The Majority Fail… Those Who Give Up Fail!
A front end is the product you sell to get the customer in the business in the first place, where you are able to pay the advertising cost. The customer is the asset. The back-end is where the big money is made. After you’ve had a customer through the front end, and you follow up on the customer through the high converting sales funnel, that’s when you’re able to make the back-end sales.
A few fundamentals…
Traffic Plus Conversion Equals sales.
Traffic is the real people in front of the website.
Conversion is how effective the website is in getting people to take actions on the website.
Sales is the result of traffic got to the website.
The fourth is economics. You’ve got to have good economics in the business by having a good high ticket product that allows you to be profitable, where you are able to make the most from the business that will cover for the cost of advertising to get the customers on the front end.
The economics depend on follow up. You will spend more money on advertising on the front end in order to get more money in the back end. Wherever you are right now, you can turn it around completely in a very short amount of time, but you have to have a profitable business model, and that’s by having a tiered product mix, where you have high ticket product at the back end that you can offer to the same customers you have acquired through paid advertising, and this will make the economics of your business completely change.
You don’t need to do this yourself, you have a system in place that is able to do this for you. All you have to do is to acquire the leads yourself. Since the system is there for you and you don’t have to build that again, so you will need to spend more on advertising and spend a lot of the money you make out of the business back in the business by putting more money into advertising.
The system gives you confidence that there is a right economics.
As long as you have traffic, you have the right conversion, you have the right economics, you are going to make more money. You’re going to find out that 20 percent of your ads will make you 80% of your money. Making a lot of money is not just about getting a lot of traffic. Don’t start with traffic, traffic comes last. Start with economics. It means having the right business model in place first. Start with the business model first. Once you have the right business model, then whatever traffic you get, you are able to offer your customers a lot more value on the back end through your high ticket offers.
The real truth about traffic…
Pay per click is like the engine you need to put on the aircraft. Website is the aircraft you need to fly. If you have a website that cannot convert, and you go about getting traffic, no matter how much power you put into the traffic, it just won’t convert the traffic into sales. It’s damaging to believe that more traffic equals sales. Traffic shouldn’t be missing. It should be considered first, before the traffic.
You’ll have to be build a website that has the right amount of value that can make it convert traffic into the sales. All traffic have a cost, and it must not necessarily be money but time. There is no such thing as free traffic. It does make sense that before you think of traffic you should build a website that can convert those traffics first. Don’t just go about spending money on the traffic. The question is not “how do I get more traffic” it is about making more profitable sales.
You build the aircraft that can fly, and that is how well it converts. And there is a number in your business that is more important than any other number in your business. That number is average visitor value. It tells you how much a click is worth to your business. It’s the maximum you can afford to make before you go about making traffic. You take your gross sales, ($1000) divide by the unique visitors to your website (1000) equals your average visitor value ($1).
The general internet marketing community has no idea what the average visitor value of their website is. Your website is either a vending machine that eats your 10% or returns an extra 10%. The money you get out of it is like your average visitor value. You need to get to the point where your average visitor value is greater than your average cost per click. Once you get more money out, then you want to scale up.
At some point you don have to create your own product, create your own sales funnel. You want to fine tune your website so that its average visitor value is greater than average cost per click. When you start out, you expect to put in more money into getting clicks, and as long as you are measuring, you are going to know how well you are improving. So, start measuring. It’s about the analytics of your site. Get your affiliate visitor value everyday and plot it in a graph. Overtime you’re going to notice whether you are trading up or you are trading down.
Your business is either growing or declining, it’s never staying in the same place, because even if you are not changing, the people around you are changing. If you are not measuring it, it means you don’t know how your business is changing, but it is always changing. But as long as you are measuring, then you can at least have a chance of improving it. The nearer to measuring something every single day will allow you to improve.
If you measure your it.. have the date, new customer since yesterday, total customer, new leads since yesterday, total leads, total sales, today sales, and today click, then your average visitor value (divide total clicks by today clicks) that will give you what every visitor you get on your website is worth to your business. Plotting in a graph gives you a visual representation of your data.
To increase your average visitor value by 60%, you need to make 10% incremental improvements in each stage of your sales process, that way you will know how to increase your average visitor value over time:
- Leads (prospect/potential customer) x 2. conversion rate (those who bought vs. those who didn’t) = customers. x 3. Frequency of transactions (the average number of times each customer bought from you each year x 4. Average transaction size (the average number of times each customer bought from you each year) = total revenue x 5. Margins (% of revenue you get to keep) = profit.
That means visitors are becoming more and valuable to your business over time or less. So increase each point above by 10% and you increase profit by over 60%. You need to be able to measure these numbers. If you know how to track these numbers it doesn’t necessarily mean you are going to be at an advantage, but if you don’t know how to do it, it puts you at an even more disadvantaged position.
