Presentation on theme: "Back-end Strategy Using Back-end Products to Create Lifetime Customers."— Presentation transcript:
Back-end Strategy Using Back-end Products to Create Lifetime Customers
What is Next? You did it…. You got a visitor to sign up to your squeeze page. You even got them to convert to a sale and have a real paying customer. Now its time for your Back-end Strategy Plan.
3 Having A Backend Strategy Benefits Higher overall profits Higher quality customers Better JV partners Speaking opportunities Differentiation Less competition Bigger impact on clients Fewer customer service issues Better testimonials Guru status Creative compensation Higher credibility YOU ARE NOW IN CONTROL
4 100 copies of your $20 with NO Upsell 100 copies at $20 Upsell available (1 in 10 actually buy upsell) 100 copies at $20 Upsell available (1 in 10 actually buy upsell) 100 x 20 (NO Upsell) =$2000 (100 x 20) = $ $500 each = $7,000 Myth: Create a hundred page e-book, sell it for $37 and make a fortune. Truth: One ebook does not contain the key to make you rich, youll be lucky if you break even. Right now many successful people online are losing money on that first product that you see. Thats why you have to learn Backend strategies If you think a fortune is $1 million, then you have to sell 27,028 e-books. Not going to happen. Ever. Sorry. Even if you think a fortune is $100,000, you would still have to sell 2703 books, which is almost impossible as well. The Big Marketers Myth The front end sales only purpose is: Create a relationship to continue selling.
Back-end Marketing Describes strategies for generating sales of additional products to an existing customer list. Extremely important for long-term business growth and overall success. Inexpensive form of marketing. the largest expense relating to marketing (customer acquisition) has already been incurred Response rates and conversions will typically be much higher. Customers already know, respect and trust you
Back-end Marketing, cont…. Despite the benefits of back-end marketing (low cost, higher conversions, higher profits, etc.), its the most ignored form of marketing strategy. To be successful in marketing and sales in the long run, a business MUST become successful at back-end marketing.
Examples of Back-ending If you own a computer you might be sold on an upgrade after a year, printers, computer desk, etc. If you open a bank account you might be sold on further financial services like loans and/or investing.
Tips for Successful Back-end Marketing The primary product must be of the highest quality. Customer service and support are key. Make sure that the additional product is related. Properly positioned in the mind of customer
What Type of Products or Services Can I Use In My Backend Strategy? Bootcamps Workshops Coaching programs Home study courses Field trips Mastermind groups Do-it-for-them services Membership sites Physical version of your digital product. Consider breaking your product into two separate offers. And much, much more Offer the what comes next.
10 Building Backend Strategy Step 1: List Building, (Create A Lead-Generation System) The first step in building your sales funnel should be to get as many people in the door as possible Capture Name and Highest cost is getting the first sale
11 Step 2: Create A System To Earn More Money During The Sales Process Up-selling Cross-selling OTOs (One Time Offers)
The Upsell FACT: People are far more likely to make another purchase when their wallet, purse, credit card, etc. is already on the table than at any other time in the purchase cycle. Offering your customer a chance to upgrade. Upsells can double or even triple the amount of revenue. Think of up-selling as tacking on a product that can enhance the value of the original product. Do you need them? No, but it sure does add extra money.
What is Upselling? Upsell – Win – Win, You are happier and your customer is happier. An upsell is an offer given to a customer during an initial purchase to bump them to another purchase. Customer must get a good deal so the extra value they receive must be worth more than the extra price. Clearly see benefits. The customer needs to see that at the time of the sale in order for the higher priced item to make sense Continue to believe it after the sale. (low refunds- Higher trust factor) If you buy a computer you are upsold on things like the memory, hard drive space, monitor size, etc.
14 Upsell Examples Sell a $47 info product you can easily up-sell to a platinum version which includes the written transcripts for only $67. Up-sell to an 'Inner Circle Members Only' monthly webinar series for an additional $29/month! Call it your "Super Success Program". Sell a $17.00 e-book and upsell a video training course showing them the how to step by step process you outlined in the e-book for
When Should I Upsell? Always Have Something of value to Offer Upsell any time a customer makes a purchase from you. Upsell products that fit and flow with your offer. Create a Sense of Urgency
More Upsell Ideas Deluxe Upsell- sell a basic product and tell people for a little more money they can receive the deluxe edition Make Money Upsell- offer people the rights to sell the product they are buying Time Upsell- offer them a discount to subscribe for a full year Free Upsell- offer a free sample or trial of your product (membership).
Upselling is Big On initial sales, 70-80% of our profit comes from the upsell. Should you even consider launching a product without an upsell? Thats the difference between $30,000 and $100,000. Are you giving your upsell process the attention it deserves?
18 Cross-sell Sell related products to your current customers either at the point of sale or at a later time. Example: Purchase a video camera and you cross-sell a tripod Cross-selling is used to sell products that may be related to the original product, instead of upgrades, add-ons, or more expensive versions like up-selling consists of.
