Founder at @taikundigital. Building the best performance marketing agency in the world. Sharing lessons from spending $100mm+ per year.

Book A Call 👉
Joined May 2010
I've been so AI pilled, that I've done a complete 180. AI is a money incinerator. It's a collective hallucination. Everyone sees everyone else shoveling money into the incinerator and starts doing the same. Everyone just keeps shoveling money hoping that one day the engine starts running. And maybe it will. But it isn’t. AI is expensive. Especially when you have to actually pay for tokens. And the real systemic work, the stuff that replaces people because it is autonomous, runs on tokens. The question isn’t whether your AI systems are cheaper than Americans. It’s whether they’re cheaper than people in Latam, Southeast Asia, or Africa. They aren’t. AI also suffers from broken clock syndrome. When we task AI with doing a specific task, it can often give a quality or correct output. But the problems arise when we ask an AI to produce that type of output with different inputs. If you don't know the process it used to give you the initial correct output, there's no way to know if it can take your input type and generate a quality output repeatedly or if it is just a broken clock that happened to be right. So in order to build durable results with AI, you need to build the process the AI is going to use to generate the output. You need to build in oversight. And the more varied the inputs, the more complex the output, the more granularly you need to control the functions within the black box. Otherwise, your fail rate is going to be high. And this failure rate increases whenever there is nested processing and thinking. Then there is the cost of building these systems in the first place. If you actually want something that works, you need to invest considerable resources into the build. Senior talent to develop it, token costs during calibration, ongoing maintenance when it breaks, etc. The common argument against this is to “let AI do the building on its own.” The problem with this is AI doesn’t think. It doesn’t reason. It guesses the next most likely thing in a series. So it will build something for you that will look like a house, but you go in the basement and the foundation is upside down. It’s got wires running through water pipes. The hot and cold water taps are reversed. It looks right from a distance, but any deeper level of scrutiny the illusion falls apart. Nobody is making money from the “work” that AI is doing. If they were, we would have such a rapid consolidation of wealth nobody would know what is happening. Every industry would be consolidated overnight into unassailable monopolies. I hear from lots of people who say they are making money from using AI. And my question to them is how much did it cost to build and what’s the payback period. Large companies are pulling back on AI investment. These are the companies that should be most able to realize a positive ROI on AI. So the question is whether they are uniquely incompetent at development and deployment or are smaller businesses bad at calculating cost and ROI? This results in our current environment: The only people making money in AI are the people who are selling it. It remains to be seen when using AI is profitable and how much work it can profitably replace.
123
61
35
596
98,936
This was such a fun test. Just because someone has purchased from you in the past doesn't mean they're still generating sales. Reactivation of lapsed customers is something every brand should consider, and they might be cheaper than acquiring new customers. People stop buying for a whole host of reasons. We found that reactivating them can be much more efficient than getting brand new ones.
We paid Meta to acquire customers we'd already acquired. Then we ran a Haus holdout to see if it was worth it. 1.93x incremental ROAS against a 1.5x target. It passed. Comfortably. Full breakdown in the article.
2
82
We are always hiring at all levels of seniority from the most senior to fresh folks! And you get to learn from the absolute best in the business including @PhilKiel and @jaketheadnerd. And here’s the thing when you work for Taikun. Your income isn’t capped. I gave a 50% raise today to someone senior because they are absolutely crushing it and they deserve it. And it was off a 90th percentile income already. I don’t care who you are, I don’t care what your history is, I don’t care where you live, if you’re putting in the effort to be great you’re someone we want on the team. And we’ve got 10 open positions including creative strategy, ops, meta media buying, YouTube, even HR!
This is exactly why I almost never suggest working with generalist agencies. You’re paying $15k+/month to have some junior $2k/month strategist throw a bunch of shit at a wall with your own ad dollars. If an agency underpays on talent, they will under service your account.
14
46
3,473
In light of the $80 billion dollar loss by Anthropic and the astoundingly obtuse comments I get from people every time I speak about AI, I feel this was worth resharing.
