Properly Optimizing Social Media Ad Campaigns Better Assists Businesses in Finding Potential Customers

What is this whole thing about the Facebook algorithm? Do you guys ever use Netflix or Amazon? Or any of these algorithm driven, you know, Spotify where they're recommending songs and recommending products and If you like this song, you like that song. If you bought this product, you might also wanna buy that product. It's the same algorithm. Behind Google and Facebook, Amazon Netflix, all these guys, and it's called a collaborative filter. Calabrio filter is basically a lookalike. Where, let's say, you know, you like Donald Trump or you click like on someone's post, that then sends that creates what's called an edge. Which is a connection between any two objects. So let's say that somebody goes to Tom Hawkins's best price Chevrolet. And they're looking at a Silverado. Right? Because they graduated college, and they they would like to get one. Z seventy one off road edition. And they check-in there, and then they ask their friends, hey, do you think I should get a a new Chevy Silverado, or should I get try to get a used one and save some money? And they asked their friends, and their friends start commenting, not in the message, but you know, somewhere but that's still publicly available. That starts creating edges. And so Facebook is able to see who is friends with who and who are the strongest friends? Who are the people you talk to the most? What are you talking about? So the strength of the connection is measured by the edge which is the edge rank. We're not allowed to say edge ring. I've done that a few times. And when there have been Facebook employees in the audience, they get mad because I don't understand why that would be a big deal. We're not gonna hack the algorithm just because we understand how it works. Then there is the topicality that the subject matter or in Google SEO parlance, LSI. So, topically, like, maybe Tom and I, we talk about Chevrolet's. And Jeff SaaS, and I, we talk about SaaS software and the analytics software that we're building for local sorts of businesses. So Google and Facebook and Amazon and all guys, they all know what you're talking about. They also know the strength of those relationships. If you can imagine, there's giant map of these molecules where all the objects are circles and the lines connecting them are edges. You might think that the the objects are mostly people but you'd be wrong. Most of the objects are posts. Post by far outnumber people, even though the edges are gonna be the strongest edge rank is going to accumulate to those bubbles that are the people because the people are producing posts. And they're checking in at different places, and they're purchasing different products. So you can imagine any object is that circle and any line connecting them is an edge. Does that make sense so far, mister Tom? Everyone else here? What do you think, mister Tom? Does it make sense? Are you with me? Yeah. That makes sense. I understand. Now imagine you're the social network, and you're mapping out all these edges between all these different objects. And when when you're a free to use network and you make money off of advertising, then you want people to stay there as long as possible because your revenue is based on the amount of time people stay times the amount of content they produce or consume in that time times your ad coverage rate, which is what percent of the time you can show them an ad, times your average monetization, which can be ECPM or your earnings per thousand impressions. Okay? So you could even extend it a little bit further by saying, of how much you make per session? How often do they come back? So there's a decay factor. So the total lifetime value of a user is equal to the number of sessions that you predict over time times the number of page views per session times the percentage of page views that have ads on them times your ad monetization rate when you do show them an ad. Right? That's the math. When you get to use the network for free, and you monetize it through ads when you're the network. Google has the same monetization, and YouTube does, which is Google, Instagram, which Facebook, Snapchat TikTok, Pinterest, Pinterest, Pinterest, Linkedin, kind of, even though they have this premium membership thing, like LinkedIn navigator, sales navigator. But Ultimately, when you are trying to drive you as in the network, are trying to drive as much usage as possible to earn money because you are learning what people are doing, then the more relevant you are, then the the better you can show ads. And the less they look like blatant interruptive things that you don't want, and they start to look more like recommendations from friends. And I had lunch with Zuckerberg to talk about this where it was a few years ago. This is before the Cambridge Analytica thing, so he hate he really hate me now before he only sort of hated me. And he and I had an argument, and I told him that he needed to meet advertisers more than halfway and understand that they hire ad agencies that just wanna run ads and they come up with a jingle and people around the conference room think it's really cool. And then they run that ad. And, hopefully, it's really cool. And it's polar bears drinking Coca Cola or whatever it might be. Right? Real clever. And you can think of all the Super Bowl ads, the ones that you think are the most memorable And that's the way advertisers are. Right, Tom? What kind of ads do car dealerships run? They there's bigger car dealerships still do some branding ads on radio and and the television, and they're branching off in some of the OTT things, but a lot of it is digital now. They're they're working with third party aggregators to send them leads on used cars and and and new cars. That's a lot of a lot of Facebook marketing too. Yeah. And what's working in that Facebook marketing? Well, we've we've just mentioned in the Facebook marketing for the first time around Thanksgiving time and almost doubled our website traffic just with a thousand dollars a month in spend because we're using a company that is able to deliver about the lowest cost, you know, responsive ads of anybody around us refer to them. They're interested in Minneapolis. So that's been a very good deal for us recently. Yeah. And so there are dynamic ads that are specific to auto and travel and retail and whatnot. They're basically versions of dynamic ads. But not some retargeting. Yeah. It's most mostly a lot that's gonna be retargeting because then, you know, so much about the well, now with iOS fourteen point five, maybe not quite so much. But still the basic concepts true where you have their information. So Zuckerberg said to me, because I told them, hey, you need to do more of, like, what the ad agencies want because they're not willing to collect the kind of UGC and make vertical videos and Instagram stories and Instagram reels and WhatsApp. They're just not ready to do that. Okay? There's a way that people like to do advertising, and you're just gonna have to they do TV radio billboard. Right? They just wanna do it that way. And you'll get some people that are early adopters, like doctor Laura here, who I invited to come up to stage. But most people, you just need to meet them where they are. And he said, no. I believe that people will learn how easy it is to harness the power of the customer so that the ads become relevant. And the more relevant the ads are this is what he told me. And it's played out to be true. So you you can't say he's a liar. The more relevant they are, the more we're gonna reward the advertisers. In other words, what he's really saying is the more negative feedback you get, the more we're gonna penalize you. And then your ads, they cost more. You pay more per impression, which means you may you pay more per click and you pay more per conversion, right, because the base cost of the traffic no matter what bid optimization strategy you choose is gonna cost more. No matter how you choose it. So if you don't do posts that look like they're entertaining and fun, doesn't mean you're singing and dancing, but they need to be edutainment. They need to say something. They need to be interesting enough that someone might actually forward it. They can't obviously look like ads. They have to be vertical. Instead of landscape. They have to have video instead of images. They have to be lead ads instead of sending to the website as the call to action. Have to do remarketing against what you already know about them. So it it's a sequence of ads instead of all cold ads to everyone and within a ten mile radius of this suburban town that Tom has his dealership in. Right? And the algorithm that governs organic And what shows up and makes things viral or not is the same algorithm on the Facebook ad side when you boost the post. Why is that? It's because Facebook wants to show the things that get the most engagement. So when you boost a post, that's the same thing as choosing post engagement inside ads manager. And when you do boost a post, you're actually cannibalizing your organic engagement. Meaning, it's stuff that the algorithm would have chosen anyway, but because you chose to pay for it, then they can't show it organically because it's already been shown. So why would you do that? Because it's the same thing as brand bidding on Google. You're gonna bid on your name. You're gonna bid on your product name. You're gonna bid on Hawkins's best price Chevrolet. Well, why would I bid on it when I'm already ranking on it organically? Because you get more real estate. Wouldn't you be okay with paying an extra ten percent in rent to get twice as big of a property? I would. Right? Instead of a little place in the mall to get the anchor thing like a Macy's you know, whatever, of course. In Nordstrom, of course, I want more real estate. Of course, the brand the brand traffic is going to convert better. Has a lower cost per click, has a higher quality score which you have Google. So it's worth it. He might have twenty percent cannibalization as Google says. Google