, and then usually like a 30 second call to action, all of that's together in that ad, and then that leads them to that opt -in page that then goes to the training video.

Chad Kodary (25:50.204)
What are you seeing? Cause we do, we've done tons of, um, similar format to a webinar, right? We've done a lot of webinars where we'll drive traffic and usually the conversion costs are between five and 10 bucks on Facebook. That's kind of where we see them floating around, right? What are you seeing on the YouTube space?

Aleric Heck (26:08.732)
Great question. So what we usually will see, and this has kind of evolved over time. So earlier on we were seeing lower cost leads and higher quality and better conversion slash ROAS on YouTube. Now we are at a spot where again, I always want to be transparent. Here's exactly what we're seeing. We're at a spot where we're seeing similar or even slightly more expensive initial conversions. However, the intent and the actual quality of the leads is

Chad Kodary (26:26.428)
Yeah, for sure.

Chad Kodary (26:35.504)
It's the biggest thing. That's the biggest thing that's worth. I I'd pay double for, I'd pay double or even triple for a lead. That's better quality because the, I can, I tell you, I see it all the time. I remember I'll give you a little story here to kind of back this data. Uh, we, we, we ran a challenge, which was a funnel freedom challenge, which I think you're actually part of, if I'm not mistaken, you were one of the speakers on the challenge. Yeah. They're like 20 speakers on the challenge. Um,

Aleric Heck (26:38.652)
far higher. I mean, how often? Yeah. Yeah.

Aleric Heck (26:59.1)
Yeah. Yes.

Chad Kodary (27:04.348)
And we ran Facebook ads. Uh, we had probably about, I don't know, like 1500 people sign up their Facebook ads and then another couple hundred people sign up through just us, you know, email blasting our lists and stuff like that. Right. But, uh, so we did all of that. Right. And then we did the challenge and the challenge was cool. We had a good conversion, all that stuff. Right. And then after the challenge, we tried to evergreen it. We tried to treat it as like a webinar, right. Where we drove, you know, an ad, very similar, like ad, we sent them to a landing page.

they would register for and they would instantly go into challenge fuel, which was like, it was instant. They'd be right in the challenge day one, right?

Chad Kodary (27:45.34)
So we did that and then I call, I was like, dude, we're not converting something is off here. Right. And I ended up calling. I was like, you know what? Screw it. I'm just going to call like 50 of these people and I want to like see who they are. Right. Cause it's so hard to tell when you're getting leads, like you just see emails. You don't know who these people are, what they do, what their intent was. Right. What I realized was every single person, almost every single person, um,

that signed up was basically a person in like the biz op space where they had no business. They had no clue about anything. They had no money to spend. They were looking for an opportunity to like start there, basically start their own. And it was like, we're, we're targeting wrong. Like it was a targeting, like we're not targeting the right people or either that, or Facebook is giving us like really low quality leads. We're getting really crappy leads on Facebook. So that's why I told you like, dude, I would have paid double for those leads because when we did the live version,

Aleric Heck (28:26.446)
Thank you.

Chad Kodary (28:41.788)
And then I went back by the way, and I was like, well, we converted really good when we did the live version, which is strange because we targeted the same people when we were doing the signups. And then I went back and I saw that like 90 % of the people who bought were people who already knew about Dask, they were already in our world. It came from our email blasts and stuff like that. It was people that, that were users of Dask, right? It wasn't from the cold audience. Right. So.

You're saying that what you're seeing right now, basically, you lead costs is either fluctuating the same or maybe even a little bit more on YouTube, but the quality of the lead and the intent of the lead is way better. And I'm assuming it's because the targeting is 10 times better because you're connecting your product with somebody who really is might be at the breaking point of like whipping their credit card and making that purchase right there on the spot. They have the intent to actually make a purchase versus not, you know, seeing what their friends were doing for dinner yesterday, right. And scrolling through Facebook.

