TechnicalInsightful

The Best Ad You've Ever Made Got Zero Sales (Here's Why)

Mark Builds Brands

A great ad can fail due to funnel problems rather than ad quality. The speaker outlines three critical metrics to diagnose where conversions break down: landing page bounce rate (should stay under 20%), add-to-cart conversion (around 10% depending on product price), and cart-to-purchase conversion (target 30%).

Summary

The transcript addresses a common frustration in digital marketing: creating what feels like an excellent ad only to see it generate zero sales. The speaker argues that the problem often lies not with the ad itself, but with the sales funnel. To systematically diagnose funnel problems, three key performance indicators should be tracked.

The first metric is bounce rate from ad click to landing page view. While many advertisers worry about high bounce rates reported in advertising dashboards, the speaker clarifies that these numbers are often inaccurate due to platform measurement limitations. Instead, advertisers should verify actual dropout using first-party tools like their hosting platform (Funnelish, Checkout Champ, Shopify) or analytics tools like Microsoft Clarity. The acceptable threshold is 20% dropout, meaning 80% of visitors should proceed beyond the landing page. Higher dropout rates typically indicate either poor traffic quality or slow page loading speed.

The second metric is add-to-cart conversion rate, which should target approximately 10% for products in the $30-40 price range. This benchmark is flexible and inversely correlates with product price: products priced $50-60 should aim for 8-9% conversion, while products $100+ can succeed with 6-7%. This metric reveals two things: traffic quality and page/funnel effectiveness.

The third metric is cart-to-purchase conversion, with a target of 30%. When this rate falls below 30%, it typically indicates a checkout process problem. The speaker recommends making test purchases yourself and auditing the payment processor to ensure acceptable payment success rates. By identifying which stage of the funnel underperforms, advertisers can pinpoint whether to improve the product page, increase ad click-through rate, or refine targeting. This structured analysis transforms funnel optimization from a mysterious process into a systematic diagnostic approach.

Key Insights

  • Advertising dashboard page view counts are not super accurate, making reported bounce rates unreliable for diagnosing actual funnel problems
  • The acceptable landing page dropout threshold is 20%, with 80% of traffic expected to continue; anything higher usually indicates either no traffic quality or poor page loading speed
  • Add-to-cart conversion rate of 10% is flexible and inversely related to product price, with $50-60 products targeting 8-9% and products $100+ acceptable at 6-7%
  • Cart-to-purchase conversion target of 30% serves as a diagnostic indicator, where rates below 30% typically reveal checkout process problems rather than traffic or page quality issues
  • When add-to-cart rate is low, it immediately signals whether the problem is the product page quality, ad click-through rate, or targeting, enabling precise optimization focus

Topics

Funnel analysis and optimizationLanding page bounce rates and measurementAdd-to-cart conversion benchmarksCart-to-purchase conversion metricsAd performance diagnostics

Transcript

[0:00] You run an ad and think: this is, damn, the best ad I've ever done in my life. You start it up , it works just horribly, and you're like, "Damn, I have no idea why." Well, maybe the ad was actually good, and the whole problem is in your funnel. The first thing I would pay attention to is the bounce rate from clicking on a link to viewing the landing page. Many people think this is a huge problem. But usually this is not a real problem . I can say this because the number of page views in the advertising cabinet is not super accurate. So if you're thinking, "Oh my god, I got 100 clicks…

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