says twenty percent. I say it's twenty five, but either way, For every four conversions you get, one of them, you would have gotten anyway organically, but it's still worth it because you still got incrementally three. So you can adjust your CPA to account for that by multiplying by another twenty five percent to account for the twenty five percent cannibalization. So if you wanna get more sales and lease organically and paid. You need to understand that the algorithm is based on this edge rank. The edge rank is based on three main factors. One is the engagement rate. The engagement rate drives more edges. The more people like Sharon comment, the more that's going to show in the news feed. Of course, that makes sense logically. But what people don't know is that not all the engagements are worth the same. So a like might be worth a point. And a comment is worth six points. And shares worth thirteen points. And a negative feedback is worth minus one hundred points. Can you imagine that? My posts don't get any reach. Facebook is just squeezing me to try to make me run ads. No. They're not. Your engagement sucks. And if you go look at your post level insights, you'll see your negative feedback is killing you. One piece of negative feedback needs a hundred likes to outweigh it. Is that the exact formula? Close. I was at Facebook headquarters eating their barbecue, which is delicious, in Menlow Park, and some of the ad engineers basically confirmed this to me without they can neither confirm nor exactly deny, but basically admitted to me that there is a points based system. It's not exactly an exact, you know, six points per common or thirteen. It can vary based on different areas. But generally, A share is worth a lot more than a comment, and a comment's worth more than alike. Of course, it is. Right? Because when someone clicks share, they're putting their reputation behind it. And a share in the Facebook algorithm in the news feed in their ecosystem counts as a new post. Do you know that? It doesn't count as a like or a comment. A share is a new post. So it carries way more weight. In fact, it becomes its own object, which then can gather edges against it, if that makes sense to you. So you wanna do things that are working well organically because then if you boost it, you're throwing fuel on the fire. But a lot of people say, oh, you shouldn't boost posts because, you know, that bad and only idiots boost posts. Only people are not sophisticated because I'm real sophisticated. I use ads manager. I would never boost a post. Ladies and gentlemen, I've spent a billion dollars of other people's money on Facebook ads. For the last fourteen years. May two thousand and seven was the first ad that I ran. Actually, prior to that, I ran Facebook flyers. Which I don't really believe counts as their advertising system. That was fifty cents per thousand impressions that was targeted only against university students. And you had this little three hundred by two fifty banner, if you remember, is garbage. But it was fun just to show people that I could run ads when I was mainly spending money on Google ads anyway. But that's the heart of the ad system is to amplify what's already working organically. And you'll find that Facebook, if if you have a rep, they will disagree, and they will say, don't listen to that Dennis. You. He keeps saying you should boost post. Don't do that. That's only for people that don't know what they're doing. Like small businesses where it's either they boost a post or they do nothing because trying to set up re marketing or trying to set up different bid objectives and very validating the business manager and other things inside the business manager. It's just too difficult for them. So all they do is on their phone, they boost a post and put fifty dollars here and a hundred dollars there, and that's the best that they can do, which is better than nothing. There's some truth to that, but I find the most sophisticated advertisers know that you can't do split testing when it comes to organic posts. Just put it out there and it either works or it doesn't. I mean, you can sort it, but I don't wanna go into that. You you are just putting it out there and you're resonating to see what is What are the combinations of content and targeting work? And as you learn, that's the most important tool. People ask me what my face favorite Facebook tool is. It's your brain, the one between your ears, to see what is working. And you find a particular kind of video, a particular topic, with a particular person, with a particular background, with whatever it is that's working, then you just do that over and over again. You try to get better, and then you boost it to similar audiences to go beyond what the organic algorithm would have given you. Dennis, can I ask you a question? And I do wanna remind Tom and everyone that we are recording the coach you show. So if you do come on stage to speak at any point, you're giving us permission to record you. So I just wanted to mention that. So thank you. Dennis, it's it's interesting listening to what you're saying because I mean, even before Facebook existed, I used to say that that advertising when it's very well targeted becomes content. You know, if you're a fisherman you wanna know what the latest fishing rods are. I'm not a fisherman for the record, but, you know, you wanna know about the things you're interested in, and it becomes content. So listening to you talk about this and boosting posts, it sounds a lot like what you would say about White Hat SEO, meaning that just creating great relevant content and treating your advertisements as content is what's gonna make them work better. Is that am I off here or is that right? Now you're right on. You can't make chicken salad at a chicken shipped, sake. Right? At a chicken shitake. You need to have good content. Here's an example. So Jeff, when was the last time? What was the last, you know, movie or song or something that you liked? Maybe you you know, you watched it on TV because of COVID. What was something you liked? Well, I'm I'm still in the middle of it, but I'm liking the the latest the season of the Hammaid's tale on Hulu. The Handmaid's tale on Hulu. Yes. And so when you watch the latest episode of The Handmaid's tale on Hulu, do you say man, that was really good content. No? No. I say it was it was just a great great show that, you know, sparked my interest, made me feel some emotions and Maybe you wanna see more. Yeah. And in two weeks from now, I'm in Las Vegas, but I travel a lot. In two weeks here in Vegas, the CERC du soleil shows are starting to open up. At the Bellagio and some of these other places. Now when you if you guys ever ever seen one of these Las Vegas shows, Do you ever think when you walk out of there after they're doing all this acrobatics and, like, weird sorts of dance, like, just wow. I can't believe people can move like that and dance like that and play music like that. Do you ever coming out out of that saying, wow. That was really that was ninety minutes of really good content. Content. Content is a bad word. It's it's the ones that marketers use. Because marketers think that their content, their commercials about toothpaste, or whatever it is, People, you know, they watch that toothpaste commercial and they think, wow, Jeffrey. Wasn't that a really good toothpaste commercial? I'm gonna tell all my friends about that clever toothpaste commercial. Right? I'm gonna tell Tom about that toothpaste commercial. Heck no. To call it content is to blatantly make it obvious that it's advertising, marketing related content, and nobody wants to sit through that kind of stuff. So you you go to a Circular show and you say, wow, that was a really good show. That was a good performance. That concert was amazing. It was great entertainment. Entertainment and so and so who played the guitar. Right? That was awesome. I love the vocals. I love so and so who That was that book that I read. Right? I really enjoy that book. But you don't think that, you know, the the latest whatever book you're reading. Right? I've just finished Ray Dahlio principles, one of my favorite books. Again, I've read it multiple times. I have the app on the phone and all this. I don't think that was really good content. I think that that was wisdom. That was an entrepreneur sharing how to make smart decisions about life without getting blindsided by my own, you know, biases or emotions causing me to make the same mistakes over and over again. Right? So don't say content. Content means you're trying to advertise the people. So the way the algorithm works is we want engagement. Engagement not because we're posting silly cat photos that are trying to get people look like. The things that actually are meaningful and come from the heart or cause people to go, or cause people to say, I really wanna follow Doctor. Adrian Laura, because I see she has a heart, and she also knows a little something about caring for women. And she runs a celebrating women's center in Oxnard, California, I really wanna be around caring sorts of people like that that empower women and build relationships. I feel like she could be my doctor, even though I'm a man. Right? I you wanna leave people feeling like that. Now because she is paying to get Facebook to distribute that to the people who live in Oxnard and even further out, That doesn't make it advertising. That's postage. So if I send a gift, and some of you guys I see in the audience, like doctor Laura and ling so and other folks. You guys have gotten socks with your faces on them from me. And when you get that, and I had to pay something like seven dollars or whatever to ship that, through FedEx or UPS. That's social postage. Right? So when I have a piece of content and I wanna distribute that on Facebook, I'm going to pay instead of FedEx or UPS or uncle Sam. I'm paying Facebook for postage to deliver my message. So just because you get a package so I got a package a couple hours ago from FedEx, and it was some more electronics equipment because I had my I had all my fancy video equipment, all