Lori Taylor has more than 20 years experience in real life Fortune 50 Branding and sells physical products on Amazon and focuses her marketing off Amazon. Lori drives cold traffic to video sales letters and is in a very competitive market. During this episode of Freedom Fast Lane, Ryan Daniel Moran deconstructs Laurie’s business model and talks about how scale up using old-school tactics.
Lori’s avatar is the same but the product she was using to attract customers was specific. She was sending Facebook adverts to a video sales letter that was an educational video selling a premium dog food. This allowed for $50-60K per month but didn’t facilitate the ‘hockey stick’ growth. Lori decided to release a mass-market product, which was sold via retargeting to the people who couldn’t afford the first product. This was the point where the brand moved into high gear.
The Trip Wire Model
The mass-market product was sold as a ‘trip wire’ for less than $10 that lead to an average order of more than $60. This model can work if it makes sense for where you are going.
It’s Not All About the Email
Just because you brought someone on from Facebook, doesn’t mean it has to do with e-mail. Lori has more than 100K customers and a 30% open rate on e-mails. However, 60% of her business is done over the phone. Many people will let you communicate with them via email but don’t actually buy from e-mail. Lori figured out that people were quick to buy from the Amazon ‘buy’ button on the website and liked to use PayPal.
Lori had 30K customers and Orapup had 100K customers so Lori bought the company and in the process bought the customers. The transaction took place in 10 days and Lori was able to pay for half the company in the first month.
Until you get Facebook maxed out, going over to YouTube is just a distraction as it spreads you thin. Orapup had 35M views on YouTube and was the number one pet channel on YouTube.
Major Pivot Points
Very few companies that do well in fulfillment also do well in customer service. Lori was outsourcing the same company for both services, which didn’t go well, and made the decision to bring the customer service element in house.
Building a Brand & The ‘Why’
This has nothing to do with tactics and your logo. What matters is that everything is connected. Spend the extra money on branding your product. So many people miss their ‘why’ in business. In fact, companies often buy the ‘why’ and not the ‘what.’
Your Three Words
You should know what two or three words you own in your space. If you don’t know then how will your customers know? In order to figure out your words you need to know the ‘why.’ Your words don’t have to be your unique selling point but rather what you want people to think of your brand.
Links to Resources:
Start With Why (book)
Scaling Up (book)
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