The more you know the numbers the more you fine-tune the aircraft. What you need to make more money is to sell more frequently to your customers and selling more high price products, so have the right business model. When it comes to economics, how much are you willing to pay to get more customers?
If you can afford to pay the most to get a customer, you will always win and beat out other smaller competitions. Sell more with more high value products, then you’ll make more money. Your customer acquisition cost is the amount you make per sale divided by the amount you spend to buy those customers.
Think of yourself as being in the business of buying customers at a profitable rate. There are plenty of people out there who will pay premium prices to get premium value. So start with the economics of your business before going to your traffic.
So, implement these ideas in your business. One customer can make you a $49,000 if you have the right business model, with a back-end sales process in places, having the right back-end products that are high-ticket offers. High ticket is anything that is over $2000 in price. You’ve got to have a good back end product in place, you’ve got to have a good economics in your business.
If you don’t have a good high ticket offer, it’s hard to get a good profit.
What is the definition of customer lifetime value of your business? It’s what the average customer spend over an average in their lifetime…
What is the difference between front-end product and back-end product? Where is the money made?
Why is focusing on the conversion and on the economic side of the business rather than focusing on the traffic first as most people do especially when starting, why is that most important. These are a quick overview of all the details you will find below:
“Getting Paid Up To $49,850 For Making One Sale (And The Missing Ingredient In 99% Of All Online Businesses)”
What You’ll Discover In This Step:
- What is the “Tactical Triangle” and how does it hold the keys to how much money your online business generates?
- What the 99% miss when climbing the ladder of success and how it can be the difference between millions and bankruptcy
- How it’s possible to get paid up to $49,850 from one customer, and how you can be in a position to do it
- The importance of having both a high-converting front-end funnel and also a solid back-end sales process
“Discover The Missing Ingredient 99% Miss In Business Success …”
Congratulations! Less than 79% make it to step 2.
But first, a few terms you’ll need to know …
A sales funnel (also known as a “customer acquisition process”) is the series of steps a business has in place to convert leads or prospects into clients. From small companies to the mega corporations of the world, all successful businesses utilize them.
“Front-end” describes products that are inexpensive and presented with a low-risk offer. Front-end products are used to acquire customers.
“Back-end” refers to higher-priced, more valuable products, which you market to your front-end customers.
A “high-converting” funnel is simply a sales funnel that converts leads into paying clients at a high rate. For example, for every 100 leads who go through your sales funnel (i.e. they enter their email address and read a sales page or watch a sales video), you may have three of them buy—a 3% conversion rate (three buyers for every 100 email subscribers).
Let’s say you’d spent $200 to generate those 100 email leads, and each of the three sales was worth $49. You’d have made $147 in revenue (3 x $49) but spent $200, so you’d have lost $53 on the front-end.
Would you be happy? Before you answer “no,” let me teach you a few other things.
The Right Thing To Focus On
Often, you’ll hear people online say that there are only two things you need to focus on to build an online business. These essential elements are: (1) traffic and (2) conversions. They tell you that making money online comes down to this formula:
Traffic + Conversions = Sales
While this is true, there’s one more thing you need if you want to be profitable. (Do you really want to have a business that makes sales but is still losing you money?)
The third essential element is Economics. The “economics of your business” refers to the numbers, which must allow you to be able to profitably buy traffic, so you can scale up your revenue.
What Most Internet Marketers Do Wrong
When I look around at all the entrepreneurs in the internet marketing space, here’s what I see most of them doing wrong: They first go and find a “hot” market. Then, they find a product they can sell to that market. And then they drive traffic to that offer to make a one-time sale.
This approach is the single greatest reason why most people who try to make money online don’t succeed.
What they should look at first can be found by examining “The Tactical Triangle.”
This triangle, created by Perry Marshall and Jack Born, says that in order to sell something you have to get Traffic (eyeballs in front of your offer), and you have to convert that traffic (cause a percentage of prospects to reach into their wallets and spend money with you).
Economics means you have to make a profit on what you sell (after taking into account the costs to generate your traffic), which is the actual reason why you’re in business …
Once you are making a profit, then you can re-invest it into getting more traffic and converting that traffic into even more sales, which means much better economics.
As contradictory as it sounds, when you start your online business, you need to think backwards. Instead of first thinking, “How do I get more and cheaper traffic?” you should first focus on your main goal of “making a profit.”
Conversions and economics are the priorities. Traffic comes last.
Here’s a presentation I did where I explain why the conversions and economics of your online business are so much more important than focusing on getting traffic.
Coming back to the Tactical Triangle, you’ll notice it says “80/20” in the middle.
This refers to the Pareto Principle (named after 20th century Italian economist Vilfredo Pareto), which states that 80% of your results will come from 20% of your efforts.
It’s a reminder that in business, you want to continually look for the 20% of your efforts that create 80% of the results (and also eliminate the 80% of efforts that lead to just 20% of your results).
A great example of this principle is that 20% of your products will account for more than 80% of all your profits. Can you guess which products they are?
