IBJ
1.1K posts

IBJ
@ibjcommerce
Money maker. Direct response anticipator. Offshore Affiliator.
Amsterdam, The Netherlands Katılım Nisan 2019
576 Takip Edilen423 Takipçiler
IBJ retweetledi

@eCom_Amin not reading all that
happy for you tho
or sorry that happened
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I think the best Creative Strategists thrive when they have a complete team with complementary skill sets.
Join us if you want to work closely with people you can count on.
Jason@JasonJh1319
We’re hiring 3 Creative Strategists • 2 focused on Meta, 1 on AppLovin • Must work EU / Asia hours • Attractive base + up to 6 months performance bonus • Open to Senior profiles (higher comp) DM if interested 👋
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$7mil/pm Brazil Operation
A lot of those YT Brazil angle vids do not have that much substance, but this one is quite insightful - link to the original in Portuguese below, go visit it so vTurb gets some global clicks, here is the summary:
Detailed Summary: Gustavo César - Scaling Nutra in the US Market
Guest Background
Gustavo César is the founder of Experience Group, one of the largest direct response marketing companies globally, having generated over 450 million reais in revenue. He transitioned from studying medicine to digital marketing, building a business that now processes approximately 35 million reais per month ($7+ million USD).
Business Evolution
Phase 1: Massage Therapy Info Products (2020-2022)
Started with a massage therapy school selling online courses
Simple funnel: Image creative → Landing page → Checkout
Ticket price: R$147 discounted to R$57
Peak: R$1.5M/month, average R$600-700K/month
Total revenue: ~60M reais over 2 years
Grew to 300,000 students across 45 different courses in alternative therapy
Team size: ~20 people
Key Success Factor: Gustavo did customer support himself initially, which gave him direct insights into customer pain points. His winning creative combined an unusual massage position image with the headline "Certified to Work" - addressing the core customer desire.
Phase 2: Relationship/Sexuality Info Products (2022-2023)
Created "Truque das Lésbicas" (Lesbian Trick) VSL for tantric massage
Written by copywriter Diogo
Scaled to R$200K/day ($40K/day)
Total revenue: ~35M reais
Expanded internationally (Brazil, US, Latin America)
Team grew to ~35 people
Turning Point: Realized massage market had limited scalability. Networking through Derek (who worked with them) exposed them to the VSL/direct response marketing world, leading to more aggressive marketing approaches.
Phase 3: Nutraceuticals in US Market (2023-Present)
Started with ED (erectile dysfunction) products
First VSL written by Ramalho using the famous "horse" angle
Chose ED because:Lower barrier to entry
Friends were succeeding with it
Extremely high CTR (20-25%) = cheaper CPCs
Easier to validate concept
Total revenue from first ED offer: ~30-40M reais
Current State:
35M reais/month (~$7M USD)
65 employees
Working across multiple niches (ED, weight loss, etc.)
Pivoted to producer + affiliate model
The Strategic Pivot: Producer with Affiliates vs. Pure Producer
Why This Model?
Gustavo identified that the market sophistication has reached a point where being a producer with only internal traffic is extremely difficult:
Three Key Advantages Affiliates Have:
Focus: Only need to think about traffic and copy constantly
Lower Complexity: Fewer team members needed (some affiliates do $3M/month with 15 people)
Better Economics: Can pay the same CPA as producer without dealing with refunds, chargebacks, customer service
The Problem with Pure Producer Model
High fixed costs due to backend infrastructure
Inconsistent revenue when relying on single traffic source
When traffic drops, entire operation suffers
Difficult to compete against specialized affiliates who only focus on traffic/copy
Why Producer + Affiliates?
