this e-commerce business makes over $110 million per month selling a product that has always been considered a commodity in today's video we're doing a breakdown on Loop an e-commerce business that has taken the direct to Consumer Space by storm if you're new to the channel welcome on over my name is Juan Valdez and I run my own e-commerce business and I also partner with other e-commerce businesses to help them scale now with that said let's get right into it so just for a little bit of context Loop is again a direct to Consumer business that
sells earplugs and they got started back in 2016 and the idea came from these two friends who had the same frustration they were Avid coner goers but they couldn't ignore the persistent ringing in their ears after they would attend these concerts and so they got started and they mainly started off selling in major retailers like CVS in the US and also other countries as well however during the pandemic they struggled and their monthly sales dropped from $100,000 a month down to $20,000 a month and so the founders knew that they needed to act quickly and
decisively so they pivoted towards a direct to Consumer model they changed their approach skipping the usual stores and opted in to connect them with their customers directly at the same time they saw the need to diversify their customer base in response to the pandemic and so they started off only targeting the vibrant nlife scene however they then started to expand their Horizons to other audiences they started selling to parents noise sensitive individuals and even those seeking Focus or relaxation during the everyday life and so this this strategic shift helped Loop earplugs not only survive but
also to grow since the shift Loop has scaled to 126 million in annual reoccurring revenue and has had 300% growth compared to the year before they shared their stats on their website so you can actually verify and then also I took the time to um just pull up some of their stats from similar web you can see that last month they had 1.2 million visitors on their website and here's a breakdown of their social traffic and where it comes from so 58% % of their traffic comes from Facebook 12% comes from Reddit 11% from YouTube
5% from Pinterest and another 4% from Tik Tok and the last 7% across other channels so let's dive into Loop's products here we have their Flagship products and Loop's approach was to innovate the earplugs Market redefining ear protection with style and function and as you can see they did exactly that they went big on design right as you can see these were the existing options on the market and and as you can see there's not much that has changed with these earplugs right they've always looked exactly the same yeah these may look a little bit
different right and obviously these are completely different but overall there's been little to no innovation in this space and so I'm personally a huge fan of these categories and subcategories where there were products that there's always been a demand for and that have always served their their use case but there's been little to no innovation done within that category or subcategory and so Loop obviously started off from a problem that that these two friends had but they also identified that again there's been little to no innovation done in this space and so if you put
Loops products side by side to all of the options that have always been available in the market it's very evident why people would be attracted to choose a loop over the existing options right their products just look a lot more appealing than what's been available on the market they also took the time to focus on making their products comfortable right for the most part A lot of these earplugs are just a one- siiz fits-all and so they're not the best fit for every body but Loop one of the things that they did is that they
include a range of soft silicone tips in different sizes to fit all ears and so anybody that buys a loop earplug they automatically will be able to have their earplugs fit them nicely and comfortable and so this is obviously huge because one of the biggest issues in the space is the fact that earplugs were never really comfortable right it's something that you just kind of get and you use and that's it you just threw away there was never really any alternatives but now Loop has completely changed the game for that so the reason why I
wanted to cover Loop's products is because it's not easy to grow a business to $126 million per year selling a product that again has always been considered a commodity you obviously have to be doing something right with your product in order to grow to that scale and so obviously wanted to start off this video making sure that we specifically covered all the benefits of their products and what they did to disrupt this space and so now that we covered their products let's dive into their marketing so the first thing I want to go over is
their organic marketing so as you guys can see they have a presence across all of their organic social media channels so on Instagram this is their biggest Channel they have almost 500,000 followers and as you can see they have a wide variety of content that they post and overall like they do a really good job with their organic marketing not only on Instagram but across all their socials next we have YouTube not their largest channel they only have roughly 8,000 subscribers however they do take advantage of the fact that on YouTube people do consume long
form content and so you'll notice that they have content that they're putting out in long form right this video here is 12 minutes long this one here is 28 minutes long and more right and so obviously they're taking advantage of YouTube um really focused on building a deeper relationship with their audience using long form content next we have Reddit this is the first direct to Consumer business that I see that has such a large community on Reddit as you can see they have almost 10,000 members on Reddit which is just absolutely insane right this is
