How do you lower customer acquisition costs for a DTC brand? Bobby Bitton, co-founder and CEO of O Positiv, says TikTok Shop did more for his CAC than any other channel. He launched it as a side project in November 2023, and within 30 days one SKU went from $2,000 a day to $70,000 a day.Bobby walks through how O Positiv runs more than 100 ads a week through an in-house creative team, how they move what works on TikTok Shop over to Meta, and why retention now gets the same attention as acquisition. He also explains why the brand waited until it was a $100 million business to go into retail, why linear TV beat streaming in their geo tests, and the brand architecture decision he would make differently.Get the DTC Newsletter: https://directtoconsumer.co
Key takeaways:
- Lower CAC with TikTok Shop by sending samples generously and recruiting affiliates every week. Bobby set a goal of 1,000 affiliates and did the outreach himself on Sunday nights.
- Start TikTok Shop simple. Get affiliates posting before you touch GMV Max, paid campaigns, or contests.
- Get more usable creative by briefing creators less. O Positiv's brief is the product, what it does, what creators can say, and what they can't.
- Feed Meta with TikTok Shop learnings. The winning creator content runs on Meta, and the creators get paid extra for it.
- Test for creative diversity instead of running ten copy variations on one static image.
- Hold Meta to an allowable CAC and move spend up or down with the strength of your creative.
- Grow lifetime value by planning for life stages. A PMS customer who gets pregnant should reach for your pregnancy product, then your menopause product.
- Launch products customers can feel working. O Positiv's fiber gummy stuck and its immune gummy didn't, and that became the product rule.
- Go into retail with a big DTC business behind you, push for endcaps and out-of-aisle displays, and fly out for the buyer meeting.
- Expect retail to break your attribution. When Meta ads drive store sales, your Shopify CAC climbs while the business grows, so build omnichannel measurement early.
- Decide early whether you are a house of brands or a branded house, and keep it simple.
About the guest:Bobby Bitton is the co-founder and CEO of O Positiv, the women's health brand he started with his sister Brianna Bitton in 2018. O Positiv makes FLO, URO, and MENO, and sells through its own site, TikTok Shop, Amazon, Target, Walmart, and CVS.https://www.opositiv.com
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