Aleric Heck (29:36.604)
Exactly, you're getting the targeting based on what people are actually searching for, websites they're going on, the fact that this is an agency. There's also targeting where you can just do in market audiences or affinity audiences. That's a little bit more broad, but you can target people with specific keywords like marketing agency, and you reach all the people that Google knows potentially has an agency. But what you want to do, exactly, that's pretty powerful too. It's like, you know, it's kind of like, why doesn't Facebook and other platforms let you do that? It's crazy, but here's another thing.

Chad Kodary (29:39.158)
Wow.

Chad Kodary (29:54.588)
We tried that. That was hard for us.

you

Aleric Heck (30:05.084)
This is gonna blow your mind. Actually, you might have seen me talk about it when I did the challenge, but household income targeting on Google is far more accurate than, you know, so Facebook has kind of like, it's like a fake household income target. It's like zip code. It's like basically you can reach the top percentage of zip codes. It's like, all right, well, I'm just reaching like everybody in like a random zip code in California or in a big city or wherever it is. That's different than what Google does is they look.

Chad Kodary (30:18.332)
It's not good. Yeah, it's not good.

Aleric Heck (30:33.468)
to determine household income. And it's like scarily accurate. So what you can do is target top 10%, 20%, 30%, usually for a higher end thing, I would say at least like 30%. But you can really even go all the way up to top 10 % household income.

Chad Kodary (30:45.262)
you

audience of that specific you layer that.

Aleric Heck (30:50.588)
of the audience, you layer it. And here's the thing is like, how is Google getting all that information? Well, they're doing it based on the individual. So it's not zip codes based on the individual. Remember, they have Gmail. There's a reason Gmail is free. It costs billions of dollars. They're getting all your receipts. They know what you're spending. They know what you're doing. They also see all the conversion data of any site that has Google Analytics or Google Ads set up. So they know what you're buying. So they have all this information. They know what...

you know, what operating system you're using, all of these things go together to help understand and build a profile. Is this person potentially in a top income bracket? Now, is it perfect? No, I'm not going to say it's perfect, but it's really good. Especially that top 10 % is what we found. So if we layer top 10 % with some of these things about either them being a marketing agency or looking up agency -based keywords or going to your competitors or complimentary sites, now we're starting to build a real profile here.

Chad Kodary (31:37.052)
Crazy.

Chad Kodary (31:48.91)
you

Aleric Heck (31:49.212)
And then we're reaching them on video with YouTube ad. That's not the same as stopping like the scroll. They're actually seeing you, hearing you. They need to watch the first five seconds before they can skip. Then they make a determination. Do they want to keep watching? By the way, if they skip, it's teaching the algorithm who's not interested. So you can find more people that are interested. Exactly. So it's a little bit. Yeah. So I will say that used to be the case. It's still kind of, but it's, it's a little bit different now. So.

Chad Kodary (32:04.476)
You don't pay if they skip, right? If they skip between, I think it's 30 seconds, right? Is that what it is?

Aleric Heck (32:19.004)
Now it's either 10 or 30 seconds. It depends on the type. Like there's, there's other factors involved. So for a long time, that was the case, especially when it was content targeting. Um, but just to clarify now it's, it's kind of more of a blend, um, just as Google has kind of shifted things over time. So just clarify that said, it is taking into account who is skipping and who's, who's watching. And so we can actually go and target and reach more of those people that are actually watching.

Chad Kodary (32:25.18)
Got you.

People used to take advantage of that.

Aleric Heck (32:48.124)
and driving them, you know, and of course driving them to take action. And then you can set up a complex, you know, retargeting apparatus on the backend to retarget people. So that's the main funnel. I'll really quickly touch on the other funnel. So you can do something similar to what you're talking about on Facebook. The YouTube equivalent is with in -feed, formerly known as discovery ads. They used to be called discovery ads, now they're called in -feed ads on YouTube. But essentially what these ads are,

Is there ads that appear in search results or is it a suggested video on YouTube? You've probably seen them, you know, it's very different than the ads that appear in front of other videos. That's what we've been talking about this whole time. Ad pops up, five seconds to skip, people watch it, they click a link, they go take action. These in -feed ads are a fraction of the cost. So the cost per view oftentimes is a fifth or a tenth the cost. By the way, you can still target top income brackets on this. So imagine targeting marketing agency, top income bracket.