the stew all the equipment in my studio was stolen a couple of weeks ago. I'm very mad about that. It's like twenty grand of equipment. And we all know who it is. I had to replace that stuff, and so the FedEx person's bringing it and, you know, the Amazon or these other people that I'm buying the equipment from, like, BH photo, they had to pay the postage to deliver that stuff to me. So think about your content, whether it's It it it whether it's organic or paid, you're you're trying to get delivery, and your hope is that you can get free delivery. That's why I like Amazon. Much. I get free delivery on everything. I order things unnecessarily just because I like free delivery. I ordered a a fingernails clipper for a dollar nineteen just because I lost it. I'm like, yeah, whatever. I'm go to the store. It's a dollar nineteen. It's got free shipping. Why not? They're losing money on me. So I want as much stuff for free as possible, but then if I have to pay, to get a little bit more, why not? Right? So if I have to pay five five dollars to make ten dollars, that's a good deal. I mean, obviously, I'd love to get ten dollars not have to pay, but I'm I'm happy to pay five dollars to get ten dollars. I'm happy to pay nine dollars to get ten dollars. I'm still making a buck. Right? So we think about the algorithm as how do we extend upon what's already working organically. Cause if it's not working organically and you try to boost it or run ads against it, That is like driving with the e brake on in your car. Why would you do that? Right? You see some idiot down the road, and he's just flooring it, but the e brake's on hard all the way. He's just trying to gas it more and more. And he say, dude, take the e brake off. In other words, your content sucks. Put your content into the three the three stage funnel of awareness consideration conversion as part of the three by three. So three of each, three awareness, three consideration, three conversion, nine one minute videos in total, three times three is nine to Kekto. Right? You make these videos and you start to do more and more of them and you put them out there organically. And if they do well, you put more money against them. You initially put a dollar a day against each, so you're spending seven dollars in each post. Seven dollars ten to nine is sixty three dollars. The ones you extend, which will usually be one in ten. You extend for thirty dollars for thirty days. And then you keep making more videos and you keep extending them for seven dollars. Over seven days a dollar a day, and you start to accumulate a group of winners until these ones continue to run, and they are part of your greatest hits. Back to Edrick. The three components Quick can I, you know, if you could -- Yep? -- you you kinda made a little mocking of people who tell people you shouldn't boost posts. You should use that ads manager. Can you I've been told that a lot. Can you just encounter that just a little bit? Sure. So let's say that, Tom, you're gardening in Minnesota, a, and it's, you know, not in the middle, not in the middle of winter. Then you know, you sometimes you need a little trowel or a little shovel, but let's say that you're a construction owner company, and you have a giant caterpillar seven forty d earth mover. This is this gigantic thing that's, like, fifteen feet tall, and there's a ladder to climb up into this big yellow machine with wheels that are eight feet tall. Well, if you just need to dig up or if you just need to go into the garden and you know, replant one tree or re replant, you know, one little tomato plant. Do you need to get out the caterpillar seven forty d heavy earth mover? No. So you don't need ads manager every single time. And before there was ads manager, there was a tool that was called power editor. Six years ago. In fact, my buddy, Brian Rosenthal, at Facebook was the one who built power editor because back when Facebook didn't have an API, Facebook folks came to me. How was there all the time? Mainly because I wanted to eat their food and they knew I just loved eating their food, which is a great deal for them because they got me to consult for them all I was there, I don't know, a couple hundred times. And, you know, they would get my feedback on all the ad products in exchange for all the food I could eat. Which I like doing because I just love going over there and putting naked juices inside my backpack and leaving. But I they actually got a lot of free consulting out of me, so I think they ended up winning But Brian Rosenthal built power editor, and the way it came about was he said. So you're one of the most sophisticated advertisers tell us what do we need to do inside for Facebook to make tools that can work for millions of users. And I said, need to copy Google AdWords editor, so he made power editor. And I said you need to have the three tier architecture of, you know, the account of the campaign to the ad set to the ad. And you need to allow us to manage the creatives and the bids and the targeting and allow this robust set of API access, power editor that allows us to do bulk changes, really sophisticated regular expressions, These fractional sorts of changes, there were things called flexible and or targeting for anyone who's an engineer in the room. You know what I'm talking about. That was awesome. Flexible and or targeting. For a little while before they got rid of a lot of these cool features. And then they took away power editor. And now only some of the features live inside ads manager And then in at the end of the month, they're taking away Facebook analytics, and they're taking away a whole bunch more targeting And there's this iOS fourteen thing that's happening where they're taking away a lot of other things that we would like to do including the data and the retargeting and the Pixel, which captures custom audiences, what a shame. We can cry a funeral with our mini violin right now about that. But There's different levels of sophistication, and you don't always need the heavy sledgehammer, whatever, when sometimes you need a tweezer. If you wanna win on Facebook, and you you are not at ten thousand dollars a day in spend, then it's better to do a lot of lightweight testing. And I think the fastest way to do testing is to have many shots on goal. So you could spend forever trying to build this rocket launcher that will, like, Elon that sends this thing into space and lands again on this thing in the middle of the ocean. Wow, really fancy. But sometimes you just need a paper airplane. Sometimes you just wanna walk across the street and get a soda at the seven eleven. You don't need a freaking rocket every single time. I mean, you just wanna go across the street to your friend's house and watch, you know, football or something. You don't need to get in the rocket. What the heck? So that makes a good great analogy. Thank you for that. Yeah. And so some people who are self conscious about their advertising capabilities or about their digital marketing skills will think they need to parade out the biggest tool every single time. Look, I build these freaking tools for a living. My career has been building these tools. I'm a freaking engineer. Right? I was I started out as a search engine engineer Yahoo over two decades ago. Building all sorts of fancy tools that's mostly to this day don't exist anymore because people build better tools than I built. But back then, we built some of the best tools based on what was available. And I'd see new engineers try to because they're self conscious, they have a low self esteem, and they wanna show that they're using this latest tool and that latest tool how you can tell when someone's junior, they're always in this tool than that tool. And every day, there's a new tool, and they never have to deal with the strategy or creating good content. Really understanding the heart of the customer and talking to a customer. Can you imagine that? So you're so busy hiding from the customer because you have these tools to is this mask to protect you from ever talking to a customer and understanding strategy? Where god forbid, you have to put yourself in front of a camera and make a one minute video. So you make all these excuses about how these other tools will do all this stuff and bid optimization, all this math and programming. Well, you wanna win. You've gotta get good at video. And whether it's Dan Henry or me or Billy Jean or Ryan Dice or all these other people, Molly Pittman, who as as for Firestone, we are all saying, John Lumer, all saying the key to success today going forward twenty twenty one is the quality of your video. Okay? Because when you put those videos in there, the system's gonna optimize for you. I've had many meetings with Facebook execs. And in the last couple years, The common lament is, what are we gonna do about all these marketers and advertisers that wanna keep turning knobs and pressing buttons? Because somehow they feel, but they're doing something. Usually, when you have something that's working, don't touch it. Just let it run or increase the budget. Don't keep making fifty different campaigns or whatever. And of the same type. Oh, well, I'm just like a sophisticated Google advertiser. I'm gonna multiply fifty headlines times fifty images times fifty landing pages times whatever. You know, I've got thousands of combinations of my ads just I run on Google ads, I'm gonna do the same thing on Facebook. No. You idiot. Figure out a few angles that seem to make sense. Learn why one is working or not. Use your brain to figure that out and and only make one or two variations at a time and and then move on to the next one. Learn from that. Don't just blindly make a thousand different campaigns just because there's a thousand different kinds of targets that you you still have access to. So That's our way of looking at pro level optimizers. We see we're very fortunate to see some of the biggest advertisers and biggest brands out there. When we look inside their ad campaigns, they usually have just two or three campaigns. These are people that spend a hundred