alright guys welcome to another video
and today we are getting very very deep
I've got the work brought out for the
first time I was super long time but uh
the game is changing and what's
happening is a lot of newcomers are
coming into this game and they don't
understand how Facebook works that
understand what's working and it's not
your fault okay you've been taught wrong
you've been taught a lot of
misinformation a lot of people don't
tell you this they want to charge you
for this information so I'm going to
tell you a few things first we're going
to cover how Facebook works the five
dollar ad set myth well the lie I should
say positive cash flow we're going to
cover customer value budget ratio that
I'm also going to cover a success Vallon
thing I'm working on $60,000 thing I'm
working on right now which will actually
put on the positive cash flow so this
video stems from a post I put on our
Facebook group the other day what
happened is my Maxwell microphones
working what happened was a lot of
people having trouble write your adverts
are going like this - some days they're
good some days that alright then the
good and the bad and then they're good
and that they're all over the place
right and if that's happening is a
problem and I'm going to tell you the
problem in this video so I encourage you
to stay to the end there's a lot of good
value in this I'm not gonna talk about
his Facebook once about some other stuff
as well
but the problem was posted on Facebook
anyone was like well it's opens it my
eyes everything and it makes sense and
then just yesterday a guy that I told
and you know every now and then I help
someone out privately for free I don't
charge for any private stuff it's also
Skype about an hour the other day put
them for a half an hour just now and he
said I know what my problem was it's
exactly what you said Franklin and the
thing is Facebook is an analytical
platform it's an algorithmic platform
there those are two big words right
there for someone I didn't finish school
but um that's what it is and you have to
treat it like that the algorithm is very
complex and I'm you kind of jump in and
start on Facebook a bit and expect to
win so my experience stems back probably
quite a long time now where I built up a
huge affiliate website from straight
Facebook adverts and all the guys now
don't have the extent
they jump in and they don't really read
data and a lot of stuff and they fail or
their dads underperform basically their
ads underperform so how does Facebook
work Facebook is a algorithm all right
most you know this and what happens is
you need some factors to you know you
need factors you need a bid
so Facebook's going to either
automatically good for you or a manual
bid right we all know that either
relevant you need a relevant advert
relevancy also counts towards the
algorithm if the more relevant your
if someone bids a few but some of those
more than you they say you won the bid
and one of the air placements but the
other person has a more relevant invert
they could possibly be put you possibly
outbid you so it's not all about just
bid and there's another a few of the
effectors 15 to 25 conversions minimum
37 days okay
Isis very important section we're going
to talk more about this from the $5 exit
section of this video there's also a lot
of other sectors so there's also
negative negative and positive arm
feedback on your adverts okay if you add
this get negative feedback Facebook
tends to maybe give you a bit more
expensive costs I don't know what they
do but they does affect your ads they do
a lot of things it's a very technical
algorithm and so you get a positive
feedback on your headset on your advert
story you can see this by customizing
your columns then your advert is kind of
like well get the leg up against the
next person of this is getting negative
so these are kind of the main things is
very relevant see 1525 conversions a and
negative and plus our stuff now this is
the same as something like Google right
you need all of this stuff table good
advert Google's kind of the same the
reason I'm telling you about this is
Google because a lot of you guys that
follow me SEO experts all that sort of
stuff
it's the search engine optimization you
know that to gain Google
you need backlinks okay you need good
content now I don't know how long was it
there isn't it go for but I I'm tenuous
down in Italy good you need good content
right you need um you need a relevant
content relevant articles right excuse
my handwriting and shocking and you need
a good on-page SEO now this is this is
obviously not Google's a system it's the
automatic it's the free dual system
right the trader it's just we're getting
search but the reason I'm using this is
because it's the same thing if you don't
have good backlinks or better backlinks
on the rest of them then the next stage
you're going to put belong if you don't
have been content you've only put below
