Month: May 2016

3 Quick and Easy Ways to Make More Money With Every Sale

download (85)If you’re selling most of your products or services at a single price point, then you’re missing out on a huge opportunity to make more money.

Take a look at just about any company, and you’ll see they offer consumers a variety of price points and options.

For example, go to Dell.com, choose one type of computer (such as an Inspiron), and notice how you’ll get at least three different main options, all of which have different price points. (Naturally, you’ll also have the opportunity to upgrade your options as you walk through the sales process, no matter what main option you selected.)

Now you can do the same thing and offer a variety of price points for your products and service. Now here’s the key: if you do it the right way you’ll actually be able to lead your prospects to choosing a specific price point.

That’s pretty awesome, right? All you have to do is take these three points into consideration as you develop your pricing strategy:

  1. Optimize Price Points.
  2. Over-Deliver.
  3. Offer Premium Options.

Let’s take a closer look at each of these three factors and how the psychology plays out in your prospects’ heads.

1. Optimize Price Points

The idea here is to set up a battle between your prospect’s logic and their emotions and desires.

Let’s imagine for a moment that you’re selling a self-hosted autoresponder script. You might offer your prospects a variety of price points with options as follows:

  • The lowest price point is for those who expect to have 15,000 or fewer subscribers.
  • The middle price point is for those who expect to have between 15,001 and 74,999 subscribers.
  • The highest price point is for those who expect to have more than 75,000 subscribers.

You can set it up so that customers know it’s cheaper to pick the right option now, as opposed to upgrading later.

So what happens?

The savvy shopper will spend time considering these options carefully, since picking the right one today will save them money in the future.

Logic will tell the beginning marketer he should pick the low or mid-range option, since it’s unlikely that he’ll get more than 75,000 subscribers very quickly. Logic says don’t worry about any extra money spent upgrading later, because he’ll be making a lot more money once he has a big list.

But then his ego steps in. His ego tells him his business is going to grow quickly. His ego says getting 15,000 subscribers is a cakewalk, and growing the list to 75,000 subscribers is likely since he has a plan. So he’ll pick the high-priced option because he’s convinced he’ll need it very soon.

(Spoiler Alert: The average beginning marketer probably won’t break 25,000 subscribers, so the mid-priced option would have been just fine.)

You can do the same thing with your offers: simply pit your prospect’s hopes and desires against logic. Chances are, their hopes and desires will win just about every time, and you’ll pocket a little extra cash.

Now let’s have a look at the next factor you can use to increase the value of your average sale…

2. Over-Deliver

The idea here is to offer at least two price points, with the second price point being the obvious choice because the customer gets a whole lot more value for their dollar. The trick is to make the higher price point just slightly higher, but the value is considerably more.

The cool thing about this psychological trick is that you can actually lead your prospect to the option you want them to choose. If you have two price points, you can lead them to the highest price point. If you have three price points, you can lead them to choose either the middle or highest price point.

Let me give you an example…
Let’s suppose you have two bundles of products available for sale:

  • Bundle #1 has two eBooks available for $20.
  • Bundle #2 has the same two eBooks, plus a bonus video, PLUS an in-demand software app for $27.

Now which bundle will most customers choose?

That’s right, they’ll choose the second bundle because they get a whole lot more value for just $7 more. You make one “no brainer” option, and you can bet customers will flock to that option like crazy.

Now let’s look at the last psychological trigger.

3. Offer Premium Options

Some people just want the best of everything.

Offer them two wines – one for cheap and one expensive – and they’ll choose the expensive wine.

Give them the option of a standard hotel room or an upgraded suite, and they’ll choose the suite every time.

No matter what they’re buying – from steaks to computers to cars – they’ll choose the most elegant and most expensive option.

Now here’s the clincher…

It isn’t that the higher perceived value justifies the price in their mind. In many cases, it’s the other way around. Namely, a high price creates a higher perceived value.

Researchers have shown this to be true. Give people a blind taste test of wine, and tell them one bottle is significantly more expensive than the other. They’ll choose the higher priced wine as being a finer wine, even if you just gave them the exact same wine for the taste test, or if you told them a cheap $10 bottle of wine was the $50 wine!

Likewise, marketers encounter the same thing when they test prices. Sometimes, without changing the offer or the product at all, simply boosting the price can boost sales. A high price means a higher perceived value, and thus more sales.

Now you too can tap into this desire by creating a multi-tier pricing strategy that showcases the most expensive option as being elegant, premium and exclusive.