Chad Kodary (33:34.012)
Really?

Aleric Heck (33:46.044)
with these in feed ads. And now you can take a video, you know, actually works great podcasts. So you could take podcasts just like this, or you being on a podcast, or even just a long form kind of demo. And you can capture and you have like a title that appeals to agencies, a thumbnail that appeals to agencies, you're targeting agencies, you're targeting top 10 % bracket. And then you're going and running these as an in feed ad. So it appears in search results. Maybe they're looking up like agency podcast or whatever.

Chad Kodary (33:53.916)
Really?

Aleric Heck (34:14.79)
or it appears as a suggested video. Maybe they're watching another podcast, you can pop up a suggested video and they click it. And instead of going to your site, they go to the YouTube watch page. It simulates them naturally watching your video. Then they can watch that video, they can like it, they can comment, they can interact, they can subscribe, they can click the links in the description. But now you're growing people that way and then you can target anybody that watches your videos. Or let's say you don't want to just target anybody who watched.

You could target people that like the video or people who subscribe to your channel showing more intent with a retargeting ad to send people further down the funnel. Ultimately, we do recommend for a lot of our bigger clients to set this up. That said, like you're saying, it can take a longer time. It's a longer cycle. So this is warming people up. This is usually a strategy we tap into once people have really scaled their main funnel.

Chad Kodary (34:44.308)
you

Aleric Heck (35:09.788)
And now they're at a point where they want, okay, I want to reach more people, I want to start warming more people up, in addition to tapping into the three to five percent of people that are always kind of ready to buy, ready to go.

Chad Kodary (35:26.524)
Facebook site.

do what's called like.

Chad Kodary (35:37.628)
like lead opt -in costs to, uh, to getting somebody to either opt in or make a sale to average order value through your funnel to like all of these fun things and just how big like the whole strategy. So people can take this and look at a 10 ,000 foot view. Now I, I, I think at one point I bought something from you. I don't know what it did and what it was. It was a YouTube ads training. It was one of your lower ticket offers for sure. It was like under a hundred bucks. I think, right. Um, what, what was that called? What was that funnel that I went through?

Aleric Heck (36:05.02)
master class so I can walk you through the master class. Yeah.

Chad Kodary (36:07.26)
Yeah. Let's walk me through that. Cause I personally went through that funnel, right? So it would be cool to see like the back, like the behind the scenes of it. So like, what was the whole strategy behind that funnel and like what were like the conversion costs and all that stuff in between.

Aleric Heck (36:11.1)
Yeah.

Aleric Heck (36:21.98)
Yeah, yeah, so I'll walk you through all of that. And we also have our video conversion training, kind of like the VSL style funnel that we run as well. We also have a PDF funnel that's doing pretty well. It's actually, I call it Trojan Horse PDF, because they opt in for the PDF, and then they see the video on the back end, and that drives the calls. So just to clarify, that is what we run a lot of right now. But the master class, we really ramped that up. And that was more like a, about,

a year to two years ago, that was our top funnel. Right now, it fluctuates. We had a webinar top funnel, we had that as a top funnel, we have VSL top funnel, and now actually it's like, what's old is new again, the PDF kind of Trojan horse is one of our top funnels. But those aren't.

Chad Kodary (37:01.692)
Do you usually run like one funnel at a time and then just scale that up or your just main focus is just one funnel or sometimes do you run like two or three?

Aleric Heck (37:08.412)
We have multiple funnels, but we'll usually see which one's performing the best and then really ramp that up. It's a combination. It's like you, you want.

Chad Kodary (37:13.84)
Got you.