whatever whatever Google takes these
factors and there's over 200 factors
apparently the ranking in Google but I
don't think that's correct
really because that's just stuff blog
and see so you've got all of all of
these factors and it's the same as that
in Facebook as if you've been doing SEO
and you know that you need all these
Pharma sectors to rank and you get
placed all these different spots on the
front page
well I'll treat it the same as if you're
doing when you're doing Facebook that's
how I see Facebook I was going to east
you know background and I text me a long
time with my website to rank and so
initially for me it takes a long time to
get my facebook adverts placed where I
want them to be right so because I have
to scale up its the same with Google you
have to scale up and reason I said that
is because I want you guys to understand
that all of these systems online are not
simple they're very complex and you have
to get the game it you'll know yes you
know how to get your advert to where you
want it to be or get your website on
Google to where you want to be so that
in a nutshell is how Facebook works I'm
not going to really go into it too much
slower you guys know that but you simply
you have a campaign you have an ad set
right you guys know that and you have an
answer as your it was put a V their
campaign is your objective
so you're on you know your own
conversion over your PPE
your video views right and then here you
do your ages interest and all that sort
of good stuff and then you do your ad
copy here right so you'll your titles
and you find your images and all that
right straightforward pretty simple make
sure you guys know how that works now
the problem is let's move on to this
move onto that arm plugs of a headset
canal and we're kind of spilling the
health Facebook works phase this is what
happens right everyone gets told you can
make a fortune of $5 xx it's a bigots
bunch of on the planet okay you
can if you want to make a fortune from
five the levites you have to upscale
those five dollar adverts but what these
guys are saying is hey we can sell you
some for $5.00
and if you just put them five dollars
you're going to make two grand are you
going to make ten grand right
that's not how business works that's not
how business works five dollar ad fits
right oh good for one thing and one
thing only and that's testing right
testing that is what they are good for
so what you do is you get multiple ad
sets going it talks five dollars into
each one right guys getting bit crazy
there isn't a little 5,000 to each one
what you do is you find your winners and
you take your losers and you kill them
okay and then your winners you upscale
now that's basic right but people don't
do that and I'm going to tell people
don't understand how this works
first of all a lot of people message me
and they say Franklin Franklin my man
I've spent $10 over two days they
haven't got a sale of course you haven't
got to say oh man like honestly of
course you haven't got a sale and and
then I tell you you need to do bigger
budgets and you don't listen then you
call this the stuff skin
it's not like you don't understand that
most conversions like you guys are
putting us on purchased pixel and you're
spending 10 bucks most conversions are
usually coming in like two dollars to
five bucks on average means you've got
you know conversions can range from
purchase conversion creation of dollars
to three four five six ten twenty
whatever depending on your niche so when
you've got ten dollar ratios but ten
dollar budgets you're not getting enough
data to Facebook now and in some cases
you're going to get two if you run a set
for five two days and you're going to
get sales right of course you're going
to get sales sometimes but sometimes not
it depends on your niche but this is
what happens and this is what's kind of
this is what kind of making people fail
with the advert so once you listen up
carefully okay
let's say you have you've done your five
dollar testing okay five bills of
excellence for testing excellence
testing let's say you have a one winning
ad said okay this is your answer yet
five dollars okay a little most people
do it because they've been told to do
this and remember that you need um 15 +
conversions are 15 to 25 + minimum per
week for Facebook to start to optimize
your answer okay are you Adsit I should
I should say so 15 per week this is what
some of you guys doing and it's great
it's crazy
so you're duplicating so you've got a
winning let's say you've had this
running for a couple of days right let's
say three days you want one sale right
now okay I'm going to start the scale so
what you do is you duplicate that advert
ad set and you run it at five dollars
okay you duplicate it again this is what
you've been told to do misinformation
you duplicate it again you just play it
again what happens now is you think you
think you are now upscale to twenty
