AI UGC Ads Are the New Dropshipping: Cheap to Make, Brutal CAC to Run
IndraVahan · x · 2026-11-10
Marketer IndraVahan endorses @danielhangan's critique of cheap AI UGC ads: they're "spam with a face" — cheap to produce but expensive to run, since you still pay full CPM to show a fake person to real viewers who clock it in one frame. Nobody posts their CAC, the feed is already sick of it, and it's the new dropshipping.
His advice: unless you have elite marketing instincts, don't bother — either go all-in on jaw-dropping AI creative (like the viral cheating ads) or hire human UGC at $9/video. Don't linger in the middle chasing mediocre photorealism.
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