Aleric Heck (37:16.06)
to have multiple funnels, but if you have one that's significantly outperforming, you scale it. The other thing though too, is I think that as you get to higher levels of spend and you're spending, you know, like millions of dollars, right? Which is obviously like, like what we, and you know, like, like people, like, like, and when you're targeting kind of a certain group, like with us, it's a lot of coaching, consulting expert businesses, for you it's a lot of agencies, right? As you get to a certain point, you kind of need to shift strategy a little bit to keep it fresh because,

at a certain point, your costs are going to go a little bit up because there's a macro effect of diminishing returns. There's always more people you can reach, but there's kind of like, it's like a promotion, right? It's like you want to, you want to go where things are really working, double down on it, but you want to work on what's next, right? And so that's, hopefully that explains, especially when you're operating at like higher levels of spend. But with our masterclass, that's an easy one to break down because that was like our paid funnel that we really ramped up.

Chad Kodary (38:03.068)
Yeah, 100%.

Aleric Heck (38:11.42)
Essentially, it worked with a YouTube ad that drove people to a page, long -form page with a video that sold our $47 YouTube ads masterclass. And that masterclass would...

Chad Kodary (38:22.332)
That's what it was. That's what I bought. Which was great, by the way. Phenomenal product.

Aleric Heck (38:25.372)
Oh, thank you. I appreciate it. Oh, thank you. I appreciate that. Yeah. And, um, and so, and so it was like a three hour long masterclass of dove into like everything, like walk them through and essentially like I wanted to provide massive amounts of value. And at the end, it actually led people to booking a strategy call, complimentary strategy call. And then ultimately we want to enroll people into our, our full training program. Some people might be a fit for us to run their ads, but you know, usually like the training program is kind of the next like thing. Um, and so essentially.

Chad Kodary (38:32.602)
Yeah.

Aleric Heck (38:54.524)
It's $47. We fluctuated over that period of time. The average was around $125 AOV because we actually had a pretty good, we had a bunch of, you probably remember a bunch of like upsells. So we had an immediate bump and we had, you know, a, we're actually retooling and other things. By the way, the reason I'm talking past tense is we're not actively running that particular funnel. There's other funnels that we're still running. We're building out a new low ticket.

Chad Kodary (39:06.46)
Yep.

Aleric Heck (39:22.586)
new low ticket that we're going to launch and scale. We kind of sunsetted that one like last summer -ish was like was I think the yeah when we when we did that so anyways just just to clarify why I'm talking about. So we had a $37 bump and we split tested this and so we wanted to see like what's the maximum we can have with a bump with around an 80 % take rate and it fluctuated depending on the you know because there was a few different different

Chad Kodary (39:33.212)
Sure, sure.

Aleric Heck (39:52.264)
clones of the funnel based on like what we were targeting. So some was a little bit lower, some was a little bit higher, but in that like 70 to 85%, but the average was around 80 % take rate on that. And the reason I know that is we split tested a bunch of different things like how high could we get it? How low? A lot of people might have a 27 on a 47. We also split test the 47 versus other costs and 47 was the best. Yes, more people buy it at 27, but the economics work better at 47.

Chad Kodary (40:12.206)
you

Aleric Heck (40:21.084)
97 for whatever reason is to get close to $100 drops off. So it was basically 47 plus plus 37. And the vast, vast majority of people do that to such a degree to if people didn't buy the $37 upsell. We knew that like that's not really a lead we even want to like call, you know, because it's just it's like, well, why would you not buy that upsell? So the upsell had like seven additional trainings.

And so it had our Omnipresent Retargeting Training. It had our YouTube Ads Script Writing, actually no, no, sorry, that was a separate one. Omnipresent Retargeting Training, it had our, oh, the In -Feed Ads Training, so how to grow your YouTube channel with ads and how to kind of do those bucket ads. So basically there was like seven different trainings, kind of listed all the different trainings. So add seven trainings for $37. They just bought one big masterclass, add seven trainings, basically everybody did it.

