Product Funnel Creation – How to Make More Money With Less Customers
Making money online gets a whole lot easier if you are able to charge more for your information products. The best way for you to sell these higher-priced products is through first selling cheap products and giving away things for free. I know this might sound like an oxymoron, but let me explain the concept of a product funnel.
What is a product funnel? A product funnel is a great way to capture the greatest amount of people who visit your website and get them to buy your products.
All Price Points Along the Information Product Funnel
A product funnel or information marketing funnel starts at the top with free giveaways and ends with high-priced coaching programs and seminars. In short, you are looking to get the most amount of people to sign up for your email list.
Over time you build trust and a relationship with your readers and mixed in with your content emails, you mention your products and services. The idea is to transform your freebie seekers into buyers over time.
When you have a full product funnel, you start with free e-courses and ebooks and then you work your way up to higher-priced products and services to offer your subscribers. The reason it is called a “funnel” is because you get more people at the top and only a few people will sign up for your pricier products, leading to a V-shaped funnel with more people at the top and fewer at the bottom.
An example might help you understand how this works. This is what your product funnel might look like:
– Free Newsletter or Free Report
– $7 Special Report
– $19.95 eBook – General Information
– $27 to $97 eBook – More Specific Information
– $197 Package – Ebooks and Audios and/or Home Study Course
– $497 Home Study Course
– $997 All-Inclusive Product and Home Study Course
– $997 and Up Coaching Program and Seminars
For every 1,000 people who sign up for your Free Newsletter, you might have only 10 sign up (i.e., pay you) for your coaching program.
Bring People Into the Funnel
Your goal is to bring as many people as possible into your marketing funnel. You start by giving away a bunch of free, high-quality content to your website visitors. Once they are on your email list, you can market your $7 special report to them to convert them into a paying customer. multiple income funnel mack
Once a prospect goes from just a “tire-kicker” (someone who is just looking for free information) to a paying customer, you can move them up the ladder (or down the funnel) to your higher-priced products. Cover the Middle Ground
Most marketers make the mistake of jumping from the low-ticket to the high-priced products – do not fall into this trap. Put yourself in your buyers shoes and this only makes logical sense.
You just bought a $19.95 or $7 eBook and now someone is trying to sell you a $5,000 coaching package. Insane, right? Of course it is which is why you need to create mid-level priced products.
You can quickly and easily add downloadable audio and video to a product and charge $97 to $197. Once you have this ground covered, you can start working on your higher-ticket products and services.
Higher Ticket Products is Where The Money Is Made
If you are selling high-ticket products, you will need to have fewer customers in order to really make it online. This concept is at the heart of how most online marketers really make the bulk of their money online.
If you have 1,000 customers paying you $7, you will make $7,000. This is a lot of money, but not nearly as much as when you have 100 customers paying you $997 ($99,700 in sales). That is 10 times fewer customers, but you are making more than 10 times the income.
Even having only 10 people sign up for a $997 product will make you more money than 1,000 $7 customers. This is the power of a product funnel.