6th Jan 2012, 03:47 PM | #1 |
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Hi warriors! So I've been geeking around with the creation of some basic html mobile websites. However Im all for residual income and have been thinking about how to make residual income via mobile websites. I'm thinking about doing it the following way: Offer a FREE customized mobile website including 3-6 pages (like adress, about, opening hours etc). I will design the site AND host it for FREE 1 month. When the month is up, I call the business and ask them if they would like to continue having a mobile website. If 'yes' I will charge them something like 20-30 dollars per month including free updates (if they need their opening hours changed or something). If 'no' it would be absolutely no problem (nor hard feelings) and I would simply just remove their mobile site and ask them to call me if they change their mind. I know 20-30 dollars per month for a client isn't a lot of money, however I think it would be very easy to get clients with such an offer, because of a) It's absolutely risk-free b) The client will have a hard time letting go of something he's already had. Share your thoughts! |
6th Jan 2012, 05:02 PM | #2 | |
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Offering a Service on subscription is fine, but if you are doing it on a free trial you will want to set them up on recurring billing where a Credit Card is billed automatically at the end of the trial. If you plan on calling them in 30 Days and "asking" if they want to keep it you will experience almost 100% attrition." Why? Because 30 Days isnt long enough for them to realize any value from the Mobile Website. If you set them up on recurring billing then its "set it and forget it", as in the Customer won't even have to think about it when the billing cycle comes around and you will actually get your money. | |
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6th Jan 2012, 05:43 PM | #3 |
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HypeText you really have some great points! Especially about having them to sign up for the service right away and making it automatically bill when the free 30 days are up. Yes I've been thinking about the downsides of offering a free mobile website. I guess the perceived value is lessened when offered for free, but do you think the free offer could be justified because i'm just starting and need references or something? How would you tackle it? |
6th Jan 2012, 05:54 PM | #4 | |
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There are a couple ways to tackle the lack of experience issue. Here is my best suggestion... One would be to not collect payment for the site upfront. Essentially agree to design the site to their satisfaction prior to collecting initial payment. Monthly billing should ALWAYS be automatic. If you try to bill each month you will lose customers quickly. | |
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6th Jan 2012, 06:01 PM | #5 |
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Would you then charge for the design too? Or just make sure they're happy with the design, give them 30 days free hosting and then charge them? And thanks once again HypeText - Really seems like you've got this mobile thing down |
6th Jan 2012, 06:15 PM | #6 | |
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How many new businesses do see opening that start out by giving free tune-ups, haircuts, meals, clothing or other products? Time is Money....I doubt you would give your money away... If you want to give away a few sites for just hosting to build a portfolio then I would suggest approaching some local charitable entities that might benefit from it and use those for your portfolio... | |
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6th Jan 2012, 09:30 PM | #7 | |
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BUT...You get 10 Demerit Points for putting an "R" in my company name...its "HYPETEXT! lol | |
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7th Jan 2012, 12:27 AM | #8 |
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I would definately drop the idea of offering a 30 day free trial. Like HypeText said, if you are set on this idea, make sure you already have them setup for recurring billing at the end of the trial period. Most people you will deal with will not (and are to busy) to pay attention to what is happening with their new mobile website in the first 30 days. They are trying to run their business. Many would not give it another thought until they hear from you 30 days later. So, there will not be a perceived value and they will usually not continue service. |
7th Jan 2012, 01:01 AM | #9 | |
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Furthermore, the first 30 days is the most important period. You have to seal the deal, get involved and getting them involved. If you don't work your butt off in the first 30 days, you've lost. Mobile websites are like toys for businesses. They're exciting and inviting. Why wouldn't they want to get involved? Here's a secret: Once you get it in their hands, it's smooth sailing from there. They won't let it go. | |
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7th Jan 2012, 03:37 AM | #10 | |
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I'm not here to start a bickering match. This fourm is supposed to be a place to share experiences and ideas. Like I said, Everyone has to find what works for them. I am sharing my experience and those of many other offliners that I converse with daily on our own forum. It doesn't mean I'm right....It means that is what works for me. I get payment at my first meeting AND also work my butt off and have fun getting involved and getting them involved. That's just the business model I have found works the best for me. "Once you get it in their hands, it's smooth sailing from there. They won't let it go" EXACTLY!...that's another reason you don't have to give them 30 days. | |
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7th Jan 2012, 11:04 AM | #11 |
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The only thing I'm worried about is attracting a business if they have to pay a setup fee. In my country, mobile website is SO new and completely untapped, hence the business owners may have a hard time realizing how valuable it can be to have a mobile website. For example I emailed 10 different restaurants and received absolutely no response. Even two of the websites were flash-based, meaning iPhone users can't even see their website. I took a screenshot and attached it, however no one responded. The restaurant business in my country, is however not doing too well overall at the moment, and investing like 500 dollars in a mobile website, where the benefit (more customers) is hard to track, prove and a completely NEW way of advertising/using their website. Therefore I thought that this doubt could be eliminated by offering to set it up for free (until the business is satisfied with the design, setup etc) and then give them something like 30 days to test it out, and then charge them. |
7th Jan 2012, 11:14 AM | #12 |
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Im not so sure on the whole mobile marketing thing. Quite honestly when i see an ad come through on my phone I delete it. Irratates me actually. But this is where its going supposedly but I have my doubts.
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7th Jan 2012, 11:24 AM | #13 |
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It isn't mobile marketing, like sms-advertising etc. It's a mobile website. Basically a replica of the "normal" website, just optimized for mobile viewing. |
7th Jan 2012, 11:51 AM | #14 | |
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Email marketing will generally only garner a 1% to 3% response rate. Even at 3%....10 emails isnt going to be effective. | |
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7th Jan 2012, 12:33 PM | #15 |
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I agree with HyperText and the other fellow warriors here -drop the idea of offering a 30 day free trial.if you are set on this idea, Get them signed up for recurring billing to start at the end of the trial period, If they are not happy they will contact you or cancel it them self..
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7th Jan 2012, 01:32 PM | #16 |
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The other thing I'm wondering about too, is creating the residual income. I'm worried that, most business owners will say "hey, I wan't to pay you 250 dollars and OWN the mobile website" because they don't feel like paying an additional fee for hosting the mobile website. As already explained, I'm much more into residual income than a one-time-fee. I'm about worried about this, as I would much rather like to host it and get the residual income. I believe the solution to this, could be to charge like 1000 dollars for the mobile website if they would like to buy it, OR offer the hosting solution for 20-30 dollars per month (also includes updates as long as they're subscribing to the hosting). |
7th Jan 2012, 01:57 PM | #17 | |
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They pay for hosting for their main website and most of them don't even know they can "Add On" a domain. | |
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7th Jan 2012, 06:35 PM | #18 |
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Sounds like you have a great start, Wuping. Definitely the future is in mobile technology and in micropayments. You're going to hear a lot about that in the next couple of years. People are going to be making a killing from selling products and services for next to nothing for pennies a month and then turning those customers into larger sales after they've built a relationship with them. HypeText and Bloggerd are spot on. I found a great article on micropayments that might be helpful to you: Micropayments « Barefoot Creative One of the things I did before I became a bestselling author and long before Inc Magazine voted us one of the fastest growing companies is we weren't afraid to experiment and try new things. Sounds like you have the same mindset Wupling. Anyway, keep going. You're off to a great start. |
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