Chad Kodary (41:13.532)
So, so 47, just to break down context for everybody. So as you land on the landing page, there's a $47 core product. And then as you're checking out, there's a $37 little order bump that you take it off and it just adds it onto the total, right? For checkout. Yeah.

Aleric Heck (41:16.732)
Yeah.

Aleric Heck (41:26.684)
Yep, before checkout. And so then exactly. So then people would see that total, you know, that kind of total total cost, you know, basically added up there was like 80, you know, for whatever it was like, yes, I'm like,

Chad Kodary (41:36.07)
It's amazing, dude.

Chad Kodary (41:40.572)
Yeah, 70 80 % of the people would take the bump and then when they purchased you would bring them to an OTO page. What was that?

Aleric Heck (41:47.26)
Yes, so then the next.

Aleric Heck (42:01.532)
YouTube.

YouTube ad script writing process. So we would basically walk them through, here's all of our scripts, here's our whole process, here's how that works. So we would take people then to a 297. I don't remember exactly what the take rate was. It was higher than 20%, less than, it's like between 20 and 30%, somewhere in that range. So we'd have a good number of people take that. And that was basically, it's like, hey, we're gonna show you everything you need to know about your ad, but if you wanna know exactly how to script it, if you wanna have the exact templates that we use, here's exactly how to script it.

Chad Kodary (42:21.436)
So great, yeah.

Aleric Heck (42:34.94)
then you can go ahead and buy this for $297. Then after that, we did go to another, another,

Chad Kodary (42:39.578)
Another OTO.

Chad Kodary (42:44.282)
People are always ashamed sometimes. And with the OTO stuff. And I'll just tell you a really quick funny story. I had Jason Wojo on, uh, who runs a lot of low ticket stuff. And I remember I was telling him, I was like, dude, I bought one of your low ticket products. I love funnel hacking. I just pay people and go through it. Cause I liked the strategy. I'm a nerd like that. And I was like, dude, you had like six OTOs in your funnel. And then on top of that, if I didn't buy the OTO, you had down sells. I was like, I was like 13 pages deep inside of your funnel. It was nuts.

Aleric Heck (42:50.684)
you

Chad Kodary (43:14.14)
He's like, yeah, but it works and it brings my average order value up. And those are the economics that I need to make my funnel work. So like people sometimes are so scared to add these one time offers in every single one of my funnels at minimum, we have at least one order bump and two OTOs minimum, or we will not build the funnel. Every single one of our funnels have it right for our lower ticket funnels. So go ahead. So you, so you had your second OTO page and what was on that page?

Aleric Heck (43:40.028)
Yeah, so the second OTO, that was the one that we swapped out several times. So everything up until that point was like 100 % tried and proven and worked really, really well. The kind of last like OTO that we had there, and we had a down sell on both of these OTOs too. So the 297, the offer was to split it into three equal payments of $99 with no interest. And we had a relatively high take rate on that too.

Chad Kodary (44:03.27)
genius.

Aleric Heck (44:08.572)
And then we tested a few different things. So at one point we had, so then from there, ultimately we kind of landed on our software, which actually I'll get to in a second, which is kind of like between 97 and like 297 a month. Yeah, so that would be like going into like a free trial, like just kind of leading people in that direction. But we had, we had,

Chad Kodary (44:24.124)
You have free trial there? Is that what you did?

Yep, that's what we do for DashClicks

Aleric Heck (44:34.332)
an omnipresent retargeting training for 497. That was I think the longest so we would have like more in depth omnipresent retargeting. And that did well. It was also I think that that was like dope. With that, it did well but the take rate wasn't quite as as there we also had like a 997 for just a full like, you know, YouTube ads kind of beginner course that had a higher take rate and had a higher AOV.

but it cannibalized kind of backend like stuff. Exactly, so you wanna bring people into the high ticket offer even though, you know, obviously there's more, it's helping you, all that stuff. So ultimately, the omnipresent retargeting one was one we had for a while, and then we also had, you know, just kind of directing people over to the software. And then at one point actually what we did right at the end, because then we just started directing people to software inside of the training,

Chad Kodary (45:05.116)
whole high ticket offer.

