I don’t understand how anyone gets unit economics to work using paid ads
I don't understand how anyone gets unit economics to work using paid ads From the research I've done, a good Meta CPA for categories like apparel, beauty, or home goods is around $40-50, and can even be much higher depending on the AOV. That would mean in order to achieve first-order profitability, you need a contribution margin that exceeds $40-50. Assuming something like 30% CM, you would need AOV in the $130-170 r...