bucks per day you have not scaled up at
all what you've done is you've
duplicated it should be underperforming
advert and to three other shitty
underperforming adverts and now you have
four shitty Under
adverts this is not scaling because
Facebook does the conversions at the
edge set level only okay
so Facebook doesn't come in here and
take this 20 bucks and calculate all of
them so let's just say um you've got one
conversion here drop to here you've got
one here after a week and then let's say
some is really well and you've got 10
okay
Facebook calculates to that one and the
top the motor so that optimizing this
one
they optimizing this one of us on this
one separately so you haven't got ten
eleven twelve thirteen you haven't got
thirteen conversions per week
you've only got what it was on that ad
set okay so let's do another kind of
thing here the cap table you understand
so basically if you're doing this stop
it right now because it's at not here
this place together I think you can kill
anyone tells you there's not here these
Facebook editors now you can scale from
that point and we'll talk about that the
list of others for a second if you start
at $5 ad set right and you get two
conversions to sales right or or add 2
cups or whatever you get to sales that
two dollars fifty each okay that
continues on for six days so seven days
total now usually some of the up and
down you might get two you might get
three this is going to change up and
downs and on the optimization level yet
so let's say you get fourteen
conversions from one outset okay you
still this is an ad set the five bucks
you still haven't got the 15 plus so
your ad set has basically sat there for
a whole week and done nothing and then
what happens is it's not optimizing so
this is how it works and a lot of you
guide to getting this problem we have a
graph here we have a graph here this is
time okay
and this is our conversions so this is
out 15 plus per week line
what's happening is you're running these
five dollar ad sets and you first of all
you're not feeding facebook enough money
now this is part of the testing stage
remember okay well not in the testing
stage
I'm not saying $5 as bad it's very good
for testing if it's not good for scaling
and long-term Facebook adverts what
happens is on day one we go one two or
take different time real quick three
four five six seven on day one you get
um let's say let's go one two three four
five all that sort of thing right folks
here it's say on day one you get one
conversion day till you get three day
three you get one before you get nothing
they fight you get another two right
they six you get one they seven you get
nothing so we have two three that's five
six seven and there's one so eight we've
got eight conversions I've stored on it
enough and what's happening is your
adverts go like this right
you know this remember it's going like
that you've noticed that graph probably
a tournament and side your advert and
it's not optimizing it's not optimizing
you're not giving Facebook enough stuff
Facebook's like we we don't know what to
do with your advert we you're not giving
us enough data and it five dollars is
not going to give Facebook what it needs
and those are the facts guys that's the
facts and then another another problem
is conversion when those people are
doing one-day conversion windows was
five bucks because the gurus are telling
them that's what they need to do that
Facebook has said they base the
optimization of conversions they happen
inside these windows so really you need
to be on 7d okay leading on a seven-day
window because one day windows is for
people that are jumping with huge
budgets and they're getting huge amounts
of conversions in that one day okay so
one day and sitting day you need to be
on the second day it gives Facebook more
long term over the week just sensitive
in that period so I hope that made sense
okay I'm basically telling you right now
that $5.00 adverts are not running I'm
not not good okay now this is what
facebook wants Facebook wants you to run
your side of the ladder okay get some
data going but they want you to increase
the price over time whether that be on
the main ad set or the duplicator one is
that there's no real there's no real
trick sometimes I jump on my phone and
increase the main model sometimes I'll
duplicate it right so they want you to
on crus so they say you've done your
test and you're on a five dollar ad set
faithful wants you to increase it maybe
by a goal of the next day a couple of
you know we say 50 cents okay the next
day they want to say the next day is
here they want you to do it again let's
go maybe another percentage let's say 10
percent or whatever and we get to 70
points in them then sitting in and third
day we get to $1 right facebook wants
you they've said this before they said
they would rather you have just one ad
set and increase the budget they have
