In the previous lesson we talked about upsells and One Time Offers. If you’re not using upsells, then you’re leaving money on the table.
Today we’re going to talk about downselling…
(Watch this video…)
Main points:
Downselling is relatively unknown compared to upselling, but it’s based on timeless sales strategies.
Downsell = presenting your prospect with something less expensive.
(See video for several examples of downselling)
The bottom line is, downselling results in more sales.
Downsells are implemented many different ways online, including…
- Email marketing
- On-site product positioning
- Exit Pops/Chats
- Shopping cart abandonment prevention
- One Time Offers
2nd OTO’s are a very effective method of downselling.
-Often results in closing 15-50% of the prospects who turn down the first OTO.
(See video for details)
Using multiple drop-downs IS an effective way to close more sales. However, you must gauge it in light of your long-term relationship-building strategy. Also bear in mind the law of diminishing returns as you implement additional lower-priced downsells.
Action steps:
1) Determine whether one or more downsells can be integrated into your business.
2) If you decide to use a downsell, implement it.
In the next lesson we’re going to talk about testing your sales copy.
As always, you are welcome to post your questions and comments below.
In the previous lessons we’ve been working our way up to the point that you should now have something that you can sell online.
But whether you’re already selling something or if you’re still getting ready to launch your first product, you really need to think about how you can increase your profits with upsells and one-time offers.
(Watch this video…)
Main points:
Depending on how you look at it, an upsell or a One Time Offer is either an extension of your front end offer, or the beginning of your back end.
The back end is where many businesses make the majority of their profit.
By using upsells and one time offers, I generally increase the profit of any particular sale by anywhere from 20% to 200%.
Upsell: asking your customer to upgrade their purchase to a bigger purchase, or to make an additional purchase.
(See video for examples; McDonald’s, Best Buy, furniture, car rentals, etc.)
Upselling is everywhere. Sometimes it is done in an unethical way, but if done right there’s nothing wrong with it.
*Upsells should be beneficial to your customer.
Cross-selling: You try to sell something ELSE to your customer that they might be interested in.
(See video for several examples of ONLINE cross-selling and upselling)
If possible, upsell your customer into a continuity program!
OTO: a One Time Offer is presented only once to a customer or prospect.
(See video for examples of several offline and online OTO’s)
The best OTO’s are often the ones that make the customer feel like they’re missing out on something if they don’t buy it.
You can turn any sales letter into an OTO (See video).
Why OTO’s work so well:
1) The customer is in a buying mood.
2) URGENCY!
(See video for demonstration of how to set up OTO’s)
Methods of protecting OTO pages so that users can only see them one time…
1) Use a website script with this function, such as Butterfly Marketing - mentioned in lesson #32.
2) Have it custom coded by a programmer.
3) Create a “cookie” script if you know PHP.
4) Use a prewritten script such as this one which tracks both cookies and IP address.
1) Figure out an upsell or a One Time Offer (or both) to incorporate into your sales process.
2) Implement it.
Believe it or not, you may want to boost your profits even more by creating a downsell… or a 2nd OTO. I’ll explain those strategies in the next lesson.
As always, you are welcome to post your questions and comments below.
In the email I sent out to Eric’s Tips subscribers last week, I had promised to give the results of our little fundraiser, so I’ll do that now…
In case you missed it, here’s a recap…
I was on my way to get my oil changed, when I heard a commercial on the radio for Cure International. So I decided: instead of watching TV in the lobby during my OIL CHANGE, maybe I could spend that time to help create REAL CHANGE in a child’s life.
So I sent out a quick email with my idea. I said I would donate 100% of my next commission payment that I received for a particular giveaway that I was promoting.
I never mentioned it in the email, but my goal was to raise at least $250, which would be enough to provide treatment for a child with a clubbed foot.
At first I was a little disappointed because it did not appear that we would meet my goal. But for some reason, the commissions were not paid out that day… it came the next day and was a payment for 3 days worth of commissions.
And when I logged into my Paypal account I was excited to see that the payment I received was EXACTLY $250. Isn’t it cool when stuff works out like that? So I went over to Cure International’s website and made the $250 donation for a clubfoot treatment.
Now, at this point you might be wondering… WHY am I so excited about a mere $250, when in fact Eric’s Tips subscribers have helped me raise tens of thousands of dollars for other good causes?
Here’s why…
That’s one child’s life that will be changed that might otherwise not have been. One child who will now be able to walk normally.
You’ve probably heard the modern “parable of the starfish”, which is adapted from a book by Loren Eiseley…
Once upon a time, there was a wise man who used to go to the ocean to do his writing. He had a habit of walking on the beach before he began his work.
One day, as he was walking along the shore, he looked down the beach and saw a human figure moving like a dancer. He smiled to himself at the thought of someone who would dance to the day, and so, he walked faster to catch up.
As he got closer, he noticed that the figure was that of a young man, and that what he was doing was not dancing at all. The young man was reaching down to the shore, picking up small objects, and throwing them into the ocean.
He came closer still and called out “Good morning! May I ask what it is that you are doing?”
The young man paused, looked up, and replied “Throwing starfish into the ocean.”
