I Turned $540 Into $294k With This Strategy

Chin Gregory


Hey, everybody. In this video, I’m going to show you how I turned $540 into 294 grand for a health and fitness eCommerce business using Facebook ads. Now, everybody says that you’ve got to spend a lot of money to do well on Facebook ads. It’s absolutely not true if you use the right process, and I’m going to walk you through that process in this video.

Hey. It’s Chin Gregory. I’m the founder of the CGM group. And if you’re new to the channel, make sure you go ahead and subscribe. Hit that notification bell so that you are notified every time I release a new video. I release multiple videos per week, all of them on how to scale, how to grow eCommerce businesses using things like social media, marketing, influencer, digital marketing, all the good stuff that’s going to help you grow and scale your eCommerce or your online business. So make sure you hit that subscribe button and you go ahead and hit the notification bell.

So let’s get into the video, because I hear so many times from people, they’re saying, “You need a lot of money to do well on Facebook. You need to have a massive budget to do well on Facebook.” That’s absolute lies, right? I’m going to walk you through. I’m going to show you real quickly how I took $540, okay, and turned that into 940 grand.

Now, as you can see, with this campaign, we started with a budget of just over $500, and we start on May 31st. Now, in the beginning, I was only spending $30 a day. But from 31st of May to the 12th of June, I generated $9,500. So that’s about just under a nine grand profit.

Now, here’s the mistake that most eCommerce businesses make. They will take that nine grand profit and they’ll put most of it back into the business. When you’re first starting your ads, when you’re trying to scale your ads, you want to take as much of your profit as possible and put it back into the campaigns. That way, you’re able to scale really, really quickly.

So of that nine grand, over the next month, so from 12th June to 12th of July, I took 7,300 of that nine grand and I reinvested it back into the ad campaign and I generated $87,000. Okay? So now, as you can see, we’re starting to really make some decent profit here. Over the next six weeks, I took a portion of that 87 grand, okay? I took 21,000 out of that 87 grand and I generated 200 grand.

So what you then have is, at the end of this campaign, we started on the 31st of May, we ended on the 1st of September, I took $540 and turn that into over 294 grand.

Okay. So there are three things that I did, okay? And I want to walk you through each one, okay? Because these are the three things that really got this success. Number one, I talked about it on the video already, but reinvesting the ad spend, okay? Or the results or the revenue. Sorry. Oh, this is a massive, massive mistake. I made this mistake many times myself and I see it happen a lot. Start running a campaign, making some good money or the campaign brings in some results, take that campaign and put it back into the business or pay staff or pay off debts or insert the blank, anything else, right?

If you want to scale fast and you want to get quick results really, really quickly, every single bit of profit that you can feasibly do, obviously don’t go into the red to do it, but every single bit of profit that you get from those ads or you get from the ads that you’re running, you want to reinvest that back into your ad campaigns, okay? Because you don’t have to keep bringing out a new budget every single month. If you start with your budget and you reinvest all of your profit back into the ads, that’s how you can scale to massive amounts. And all you ever had was a small investment in the very, very beginning, okay? So first things first, reinvested all of the profits or as much of the profits back into the ads until we’re really, really kicking it.

Number two, the second thing that was really, really important is average order value. Okay? This is huge. If you’ve seen any of my videos, you know I’m a massive proponent on average order value, right? Let me write this down. Let’s go over here. There is traffic conversion rate, let’s call that percentage, AOV, LTV retention. Okay? These are the five real key metrics in eCommerce, right?

But for me, when it comes to scaling, nothing I found is as effective as increasing average order value, okay? You can mess around with the ads. You can mess around with the traffic. You can mess around the conversion rate. But if you can significantly get your average order value, which is something that is completely in your control, right, adding more products, discounts and free shipping based on threshold of spend, bundling things together, upsells, there’s so many things you can do to get average order value up. But that is the key.

