Jeremy Weisz 11:57
So it started with my kitty cat store. But eventually you kind of had success in shoes and fashion, health and beauty. Talk about the health and beauty you had some pain relief.
Anatoliy Labinskiy 12:15
It’s actually one of my favorite store in terms of the product in terms of the results, because we were one of the first who found that kind of product on the market. And we didn’t have the competition yet. And we have so by that being said we had possibilities to scale before everyone else would be jumping on that kind of product. So basically, it is the pain relief belt, which is you just holding on your bag. And there is a kind of pressure pump, which is you just pressing and the air is coming into this belt and it speaks in your back. So if you have a back problems pain, especially for the guys who are going to the gym, or working on the construction site, it was like perfect our target our audience, like 35 plus, they usually have the problem is the back pain. And this is a perfect pain relief. When you press in the air in it’s fixing your spine. And like the style straighten the spine. So the pressure on the spine is not that kind of heart as it was before because of the belt fixing the back. And we had such a beautiful and great feedback from the clients that the product quality was really awesome. And we start actually branding it we start working on the scalability and as well understanding how to white labeling, or worse or not whatever you blame how to make the brand that Luke that store. And it happened exactly before the COVID when the war started scaling, and we were able to scale that store to 600k in matter of three and half months if I’m not mistaken. Yeah. And of 2018 beginning of 2020. And actually in January, we were able to make close to over half million in one single month. But we start having the problems with the supplier because of the COVID. COVID happens and there is a lot of things where we fail on that moment. And we just like hold it for the period of the COVID. And it was like kind of struggle, but it’s fine. I mean, we will manage that. It’s takes a lot of time, but we managed it but it was really biggest scale and easy scale ever because of great product with the perfect audience research which we have made and upsells.
Jeremy Weisz 14:33
Who was working with that you were doing advertising for those products too.
Anatoliy Labinskiy 14:38
Everrthing, I had I had the partner who was always taking care of the stores and I was taking care of ad’s actually like before agency become exist on my end. It was that way because I’m the guy on that I was like hustling for that I was failing a lot and understand how everything is working and just the way If you give me the product, let me scale. And I hate to manage the store, especially English is not my native speaking language. So I’m basically Ukrainian and speaking Ukrainian, Russian and English. And for me, it was like for American market more problematic to men write the perfect, like perfect native sounds, description on the product page. So my partner was taking care of that customer service and customer service as well under my guidance he was taken care of, because I’m great in customer service, and good in sales. So I know how to speak to them to avoid any kind of disputes chargebacks this is what we as well implementing in the agency side right now to like, making perfect customer service to avoid any kind of issues or when issues happening, how to solve that issue.
Jeremy Weisz 15:51
What was working from the ad perspective for that type of products?
Anatoliy Labinskiy 15:56
Do you mean angle or algorithm wide?
Jeremy Weisz 15:59
Angle? What you were doing?
Anatoliy Labinskiy 16:01
No, I will tell you like, it was super simple like we did in that moment, when we just jump it. We didn’t know who is our audience, we just like before we started making the research, we just dive in because I have seen first of all, it’s a huge, it’s amazing usage of this product. I mean, this product could be used. I mean, it’s super helpful, looks ugly, the product looks ugly, and it was like oh my god, who’s gonna buy and such kind of ugly product. But the usage of the product itself, it’s amazing. Like, really, it’s relieving the pain in the back. So I was thinking, Okay, how I’m gonna be advertising, I was looking on the different ad copies of the competitors on the similar niches. But in the simple product page of the AliExpress, where I found this product, there was a picture with the same product, and the simple headline, where it was saying that this is a perfect belt, which is pain relief for your back, especially, it’s great for the sports men’s. And certainly it was a simple sentence of the 12 words, they usually are making. So to clarify, usually I’m making like kind of points in that copay. Usually we are looking on the storytelling, which is now on still my formula we implement in the storytelling we are we are adding value cost relief and all the things. But in that time, I just decided to edit simple sentence from that kind of poster. And that was the golden mine. Because it’s short, it’s sharp, and people were really like, has no patience to ask because it was exactly into the point. And they were diving into the store. And we have like an average five ROIs from every single sale. And our prices was much higher later on, then the computers when they come on the market, our higher prices everywhere was 64.99 74.99, our prices was all the time 99.99. And the cost was 33. And in the same time, like we were doing upsells as well, which is our average ticket, average order value was $120 on the store, which is like give us high profitability, huge return on ad spend. And a lot of big room to protect some.