not something you commonly see across many e-commerce businesses next we have Pinterest on Pinterest they only have 500 followers however they're getting 10 million monthly views which is just crazy next we have Tik Tok so on Tik Tok this is also a fairly large channel for them they have 171,000 followers they've accumulated over 3.2 million likes and I think they do a really good job on their Tik Tok they have content that's created that's very native to Tik Tok and the type of content that gets consumed on there and so overall I think they're doing
an incredible job with their organic marketing and making sure that they create content that's native to each platform right you'll notice that again the the content they're posting on Instagram is native to Instagram the content they post on YouTube is native to YouTube the content they're posting on Reddit I didn't get a chance to look through the Reddit but I'm going to assume it's also native to Reddit for Pinterest same thing they're posting content that's native to Pinterest and Tik Tok like I said one of the things that stood out about their Tik Tok is
the fact that they are creating content that's very native to Tik Tok so overall when it comes to their organic marketing they're absolutely crushing it now we just covered organic now let's move on to their paid ads so I took the time to do a deep dive across their paid ads on meta uh YouTube and Tik Tok I'm going to mainly focus on meta but a lot of the things that I see that they're doing on meta applies to YouTube and Tik Tok as well now Loop is putting on an absolute Master Class when it
comes to paid ads I took the time to do a deep dive on all their paid social channels however I'm going to focus a little more on meta now one of the first things that stands out about their paid ads on meta is the fact that they have such a large variety of ads that running they currently have over 620 ads that they're currently running and from what I saw this is a mix of video ads static image ads and then also they're running carousels so one of the first things that very quickly stood out
is the amount of creative testing that they're doing they're doing creative testing at scale not only across the types of AD formats meaning again videos and Statics and carousels but they're also testing so many different Hooks and angles to appeal to all the different types of audiences that they can actually to get in front of and across many different use cases so what I mean is for example if we look at the messaging across their ads you'll notice here that this thing that you didn't know you needed for your flight on an airplane right and
that's the main angle and person that they're looking to Target is people that actually fly constantly right and that obviously are looking to possibly get rest during their flights so they're appealing to this audience right now if you go across another ad you can see that this ad is tailored towards people that actively attend festivals right it literally says live that Festival lover life and so one of the things that they do really well is again they test a wide variety of different ad creative formats right but they also test ads that appeal to many
different types of audiences with many different use cases right people that fly people that attend festivals and so much more in an article that was shared from the founder they actually shared a little more context on their overall strategy and approach so to be specific a critical component of their advertising strategy was the use of AB testing at scale and so this approach allowed them to continuously refine and optimize their ads and landing pages uring they resonate with the specific needs and preferences of each target audience segment with those different use cases this is actually
a quote from one of the founders we created very different ads very different landing pages and different prices test and see what works then we scaled those use cases on Facebook Instagram and Tik Tok with ads and influencers so this was their exact strategy is literally testing at scale and you can see that they are a true practitioner of this right I'm pretty sure right now they're the brand that has the most active creatives on meta and also the largest variety of creatives I'm pretty sure across the board they're probably doing the best job when
it comes to again testing creatives at scale and strategically right and also showing the proof behind it right like their numbers speak for themselves during the second part of 2020 and all of 2021 Loop found new audiences and focus on building their new customer base and the company was able to grow from 1 million to 12 million in Revenue which is crazy growth so those were some of the main takeaways from their paid ads on meta however a lot of the same principles and Concepts applied on their other paid socials so for example if you
look at the ads that they're running on YouTube you can see that again they're testing a wide variety of creatives and also different formats right they're testing YouTube shorts they're testing um YouTube landscape format if you go on their Tik Tok ads you can see that they have a wide variety of creatives that they're testing out right and so overall they are absolutely crushing their paid social ads and their overall strategy that they're using when it comes to you know running paid ads at scale and also you know leveraging this approach of continuously testing again
