In my latest Funnel Day, I helped my client achieve 3 major business breakthroughs that will help him radically transform his business in 2016 in more ways than you can imagine. The breakthroughs for him were so profound, he not only scheduled another Funnel Day for his other two businesses, and hired us to build two separate funnels, but also referred another one of his business partners.
Listen up as I walk you through the insights we broke through!
Make sure to SHARE this podcast/episode with your friends, then leave us a REVIEW and get my “101 Conversion Tips” Cheat Sheet… free! Send an email to [email protected] with the name on your review.
Want To Work With Me?
Visit http://www.JeremyReeves.com or email me at [email protected]
Hey there, Jeremy Reeves here again with another episode of the sales funnel mastery podcast and today I want to talk about someone I had a very incredible pleasure of meeting, he is a client of mine, I wonâ€™t give out his name just in case that gives away what his doing, but we are just gonna call him, we will call him Fred, okay, so not his real name but Fred came to me and basically he has a — he is (inaudible 00:00:43) entrepreneur really, really, really sharp guy, does have I think 4ish different business give or take that are all doing really, really well. He is really good at kind of, you know, getting starting the business, getting the right people on the right positions and then like automating the business.
So he started another one in the beginning of 2015, I think his first sale was on January, I forgot what he said, 12 I think of 2015 and in the first year, using a platform, Amazon ads that he has never used before., never owned a type of business like this before. He went from 0 to about $385,000 in — you know, within last year, right.
And the funny thing is, he came to me, and he was like, Jeremy you know I am doing really good, I am really happy with the progress, but I want to figure out how to grow this thing, because his goal is to get to about 2 million and a million in profit and that kind of thing.
So he really wants to take this and take it, you know, he is already doing well, take it to the complete next level.
So he came to me to find out how to do that, right. So we had a funnel day and by going through, I asked him all kinds of business — all kinds of questions about his business, how he gets traffic, you know, what he is selling, all that kind of stuff that I normally do and one of the things that I realized was he only had 1 product, right.
So we talked about that and I am like, okay, we will — you know, when people buy, they are obviously interested in the topic that you are selling, like they have a — they have a problem, your product gives them a solution for that problem, but it does not fix the underlying problem, right. I cannot really go into, I cannot really go into what it is, just for — you know, confidentiality that kind of thing.
So, what we talked about was, okay, while you are giving them one solution of the problem, but there are a lot of other problems out there and the solution that he is offering is really, really low price it is only — roughly, there is a different price (inaudible 00:02:51) but it is roughly $15.
So, I said, well okay, you know, what are you doing, you know, with the buyers, and he was like, well, you know with the Amazon, they kind of keep the buyers, they do not really give you the information, you know.
So the first thing is, alright, just hold it right there, we need to get a system in place that takes people from Amazon and gets them onto your list so that we can follow up with them, right, with direct mail, with voice mails, with sales calls, with emails, all that kind of stuff.
So that was kind of phase 1 as we actually outlined a plan, right, of exactly how to get these people from Amazon, because Amazon again does not give you their email address. You get their physical address, you can put, insert into the packages that you send but you cannot get their email address right which, you know, sucks.
So I said okay, step 1 letâ€™s do that.
Step number 2 is you are only selling, you know, like you need $385,000 in $15 sale, so I said, step number 2 is we got to get him back in on this thing and I was talking all about it and he was like, wow, I never really thought it, you know I was kind of looking at this and I was like, wow, I am doing really good, I just need more traffic and I said, no, you donâ€™t need more traffic, you need higher end average customer value, right because his average customer value is only about $15 right now and I said if we can just double that, that alone doubles the business, right.
So if you go — if we do that — so basically I told him that the overall plan was, I was like, okay we got to — your customers are not worth that much money, right, they worth $15. So I said, step number 1 is we have to — we have to build like a little mini campaign to get the money (inaudible 00:04:41) okay, that is easy.
Step number 2 is we have to get them worth more, you know, we got to find things that we can send them that solves — get into their problem even bigger and the problem that they are looking for — it is kind of like multi (inaudible 00:04:55) thing like the one problem, the reason that they would buy this certain thing is because they are having a bigger overall larger problem.
So, and again, it is kind of hard to explain without him. So I said, we have to figure out other things that we can sell, right and we came up with — basically, we came up with something, you know, his original product is $15, then we came up with something that — we are gonna give the packages between, you know, between like, I forgot but it came out to be $29 or $30 and $100 something like that and then continuity and like a whole bunch of different things.