Jeremy Weisz 16:14
Love it, you want to talk about some of the challenges, because I mean, you mentioned you’re from the Ukraine, obviously, there’s a lot of chaos, to say the least. So I want to talk about your experience with that. But before we do, because people think in their business, they have challenges as a country, and as a people there’s it goes way beyond challenges of a business and you have to manage the business and staff and you have a lot of staff in the Ukraine as well. So, before we get to that, though, you mentioned yours like it took a lot of testing and mentorships. But some of the campaigns you’ve worked with it again, it doesn’t go right away. There was one that struggled for seven months before you saw the results. Talk about that.
Anatoliy Labinskiy 19:09
Yeah, it’s actually a perfect question regarding that. I’m going to be just said it now. And basically yes, like about Ukraine, what you said at the beginning that we have mostly a Ukrainian style because I’m Ukrainian based. And the war has been started in February. It was a horrible, horrible time and nobody was expected. But that story I can share for almost two hours because there was incredible things was happening about the explosions about the bombs and failings around but I guess like we’re going to be avoid the part but that was a huge challenge was for the agency as a company as a human being to like survive and still staying strong as a company and we find out that all our team members are real people because in these kind of situations, you can find out like in human beings, who is who. And when everything started instead of just like, tell to everyone fuck off. Sorry for this kind of work, but it is like that moment, there are no words other words could be, but they were all online, they were all supporting each other like portfolio of people in that moment. 40 plus people, we were just like cooperating, like, hey, what can we do? What can we help each other. So like, I just like, pointing out that the war is the most horrible thing which I have seen in my life. And I was lucky to cross the border on the, let’s say, on the last sport, which is was already almost not possible to do. But I have done that officially in the way of just like using all my intrapreneurship skills and sales skills to convince them to let me go. And it’s a long story, as I said, but long story short, I have done that, and my team is safe now. And still most of them in Ukraine, and we just waiting on everything we will finish.
Jeremy Weisz 21:02
What are the what are the biggest challenges for the team during that time period? I mean, because I know friends who they have team, maybe a large brother team Ukrainian, some didn’t have power they had to move. I mean, just stuff that, how do you even do work when that stuff is happening?
Anatoliy Labinskiy 21:22
That’s a great question because it happened to like when winter season started, like before it was born boarding as hell like during the summer and September, my city, my home city where I’m basically from Kyiv. But originally my parents I grew up in this Apologia City region next to the occupied territory. And there was bombarded all summer like there was up to 20, 40 bombs a day in the single city. And next to a my city it was 200 bombs a day. I don’t know how much money they were spending on this stuff. But it’s just insane. It’s insane what is happening there. And the thing is that winter season started, and really they start exposed the electricity stations. And now in my country, there is electricity time to time like for six hours, every six hours, they turn on for four hours don’t turn on to two hours. And some of the regionals are struggling even has nothing even heaters. There is minus two right now. And there is no heaters, nothing everything is off. So it’s incredible. But how are we managing that obviously, when everything started with electricity, we directly start guiding our team, what they have to do there is as like generators, there is a different kind of tools, which you can use or buy diesel oil by filling the diesel or the best one is on the batteries. So like it’s a struggle now to find it. But at the beginning, it was easier to get it. So the guys now just installed everything what they needed. Some of them even use the Elon Musk’s internet Starlink or just to place it in their houses. And plus these kinds of generators be able to be online. Because otherwise like all the Ukraine, to be honest, we have so many IT marketing arbitrage people in Ukraine, who just like had to be flexible, and bought all that stuff installed at home. And even like apartments in the 15th floor, they still have generators, huge one loud one, but working, I mean, all of them online and doing whatever is needed. Because there isn’t a lot of restaurants.
