$492,000 annualized revenue. 1 SaaS. 6 months. Strategies for acquiring, onboarding, and retaining high-value SaaS customers through paid ads—and how top marketers can replicate this success.
In this case study, we dissect how Eric Smith scaled AutoShorts.ai from $0 to $83.3K MRR in just six months using paid ads as the primary engine. More importantly, we outline the playbook for high-performing marketers to execute similar results, join an elite group, and drive explosive SaaS growth. Whether you’re a seasoned marketer or an ambitious founder, here’s how to master this game.*
There are three critical stages Eric navigated to achieve this growth—and that you’ll need to master to join a high-performer marketing group:
Validation and Initial Traction ($0 - $1K MRR) Optimization and Acceleration ($1K - $30K MRR) Scaling to $83.3K MRR and Beyond
Each stage demands specific skills, strategies, and mindsets. Let’s break it down.
Stage 1: Validation and Initial Traction ($0 - $1K MRR)
If you’re starting from scratch, you need to solve two things:
Finding a scalable market with high demand. Acquiring early adopters who’ll pay.
Finding a Scalable Market
Eric pinpointed a goldmine: short-form, faceless videos for TikTok and YouTube Shorts. Creators and marketers were drowning in content demands, and AutoShorts.ai automated the process—generation, scheduling, posting.
Criteria Top Marketers Use:
Massive Audience: Millions of creators needing short-form content daily. Acute Pain: Manual creation eats time and money. Global Reach: No geo-limits—serve anyone, anywhere. Premium Pricing Power: High willingness to pay for automation.
Eric sidestepped crowded niches like general video editing tools and zeroed in on an underserved segment. Mistake to avoid: Chasing tiny, hyper-competitive markets where you’re stuck with low-margin clients. Pick a vertical where demand outpaces supply, and you can charge real money.
Acquiring Early Adopters
Eric leaned hard into Facebook ads, targeting creators desperate to scale content production.
Execution Playbook:
Laser Targeting: Hit creators overwhelmed by short-form demands. Low CAC: Early ads scored a $20 CAC with a $120 LTV—a 6:1 ratio. Free Tier Hook: A no-risk entry point to prove value fast.
Milestones:
February 1, 2024: First paying user. February 28, 2024: $1K MRR—proof of concept locked in.
For Top Marketers: This is about speed and precision. Test markets fast, nail product-market fit, and don’t waste time on lukewarm leads.
Stage 2: Optimization and Acceleration ($1K - $30K MRR)
Once you hit $1K, shift gears:
Optimize campaigns relentlessly. Accelerate growth without bleeding cash. Optimizing Paid Ads
Eric refined his Facebook ads, slashing inefficiencies and boosting conversions.
Execution Playbook:
Test Everything: Ad copy, visuals, audiences—iterate weekly. Scale Smart: Pumped ad spend as LTV-to-CAC held strong. Pivot When Blocked: A Facebook ad hiccup in April 2024 forced a shift to affiliates, spiking MRR from $2K to $12K in weeks.
Milestones:
April 19, 2024: $12K MRR (affiliate boost). May 5, 2024: $30K MRR (ads back online).
Challenge: Ad platforms can screw you. Eric’s lesson? Diversify channels—affiliates saved the day.
For Top Marketers: This is your proving ground. Master data-driven optimization and adapt on the fly. Mediocrity gets churned here.
Stage 3: Scaling to $83.3K MRR and Beyond
At this level, it’s about big moves:
Scale ad spend aggressively. Build systems for sustainable growth. Scaling Paid Ads
Eric went all-in, capturing market share while keeping profits fat.
Execution Playbook:
Aggressive Spend: By February 2025, ads drove 31 new subs/day. Metrics Obsession: LTV ($120) stayed > CAC ($20). Operational Muscle: Servers and support scaled with the user flood.
Milestones:
July 31, 2024: $83.3K MRR ($1M ARR).
Numbers That Matter:
July 2024: $20 CAC, $120 LTV, $100 gross profit/customer. February 2025: $18,600/month ad spend (31 subs/day * $20).
Profit: $93,000/month gross at scale.
For Top Marketers: This is where you separate from the pack. Scale fearlessly, but only with rock-solid data and infrastructure.
Bonus Tactics for Elite Execution
Paid ads were the rocket fuel, but Eric stacked these to dominate:
Affiliates: Tripled MRR during an ad block.