I've been so AI pilled, that I've done a complete 180. AI is a money incinerator. It's a collective hallucination. Everyone sees everyone else shoveling money into the incinerator and starts doing the same. Everyone just keeps shoveling money hoping that one day the engine starts running. And maybe it will. But it isn’t. AI is expensive. Especially when you have to actually pay for tokens. And the real systemic work, the stuff that replaces people because it is autonomous, runs on tokens. The question isn’t whether your AI systems are cheaper than Americans. It’s whether they’re cheaper than people in Latam, Southeast Asia, or Africa. They aren’t. AI also suffers from broken clock syndrome. When we task AI with doing a specific task, it can often give a quality or correct output. But the problems arise when we ask an AI to produce that type of output with different inputs. If you don't know the process it used to give you the initial correct output, there's no way to know if it can take your input type and generate a quality output repeatedly or if it is just a broken clock that happened to be right. So in order to build durable results with AI, you need to build the process the AI is going to use to generate the output. You need to build in oversight. And the more varied the inputs, the more complex the output, the more granularly you need to control the functions within the black box. Otherwise, your fail rate is going to be high. And this failure rate increases whenever there is nested processing and thinking. Then there is the cost of building these systems in the first place. If you actually want something that works, you need to invest considerable resources into the build. Senior talent to develop it, token costs during calibration, ongoing maintenance when it breaks, etc. The common argument against this is to “let AI do the building on its own.” The problem with this is AI doesn’t think. It doesn’t reason. It guesses the next most likely thing in a series. So it will build something for you that will look like a house, but you go in the basement and the foundation is upside down. It’s got wires running through water pipes. The hot and cold water taps are reversed. It looks right from a distance, but any deeper level of scrutiny the illusion falls apart. Nobody is making money from the “work” that AI is doing. If they were, we would have such a rapid consolidation of wealth nobody would know what is happening. Every industry would be consolidated overnight into unassailable monopolies. I hear from lots of people who say they are making money from using AI. And my question to them is how much did it cost to build and what’s the payback period. Large companies are pulling back on AI investment. These are the companies that should be most able to realize a positive ROI on AI. So the question is whether they are uniquely incompetent at development and deployment or are smaller businesses bad at calculating cost and ROI? This results in our current environment: The only people making money in AI are the people who are selling it. It remains to be seen when using AI is profitable and how much work it can profitably replace.
1
8
1,175
We’re 5 weeks out from BFCM. Here’s what DTC brands should already have locked in from now: 1. Your offer and economics By now, your BFCM offers should be finalized and approved. This consists of your discount depth, any bundles, gifts that will be given with purchases as well as how you’re going to set up early access. Your margin math should be recalculated at the promo price to ensure profitability. Break even ROAS and target CPA must be recalculated on discount AOV and margin. Map your promos out, accounting for Black Friday, the weekend, Cyber Monday, Cyber Week extension (if applicable) as well as cutoff for holiday deliveries. 2. Inventory and operations Inventory should be checked from now to ensure supply. Hero SKUs need to have sufficient stock to support what you’re intending to spend. A plan should be in order for when products from ads sell out. Decipher which products are likely to sell out first. What happens after that? Are you going to replace the product in the ad? Pause the ad? Who’s responsible for this task? Inventory should be confirmed from 3PL. Orders can increase from 5-10x a normal day and capacity needs to be accounted for. A plan should already be in place for an increase in customer service staff to reduce long waits for customer enquiries. 3. Tracking and data Audits need to be completed for Pixel, Conversion API and server side events. Your Google Merchant Center feed should be tidied up from now, ensuring all previous disapprovals are cleared and sale price fields are ready. Merchant Center promos should be submitted from now to ensure your products are approved pre-BFCM. Furthermore, ensure you have a measurement plan decided. 