Once you have your first digital product under your belt (or maybe your first few) and enjoyed the first profits from the original launch of what you’ve created, it’s time to think about a long-term income strategy. You want to continue to produce and sell more and more digital products, and the best way to do that is to create a funnel.
The basic idea of a product funnel is to draw people in with a free or low-cost product and then continually upsell them to more and more expensive and involved products that go into more detail about what they need to know, become more complex, and give them more and more hands-on, advanced training. You don’t just want to see one little eBook about the basics. Instead, you want to be able to sell this same customer multiple products in a variety of formats and price ranges.
The hardest part of marketing digital products is finding your customers. Once you’ve made that first sale with someone and you’ve gained their trust, it becomes much easier to sell them other products. That’s why product funnels are so important. Marketing to people who know and love what you do is much easier and a lot more fun than going out there and trying to convert cold leads.
Get out a piece of paper and start planning out your own product funnel. Start with a lead magnet and a low-cost intro product. From there, come up with a list of other products you want to create going forward. A fully fleshed out product funnel isn’t something you’ll have in place overnight. It’s a work in progress and something you’ll continue to build and expand over the coming months and years.
As you work more closely with your target audience and get to know them better, you’ll be able to fine-tune this funnel and create the products they want and need. You don’t even have to stop there.
Once your basic digital product funnel is in place, circle back and look at it from a different angle. What other lead magnets and introductory products can you create that will feed more people into your product funnel. With each one of those you create, you’ll be able to increase subscribers, customers, and of course sales across the board. Since the rest of the funnel will be in place at this point, you’re multiplying your income potential each time you add another piece to the puzzle. That gives you the leverage you need to build a thriving business that will continue to grow.
Basic Components Of A Solid Sales Funnel
You need to have a solid sales funnel in order to earn the most profits from your digital product. If your sales funnel is not solid, your profit potential will be much lower and the hard work you put into your product will not be as profitable as it could be.
There are basic components of a solid sales funnel in order to maximize its effectiveness; we will discuss them below.
The first component is a good squeeze page. A squeeze page is a Web page that offers a valuable report, ebook, software program, etc. for free in return for the requester’s contact information (usually name and email address).
The person gets the free gift, while you get his/her contact information to follow up with him/her.
Through good email marketing practices, you show that you are a trusted expert in your field. Over time, the prospect will come to trust you and your recommendations.
In your emails, you provide a link to your main product’s sales page. At some point in time, it’s likely the prospect will click onto it.
Thus, the prospect is now at your main product’s sales page. Provided your sales letter is convincing enough of the product’s value and usefulness to the prospect, that prospect will order it and become a customer.
Then, the customer will be shown one or more upsells or one-time offers (commonly referred to as OTOs). This is a product enhancement of the main offer that provides more value or it’s a related offer that will help to provide more value to the main offer.
If the customer orders it, he/she will gain access to it as well. Either the customer will gain access to the two offers he/she purchased or will be taken to another upsell offer that again increases the value of the original offer.
There can be a number of upsells in a quality sales funnel, all of which are to provide increased value to the buyer while providing increased profits for the seller.
Now, if the prospect decides to reject an upsell, he/she may be presented with a down sell, which is an offer either identical or very similar to the upsell he/she just rejected, but often with one or more components of the corresponding upsell missing and offered at a lower price.
The idea of the down sell is to encourage the customer not to walk away without increasing the value of his/her original purchase, so the down sell is offered as a compromise to the rejected upsell offer.
Therefore, a quality sales funnel will have a squeeze page, quality email marketing messages convincing the prospect to visit the main product sales page, the main product offer sales page, and a combination of one or more upsells and down sells to add value to the main product for the buyer and add profits to the seller.
This is how Internet marketers make the most profit from their own digital products.