One-Time Offer A one-time offer is extremely powerful. An OTO is shown to the customer only once, immediately after the customer has paid for your front end offer. An OTO has to be compelling An OTO has to impart a sense of urgency An OTO must make sense in the mind of the buyer Simple PHP script that will allow the page to come up only once on a particular computer
The Upsell (OTO) Process Initial Purchase Upsell or One Time Offer Page Customer Checkout Page Thank You Page or 2nd Upsell
Initial PurchaseCheckout PageBump Offer Upsell Or One Time Offer Thank You Page The Bump Process Bump A bump is used to increase the price of the initial offer and is usually a % increase.
22 Step 3: Create Your System to Make Sales After the Initial Purchase Offers directly after the sale Product recommendations (Affiliate Marketing) Physical mailing (postcards about special deals) Telephone follow-ups (30-min phone consultation) Follow Up s Thank You and Download Pages Webinars & Teleseminars
23 Thank You Page, Product Page, & Follow Up "Thank You" Page #1. reassure the customer that the order has been processed #2. make another offer that compliments initial purchase just made. The sooner you can communicate your back-end offer with your customer in that time, the better the results. Any product or service that can benefit the customer's purchase should be systematically offered and reinforced. It goes without saying that this works best when your initial front-end product is quality, has depth and offers a high ROI for the consumer.
24 Product Page Deliver the product promised and then give them another opportunity to buy again once they see how great the initial purchase is. Add Unadvertised bonus!
25 Follow Up and Broadcast s Automated way for you turn one-time customers into repeat customers Develop a real depth of relationship with your customers Build Trust Factor Pre-selling - Pre-Selling is positioning your offer in the mind of the visitor so that it makes sense to buy!
26 Affiliate Marketing Product Recommendation Product recommendation… promote Affiliate products in your backend compliment your products position to make sense Your Affiliate product recommendations (if well-chosen and positioned) should provide an additional service and provide appreciated value for your visitors who will in turn reward you when they open their wallet and give back to you! The affiliate model is an excellent backend revenue source. (It always make sense and I recommend that you always diversify your income sources)
27 Step 4: Set up systems to Entice Stale Customers to purchase again. Limited time discounts Special offers or unique products Set up special offers for customers who request refunds or cancel memberships Set up a survey and ask customer why they are cancelling or refunding. Once they select best answer it directs them to product to help them solve the problem they are having
Downsell Offered if your offer is rejected. Generally cheaper. May not require a big decision and commitment. Can move would-be lost prospects quickly back to being customers.
Downsell, cont…. Gives the opportunity for the customer to enter the product funnel. Allows you further preselling and positioning of your higher margin products. Serves as a great opportunity to introduce who you are and what you can do for your customers. Effective at establishing new relationships. Helps build trust and credibility.
Easy Back-end Example With an eBook eBooks If youve written your own eBook, you know enough on the subject to be considered a bona fide expert. And anyone that buys your eBook from you believes this... otherwise they wouldn't be wasting time and money on your product.
31 Links to other products… Your own and Affiliate Example: In this chapter we are going to be showing you how to set up your follow up message sequence. Before you get started you will need an autoresponder service that will house you list and allow you automatically start sending out your follow up series to your new list. My recommendation for a top quality autoresponder would be Aweber or Get ResponseAweberGet Response
Imagine if at the very back of your eBook, you were to place a small ad that said something like this:
What other kind of services can you offer that compliment your eBook? Consulting with you, coaching and mentoring Package deals Whatever the subject of your eBook, there is a higher-dollar service you can perform that compliments it.
The Real Funnel The real product funnel used by millionaires is simple: Create front end offers that rarely change and constantly improve on your back-end offers. Usually your front end products will be lower in price to get more customers into your product funnel.
Information Back-end Funnel First research your niche. Get to know your potential clients. Create series of products. Know what comes next Position Backend products so they make sense in the mind of customer.
Example of an information-based funnel could be… Low-end products – $10-$100 eBooks, newsletters, short ecourses and reports. Middle-end products – $100-$500 DVD tutorials, webinars, short teleseminar series, audio and CD series. High-end products – $1,000-$10,000 advanced coaching programs, one- on-one coaching, advanced teleseminar programs, boot camps, workshops and offline seminars.
37 Using PLR To Create Your Backend Challenges of Backend marketing: No Time No Money No Idea Of What To Create This is where PLR or 'Private Label Rights' products come to the rescue. Time Saver – Who wouldnt want more time in their day? Product creation takes time PLR gives back time. Inexpensive – PLR is easier on the wallet. Who doesnt like that! Flexibility – Rewrite it, Re-brand, and add your own spin and personality Profitable – Very high return on investment Idea Generator
38 Find several and take pieces and parts from each of them and create a brand new product for your backend. Find high end training courses that compliment your front end Use PLR as bonus offers for increasing your backend Affiliate product recommendations to increase conversions. Using PLR To Create Your Backend
In Summary If you dont offer your customers what they want to buy, someone else will. Dont do them a disservice. ABU - Always Be Upselling! Consistently improve on your back-end offers to achieve the highest LCV possible. The quickest way out of the business of selling informational products on the Internet is to NOT HAVE A BACKEND STRATEGY! Getting a first-time customer isnt easy. When you get one you need to make sure that you keep him, keep him happy and make him want to buy from you again and again. You do this by having excellent customer service, staying in contact with you customers building good relationships to know your customer and by having great back-end products to offer him. It is much easier to sell to and existing customer than it is to get a new customer.