Tatango - Magic

TATANGO

INTRODUCTION


Derek,

Thank you for this opportunity to contribute to the growth of Tatango.

Your mission to democratize text message marketing and provide a truly better solution for marketers is a mission we can get behind, and we look forward to helping you make an even bigger impact on the world.

I'm excited at the potential of establishing a long-term partnership leading your online customer acquisition initiatives.

To a magical 2019,

Marcus McNeill
CEO

ACQUIRE HUNDREDS OF NEW CUSTOMERS

AT A CAC OF $50,000 OR LESS

Objective

The primary objective of this project is to generate thousands of new leads at a CPL of $500 or less and hundreds of new customers at a CAC of $50,000 or less (roughly the 6-month value of your average customer) through the following digital channels.

  • Facebook
  • Instagram
  • LinkedIn
  • Google
  • YouTube

We’ll take the reins of your online advertising campaigns to systematically find and engage with the “lowest hanging fruit.” We’ll work diligently to scale your paid media campaigns to a significant investment, which will necessitate a spirit of continual experimentation and curiosity.

That’s why we’d have a specialized, highly-experienced Media Manager (Nicolas Menchaca) and Account Manager (Rebecca Bowden) in your accounts making daily “hair trigger” optimizations on your Top of Funnel (awareness), Middle of Funnel (nurture), and Bottom of Funnel (conversion) campaigns.

Your highest ROI campaigns are guaranteed to involve diligent retargeting, which is why we’d create a hierarchical account structures and track your prospective customers across over 2 million apps and websites within Google’s Display Network.

We’d also provide a dedicated creative team to conceptualize and produce new assets on a regular basis.

The greatest threat to your campaign’s long-term viability (at scale) is “audience fatigue.” That’s why we’ll scale horizontally (diversifying spend across various ad sets/creatives), not just vertically (increasing budget).

We manage your ad investment very much like a fiduciary manages a portfolio, except we can tilt the odds in our favor with conversion optimization.

In your lead generation, retargeting, and sales campaigns, we’ll determine your…

  • Cost per Link Click (CPC)

  • Cost per Lead (CPL)

  • Sales Conversion Rate (SC%)

  • Customer Acquisition Cost (CAC)

  • Return on Ad Spend (ROAS)

  • Return on Investment (ROI)

    *with your help, we’d need to intimately understand your business model and associated costs

  • Lifetime Customer Value (LTV)*

    *with your help, this is a dynamic metric that can be estimated in a variety of ways with data collected in your backend systems. Right now, we know it’s in the ballpark of $500k, and this is the target we’ll consider until further notice.

Knowing exactly how much you’re paying to acquire customers and how much a customer is worth is the basis of “Unit Economics.”

Understanding your Unit Economics empowers you to invest fearlessly and aggressively in paid advertising.

To create successful campaigns on the first try, we practice direct-response advertising and rapid prototyping.

Our customer empathy phase will begin right away as we conduct market research to identify patterns in pain points, core desires, motivations, purchase behaviors, and buying emotions. The goal will be to unearth insights to inform our messaging and targeting strategy (and potentially identify new niche opportunities).

Strategy

TOP OF FUNNEL - AWARENESS
MIDDLE OF FUNNEL - NURTURE
BOTTOM OF FUNNEL - CONVERSION
I. THE CHALLENGE

The greatest challenge of this project is the same as any new campaign: we haven’t launched, thus, we don’t yet know our Unit Economics. That being said, I can’t even fathom a situation in which we are unable to acquire customers for $100,000 or less. We’ve never had a client with such favorable economics.

Once we have a sense of our CAC, it’s game time. We’ll be able to make financial projections that will inform the degree to which we scale, and the degree to which we can scale a SaaS product is near-infinite.

To give ourselves a high probability of success, we’ll work from the foundation you’ve already built, focusing on warm audiences first: email subscribers, website traffic, page followers, page engagement, customers, video viewers, lookalike audiences, and cold, contextual audiences based on interests and job titles that embody your ideal customers.