Jeremy Weisz 23:37
How do you communicate with your clients during this time? Obviously, they know you’re in the Ukraine, and obviously people in general are probably just worried about your safety and your team safety but they also want to feel confident like hey, do we continue to work with you? Because can you still fulfill what you’re talking about? How did you communicate to your clients, what was going on and instill some type of security that you’re going to keep working on their projects?
Anatoliy Labinskiy 24:14
So when everything started when the light first days, I was thinking that like we’re gonna be really screwed up, screwed up with the clients and what I was just hoping that they would understand and even if they will leave us so to get at least soft leaving, because before we had no problems with them, but surprisingly, the SS was mentioned about my team, all of them were in the basements, but this is a bit miss their laptops and the phones and was working. For me it like even now I’m just speaking about that. I’m shaking, because I remember those feelings. I was shocked that how come like when you have to think about your relatives about your kids, but most the team is young. I mean, no kids, no wives, but still like, how when you have to think about yourself, how you can work, you know how you can do that? And the answer was simple, which quite shocked me. But it’s, here’s the logic, if I will be, close my laptop, and you’ll be started to end, just stop focusing on work, I will see what’s happening around, and that will be making me crazy. And they said better, I will be completely focusing on work 24 by seven, then I’m going to be looking at what’s happening around. And that was like, well, like, for us.
Jeremy Weisz 25:36
It was a huge distraction for them to keep their mind off what was going on the reality.
Anatoliy Labinskiy 25:42
So that’s why white guy came back when everything started that first week, we were really appreciating to clients, that they were patient. And they were actually saying, like, no worries, like, let’s take a policy. No, like, buyers, our media buyer said, no, it’s fine. But they were like most of them. We’re saying that completely, everything’s great. And some of them even did recognize what’s happening. Even though like we just we don’t take the subject up to it, because it’s not about that we are in the business part. So they are thinking about their business. But some of them even didn’t recognize what’s happened, because like, we just, I didn’t even notice that. Like something happening in Ukraine, or like the medium virus from Ukraine. But the main thing, because I’m my company’s United States base, but I’m originally from Ukraine, and we’re living in Ukraine before the war. And that’s why there is most of the staff were there. So I will answer on your question that there is distractions, there was affected couple of the media buyers, which we failed, and we support them. So one of them is not the partner anymore of the company, because everyone else we’re flexible to manage. But he just started disappearing and completely. In a matter of two and a half months after the war, we decided that we have to say him goodbye, but everyone else understanding they need the job understanding that it’s what they were doing before. And it’s the best way of how to live at the moment. And like when electricity problems started, they fix everything in a matter of two weeks. So in October, everyone already most of them were already with these kinds of tools with the Internet. And from that moment, we have no problem in terms of being online.
Jeremy Weisz 27:32
First of all, I’m grateful you and your team is safe. And let’s talk a little bit about the there was a company that you brought on, and there was seven months where it struggled. And then you kind of hit a point where inflection point where you had started having successes.