multiple exits targeting the same
interests and everything succinct okay
now you have to understand that when it
comes to increasing this is another
problem this is going to be a really
long video by the way this is another
problem so people increase their exits
right this say is there we go five bucks
to six bucks - seven - eight - nine okay
every single time you do an increase
Facebook needs a little bit of time to
adjust and it can be 24 hours it could
be 5 hours it could be 3 days it depends
on how much you adjust the price if you
adjusted from say 5 to 10 10 to 20 that
might take longer to adjust and this
comes to our next problem there's going
to be a long video guys this comes home
next problem okay someone on has an ad
set a nice little square here right and
they increase the
price to this say $7 from $5 okay what
happens over that next day period or two
day period your ads your ad set might go
from a nice winning ad set and it might
drop a little bit might come up might
drop what Facebook is doing is trying to
figure out you've basically just
increased the price so that's that's a
dramatic change kind of not much but
more dramatic changes are more like five
to 100 but to Facebook that's a slight
dramatic change so what's happening is
people are like okay my adverts now turn
to crap they come to the Facebook going
Franklin man like my dad says I'm doing
good now it's being like three hours
I've duplicated it or I've increased the
price although that's the Facebook is
now in the re optimization stage they
are adjusting adjusting your own headset
right and then if you just be patient
you'll get out of that period and room
starts to come up again right anything
might do another price adjustment and
most other one more I'll come back up
now and usually usually not all the time
but usually if you increase slowly I've
done if you increase slowly to ten
fifteen percent you you might get a
little bit when you start but over time
the dips are not really going to happen
is going to increase increase increase
because Facebook will now understand
that you're doing this price increases
every day and you'll be alright but and
Facebook is not it's not perfect at the
time but that's usually what happens
with me now
there's another scenario man
there's a lot of scenarios in this you
have the five dollar ad set and you
duplicate it and you have put it to ten
okay once again it's the same principle
you have to let it optimize you have to
let it reoptimize and redo its thing and
it is kind of this kind of brings ease
another thing it's the same thing again
you see optimize it again at five
dollars where you maybe optimize one at
15 you've duplicated and you think that
that's optimizing you're still running
low edge sets you need bigger budgets
you need to feed Facebook you to feed it
money that's the secret that's how asked
that's how we're getting big money we're
putting in big budgets I did a $700 test
the other day I'm going to talk about
that positive cash flow
so what's happening is you've got is ads
it's again and every optimizing all that
sort of stuff and you're like man
everything's just failing it's not it's
readjusting but even then if you do it
if you do like this even if you if you
duplicate any now you've got a 10 or if
you duplicate there but a 20 right which
something rotated them as well you still
want to not get the the the right amount
of conversions because remember
Facebook's only optimizing at the ad set
level its optimizing all of these
separately okay so the main goal with
your advert should be have one or two or
three antics that are running but you're
increasing the price and you're getting
to bigger budgets bigger budgets of the
aim of the game whether you doing a
manual bidding where you're doing
automatic betting automatic bidding I
tend to not go huge on budgets maybe a
hundred plus maybe 100 150 day I don't
go to automatically when I start getting
past that point but this is something
that I do they say I've done my five
dollar test
I have a like I actually don't even do
five dollars anymore on this 18 I don't
even do FICA lancets anymore I've
stopped that long time ago so let's say
I have a ten dollar ad set and it's
winning okay this is winning I'm getting
a bunch of sales
why do they duplicate then exit into
another one
but now what I've done is I've now
created to add sets and $100 overtime
right that Facebook is optimizing at
that $100 level Beach it's not
optimizing it tight it's optimizing it
at 100 F so now I'm going to Facebook
the money at once the money it needs
whether it be 50 100 whatever whatever
money I need to put in to get my 15 plus
a week optimal it's 50 now if you can't
get to that point and you don't to spend
the money then you just do things like
add to cart' right not purchases if
you're going to campaign sorry it's an
ad said that's running on ads account
and you're getting heaps of Education to
