Ads not converting?

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Good morning. If your business isn't growing, you're probably being efficient at the wrong things. And one of fastest ways to grow your business is through paid ads but most people suck at it. Today we are going to talk about the 3 issues that stops you from scaling via ads.

With that, let’s dive in.

SALES

The Ad Spend Wall

Most businesses hit a wall with their ad spend and blame the platform, the algorithm, or their audience size. But after analyzing A LOT of campaigns that hit this ceiling, we found three consistent bottlenecks. Once you unlock them, I’ve seen companies go from $1,000 per day in ad spend to $10,000 per day and even $100,000 per day. They are that significant.

Here's what really stops your ads from scaling:

1. Mediocre Creative 
   Your ads aren't scroll-stopping enough. Period. And no, running 5 variations isn't enough. We found businesses that make 10x more creative (yes, literally 10x) break through plateaus consistently. This is also supported by Meta’s data saying the top 1% of advertisers make 11x more creative.
   

2. Weak Free Offer 
   Your lead magnet probably sucks. Harsh, but true. The businesses that scale past $100k/month in ad spend all have one thing in common: They give away what others charge for. If your free thing isn't better than your competitor's paid thing, you'll stay stuck. Solution: Give away 10x more value. Make it absurd.
   

3. Insufficient Backend LTV 
   You might be "efficient" at $5k/day in spend, but can't scale past it. That's not a traffic problem - it's a lifetime value problem. Your backend monetization isn't strong enough to support higher CPAs. A few years ago, one of our portfolio companies was “stuck” at $25,000 per day in ad spend. We doubled LTV and we were able to scale to $150,000 per day in ad spend (not a typo). If you can spend more, an ocean of traffic opens up to you.

You can be the most efficient advertiser in the world, but with weak creative, a cheap free offer, and low LTV, you're just being efficient at staying small.

HEADLINES

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SOFTWARE

Top tools

✅ Bulletpen: An AI app that transforms your spoken thoughts and rambles into polished writing.

✅ Lido: Turn PDFs into clean spreadsheet tables with AI. Extract data from invoices, contracts, POs, and more in seconds. Save time, reduce errors, and scale without headcount.

✅ Sense: Automatically organize related resources and updates across all apps, giving you a ChatGPT-like search for your company.

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