GTM Sauce

A company testing 500 ads weekly · guest's last employer

Test new ads at $10/day in Indonesia, not $1,000/day in the US

Same test signal at ~1% of the cost

Workedpaid-socialexperimentationlocalization

What they did

Test ~500 ads per week; run the tests in countries with similar conversion rates but low CPMs (e.g. Indonesia) at ~$10/day instead of ~$1,000/day at US CPMs, then scale winners in the US.

What happened

Same test signal at ~1% of the cost.
Stage
scale

In their words

Make Ugly Ads to Grow Your App – Yuliya Lennox (Solid Starts)

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Yuliya Lennox… And there are markets that if you go to conferences, you know that everybody's talking about like, "Oh, go to Japan. They're so rich and they will bring you a lot of money." It's kind of hard. It's kind of hard to go to Japan because they have very local things. But at the same time, there are a lot of countries that are just as Americanized, Europeanized, can even say that, but it's okay where you can find a lot of benefits for yourself.

Yuliya LennoxSo localization is something I would definitely bet on if I had to join any company. And I see it also happening in a lot of companies. When one door closes, the other ones open. What we found, for example, in my last company, it was that testing your ads, testing your ads is super important. You need to test 500 ads per week. And if you do that on US CPMs, you will definitely go broke. But if you do that with countries that have the similar conversion rates like, I don't know, Indonesia, and you will see the same tests for $10 a day instead of $1,000 per day, this is where you can actually help yourself scale in the US as well by testing different locals. That's for sure.

David BarnardAny top fails or lessons from localization? I know, and you kind of hinted at it with Japan. We've talked about this on the podcast a few times now that certain markets, you really do have to understand the local customs. They need to feel like you understand them. You, in Japan, almost have to have a low local partner or even a partner agency to not just localize the text in the app, but localize the kind of images you use, the kind of paywall …

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Tags: meta, tiktok, creative-testing, cheap-geos, cpm, indonesia