Leverages the valuable backend infrastructure already built
Provides consistent lead volume even when internal traffic fluctuates
One affiliate's drop is compensated by others scaling
Better asset utilization
Backend Infrastructure & Competitive Advantages
1. Refund Reversal Team (62% Recovery Rate)
Industry average: ~30-32%
Their rate: 62% recovery on cases they handle
Challenge: Platform (CartPanda) handles 60-70% of cases first
Strategy: Treat customer service as sales team with quotas and metrics
Tactics:Make refunds difficult (wait for product arrival, require photos of usage)
Offer partial refunds (30%) to keep product
No 100% refunds anymore
Active reversal approach vs. passive handling
Impact: Can add 2-4% to gross revenue depending on volume
2. Call Centers
Works with two main providers:
Seosbound (Area): Welcome calls, 65% commission starting rate, negotiable with volume
Mit (Comited Coaches): Cart abandonment, ~40% starting rate
Key Optimization:
Daily lead verification (automated alerts if leads stop flowing)
Weekly calls with call center owners
Dedicated agents for consistent, high-volume producers
Product-specific routing to optimize conversion
Can achieve 10-14% additional gross revenue
3. Email Marketing
Two strategies:
Cart abandonment recovery
Upsell sequences for purchasers
Impact: ~2% additional gross revenue
4. SMS Marketing (Critical in US Market)
Much higher open rates than email in US
Same two-pronged approach (abandonment + upsell)
Very cheap per-message cost
Cross-sell campaigns included
Impact: ~4% additional gross revenue
5. Bottom Funnel/Amazon Strategy
Multiple components:
Google Ads: Bidding on own product name and similar keywords
Brand protection: Trademarking products immediately to prevent copycats
Amazon presence: Listing own products to capture search traffic
Black Hat SEO: Bidding on competitor names (controversial but effective)
YouTube Reviews: AI-generated review videos with affiliate links
Challenge: Copycats often list fake products on Amazon before original company Impact: ~4% additional gross revenue
6. Supply Chain Optimization
Currently exploring:
Direct relationships with manufacturers (bypassing middlemen like Shipoffers/Eagle Labs)
Potential 20-30% cost reduction
Already negotiated strong rates due to volume
Operational Excellence
Team Structure (65 People)
Video/Creative Department: Largest teamVSL editors
Ad creative editors
Affiliate-specific editors
Backend content editors
Design/web design
Customer Service/Sales: ~7-8 peopleFocus on active refund reversal
Metrics-driven with individual quotas
Significant variable compensation
Copywriting Teams:VSL copywriters
Ad copywriters
Organized in squads with squad leaders
Infrastructure Team:Not developers but technical operators
Create offers, set up tracking
Domain configuration
Pre-launch testing (purchase tests across funnel)
Platform integrations
Affiliate Management:Director: Bruno (travels extensively for affiliate recruitment)
Expanding team to support growth
Traffic Management:Gestors for Facebook, Google, Native
Junior support staff
Key Processes
1. FCA (Fact, Cause, Action) - Weekly Review
When: Every Monday, 2:00 PM Duration: ~1.5-2 hours total (30-40 min per traffic source) Attendees: ~10 people (squad leaders, traffic managers, video lead, project manager, Gustavo)
Structure:
Pre-meeting: Data person fills metrics in Roam.app
Morning: Squad leaders + traffic managers create action plans
Meeting: Present results, discuss action plans, Gustavo provides strategic input
All analysis documented for remote review
Purpose:
Review last 7 days and monthly performance
Identify performance gaps
Determine root causes
Create weekly action plan
Assign tasks (moved to ClickUp)
Key Insight: This forces systematic review of all funnels and prevents "offer is dead" assumptions. Many offers can be revived with proper analysis and optimization.
2. Monthly VSL Planning
When: Second week of month for following month Duration: Varies Attendees: Squad leaders, project manager, Gustavo
Pre-work:
Project manager fills historical data (assertivity by squad, copywriter, niche)
Analyzes last month and last 3 months
Spy team provides competitive intelligence
Process:
Squad leaders review data and spy
Propose VSL launches with strategic direction
Specify modeling approach, avatar changes, mechanism variations
Gustavo reviews and adjusts strategy
All launches go into ClickUp backlog
Key Learning: After analyzing data, they discovered their assumption that "weight loss offers weren't converting" was wrong - they were just launching TOO MANY weight loss offers. When they filtered by niche, weight loss assertivity was fine but overrepresented in attempts.
3. Daily Standup
Purpose: Operational tracking Led by: Project manager Focus:
Yesterday's completions
Blockers
Timeline adjustments
Ensuring FCA and monthly plans are executed
4. Weekly Leader Check-in with Gustavo
Format:
Top 5 learnings/wins
Top 5 priorities for next week
Any blockers
Adjustments to monthly VSL plan
Tools & Systems
ClickUp: All task management ("If it's not in ClickUp, it doesn't exist")
Roam.app: FCA documentation (tried ClickUp docs but too heavy)
Custom Dashboard: Built by brother/partner for real-time metrics
Automated Alerts: If leads stop flowing to call centers, automatic notification
Affiliate Program Strategy
CPA Structure
Pays up to $225 CPA (can cover any market offer)
Varies by offer and traffic source
EOV (average order value) ranges from $280-$350 depending on sourceYouTube traffic: ~$350
Other sources: ~$320
Why They Can Pay More Than Competitors
Foreign Competition Analysis:
Established US companies were comfortable/complacent
Would launch 1 VSL per year
Less aggressive marketing
Lower urgency
Brazilian Advantage:
Hunger and growth drive
More aggressive VSLs and upsells
Better closing blocks in offers
Increased quantity offer (3-pot vs 6-pot defaults)
More frequent VSL launches (weekly vs yearly)
Better backend optimization
What They Provide Affiliates Beyond CPA
Mentorship and strategic guidance
Traffic management connections and consultations
Process consulting (teaches FCA method to affiliates)
Network connections (legal, platforms, etc.)