I said, what we are going to be able to do then is once you get your average customer value up, you can use — because he can do really high volume, selling what he is selling on the front end, so I said, we have to use that as a loss leader, you know, we have to use that to be able to get buyers, if anybody is familiar, use it as a trip wire essentially. Just use that and be able to — once we have the backend in place, we can go out to, you know affiliate to a bunch of partners, we can license it, we can do all these different things and use these different channels to use that frontend product that he sell, a $15 product. Let that other person put it in front of their audience and get a 100% of commission and then we take all the backend sales and then we just have a really, really, really strong backend, right.
So that is kind of — that is kind of what we are doing with him and one of the things that I showed him while I was doing this funnel day with him was, you know, if you have people that are buying whatever it is that your highest price product is, they want more from you, and I send out a newsletter this morning to my email list talking about this and you know, the fact is, one of the first things that I always tell people is to get more higher price products into their backend. I call them, you know, essentially — you are essentially looking for your hyper buyers, you know, you are looking for the people that are already giving you money.
It is kind of like the concept of doing more of what is already working. Well, you should be selling more to the people that are already buying from you, right.
So that is why I am coming out with him and we are doing — we are doing a bunch of research over the next month or so together to come up with some, you know, higher price products to be able to sell his existing buyers because that is what is going to be able to take him and be able to, you know, afford, to be able to buy more traffic because right now he cannot go off of Amazon, it is the only thing that he is doing.
So by going and increasing the average the lifetime customer value, he then has more money to spend in other advertising channels like going out and making really good offers to joint venture partners and doing a licensing deal and having them just give away the frontend product and inserting his product into other peopleâ€™s packages and have them, just give it away for free as bonuses.
These are the types of things that most people do not think about, you know, and that is, you know, what we are gonna be able to do and then by having these back end, then he is still able to profit, you know.
So he is doing just to round it up, you know, $400,000 now, well, if you double your average, you know, your lifetime customer value (inaudible 00:08:21) much to say, you know, lifetime is about a year or so, right, because we are not looking like a 10-year period, his is gonna be a fairly short buying cycle.
So itâ€™s gonna be roughly a year, right. So in the first year, if we can take that from being worth $15 to $30 right, then he goes from $400 to $800,000. Well then, since you have more money to play around with, you can then go out and invest in other marketing channels, in other traffic channels and be able to get a lot more of volume, right. You can go from Amazon and that is getting you a $400, well I am pretty sure you can go out and find a couple joint venture partners that are able to send you traffic and get you another $400,000 in sales, you know, that is not gonna be that hard when we can give them a really good offer.
So then all of the sudden, if we double the lifetime customer value, right, so it goes from $400 to $800, then if we double traffic, then it goes from $800 to $1.6 million, right.
And then we do some tweaks and testing and a good rule of thumb there is that with tweaks and testing, you could typically double to triple whatever you start with. So you do that and then you are up to, you know, 3 million in sales or so if you double that.
So, you know, that is kind of like the — it is kind of how I look at business. It is why people come to me for funnel days because they do not see that, you know, one of my strength is that I am able to see the progression of what we need to do to get people from point A to point B, from you know wherever they are right now doing well to doing you know what they want to be doing, you know, to taking you to that next level, right.
One of the things that I touched on a couple of minutes ago was that if you are still selling your highest price product, you know, your customers want more.
So what I want you to really take away from this not only, not only the kind of progression of how you can see all your business but what I really want you to take away from this is look at whatever it is your highest price whatever, right.
If you are still making sales from that and I am not talking about like 1 or 2, you know, I am talking about like a couple or you know, I mean it kind of depends on what it is. If you have 3 products and you have letâ€™s just say $47, $97 and $297, right, and you are making a decent on the sales on $297, why donâ€™t you come up with something that is $500 to $1000, there is no reason not to because you are still gonna get a percentage of people in each category that are gonna buy your highest price thing whether that is $200 or whether that is $5,000.
There is always gonna be people who are willing to spend the money if they see the value, okay, and that is why we keep coming out in our service business. We keep coming out with higher level of programs for our clients. Right now, it is basically going on, again, I am going on retainer and doing like a monthly retainer with you, right.