That was one of the main reasons I was able to get such quick results with this campaign, because before I even launched the campaign, we put in a whole bunch of upsells, took this client’s original average order value, it was about 60 bucks, put in a whole bunch of upsells, got the average order value to almost 120. That almost doubled the amount of money they were making per customer, which is absolutely huge. They had no upsells before we even started. Also added a bunch of order bumps to that account, and also had a free shipping for over $120, right? So those three things that I did increase the average order value made a massive difference. But whatever works for your business, I promise you, trust me, average order value is a huge one.

And number three, this is one that very few people do, okay? Seven-day LTV. Okay? This is a real ninja tactic right now, okay? Lifetime value is how much your customers spend over a given period of time. And most people calculate lifetime value three months, six months, 12 months, right? That’s where most people calculate lifetime value.

The way that I was able to do this, though, is that I looked at the seven-day lifetime value. So everything I was trying to do was, “How could I get every one of these customers to spend as much money as possible in the first seven days?” Okay? Because you think about customer behavior, the time when they’re most likely to buy from you is just after they’ve bought from you, okay? Because they get into a buying mode, right? They get moments where they getting into a buying frenzy. If I look back at me, my life, I remember when I first got into skiing, the first time I went skiing. I went and bought a few ski equipment, but I was so excited about making my first purchase and I’m going skiing, I started buying a whole bunch of ski stuff that I didn’t even need, right? But I was like, “So cool. I’m really excited to go skiing.” I just bought loads of stuff.

And this happens to everybody. It’s a typical buyer psychology. So one of the ways or two ways that we use to get the seven-day LTV up is, first of all, we had email campaigns. Okay? If you’re not utilizing email, right, you are leaving a ton of money on the table. You should be able to get 30% of all of your revenue coming from email. And so if that number is below 30%, you are leaving a ton of money on the table, my friend. So email was huge. We had a seven-day email sequence that pitched additional upsells, because if they didn’t take the upsell here, right, an average order value, we repitch them upsell back in the email campaign. Okay? So wherever they took the order bump of the upsell on AOV, whether they took it or not, we repitched it back into them in a seven-day email campaign.

And the other thing that we did was post-purchase campaigns, right? So this is another thing that we did. We had a post-purchase ad campaign, so within the Facebook ads, right, that was specifically targeted to everybody that purchased in the first seven days. And the crazy thing about this post-purchase ad campaign is that it generated an insane return on ad spend, right? We were getting 25, 26 x return on ad spend from this post-purchase campaign.

A lot of the time, you’re going to see me post like crazy return on ad spend numbers. The secret is a lot of those come from post-purchase campaigns and LTV campaigns, right? Something I called amplified LTV. I’ll go into it in another video.

But these three things here, okay? Reinvesting the money, increasing average order value, and, yeah, sorry, the seven-day LTV using email and post-purchase campaigns. That is what allowed me to take $540 and, in 88 days, turn that into 294 grand. It seems really like a crazy result. But when you break it down like this, it’s very replicable and it’s what anyone can do in their business if you go about doing it right.

So no matter what budget you have, if you follow this kind of framework, reinvest the money, make sure you increase your average order value, focus on a seven-day LTV of your customers, not saying you’re going to be able to do the same thing, but you’re going to see some massive, great results and great return on ad spend from your Facebook ads.

Now, if you want to see how I’ve applied this process to other businesses as well, go to LearnWithChin.com. I’ll go through this action in a little bit more detail because it’s a longer video, but I also show you other examples of how I use this exact process to take eCommerce business to six figures per month and some to six figures per day. So that’s LearnWithChin.com if you want to see more examples of me putting this process into action.

Now, if you found this video valuable, please go ahead and like it. Also, if you know anyone else that would find it valuable, pretty go ahead and share it with them. If you haven’t subscribed already, go make sure you subscribe and hit that notification bell and comment below. Okay? I really want you to go and implement this in your business, but you might have some questions, you might go and try it, then have some feedback. Either way, comment below, whether it’s questions or feedback or even just ideas of how you might think this could work well in your specific scenario. I want to see your comments. I’ll answer all of them, as many as possible. And I really want to make sure that you get the best type of results once you actually implement this. 

So comment below if you’ve got any questions.

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