What do you know about high-end products?

13 replies
Hey Warriors, just curious if anyone here has ever written sales copy for a $7,000 (or more) product and, what's a realistic conversion rate to shoot for?

Chiao,
Branden
#highend #products
  • Profile picture of the author marciayudkin
    Branden,

    Generally high-end products and services are sold through a multi-step process.

    For example, you generate a lead with a bait piece, then sell people on the high-end item in autoresponders.

    Or, you offer a free teleseminar that's part of the sales process.

    Or you are selling to people who are already fans/subscribers of the person/company and use a combination of emails and web copy to close them.

    Therefore, it seems kind of out of place to be talking about a conversion rate for a particular sales piece that is part of this process, because it's usually more complicated to sell it.

    Marcia Yudkin
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  • Profile picture of the author Rezbi
    As well as everything Marcia has already said, it would depend very much on what the product is and whether or not it's in a high demand market.

    You would imagine a product that expensive would need to have a rabid market, or is aimed at niche businesses.

    I could be wrong, but that's just my opinion.

    Incidentally, the highest priced item I ever wrote for cost just under $3,000.

    It was for a market with moderate demand and sold around 40. But that could also have been because there were a set number of products.

    I don't know if it would have have sold more if there were more available.
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    • Profile picture of the author ecoverbox
      Originally Posted by Rezbi View Post

      Incidentally, the highest priced item I ever wrote for cost just under $3,000. It was for a market with moderate demand and sold around 40. But that could also have been because there were a set number of products.
      $7,000 is definitely on the higher spectrum of the price range. Just make sure to set realistic expectations for your client when quoting a conversion that you'd go for.
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  • Profile picture of the author DougHughes
    What is a good conversion rate for a big ticket item? Hmmm...

    Yes, what everyone else said.

    You need to have a solid sales funnel. i.e. gateway offer, entry level offer, beginner offer, mid level offer, gold, platinum, etc...

    In my experience, copy can get people to places where humans can close them. People selling from the podium, face-to-face, or call centers.

    If the funnel is well thought out you may see very high conversions because your prospects have already been qualified through your sales funnel.

    If someone has already spent $5000 there's a good likelyhood they'll go for the $7000.

    But, all of this depends on the product and offer. If you're selling 24 day luxury travel packages it may not be at all uncommon to sell a package with copy alone. Depending on the list your selling it to.

    For instance, if someone has already bought luxury travel packages with you in the past it may be worthwhile sending them a direct mail package with your offer.

    It also depends on the market and brand recognition. If I said you could get a 2011 Toyota for $7000 by ordering online, you probably would (as long as you knew it was legit).

    So I guess what I'm saying is copy is a good prequalifier.

    I don't know what your selling but with companies I've worked with in the past selling high end information products this works well.

    From the moment someone first buys assign them a "personal success coach." He knows all about your products and how they work and is basically a sales consultant. Use your copy to get people to call their personal success coach who can offer them useful advice and sell them.

    Other things to do with your high end clients. Treat them extra special. If you know you're going to pitch them a $20k coaching program from the stage make them feel special. Fly them out to Hawaii or Orlando, fill them with food, let them know they are in the company of an elite few and they should take every opportunity to meet the successful people around them. Then, sell them the package.

    It all comes down to the funnel.

    But generally, trying to sell a $7000 product to an unqualified prospect even with great copy you could probably plan on 0%-0001% conversions.

    However, selling to qualified prospects in person could be as high as 70%-80%. It all depends.
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  • Alright, gotta 'nother question. Other than Rezbi, Have any of you ever sold a high-end product or service with a sales letter?
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    • Profile picture of the author ewenmack
      Originally Posted by FuturePrinceofPrint View Post

      Alright, gotta 'nother question. Other than Rezbi, Have any of you ever sold a high-end product or service with a sales letter?
      Yes, sold a second-hand ride on mower.

      Went for, I forget, somewhere between 8 + 9 k.

      Sight unseen, paid cash into my bank account before picking it up.

      The buyer knew about the brand of mower, so just needed to give
      lots of details about it.

      Also answered questions by email.

      So it wasn't a one step sale.

      Best,
      Ewen
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    • Originally Posted by Ken_Caudill View Post

      . No, I didn't use a sales letter.
      I knew I'd hit a nerve with somebody.
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  • Profile picture of the author John_S
    Why in the hell is everyone so in love with sales letters?
    Maybe for the same reason everybody only talks about 'net-based efforts and rarely ever integrated marketing using a mixture of offline and online techniques and media.

    Can't walk and chew gum at the same time, I suppose.

    One way I've done it: Biomedical Trade journal> Bingo 'ticker' Card> White Paper> Sales Call (sales guy working with applications chemist). This is not unlike the card/report/call, but for a $15,000 blood gas analyzer or lab test station customized for something like testing paper pulp ($3,000 to $8,000 ...Nowadays add a thou or two).

    With this you are talking about a lab tech who influences a manager, who sometimes must seek budget approval from a finance manager or accounting. Other times, they have a budget approved at start of fiscal year, so timing is important.

    Depending on what "it" is, you may be dealing with people (non sales people) who are "pitching" this within the organization ....and often losing. So part of this is supplying a "Kit" of sorts so the people trying to advocate for your solution get their points across.

