👋 Hey fam!

I'm really excited to share this 👊 Wednesday roundup with you! Lots of amazing stuff to get to.

First we dive into how growth loops can help e-commerce companies build the fire they need inside their business to continue growing. This one is important one to read.

Next we get into it with our experts how important small details are in CRO + one of the top performing ad styles of the month!

Hope your ads are scaling and LTV is 📈!

Cheers,

Chase

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Today I’m going to focus on something that isn’t talked about enough in e-commerce which is growth loops.

I often hear about the funnel. This is important and no, the funnel isn’t dead. BUT…it should input into a repeatable system that compounds on itself. That’s what growth loops do.

What you are seeing here is a 3 step process for ecommerce:

1. Input - a user comes through the funnel

2. Action - a user purchases the product you’re selling

3. Output - a user enjoys experience or content - purchases again or tells others about it.

Why this diverges from technology loops is the thought that you are re-acquiring the user each time they purchase.

What you are seeing here is the delta between the number of your users/customers who start the process with you and the sharp decline between purchase #1 and purchase #2.

~70% of your customers won’t come back again. 🤯

This is what I call the canyon.

It’s a canyon because we need to build a bridge to cross it and that bridge is the loops framework.

A platform like Survey monkey has an easy process to get customers back in the door because there is expected dsitribution built in as they are sending it others.

With e-commerce there are 3 levers I see to building an loop into your business:

1. Content - social, email, digital events, IRL events, etc - being ubiuituous allows customers to see your products as something they need/want.

2. Product Quality - this leads to word of mouth when people love something they will share with their community.

3. Brand - the idea behind your brand elicits emotional responses as people see it in the wild.

Someone might argue that these are just part of the funnel. But these three separately drive users to take actions that help a re-investement happen into the business.

Whether your customer only buys from you again and doesn’t tell anyone, you still have a longer position on your LTV. That means you can invest in acquiring more customers, which is the job.

Why this matters: CAC is going up, everyone says so, the data doesn’t lie. So what does that mean for you?

It means you have to look at your business differently. You have to see how you can change the process in which you expand your customers.

Sometimes it’s just a shift in methodology because you have all the component parts already firing inside your business.

• Create a great product/experience - people usually think they can get around this but YOU CANNOT.

• Build a content machine that doesn’t stop reminding your prospects + customers that you exist and MATTER.

• Focus on your version of brand equity so that when people see your brand in the wild it makes them want to purchase.

These things are the fire that can sustain you. Paid marketing is FUEL. Remember the distinction.

Expert Strategy + Learnings

Some amazing learnings from thought leaders in DTC.

Dylan's CRO Tips 🙌

Sticky ATC buttons can be effective, but make sure they don't block important info.

They also take up ~15% of screenspace if they're fully sticky ATC buttons, so make sure to be careful when analyzing them.

Not good or bad, they perform differently on every site.

For more 🔥 follow Dylan Ander.

Rahul's Paid Media Learnings 🤘

Review Ad - One of our top performers last month

• Pain points Why I think this works:

• Opening sentence is eye catching and easy to read

• Show's how product has helped ideal customers

• Direct Comparison Of Before & After

• Directly address the main concern of a customer

Follow Rahul and reach out to Reach Digital to work with him 🧠

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