🤓 8 Figure Direct Response UGC Case Study

8 Figure UGC Case Study: Peeking behind the scenes on Curology’s $42M/year UGC-based creative juggernaut

Want to see an example of Direct Response UGC driving millions in profitable scale?

Check this out 👇👇👇

Last year custom skincare brand Curology generated an estimated $42.5 M usd in revenue. ^source

And guess what? Most of their ads are entirely UGC-based.

So if you want to see the inside scoop on how to not only build individual direct response UGC ads that convert…

…But also how to build a Direct Response UGC “Factory” to continuously ideate, source, generate (and iterate) new UGC-based ads to keep your brand & offers scaling?

Pay very close attention to what Curology is doing.

Ready? Let’s dive in…

Taking a Closer Look at Curology’s 8-Figure UGC Success

Here’s our VidTao 2.0 Advertiser View on Curology:

Notice that’s over $5 million estimated adspend in the past year, just on YouTube.

Let’s take a closer look at one of their recent best UGC-based ads, with $250k+ total adspend:

Curology UGC YouTube Ad Breakdown:

Let’s take a close look at some of what this ad does so well, as well as a few points where it could improve:

1. Understand the Problem State: The ad does well in identifying the problem - the need for a prescription-grade anti-aging skincare ingredient and the inconvenience of obtaining it through traditional dermatologist visits. However, it could do more to educate the audience about the problem, especially those who may not yet be aware of it.

2. Unique Promise: The ad successfully communicates Curology's unique promise - an online platform where users can chat with licensed dermatology providers and get a custom skincare formula delivered to their door.

3. Unquestionable Proof: The ad provides proof through the personal testimony of the speaker, who has been using Curology for a few years and has seen positive results. However, it could potentially include more varied forms of proof, such as before-and-after photos or testimonials from other users. (Think SHOW AND TELL vs. just “SHOW”)

4. User-friendly Proposition: The ad presents a user-friendly proposition - a simple skincare routine that only requires a face wash, moisturizer, and the Curology product. This is clearly communicated and easy to understand.

5. Emphasize Education and Entertainment: The ad is educational, explaining the benefits of Curology's service. However, it's not particularly entertaining, which could potentially limit its ability to engage the audience. Adding elements of storytelling or humor could make the ad more engaging.

6. Addressing Gary Bencivenga’s Five Universal Objections:

   • No Time: The ad counters this objection by emphasizing the convenience of Curology's service - everything is done online and the product is delivered to your door.

   • No Interest: The ad addresses this by focusing on a problem that is likely to be of high interest to the target audience - the need for effective anti-aging skincare.

   • No Perceived Difference: The ad counters this by highlighting the unique aspects of Curology's service - online access to licensed dermatology providers and custom skincare formulas.

   • No Belief: The ad counters this by providing the personal testimony of the speaker, who has seen positive results from using Curology.

   • No Decision: The ad counters this by making it clear how easy it is to incorporate Curology into one's skincare routine.

A Peek into Curology’s UGC Direct Response UGC “Factory”

Now here’s what’s even more interesting about Curology:

When we look at Curology’s Brand Testing Volume tab from inside VidTao 2.0, we can see they’ve tested hundreds of ads:

And when we check out their “Creatives” tab from inside our VidTao 2.0 library:

…You can see that most of these ads are completely UGC-based.

Clearly Curology has built a rock-solid UGC FACTORY for generating UGC-based ads that generate results.

What does a Direct Response UGC Factory look like?

1. Research: Curology’s ads show they definitely hasa process for doing thorough market research to understand their target audience's needs, pain points, and preferences, probably ia forums, social media platforms, and conducting customer interviews. The insights gained from this research inform their ad messaging and help them better connect with their audience. This is the quality control in their UGC factory, ensuring their ads meet the needs and preferences of their target audience. It's also the first step in their process, providing the necessary data and insights to fuel their ideation stage.

2. Ideation: Armed with insights from their market research, Curology likely has a dedicated team or process for brainstorming and developing ad concepts. This could involve creative brainstorming sessions based on customer insights. The high number of unique ads suggests that they are continuously coming up with new ideas and are not afraid to experiment with different approaches. This is the second step in their UGC factory, generating the raw material of ideas.

3. Sourcing Talent: In their UGC factory, talent sourcing is a crucial step. Curology likely has a robust process for identifying and recruiting suitable content creators. This could involve reaching out to influencers, actors, actresses, or even their own customers across various platforms like TikTok, Instagram, and Twitter, as well as casting platforms or Facebook groups. This ensures a steady supply of authentic voices to represent their brand.

4. Detailed Instructions and Storyboarding: All the above steps don’t matter if you don’t clearly show your creators exactly what you want them to create. To ensure consistency and quality across their numerous ads, Curology likely provides detailed instructions to their content creators. This could be in the form of scripts, storyboards, or specific guidelines about the message they want to convey, the scenes they want to capture, and the overall tone and style of the ad. This is akin to the blueprint in their UGC factory, guiding the production process.

5. Production: Curology likely has a streamlined process for producing and editing their ads. This could involve a dedicated in-house team or a partnership with a production company. They may also provide detailed instructions and guidelines to their content creators to ensure consistency and quality in their ads. This is the manufacturing stage in their UGC factory, where the raw materials of ideas and talent are transformed into the final product of high-quality ads.

6. Distribution: Curology distributes their ads across various platforms like Meta/FB/IG/TikTok/YouTube, reaching their audience where they are and are leveraging the unique strengths of each platform. This is the logistics and distribution arm of their UGC factory, ensuring their ads reach their intended audience.