4. Creative I cannot stress this enough, your testing should already be underway from now. You need to have a clear roadmap of which creatives, hooks and angles are already working. Designers will then create promos based off these. As soon as your promo ad creatives are complete, they need to be uploaded. You’ll be doing the biggest disservice by waiting till the week of. Ad review queues slow down and you can be at risk of not having them approved in time. 5. Audience and list growth Prospecting should be well underway with retargeting pools already filled and emails/SMS lists that are going to convert during the sale. If you're implementing early access, you should already be building your subscriber list through ads, landing pages and website pop ups. If you’re following Phil, you should already have CMPr ingrained at the back of your head. Tracking CMPr WoW from now gives you an account benchmark before peakweek. When the climb hits, you should already know whether it’s frequency rising on a flat CPM or CPM rising on a flat frequency. Just a reminder of the calculation: CPMr = CPM × frequency 6. Budget and account readiness Pre-sale, peak days, Cyber week and post-sale spend budgets should already be approved. Alongside this, your account needs to be prepared for an increase in spend. Your account spend limits should already be raised from now. Ensure your payment methods are sorted, including back-up cards to prevent sudden panic when your ad pauses on Black Friday morning. 7. Email, SMS and site Ensure workflows and automations are built so that emails are segmented correctly. Your audience should already be receiving emails from now to prevent promo emails from landing in junk mail. Site testing, need I say more? If your page is taking 5 mins to load, you’ve lost the customer. Ensure page speed, landing pages, discount codes and checkout are GTG. No edits should be made to the site the week of. Fix these from now to ensure a smooth sailing BFCM.
15
2
16
1,257
Even AI agrees with my take on AI.
Replying to @CJSlattery
just thought you'd like to know that I've been plugging your social content on AI into AI (and all of the comments and replies of people arguing with you) to see what it thinks (it names you the "winner" with the caveat that you go too far 🏆 😁). Anyway, I learned stuff...
1
5
843
Ben Johnson taking years off my life. Holy shit.
2
457
90% of the AI enablement people were the same dipshits hyping crypto and NFTs 5 years ago. If you buy what they’re selling, you’re dumber than they are.
6
15
1,110
Phil just LEAKED our full creative brief process for UGC on Trybe. Trybe has produced results for our clients strong enough that we turned it into its own service line. BFCM is coming up and with that, brands want polished UGC content, not footage that needs 3 retakes before it’s usable. Most people miss the fact that great UGC content on Trybe comes from a meticulously planned creative brief. This is our internal creative brief from start to finish:
A Trybe creator messaged us last week: “That's a damn fine brief. It’s always a relief to get a brief like that.” A relief. That’s the word that stuck with me. Most briefs are a product page pasted into a Google Doc (or no brief at all!). The creator guesses, the footage comes back unusable, and the brand decides Trybe doesn’t work 😡 The brief is where Trybe is won. Here’s what goes in ours. 1. How it works, on one page The monthly loop: get the deck, film, upload, we edit and run it as ads. Creators shouldn’t have to work out the process. If they have to ask, the brief failed. 2. What’s selling right now, with numbers We pull it from the account data every month. “Opening on the problem stops 2.5x more scrollers.” “Our top video includes XYZ and sells at 2x the average.” Creators film better when they know what works, and they want to know. Their commission depends on it. 3. The product, limited to what matters Six features, one line each. Then a rule: only mention a feature you’ve used yourself. 4. The offer, said exactly “$149 for the pair, regularly $249.” Plus a do and don’t list: no invented bundles, no countdowns. If the price in the video doesn’t match the landing page, the ad can’t run. 5. Non-negotiables The name spelled right. The product name as it appears on their box. The compliance wording, with the exact phrase they can use and the ones they can’t. 7. Two briefs, pick one A gift to yourself, or a gift for someone. Each has an angle, who’s on camera, the setting and what to record. One brief per submission. 8. Visual hooks, as short clips Six 3-to-5-second shots: product on a fingertip, opening a tiny gift box. Silent is fine. The first 2 seconds of an ad are a picture, not a sentence, so we ask for the pictures separately and pair them with the spoken hooks in the edit. 9. The spoken hooks, written out Four per brief, each tied to a visual hook. Creators change the details to fit their life, but they start from a line that’s already been tested. 10. The script, in beats Problem, putting it off, the gift, the quality, the price, the close. Each beat is one or two sentences. 40 to 45 seconds total. We cut it down. 11. The shot list and the b-roll What to film talking to camera, what to film of the product, and 8 everyday clips of 5 to 10 seconds. Phone at eye level, window light, no logos, no copyrighted music. 12. How to label the upload Brief, version, hooks filmed, model. “Brief 1 · Hooks 1, 2, 4 · V1 to V6 · Script · 3.0.” The editor opens the folder and knows exactly what they’ve got. 13. A final checklist Ten boxes. Name spelled right, price said exactly, no cure claims, uploaded by required date. That’s 20-odd pages. It takes us a day to produce each month, per brand. It gets us creators who film what we need first time and want to work with us again - at scale, ads that pass compliance, and an edit team that isn’t guessing. The alternative is 40 videos a month you can’t use. If you’re running Trybe and the content coming back is hit and miss, the brief is almost always the reason.
