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REM :: Reverse Engineering Money S01E01 - Know your social media platform

Discussion in 'Making Money' started by healzer, Jun 10, 2017.

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  1. healzer

    healzer Jr. VIP Jr. VIP

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    [​IMG]

    This is the first post of a multi season and multi episode series of REM (Reverse Engineering Money).
    In these series we shall dig deep into money making tactics, strategies and loopholes used by IMers all over the internet.

    The goal of the series is to learn new ways to build and manage digital businesses.
    You will learn how other people structure their online empires and how you can do it as well.
    Instead of lurking around and waiting for a magic money making guide, we shall take measures into our own hands.

    Disclaimer: All research, content, facts and figures are obtained without the intention of causing any harm to any business whatsoever. All information is obtained through legal and public ways using services such as Google and/or other websites.
    ---------

    In this episode we investigate the marketing done for the website http://doublju.com/
    I've found this website through Pinterest and started doing my homework.
    I initially found the website on this profile: https://www.pinterest.com/Trendykey9/

    Profile screenshot:
    [​IMG]
    You quickly see that the website is being promoted in the Website Link section and the description is empty. The account has 8k followers and an astonishing 26k followings. It has 3 times more followings than followers, making this look amazingly spammy, don't you agree?
    The account has 612 pins which is not unusual.

    When you look at the pins themselves, most are re-pins from other profiles.
    Many pins are re-pins from authority profiles which have +100k followers, but some are not.

    This account appears to be a small piece of a large puzzle...
    This finding can be confirmed since some pins are re-pins from another account which promotes their main website. It appears that this is the main account:
    https://www.pinterest.com/doublju22/

    Profile screenshot:
    [​IMG]

    This account also has a high followings rate (12k followers and 14k following).
    It seems like it was grown using an automation tool (thus making it prone to being banned).

    Now we have found 2 accounts that are promoting the same website.
    Both have a minimum cumulative 20k followers. Maybe there are even more buffer/secondary accounts with a similar amount of followers as the first one.

    From personal experience, having 20k followers can easily get you 600 visitors per day (assuming a 3% visit rate). This is usually a bare minimum, since it also depends on how many re-pins each pin has. It's possible that two accounts, with the same amount of followers, have completely different visitor counts.

    The thing I am mostly interested in is, how much "money" does this website make (some estimate at least).

    When you click any of the products listed on the website, you are immediately redirected to Amazon.
    [​IMG]

    At first I thought these guys were using the Amazon affiliate program and got a 5-8% commission for each sale. The price of most products is about $13, this means they would get paid between $0.50 and $1 per sale, which isn't much. However, with at least 600 daily visitors and a terrible 3% conversion rate it comes down to 18 sales. This means they would be making between $9 and $18 per day, or $270 - $540 per month. This is definitely not a bad income.
    However, if you look closely you can see their logo beneath some of the products, meaning they "own" the products and are selling them directly using Amazon. It seems they are either wholesalers or drop shipping.

    In the latter case, if they are drop shipping (for instance from China/Taiwan), they might have take home at least 50% of the price. In this case they could be earning at least $117 per day ($3510 per month). There definitely is a huge difference between running an affiliate business on a mere 5% commission basis, or having just a little bit more work by drop shipping and earning 10 times more.

    As far as the numbers go (hypothetically) it's definitely making them money...
    or is it?

    This business has 4 social media profiles:
    Pinterest: https://www.pinterest.com/doublju22/
    this one has 12k followers on their main profile, and they have at least one buffer/secondary account with 8k followers.

    Instagram: http://www.instagram.com/doubljucompany/
    They have 11.6k followers
    Most pins have at least 100 likes.
    However, the latest upload was on February the 17th 2017 (4 months ago).

    Facebook: http://www.facebook.com/doublju
    21k likes & follows.
    However, the latest upload was on February the 17th 2017 as well.

    Twitter: http://www.facebook.com/doublju
    Less than 150 followers.

    Whether they are still in business or not I am not sure.
    However, taking into consideration the fact that their FB and IG profiles haven't been updated in 4 months means something clearly isn't working for them.
    On Pinterest I was not able to find the upload date of their latest pin(s), but I assume it's outdated as well.

    A very important lesson is that you should know which social media networks work, and which ones do not. In their case, Twitter is a complete disaster. Twitter isn't made for selling products, at least not fashion & clothes. So if you've been on Twitter for at least two weeks, and don't have many followers - it's time to abandon the ship and choose a different platform with a more targeted audience.
     
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  2. palhares

    palhares Newbie

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    nice read, waiting for chapter 2 :)
     
  3. nawza21

    nawza21 Newbie

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    Thanks, bookmarking. :)
     
  4. vebxperts

    vebxperts Jr. VIP Jr. VIP

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    I feel like he has been using your bot PinBot3/Ai lol
    Because, it looks like his both accounts are on autopilot ( as per my analysis )

    Either he has stopped working on this venture or still doing it? Well it depends on the followers/followings increment in coming days. If its increasing daily +followings then they are still in the game!
     
  5. HarryWang

    HarryWang Registered Member

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    Holy crap I've read countless of journeys on this forum but I've never thought about social media and businesses from an angle like this. Reverse engineering the whole business model and presenting it in such an accessible format makes me feel like an idiot for not understanding how Pinterest functioned earlier. Definitely waiting on the next episode, genuinely a great and informative post.
     