getting heaps of sales there's actually
no point what I mean by hits are sales
is like let's say of getting 15 to 20
maybe 30 a week there's no point in
changing it because what's happening is
Facebook still getting into purchases
you want but you're giving them more add
to cart'
so they're optimizing to add to cart'
there's no harm and optimizing
Advocaat's because you're still getting
sales because what might happen if you
change to purchase you can mess up your
advert anything could happen
so there's no that's the old saying goes
don't try to fix it if it ain't broken
okay if you have an ad set running it
Add to Cart and it's doing very very
well and you're running it on a bit of a
lower budget that's what you want to do
and you're still getting sales just
leave it because you might be getting
fourth listening and say you're getting
twenty thirty sales purchases right
right for instance you might eating 90
as the guard's and when you if you're
getting this you give your Facebook 90
Add to Cart you want more chances in
sales we're going to pump you up you're
going to put your advert in front of add
to carts and those people are still
probably going to purchase but then if
you give Facebook 30 purchases to a week
they might not have them optimize your
adverts as well as well as they with it
as an advocate so that brings you back
to my first advert what do I do with
that
now for instance they say I have two
adverts running nicely I'm so yourselves
here it's not really optimizing doing
anything I could just start increasing
this so to take away from this is I
always kind of have a backup advert
somewhere exit somewhere I
back up in case all of this turns to
or you know as they say the
hits the fan then I have it back up and
I can use that and go back to it now in
most cases right my kind of optimize
like my scaling rate when I scale I get
like a 90% success rate because I do it
properly I give Facebook the stuff at
once and this is what that says I think
I just mentioned it before then they
would rather have okay just take this
wait though rather as you have one ad
set for the bigger budgets with the
bigger budgets because that is where
they do all of the optimizing okay is
that one that's it that's it they don't
optimize the campaign little they
optimize the advert level exit level
that's without the most so guys when
you're doing your duplications over and
over again you're not just doing five
dollars over and over again and thinking
that you are now at $20 a day budget and
you're scaled that's not scaling like I
said that is duplicating an
underperforming advert you don't think
it's underperforming but get I guarantee
you it is okay if you're not get in that
15 a week it's underperforming and you
could do a hell of a lot better if you
scale properly okay in scaling properly
as price increases using look-alike
audiences all of that good stuff to
utilize those look like audiences
because they are amazing and them and
that's really it like just don't keep
duplicating underperforming adverts
because you're going to come into the
gook and you're going to ask what's
wrong and I guarantee you not
interesting at the time that's what's
wrong okay and then there's another
scenario people are doing the
five-dollar adverts right and letting
them run for two three weeks at a time
and then they're dying okay they've been
going to write doing some version
they're just flatline what does this
tell you let's go have a drink real
quick and I'll come back what what does
this tell you so what does this tell you
this tells you that your brand your $5
our ad set for four to three weeks
faithful hasn't got it 15 plus a week
and it's like screw you you know you're
not giving us the money we need we can't
get the data you need so we're not going
to run your
any more we're going to give you
weightless going to flatline you we
might give you a little sale here teams
you a little bit a little sale here
tease you a little bit more but that's
what's happening that you adverts if
you're just really get fired even ten or
twenty and you're not getting the of the
like like you might be making ROI here
you might be you know put our plus
cashflow positive you might be making
some money here
and then it dies off so you might be
making some money here it looks good
brave even it looks good that's the
thing you think it looks good you think
it's performing well but in reality it's
not and then it dies off in a couple of
weeks and you come and talk to us and
say it's died of waste of others money
what do I do
what do you do is you start bigger
budgets and you increase as early as you
possibly can that's what you do and then
you skip all this this like this is
all this they shouldn't have to
deal with and then and you're burning
money I going with one of my last videos
wasted a grand on advertising an hour
talking about 15 plus conversions and
now he's making good money so guide
there's lots of scenarios and why your