3
1
21
2,156
Collin Slattery retweeted
I'll just leave this here...
AI is a terrible investment for almost everyone in the world. Most brands should spend zero dollars on AI unless it shows up as a SaaS line item on a software subscription. Brands spending more on AI are less profitable, because the return on that spend is negative for the vast majority of them. Vibe coding feels like productivity. It is output for the sake of output. Nobody doing it stops to ask whether that output is generating a positive return, or how much skilled labor time went into producing it. A fully loaded software engineer building you an internal AI tool costs half a million dollars a year. The same budget hires a creative team in Latin America or Southeast Asia on a per-creative basis. The output from that team will outperform what the AI program delivers, and it costs a fraction as much to produce. AI investment is fun and flashy. It feels good to say you are building something with it. Most people underestimate the cost of developing it and never run the payback period before they approve the build.
2
3
9
801
AI is a terrible investment for almost everyone in the world. Most brands should spend zero dollars on AI unless it shows up as a SaaS line item on a software subscription. Brands spending more on AI are less profitable, because the return on that spend is negative for the vast majority of them. Vibe coding feels like productivity. It is output for the sake of output. Nobody doing it stops to ask whether that output is generating a positive return, or how much skilled labor time went into producing it. A fully loaded software engineer building you an internal AI tool costs half a million dollars a year. The same budget hires a creative team in Latin America or Southeast Asia on a per-creative basis. The output from that team will outperform what the AI program delivers, and it costs a fraction as much to produce. AI investment is fun and flashy. It feels good to say you are building something with it. Most people underestimate the cost of developing it and never run the payback period before they approve the build.
19
4
5
40
10,634
This is the part of the AI story that gets ignored. The AI agent thesis assumes the internet will let agents do everything humans currently do. But the companies that own the data, accounts, transactions, and infrastructure have no obligation to let autonomous agents access it for free. And once they start charging for access, restricting it, or requiring authentication and oversight, the economics get even worse. An agent that costs tokens to think, needs expensive infrastructure to run, requires oversight when it fails, and now has to pay for access to the systems it operates is a very different proposition from “AI replaces the worker.” The question has never been whether an AI agent can book a flight, manage an account, or buy something. The question is whether it can do all of that reliably, autonomously, at scale, and for less than the alternatives. That is a much harder problem.
notice.. > Delta is blocking AI agents from booking flights > JPMorgan Chase and Charles Schwab block agents from accessing accounts > Yelp requires paid data licensing for agents > Amazon has blocked Grok bot and other shopping agents. the internet is starting to block AI agents that were supposed to do everything for us
6
2
19
1,250
Full day at the Google!