thousand dollars a day. You would think that they just launched their campaigns. And then we look at people who are new and they're frustrated and they're not winning and they're trying all kinds of stuff and they're constantly making lots of ads and we look inside their campaigns. And we'll see seven hundred ads in there. And I'll think, what the heck are you doing? But then you might say, wait, Dennis, but that that contradicts what you just said. Because you just said you should be putting a lot of stuff out there at a dollar a day and learning, and you should therefore have hundreds of posts, maybe. But after you make your first fifty or a hundred videos, organically, of which half of them you're boosting or maybe more because your audience is small so you get around the chicken and the egg by getting some traffic because If your page is small, even if it's a public figure page and you don't have any traffic organically, then you need to pay your way to get some data. So you're buying data to see what's working or not to get around the statistical limitations of enough data to determine, you know, what really is a winner. Right? Basically, fifty conversions or observations per ad set per week. So that you get out of the learning phase. Same thing for Google. Right? It's not that Google is any better. There's there's just it's just math. You need a certain amount of data. Anyway, back to Edge Drake, I went on a tangent. Three components. One is the engagement rate based on the weighting of what people are doing with Ycom and sharing a negative feedback. That's the number one thing. Number two is what similar people are doing, and that the collaborative filter on, well, people who saw this show, they also like this other show on Hulu. And Facebook takes that into account, dating sites take that to account. And the third part is time decay. So you could have been really popular, or this post could have done really well yesterday, but it's gradually gotten less and less engagement until it falls off the news feed because it's just the the score goes lower and lower. Right? And so you you look at how powerful any object is Think of it as the amount of water or juice, like SEO juice that you have inside a container, and all these objects contain a certain amount of juice. You wanna gather as much as you can. So just like with Google, your SEO strategy is to get as many links as possible, but from high authority sites, not just random sites from India or whatever. You want sites that have a high domain rank or domain authority, and you want them to be topical. You don't want them to be random blogs that you paid a hundred dollars for a site wide footer link. Right? So it needs to be topical. It needs to be from IP addresses that would make sense because if you're in Minnesota, then you probably want links from other businesses in Minnesota, but not only Minnesota, but they also have to be talking about buying cars or whatever that Tom Hawkins cares about. Right? And Google absolutely looks at those things because We looked at those things at Yahoo and the engineers that worked for me went over to go work at Google, and you you bet they used the same algorithm. That's why we sued them, for bajillions of dollars when Google went public, and we we made billions of dollars off of that because they stole our IP. Right? Nothing wrong with that. That's business. So it's the same algorithm. And the the algorithm that that is based on search, you know, to rank on something, this SEO Magic witchcraft Oija board Voodoo doll ranked number one secret. Can't tell you. No. It's based on links. It's based on Jews from high authority sites where you can't fake it unless you actually are in the news, unless you actually have the same kind of link profile, meaning the set of links that other people who rank on the first page have. It's really not hocus pocus. Semrush, Hrefs, majestic, other tools. We'll give you that. Because they crawl the entire web, trillion links per day, something like that. Right? So the same is true on Facebook. Right? Because Google's about website that link to each other. Facebook is about people that link to each other. What do you mean linked to each other? Well, if I click on doctor Laura's, post that she made forty minutes ago about what the cover of her book would be, then that's a link. Because you can click on it and then goes to my profile or goes to her post. Everything you do that is visible generates a link. I can click on Jeffrey SaaS profile. On LinkedIn, that creates a link. I can click on a post that you made on Twitter. That's a link. Every action that's publicly visible creates a link. And on Facebook and the API, that's called a story. I don't mean a story is a fifteen second thing on Instagram. I mean a story as in some kind of action that is publicly visible to other people. Well, we depending on how you set your privacy settings on that post to your profile. And then there are things that are called activities. An activity is an action that someone takes that doesn't generate a story that doesn't generate a publicly visible action. So if you click on someone's profile, that it doesn't say Jeffrey SaaS clicked on doctor Laura's profile, Right? So there are things that are visible to other people that you did, and it's funny that LinkedIn will actually show you what someone viewed your profile, but Facebook Wong, which I think is funny. That's what huge advantage on LinkedIn. But all of these stories that the the higher the weight of the story the more reputation cost it is for someone to do that, the less less frequently that particular activity happens, the more weight that that carries and therefore the greater the strength of the edge, and therefore the more juice that's passed to that particular object. So when you draw the map of the universe of all the objects, and then you calculate who ranks number one in a particular category, or as a gynecologist in Oxnard, California for doctor Laura. Then Facebook can very easily tell who is real or not, and Facebook can instantly tell who's a spammer. So you know these honey pots on LinkedIn, for example, that will they use, you know, some kind of fake photo or some real woman's photo that's attractive and they try to friend request you or whatever They're not real. Right? They're just trying to generate leads and sell you viagra or leads on Instagram or whatever it might be. Ten thousand followers They'll those stand out as a sore thumb because you can see if you map out the entire grid if you're Facebook. You can quickly see who's real or not because the fake profiles don't have edges to real people. They're not linked to. People that are authors and and well known people in our community, you can just quickly tell that that there's just like this cluster of cells that's like cancer. Right, compared to healthy human cells. It's just a different organizing pattern. And so when your social network, you can quickly traverse the network to see. And this is called social graph theory. This was not something that Mark Zuckerberg invented. This has been around in academia for a long time. When you understand that edge rank, which is the amount of juice that's passed to any particular object based on the weight and similar objects activity and decay. You can calculate this recursively. And it's the same thing that Google does when they calculate what's called page rank. It used to be shown in the toolbar page rank, which is the closest approximation any of us had to, like, a page authority or a domain level authority, it's calculated the same way recursively across all the links, eventually, It settles upon the algorithm settles upon giving a number to each particular object, which is the amount of juice that they have based on everyone voting for one another, Some juice goes this way. Some juice goes that way. Eventually, it settles. And here's the number that each person has and is being calculated every day. Sometimes more often, than that where the New York Times is being calculated every fifteen seconds or something like that. One of these SEO people at Google told me this. So that's what I want you guys to understand about ranking, It's not some magic secret algorithm, but you do need to understand the basic math of what we talked about. And I've I think if you think about it, It really makes a lot of sense that it's not some algorithmic program or PhD and computer science kind of thing. If you think about relationships, Well, there's some people that you know that know a lot of people, but just barely know them, but just know a lot of people. So you can think of this as this two by four laid out horizontally. Right? It's really long, but it's only an inch tall. Right? Long two by four. And then you have a have some people where they have only three or four friends. But those are really close friends, and that's a two by four that's stood up vertically. Right? So you have the area of the box is length times You guys remember that from geometry. And you have some people where maybe they used to be well known. They had a large audience like a a large network and a deep network. But there's been a time decay because they retired twenty years ago. Now they're just playing golf and Maui, Like, my friend, Mitch, his wife, Lisa, was the head of marketing at Google. And when they retired, she made a hundred million dollars and bought all his property in Hawaii, and I'm jealous. Because I was at yahoo and I didn't go over to Google when they invited me over there. Just kidding. I know. I actually am jealous. So she was a big deal, but now she's enjoying life as she should be. She should be she's savoring life. She and Metred riding their mountain bikes all over the place, which is fantastic. But their edge rank is relatively low because if we go length times width times depth. The area of the box. You're looking at how many connections you have times how deep those connections are times the recency, right, a decay factor on that, and you can measure the influence that somebody has. Isn't that kinda neat? Think about how that applies