We’ll be able to measure engagement in real-time, which will allow us to pivot on the fly and make the most of your initial testing budget.

II. OUR METHODOLOGY

We follow a rapid-prototyping methodology in our ad campaigns. With a relatively conservative budget, we’ll determine the most performant ad copy, graphics, videos, placements, and audiences.

We’ll identify the ad sets with the greatest potential ROI, optimize by re-allocating ad investment from the “losers” to the “winners,” and scale intelligently.

As I stated in a previous email, we feel bullish on the potential for success, despite it being a competitive market, because you’ve carved out a defined niche in the space, and we have ample budget for testing and optimization well-before we even reach the first $100k in spend.

We’ll gather behavioral data for advertising and email segmentation through tracking code and a lead survey. This will allow us to tie your ad funnels together in a segmented, “cascading” strategy. This is what I call a “Unified Front” strategy in which we launch a synchronistically-timed, coherent messaging strategy across all channels, starting with the big, obvious ones pictured above. We’ll also mirror the “omnipresent” strategy Ryan laid out, but we may want to consider lifting the frequency cap above 1, at least in the beginning. We’ll be consistently churning out new ads, and eventually we’ll have a deep inventory of creatives to combat any potential messaging/audience fatigue.
 

I expect this to be a quick and ongoing win, as your team has already tilled fertile soil for a profitable campaign. 

Once we analyze your historical data and collect baseline data from the new campaigns we’ll build in parallel with what’s currently live, we’ll run performance projections based on Optimistic, Pessimistic, and Realistic scenarios based on industry benchmark data and our anecdotal experience (real numbers we’re seeing in similar campaigns/audiences).

III. TRAFFIC SOURCES

Facebook, Instagram, LinkedIn, YouTube, and Google are where we’ll start. In order to run video ads, we’ll need to edit, re-purpose, and use your existing content. If you need support creating new video content, we can bring in video talent.

Facebook has 2.24 billion monthly active users (which is growing 14% YOY).

Facebook includes its Audience Network and Instagram in its placements by default, and there’s no reason to remove them unless they’re simply not converting as effectively.

Instagram has 800 million monthly active users, about half of whom are between 18-29 years old and spend an average of 32 minutes per day on the platform.

Google’s Display Network has large-scale reach, spanning across over 2 million apps and websites, which gives us the ability to serve ads to prospects after they leave your website or social media. Google fields over 66,000 searches per second, all of which are opportunities for advertising.

YouTube is the largest video hosting platform in the world with 1.9 billion monthly active users and 5 billion views per day.

LinkedIn is the largest professional network in the world with over 500M users. No platform in the world has more accurate title/function/industry data to leverage for job-specific targeting.

IV. CAMPAIGN GOAL

Above all else, our goal is to drive sales.

We’ll do that by generating high-quality leads through contact forms, demo requests, and eventually, a lead magnet, and following up with a time-sensitive special offers to drive urgency to purchase.


SCOPE

PHASE I: RESEARCH & SETUP
  • Tatango | Magic Alignment Call
  • Brand/Market Research
  • Customer Avatar Research
  • Customer Empathy Interviews (5)
  • Get Access to Facebook Page
  • Get Access to Facebook Ads Manager
  • Place Facebook Pixels as needed
  • Create Facebook Conversion Events as needed
  • Get Access to Google Analytics
  • Set Up Google Ads Account
  • Place Google Tags as needed
  • Create Google Conversion Goals as needed
  • Keyword Research
  • Set Up YouTube Ad Account
  • Get Access to LinkedIn Page
  • Set Up LinkedIn Ad Account
  • Place LinkedIn Insight Tags as needed
PHASE II: CONTENT CREATION
    • Customer Empathy Findings Report
    • Facebook TOF Ad Copy/Graphics/Videos/GIFs*
    • Facebook MOF Ad Copy/Graphics/Videos/GIFs*
    • Facebook BOF Ad Copy/Graphics/Videos/GIFs*
    • LinkedIn TOF Ad Copy/Graphics/Videos/GIFs*
    • LinkedIn MOF Ad Copy/Graphics/Videos/GIFs*
    • LinkedIn BOF Ad Copy/Graphics/Videos/GIFs*
    • Google Search Text Ads
    • YouTube TOFU Video Ads*
    • YouTube MOFU Video Ads*
    • YouTube BOFU Video Ads*
    • Google Display TOFU Ad Copy/Graphics*
    • Google Display MOFU Ad Copy/Graphics*
    • Google Display BOFU Ad Copy/Graphics*

