Tons been happening this week, that obviously I’ve been talking about every single day here on The Drive. But we’ve ultimately seen massive progression.
The main project of this week has been working on the brand-new offer and sales funnel we’re building, for a free plus shipping style offer for some training called “The Perfect Offer”
We actually had a bit of a delay yesterday, because we actually found out – it was actually a good delay though, some good news – we actually found out from our production house that actually produces our product and puts it onto the USB stick.
We actually found out that we can print double side on both the cover of the case, because it’s going to be a clear case, we found out. Meaning that we can have prints on the outside to the main cover that has the name and the information.
But we can also print, that will appear on the other side, that will appear when you open the case up, that will have the USB stick in it. We can have print on there. And the Flyers, the inserts that we’re putting into that (there’s only one of them). But we also found out that we can print both sides of that too.
So obviously, really, just to explain why that is great news. Ultimately if you think about it, because of the cost we have in actually sending one of those products out, every bit of space ultimately is what I would call like ‘prime real estate’ that we’re delivering somebody’s home.
So if we can if we can print on the outside of the cover AND the inside AND both sides of the the Flyer, the postcard that goes inside. Then that gives us ultimately double what we anticipated…
Double The Opportunity, To Give More Value And Lead People To The Next Stage…
Lead our customers to that next step, that we’d actually like them to take. Which for us y’know, we have a bonus case study – a bonus interview with somebody that we’re actually going to be sending them.
We’re also looking at setting up a web class that they can actually go to, like a 90 minute training that they can register for. So we can utilise all that space on the flyer, on the postcard, on the inside cover, to actually tell people more information about that.
So we obviously don’t want to waste any space at all. Instead of actually sending all the details off to produce the samples, to have that shipped over to me from the US. We have to spend yesterday actually working on those designs for those, and today we should have all that finished, this morning and actually send that off.
So I’m hoping to get that over to our production house today, by midday, then actually have them produce that sample. And hopefully, within about seven days I should have that sample to me in the UK, ‘cos it’s coming from the US. So hopefully they can make one quickly, Fedex priority ship it from the US – get it to us in two to three working days hopefully all being well.
Meaning we should have it hopefully by the end of next week, this time next week. I’m hoping to have received the sample, approved the sample, and had a thousand of them made that we’re actually having produced.
So that’s kind of what happened yesterday.
And here’s something I just want to talk about. Because obviously what I’ve just touched on there, being that the flyer, the postcard is like prime real estate to being able to give more value and show people material or resources, to lead them to that next step.
Well the reason we do that is because actually – here’s something that not many people realise…
With This Free Plus Shipping Offer, It Actually Costs Us More Than What We Charge!
So for example, we will be saying on this funnel, “Just cover $9.95 shipping”. Which in the US, it costs us around about just over ten dollars… if somebody in the US orders this offer, it cost us a little over ten dollars to ship it to them – for us to get that produced to their house, and posted through their door.
So we lose a few cents there which is fine y’know obviously, because we’re going to deliver such big value that we’re hoping that person will come back and purchase more from us – that’s the goal.
But things become a little more tricky, although the same principle still applies, but things become a little more tricky when we’re actually having international customers purchase this, or order this outside of the US. Because the shipping dramatically increases.
So to get this item to get this training shipped to somebody outside of the US actually costs of about twenty dollars in total. So we charge $9.95 for their shipping contribution, but it costs us about $20 to get that out there.
So to some people you’d think, well that sounds insane – you’re charging $10 towards shipping and handling, but paying out double back. You’re losing $10 every single time you acquire a customer.
But that’s when the other two ways to grow a business come into play….
Because There’s Only Three Ways To Grow A Business:
One is to get more customers, which is what the initial free plus shipping offer does.
The second way to grow a business is to actually increase the amount of products or increase the amount of money somebody is spending with you, at the time of purchase.
McDonald’s is famous for this – you pull in for a cheeseburger and they would say the order point, “Would you like fries?” “Would you like to make that a meal?” “Would you like a drink with that?”.
They’re upselling you, okay. Same principle used in every successful business really.
There’s always additional offers the points of sale. You go into a supermarket to buy your food shopping – at the checkout they have the sweets, the candy, the batteries, the gum, and all these different things for you to pick up at the point-of-sale. So that’s the second way to grow business.
The third and final way to grow a business is to have your customers return back to you in future, to actually purchase additional products, programs, services, opportunities, whatever it may be.
So we are willing and able, once we optimise this funnel…
We Are Willing And Able To Lose Ten Dollars On That Initial Product, On That Initial Order…
…Because we know that that person, on average, is actually going to spend more with us.
So whilst we may on the forefront of it, lose $10 to ship that out to an international customer. By the time that person has seen our immediate offers, and been exposed to our additional offers in future, the goal is that that person would have spent much, much more. Therefore returned a positive ROI.
So my actual goal is not to have to wait until the future, but actually by the time the person has seen the additional upsell offers, for us to have broke even. So if it’s cost us $20 to post that out, and let’s just say it’s cost us $20 in advertising to make that sale…
So we’ve spend $20 to ship it, we’ve spent $20 in advertising to make the sale, meaning we’ve spent a total of $40… My ultimate goal is, by the time a person has ordered the free plus shipping offer, and seen the additional upsells – for the average order value to be $40…
Meaning I’m Getting Customers For Free! That Is My Ultimate Goal
Because then I know that in my company, Internet Profits, we have additional higher level opportunities, coaching programs, high level products, memberships, coaching classes, done-for-you solutions, masterminds, live events… I know that over a period of 3 months, 6 months, 12 months, 2 years; that person on average will be worth a lot more to me.
So whilst I may have broke even – is the ultimate goal initially – within 3 months they might have spent another hundred dollars. Within six months they might have spent another thousand dollars. Within 12 months they might have spent $5,000. That is the ultimate goal.
Therefore with the ultimate aim for the business, now being to acquire as many customers in that situation as possible.
And that is how we’re able to scale. That is how we’re able to grow. And that is how, ultimately, we are moving as a company towards our goal of helping 100,000 entrepreneurs to both start and grow their businesses, using the power of “Free” in their business.
Okay, so I’m at the office. It’s Friday. It’s time to crush our goals. Hope you’re doing the same. Good luck to the rest of your week – smash it! And I’ll of course see you back with Two Things That Will Increase Your Businesses Income in another episode of The Drive.