For example, you might set up a membership site with three levels and price points. Then you name these options as Bronze, Silver and Gold. Those who value premium options will go for the Gold option because it’s the best.

Here are other words you can attach to your highest-price option:

  • Diamond
  • Platinum
  • Elite
  • Exclusive
  • Inner Circle
  • Premium

Put a price point to match these premium options, and you may just get a surprising number of sales.

Now let’s wrap things up.

Conclusion

Single price points are useful at times and should be part of your overall marketing strategy. But a multi-tier pricing strategy actually introduces psychological factors that lead your prospects directly to the price point you want them to choose.

Here are the three main factors:

  1. Optimize Price Points. This is where you pit your prospects’ desires and emotions against logic. (Emotion usually wins.)
  2. Over-Deliver. Here’s where you create one “no brainer” price point that offers a whole lot more value for very little extra expense. Most people will choose this option.
  3. Offer Premium Options. Here’s where you use a high price point to create high perceived value, which can spur sales.

You can use each of these strategies separately in order to boost your conversion rate and/or guide your prospects to a specific option. In some cases, you can even combine these strategies, such as by pitting emotion against logic AND creating a premium option.

You don’t need to take my word for it that these pricing strategies work. All you have to do is start testing these options immediately. I think you’ll be surprised by the results!

 

5 NEW Rules for Earning $1000 a Week With Content (Even If You Aren’t Earning ANYTHING Now)

images (41)Rule #1: Teach, Don’t Write.

The truth is, the vast majority of passionate, purposeful people who have genuine experience and expertise to offer, don’t create content that converts. Why? Because we try to write like Shakespeare, or we get stuck trying to come up with the perfect prose, product or program. If there is any universally easy way to overcome writers block in 30 seconds flat, it’s to STOP thinking of yourself as a writer and start thinking of yourself as a teacher. Share what you know. Make it short, easy to understand, and hyper actionable. Your audience will love you, and your readers will start to seriously consider your paid offers as well.

Rule #2: Make people better.

Every time you write something new, ask yourself this: “Does this article, update, blog, book, tip or tutorial make people better? If so… HOW so?” Whatever it is that you know, or do well, should be able to demonstrate some sort of obvious improvement in the lives of your readers, students or audience, immediately after implementing whatever it is that you recommended. If its doesn’t, re-write it until it does.

Rule #3:

Teach ONE Thing. (at a time) The REAL secret to content marketing is this. Turn TINY pain points into quick wins for your audience. I call this the “Teach 1 Thing” technique as it forces you to get hyper focused on creating content that is outcome oriented, and is super specific. Every piece of content you aim to create that makes people better (as we covered in #2) should ONLY focus on one hyper targeted “pain point” that you can “pop” with your authority, experience or expertise. Always begin with the end in mind. Know what the pain is, how you are going to fix it, and then work backwards from there. So many people offer generic, recycled or diffuse ideas for improvement. In your case, you will be focusing on ONE hyper specific “fix” that your audience will instantly be able to implement, to solve a genuine problem, challenge or obstacle they face everyday.

Rule #4: Repurpose like a Rockstar

There has never been a better time to repurpose, recycle and re-use your content in cool and creative ways to generate cash. For example? In the simplest form, an article like this one can be posted on my blog, turned into a PDF, and offered as an incentive for new readers to sign up for my list. If I wanted to be a bit more creative? I could turn this article into a list based slide presentation, do a screen share with audio, take audience Q and A, show some live examples, and turn it into a 60 minute multimedia course for $47.

Rule #5: The REAL secret to earning $1000 a week with content?

This is a bit counter intuitive to what most folks recommend, but I say, give away as much of your stuff for free as you can. Instead of trying to work your way up to having books written, courses for sale, and products to offer in your niche, market or industry, instead… focus on coaching and consulting with high end clients who can afford premium prices. You need 4 coaching clients at $1000 a month to earn 4K a month, or $1000 a week. If you focus on creating content that solves ONE problem at a time, and you demonstrate real value to your audience, people WILL line up to pay you for your intimate expertise 1 on 1.

If you think that $1000 a month feels too “rich” for your comfort level right now? Aim for 8 clients at $500 each. Or, 16 who would be willing to be part of a group or community at $250. The truth is, the BIG secret is most entrepreneurial success I the online space is about MATH, rather than marketing, and there are always people who will WANT to work with you if you demonstrate passion, purpose, and empowering ideas in your area of expertise!