Emergency cash flow support (provided corporate card when affiliate had withdrawal issues)
Goal: Not just "CPA provider" but true business partner
Affiliate Types
Foreign affiliates: Often use Experience's infrastructure (landing pages, VSLs)
Brazilian affiliates: Usually host own infrastructure, more professional
Requirements:
General affiliates: Fill form for onboarding
Volume affiliates ($1M+ revenue): Direct DM to Gustavo for personalized service
Market Insights
US vs European vs Asian Markets
United States:
Largest market
Most purchasing power
Highest volume
Europe:
Currently expanding here
Significant elderly population (target demographic)
Currently sells English VSLs to English-speaking Europeans from US fulfillment
Building dedicated European operation with:Local fulfillment
Native language VSLs (German, French, etc.)
Faster shipping
Already seeing results with early affiliates
Asia/Russia:
Russians are extremely skilled ("black hat" innovation comes from Russian forums)
Some strong Chinese affiliates
Less contact so far
Attending Affiliate World Thailand to build Asian connections
Smaller market overall
Brazilian Affiliate Market Evolution
Market professionalizing into clear roles (affiliate vs producer)
Brazilians "dominating" US nutra market currently
Some resentment from American affiliates/vendors due to:Aggressive creative tactics
Market share capture
Pushing boundaries on ad aggression
Some US affiliates left nutra entirely (moved to lead gen, straight sales, gadgets)
Networking & Growth Philosophy
Importance of Environment
Surrounded themselves with people doing $100K/day when doing $600K/month
Osmosis effect: "If everyone around you is doing it, it becomes normal"
Key connections: Derek (introduced VSL world), Pocha, Diogo (wrote Lesbian Trick), various mastermind groups
Masterminds & Communities
Empire mastermind (Fint)
Black mastermind
Various networking events (Eagle Labs, Dig Store, Cart Panda events)
Philosophy: "Your network is your net worth" - Multiple meanings in "network"
Creative & Offer Philosophy
Creative Testing
Must be shocking: "If you didn't look at it and say 'what the fuck is this?' it's not good enough"
Need very high attention-grabbing elements
CTR of 20-25% on ED creatives (extremely high)
VSL Approach
Aggressive promises required for nutra
Heavy use of AI avatars now (vs previous studio productions with actors)
Much faster and cheaper production
Offer Construction
Multiple backend monetization layers
Aggressive upsells in closing blocks
Default to 6-pot purchases (vs 3-pot)
Continuous optimization of each funnel component
Challenges & Lessons
Early Mistakes
First 6 months: Heavy losses learning backend
December scale-up: 13M+ reais month with 23% refund rate = gave back 3M+
Underestimated importance of:Refund management
Chargeback prevention
SMS marketing
Email sequencing
Call center optimization
Key Realization
"We could extract milk from stone" - Learned to succeed even with mediocre offers by optimizing everything else. When great offers came along (Lesbian Trick, ED offers), results exploded.
Market Sophistication Forcing Specialization
Can no longer successfully be "producer + traffic" - must choose:
Pure Affiliate: Focus only on traffic and copy
Producer with Affiliates: Build backend infrastructure and recruit affiliates
Evidence: Friend scaled to 60M reais as pure producer with $280 EOV, calculated he would have made much more as affiliate with $350 EOV and no backend headaches.