1
1
13
1,289
CREDIT LINE CREDIT LINE CREDIT LINE
If you only do four of these before November, do these. The credit line one is an agencies worst nightmare... client: "yo who turned our ads off?" 😡
5
534
Building my Miami home office from scratch. When my grandmother died in May, she left me the wooden propeller that belonged to one of my grandfather's planes he flew in the 1930s. That is now going to be the focal point of my art-deco roaring 20s style office decor and background.
3
1
33
1,010
Collin Slattery retweeted
10% to 38% of weekly spend on creative under 14 days old. Eleven weeks, one account, about $850k a month. Note: While improving CPA on new ads in Testing. Nothing clever. We moved creative testing out of CBO into ABO, one ad set per concept, every one launched at $30-50 a day and scaled 20% a day when it hit target. Half of all spend in the account now goes through the testing campaign. Its CPA is level with the scaling campaign. New ads only get spend quickly if the structure lets them. CBO makes a new ad take budget off an old one. ABO lets it earn its own.
19
1
2
37
3,795
The truth is that it isn't materially impacting people's lives yet. Not most people. The internet didn't in 1992 either. Crypto didn't in 2012. The big question is whether AI will be more like the internet (transformational for humanity) or more like crypto (almost completely useless) I lean toward the former, but I have to admit the hype cycle right now is frothy.
You are underestimating how much people out there hate AI I was at a wedding this weekend and the consensus take among people I met was that using AI for anything is morally wrong and generally inexcusable Guess I’m living in a bubble bc I was shocked…?
5
1
1
22
1,882
Deep thoughts from a guy who has been at high levels on both sides
Agency vs in-house is back on the timeline 🤗 Good ol' Twitter has a way of recycling topics, like clock-work. Every. Single. Year. This time the argument goes: fire the agency, run the ads yourself with Claude, it just takes an hour a week, and your business grows. Agencies bad, me and Claude good. An hour a week... A founder who gives an hour a week to anything and then just walks away is a cog in that thing. The founders I know and get the pleasure to work with... eat, sleep, and breathe whatever compounds the business. They don't check on it on Sundays and then go about their week. Especially if paid media is an engine. You're in it every day or you've handed it to someone who is. An hour a week with Claude is not a business. At that point, you have a hobby with a budget. And AI is making this lovely little debate even louder. I read @Superhuman 's AI Maturity Report, where they surveyed professionals and... you guessed it... marketers came back as the function getting the most from AI. WHILE also absorbing the most friction. Thought it was the perfect little resource for this post. So, here's some fun facts to tack onto this wall of text. 73% said AI creates extra work to review or fix, 13 points above the broader workforce. In high-friction environments that number hits 95%. 65% say new tools show up faster than they can learn them and 69% feel pressure to use AI even when they're not sure it helps... I strongly believe that this is the pressure engine behind "me and Claude can just handle this, an hour a week." Okay, cool Jake. Nice stats but why is this a problem? Within marketing specifically, AI amplifies the environment it enters. Hand it to a strong operator and it compounds. Hand it to a weak one and it manufactures slop at a speed no human could match. AI is still adding work before it removes any. That's the AI problem on both sides of this debate. The worst agencies are slinging AI slop at clients. The worst in-house teams are slinging it right back. For me, I get the added benefit of using our pipeline at the agency as a proxy. Example: Our pipeline is full of accounts that were run on AI slop, and they arrive in the exact same way as a brand leaving a bad agency did. You know, the ones that just rip branded search and call it a day. That said, zoom out. Way out... You quickly realize that tools are making both sides faster at building the wrong things. And, when I zoom out, I use that a reminder to keep it simple. Always. In this case, what predicts the outcome is the operator. Killer operators are killer operators, and they show up on both sides. I've watched agencies compound, almost infinitely. I've also watched in-house owners run playbooks better than most shops I've competed against. Let me tell you... Those owners weren't giving it an hour a week and the AI in their stack is clean. It stays grounded in the brand, carries context forward, and takes the repetitive work off the operator so the operator can spend the day on judgment. At this point in my ramble, let's highlight a recent change of mine when it comes to AI slinging. It might help you... If I write something to a brand or if I get something from a brand, I now expect