6 replies
Currently I am harvesting about 100-150 optins a day at about .45 - .55 cents a lead. I seem to be at a plateau at this price point. The niches are new internet business and business revenue streams. I play both strictly in the long tail phrase. I'm using organics (Articles and Social Media) and a smattering of CPV through Leadimpact. No PPC or other paid leadgen.

Here is my dilemma

Increase how much I spend per lead
Generalize the keyword which could reduce my sales conversion on the backend with less qualified leads.
Jump back into PPC which will totally jack up my leadgen costs.

Obi Wan Kenobi help, your my only hope.
#optin #question
  • Profile picture of the author Aussie_Striker
    I have to ask, why is there a problem here. Are you unsatisfied with 100-150 optins a day. Why not just leave it at that and try to start monetising those optins?
    I'd like to have that many optins.
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    • Profile picture of the author rts2271
      I monetize them quite well. I just have a specific profit margin I try to keep. I probably didn't explain that well, sorry.

      I try to keep a 3$ profit margin on each lead, which I consistently do currently. Cranking the leadgen costs up will impinge on that margin and I can't pull much more then 3.00 - 3.25 per lead out of my list without abusing them like a redheaded stepchild. Now if I did daily mailing etc yes I could probably get it up to 5 a head but my unsubscribed would go through the roof, which are currently about 10-15 a day.
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  • Profile picture of the author benrpalmer
    You have to work out what each subscriber is worth to you in the long term
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  • Profile picture of the author iSoftware
    Not trying to be flippant, but perhaps you might find this discussion interesting?

    If you want to hold your margins constant, why not work on increasing your revenues/profits per subsciber....some ideas:
    a) add more value to products so you can justify the increase in prices
    b) work on converting pre-existing leads to more repeat sales
    c) work on using your current subscribers/leads to refer-a-friend or bring you more leads

    In your niche, I know a guy who pays as much as $10/lead (albeit for buyer leads). AT the end of the day, maximizing subscriber acquisition costs DOESN'T MEAN necessarily MAXIMIZING profits.....

    Don't get me wrong, I've been there with trying to neutralize my customer acquisition costs...but I realize that marketings are becoming more and more efficient and higher quality leads are just going to cost more....

    good luck
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  • Profile picture of the author AndrewStark
    Given that you used "harvesting" in the way you generate your leads how longterm is your current approach going to last for?

    If you're list is actually double opt-in then try doing adswaps, and increase your returns by forming a relationship and creating a product for them.

    Do this by setting up a survey and just answering their top questions, charge a small fee of $10 and then in a few months time you can re-cycle this info into a bonus for people buying higher priced items through your affiliate link.

    If you can keep the growth at > 100 leads then good things will happen.
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    • Profile picture of the author rts2271
      I agree 100%

      Your actually confirming my suspicions that I need to just expand the leadgen costs and work on extracting a larger margin.

      Indefinitely, I don't use any gimickry and nothing but solid optin pages with a good follow up campaign. I do not do double optin. We've tested but you get a lower sub count, higher unsubscribes and lower sales margin.

      I think I'm just coming to the point when I have to jack the leadgen investment up a bit. I'm going to talk Monday to my partner about this and I might just push our optin budget up if I'm going to pay more per lead then I should also look at increasing volume.
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