Can You Really Afford To Keep Leaving Money On The Table?
So whose for leaving money on the table? (Anyone else for constantly working incredibly hard?) Only to systematically leave a percentage of your extremely hard earned profits on table.
It’s happening on a weekly if not daily basis entrepreneur. And these rather tiny incremental gross profits steadily add up. Or sadly they don’t. Here’s the $64,000 dollar question. Are you at all interested in discovering “how to” stop leaving at least some of your extremely hard earned profits on the table?
If so, please read on, fair enough?
Entrepreneur Why Are You Leaving Money On The Table?
Of course as you initially read this. You’re more than skeptical, correct? A simple extremely eye opening marketing performance audit. Should shed some much needed light on your situation.
But simply knowing where you and I are systematically dropping the ball. Is not nearly enough. so to start things off. Before actually starting things off. Here’s a foundational process you simply have to have in place. No matter “how” you primarily market/promote your business or service.
Entrepreneur you definitely need to get or keep systematically building your very own opt in email list. Because doing so opens the door to some long term profit generating possibilities.
It’s Ultimately Up To You! (Whether You’re Gonna Stop Leaving Money On The Table Or Not!)
See before you get all bent out of shape about whether or not you should definitely be constantly building your very own opt in email list. Consider your typical mom & pop, non franchised small business owner and or service provider.
Who attempts to use direct snail mail. They pay X for postage and typesetting each time they do a mailing, correct? And without necessarily knowing what they’re doing initially.
(They (or you!) will be extremely lucky if you generate a 1 – 1.5% response rate. Which means for your typical 1,000 – 5,000 piece mailing.
One and a half percent, (1.5%) response rate on a 1,000 piece mailing. Means 15 prospects responded. (1,000 x .015% = 15.) Or a one and a half (1.5%) response rate on a 5,000 piece mailing equals 75. ( 5,000 x .015 = 75.)
More than likely. Your mailing didn’t even break even on the initial front end. And you’re upside down. Meaning it cost more to mail your offer.
Than it actually produced. Which is extremely common BTW. For lots of reasons. Which is beyond the scope of this particular blog post.
Don’t Or Stop Wasting Money Running Your Business Or Service! (When You can Invest The Same Money Systematically Growing Your Business Or Service!)
Every time you want to remail the same lists of names. You have to pay yet another list rental fee. Plus the costs previously mentioned.
On the other hand ladies & gentlemen. Let’s say your opt in email subscriber base. Is currently made up of just one list. (Whether you currently have it strategically segmented in some sort of way or not.)
And you send a previously unscheduled “broadcast” email message to your entire list. And initially 28% of them open it.
Which means 72% or 720 of your subscribers did not. (1,000 x .28 = 280. ) and of the 280 subscribers who opened it. Let’s say 28% clicked through to your sales page. So 78.4 subscribers equals a “Click Through Rate” (CTR) of .28%.
Entrepreneur Please Stop Under Estimating Or Under Appreciating The Long Term Profit Generating Potential Of Strategic Email Marketing!
Let’s just round it off to 78 subscribers clicked through on the 1st email message. And on the 2nd mailing to the remaining 720 or X number of subscribers.
And again 28% open your email message. Which means another 201.6 subscribers, 201 rounded down. (720 x .28% open rate equals 201 subscribers.
Now lets combine the two open rate subscribers of 78 + 201 = 279. And of the 279 subscribers. You actually had a sales conversion rate of just 4%. Which means 11 subscribers spent $97 dollars each. (279 x .04% = 11 sales.)
(Not counting any upsells.) So 11 sales at $97 dollars each. Means you or your major competitors initially grossed $1,067 dollars on the front end. ($97 x 11 sales of $97 dollars each. Equals an initial gross front end profit of $1,067 dollars.)
Follow this ladies & gentlemen. Unlike direct snail mail campaigns. There was no additional typesetting charges, right? And no additional postage charges to pay, right?
Sometimes It’s In Your Long Term Best Interest To Be Compensated Based On Your Overall Performance!
(Instead, hopefully you or the email marketer or agency you pay to create and send your campaigns. They changed/A/B split tested your email messages subject line.)
And in this particular hypothetical marketing example. most of that $1,067 dollars will go directly to your bottom line. And if you hire an individual to write our email campaigns.
Offer to compensate them on the back end. Based on the overall performance of their email or direct snail mail campaigns. If you paid them 10-25% of your front end gross.
As opposed to$25 – $50dollars per email written or X amount of dollars per campaign.
Sometimes You Simply Have To Get Out Of Your Own Way!
If you’re hiring the email or on or offline sales page copy writer. Start them off with X for doing Y. Then see if you can convert to paying them X% of the gross front end profits.
And by the same token. If you’re attempting to get clients. Simply reverse the aforementioned process. And start at the lower end of the pay scale per email. But after or as soon as you prove you can write profitable emails, on or offline sales letters, direct snail campaigns etc.
Then offer to be compensated X% of the initial front end gross profits. This is one of the proven ways you can definitely stop leaving money on the table. Don’
Why Would Any Extremely Hard Working Entrepreneur Knowingly Leave Money On The Table?
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