both parties to be able to answer: "What do you think we should do with this, and why?" If you OR the sender can't answer that line, the message or whatever you're sending isn't ready. It will be AI Slop. Yep... Congratulations, you just tossed a Slop Grenade and became a stat. I've been doing this for over a decade. I'm entering like my 12th or 180th BFCM (if you know you know), so I'll be honest with you about the other side of it. There will always be agencies, and in-house people, who do not operate this way. You have to go find the ones who do, and you might eat 1 or 2 absolutely shit experiences on the way. But we're out here. Taikun keeps 95% of its partners year over year. Our founders who've been with us for years could go the MCP route tomorrow but they put that time back into the business instead, because they've done the math on what an hour of their attention is worth. They also know that we wake up absolutely obsessed with making them profit. Obsessed with growth and saving every penny we can so the founder has more to reinvest, with no price gouging. And even then, we still hand as many resources as we possibly can to the founders who want to run it themselves. Because the best operators on either side want the brand to win more than they want the credit or an invoice. So... Agency vs in-house? Both have terrible versions. Both have operators who'd run circles around the other side. Find the one that compounds with you and your business. The one that tests before it scales, shows you the number it's embarrassed by instead of hiding it in AI slop. The one that fights for the win instead of phoning it in, and the one that wakes up every day trying to leave your account (and your business) better than they found it. Agency or not, that's the hire.
1
13
1,333
People using claude as their legal counsel to redline contracts is so annoying.
11
25
3,000
Collin Slattery retweeted
You all zigged too hard on incremental attribution and nuked your audience. Just come back. @PhilKiel and I are waiting to welcome you back.
27
1
5
112
23,025
The best comms is not defined by what it includes. It's defined by what it leaves out. I spoke yesterday about slop grenades that clients lob over to agencies. Today, I want to talk about the slop grenades that agencies lob over to brands. The most common form of this is in reporting. Your 20 page AI-generated slide deck is not a quality report. It's garbage. It's forcing the burden of finding signal onto the client. Sifting through a ton of noise to find signal. That's one of the things that we as agencies get paid to do. Reports should be easy and quick to read. Our clients are busy. I want them to be up to speed in 30 seconds or less. I think we have some of the best reporting in the world. We send them via slack (manually) every Monday, and it's broken down into 4 sections. KPIs 2-5 bullet points on their primary KPIs. Both trend and against target. Observations High level things that we're noticing in the account. Is CPMr trending in the wrong direction? Did a billing outage impact performance? What results did we see from a test that concluded? What We Did A high level account of the big actions we made on the project. This is not a changelog but a high level account of the major levers and launches that were made. What We're Doing Next A high level account of the big actions we're planning to take between now and the next update. What's on deck for this week. That's it. That's all you need. We spend our time making it as streamlined as possible. Nobody wants to have their time wasted.
I've been thinking a lot about client comms, and I love that @tobi coined slop grenade, because it represents something we're seeing more and more in our client engagements. Situations where clients have automated systems that they use to judge or monitor our work and then paste the output from the AI directly for us to address. Most of the time I'm skeptical they even read it. We then need to spend human hours responding to questions the client doesn't actually have and are generally missing context, incorrectly analyzed, or straight up irrelevant. I totally understand the desire to be on top of things. To solicit a second opinion on something you may not be fully informed on. Curiosity is good! We love questions from clients, and we love sharing our knowledge. But your AI monitoring and asking questions isn't curiosity, it's surveillance. Time spent on comms is up 40% over the last 6 months almost entirely due to my team having to take time to respond to slop grenades. The easy answer is "use AI to answer their AI" but at that point what are we even doing? What's the point? I'm strongly considering writing into our contracts that we will not respond or engage with raw AI outputs. If there are questions it prompts you to have and you share them, we're happy to address. But we're not going to go through and respond point by point to an 8 page report your AI generated that you didn't even read.
4
3
31
1,906