Can you really gauge how much your new product launch will bring you, even before you’re ready to launch. I used to think this was complicated, but now I know its just a numbers game. But that begs the next question… What numbers are best to follow.
The best customer you can possibly find is an affiliate with a big list. They’ll help you maximize profits faster than you could have ever imagined. Sure your product must provide some kind of value for end users, but its a relationship between you and happy affiliates that will pay you forever.
If you begin with an understanding that its easier to sell end users than it is to get affiliates to promote for you, you’ll be just that much closer to marketing successfully online. Imagine having to do all the prospecting (aka lead generation) yourself. Can you see how expensive that might be.
So you’re either going to need to sell $5,000 widgets to end users (coaching programs are great) or you’re going to need to sell lower priced widgets through affiliates where your goal is to get each one contributing about $5,000 revenue to your bottom line. Either way you’ll need to focus on providing exactly what it is they want from you.
Here’s the numbers. 25 end users that you sell a $50 item to will net you about $1250 if you’ve pay no commission (double if you’ve sold 50). And if you sell a $5,000 product or service to an end user you’ll make quite a bit more money, but you’ll have a higher value expectation on the side of the end user to live up to. Conversely, all you really need to do with an affiliate is make them money on lets say $50 products. This keeps expectations low with end users. This is easier on you and keeps refunds to a minimum.
Either way you’ll be helping 25 – 50 clients get what they want. You decide.
Want to find a product launch manger you can afford. Stop by Rob Canyon’s site to discover how to run a low cost, high profit new product launch and what they can really do for your bank account.