3 Things The Info Product Business Model Can Teach You About Some Internet Marketers!
So which part of your current business model has an info product element to it? And more importantly, have you noticed “how” many similarities there are between the typical Internet marketer that’s strictly trying to sell information of any kind and the info product business model.
Believe it or not, there are three in particular that really stand out.
And it’s these three that tend to drive up your up front out of pocket costs. Because of the inherent shortcomings built into it.
Three Things You Definitely Should Know About The Info Product Business Model!
First and foremost, for the unsuspecting newbie online marketer that strictly tries to make a go of it, by offering various forms of primarily digital info products. They immediately run into a ton of (could be) avoided obstacles.
Mainly, did you know that a staggering 89% of those recently surveyed, claimed that were not happy with their initial purchase of the info product they bought! And if that wasn’t bad enough, another 70% revealed that they were not happy, with their purchases of info products in general, way too often! Ouch!
Here’s “how” that translates into an enormous up hill battle for the green as grass average beginning newbie online marketer! Because a staggering 97% start out with very little real world experience,right? They often start out attempting to do (what else?) affiliate marketing of some kind.
And often times they’ll start by simply trying to drive paid traffic of some kind to their affiliate site(s). Not realizing that at least 99% or more of their traffic, if any of them will not purchase anything on that very first visit!
And even if they do! A staggering 70% or more of them, won’t be making any additional purchases! At least not right away!
Which really highlights the second glaring challenge with the typical newbie info product marketer!
Unbeknownst to them, a staggering 97% (or more) of your typical successful (on or offline) info product marketers (do not) repeat, do not make the bulk of their money on that all important first sale!
Instead they often use what’s referred to as the lead loss profit model , in order to identify that all important first time purchaser. Even if it means capturing them initially at a slight loss , or better yet a break even basis . Record clubs have successfully used this proven- initial temporary lead loss- approach for years.
And at least 90% (or more) of your successful running infomercials use the exact marketing strategy. Meaning, they literally bend over backwards (even at an initial temporary loss basis) in order to identify a potential long term future paying repeat customer!
In fact, if you look at it from the creator of the info products points of view.
An online 100% commission affiliate marketer is a deal made in heaven! First and foremost, they only pay the affiliate marketer for their actual sales!
And since they’re not actually printing books or courses etc. They have no unsold stock piles of inventory issues to deal with! Plus, since they typically pay the vast majority of their affiliates a 50% sales commission on every sale!
They net 50% on every sale, plus identify a potential repeat customer, and they build their paid customer list to boot! They also have no employee salary, overhead or benefit issues to contend with! Pretty sweet,right?
And all the online newbie affiliate marketer (translated) info product business model marketer can hope for is, that they constantly earn more on that one time purchaser, than it cost to produce/create them!
Because not only are they more than likely not building their own list! They are literally being forced to try and make one of the most difficult business models there is to work!
With they’re at their most inexperienced point in the Internet marketing cycle!
Which is trying to rely on front end one sale to actually run a successful affiliate marketing business! Good luck! Just thought you’d like to know some of the many – and far too often painful- pitfalls involved in the typical newbie info product business model! Any questions?
Please list at least two simple spin off concepts (in the comments section below) that you can apply to your business, product or service in the next 30 days or less!
As always, if you got any value out of this post, please Digg or tweet this. Thanks!
And be sure you grab your explosive free 22 step small business marketing idea kit series, because it will help you increase your profits by at least 25% in the next 90 days or less.
And help you master your effective communication in marketing skills.(No matter what your particular target market is.)
It’s a $97 dollar value and it’s free!
