Increase Profits on the Backside
PSYCHOLOGY OF BACK END PROFITS
Many businesses owners spend too much time trying to get new customers they fail to recognize the gold mine that they already have with their existing clients. The fact is that the people most likely to buy from you are those individuals that have already purchased from you. Which is why backend marketing can boost your profits when new customers are hard to find.
WHY IT WORKS
For a business owner, it will work because it is easy to put backend strategies into play. It does not matter if you are online or a brick and mortar business. It takes some conscious attention to the actual transaction and understanding when to offer an upsell or even a more expensive item. Once you have an understanding of this, it is a straightforward way to increase your bottom line without expending time in advertising.
THE SIMPLE STRATEGY
The approach is relatively straightforward and works best if implemented with consistency. It does not take much effort to ask someone if they want a pair of socks to go with the shoes they just purchased. If you do not have this step planned, you will miss an opportunity. It works when you use the strategies at all times, consistently.
When planning your sales funnel, you must include exact methods in selling backend offers. It should not ever be an afterthought; it should be carefully planned. It may appear as a simple question or as an additional ad that is placed on a thank you form. What it is, is a carefully planned move to get your visitors to open their wallets again. Never miss an opportunity to increase your bottom line, particularly when the customer is in the mood to buy. Moreover, that is when they have just agreed to buy from you. Paying attention to your sales funnel and the strategies, you can set up a maze of offers that are very subtle yet powerful motivators.
The first step is to turn the anonymous visitor into active email addresses that have given you permission to contact them. Without knowing who is visiting your site, you will never be able to create a successful sales funnel.
Whether it is a new or a previous customer, they should all be in some area of your sales funnel. Your sales include backend offers, in emails, in forms, in other various types of promotions. It should include different email campaigns. Moreover, should track the sales of your offers.
THE DOUBLE OPT-IN
As more people get spammed and scammed World wide, more complaints have been sent to their Governments who make laws against receiving unwanted communications. USE the double opt-in method to avoid issues with the law.
The double opt-in method is one way of starting the process to market new leads; it weeds the spammers and fake email addresses out.
If you offered a Freebie for someone signing up to your site, offer or purchased your product, in return for them to receive it they have to verify the email address, by going to their email inbox and clicking a link to confirm.
This will check the account for a real email address and after verified, are fully registered and sent to your download area where they can download your freebie.
As people first sign up for your front end offer, your priority is to get them to register with their real email address. It may be a free ebook, or a discount coupon, or any other offer that you give to them in appreciation for subscribing to your email list. Once they have entered into your sales funnel, via the double opt-in form and have been verified, then you have the right to offer to them in any manner you choose the front or back end.
AFTER THE FREEBIE
Your emails should remain friendly and casual, whatever it is that you have offered them as an incentive to sign up, it should also include some backend offers. If it is a report, you should include a description of some useful tools or services that you are selling, of other products, even affiliate offers. You can ask for referrals also for anyone that might like a copy of your freebie you are giving away.
Next, add their name to a particular marketing campaign. If they have not self-identified themselves yet, do not just add them to a generic email list for offers. You can set all this up through your email autoresponder to automate it.
MARKET IT UNTIL IT SELLS
After people are on your email list, you continue to sell to them with your plan until a sale has been made. If they are your existing customers, they have already verified their email address. If they spend a lot, put them on an email campaign that offers them larger frontend and backend offers. Offer them a low-income front end offer, with a high-income backend offer.
HAVE MULTIPLE OFFERS FOR YOUR FUNNEL
You need to have backend offers; you need to have many products in your inventory. They do not specifically have to be your products; they can be affiliate products. However, you need sufficient stock to mix and match your offers so that people will not get tired of seeing the same offer and get more bored being sent the same thing over and over.
A THREE TIERED SYSTEM
Your inventory should include at the least three categories of products:
- Low end
- high range
You will need to cycle through your entire list of goods. Using the method of Up sales and down sales, eventually, you will offer something that they will be willing to buy.
The three tiered method works because it allows you to keep track of where they are in the sales funnel, what was purchased, and what you need to continue to offer until it sells. It is a matter of learning when to give incentives to buy on the backend.
GAIN TRUST WITH YOUR LOW-END PRODUCTS
Marketing work best with different levels of goods. You can make a backend offer the moment someone buys a low-end product. It should be something that compliments the content of your freebie.
You might try offering more significant freebies to get their attention, like an invitation to a webinar, free coaching session even free software. This way, they may test your products before you move into marketing to them for higher end up sales.
After you have got a mid level product sale, you can offer them one time offers as an up sale. These offers for your regular customers, who trust you and know that you have good authoritative products, they have enough trust in you to purchase an up sale. Once they have identified themselves in this category due to they are moving into the mid-priced level of goods, market the limited one-time up sale offer.
IT IS “ONE TIME.”
After the sale of a mid priced product, send them to a sales page with a related product on it. Tell them that because they have bought a particular item, they are offered a “one-time” opportunity to make another purchase at the discounted price. Make it clear, once they leave the web page, the proposed offer will no longer be available. You can sweeten this deal by adding a bonus to your special deal that is also included in your “one-time” offer. This gift item will no longer be available for free with other packages unless they take the deal.