“I must ask, then, why are you throwing starfish into the ocean?” asked the somewhat startled wise man.
To this, the young man replied, “The sun is up and the tide is going out. If I don’t throw them in, they’ll die.”
Upon hearing this, the wise man commented, “But, young man, do you not realize that there are miles and miles of beach and there are starfish all along every mile? You can’t possibly make a difference!”
At this, the young man bent down, picked up yet another starfish, and threw it into the ocean. As it met the water, he said, “It made a difference for that one.”
The moral of the story is…
Never underestimate the impact you can make when you do something to help someone else, no matter how small.
I’d like to finish this Christmas update with two videos…
The first video is from Cure International. As you see the children, be encouraged that we are helping a child like them, and be inspired to give more if you are able.
The final video is an introduction to a “movement” called Advent Conspiracy. It expresses much of what I’m feeling about this holiday season.
WARNING: This video contains Christian themes, just to let you know…
It’s pretty mind-blowing to think that we could SOLVE the problem of clean water and other plights around the world in one season. All we would have to do is spend a little less on presents and give a little more to those who need it most.
My younger brothers took the Advent Conspiracy to heart this year, and for my gift they donated flocks of geese, ducks, and chickens which will provide both food and livelihood to families in a third world country.
There’s nothing wrong with giving gifts (I’m still gonna give stuff), but let’s start to think about what we could do if we broke the societal mold and turned Christmas into something that truly changed the world.
I don’t mean to preach. This is still a marketing blog. But it’s something to think about.
In the previous lesson we looked at online payment solutions, so hopefully you’ve chosen at least one method for receiving payments.
Today we’re going to get into the nitty gritty details of exactly how to sell a downloadable product online and deliver it to your customer…
(Watch this video…)
Main points:
Simple payment button (best for single item) vs. Shopping cart (best for multiple items)
Shopping carts are not necessary for most simple infoproduct businesses. However, they are useful for multiple products, and for using in conjunction with a merchant account.
Create your thank-you page BEFORE you create your payment button.
Elements of a thank-you page:
- Thank them for the purchase, affirm their choice.
- Remind them of the charge on their credit card statement.
- Provide contact/support information.
- Educate them with instructions for downloading and using the product.
- Give the download link… big and bold.
- Advanced tip: Monetize your thank-you page with unadvertised bonuses (Not too many, 1 to 3 is usually ideal).
Delivering the product…
- Zip files are usually ideal.
- Try to keep zip files under 50MB each.
Some meta-tags to include in the head of your thank-you page HTML code:
Always test your download links.
See video for demo of making payment button…
Three variations…
-Paypal hosted button
-Your own button
-text link
Split testing has shown it’s often best to use a payment button AND text link in your order area.
ClickBank is my preferred solution for selling digital products, mostly because if the popularity of its affiliate program.
(See video for ClickBank demo)
Always test your payment links.
Ways to protect your download pages and files…
1) Leave it unprotected but try to hide it. I often do this for products under $100, because it’s the quickest, and also results in less support requests.
2) Make a password protected area using your hosting control panel. Email the username and password to your customers. Fairly easy, but may delay the product fulfillment.
3) Use a membership site script. See lesson #32 for all the details.
4) Use a specialized download protection script. I recommend DLGuard
Action steps:
1) Make a thank-you page
2) Make a payment button and/or link
In the next lesson, we’ll talk about upsells and how to create a “one time offer”.
As always, you are welcome to post your questions and comments below.
Happy Thanksgiving! While I’m aware that only about half of Eric’s Tips readers are in the USA, there’s no reason you can’t be thankful anywhere in the world
Today I’ve got a few things for you…
1) A Thanksgiving gift
2) A Thanksgiving CONTEST
3) Some stuff for you to check out
First, I want everyone who reads this newsletter to know that I’m thankful for YOU. Without you, Eric’s Tips wouldn’t exist.
Here’s a FREE small gift as a token of my appreciation. It’s a collection of WordPress Sales Letter themes. In other words, these themes enable you to easily create a sales letter on any WordPress site. This is a $27 product:
Next, this is the 2nd annual Eric’s Tips Thanksgiving contest!
We did it last year and it was fun so we’re doing it again…
UPDATE: The contest is now over. Thank you to all who participated! We had approximately 675 comments during the contest.
How the winner was chosen: As stated at the beginning of the contest, it would be random this time (Last year I had such a hard time picking the best comments!). So I took the total # of comments before the deadline, and went to Random.org and generated a number between 1 and that number. Then I counted down from the top of the comments until I reached that number.
The winner will receive the website that I created in this demo video: Site Profit Bot demo
And the winner is…
Nadiya, who posted this comment:
“Happy Thanksgiving to you and your family Eric. I have everything to be thankful for - with all the trials and tribulations that comes with life - I have family that is always there for me and we always find a way to try and make the best of it - always with the thought that there are people that have less than us and so the gratitude is always there. And Thank you for always sharing your knowledge and the free gift - Just what I needed!”
Congratulations Nadiya!
OK, lastly…
Here is some stuff for you to check out while you’re laying on the couch digesting turkey this afternoon…
