How to Make Money Off a $7 Product
If you start a business online, one of the things youíll do is emulate the success and strategy of others. You start signing up to other marketersí lists, begin learning how they convert through sales copy, and look at pricing strategies, too.
One of the most popular launches ever heard of in the Internet Marketing world was a John Reese launch for a product called Traffic Secrets, where he sold over $1,000,000 worth of product in 18 hours.
It was a high ticket product, so everyone assumed thatís the only place where big money can be made. But not all entrepreneurs take the same path. There are plenty of customers who want to (and can afford to) spend a very small amount up front.
One of the ways you can make money off of a $7 product is to have a great backend set up for additional sales. Seven dollars may not be much, but the addition of one or two upsells can make your income soar.
Pair that with the fact that once a person buys from you and sees the value you offer, they get and stay on your list ñ and you have a recipe for long-term repeat buyers. This can increase your bottom line nicely each year that they stay on and continue buying from you.
Many marketers go wrong with a $7 product because they equate price point with quality. They slap something insignificant up for $7, just to get the buyer on their list. The problem with that is, it becomes an indicator of what youíre capable of ñ and it wonít impress buyers enough to convert them for future sales.
Whether youíre pricing a product at $7 or $197, you should always create something that will wow your customer and over-deliver on your promises. That way, when you do develop a high end product ñ or at least something more moderately priced ñ theyíll buy without hesitation.
If youíre using the $7 pricing model as a way to rake in a lot of cash, then follow this strategy verbatim. First, make it a ìno brainerî offer thatís for a topic or idea everyoneís interested in at that time.
Make the package or product very valuable ñ worth three to five times what youíre charging. Set up a two to five tier funnel of backend offers for upgrades. Set the commission level to 50-100% for affiliates.
Network with marketers who promote that type of offer. Send them launch date details, a review copy, and any other perks you can provide and earn your portion from their traffic and your upsell percentage.