eCommerce Lifestyle
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How Much Money Should You Spend Promoting Content On Social Media?

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A strategy we use to become the authority in our eCommerce niches is promoting content on social media that attracts our target audiences and repels those who are not interested.

However, we don’t just do this to build engagement. We do it to build remarketing audiences to whom we can promote offers. 

Since money is made in the offer campaigns and not in the content promotion campaigns, people often ask, “How much money should I spend promoting content on social media?"

Anton answers that question in today’s episode of the eCommerce Lifestyle podcast.

If you have any questions or suggestions, don't hesitate to leave them in the comment section.

What's Covered in This Episode:


Tips on how to promote content on social media

  • Determine who your ideal customer is

  • Create content specifically for your target audience
  • Promote the content via ads
  • Start setting a weekly budget for ads
If you liked today’s show, please subscribe on iTunes to The eCommerce Lifestyle Podcast! The podcast is also available on all major podcast players including, Stitcher and Spotify.

Links From This Episode:

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Transcript

Hey, what's up everybody. Anton Kraly here from eCommerce Lifestyle.com and welcome back to the podcast. This show comes out twice a week. Want to make sure everybody is aware it's every Monday morning and every Thursday morning at 6:00 AM Eastern. And every episode is designed to be super quick, usually 10 minutes or less. And I always try to share something that will help e-commerce store owners either to increase their revenue, automate their operations, or become the authority in their niche. I think today's episode is really going to help with authority building, but it can also help to increase your revenue. And when done correctly, it should. Also, just know if you're new here that everything I talk about, whether it be here at e-Commerce Lifestyle or at my training company, Drop Ship Lifestyle.com. It's all designed to help e-commerce store owners and really lifestyle entrepreneurs to be able to build businesses that get the best returns for the smallest amount of input, whether that be actual time invested or money.

So if that's something that resonates with you, if that's something you want more of, our whole mission really is to create freedom through entrepreneurship. If that's something you're excited about, be sure you click subscribe to the podcast in whatever player you use. Now, with that being said, let's get to today's topic at hand, which is how much money should you spend promoting content on social media? So if you've been on YouTube anytime in the past five years, you've probably seen people like GaryVee everywhere. And they're talking about, I don't even know what his latest thing is, I think create 60 something pieces of content a day and post it on every platform, unique for each platform. And that gets a lot of people confused because they're like, "Well, I don't do any content marketing now. All my sales are coming from Google shopping campaigns and from simple remarketing campaigns on Facebook and Google. What does getting started with content look like? Do I literally need to hire a team? Do we need to outsource this? What do I need to do to create content?"

So what I want to share with you is just our approach to this, how much money we spend. But before that, I just want to share our approach for creating content in general. It's not about a numbers game in the sense that we need to create X amount of things every day. I don't think that's the right way to do it. In fact, the approach we use is, let's understand the best we can who our ideal customer is. Who is buying from us? And what did these people like? What don't they like? What do they find funny? What do they need help with? How can we benefit that person either by again, making them laugh or having them learn something new, or maybe even just by giving them a discount or something exclusive.

Now once we nail that down, which by the way is a lifelong process, you're always learning more about your customers. But once we figure that out, we try to create content that the second they see it, whether they're scrolling through Facebook or Instagram or YouTube, it will catch their eye. They will watch it, or they will read it. And they won't just say, "Oh, that was cool". They'll click like, they'll click share, they'll leave a comment. That's the type of content that we want to create. And again, you literally can't do that 60 times a day because the goal is to make the things that could reach everybody in your audience. So let's just say there is a potential 1 million people in your potential customer base that meet your customer avatar, then those 1 million people, the goal should be to have them all see that thing and engage with that thing, that piece of content.

So that's our approach. Now with that being said, when we make this content, we don't just go and post it on Facebook and Instagram and just sit back and hope that somehow the world sees it. We don't just hope that Mark Zuckerberg is having a good day and click some button that has the million people let's say and our audience see it. Instead, what we do is we actually promote that content and we do it via ads. So for the purpose of this podcast, let's keep it super tight and we'll focus only on Facebook and Instagram ads. And let's talk about how much money we'll spend promoting that. Well, it really depends on how much money it's going to make us and if our audience is engaging with it. So let's just say, hypothetically, make something piece of content maybe it's a meme. Post it on Facebook, post in on our Instagram account and put money behind it, promoting it. And we're promoting it to our seed audience.

Now our seed audience is basically interests, age, location, demographics of people that we think are our customer avatar. So that's the seed. So we promote it to them. And let's just say, we set our budget at $30 a week for Facebook and at $30 a week for Instagram to promote that one piece of content. Well, what we're looking at as this money's being spent not much, what is $5 a day, a little less. As that money is being spent, we're looking to see is our cost per engagement going up or going down. And what should happen is our cost per engagement should go down because if we get our targeting correctly, and if we get the message right in our content, what's going to happen is as soon as our seed audience starts seeing it, they're going to click, like they're going to click share. They're going to comment. They're going to tag their friends. And because of that, it's going to get more organic reach. It's going to start to go viral within our community, within our niche.