different ads different angles different landing pages different pricing and more right and so I think that this is a big takeaway that I had personally that I'm going to be looking to leverage for the business that I run but also all the other e-commerce businesses that I work with and so the next thing I wanted to go over is their paid search and what's happening on there so there wasn't that many insights that I was able to take away but however one of the things that I did take away from their Google shopping ads is
that if you do a comparison again on Loop's Google shopping ads versus the shopping ads from other earplug competitors one of the things that very easily stands out is if you look at the product imagery the existing competitors have these Bland images that really don't stand out at all like maybe this one stands out a little bit here because it's a different color but overall like these images don't do these earplugs any justice however when you look at Loop their Google shopping listings and their images automatically stand out right they have these images where it's
showing like their earplugs like floating and it just looks a lot more appealing and so I thought that right away like you know a main takeaway that I got is that when it comes to Google shopping and the images that you use for your Google shopping listings you have to have something to make you stand out compared to the rest of the competition so that was one of the main takeaways that I took away from their Google shopping ads now moving over to their Google search ads so if you search up Loop right now on
Google you're probably going to see an ad that looks like this however something that stood out is how they're going about their testing on their Google search ads similarly to how they're doing their testing across their ads on paid social right so if you look here if you go on the Google ads transparency Center and you just go to here you format you filter by text ads specifically here you can see that they're running a wide variety of different Google search ads again appealing to different audiences for example this ad here is highlighting the fact
that these could be used for work earplugs right here you can see this ad here it can be used for their earplugs can be used for concerts right if you keep scrolling down you'll find much more examples right noise cancellation earplugs you'll see the same style of testing that they're doing on paid social where they're looking for these different they're highlighting their ads for these different audience segments they're doing the same thing on Google right with their Google search ads and that's something that um obviously stood out because most e-commerce businesses they focus on One
messaging to One Core audience but however there are different audiences out there and different use cases where you could tie your product into and so this was one really big takeaway that I got from Loop when it comes to their paid search strategy overall those are some of the main highlights that I took away from Loops paid search strategy now let's move on to their email marketing so I didn't do a deep dive on their full email marketing strategy one of the main things that just quickly stood out to me is how they're acquiring new
email subscribers in the first place so if you you go on their website you'll notice that they don't have the usual like 10 or 15% off coupon offer that almost every e-commerce business has they're actually trying out this mystery offer popup that automatically breaks the pattern that anybody has when they see a popup because when it comes to email marketing when somebody goes on the website they're numb to seeing the standard pop-up that they always see across all websites so unless you find a way to uniquely propose a different offer a different messaging it's going
to be very difficult for you to actually have someone that sees the popup and and then two engages with the popup and so funny enough this is actually a recommendation that we have shared with the e-commerce businesses that we've worked with and we've also tried for our e-commerce business uh and we've seen that split testing this mystery offer versus a standard discount that you're offering works a lot better because it just pequs curiosity right even if it's the same discount amount that you're giving this works a lot better than just having the standard offer that
everybody always has and that people always see across many different websites so yeah just something I wanted to very quickly point out now moving on to their offer there's not too much to cover here the main offer that I saw on their website was if you actually choose to purchase one of their bundles you can actually save anywhere from 15 to 25% off and I'm sure that this obviously helps them with increasing their aov now let's move on to their website so obviously in my opinion they have a very well put together website overall right
if we you know very quickly jump to it you can see it here this is a specific landing page that they're using for their Google ads right which again is super well put together right looks super clean so this is their main website and very similar to their landing page very well put together right very clean the aesthetic is perfect they have all these different key features that really make overall like their products stand out their website stand out and so one of the things that really stood out to me the most is how they
have this help me choose section up here with this quiz so if you go through this quiz it's very interactive it's designed to simplify the product selection process and guide users towards the finding the perfect solution for them they highlight light this quiz above the fold on the homepage both as a secondary CTA and in the menu if you don't know what CTA is it's just called to action and you'll notice that again if you go on their website they do point you to um take the quiz if you're somebody that's just visiting the homepage
