It’s no secret that Facebook and Google Ads are becoming more expensive every month. A “start-up” company recently discovered a reality that Facebook and Google won’t admit….most of their advertisers lose more than they gain. Your own experience with Facebook ads only validates that point. Yes, there are some people and companies that are highly successful with Facebook ads and the former company Unicorn now knows the true difference. However, they found out “the hard way”.
With inflated hopes of gaining a billion dollar valuation that would set the company in a class befitting of its name, Unicorn was an electric scooter rental and sales company sold 350 electric scooters at $699 each, which have a range of 15 miles and speeds up to 15mph. The company raised $150,000 and then felt poised to take on the “scooter commute” world and…save the environment.
But they failed miserably (woke = broke).
The company, Unicorn, stated that it lost all of its money on “marketing and advertising”.
Basically, the company realized the biggest problem with marketing on conventional marketing platforms like Facebook and Google. That problem is the fact that the cost to generate leads has exceeded the lifetime value of customers in many industries. In other words, no matter how much money is spent, the only results that most companies will see are losses and data that can’t be used anywhere but on Facebook or Google.
The company did not go out of business because they had a bad product. They had a great product but to their detriment, they also targeted had a “woke” or leftist mission and a complete lack of consideration for the iterations of conducting a real business. They lost the bulk of their money on marketing and advertising on Facebook and Google. On top of everything else, that is the single biggest mistake the company made. They assumed they could afford to win. If one can’t afford to win, one can only afford to lose.
That’s not a good outlook for existing and new companies in any market vertical that don’t have $20,000+ to spend on Facebook and Google ad campaigns every day, week, month, or year. A corrective effect is in order now and is actually taking place.
However, we don’t have this problem because we are the solution.
I explain everything in detail here: https://siriustraffic.com/revolution