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Tuesday, May 7

Tuesday, May 7

Crys A.
May 07, 2024

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Hi there!

Hope you guys had an amazing start to the week.

We’re excited for the upcoming webinar hosted by Sai on how to fix your paid ads tomorrow at 10 AM EDT. Sign up here if you haven’t already.

Let’s talk about Ad-Landing page relevance
Ibrahim’s Nuggets: Pricing Strategies
Top 3 Latest News: Metaverse ecommerce to become a $200 billion industry by 2030 and more

Let’s get into it👇

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AD-LANDING PAGE
Let’s talk about Ad-Landing page relevance

I asked a client, "Does your landing page speak the same language as your Meta Ad?"

Client: "I have a fantastic Hook rate, Hold rate, CTR and LPVR, but my ATCs are sub-par."

Client: "Err, actually, we focused on making brilliant ads."

Many Media Buyers/Business Owners commit this mistake.

From a fantastic ad that keeps the audience engaged for a minute and then leads them to the worst-ever landing page.

"🤬 What do you mean by worst? We purchased the best available template on Shopify."

Good Point!

When I say worst-ever, I mean in terms of ad relevance and not in terms of design or copy.

Just imagine,

You’re launching a new flamenco red shade lipstick with Free Shipping for first 30 buyers on your ads, but not on your landing page, isn't it the worst-ever mistake on the landing page?

"But Sai, isn't that common sense?"

Of course, it is. But common sense isn't common in most ad accounts we audit.

After reading this post,

I'd urge you to review your ads and check the number of keywords in each ad from the landing page.

Unfortunately, we have no formula to measure creative relevance score before you publish an ad on Meta.

Quick Note, While writing ad copies, have your landing page open on the side and pick your text-overlay keywords from the landing page.

IBRAHIM’S NUGGETS

A strategy that has the potential to turn around your sales drastically with the bare minimum effort — pricing strategies!

Hi, there!

If you’re a Marketer or sell something online, you can’t afford not to read about copywriting. Today, we’ll talk about some pricing strategies that you may have seen in places such as McDonalds, theatres, etc.

Anchor Pricing: This strategy involves showing a higher priced item next to a similar, but lower priced item. The presence of the higher-priced item serves as an anchor that makes the lower-priced item seem like a better value in comparison. This comparison can make the lower priced item more desirable to customers, as it appears to offer a good deal relative to the higher-priced option.
Example: A software company might offer three packages: Basic for $10/month, Pro for $25/month, and Enterprise for $50/month. Most people will choose the Pro package because it seems like the best value

Decoy Pricing: This strategy involves adding 2 decoy options that is intentionally less attractive to drive customers towards the more expensive third option.
Example 1: For instance, a magazine subscription might offer online-only access for $5/month, print-only for $10/month, and print + online for $12/month. Most people will choose the print + online option since it's only slightly more expensive than print-only but offers more value.
Example 2: You can find this pricing strategy being used in the theatres as well, where the pricing for the Pepsi can be as follows
- $5 for small size pepsi
- $5.5 for medium size pepsi
- $6 for large size pepsi
- When you compare medium with the small, it’s only 50 cents more, and when you compare large with the small and medium, it’s only $1 and 50 cents more, respectively. This makes the third option look so much more value for money. The goal in the beginning was to sell a large pepsi for $6, the other 2 pricing was introduced just to make the third option a lot more tempting!
Loss Leader Pricing: This strategy involves offering a product at a very low price to attract customers, with the expectation that they will also purchase other, more profitable items.
Example: A grocery store might offer milk at a loss to get customers in the door, knowing they will likely buy other groceries as well. In certain instances, this can be a game-changer!
Price Bundling: This involves offering multiple products or services for a single, discounted price.
Example:
- A SaaS app might offer a bundle of their products for a lower price than if each product were purchased individually
- DTC brands are also a big example for this one. If you’re unsure about what app to use for bundling, After Sell is a great one for this purpose!
Price Skimming: This involves setting a high initial price for a new product and then gradually lowering the price over time as demand decreases. This strategy is often used for new, innovative products where early adopters are willing to pay a premium.
Example: Samsung launches a brand new smartphone for a premium, but the cost of the product eventually decreases over time. What matters is, they got to sell them at a really high margins to their customers that were willing to pay a premium, and then they decrease the cost to cater to a much bigger crowd, even if they have to lower their margins a bit. Basically, extracting as much as juice as possible, by being economically efficient!
Dynamic Pricing: This involves adjusting prices based on factors such as demand, time of day, or customer demographics.
Example: A hotel might charge higher prices during peak travel times and lower prices during off-peak times
Value-Based Pricing: This approach sets prices based on the perceived value of the product or service to the customer.
Example: A luxury car manufacturer might price their cars higher than their competitors because they are perceived as exclusive and of higher quality

Pricing strategies have the potential to change the entire economics of your business in a good way, so it’s worth spending some time on this. That said, copywriting in general is worth reading upon. The beautiful thing about copywriting is, you can sell your products to the masses by just writing once—salesmanship in print.

Here’s a thread on copywriting that I had a written some time back, but these lessons are timeless. If you’re keen on learning more about it, this is a good place to start.

Alright, that’s it for today, folks.

Thank you.

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