So, just — I want you to look at that and say okay, you know, my highest price product is whatever, $1,000 or $5,000 or $10,000, you know, whatever the case may be and then look at that and say, okay, can I double that, can I bring out a new service or new product and if you have — if you are in the product business, if you sell information products or physical products look into adding service, right. If you are in the service business already, well then look into adding a higher level of service.
So if you have a group coaching program for example, I have a client that we are just to about a launch our campaign just kind of get (inaudible 00:11:53) some of the motions with Google to make it simple, get it all compliant with Google, we are sending them to a coaching program which is $5,000. Guess what we have in the backend of that, we have a $24,000 coaching program on the backend of that and when she starts — when she starts getting the volume we stopped there for now, but when she starts getting the volume and that starts filling up, well guess what are we gonna do then, we are gonna have a $100,000 coaching program and guess what is gonna happen if she fills that up, we are gonna have a $500,000 coaching program and a million dollar coaching program.
You know, whatever the case is — now, there is gonna be a point where you stop because nobody is buying it, but you have to look and you have to kind of make a judgment call and say, okay, is there enough people in here to validate me going up to the next highest price point, you know, the next highest level and even if, letâ€™s just say, letâ€™s just pretend that you have a $10,000 service, you come out with a $25,000 service okay.
So letâ€™s just say, I donâ€™t know, you have 10 clients that have spent $10,000 with you and you are like okay, letâ€™s go up to the next level, letâ€™s come out with a $25,000 package, okay.
Nobody buys that, well guess what that does, that is still is not a bad thing because what that does is it anchors your other prices, it creates a juxtaposition between your other prices.
So, if they are looking and they were like, oh my God, you know, itâ€™s $25,000 but then they look and they were like, oh here is the packages only $10,000 because itâ€™s 2-1/2 times less than the highest price package.
So now all of the sudden, you know, before, they are looking and say you have like a $1,000, $5,000 or $10,000 well the $10,000 seems expensive because it is the most expensive that you have, right. Well now, that same person is looking and you have a $1,000, $5,000, $10,000 and $25,000 well now what is expensive, the $25,000 coaching program. So now what is not expensive, the $10,000 coaching program.
So, you have to look — you have to be able to so see this and kind of vision the whole, you know, the whole process and be able to see how it all fits together. That is one of my strength. That is why we build funnels and that is why we get such good results is because I have like the, you know, that is one of my talents, I am able to do that and I am able to look and think bigger than most people do when they are looking through their own business because when you are looking at the stuff, you know, a lot of people might look at my clients you know business and be like, well yeah, obviously, he needs a backend, that is not, you know, Jeremy that is not brilliant, but the thing is, to him and listen to me, this is very, very, very smart guy, trust me okay.
He is doing better than, you know, than most business owners. If you lined up the room, he would be you know, in the kind of upper echelon of business owners that are in there, right. He is not a dumb guy. The problem is, itâ€™s his business, when you are — you know, the day to day, in the trenches, you know, doing your daily kind of stuff in your business, your brain is so focused on the day-to-day activities that it does not have the capacity to take a step back from your business because you cannot be in the middle of your business and outside of your business at the same time.
So when I come in and I look at your business with a fresh perspective from an outside perspective, I am not into day-to-day, well then guess what I am able to see, I am able to see everything that you are not, right. And that is one of the reasons — listen, I am not just talking about doing funnel days or you know, me coaching whatever it is, I am talking about anybody doing that for you, okay.
Anybody is gonna be able to look at things in your business and I do not care how smart you think you are, right and this is not, you know — this is not like a stab at you, this is everybody — this is myself included just so you know. That is why I have, I get together with my employees and I do masterminds with my employees, okay, because they see things even that I do not see and they are in the same business, you know, they are working in my business. That is also why I talked to my wife about it, it is also why I talked to my friends about it, it is also why I spend like $25,000 a year on coaching, right.
Because, I know that when other people are able to look at your business all you have to do, you just have to get that connection, right. There is always a light bulb, you know that happens and every single funnel day that I have done so far, there is some kind of light bulb that went off, at least one. This one, he had many, many light bulbs go off because he is not into the marketing space like we are, you know, it kind of focuses a little bit on the more like more traditional stuff, not quite (inaudible 00:16:43) space which is what he started to get into now and having me helping him to do that.