7. Testing and Iteration: The variety of ads suggests that Curology is continuously testing and iterating on their ads, using performance data to inform their decisions and continuously refine their ads based on what works best. This is the R&D department of their UGC factory, constantly working to improve the product.

How to Build Your Own Direct Response UGC “Factory”

It’s clear that Curology’s Direct Response UGC “Factory” is working wonders for them…

And if you’re a brand owner or agency owner yourself, maybe you’re wondering at this point: “How can I build my own Direct Response UGC Factory?”

Because when you think about:

• How much money you’d save by no longer having to hire external content agencies (whose ads often don’t even perform that great)

• How many more scaling opportunities you’d get - with your very own always-on UGC machine constantly churning out new high quality performance creatives

…Which means your ad volume + ad win rate gives you opportunities for you to scale to 100k/mo, 500k/mo and beyond…

Having this kind of performance content generating machine inside your company gives you a massive advantage over your competition.

And that’s exactly what you’re going to discover, step-by-step inside our Direct Response UGC Factory program.

We’ll be sharing into detail ALL the systems, processes, and frameworks you need…

…So you can build a Direct Response UGC “Factory” inside your company or agency…

…To eliminate the headache of trying to “duct tape” together random UGC that stumbles across your plate.

…and how to build a robust, scalable system that churns out a steady stream of entirely new high-performing UGC material to test in your ads, each designed from scratch with Direct Response performance in mind.

Go here to claim your spot:

👉 https://blog.vidtao.com/ugcfactory

(And if you have any questions you’d like us to cover on the call? Just hit REPLY and let us know)

Have a great weekend,

The VidTao Team

PS - Here’s the email we sent yesterady with 17 Direct Response UGC tactics, check it out: 👇

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We've been talking all this week about our new, paid Direct Response UGC Factory program.

It's packed with plug-&-play systems & resources you can tap into immediately, along with 5+ hours of detailed training walking you through it all.

(Go here to check it out before we close enrollment on Tuesday: https://blog.vidtao.com/ugcfactory)

But whether or not you choose to invest in the program and all the systems & resources you'll get...

Here are 17 hard-hitting Direct Response UGC tactics you can implement immediately in your business - 100% free

(whether or not investing in our full program is a good fit for you right now.)

So go ahead and check out the following 17 knowledge nuggets you can simply watch & deploy into your business, to take your paid ads (thanks to the power of Direct Response UGC) to the next level. 👇👇👇

🧬 The Organic to Paid "Morph Method": Do you (or a rival brand) have some organic UGC content that's getting engagement? Use these specific steps to modify it & turn it into a high-performing Direct Response UGC "Ad Unit." (26:43)

💸 Why you're probably paying too much money to your UGC actors right now (and how to save - and where you should be investing instead) (8:16)

🧪 "Steal" these DTC brands' Performance UGC Formula: Want specific examples of how to make Direct Response UGC ads that drive sales at scale? Model these specific brands mentioned here (17:00)

🤔 Do you just have an "offer", or an actual business? Here's one way to know the difference - and why you want to move into having a "real" business ASAP (for your long-term financial success AND sanity!) (7:30)

🎨 How to know when you should in-house your creative efforts - or hire an agency (4:04)

🚫 The #1 mistake most brands make when it comes to Creative testing on Facebook / Instagram (and the shift you need to make to reliably find new winning ads / audiences) (6:26)

📉 When Copy Templates / Hooks fail: Are your copywriters making this mistake? (ignore this only if you're happy with lackluster middle-of-the road performance)) (8:31)

👩‍🔬 How to systematically engineer breakthrough ads using the "Win or Learn" method. (this approach makes sure that each ad you test gets you closer to tapping into a new "gold mine" sub-audience within your total addressable market (TAM)) (9:30)

🎲 Creative Testing: Are you making this Facebook media buying mistake? Why you may be unknowingly "shooting yourself in the foot" with your creative test setup (and what to do instead to make sure you produce clear winners) (10:15)

🐴 How to stop being a "one trick pony" when comes to relying on a single ad type & ad channel / network (11:52)

📰 Why TOO MUCH Direct Response copy could be hurting your ad’s results (and what to have your copywriters do instead) (13:51)

🌊 Got a "Red Ocean" Offer? What to do to stand out and dominate your competition in saturated markets. (And two companies to model who have succeeded despite the odds) (17:09)

👃 Is your ad idea even worth testing? Run it through this a 1 minute "sniff test" to find out. (18:22)

❓ When UGC does NOT work - how to know when ad format, ad copy or messaging is NOT the problem (and what you need to address instead) (18:44)

❌ Why ads with no "stakes" fail: how to see if this critical element is missing from your ads (and the simple way to add it) (19:11)

👓 Why "Generic" claims hurt your business & blind your audience to your ads & offer. Use this "Inversion Exercise" to diagnose your ads, flip the script and stand out in a sea of sameness. (20:44)

🗃 How to Build a "New Hook & Angle Vault" - Do these steps just 10 minutes per day (or assign it to your Creative Strategist) and have a never-ending supply of fresh, high-performing new ad angles & hooks to test. (24:30)

Enjoy!

And don’t forget to check out the end-to-end “Plug & Play Direct Response UGC Factory” DIY build kit we’ve just opened up for enrollment

Go here to see all the details: 👉 https://blog.vidtao.com/ugcfactory

(⏰ And remember, enrollment closes Tuesday at 11:59pm Pacific ⏰)

Have a good weekend!

The VidTao Team