right this quiz acts targeted questions about the user situation and their preferences you'll notice that if you open up the quiz It'll ask you why are you looking to purchase loop ear plugs if you're wondering what Loop earplugs should I get you're in the right place take our quiz to find your perfect ear plug match whether it's for Focus fun or some well-deserved sleep will help you select the best loop ear plugs to fit your life and then you have all these options here and then from there once you select which one you know fits
you and what you're looking for it produces a tailored product recommendation based on the answers reducing the time that you need to take to purchase and U find the right choice right and so obviously this simplifies the overall customer journey and just makes it a lot easier for somebody to be able to find which earplugs are the best fit for them in addition to the interactive quiz Loop's website features a comprehensive comparison page this page helps users to make informed Decisions by comparing the features across all their products and models here you'll notice that again
they have this side by-side comparison where users can evaluate their options and select the solution that best aligns with their needs and preferences which again just makes it a lot easier to have confidence in the product that you're purchasing right because they're putting everything out there on what you should be looking at When comparing all of their products and so overall the quiz is great for visitors who have no idea about how to get started and figure out what product is the best fit for them the comparison page is perfect for visitors who know exactly
what they're looking for but just want to compare features right and so besides these Loop's website and earplugs offers a wide range of value added incentives to increase conversions again I think that this is one of the most well put together websites that I have seen personally and I would take the time to just look through and get familiar with all of the things that they're doing now I won't take too much more time covering their website but one of the last things I wanted to go over is how they go about building community and
Longevity within their communities so you'll notice that they have overall like this section where you can become an affiliate right so if you go here they say Empower others to live out loud get paid to create content about Loop and then here you can kind of get started and so one of the things that they do is that they make it very easy for you to become an affiliate and so obviously right now we're seeing that it's becoming more popular for platform like Tik Tok and like Tik Tok shop to really have Affiliates promoting a
wide variety of products and so what Loop has done is they have just integrated their affiliate program into their website so that regardless on whether you want to create content on Tik Tok shop or Instagram or YouTube you can create content and get incentivized for anybody that purchases using your link so obviously they're they have dedicated Pages for this and I thought that this was pretty unique also they take it one step above so one of the things that they do is if you scroll down they also have this Loop Circle which basically what they
have done is they have gamified the process and overall like what it looks like when you're an affiliate so for example they have this tiered system where based on the amount of points that you gather from people purchasing from your affiliate link you can actually get additional incentives and so people or their Affiliates are actively incentivized to want to promote their products even more because they have additional incentives as they continue to promote their products and so this is something that's super unique right now one of the things that we're seeing work really well on
Tik Tok shop specifically is that um brands are offering additional incentives on top of just the affiliate commissions that Affiliates are getting and so that's working really well on the Tik Tok shop side of things Loop is obviously doing it across the board regardless of what channel you create content on which is super unique and so overall Loop is just putting on a complete master class on branding paid social paid search Community Building website optim imization landing page optimization and more and there's a lot of insights and learnings that any e-commerce business can learn from
and so those were the main takeaways that I got from Loop the reason why I take the time to share these insights with you guys is because I'm a student of the game any business that can figure out how to take a product that has always been a commodity and turn it into a business that can generate over $126 million per year is the business that I want to learn from and so I usually put all these insights together for internal use what we do is we take these same insights and then we figure out
how we can leverage these same insights for the current business that we run but also for all of the other businesses that we work with and so on that note if you're an e-commerce business and you're looking to get help with scaling your e-commerce business down below this video there's a link that you can click on to actually book a call with me and my team on that call we can get to know more about you and your business and from there we can actually put together an action plan where we share recommendations of how
we can help for this video that's pretty much it if you guys enjoyed as always I would appreciate if you dropped a like on the video um if you have any questions about anything that I covered drop it down in the comments below and of course if you haven't already make sure you subscribe to the Channel with that said I'll see you guys in the next one peace