And when Facebook, which obviously owns Instagram, once their algorithm sees that wow people are really responding to this thing, our costs from day one to day seven... Again let's just say we spent $4 to $5 a day, our cost per engagement should be going down. That means we got it right. So that's the first thing we look for. And if it's working then good, we'll keep that budget very small, probably$5 a day, maybe $10 a day. We're not doing this to force feed this content to people. We're doing it to get in front of the right people that will then share it and have it be seen by everyone on their own. So no big budgets here.

So again, that's how much we would spend. Let's just say again, maybe $5, $10 a day, but let's stick with the $30 a week example because that's what I wrote down numbers with to make sense of this all because that's not all we look for. We do look to make sure that our costs are going down per engagement. But the other thing we do as people start to engage with our content is we add them to Facebook audiences and then Instagram audience. So we create two audiences, one for Facebook and one for Instagram. And they're both based on people that engage with our pages. So we'll have an audience in Facebook of people that have engaged with our content and not on our website, but strictly on Facebook on the platform, then we'll have an audience of people that engaged with Instagram.

Again, not clicking links to our site, but just strictly engaged with the page, the Instagram account. Again, liked, commented, messaged us. We'll have an audience of those people. Now with those audiences, we also show ads to, but the ads that they're seeing I should say is not the content. The ads that they're seeing is to an offer because again, what we want to do is use these small budgets to have our content go viral so everybody knows who we are. Then we want to use a budget to re -market to those people, to show them ads for offers that then have them become customers. So again, let's just say hypothetically, we're spending $30 a week to promote content on Facebook and we're spending $30 a week to promote content on Instagram. And let's just say, we're spending $170 a week on Facebook to promote offers to our Facebook engagers.

And let's just say we're spending $170 a week again on Instagram to promote offers to our Instagram page engagers. So at this point with these numbers, we would have spent $200 on Facebook ads. And we would have spent $200 on Instagram, $170 going towards promoting offers and $30 going towards promoting content. Now what you want to do after this promotion ends, whatever you're promoting in your offer ads, is you want to look at the numbers, the combined totals of how much you spent to promote content and how much you made from the offer ads being promoted to the page engagers. So let's just say you were looking at your numbers and you see that at the end of this promotion we brought in, let's just say we brought in $4,000 in revenue.

And the $4,000 in revenue specifically came from the ads that were remarketing to page engagers, to people that engaged with our content. Well remember we would have spent $400 on those ads, $200 Instagram, $200 Facebook and we would have generated $4,000 revenue. So that would mean we would have a 10x return on ad spend, which would be great. So that is the number that we look for to determine if we should spend more or less on promoting content. Because let's just say instead of 10x, instead of doing $4,000 in revenue in this scenario, we did $8,000. Then our return on ad spend would be 20x. Let's say we did $12,000 and then it would be 30x. And if I saw numbers like that, then my $30 a week budget for Facebook and Instagram to promote content, wouldn't be $30 anymore.

I would start trying to throw a little bit more fuel on the fire. Maybe make that budget again, maybe $10 a day. Maybe now it's $70 a week. Maybe it's a little bit more. Again, we don't go crazy, maybe $100 a week though. And then maybe my remarketing audiences to page engagers, that one goes up from $170 a week to maybe we bump it up to $250 and we try to get those numbers up and up and up. So I know that's a long answer to how much money you should spend on promoting content on social media. But that is exactly what we look for. Again once we start promoting content, is our cost per engagement staying flat, going up, going down? It should always go down. It should always go down fast if you get the messaging and targeting right.

And from there, we run promotional offers to those audiences that engage with our content. And we look at our return on ad spend combined for both ad types to see if we're making money, how much money we're making and if we should adjust our budgets accordingly. Or if we should tweak our messages accordingly. So hope you found that helpful. I'll just say, I know this was maybe a little advanced for only listening to an audio podcast, but if you're not part of my coaching program yet over at Drop Ship Lifestyle, just know that all this stuff plus a lot more, you get literally an over the shoulder screen-share videos where I'm showing you this all step-by-step. I'm giving you all of our checklists, our templates, our calculators that we use to make this all work. So if you're not a member yet you could just go to dropshiplifestyle.com.

There's a link there that says e-commerce courses. I think it's in the footer. Click that you can go ahead and get enrolled and you'll just get the most in-depth training and support you could ever want for this stuff. So as always though, I hope you found this helpful. If you did, please do me a favor and leave a review, it means a lot, especially if you use Apple podcasts. For some reason the more we get, the higher we show in ratings. Surprise, surprise. That's how the algorithm works, but I would really appreciate it if you could hop over there and leave a five star review if you're getting value. So I'll post the link for how to do that in the description as well. With that being said, thanks for listening. I appreciate you. And I will talk to you in the next episode of the eCommerce Lifestyle podcast. See you everybody.

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