stuff can die and really it's to do with
your budgets most of the time like your
budgets your budgets and you're
duplicating and thinking that you're
scaling that way when you're not okay
you know and like I used to test like 50
60 100 sits at a time right that's fine
light hits them heaps and heaps and
heaps of them heaps of them at five
dollars that's fine if you're trying to
find winning products okay when you're
testing different audiences you're
testing different ages that's fine that
works well you can run that for a week
two weeks a few days or whatever and get
results but you just need to upscale you
can't keep running Facebook efforts like
that and those are the facts guys right
those are the facts so if you're doing
that stop it
now I want to know so so basically the
$5 ed setting is a bit bogus because a
lot of the pros or whatever they're not
pros but whatever whoever they are they
will tell you that come on in you can
make five grand or five bucks they were
properly then what the good they say you
can make money from as little as little
as five dollars right that's a sales
tactic that's all it is but they
word it right to cover their ass as
little as five dollars okay as little
this muck that as little they're
covering their arm but then what happens
as people come in and think that they
can make and they can keep running the
excess of five dollars that's not how it
works guys I'm next want to talk about
positive cash flow okay and this is a
I'm a very business orientated manner of
multiple businesses and everything I do
is positive cash flow so we're going to
use an example here you see this house
I'm standing and this is the second
house I purchased in my entire life this
is a very special house to me because I
have a lot of leeway with this house I
can make money throughout certain points
of the year and I'll tell you what I
mean and this is going to stem with
Facebook so what happens with this house
I purchased this house it's a holiday
home I purchased it for one hundred and
seven thousand quite a long time ago I
got a good deal
purchased sorry that's not right I got a
good deal purchased it off an old lady
came furnished that's where the oldest
in here it came furnished and got a
good deal right Oh mess that up again
got a good deal but how does it like
what's the whole point is list me
telling you this okay so the thing with
this house I put on a ten thousand
dollar deposit
okay so I've borrowed ninety seven
dollars from the bank a ninety seven
thousand dollars from the bank that's
not my money okay and I'm going to talk
about how we knew if it has on Facebook
you're not using your money and in
reality so this isn't my money
okay the bank's money what I do so the
reason I got this help is because all I
needed to do so I was paying back I
think with rates insurance and stuff I
don't pay this as freehold now I don't
pay this mortgage anymore but was rates
and all that sort of stuff cause I think
I was paying around about eleven hundred
a week sorry a month so 1011 1100 months
is what I was paying I'm hoping I paid
off in eight years so that's around
about that twelve hundred thirty
thousand dollars a year right so all I
had to do was make back thirteen
thousand dollars a year
to cover my expenses so because this is
a holiday home I have an advantage it's
by the beach the waters right freaking
now I have an advantage I can rent it
out for the entire year if I want and
make a ton of money okay but I can rent
it out with the summer and I think I was
rinsing it for about a hundred I don't
read that much anymore 120 all of the
nine accounting is about 840 a week
don't quote me on that thing is that 840
a week so what I needed to do was rent
it out in the summer and you know people
would rent it for the weekend weekends
were a bit more expensive whatever like
a flat rate 600 bucks
usually for the weekends Christmas plan
was like 500 bucks a night really just
the pinned depended on that all I had to
do was make back thirteen thousand
dollars okay and that would pay back my
97 thousand dollars a night never had to
put any in any of my own money apart
from the ten thousand okay right so just
look at this real quick I bought this
property 407,000 I put in a ten thousand
dollar deposit
I borrowed ninety seven thousand dollars
from the bank thirteen thousand dollars
a year and I paid back the mortgage with
that and then whatever was left over
sometimes we have surplus sometimes we
had a really good year we might have had
ten thousand dollars sitting here do you
know what that $10,000 is oh I don't
even know if you can see that although
you can't right so do note that $10,000
let's get rid of this to up here so
let's say I had a year and I made
$10,000 extra that is positive cash flow
okay that is my pot profit for the year
from that property sometimes it's even I
like to be even and walk so that is
positive cash flow again next what we're