Future Plans
Geographic expansion (Europe focus)
Asia/Russia networking (Thailand trip)
Internal call center (currently evaluating ROI)
Further supply chain optimization
Continued affiliate recruitment globally
Philosophical Approach
Decision-Making Framework
Data-driven everything
First principles thinking (questioning why things are done certain ways)
Problem-solver generalist vs. specialist
Always seeking "next level"
Not afraid to abandon profitable ventures for bigger opportunities
On Company Building
Process everything that matters
Strong documentation culture
Promote from within (squad leaders from copywriters)
Nothing is "set in stone" - adapt weekly if needed
Multiple redundancies for critical systems
Risk Management
Diversification through affiliates prevents single-source-of-traffic risk
Multiple call center providers
Geographic diversification
Consistent volume more important than peak volume
Key Metrics Summary
Monthly Revenue: 35M reais (~$7M USD)
Team Size: 65 people
Affiliate CPA: Up to $225
Refund Recovery Rate: 62% (vs 30% industry average)
Call Center Addition: 10-14% gross revenue
Email Addition: ~2% gross revenue
SMS Addition: ~4% gross revenue
Bottom Funnel: ~4% gross revenue
Average Order Value: $280-$350 depending on traffic source
This detailed summary captures Gustavo's journey from massage therapy info products to dominating the US nutraceuticals affiliate market through systematic backend optimization, aggressive creative testing, and strategic positioning as a producer-with-affiliates rather than a pure producer or pure affiliate.
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Here Is An Ultra-Simplified Framework For Understanding How to Create An Optimized DTC Funnel:
1. Figure out the minimum amount of information a qualified prospect needs in order to be convinced to purchase your product or service.
2. Allocate the information across the different steps of your funnel.
3. After getting a baseline, test reallocating that information by lengthening/shortening each step OR adding/subtracting steps.
Keep testing until you find the optimal distribution.
—
If you’re short on time you can stop here. What I just expressed is the big idea.
If you want to keep going, then get comfortable, because I’ve got a lot more to say on this topic…
And frankly, this is probably the best thing about DTC Marketing I’ve ever written, so I hope you enjoy :)
—-
Still here? Okay then let’s go deeper:
Let’s say your prospect needs a lot if information in order to buy.
They need to be educated on:
-Why they are really having this problem
-Why other solutions don’t work
-Why your solution does work
-Why your brand is trustworthy
-Why your pricing makes sense
And so on.
All that information has gotta go somewhere right?
So if your funnel is:
Ads -> Product Page (PDP) -> Checkout
Then one of those steps is going to need to have a lot of copy (information) or a fairly long video (again, information).
Let’s say you decide to do most of your educating in your ads. You create a bunch of 2-7 minute long video ads that contain this information. And then you keep your PDP pretty short.
So your initial funnel is:
Long Video Ads -> Short PDP -> Checkout
That gets you to about breakeven on new customer acquisition…but you want to be profitable of course.
So what do you do next?
Maybe the next step is to do shorter meta ads that have more curiosity but less information. Instead of educating they “sell the click”.
Nice. Those shorter ads are easier to produce so you can test more of them. But, there’s a problem…
Even though the Clickthrough Rate (CTR) goes up, your conversion rate goes down, and now you’re at a negative ROAS.
What’s happening?
You probably cut out too much information.
So what do you do?
Well obviously this information could go back into your ads (here, you'd return to running longer video ads)...
But if those shorter ones have great CTR and a better CPM and all of that…
Then your next step might instead be to test a longer PDP with more information.
So in this case, your funnel is still:
Short Video Ads -> Longer PDP -> Checkout.
Notice: it's the same amount of steps here, but the distribution of information is different.
And let’s say doing this, you find that you’re now slightly above breakeven on your CAC (Customer Acquisition Cost).
What’s next?
This is where you have a few options:
1. Do CRO (Conversion Rate Optimization) on your PDP to Get Conversion Rate Up
Why? If ad costs stay the same but conversion rate goes up, your CAC goes down
2. Optimize Your Front-End and Backend For A Higher AOV
Why? If you make more money with each order, then you can afford to spend more to acquire each customer.
3. Optimize your LTV
Why? Let’s say your breakeven CAC for Day 0 acquisition is $100, but you know you’ll make an average of $200 for each customer over the lifetime of your business. In theory that means you can spend way more than $100 to acquire each customer.
4. Run More Ads
Why? Test more ads to find winners that convert prospects into customers at a lower average CAC than your current winners. If your CAC goes down then you get more new customers for the same amount of ad spend, and potentially more customers with more ad spend.
Let’s zoom in on #4 here.
First off, note how the result is similar to in #1 when you were doing CRO. In both cases, the conversion rate is going up.
The difference is that in situation #1, conversion rate is going up because of optimizations on your PDP.
In situation #4, conversion rate is going up because of optimizations to your ads.
You can do both at the same time, but I wouldn’t. I like to focus on one bottleneck at a time.
And then, here’s where this ties back to that idea of “the distribution of information in your marketing funnel”:
To run more ads, you’ll end up testing different hooks/angles/spokespeople/etc.
You’ll also end up speaking to different demos and potentially even different pain points as you scale.