Why Starting an Online Business Is a Great Idea!

images (40)There are several reasons why starting an online business is a great idea for anyone that wants to have more freedom and wealth. Here are five reasons why I encourage entrepreneurs to start and online business.

1. Not every idea we come up with is going to become a winner and make money

New businesses are started every day and only a few become successful. In the event that the business does crash and burn it is easier to bounce back without all of the financial responsibilities that you would have in a traditional business. I myself started an online business for $50 by purchasing a franchise with an already existing online business. This was great because I didn’t have to create anything and to this day is my main source of income.

2. Residual income and Advantages

The right business can be developed into a stable, residual source of income. In fact, there are plenty of ways to create online businesses that make six figures yearly. Imagine if you could spend your spare time learning how to create successful online businesses, resulting in several income-producing assets that will continue to earn money while your out playing golf or on vacation with the family.

Remember that business has changed. The way people are making money is changing. Old ways won’t open new doors. Starting an online business today will give you a running start in the new economy.

3. No disadvantages and faster personal growth

The rules of business don’t adjust based on age, a business owner in their mid 60s has the same risks and responsibilities that someone in their early 20s has.

Running a business introduces you to many life lessons, and being introduced to them at an early age will allow to develop into a more balanced person a lot sooner.

4. Ability to work from anywhere in the world

Having an online business with will allow you to work from wherever you want in the world. All you need is a laptop or smartphone with internet access. You can start your day when you feel you are ready and work as much or as little as you want.

The work won’t be any easier on a beach in Mexico than it would be in an apartment in Paris, and you will still have the same battles and challenges that every entrepreneur faces, but the option to do it from any location or while traveling is real.

5. Less risk and little financial commitment to start

Before the Internet it was very difficult for just anyone to start a profitable business. Credit cards, Bank loans, lines of credit weren’t easy to get and still aren’t for everyone.

An online business for the most part has lower overhead when compared to an offline traditional construction business, translating into less of a financial commitment. This allows anyone to be able to start a profitable online business. The only variable is your commitment to making it happen.

Were these helpful? There are others out there that could use this advice, feel free to share around and drop me a comment if you found this helpful!

Did This Help You? If so, I would greatly appreciate it if you commented below and shared on Facebook

Own The Life’s Lifestyle Blog

 

How to Become a Successful Online Entrepreneur

download (84)“All roads that lead to success have to pass through hard work boulevard at some point. – Eric Thomas.”

An Online Entrepreneur is an individual that builds an online business with the Intent of earning an online income, while living life on their own terms. This means that they create the type of business that they want and they create their working hours and working location.

Online businesses are very different to traditional businesses. The first difference is that you don’t have to own products in order to make money. You can promote external business products and services as an affiliate and make commissions. This is otherwise known as Affiliate Marketing.

An online business is also partly an automated business, which means that once you have set up the backend of your system, you don’t need to be constantly trying to make money. Website links to sales pages are automated, emails are automated and social media profiles are set up. You will however be investing a lot of your time into marketing and producing quality content.

Building a successful online business is not easy. A Successful Online Entrepreneur knows that it takes a lot of Commitment and Persistence in order to succeed. You are going to have to learn the trick of the trades when it comes to earning income streams from the use of the internet. You are going to have to invest a lot of your time into learning and applying marketing strategies so that you can start to actually see money rolling into your bank account.

The good thing about becoming an Online Entrepreneur is that you don’t have to invest a lot of money in the beginning to start earning. This is because there isn’t the usual capital that is involved in traditional businesses such as raw materials, labour and land. Of course, the more money you invest into your online business, you are going to see a greater and faster return on the investment.

You may be thinking that becoming an Online Entrepreneur involves a lot of hard work and time to be put in. You are absolutely right. To create a successful online business is only possible if you put everything you have into it and you will do whatever it takes to achieve success.

But why is it worth it to go through all this hard work you may ask? Because of the level of Freedom and Flexibility that is possible. You can build your business around anything that inspires you. You can have the flexibility to choose your own working hours, and you can have the freedom to choose where you want to work. (This is includes anywhere in the world, as long as you bring along your laptop and have an internet connection).

To finish up, you now know that it is going to take a lot of time and effort to become a successful online entrepreneur. You now also understand that an online business differs from an offline business in that it is set up to be automated and you are able to promote and sell other business products as well as your own. And finally you understand the level of freedom and flexibility possible as an online entrepreneur.