  6. tux

    tux Jr. VIP Jr. VIP

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    First of all , 600 UV to the site daily from those numbers are heavenly and is flawed assumption , it just doesnt happen. People are spamming Pinterest with hundreds of accounts and I doubt only 2 accounts with total of 20k would be able to achieve it, since 3% of your followers will not visit your site everyday, even if they did it once they won't do it everyday.
     
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  7. slickee

    slickee Newbie

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    Was reading the reviews and the shipping policies - my guess is that the apparels were indeed dropshipped. Very insightful post indeed. Will be subscribing for more episodes. :)
     
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  8. pj777777

    pj777777 Junior Member

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    Yep, I am finding the referral rate from Pinterest is very low.

    I am thinking that I need stronger CTA's, but also it's the fact that people are browsing on the platform and kinda wish listing. This is very different from being in buyer mode.

    That being said, I see the value in having a presence for when people ARE in buyer mode.

    So, here is what I am thinking for my way forward with the platform (and my thinking might be flawed, so please jump in Pinterest experts);

    - Niche focus
    - Eye catching images
    - Shareable images
    - Strong CTA

    Anything else guys?

    Cheers

    PJ
     
  9. Buzzika

    Buzzika Jr. VIP Jr. VIP

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    I am venturing into a business that is offline based but we want to rely on social media for scaling.

    We are a milk home delivery service, but our milk comes from genetically tested cows known to prodice only A2 type milk protien. This is the best kind of milk and sells 2x the price of normal milk, so we have a niche that we wish to carve out and dominate.

    I have a $3k marketing budget for the next few months.

    Also we are limited to one city (which has a population of 1.5 million).

    What do you guys think should be the focus of our marketing efforts in terms of social media?
     
  10. healzer

    healzer Jr. VIP Jr. VIP

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    Thank you for the kind comments guys/girls, I'm glad you find this one useful :)

    Are you seriously into this business, or are you just bs'ing?

    The most important thing is niche research. If you have a niche, all you need is good and relevant content.
    In the next episode I will explore how important good content is to succeed.

    The second most important part is good content/images which are, as you said, shareable :)
    You don't need a strong CTA, but it is important to add source URLs and/or promote your website in the Website Link on your profile.
    It makes no sense to promote your website if there is no friction with your audience. If your actions are not getting you any followers, it makes no sense to promote any website(s).

    I know what you mean.
    However, I was able to get at least 600UV (consistently) with less than 8k followers.
    Pinterest is not so much about the amount of followers, how rather how many re-pins your pins are getting.
    When someone repins your pin, then their followers will see it as well (assuming a 3% visit ratio for their followers as well).
    This means that if the "real" visit ratio is just 0.03%, but 100 of your followers re-pin it, then the cumulative (total) visit ratio will be 0.03 x 100 = 3%.

    There are so many more factors at play than just the number of followers :)
     
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  11. tux

    tux Jr. VIP Jr. VIP

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    Looks like it's time to dump ig then :p
     
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  12. healzer

    healzer Jr. VIP Jr. VIP

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    IG is great, since it's so much easier to grow on there.
    However, I'm quite pissed off how fast they ban/flag people.
    Although, I fully understand why they are doing it, and there are some people who are playing by the rules and making big money.
    So it all depends on strategy.
     
  13. janojebo

    janojebo Regular Member

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  14. tux

    tux Jr. VIP Jr. VIP

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    Big money on IG is flipping accounts, unless you have killer engagement or og content I doubt a single account can make decent money, that's why people run so many of them.
     
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  15. healzer

    healzer Jr. VIP Jr. VIP

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  16. bartosimpsonio

    bartosimpsonio Jr. VIP Jr. VIP Premium Member

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    But this will carry the risk of getting banned or ghosted by IG in their future updates, whereas investing in one account can offer slow but steady growth.
     
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  17. slicktimesavers

    slicktimesavers Registered Member

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    don't mean to hijack this thread

    Your in a great niche, not the milk but for specialized food products

    I do the same with other foods products for people allergic to soy, they can't eat any foods fed those products
    I was surprised on how many people need this and no one is filling the gap
    my markup is 3x+

    good luck I definitely think it is a winner
    I could help you definitely
    I've done this for my niche set a site up have multiple page one listings for same keywords
    never touch it for over 3+ years with adding any new content
    I don't need to since my supply is less than my demand
     
  18. tux

    tux Jr. VIP Jr. VIP

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    recovering from ban is both possible and feasible and if you have been in the ig game for sometime then its avoidable. yeah investing in a single account is better and i know people making $1k+ a month from 150k account with killer engagement
     
  19. Buzzika

    Buzzika Jr. VIP Jr. VIP

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    et tu brute?

    nah man am not bs'ing.
    I am in Gurgaon, India and this is where I plan to sell the milk.

    Kalpa Organic ( http://kalpaorganic.com - only half done) is the brand name. I was hoping I could get your, and other people's 2 cents on goingn about marketing this.

    Normal Milk retails for $3.15/gallon roughly, while, we are priced at $5.8/gallon.
     
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  20. healzer

    healzer Jr. VIP Jr. VIP

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    I'm not sure if IG/Pinterest are going to help you a lot.
    I mean, people who need such a product, will do Google/Yahoo/Bing searches first to find a supplier.
    If SEO is too competitive in your industry/region, then you should def consider promoting your products through paid ads (FB / Adwords).
    Another option is to let institutions (such as doctors) promote you through their networks, try if you can put a banner on their website(s) ?

    How are you currently promoting your products, and what's the conversion rate (if you can calculate it)?
     
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