Chad Kodary (45:11.324)
Yep.

Aleric Heck (45:32.732)
What we did towards the end was we would just have people go directly to book a call, which actually, honestly, was the best. It's not gonna have the highest AOV, but it was the best in turning into, I mean, technically AOV with the backend, right? But in terms of the low ticket sale, potentially takes away from that, but it drives more in the backend sales. So ultimately, that last piece we split tested, and it just depends on what the goal is, maximizing AOV or driving.

Chad Kodary (45:55.004)
back in and you're eight.

Aleric Heck (46:02.556)
more high ticket sales for us it was more high ticket.

Chad Kodary (46:05.02)
And your your AOV on the whole this whole funnel just you said it was 120 but was that what it was you said? Yeah.

Aleric Heck (46:11.068)
Yeah, it was like $125 kind of blended over time. So it fluctuated between 100 and $150. And 125 was the baseline KPI that we did. And then typically, so obviously, like a lot of these types of funnels early on, we were making money on the front end with that, which is great. So early on, we were doing that. Then we were running at break even. And then when we really started to blitz,

Chad Kodary (46:21.39)
Okay.

Aleric Heck (46:39.164)
we scaled PathBreak even in our kind of break point where we kind of like would not scale beyond was basically kind of spending, and again, this is breaking out a run I was like, spending about $250 to get the 125. That was our maximum allowable when we really blitzed up. And at that point we were selling, you know, like a thousand units like a month at that like, at its peak scale.

Chad Kodary (46:49.532)
Yeah, I love this stuff, dude.

Like, yeah, so you're liquidating like 55, 50%.

Aleric Heck (47:06.94)
we crossed over a thousand we didn't we didn't we never got to 2 ,000 units on that one but um we crossed over like a thousand units at that hey we're willing to spend double what we're making here because we're gonna make far more on the on the back. Exactly.

Chad Kodary (47:18.524)
Yeah, you already knew that it was working on the backend. So a couple more questions. So let's go back to when let's say you were scaling it right. And even at the $250 to the way that I look at it is to acquire a new client, right. Um, and then sell them stuff on the backend. Um, how much were you spending per day at like, kind of like peak scale? Oh, actually let me rephrase that question. What did you, what do you usually start when you like, you have a funnel that you're launching, how much you start spending and then what did you actually scale it up to on a daily basis and ad spend?

Aleric Heck (47:46.492)
Yeah, so normally what I recommend, and it's gonna depend, but typically I would say my favorite to start would be, but again, this is gonna depend on the people. So if you're like, if you're just starting to go into YouTube, the absolute minimum would be.

$25 per day per campaign, at least two campaigns, you always wanna be able to split test. So I tell people, it's like, you gotta be willing to at least put in 50 bucks a day to dive into YouTube, just because $25 underneath that, you're just not gonna get the level of like optimization that you want to get a few leads. You know, you optimize for leads in the front and then you start optimizing for backend stuff. By the way, on a funnel like this, that's like sale -based, you're gonna need to spend more, so I'll get to that in a second. But I'm just.

Chad Kodary (48:29.852)
More than that, yeah. So what do you start with?

Aleric Heck (48:32.988)
So, and this is like more for the classic funnel that's driving like more to like a training and to that. Typically, we'll like to, with the classic funnel, start with like $200 per day, $50 per day per campaign, right? So essentially, you would run $50 per day per campaign on a traditional like kind of, you know, VSL style funnel. So it's about $200 per day. So that's typically where we like to start a lot of our clients around there.

Chad Kodary (48:46.044)
Gotcha.