Anatoliy Labinskiy 27:56
Yeah, that’s exactly the subject, which is one of my favorite because it was one of the hardest clients which ever had, I mean, not clients, their problems in terms of time and the results. So when she joined us, it was like end of 2019. If I’m not mistaken, yeah, it should be a no end of 2018. There was zero results in the store was losing money. And she was on the business already for three years. So for three years, still, we’re losing money, having some sales and again, losing money. So it is not a drop shipping business. This is a brand. And when she came to us, we start testing out several creatives, several different things which was working for us and that moment, and there was sales we start making her results, but there was no significant growth. And especially profitability problems exist as well. So for the first seven months, we were able to scale only like two $100,000 in revenue with the almost breakeven. So that’s definitely not the way to go. So we test some different approaches. And what was surprising me she was staying without she was paying for services, she will like being patient, and was telling when we will have the meetings I like hey, I really appreciate that you’re patient, you see that we are doing we are trying to find out what’s going to be working for you. But still we were doing better results than she does in the past or in the last three years. And she said like listen, I’m in three years in the market and what you’re doing, guys, I know that we are struggling, but I see that you are real, that you are trying to bring my brand somewhere and you’re doing these kinds of approaches from your end and your suggestions. Always been out somewhere. So I’m with you guys. I was like wow, it’s first time in my life, feedback from someone like that. And like okay, appreciate it. So in Metro seven on Monday it was cold she join it as March. Because we are in seven months, October, beginning of October, we are finding out the perfect creative, which start working we already find out the audience’s wishes wasn’t even some sales. But creatives who are dying know fast, and we found one amazing creative for her. It’s a Karma store. So for her store, with the amazing Congo for the lovely couples, it’s about family gun was for the like, I would say more emotional products more and more perfect for Valentine’s Day perfect for Mother’s Day product like that. And we spied out the perfect creative and it started giving us kind of consistency. And in a matter of months, we jumped from zero sales in that particular creatives to $27,000 that day sales. So in matter of like Black Friday, we will like on 27,000 revenue profitable revenues. And that starts working like wow. And it said took us seven months to get to that level. And especially that’s a benefit that it’s a brand, not a drop shipping store. So results are more consistent. And if you are owning the brand, I’m just speaking to your audience, if you have own in the brand and just has problems to scale, you just didn’t find out that perfect algorithm and creative and there may be a media buyer who gonna be managing that for you. And that’s exactly like why people are stalking on one level or given up because of lack of time to study the skills and implement it or because the lack of skills, or maybe both. So because of that people are just starting on 20k a month, 100k a month instead of moving to multiple, multiple their results. So basically 27k day after that we go a bit slower than 12k day and we made 3.5 millions in metros like it was a bit more than one year in and it was just insane growth. And at the same time we were we had only a couple of clients except her and plus my stores and my store score as well growing. And it was just like insanely, like when for me I would say so it was the end of 2019 when we been already on 3.5k or 3.5 million this year. And so story short right now she’s over seven millions. And I really appreciate to have like I never had a client who would believe on us such heart and won’t quit and would stay like you know and be patient because the number one struggle in e-commerce in the online business is when you are doing something on your end as agency as like one of the agency as a manager, so everyone’s doing something to implement to make the changes for the business or the client, client don’t see that. So it invisible and they see just that money for the advertising funds from our from the carts are leaving me with charging, charging, charging, because we advertised something there. So it’s really hard for the person to be patient to be understanding the process and feeling that okay, the guys are doing it. And that’s why I still like appreciate her a lot for everything, what she was who went through with us.
Jeremy Weisz 33:22
And so I just wanted to be the first one that thank you, thanks for sharing your journey and your story. There’s so much to unpack here. Unfortunately, we have limited time, but I do want to encourage people to check out goldenstreammedia.com and learn more about Anatoliy his company, check out more episodes of inspiredinsider.com. And if you’re thinking you have challenges in your business, so I’ll just think of you when we think of real challenges in life and what goes on. So thanks for sharing your story. And thanks everyone.
Anatoliy Labinskiy 33:56
Thank you Jeremy a lot. And yeah, like I appreciate and hopefully guys, you’re gonna be just implementing at least that kind of part of hustle which is our sharing with you and believe in the process and believe in that you can do it and you can change what you have at the moment to the level where you want to be. Everything is possible and everything is manageable. So thank you so much Jeremy to invite me for your podcast.
