Are you funneling your list members to get the most out of your list building efforts?
I know many have told me they funnel by interest. Most who are doing that do not seem, at least to me, to be drilling down very far with their funneling tactics. The ones I have talked to are funneling with basic interest only.
You know, they will have one list interested in SEO products, one list for Word Press People, One for this and one for that.
I suggest to my clients it is important to go a little further than that. The more relevant our list is to what we are promoting, the more that list seems to buy.
Instead of just an SEO list, segment that list again to include those interested in back links, those interested in SEO optimized content, and so on. Even those list need to be segmented again. Take the SEO content interest and drill down even further.
Split those list into topics and so on.
What I was really surprised to find was very few segment through price points.
This type of funneling or segmenting has always been our best tactic. We know what products to send by interest plus what groups are more than likely to buy by price point.
Say we find a great product on list building. We happen to have a list interested in list building. This particular product has a price point of $47 with an up-sale of $77.
Instead of sending this product to a general list of list builders, we send it to a group that has proven they buy products from $47 to $97. At least at first.
We have a group that normally spends from $7 to $19. If we had sent to this group, our test show a few things to happen over and over.
A small percentage might buy. Usually not though as we have run several price points past this group on several occasions. They are in this group for a reason.
What usually happens is several of these $7 buyers unsubscribe. For some reason or the other, they are not going to budge from their price.They like us because we offer them stuff at their price points.
We also have a group that buys at $147 and higher.
We will eventually send to this group if we really need to to make a quota. That is usually not the case as the target group usually makes the number of sales we are looking for.
Our test have shown this group will buy at a lower price range than what they are in. We also fear we could ruin a higher priced group by sending them the lower offers. WE know one or two of these on occasion would not hurt but it is not something we want to do very often.
There is a chance we are losing a few sales by funneling so tightly. A very good chance.
We have used the broad shot tactics before and have found the few sales we miss are overshadowed by how many buyers we can produce by sending products to a buyers list that is drilled down by topic and price points.
Now I know this is not a tactic for everyone. An initial list of a few thousand per topic is a good thing to have before you start funneling by price. It is almost mandatory to have a few thousand to test with.
You will lose a few when you are running different price points past the crowd.
Once you have a group of seven dollar buyers you will still need to send them higher priced offers to make sure they are truly stuck at this price point. No need of branding a $100 buyer at $7 just because they purchased a couple of $7 products.
Run the price points in front of them for a couple of months before doing the last funnel to $7 land.
Same goes for the other price points.
I was wondering what you think of drilling down this far. Are we going too far? Is this something you might try this year?
Our test and our results have made our own minds up for us. Hard core funneling is going to go into overdrive for us this year. Looking forward to your questions and your sharing your own funneling and segmenting tactics also.
Market hard,
Brian
You know, they will have one list interested in SEO products, one list for Word Press People, One for this and one for that.
I suggest to my clients it is important to go a little further than that. The more relevant our list is to what we are promoting, the more that list seems to buy.
Instead of just an SEO list, segment that list again to include those interested in back links, those interested in SEO optimized content, and so on. Even those list need to be segmented again. Take the SEO content interest and drill down even further.
Split those list into topics and so on.
What I was really surprised to find was very few segment through price points.
This type of funneling or segmenting has always been our best tactic. We know what products to send by interest plus what groups are more than likely to buy by price point.
Say we find a great product on list building. We happen to have a list interested in list building. This particular product has a price point of $47 with an up-sale of $77.
Instead of sending this product to a general list of list builders, we send it to a group that has proven they buy products from $47 to $97. At least at first.
We have a group that normally spends from $7 to $19. If we had sent to this group, our test show a few things to happen over and over.
A small percentage might buy. Usually not though as we have run several price points past this group on several occasions. They are in this group for a reason.
What usually happens is several of these $7 buyers unsubscribe. For some reason or the other, they are not going to budge from their price.They like us because we offer them stuff at their price points.
We also have a group that buys at $147 and higher.
We will eventually send to this group if we really need to to make a quota. That is usually not the case as the target group usually makes the number of sales we are looking for.
Our test have shown this group will buy at a lower price range than what they are in. We also fear we could ruin a higher priced group by sending them the lower offers. WE know one or two of these on occasion would not hurt but it is not something we want to do very often.
There is a chance we are losing a few sales by funneling so tightly. A very good chance.
We have used the broad shot tactics before and have found the few sales we miss are overshadowed by how many buyers we can produce by sending products to a buyers list that is drilled down by topic and price points.
Now I know this is not a tactic for everyone. An initial list of a few thousand per topic is a good thing to have before you start funneling by price. It is almost mandatory to have a few thousand to test with.
You will lose a few when you are running different price points past the crowd.
Once you have a group of seven dollar buyers you will still need to send them higher priced offers to make sure they are truly stuck at this price point. No need of branding a $100 buyer at $7 just because they purchased a couple of $7 products.
Run the price points in front of them for a couple of months before doing the last funnel to $7 land.
Same goes for the other price points.
I was wondering what you think of drilling down this far. Are we going too far? Is this something you might try this year?
Our test and our results have made our own minds up for us. Hard core funneling is going to go into overdrive for us this year. Looking forward to your questions and your sharing your own funneling and segmenting tactics also.
Market hard,
Brian
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