Your back-end products, of course.
Let’s come back for a moment to the economics of a business.
If you ask a business owner, “What do you need more of to make more money?,” they’ll usually answer with, “I need more customers.” In the online world, they’ll say “I need more traffic.”
These are the most common answers, and also the worst ones, because getting more customers and traffic requires either your time or your money.
There are two far smarter ways to make money:
- Sell more to your existing customers
- Get them to buy from you more frequently
Neither of these require you to spend more time or money to get more customers. They are part of your back-end sales process. So forget about focusing on “getting more traffic” as your path to online riches.
But instead, think backwards: you’re in business to help people get what they want, and also for the economics (i.e. getting what you want). If the economics don’t work, you can’t be profitable.
In other words, we need to make every transaction with a customer as valuable as possible.
There are customers out there who will pay much higher prices than you might imagine for the right offer. They want the biggest and the best option you have to offer. You, as a smart marketer, must capitalize on their willingness and desire to spend money to get what they want.
This is where most people fail online. The economics of their business just don’t work out for them to make a profit! They don’t have an effective back-end sales process in place. They don’t offer “more valuable and more expensive” programs to their customers (many of whom would gladly spend the extra money). So, they leave a lot of potential money on the table, and without it, they’re not able to be profitable on the traffic they are buying.
Today’s lesson is simple (but really important):
You’ve got to start with the economics (i.e. the business model) first.
Traffic comes into play later on down the road. That’s why we will focus entirely on the marketing system and business model for the first half of this program. Once those things are in place, then you focus on targeted traffic that will result in sales and profits.
All of this brings me to the story of …
The $49,850 Customer
I want you to go ahead and listen to this recording of a phone call between Nate Rio and MOBE Consultant Dale Bundy.
You’ll hear Nate Rio congratulating Dale for making an additional $12,500 commission, and also talking about how he’s now made $32,000 in commissions from just one customer referral he made several months back. Since that call, the total commissions from that same client are now up to $49,850!
How’s that possible?
Because the business model he is leveraging is amazing, and has some of the best economics ever seen in the online marketing industry.
That business model is the MOBE Marketing System.
Dale decided to leverage this business model because he did not want to spend years of his life trying to create one like it for himself. Also, he knew the economics were proven, based on how much we’ve paid out in commissions to our partners.
Stories like this are not uncommon. The majority of the more than $67 million in commissions MOBE has paid out to its consultant partners around the world has come from the back-end sales process (which MOBE does for our consultants, without them having to get involved).
It’s not uncommon for the MOBE commission payouts to exceed $5,000 (and even a lot more) for just a single customer.
Some other examples of single-customer commission totals include:
- Adeline Sugianto: $42,594
- John Chow: $45,667
- Rob Paris: $32,588
- Michelle Pescosolido: $30,359
- Carolina Millan: $26,792
- Axel Vaux Verdi: $21,294
To date we have over 3,000 back-end sales that paid out more than $8,000 each per sale and over 10,000 back-end sales that paid out over $1,000 each.
You can view more of our success stories by going to www.MOBEinspiration.com.
Just click the image below:
Write out your answers to the following three items:
- What is the difference between front-end products and back-end products? Where are the majority of your profits made?
- Watch the video “The Truth About Traffic,” and write down your three biggest takeaways.
- Why is focusing on the Conversion and Economics side of things (rather than just Traffic) so important, and why do you need to focus on leveraging an effective back-end sales process?
- Watch the below video where Dale Bundy talks about how he leveraged the MOBE Marketing System with success and learn how you can do the same.
Put all your answers in an email, and send them to your coach right now. And then call them. Please do not proceed until you’ve spoken to your coach, voice to voice, on the phone (or preferably on Skype).
Note: if you haven’t downloaded Skype yet, please get it immediately. It will make connecting with your coach much easier. Watch this short training on how to get it below.
At the end of Step 2, you’ll have the opportunity to get custom advice from your coach. Make the most of it. We want you to succeed! As you’ll soon see, we have a vested interest in seeing you do very well financially.
A Special Unannounced Bonus For Making It This Far In The Training
If you’ve made it through Step 2, congratulations! It may be hard to believe, but many people never even make it this far.
As my reward to you, I’m going to give you access to a surprise bonus.
It’s the audiobook version of my best selling book Limitless. Just open the link, and save it to your computer so you can transfer it a mobile device.
Or start listening immediately! (You’ll get a physical copy of Limitless mailed to your residence once you fully complete Step 3.)
Coming Up In Step 3: Discover how millionaires and billionaires think differently from the masses … and how you can model them.
Then in Step 4, you’ll discover how to make earning your first six (or even seven) figures infinitely easier, when you choose the right niche, the right business model, and the right products to promote online.
If for any reason you have any issues accessing the steps or video training in this 21 Step System or any of our other training programs, please contact our support team at mobe.com/support or call 1-844-662-3787.