to you. Think about your network. Personally or professionally, who are your best contacts? How strong are they? Some are stronger than others? And how recently have you engaged with them on any social network? And then what is right? So the there's the network, there's power of those engagements. There's the recency of those engagements. And that tells you something about how much weight you have in the algorithm when it's LinkedIn or Facebook or, you know, Twitter does it to some degree. And you could use advertising to kinda tricked the system. Right? Because if your if your waiting is low, you don't have that much of a network. You don't have a lot of authority You don't have a lot of depth. You don't have people constantly engaging. You've not built a big email list. You don't rank on particular keywords. You're not speaking at the big conferences or, you know, whatever it might be. You can just buy your way there. It's just like an election. My friend, Michelle Fury, she's the mayor pro tem here in Vegas, She invited me to Thanksgiving in Vegas because she knew I was just hanging out doing nothing. And she told me that every single thing in governments for sale You wanna be governor? That's a ten million dollar race, because that's just what it costs to buy the votes, buy the votes, not because you're cheating the system, but because, you know, you You have to do canvassing, and you have to hire people. And you want president? I I wanna say it was a billion and a half. She told me everything's got a price on it. You want whatever you want. You can call that sticky or slimy or whatever. But there's a price on everything. And it's just a hard truth. If you wanna get a certain amount of reach, If you are Cambridge analytically or you're the Chinese government and Russians and you wanna influence the election, you just know mathematically there's a certain amount of people you need to reach. And a certain number of those people, you can get them to think a slightly different way because they don't realize they're being influenced. It's very easy to influence people. Especially the ones that think they can't be influenced, those people are very easy to influence. And you can move things whichever way you want, and that's the power of advertising, but it has to start with really good content. I took a look at the content that the Cambridge Analytica people put out there, and they had a whole series of posts which were written very much in the clickbait way. And you won't believe what happened to this woman after she got shot. This black woman got shot by a cop, and this happened. My goodness. I need to click on it and find out what happened. Right? And the edge rank on that is crazy because the post that did well organically, they then boosted Right? They boosted to get way more traction and their hundred thousand dollars they spent. I estimated it generated seventy million impressions because they were really high edge rank. Therefore, they're getting that cost of traffic for, you know, less than a penny per engagement. They're getting a ten to one viral to paid ratio. So every one paid click or interaction to get another ten viral. That's a viral coefficient where it's so strong that every action drives a secondary and tertiary action, I think I estimated seventy million and the actual number was like eighty two million. So that was pretty close when the real numbers came out in Congress. We leased all that kind of stuff. But it's exactly what we need to do. When you see these people that are supposedly sophisticated like a Cambridge Analytica, all they're doing is they're boosting posts. To putting out a lot of interesting content. Some of it I think is unethical, but let's just hold that aside for a moment. And the content that generates the most engagement. They put more money against it. We have seen the data. Right? You guys have seen the data by now. That's exactly what they did. Was it very sophisticated? Was it because they uploaded this giant database of users and had these PhD scientists? No. They just put out interesting content lots of it to see what's working, and they put more money. So the algorithm did the work for them. And so that same algorithm that did the work for these guys is same algorithm that does the work for you as a small business owner at a dollar a day, but it starts with your content. And it starts with your ability to understand that it's not advertising it's something that you happen to pay for when it's good. You're gonna put more. You're not going you're gonna throw fuel on the fire. You realize that chicken salad cannot be made out of chicken shitake. So that's what I want you guys to think about the algorithm. And I'd love to open it up to questions now and see what do you guys think? Dennis, I have a question while we while we get people to raise their hand and come on stage too, which please do if you're in the audience and listening. So you talked about doing, you know, starting at a dollar a day what if you are spending ten thousand a day or twenty thousand a day? Do these same principles apply? Because one of the challenges -- Yeah. When you scale seems to be you find an ad that's working really well on Facebook at a modest budget, but when you scale the budget, the performance drops off. Sure. Because when you choose conversion as your objective or boosting, the system is gonna find as much as it can of the low hanging fruit. As many conversions as possible based on well, if you're spending more than ten grand a day, you're probably using manual bid targets, and you probably have a series of custom audiences and look alikes that feed against that one particular ad that you're running. I'll give you an example. You guys remember Purple, the mattress company, they had the Goldilocks ad, Viral, Harmon Brothers made the video. They're the pros making that kind of stuff. So we put a hundred million dollars of Facebook ads against that video, and we burnt it out. Right? There was just no more. And it was scary because when you burn out a creative or when you're at risk of burning creative. If that creative dies, your whole company hangs on a string. It's just that one thing. You need to have multiple kinds of creatives. So we had a frequency of I think it was two and a half or three across the United States. And we were targeting the entire United States. And it wasn't because we were lazy. It wasn't because we just ran out of audience or something like that. It's because when you have a winner, starting with initial, an initial custom audience or an email list or people that are familiar with you. So it isn't a true cold audience. And it's converting better than CPA target that you have, then you expand that audience a little bit. Now you run the ad against, you know, everyone that's been to the site in the last six steer you eighty days or whatever it is, then then you run it against your one percent lookalikes, then you're you're, you know, three percent, and your five percent look deluxe. And then eventually you run it against untargeted because now you have enough conversions. You have more than fifty conversions per ad set per day that you realize you know, when I initially was running this ad. And by the way, if there's some of you guys that are spending ten k or more per day, you know what I'm talking about. It's true. You can go ahead, raise your hand and confirm with me that this is the case. We've had this conversation hundreds of times that you had this thing saying, well, our audience is, you know, for USCCA, the United States conceal carry association It is mostly men that are thirty to fifty. They live at home. Here's the whole persona. Right? They have a couple kids. They're not hardcore gun people, but they believe in the in, you know, the they they, you know, they they're conservative. They like Donald Trump. They maybe are more likely to drive a pickup truck, but they're just good family people, and we find that that's working really well. And we took it from a million to ten million to thirty million dollars in revenue. Right? And then we realized, hey, wait a minute. What if we just took that performing ad and took all the handcuffs off? We run it against on targeted. Yeah. But, well, there's women in there. Women are less likely to join the US concealed carry association. That's right. Because when we choose conversion, then we let the system do the sub targeting for us. We let the system decide how to bid and it's just gonna be so much better. So that's why when you look at the bigger accounts, you'll see that they run on targeted and they're running to bid optimization against conversion. And then of the mid funnel content they have that drives engagement, maybe it's why or how kind of content it's entertaining, it's some videos, the remarketing against anyone who's seen half that video or, you know, fifteen second view through that video so they can drive more custom audience is to retarget against, so they have a stronger conversion pool to build stronger lookalike audiences. And I think you're gonna find that it starts the sophisticated advertisers, they start at the bottom of the funnel, and they move up. Why? Cause they wanna feed the strongest signal into the algorithm of people who are converting. Don't start at the top of the user journey, goes top middle bottom. But us, as marketers and advertisers, we start bottom up because we wanna feed the cleanest signal we can based on getting our digital plumbing in place. If you don't have your digital plumbing, you should have our people do it for you. That way you're tracking and all that are set up properly. So you're not just wasting money. And then you're not gonna run into this issue of or you you can stave off the issue of, well, I ran this ad and burned out weeks later, I had to come up with a new ad and continue to have creative refresh. You still do need to have creative refresh, but you're less dependent upon it because you recognize what the size of the audience is relative to the budget that you can spend. You guys ever get, you know, your your favorite band