Friday, February 04, 2005

Start cheap, end expensive

People often ask me if they should sell expensive products, or if
they should sell cheaper products. The answer is, you should sell
both, making sure you understand the purpose of each product.
Remember, you should look at this business as a means to build a list of customers you have a great relationship with and who give you money every time you ask them. It's this relationship that allows you to get high response rates when you sell expensive products to them.
When you're selling cheap products ($39.95 or so), the purpose of that product is to get the sale to a new customer so you can add them to your list. Since new customers don't know or trust you yet, they are much less likely to buy expensive products from you.
You have to earn their trust. The $39.95 product should deliver value far in excess of $39.95 so these people think to themselves, "Wow, this is really great... I got way more than I paid for it.
What else does this guy have that I can buy?"
When you get that reaction, you know you're on the right track.
You're also going to be able to sell that customer lots of expensive products on the "back end," which is where your money is made.
So, to get new customers sell cheaper products to them--to put money in your pocket, sell expensive products to existing customers!
Let's get to it...
Mr. X.
Group M Marketing
Kimble and Kennedy Publishing
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