| High Priced Selling - Why You Should Sell Your Product For More, Not Less Part II |
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The first thing I want to do is I'm talking about a period of time. For some of you a period of time can be one day. You may get 1,000 visitors in one day. For some of you a period of time could be a week. A period of time could be a month. Maybe for some of you a period of time is a year. This is just one period of time. I'm probably going to be thinking in my mind that if I multiply this by ten then I'd have a month, just in my own mind so you know where I'm coming from.
The first thing I want to do is I'm talking about a period of time. For some of you a period of time can be one day. You may get 1,000 visitors in one day. For some of you a period of time could be a week. A period of time could be a month. Maybe for some of you a period of time is a year. This is just one period of time. I'm probably going to be thinking in my mind that if I multiply this by ten then I'd have a month, just in my own mind so you know where I'm coming from. Let's just start on this math here. If we have a $50 product that converts at 1-3%, let's just split the difference and call it 2%. How does that sound? Anybody in agreement there? We'll use 2%. So if we have 2% of 1,000 people buy a $50 product, what's our revenue? If we're using a spreadsheet let's just keep moving and create one more column - 1,000 visitors x 2% is how many sales? Caller: 20. Sean: You get 20 sales x $50 is what number? Caller: $1,000 Sean: We get $1,000. So 20 sales x $50 is $1,000 in revenue off of 1,000 visitors. Obviously this is over time. They're not all going to buy the very first time they come to your site, so these are going to be rolling numbers. The time frame that it takes someone to convert to a $50 product is faster than $100 product, faster than a $500, faster than a $5,000 - on average. Let's move up here and say we've got this $100 product. Again we said it ranges between 1-3%. Do we want to use 2% or do we want to use 1.5% for this picture here? Let's have some interaction here. Caller: Let's make it 1.5%. Sean: Alright, we'll be conservative and use 1.5%. Folks, the reason I'm kind of involving you is I just want to make sure that I'm not throwing some numbers out that are unbelievable. If anybody suggests something and you really go, "Wow, that's probably not the number I would use," let's talk about it. This phone call, if it's absolutely irrelevant for you on the call, if as you move through this phone call you don't have a personal believability that you could personally could sell something for $5,000, then you're literally wasting your time. |