So for example let’s say you sell a weight loss program.
Who could benefit from losing weight?
Overweight...
-Women
-Women 40+
-Women in their 20s and 30s
-Women dealing with hormonal issues
-Women who are menopausal
-Women who are pre or post-menopausal
-Women who are stay at home moms
-Women who are working professionals
-Women who want to find true love
-Women who are emotional eaters
-Women who deal with intense food noise
- Women who believe their weight issues are genetic
-Women who believe their weight issues are caused by the U.S. food system and our modern lifestyles
- Women who are MAHA/Crunchy
- Women who mostly shop at Walmart
The list goes on and on.
And you can have an equally lengthy list for men.
Now the truth is that you’re not going to be able to speak to ALL of these groups of women (market segments) at once…
But as you scale, you’ll likely try to hit more and more demos…
So how do you do that without overcomplicating your funnel by adding in TOO MUCH information?
Well, one of the most common solutions is to add a step to your funnel.
Can you guess which step it is?
Often it's an advertorial.
Think of an advertorial as an interstitial page that transitions from ads to product pages, while helping to maintain congruency.
They end up being elegant solutions because you can run ads to different demos, pain points, avatars, whatever…
Send the clicker to an advertorial speaking to that demo and their pain points…
Provide the information that specific demo needs on that advertorial…
And then send them to a fairly succinct PDP that doesn’t need as much customization.
So in this case it goes:
Short Video Ads -> Medium Advertorial -> Short PDP -> Checkout.
And I want you to notice something interesting here…
The total amount of information shared by adding an advertorial here is actually the same amount as in the previous two funnel structures we talked about.
To understand this, let's use a simple point system:
Let’s say anything short = 1 information point
Anything medium = 2 information points
And anything long = 3 information points
So look at this:
Long Video Ads (3) -> Short PDP (1) -> Checkout (0) = 4 information points
Short Video Ads (1) -> Longer PDP (3) -> Checkout (0) = 4 information points
Short Video Ads (1) -> Medium Advertorial (2) -> Short PDP (1) -> Checkout (0) = 4 information points.
Isn’t that fascinating??
You’re basically conveying the same amount of information in all of these funnels, you’re just distributing it differently…
And same for quiz funnels btw. Those can work to speak to different demos too.
Short Video Ads (1) -> Medium Quiz Funnel (2) -> Short PDP (1) -> Checkout (0) = 4 information points.
The distribution of information stays the same.
—-
Obviously there’s tons of nuance that could be added here.
True marketing mastery includes understanding additional factors like: Trust, Urgency and Severity of the Prospect’s Pain Point/Problem, and the Price of Your Solution, Demonstrably of your Product, etc.
But at the very least, hopefully this post got your wheels turning…
Or helps you to think of DTC marketing and funnel creation in a different light.
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Don't complicate it
- Angle
- Offer
- Post purchase upsell
The type of funnel is just a medium to these 3 points
Here are some more funnels you can check out
therapetmd.com/pages/lpv2-dog…
tryauri.com/pages/super-mu…
my.yumwoof.com/petparent1
woman.beyondbody.me/805
viasox.com/pages/soft-str…
m.eigoods.com/funnel/magneti…




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You think you're losing money with ad -> product page on native ads...
wait'll you try adding in a shitty advertorial Claude wrote because you never took the time to learn the real shit.
Max pain.
Your real problem is shitty angle, product, and bad offer economics. Halbert himeself couldn't write an advertorial that makes your funnel work on cold.
You also probably don't have the system to filter the bots and cut loser placements fast enough.
Listenting to the "all u need is an advertorial" bros - most of whom have never actually written one that scaled one on cold media - is gonna make you bankrupt
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@StefanGeorgi that’s why i listen to OG’s instead of new gen flexing roleys and dashboards all day
this is the goal
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Big flex for the day: 5 month old was up every hour last night. Then she was fully awake at 6 am, so I took her downstairs with me so my wife could get more sleep. Soon my 7 y/o will get up and I’ll make her breakfast and pack her lunch for school so my wife gets even more sleep. This is a pretty standard morning for me right now, and I love it. I also love how I make this happen while running a $50mm+ telemedicine company that’s doubling in revenue each year. LFG 🔥

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bro when affiliate markets find out about this, their VSL funnels are going to absolutely go nuts
imagine when you can create an AI 2-3 minute clickbait ad, send them to an AI 45 minutes VSL, then to your AI generated sales page
all affiliate marketers will start doing $1m/day
0x ROAS@0xROAS
here's the video that i generated btw:
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