Aleric Heck (49:02.204)
when you're running this type of funnel, you need to make sure that you can get at least one conversion from those ads. So in terms of that, you know, we obviously, we scaled pretty quickly. So I don't remember exactly where we started, but those campaigns, we'd always spend at least a hundred dollars per campaign. And like when you scale them is when it would get higher to that, but it wasn't necessarily like it was 250 from the beginning. I think that what we were doing is we always start the campaign with around like,

looking for like an earlier 2X, but then as you scale it, that's when we're like, okay, this audience is working, we're gonna scale this, so it's like the opposite. So it's like, initially, you know, we might wanna spend, you know, 50, $75, let's say, you know, $75 to get like $125, you know, AOV, but then there's only so much you can scale that before it starts like, oh, okay, now it's like, kind of this game more expensive, game more expensive. It's like, all right, is this an audience that's converting on the backend? It is.

Well, let's keep scaling this to get it to such a spot where, you know, this is getting into kind of nuance of like hyper scaling. So with those, yeah, you asked the earlier question, how much did we scale up? Like with that, you know, the peak month on that was like a little like 400 ,000 in ads, but that included some of the other funnels and stuff. So probably like 300 on that. Yeah. And then.

Chad Kodary (50:03.452)
Like for us? Yeah.

Chad Kodary (50:24.572)
Great, man. Like.

Aleric Heck (50:26.14)
And then in that like 1000 to 1500 like unit, like I talked about like in that kind of, at that peak level. But again, it's hard to maintain that level of spend in a market for an extended, extended period of time. However, what you wanna do is you wanna test different things. I have found that these low ticket products, probably similar to challenges and other things, have a faster lifespan than trainings, VSLs or PDFs.

Chad Kodary (50:30.588)
for us.

Aleric Heck (50:55.26)
And I think the reason for that is there's just a much lower barrier for people to say, yes, I'm going to sign up for that. There's always new pockets you can reach. Whereas products, one of the things that makes them great is speaking specifically to an ideal client and then capturing as many buyers as possible. But it really is tapping into the market that's primed right now versus if that's like the extreme of product awareness.

Chad Kodary (51:00.788)
Yeah, that makes sense.

Chad Kodary (51:14.652)
you

Aleric Heck (51:22.492)
you work your way backwards, it's like in the middle, it's like these trainings. People are like, wanna learn, and then you can take them to a call to become a client. And then at the very like, kind of like cold, like low levels of awareness, that's where, you know, you have kind of the YouTube funnel, you're getting them to watch the content, then you're getting them to convert and go from there.

Chad Kodary (51:40.38)
Yeah, dude, for us, like all I'm trying to do, especially with this new low ticket funnel that we're going to, we ran this low ticket funnel before we actually.

Chad Kodary (51:49.468)
I just, I don't even want to make any money on the funnel. I just want to break even like that's my goal because at the end I want to get a software subscriber because we're giving them a 30 day free trial to our software, which is included in that low ticket purchase. So if they continue, hopefully they'll pay us $99 a month after that for hopefully however long, right? So that's like my goal for this whole thing. So even if I spend 400 K, like if I can get back my 400 K or even get back, I'll be honest with you, 200 K, which is like what you were said that you were doing at one point, like,

I know that the backend for me, I'm going to make it up in software sales and education. So one thing we didn't touch out, and then we'll close out the call here because I know we're running out of time. So you went through your whole funnel, your backend process. So like you were spending 400 K a month, right? Uh, and you were at that point, probably at that scale was costing you about $250 to get $125, whatever $50 sale through your funnel. So you were getting, you were liquidating half back basically.

to get this new lead on the backend that we would call, right? What were you selling? What was your, what were you selling on the backend and how did those numbers kind of make it allow you to lose 50 % of your ad spend to make it up on the, on the backend?

