There are different levels to the game in running paid traffic on Facebook. Some brands spend $5k a month on Facebook Ads while others spend up to $10k per day on the platform. The media buying tactics and strategies that one deploys at those levels of spend may be different, but the overall goal is going to always be the same for any buyer or marketer who knows what they’re doing. Matthew Sierawski, the founder of Legend Marketing, pulls back the curtain on what it takes to really drive growth for DTC E-commerce brands in 2021.
Over the past 6 months Matthew has generated well over $880,334 in sales on Facebook for one of his clients using just 3 key fundamentals. At Legend Marketing these fundamentals are taught and preached company wide to all of his staff members and used across all of his client accounts. Just over the past two years Matthew and his team at Legend Marketing have managed well over $2,000,000 in Facebook ad spend alone while maintaining a 2x – 2.5x return.
Here are the 3 key fundamentals:
1. Focusing on ROAS is a joke.
You hear so many marketers make huge ROAS claims and give the wrong expectations. Many have to understand that ad buying on Facebook and expecting anything above a 4x – 5x ROAS is a 90th percentile outcome on Facebook. It will set everything and everyone up for failure if you have these expectations right out of the gate.
A company needs to find a way to win at a 2x – 2.5x ROAS or lower to really be able to win at the game. Matthew states, “It’s great that we as an agency are able to generate 6 figures a month for our clients but you should see how many times these new customers that we are able to generate come back and buy products. It’s all about generating as much cash flow as possible after the first transaction with proven, sticky products that consumers are addicted to.”
2. Long Term Customer Value.
Long term customer value is where it starts at Legend Marketing. Their ad buying team segments all of their clientsproducts and only promotes SKUs that drive the longest term value. If a DTC brand fails to have the proper retention systems in place such as email marketing, SMS, value driven follow-up, etc. they won’t ever be able to truly scale. Legend’s play is to generate new customers at the lowest possible cost per action while getting them to come back month after month to buy new and more products; that’s where the true profit is.
3. Ad Account Structure & Consolidation.
Legend Marketing operates with the mindset of “less is more”. Ensuring that ad accounts and campaigns are getting enough data is critical to mission success. Legend Marketing only leverages CBO campaigns and uses the least amount of campaigns possible. Matthew believes, “What we want are ads getting as much data and conversions as possible. Running dozens of campaigns is a costly mistake. Run 2 – 4 campaigns max, make sure your budget and audiences are allocated for scale and you will be set.”
Matthew and his team are certain that Ecom brands who use these fundamentals will have the best success on the platform; every single time. Matthew recommends to focus less on ROASand focus solely on what’s being added to the bottom line for your brand.
Legend Marketing specializes in Facebook Advertising and scaling brands.They do it in a way that is a win-win for both Matt’s team and the client. When you think of agencies pulling in large numbers for clients one may think of large retainer costs associated with it – that’s not the case for Legend. They only charge a very small upfront monthly cost + a percentage of the returns that they drive. The clients they work with only pay for what revenue is produced.
If you’re an e-com brand spending at least 50k per month on facebook or your business is making an annual $2,000,000 – $30,000,000 per year and looking to really scale, then set-up a call with Matt and his team at Legend Marketing.
Learn more, visit Legend Marketing
Or connect with Matt on instagram: @mattsierawski