releases a new song, and you're so excited for this new song, when you get it, you just play it twenty times per day. And a week later, that song is so awesome. You're sick of it. It's kind of like that. Right? So you don't wanna burn out something that's working well. Your your budget that you can spend is dependent upon what the available audience pool is that we'll convert. And the algorithm is gonna go for the easiest conversions first, and then your CPA starts to go up. And then things just start to fall apart because Facebook's gonna try to maintain against the CPA target that you set. They're honoring your request. We see some people doing things which I I frown upon, but it does kind of work. You could take the video and you could zoom in one percent or you put a red border around it or just basically re upload the same video, but change it a little bit to try to fool Facebook, even though it's the same creative, but just slightly changed. And it may potentially reset the learning curve and allow you to run that ad again and get just squeeze a little bit more life out of it, but the smarter approach strategically is to create variants of that video. Larry Kim calls them unicorn children. You have a unicorn? Great. Make unicorn children. Unicorn babies. What are things that are similar to that thing? Can you make a video on the same theme with that same person? Maybe in a slightly different background, saying things a different way, maybe a different person using that same script, maybe a different a slightly different version of that product shot. Maybe one is a fifteen second video or a sixty second video. Maybe redone is a carousel. Maybe resized so it can show inside Instagram stories for fifteen second vertical videos. There's lots of different things that you could do. Facebook will say take that same video instead of making new videos all the time. If you're doing it for conversion, try just changing the the copy a little bit, the description try changing the button. Try changing the landing page. Try changing a couple of these other things by split testing. That way, you could squeeze more life out of an existing asset versus the cost an effort of having to make a new creative, because, you know, making another video, I mean, I I I guess the one minute video isn't really that much But for most people, making another video is this act of god. It's like, you know, doing your taxes or something. People are avoiding it. So that's the way to think about It's relative to the size of the audience. If you have an audience that's really small, one of my friends, he's an agency and he serves serves float tanks. So there's these places you can go for sensory deprivation. You sit in tank at salt and whatnot. There's only so many of them, and he's already dominated that market. There's no more in that market. He's already won. He can't get any more customers because he's the dominant player in that market. So he could increase his budget to try to get more of these float spas to use his program, but it's it. So it's limited by market size. It's limited by what you're willing to pay. If you can pay more, then you can bid more, and you can spend more and burn out more before you you get to that point. Right? If your if your landing pages convert better, then you can spend more. And Jeff Bezos and these other folks will say whoever can afford to spend the most for the customer will win. So whoever optimizes the best in the long run is going to be the winner, and that's why Bezos says your margin is my opportunity. Isn't that me? My friend Valentin Radu, is, he he's the CEO of Omni Convert, and I think he's the best conversion optimizer in Europe. The guy looks like Gary Vaynerchuk, kinda sounds like Gary Vayner but he's not Gary Vaynerchuk because he's European. I met him in Romania. He's in Bucharest. He's a very humble guy, but he's this crazy math optimization genius And he created this thing called the CLV Academy, the customer lifetime value academy. And what he does is he looks at all the sources of media. Could be, you know, Facebook ads or YouTube or email or, you know, Amazon ads, whatever it is to try to drive sales. And he looks at what is the highest you can pay while still profitable on the margin. And what can we do if we can get a twenty percent increase in customer lifetime value by having, you know, renewals or other kinds of offers to get customers to pay more and upsell. Or free shipping if you spend more than fifty dollars, but you see people are spending forty. Okay. Spend fifty. We'll give you free shipping. Referral sorts of activities, or premium products, or bundles, or special Christmas sales, or moving into Snapchat or other channels try to increase the volume. So if we can just get, you know, a five percent increase in volume, a five percent increase in SEO traffic, a five percent increase in conversion rate, a five percent increase in customer lifetime value If we can add all this those things up all of a sudden over the course of a year model it out, you can afford to spend twice as much. Right? And that allows you to beat out the competitors. Because maybe you could spend seventy five cents a click, and it was profitable based on your conversion rate and clTV and all that, but now you can spend a dollar fifty. This is not just hocus pocus theoretical. We're doing it right now for seeds of life. If you go to seeds of life dot com, you'll see that you can, you know, if a loved one passes away and you wanna honor them, you can plant a tree in their name. Right? Or maybe a pet dies, plant a tree in their name. Different kinds of trees for different kinds of occasions. And in the last year, they went from one point one million dollars to two point five with our help. Why? As we increase their SEO, we increase their lifetime value by ten or fifteen percent, we had certain products that cost a little bit more to increase the LTV. There's all these little things you can do. Each one is little, but the sum total of it is incredible. And I would encourage you to think about that at the strategic level in your business. Before you start going to the tactical, well, how do I how do I know when to change my bids? How do I know when it adds burned down? How much should should I spend a dollar here and ten dollars there? And before you get to the tactical nitty gritty tool kind of things, I focus on the strategy of who's the customer? How much can you afford pay for them based on how much revenue they're worth, what are your different kinds of fixed and marginal costs? How well are your creatives performing? Largely because you are getting the creatives from them. Right? Hey, Doctor. Laura, how are you doing? Oh, I'm doing really well. Thanks for having me here. I just got home from work. You're fantastic. Doctor, Laura, tell everybody about your story in growing your practice, especially with digital marketing, and making videos and showing how human you are. And maybe when we were together just a few days ago, and maybe your concerns on making videos and what this means and your preconceptions and what you actually found out. Okay. Well, I think what's really important is when you're working with clients It's not you have to make them feel comfortable. And, Dennis, that's what you did. You I was like, no, shouldn't I brush my hair? And should I wear a mask? Can you I mean, what a patient see me this way, and they have a concept of who I am, and this sort of thing. And then once we sat down and we had a conversation, and what you were doing was you were asking really for me, interesting questions about me that brought me out in a really comfortable, natural, organic way. And and you told me you were gonna clip these up into different segments to show who I was And it was in my comp it was in my wheelhouse that you did it. So you did it in my office, you did it in my operating room, and you did it with my patients present. And it was something that I thought was great. I didn't have to go to some studio. I didn't have to have shining lights in my face. And I really was, like I said, I think the best for it was organic. It was really who I was. And that's what I wanted to do. I wanted to present who I was to people who didn't know me. I wanted to validate for those people who already knew me, and I wanted to be for those who did absolutely knew nothing about me have a have a piece of me. I wanted to give them a piece of who I was as well as that dirty word content. Okay? And you did a great job just by being who you are, as you've been over the last thirty years, you're training at Harvard, right, and the -- Right. -- different procedures that you offer, the way that you engage with and care truly with your patience is something that just has not been visible on the internet, whether Thank you. Facebook YouTube website. So we merely just capturing that was the key difference that most people don't understand because they think it's about the Facebook algorithm or you gotta hire some fancy SEO guru website designer and pay them lots and lots of money. It's not that. It's merely getting who you are, the heart of who you are out there. And then Monique at the front desk and doctor Dan and fertility doctor and -- Yeah. -- doing the whole thing. That's what that's what we want people to understand. It's not the algorithm. It's not the tools. It's not crazy math because maybe you flunked out a calculus or something in college. It's it's the heart and soul of who you are. Well, actually, that's true. And and by the way, I weighed to I I made it to advanced calculus. I really love math. I'm I'm a real geek. But what I wanted to ask you about the algorithm, so someone had said the other day had advised me that when I post one of my one minute videos or I boost it, that I should I should rely on the Facebook algorithm. I shouldn't target my audience. And I go, oh, I thought I had to go clip out all the the particulars. Is that true speaking of algorithms? Well, depending on the category that you're in. So things like real estate and renting and employment and whatnot, then you can't use