going to talk about now at Facebook
everything on Facebook is positive cash
flow and I'm going to tell you why it
okay now when you start a how much
bachelor got left when you start a
Facebook campaign or objected you should
really figure out how much money you
have to play with one of my arm hundred
cave items that I did was twenty eight
twenty nine dollars 99
it cost me I was how much it cost me
shipped it was five thing was around
about let's just say oh those nine bucks
this is that was $10 shipped right okay
I have 20 bucks to play with so what
that tells me is like I've got 20 bucks
to play with now let's say $2 of it goes
towards fees like yeah your friggin
PayPal and Shopify fees now got $18 to
play with I could go on Facebook and say
hey I'm willing to take $8 per
conversion to purchase and I could do a
manual builder I could or I could
automatically and just um just watch it
right $8 per conversion and then that
means I make $10 profit that's my
positive cash flow right that's my
that's my hope you can see that that's
my year that's my positive cash flow so
if I'm I'm willing to pay up to a bucks
roughly you're not going to get more
whatever so if I make 10 sales a day
that's a $100 profit right okay you get
that you understand that now what
happens is now what happens is when you
start to get a roll on with Facebook
right you have your your your your on 29
my 29.99 a portion of it goes to the
product a portion of it goes to your
fees a portion of it goes to Facebook
ads and a portion of it goes to you okay
now what take that
see the thing is you're not paying this
money your customer is your drop
shipping right so I think we have your
webinar footnote with an ad for room
here so this is all just goes Facebook
customer oh sorry
profit profit getting profit whatever um
now what happens is
now what happens is you're not you have
no cost when you first start Facebook
you have facebook advertising cost when
you're testing right so you take a
product from Aliexpress you advertise it
- that's a product you advertise it to a
customer you're here you're the
middleman hey yeah I'm here right you're
the middleman what happens is if a
customer takes the $29 and you pay
nothing all you pay is for the crop for
the product you take for the seat
you pay for the fees and you pay for the
Facebook advertising but you never
actually tasted that the customer is
paid for that so that's the long-term
game but what happens is people come
into let's that's positive cash flow
you're positive cash flow good here
you're making like 10 bucks maybe you
know if your conversions 8 bucks you're
making 10 bucks or whatever conversion
should be lower than that though your
you'll make your positive cash flow guys
you're not you're not spending any money
eventually but what happens is people
come in and they'll spend a hundred
bucks on testing and the like I've
just wasted a hundred bucks you have to
do that we have to do that type of stuff
this property that I paid 107 for right
I put down a $10,000 deposit which is
what I had to do to get my loan so that
$10,000 is basically it's not my testing
money but that's the money I had to give
up to get that mortgage to get the
positive cash flow do you get what I'm
saying here right that's what I had to
do I have to give up ten thousand
dollars of my own money that I saved
it's the same with friggin Facebook you
have to give up a hundred five hundred a
thousand three four some guys are doing
eight thousand dollars in testing you
have to give up that money to test your
products and then eventually down the
road maybe a month later right you're
eventually getting some sales and now
you get coming back into the positive
cash flow and you're starting to make
back to your hundred dollars do you get
what I'm saying it's positive cash flow
that is the aim of the game
now let's talk about a $60,000 thing I'm
working on let's talk about a $60,000
thing I'm working on right a friend of
mine I'm not going to tell you what
nation she's in that she's in a girly
niche advertises just the girls
last year she came to me and said
Franklin I want to know how to make
money online I want to quit my job and I
only really help out friends and stuff
so personally in real life I said to her
what are you good at she told me do you
know what I did I sat down with him we
figured out a game plan we made a
membership site with videos on it for
her I'm doing what she does so teaching
and then what we did I I did everything
I did all the editing of the videos I
made the complete site and what I did is
I made a deal with setup I'll take 5050
I'm sorry I'll take 50% split on the
first 50k right if we get there with an
office was going to work or not on the
first 50k that was much split so and I
did everything I thought I did a lot of
work I'll do all the Facebook
advertising they spent hours and hours
and hours upon this with her right I