*Refreshed as needed based on performance. Max one batch per month, per campaign objective. A “batch” is defined as 4 variations of FB ads, 3 variations of Google Display ads, or 2 YouTube video ads with up to two rounds of revisions.

PHASE III: IMPLEMENTATION
  • Create Targeting Strategy
  • Build Facebook Campaigns
  • Build LinkedIn Campaigns
  • Build YouTube Sales Campaigns
  • Build Google Search Campaigns
  • Build Google Display Campaigns
  • Final Content Review
  • Quality Assurance Check
PHASE IV: OPTIMIZATION
  • Daily Facebook Campaign Optimization
  • Daily LinkedIn Campaign Optimization
  • Daily YouTube Campaign Optimization
  • Daily Google Search Campaign Optimization
  • Daily Google Display Campaign Optimization
  • Weekly Key Metrics Reporting
  • Monthly Results Analysis
  • Monthly Results Review Call
  • Financial Projections
  • Ongoing Strategy Consultation
  • Ongoing Technical Consultation
  • Strategy Map 2.0 – A Plan for the Future

Your Team

Rebecca is an all-around digital marketing wizard with a passion (really) for analytics. She’s managed over $2M in paid media, has run dozens of SEO initiatives that successfully ranked sites on page one, and has optimized email campaigns for multiple 7-figure businesses - all while masterfully tracking results. If you want a data-driven strategy, consult Rebecca.

Rebecca Bowden

ACCOUNT MANAGER

Jimmy served as the Amazon Advertising creative director for Financial Services. Prior to Amazon, Jimmy worked at American Express Publishing as the digital creative director for Departures, Food & Wine, and Travel + Leisure magazines. When not developing advertising campaigns at Magic, Jimmy teaches yoga and meditation.

JIMMY HICKEY

CREATIVE DIRECTOR

Mason has specialized in Facebook ad management for 10+ years. He’s managed ad spends up to $1.3 million/month and is the wizard behind the campaigns of dozens of 7-figure businesses. Mason is, literally, a rock star. When he’s not optimizing campaigns down to a hair trigger, you’ll find him melting the faces off of screaming fans.

MASON BETSCH

MEDIA DIRECTOR

Evonna possesses a natural talent for bringing stories to life in a visually stunning way. With a keen eye for provocative aesthetics and a fiery, competitive spirit, she works hard, cares harder, and is fully devoted to making your brand beautiful. Evonna continually seeks inspiration from her surroundings, which is why she places an emphasis on traveling regularly.

evonna ramirez

GRAPHIC DESIGNER

Matthew is the most dynamic, emotionally resonant wordsmith we’ve ever encountered. As an insanely gifted rapper, poet, sci-fi novelist, and copywriter, he brings a bottomless reservoir of creativity and an everlasting devotion to the craft - and is hellbent on using the power of words to better the planet now and forever.

MATTHEW DUFFY

COPYWRITER

Paula has been managing projects in the tech/marketing industry since 2006. As a jack of all trades, she prides herself in being able to do whatever it takes to see tech projects through to completion. All of those frustrating tech tasks that have you wanting to smack the computer are a delight for her to accomplish.

PAULA LEE

IT SPECIALIST

Nick has managed hundreds of thousands of dollars in ad spend across a variety of industries from energy to real estate and e-commerce. He keeps tabs on spend allocation, making sure budgets are focused on what’s driving results. Nick is passionate about growing businesses that are transforming the world.