ASL, age sex location kinds of targeting can't red line, which is, you know, different people in different neighborhoods might be ethnics or but you know based on what you've put into that video. The heart that you put in when you were telling a story about one of the candles or about the lady who is getting she's getting married in two weeks. And she's using the new laser. Right? The different stories that people have when people engage on your videos, that actually is your targeting. So the targeting that you set in the ads when you boost a post is really just the initial targeting. It's the initial boundary that circumscribes the pond that or lake that Facebook is allowed to fish within. So they cannot go outside that circle, but they can fish anywhere inside there. So the more engagement you have the more of a signal that the algorithm can then see. Well, within, you know, across this giant lake, there's this one spot over here that seems to have the best patients seems to have the people that engage in most seems to have the most people to make a phone call seems to have the most people that fill out a form seems to have the most people to check-in to celebrating women's or, you know, that your place. Yeah. And and so when you set up your plumbing, which is I know it's giving all the data to to Facebook and Google. You're arming them to be able to do that work for you. So for you, All you need to do is target people within the ten mile radius of Oxnard, California. That's it. That's the only targeting you have because now your content is doing the targeting for you. Because as long as you make good videos and people stay and watch through to at least fifteen seconds, which is called the through play, Then Facebook's gonna say, wow. Doctor. Laura wanted to boost this one post. Let's find more people who are gonna stay and watch for at least fifteen seconds. And if it's thirty two year old women that want to get married in the next couple of weeks, they're gonna find them because Facebook knows that better than you rather than you trying to override the system and do that kind of targeting. So it used to be five years ago. You would set up all these different targets. Women with breast cancer, about to have a baby, or can't have a baby, or face particular condition or wanna get laser or juvederm or whatever. You used to have to do all that kind of targeting now. You don't. You just choose ten mile radius Oxnard, California. On Facebook. I love that. I love the idea of Facebook working for me. Now Google's different because Google's driven by intent. So someone types in facelift or liposuction or whatnot, and they are within ten or fifteen miles of standard. Maybe even in the greater LA area, then we want you to show up doctor Laura, because Google knows where you are. Even if you'd even if you just type type in, you know, tummy tuck. Then because Google knows where you are, they they naturally know where who to show. So Jeffrey could be in Denver, Colorado, and he types in pizza. And it's gonna show all the pizzas pizzerias within a few miles of wherever you are. Right? You can do it right now, whether you're logged in or not. Right? You do a search. Google will know where you are, and it can infer Google can infer whether it's New York you type in New York pizza, Are you looking for pizza in New York or are you looking for New York style pizza? Right? New England clam chowder or is clam chowder in New England? Right? Google knows and is smart enough to determine these kinds of things because it's driven by the initial intent of what someone types in. It's it's driven by someone has to do a search. For this thing to happen. On Facebook, people only have to scroll. So it's push versus pull. And, thus, that drives targeting differentiation because when When it is content being pushed at you when you're going through the news feed, then targeting is inferred because the intent is not direct. Facebook may know that maybe you like to eat around seven PM. They see that. That's your activity. That's they see that's when you check-in. They see they know lots of stuff. It's it's worse than big brother. Right? Then they they can start showing you food ads. They can start showing you other things just because they kinda know what you like to do. And you these things that are coincidences are sometimes coincidences, but often it's not. But Google, because it's poll driven where someone has to in has to type something into the box for the experience to start, they can rely upon the signal of intent So people in on Facebook aren't typing best car dealership in Minnesota and the They're typing that in the Google. What they're typing in the Facebook is navigational. They're typing in people's names. They're typing in clubs. They're typing. They're navigating. But on Google, they're searching. So the they're not gonna type in people's names as often. They're not navigating so much inside Google. So navigation versus search, even though they're both They both have a box to initiate. It's a completely different experience because of a different environment. And the funny thing is that even though When people go to Google, you wouldn't go to Google unless you're looking to find something. Right? You wouldn't go to Amazon. I saw some crazy stat, like, eighty percent of people who go to amazon dot com and end up buying something. Because why would you go there if you weren't gonna go buy something? So their conversion rates, they're just stupidly through the roof. So do you see the behavior? People don't go to Facebook looking to buy something. They go look to spy on the ferret and see what the ferret's doing with these other sorts of people. So when you see that behavior, you might think that the algorithms are different between Netflix, Amazon, Google, Facebook, YouTube, Snapchat, TikTok, TikTok, and It's not because all of these algorithms are trying to get the users to do more of a particular activity, especially on the paid side. So when you look at the paid side, When you choose a business objective, you have a three stage funnel. Every single one of these networks has the same three stage funnel. Every one of them, LinkedIn, Twitter, Snapchat, TikTok. Awareness consideration conversion. Those are the three stages, and they have objectives within each of those three stages. They are exactly the same. You would think that the same graphics designer or ad engineer built all those interfaces. And to some extent, you'd be right because a lot of people from yahoo went to Google who then went to face who then went to Instagram and, you know, whatnot. They wanted their stock options or whatever it is. But the reason it's the same is not because it's the same people. It's because it's the same algorithm and dynamically the way you optimize is the same because it's the same people and it's human behavior. When you're optimizing for human behavior, you're still moving through those three stages of the funnel of awareness consideration conversion because that's how the mind works. And when we know that, we're ultimately driving to conversion, which is no like and trust or top middle bottom of the funnel, or why, how, what, which is the way I like to say those three stages of the funnel, then, you know, it's no different than how things have been forever since the beginning of time before there was the internet. There was still word-of-mouth. And some caveman who made better meat than the other caveman who made bread than the other caveman who did shoes or whatever it is, they had these trading sorts of economies and the quality of the goods that you had drove word-of-mouth. And if you were known as the really good baker, then you got more, more meat than the other one who wouldn't get as much meat for the trade. Right? And there is still engagement, just different kinds of engagement, but there's still the idea of no like and trust. So all the social network stuff has done is made visible what was already there since the beginning of time and put it into a public format, the stuff that's going on with blockchain is taking it a step further. It's not because people are trying to bump up the hype on all these shit coins. It's that there's now a ledger that's tracking all the things that people are doing and everyone is storing this historical record of what everyone else is liking, sharing, commenting, buying, and and whatnot. Right? So now there's gonna be one social network in maybe even one eventual currency that wins across the whole thing on which there's an algorithm that sits on top of all that data. When that data becomes public, it no longer becomes in the realm of Facebook. Because when it sits in the in the ledger and public ledger, a blockchain. And depending which blockchain you think is going to win, you know, a theory in their Bitcoin or whatever, that is going to eventually kill the social network. Because the algorithm needs data in order to score people and make recommendations. If the data becomes public, then anybody can build an algorithm and then Facebook no longer has that no longer has the the AOL walled garden lock in. And I'm excited to see what happens in the next ten years. I don't think there's gonna be much of a Facebook when this thing happens. And I think the government or blockchain is going to kill it, but the algorithm's still gonna be the same because the algorithm that we've talked about powers your recommendations on Amazon. Oh, you bought this. You might also like that. Same algorithm. It's a collaborative filter. It's been around forever. You've just had some people that have commercialized it and tried to pull all the data for themselves. Google wants all the data for themselves. That's why they're killing all third party cookies by the end of next year. Apple wants all the data. That's why they have this iOS fourteen point five prompt. Facebook wants all this data. That's why they're saying we're not gonna share data with these other people because the government says we should. No. They don't want to. The government is an excuse. Right? All of these guys, Amazon famously