Marketing ROI Compression

Robert Oliver shares insights about marketing paradigm shifts and how early adoption of new marketing channels creates massive opportunities for ROI (Return On Ad Spend).

Key Points:

• Marketing channels follow a predictable evolution pattern:

  • New channels initially offer extraordinary returns (5x ROI or more)
  • As more people discover the opportunity, returns compress
  • Eventually, the channel becomes saturated and returns diminish significantly

• Real examples of marketing paradigm shifts:

  • Amazon advertising (circa 2014):

    • As a 22-year-old consultant, Robert saw brands spending $50,000 on billboards
    • Meanwhile, $5 spent on Amazon ads was generating $25 in sales (5x return)
    • Traditional marketers were slow to recognize this opportunity

  • Political campaigns:

    • Obama's success came from building a huge email list before competitors
    • Trump won despite raising less money by focusing on Facebook and online marketing
    • Opponents stuck with traditional TV buys and commercials

  • TikTok as a search engine:

    • Young people now search directly on TikTok instead of Google
    • This represents the current paradigm shift and opportunity
    • "That's where the brands of the future are being created"

• The TikTok marketing playbook:

  • Focus on views rather than followers
  • A brand new account can get 10 million views with the right content
  • Success comes from having many creators making product-specific content
  • Example: Andrew Tate broke the internet by having "500 hungry little minions" creating content with affiliate commissions

• The opportunity window:

  • Being early to a new marketing channel is where fortunes are made
  • "When you see this paradigm shift, it's like the new marketing opportunity"
  • "If you can pounce on that, that's where you can get rich"