Playbook / Lessons / Partners and paid growth

Wait for your first 100 customers before paid ads

In this interview, agency founder Alex Hart advises merchants not to consider paid acquisition until they have about 100 customers. Hart says agencies should be questioned on specifics, such as how a Facebook pixel is installed, and asked for proof. Revenue from ad spend, Hart adds, should be at least double the cost.

“First, don’t even consider paid acquisition until you have your first 100 customers.”— Alex Hart, Building an Ecommerce Business, Part 5: Paid Acquisition, Oct 2018

Do this

Count your paying customers today, and if you are under 100 you spend this week fixing your offer and your email follow-up instead of buying ads.

More in this pack

• Judge early paid spend by payback, not LTV
• Pay for affiliates only out of real margin
• Put marketing metrics in the partner contract
• Ask your other referral sources, not only past clients

Get your plan

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