doesn't share data. With anybody, you can pass them data like Hotel, California, You can go in, but you never leave. Right? All these guys wanna have your data, but they never wanna share with anybody else. And you're gonna see these greedy hungry, hungry hippos at the trough expose themselves in the next few years. But I hope our time together today you see where that's going and maybe cause you to Think about things in a slightly different way. What do you think? I'd love to hear Jeffrey Tom Doctor Laura or Colin? What do you guys think? I think, you know, Dennis has as always, you dropped amazing gems tonight. You are the Diamond dealer of SEO and algorithms. No. It's really interesting to understand. At the end of the day, as you said, it goes back to the beginning of time. And even those merchants before there was any technology. They sold their goods by telling good stories, by engaging with the townspeople, and touching them on some emotional level that made them come back and trust them and wanna buy their their goods and services, and and really nothing's changed. Right? Amen. Tom or doctor Laura? Well, I just, you know, I've just gotta say I it's been great kinda learning the real deep and understanding. I know the thing that I learned tonight was that boosting posts is okay that you don't have to be ashamed because you wanna boost and that get in and use ad manager to the deepest degree. And I, you know, I I think that'll be benefit me and also to get in and really look closer at my insights to how to take some of your organic posts and, and boost some of your organic posts that are already successful. I that was something else I learned tonight that that was very valuable. So thank you. Awesome, Tom. How about doctor Laura? What do you think? Well, I think that just replying to Tom. I think first of all, There's never anything to be ashamed of if you're trying. Okay? And I think I I think people have to drop that word from themselves, shame. And if someone is shaming you, then they aren't in your wheelhouse, then drop them to the wayside. So there that's my my personal opinion. And then when it comes to advertising, Dennis, what you've always taught me is authenticity. So we're using words like organic or we're mash away you or storytelling. I think everybody, when they're being themselves, is authentic. I think everybody has a story to tell. I think everybody needs to own themselves and own their story. When you do that, not only are you happy, But what you put out there is what people want to hear. They want a piece of you, period. Okay? They may not admit it, but I know as a doctor, certainly, they want a piece of me. They get really excited when I put out, information about health or I tell them about me. I was really shy in the beginning about, you know, I thought I had to keep up this doctor persona where I didn't let people know who I was or that I made mistakes, not not medical errors, but that I was silly or that I got into car car car car crashes. Actually, the UPS truck took off my door on my beamer. But these sort of things, they wanna hear about who you are as a person. And making yourself real. Because then they feel like they can trust you. They feel like they can buy from you. They feel like they know you. And I think that's what you've taught me, Dennis. And that that comes all of us have that in us. We are all authentic, and we all have stories. So amen, Hey, man. And I see that we have Angela Myers in the audience. Maybe, eventually, you wanna unmute and share some knowledge or some thoughts and moved you up to a speaker if you're interested, or maybe she's she's exercising while she's listening to people on clubhouse, which I think is what most people are doing. Well, guys, I've had a great time hanging out with you. I hope that you also enjoyed it. This is our weekly session of Coach You. Today, we talked about the Facebook algorithm and took a deep dive The beauty of being in the startup club, so if you look at the greenhouse at the top of the screen is that this is all being edited and transcribed and turned into articles So you can if you weren't here, you can get the replay. And thank you to Jeffrey and his team from the startup club to hosting this and putting all the stuff on. They do it for free. We are all volunteers, and we are here to help each other. And we wanna hear stories when you guys have implemented some of the things that we talked some of the realization, some of the improvements that you had in your business, especially if you're a local service business. And if you're like Tom or doctor Laura and you want more of this, and you want help from me personally and our team. Maybe just to validate what you're doing. Give you a thought about what's going on. Maybe implement a couple things that have been you've been struggling with, like, getting your website fixed. You put you put that off for years or something like that. We have something called office hours. It's a hundred dollars a month. It's a weekly live coach and it also provides our team. I'd recommend you to go check that out. If you're interested in that, hit me up in Instagram and you can learn a lot more. It also funds our training program. We've got number of young adults and not so young adults, I don't take a penny out of any of it. I've been ripped off to the tune of almost a million dollars in the last few years. But I still keep doing it. And there's there's several million dollars I've invested intentionally, and there's over a million almost a million dollars I've been stolen from. Because I believe in putting good stuff out there. And for every one person that is not a good person, there's ten or twenty people that are good people. And I would like to see nothing more on my tombstone. When the day comes that I die is all that you guys will, that I made an impact in building an educational community of certified digital marketers that understand how to do digital marketing in a competent measurable methodical checklist driven way, just like doctor Laura. She's a doctor and she's trained on the latest procedures. She would never make stuff up. It's not a secret the way she does liposuction or the way she does hair restoration. It's not a secret. Right? But she had to go to medical school. Harvard med for fifteen years, holy moly. And I wanna apply that same mentality, that same rigor to marketing. I don't think you have to study marketing fifteen years. But I do think that there needs to be a real degree, a real certification. There's a lot of people that just say they're a marketer, and no one really knows whether they're any good or not. You just say you are, like, Okay. You ever see that movie catch me if you can where this guy pretends to be a pilot. He does all these other sorts of things. I feel that that's what's going on in the world of marketing because most business owners just you you know, they're trusting and they're good at the thing that they do, but they don't know anything about digital marketing so you can snow them and sell them all kinds of nonsense. Right? I would love nothing more than to eliminate that and to have a clear standard where everybody can measure it, where there's a digital MRI, I wanna release our software in the next two or three weeks and make it for free so everyone can take the little digital MRI and see based on the checklist, objectively, the system scans you and finds things that need to be fixed, and you can go ahead and fix it. Go through the checklist training and fix that particular item. Normal, Hocus Pocus, Wija Bohr, Milton Brandley, you know, Voodoo doll style kind of meta medicine. I I want real medicine. I I want things that are verifiable where it's repeatable. Where it's your recipe for chocolate cake, and you can just do that over and over again. I would love to see that. And I hope that you guys believe in that. I wanna see you guys every Thursday, if you can make it. What is our topic for next week? I don't remember. But join in every Thursday. It'll be something interesting. It'll be some of our special guests that are here. And this is Dennis You in the orange head. Thank you guys so much. Yep. And thank you, Dennis. You're always in it's an amazing, evening when you do this. And you can go to startup dot club. And at the website there, you can sign up for alerts. We have an email list so you can keep on top of the upcoming den, coach you shows and other shows on startup club. So if Dennis doesn't know what next week's, topic will be we'll have it posted on the website as soon as he remembers. So please go to startup club startup dot club and sign up. Thank you again, everyone for joining us in Dennis. Thank you. What a gem? Can I just quickly endorse the office hours at Please, Tom? Yeah. It's It's been a valuable time. I've been there about six weeks now, and I've learned so much. I can't begin to list at all, but one of the things I've commented on today is just as book recommendations. I've every book he recommends I order, and I find so much value. And then I become more of a voracious reader in the last six weeks because of Dennis's book recommendations in, in our office hours. So, really, just Google office hours, Dennis, you, and you'll find it. And it's a valuable time. To small group of people that get together every week, and it's very valuable. I would agree with Tom, and I just wanna say that Dennis is not only the most knowledgeable person that I've ever met in marketing. He's also got integrity about what he does. So in other words, he he you're not gonna be taken by him. You're gonna be given from him. He's the he's the biggest he is to me a genius and a generous soul. So I I recommend you, Dennis. It's just If someone doesn't ally with you and they're in the marketing area, then they're losing out, they really are. Wow. Love you, doctor Laura. Thank you so much, and that was not a paid endorsement. I appreciate that. No way. Thank you guys so much. Thanks again for the good discussion, Nate. Alrighty, guys. We'll see you online, and we'll see you guys next week. Thanks, Dennis. Thanks, everyone.