Aleric Heck (53:02.204)
So selling a high end coaching and implementation of YouTube ads. So since then, we've added more with kind of our fractional media buyer opera, we run ads for clients. At the time, we really focused just on training and education. Now we have kind of a range and we have our software too. So we got to have more of a suite now. At the time, it was mostly the training process, but it wasn't just.

teaching, it was also like helping them set it up. So we would write you two bad scripts for our clients. We would then go and help them set up their campaigns, show them how it works, help them optimize and scale and empower them to learn and do it. But having us there to help them set it all up, write the scripts, help them make sure their funnels set up the right way. It's basically a full overall.

Chad Kodary (53:39.898)
I get done with you.

Aleric Heck (53:44.316)
you know, process to help them get consistent leads and sales, especially targeting, you know, coaching and consulting, you know, type businesses and expert based businesses. And, you know, on the back end, again, like it varied, you know, packages ranging at that time, you know, from 10 ,000, like 100 ,000, it just depended on the size of the business. And so you could tell like, with things like that, and obviously the majority is on the on the lower end of that, but, you know, in terms of sales, but every similar to.

AOV and your OTO is like, you're going to get the people that are bigger clients and spend more. And so all of that made up for like, you know, more, more than made up for, you know, any amount that we were spending. So essentially, it's like, you've got your gross spend, and then you've got your net spend and you look at the net spend.

Chad Kodary (54:30.428)
Gotcha. And what do you take on? Are you taking on clients right now for your agency side? Do you take on clients or is it mainly?

Aleric Heck (54:37.308)
So we do, when we have spots open right now, we do have a few spots open. I think we have like three open right now. What we do with that is we have a fractional media buyer where we, instead of the traditional agency model, right, you know, with the account manager and a lot of different media buyers, which I know there's a lot of agencies on here, you know, which is great, it's a tried and true model. What we do is we'll train businesses. We also train, you know, different agencies in the past.

Chad Kodary (54:56.41)
Yeah.

Aleric Heck (55:03.814)
What we want to do is something different. So we take a top media buyer for YouTube ads, and we want to work with companies that are specifically interested in YouTube ads, and they only work with a certain number of clients, like up to eight clients, and then they can go and run and be the fractional media buyer for our clients to run their YouTube ads. So we have a very high touch, high caliber YouTube ads offer. I'm not looking to be like an everything agency. There's probably a lot of listeners right now, but that's what you do, which is awesome. And there's a need for that, and a lot of people need that.

Chad Kodary (55:26.268)
Yeah. Yeah, there are.

Aleric Heck (55:31.772)
What we wanna do is work with businesses that are like, hey, I need YouTube ads and I want the top person. And it's like, you know, I don't run it for people anymore, but the next best thing is one of my top people and having them be a fractional person, right? So, you know, it's the next best thing to me personally having done it is like one of my top people running those ads for a company.

Chad Kodary (55:51.548)
Yeah, dude. All right. I love it. I know we went over. It was worth it. I don't care. I took your time. Guys, Alaric, heck Alaric, if somebody wants to.

Aleric Heck (55:56.284)
Ha ha!

Aleric Heck (56:05.5)
Yeah, absolutely. So you can, I've got a gift for everybody who is listening and watching. You can go to addoutreach .com slash gift to get my 19 page YouTube ad strategy PDF, walks you through step by step how this works. You can go to addoutreach .com, A -D -O -U -T -R -E -A -C -H .com slash G -I -F -T, addoutreach .com slash gift, and you can get the full YouTube ad strategy PDF. You can also follow me on YouTube, of course. I'm also on every major social media platform, but YouTube, I post a lot of content every single week.

providing value on YouTube ads and my software. We didn't get to dive into that as much, but does AI ad targeting for YouTube and Google ads is especially relevant for agencies. So, you know, there's an agency plan coming out soon. You can go to keyword search .com. It's literally just like it sounds keyword search .com and get a five day free trial.

Chad Kodary (56:51.74)
Love it, man. Thank you so much. Appreciate you, brother. And I'm sure we'll have you back soon. We'll have another episode talking all about your software. We'll have some fun, man. Thank you so much. Have a good one.

Aleric Heck (56:57.892)
Awesome. Thank you so much. You too. Bye.