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Sales Funnel Question

by chrislewis217
3 replies
Hey guys had a question. I've been doing a little research on sales funnels and I can see the potential and the great usefulness of implementing it effectively into your business. But before I ask my question I want to make sure I know the point of having a sales funnel. So basically the point of having a sales funnel is to to weed out the buyers from the non-buyers and to also to be able to sale higher price items further down the rabbit hole per-se to your buyers. Correct?

For example:

Apple Inc. has their front end products such as ipods, and iphones that are lower in price compared to computers to spike people's interest in Apple's brand. Once that's established they then follow up with those buyers to get them interested in their back-end higher ticked items. Is this one way to use a sales funnel?

Now for my main question. Since I am a numbers guy, do you guys know the average conversion rates for say a four level sales funnel from buying a lower end product to leading your buyers to high priced item? Now I know most of you would probably argue not to focus on that but I am planning out my business and I would like to have some idea of the type of numbers to expect in terms of conversions. Thanks in advance for any help.

-Chris
#funnel #question #sales
  • Profile picture of the author TBInternetMarketing
    From my experience there is no set average for a funnel. It just depends on so many different factors. Take this forum for example. Let's say you have a free e-book which has an offer at the end of it letting users buy something else if they like your free e-book.

    You could give it away for free to the general section on this forum, and you could also give it away for free to the War room. Right away you would have two completely different sales funnels, because your traffic is coming from different places. I am willing to be you would get more sales from the War room traffic, because they have all paid $60 to join the War room. This means they are more likely to part with their money then the freebie seekers in the general area.

    It all starts with your traffic and the quality of your traffic, but in my experience there are no set averages. All you can do is try to get the best quality traffic you can and you will find conversions are much better.
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  • Profile picture of the author Tricerra
    Chris,

    A sales funnel is just that. It is a funnel that leads someone from no one to a buyer. Depending on your product your sales funnel be either short or long.

    Example: Your product is an ebook that costs 7.95

    advertise - customer sees advertisement - buys product

    Example: Your product is a $995 coaching course

    advertise - customer sees advertisement and raises their hand in interest by signing up for additional details - they then receive carefully crafted information that leads them to an eventual purchase - purchase

    That is a description of a sales funnel. List building is a way to build up a drip marketing program that allows you to build interested parties for your products. When someone purchases they go to your buyers list and you market on up until you find the cutoff point for that particular customer.

    using a low end product to begin building relationships and making additional sales is just another form of drip marketing after the sale. It is always easier to have someone who has bought from you in the past to buy again if you have provided a good product.

    Apple has built a reputation for fairly high priced products that deliver in a fun and engaging way and now they are making way more in the small end products, think apps and tunes, than they ever dreamed of making in hardware sales. People spend tons of money buying music at .99 when they would not pay $10 for an entire CD.

    It is almost the ultimate in membership marketing without really marketing it as a membership site.
    Signature

    The number of ideas to use in content is odd--and 3 is too many.--Timo Everi

    Content to Copy--AdWords to E-Books www.tricerra.com

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  • Profile picture of the author chrislewis217
    Thanks guys, really appreciate the responses, I got this idea from reading Yaro Starak's 4 part article on sales funnels. He went on to explain how he went through a sales funnel of Eban Paegan's dating niche and noticed how when someone brought something from him he would then down the line offer something a bit more pricey and make more money since they're already buyers. Thought it was interesting because I never throught of it that way. Are sales funnels essential in your business if you have a list, or can you just offer free cool stuff whenever you come across it and then make an offer whenever you see fit?
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