NICOLAS MENCHACA

MEDIA MANAGER

Marcus has led marketing strategy for 50+ companies, including Marianne Williamson, Eckhart Tolle, Byron Katie, Kim Eng, and Deepak Chopra's Chopra Center. With a passion for sustainability, renewable energy, spirituality, and wellness, he aims to impact billions of lives through digital marketing in those industries.

MARCUS MCNEILL

CEO

Brendan has quarterbacked digital marketing teams for nationally acclaimed online retailers, boutique agencies and Inc. 500 startups. He connects the dots between analytics and motions that drive consumer behavior. His estimated career winning percentage in rock papers scissors is over 90% (he measures everything).

BRENDAN HAYES

CMO

PRAISE FROM our CLIENTS

MARIANNE WILLIAMSON

PRESIDENTIAL CANDIDATE, AUTHOR, SPEAKER, ACTIVIST

"

“Magic did a marvelous job to get us to 65,000 campaign donations. Bravo! We’re part of the same revolution.”

"

“I’d recommend Magic to anyone wanting to grow their sales. The Magic team is on fire with purpose and are dedicated to making an impact in the world by systematically scaling the revenue of purpose-driven organizations.”

RYAN ALLIS

FOUNDER & CHAIRMAN OF HIVE

Investment

We can create, build, and launch every aspect of both funnel strategies pictured above. Our packages are fully custom based on the scope of work.

The core of the work we'll be doing for you lies in constant ad creation and daily media management. We can also provide you with web design/development, email marketing, SEO, and Facebook Messenger bot marketing, and we should in due time. There's of potential here, and I recommend we start with our core paid media work and then expand from there when the time is right.

Your investment in Magic is broken up into two main phases of the project: Setup (months 1-3) and Optimization (months 4-12).

For a tentative start date of July 1st, 2019, the payment schedule will be as follows:

setup: months 1-3

$15,000 per month, due by the 1st of each month, or 12.5% of ad spend, whichever is greater

optimization: months 4-12

$10,000 per month, due by the 1st of each month, or 12.5% of ad spend, whichever is greater

COMMON QUESTIONS

No, the ad spend is not included. Your investment in us goes to our talented team. When calculating your ROI, we include both your monthly retainer and your advertising spend in the cost of investment (as well as costs to create/deliver your product/service). It will be crystal clear how much your investment in us is paying off.

Yes, we guarantee that you’ll get leads. We have a 100% success rate with lead generation. We cannot guarantee specific metrics because that would be pure speculation. We don’t speculate, guess, or make decisions based on opinion. We make decisions based on hard numbers. Once we have numbers, we can make financial projections. 

Our goal with any new campaign is to reach profitability as rapidly as possible. If you’ve run ads before, our goal is to blow your previous results out of the water.

Rest assured that we’ll treat your money like it’s ours. Our intention is to develop a long-term relationship with you, and we can only do that if we’re making you money.

That depends on how serious you are about growing your sales. A general rule of thumb for aggressive growth is to invest 1/3 of your Lifetime Customer Value (LTV) into customer acquisition. If you don’t know your LTV, we’ll help you estimate it. Once you’re empowered with that number (exactly how much a customer is worth to you), you can invest in advertising confidently, even excitedly.

Absolutely. The success of your ad campaigns is dependent on the conversion power of your marketing funnel. There’s no sense in running ads if you don’t have a clear strategy in place for turning leads into customers. We’ll monitor and report the performance of every asset in your funnel. If we identify a bottleneck, we’ll consult you on how to optimize for purchases. Ongoing, holistic marketing consultation is included in our monthly retainer. 

Keep in mind that we won’t make any changes ourselves unless it’s included in the scope of work. If you’d like to expand the project scope, we can make adjustments accordingly.  

Ready For Magic?

Marketing is growth. It’s how we create more of what we want to see in the world. If you’re doing something amazing, we want to help you reach more people. Send us a little note below.

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