The point is when you have somebody look at your business from an outside perspective, they see things that you do not and that is why it is so valuable. People are like, oh I cannot afford coaching, such bullshit. You have to afford coaching. You cannot afford not to hire somebody else to look at your business with a fresh perspective because you are just gonna keep running the same treadmill that you have been running since the day you started the business and even if you are doing really, really well.
For example, I have a possible funnel day coming up with someone that I have been talking it for a while, I think about a year now. Just kind of back and forth, whatever, and this is really, really smart guy. The problem is, okay, the problem is he has so many things going on that he does not have any brain capacity left to think about what he needs to do to his business because he is in so many different things that he does not have the — he does not have the energy the brain, you know the (inaudible 0:17:45.4) or what everyone to call to just sit down and focus and spend an entire day on the business and that is why even if you are in that position where you are doing so well that you cannot see things anymore, right.
That is why you also need to bring in somebody, and again, does not have to be me, just somebody to look at your business give it a fresh look. Do a funnel day with them or you know, whatever they call, I mean, I call it a funnel day, it is basically a day of consulting, you know. Do something like that with them. Bring them in, have them give you a fresh perspective. Have them find the things that you are doing wrong because they are gonna find things like this and you obviously, you have to find the right one, you cannot, you know, you cannot expect to send somebody like $500 and have them, you know, quadruple your business, it just does not work that way. People that are good on what they do charge a lot of money.
Anyway, that is kind of what I wanted to, you know, kind of put into your head for today. It is still the beginning of the year, it is still time to make a lot of strategic, you know, changes in your business.
Some of the key takeaways from this were:
1. Make sure that you are not limiting yourself. Make sure that you always have, you know, look at your products, make sure that if you are selling a lot of your highest price product, come out with something different, right. If you do not have continuity in your funnel, come out with something different, that is something where starting to add right now.
You know, if you do not have the really high-end products for your whatever your biggest client business, add that in, okay. Also, make sure that you get a fresh perspective on your business because people are gonna come in and they are gonna see things that you do not and it has no impact on your education or your smartness, it has nothing to do with how smart you are.
All it has to do with is just the way that your mind processes the problem, okay. Thatâ€™s all it comes down to, it just how your mind processes. Your mind is most likely stuck. It is kind of like, you know, trap in a little cage when you try to think about your own business because you are in your business all day long, okay. So just think about that, and think about investing some money this year in hiring somebody.
Again, I am not saying this to hire me, I am saying this that you hire somebody, okay. I know that I am out of the price for a lot of people, that is totally fine. Hire somebody that is a little bit, you know, a little bit, a little bit cheaper you know, obviously, you know, the price goes along with the value that you are gonna get out of it, so keep that in mind, but do something or go out with somebody, you know, if they charge like for example, we charge $3,000 for full funnel days like in person full funnel days that kind of thing, but I know that there are a lot of people that either the funnel is not big enough, it is not complex enough or you know they are from a different country or they just do not have the budget whatever it is and that is why we do half day funnels for $1500.
You know, there is a different price ranges for everybody. Just think about that and start looking at your business in terms of how you can provide more value to your customers. Look at it as a way of giving them solutions to their problems, you know, in this clientâ€™s case, we are giving them more solutions to the bigger problem that they are having, okay. His initial product is kind of taking care of one of those solutions and then weâ€™re — you know, but that is kind of under the umbrella of the bigger kind of problem that they have.
So, that is it for today. I hope you got a lot out of it. I hope it really made you think. A lot of people have been telling me they go back and re-listen on these episodes because it is, you know, as you know it is very actionable information, it is not like kind of theory stuff that we are actually doing every single day with our clients.
So, yeah, take this, rewind it if you have to, listen to it a couple of times, whatever you gonna do and then if you are interested in chatting with us about doing a funnel day or having us build the funnel or whatever the case may be, just shoot me an email, it is [email protected] or you can even just go to jeremyreeves.com and fill out one of the forms or whatever and my support staff will send it over to me.
Yeah, with that said, make sure that you share this with anybody if you got value it from it. Leave us a review, remember I am still giving away our conversion cheat sheet. There is a 101 split testing, you know, conversion tips whatever that you can implement in your business and I will send you that PDF, all you have to do is just leave us a review and then shoot me an email that you like to review and I will send that over to you for free, I used to sell it for $77 and that is it. I hope you have a good day, hope you have a good week and I will talk to you soon.