helped her out now this is how we did it
and with you guys if you're my Facebook
page you see the screen show the day we
made so far we've made sixty three
thousand eight hundred and something
okay you got to know your numbers we
make sixty three thousand eight hundred
or something now this is what we did we
spent so we had an opt-in page right and
actually a Shopify store comes into this
equation in a second we opt-in page we
clip at an email email then we had a
thing which you sold an e-book that she
created for $17
that they made the purchase hopefully
you can see that yep they made the
purchase then there was an upsell or
that was $9 1905 right so to say $27 $27
okay remember that number $27 it's quite
important okay so that's what we did and
we'll talk about this in a second after
what we actually said is weeks we we
spent seven hundred three hundred and
something dollars or was
seven hundred three hundred and
something I'm sorry 7730 dollars to test
this funnel right and when we started we
were getting a lead at around about
three dollars eighty I think I remember
three dollars eighty we steamed seven
hundred dollars and we now got it down
to a dollar was fluctuating between the
dollar ten and a dollar I was no sorry
we fluctuating through daughter a doll
or eleven and run about a dollar it's
kind of eighteen
so we'll say it's all living in a lost
we've got four seven hundred dollars we
got our funnel down to one dollar
eleven lead the next New Zealand dollar
so 2.86 American right that's incredible
now what happened is we we made a little
bit of money from here right we I think
we kind of work maybe only made back
about 300 of that so we didn't actually
spend seven thirty then we made back
about three hundred roughly it's been a
while since Jack's has done the initial
test but what happens now as we forget
we get rid of all this now we have a
funnel this is our funnel room there 27
right we have a funnel that is making us
the seller pages again seventeen here
and then we have the purchase and then
we have the ninth the nine dollars here
we'll say ten dollars round it off this
is an opt-in page where we click emails
okay what's happening now is we're
actually making money here on Facebook
so we're putting in a dollar and I think
we're basically giving the dollar back
we kind of only even positive cash or a
little bad thing for every hundred
people we get on the list
we're making about I don't know 10 to 20
bucks positive cash flow okay
I think it's a little bit less than I
want to say 10 bucks I think it's about
10 10 to 15 dollars right so we're not
actually making the bulk of our money
from Facebook okay but we are positive
cash flow here slight slightly I
wouldn't I wouldn't even carefully we're
negative cash flow right so basically
they're getting free adverts
now what's happening
as we have we have an email sequence
that gets sent out
I'm she's got a five-day training series
1 2 3 4 5 to have a five-day training
series of the membership that I helped
to create this is where she's making all
of the money $60,000 and I think there's
about two months $60,000 and what's
happening she's making all of the money
through the email list so the take
waiting here is think outside the box
like just you can't just think hey
Facebook is we were going to make all of
our money we have I'm Shopify stores
with 40,000 emails 40,000 large email is
50,000 large email as 20,000 large email
lists and we're advertising back through
that so just because you sometimes you
can't maximize profits on Facebook
doesn't mean you can come back in and
advertise more products and make more
money does that make sense but yeah
that's that that's how we made 60k and
we're still going 60 K in a couple of
months now what's happening now if the
split share is over so 50% split share
is over I'm now taking 25% of whatever
whatever profits are made from $50,000
onwards okay before the rest of our
lives basically because I do the
Facebook every time can I do all the
video edits I do about three four edits
for her a week and that's an agreement
we can sue so that's passive income over
and over again now for me to basically
the rest of my life as long as we keep
this going and we got free Facebook
adverts thankfully the people paid for
the adverts and it works exactly the
same as Shopify and that brings me to my
next thing because she's actually just
started a Shopify store now she has a
huge list right thousands upon thousands
of people in a list okay dozens she's
now started a Shopify Shopify store with
products based on her niche and I can't
tell you what is I really like based on
her niche ok so girly niche and she's
now using that list to arm so she's
doing a training right at five-day
training series once it finished she's
directing people to his store and she's
making money like that okay so the
takeaway from all of this now we're
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