    Part of this product is upping your success rate getting your ideas approved internally.

    This internal selling before you even get the call is key. You have to anticipate, for instance, one set of management objections, then another set of accounting objections. This in addition to the lab tech, who's the one thumbing through a trade mag or catalog and requesting the white paper.

    You will spend a lot of sleepless nights with so many moving parts and failure points.

    Now here's a little trick. Okay, so we're (basically) talking about something not unlike a post card. If you can use a response card instead of a ticker or get ahold of it before data entry tosses it, staple it to the front of the package you send to responders.

    Seeing their own handwritten request, first thing, does wonders for response. Even if turnaround is swift (ours got down to ten days), you'll still get a large bump. (Apparently, even professional mail houses, who mail by the semi-full, hadn't seen this trick).

    I'd being willing to wager this techinque, moved to a more "Warrior" industry, would test out as besting a dollar bill or many other generic grabbers.


    Okay, so you're all-web ....all the time. You can't use this? Untrue.


    Could the trade mag be online? Sure. Do these techniques transfer? Sure do. The key ideas here are whatever media mix works, and consultative selling.

    Let's say you have a big ticket seminar/conference/trade show. People are cutting back. Staff is stretched thin. You'll do well to give the people going a "How to justify this to your boss" section. This can be an interactive checklist or return on investment calculator with email.

    You can even do something like the staple your response trick online -- with a little ingenuity. I haven't gotten as good a response on this one, but it still works and I'm still trying.
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  • Profile picture of the author RickDuris
    Branden,

    Yes, I have written for Clients with high-end products and seminars. Allow me to ask a few questions...

    1. Is there a pre-existing relationship with your prospects and customers?

    2. How qualified are your prospects? Did they self-qualify?

    3. Is the product in an ultra-rabid market? Is the market known for previously spending this kind of money?

    4. Is there a widely-known brand associated?

    5. Is it part of a multi-step sales process? Including lead generation, telemarketing, audits, etc.

    6. How strong are the testimonials and proof from previous customers? Are there any previous customers?

    7. Does the promoter have a strong reputation for delivering to goods?

    8. Is there a celebrity involved who will endorse the product?

    9. Is the perceived value of the product being sold at least 10 times the price? (In other words, are you selling ten dollar bills for a buck a piece?)

    10. Is there a human who's going to ultimately close the sale? Or just the sales letter? Or are you expecting it to be a "combination punch?"

    11. Are there competing products being sold in the market of similar value and pricing?

    12. What's the media? Online? Offline? Video? Face-to-face? Direct response? Print ads?

    13. What kind of pre-selling is there, leading up to the final ultimate sale?

    14. Are affiliates or joint venture partners involved? If so, how?

    Once you have these questions answered, you'll be better able to gauge an appropriate conversion rate.

    - Rick Duris

    PS: If you really analyze these questions, what I'm really evaluating is how much trust has been built at the point of consummating the sale.
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    • Originally Posted by RickDuris View Post

      Branden,

      Yes, I have written for Clients with high-end products and seminars. Allow me to ask you a few questions...

      1. Do you have a pre-existing relationship with your prospects and customers? No

      2. How qualified are your prospects? Did they self-qualify? Yes, they self qualify. By that I mean, they definitely know whether or not this service is for them

      3. Is the product in an ultra-rabid market? Is the market known for previously spending this kind of money? Yes. How do I know this? As most copywriters would say... the answer is simple: My clients website sucks... and.. it's the only way shes been getting clients for the last 2 years. She's been getting 2 clients a month (at $7,000) with the site she has now. And, the only way she's been getting them is through her website and closing them on the phone. No lead generation. Nothing. That's why I believe the "fish are hungry". But, I'm not exactly an expert at this yet.

      4. Is there a widely known brand associated? No

      5. Is it part of a multi-step sales process? Including lead generation, telemarketing, audits, etc. Yes. Through the website they call and are closed on the phone.

      6. How strong are the testimonials and proof from previous customers? ARe there any previous customers? The testimonials are on point and believable. And yes, there are previous customers

      7. Does the promoter have a strong reputation for delivering to goods? Yes.

      8. Is there a celebrity involved who will endorse the product? No. There is a well-know-authority who's signing the letter.

      9. Is the perceived value of the product being sold at least 10 times the price? (In other words, are you selling ten dollar bills for a buck a piece?) I'm not really sure how to answer that. It's more how you write the sales letter... Itsn't it?

      10. Is there a human who's going to ultimately close the sale? Or just the sales letter? Or are you expecting it to be a "combination punch?" Yes. there's a sales letter with a closer on the phone.

      11. Are there competing products being sold in the market of similar value and pricing? Yes... about 15 other companies across the country

      12. What's the media? Online? Offline? Video? Face-to-face? Direct response? Print ads? Online.. then close on the phone

      13. What kind of pre-selling is there, leading up to the final ultimate sale? I'm not sure how to answer this question...

      14. Are affiliates or joint venture partners involved? If so, how? Working on this...

      Once you have these questions answered, you'll be better able to gauge an appropriate conversion rate.

      - Rick Duris
      Thanks for putting this together Rick. You're just at a different level than most people on Warrior.
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