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Alex Hormozi's Social Media Tier List
PLUS: Charlie Munger's Deprival-Superreaction Tendency
Alex Hormozi has over 10 million subscribers combined across various social media platforms. He recently shared his insights on which social media platforms have the highest potential for making money. He breaks down each platform based on key metrics and shares his real, up-to-date stats.
Key Metrics for Analysis
Who: The demographic of users on the platform
Market Share: The percentage of the target audience on the platform
Growth: How easy it is to grow on the platform
Depth: The level of relationship that can be built with the audience
Conversion: The ability to turn followers into customers
Results: Actual traffic and revenue generated from the platform
Average Session Length: How long users stay engaged with content after clicking through
TikTok
Who: 27% of families making over $100,000 a year
Market Share: 33% in the United States
Growth: High, but becoming more challenging
Depth: Low, with average view duration of 5-20 seconds
Conversion: Low
Results: Only 2.5% of traffic to Alex's website
Average Session Length: 8 seconds on Alex's website
Despite its popularity, TikTok ranks low in terms of conversion and depth of engagement. Alex rates it as an F tier platform and is not investing much time or resources into it.
YouTube
Who: 89% of families making over $100,000 a year
Market Share: 83% in the United States
Growth: High, with 80% of traffic coming from suggested or browsed features
Depth: High, with average view duration of 8.5 minutes
Conversion: Low to medium
Results: 28.6% of traffic to Alex's website, with 3-4 times higher conversion rate than other platforms
Average Session Length: 91 seconds on Alex's website
YouTube ranks as an S tier platform for Alex. He's doubling down on resources for this platform due to its high return on investment.
Twitter (X)
Who: 29% of families making over $100,000 a year
Market Share: 22% in the United States
Growth: Medium to high
Depth: Medium
Conversion: High
Results: 6.12% of traffic to Alex's website
Average Session Length: Over 30 seconds on Alex's website
Alex rates Twitter as an A tier platform. He uses it as a content hub, repurposing tweets for other platforms.
Who: 53% of families making over $100,000 a year
Market Share: 30% in the United States
Growth: Medium to high
Depth: Medium
Conversion: High
Results: Over 9% of traffic to Alex's website
Average Session Length: Over 40 seconds on Alex's website
LinkedIn ranks as a B tier platform for Alex. He values it for its high-quality leads and recruitment potential.
Who: 54% of families making over $100,000 a year
Market Share: 47% in the United States
Growth: High
Depth: Medium
Conversion: High
Results: 48% of traffic to Alex's website
Average Session Length: 28 seconds on Alex's website
Instagram ranks as an S tier platform for Alex. He's investing more resources into it due to its high traffic and conversion rates.
A business owner, winner of the Skool Games, had 800,000 followers on TikTok and only 200,000 followers on Instagram yet 90% of his revenue came from Instagram.
Another influencer makes $1 million a year with just 5,800 Instagram followers.
Who: 68% of families making over $75,000 a year
Market Share: 68% in the United States
Growth: High
Depth: High
Conversion: Medium to high
Results: 3.8% of traffic to Alex's website
Average Session Length: 53 seconds on Alex's website
Facebook ranks as an A tier platform for Alex. He's increasing resources here due to its high potential for growth and conversion.
Podcasts and Email
While not traditional social media platforms, Alex considers these important for long-term audience nurturing.
Podcasts:
54% of people making over $75,000 listen to podcasts.
Average listen duration of 20 minutes.
Difficult to grow but great for building deep relationships.
Email:
96% of people making over $100,000 use email.
High conversion rates.
Average site session time of 133 seconds from email traffic.
Alex ranks podcasts as B tier and email as A tier.
Social Media Tier List
Honorable Mentions
Pinterest: Recommended for businesses with visual products, such as arts and crafts, wine, or home decor. Pinterest has the highest average revenue per user, making it a strong platform for certain niches.
Snapchat: Known for its high commerce potential and significant engagement among Millennials and Gen Z. It's a platform to watch due to its effective revenue generation per viewer.
Twitch: Growing in popularity for long-form content like all-day live streams. Twitch offers unique opportunities for creators who can engage audiences over extended periods.
Amazon: Promising platform for influencers and content creators. Alex's book page on Amazon converts at an impressive rate of 30%. For context, Shopify's average conversion rate is just 2%., This is due to Amazon's high conversion rates and customer trust with over 300 million Americans on Prime.
By analyzing these platforms and focusing on those with the highest return on investment, content creators and business owners can maximize their social media efforts on platforms that provide the best value for their time and resources.
Top Tweets of the day
1/
It's shocking how effective spaced repetition is. You put 10% more effort into reading, and get 100-1,000x more retention. I honestly retain close to nothing after one reading, and I'm surprised how often I truly "grok" something only after 10-20 spaced exposures.
β Flo Crivello (@Altimor)
11:10 PM β’ Oct 9, 2024
Anki, a free-spaced repetition app, is hard to use but extremely useful. All doctors use some kind of spaced repetition to remember more information about medicines.
2/
the reason vps are so cheap is because they can resell the same cpu core to thousands of indiehackers with a dream and no users
β dax (@thdxr)
3:46 PM β’ Sep 8, 2024
This is how you get $4/month VPSs because most indiehackers have 0 users. If you see an AI app that charges monthly unlimited pricing, this is how they do it.
They can take a loss from 10 power users and still be profitable as 1000s of casual users never use their subscriptions to their full potential.
3/
Them: βGPT wrappers are pointless.β
My inbox 5-10 times a week: βWhatβs the best AI for PowerPoint tool?β
β Allie K. Miller (@alliekmiller)
2:44 PM β’ Sep 24, 2024
GPT Wrappers will always be useful. When given a choice between easy path and a hard path, we always take the easy path.
Write complex prompts inside ChatGPT to get AI-generated Copywriting? No thanks.
An AI Copywriting App? Yes please.
One recommended video on 10 B2B SaaS Copywriting Tips for Better Ad Performance
This video covers B2B SaaS Copywriting Techniques by Eden Bidani.
A few tips:
Sell the click, not the product
Take something out of your ad instead of adding more
Use headlines to lead into body copy
Remember how people interact with ads
Use voice of customer in your copy
Apply the "So What?" test to your copy
Rabbit Holes
Copywriters write copy that's uncopyable - Write copy only you can write and you'll stand out from the crowd. People like differentiation.
2024 Social Media Tactics - Best guide to understand Short Form in 2024 with examples.
M&Ms: Misjudging Trends - TIL about Deprival-Superreaction Tendency. This is the phenomenon that has made remote workers never go back to the office. Once you have tasted the benefits of remote work, you are not traveling again unless you are really desperate.
Until next time!
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