Why Do We Care About Product Funnels?

By , Small Business Consultant and Marketing Strategist

Solo-E Certified Solo Entrepreneur Expert

Michele A Scism - Small Business Consultant and Marketing Strategist

Creating a well developed product funnel can seem like a lot of useless work when you’re first getting started.  In fact, a lot of people decide it isn’t worth the effort and just don’t do it.  This leaves potential sales on the table because you may not have the right product to offer to someone at any given time.

I’m sure you’ve all heard a bunch of reasons why you need this, but let’s talk about how this applies to product selection.  By having a well developed funnel, you have more options to offer people based on where they’re coming from.   Would you want to offer a brand new lead your $997 program right off the bat?  Perhaps not!  Someone who has just found you online or at an event doesn’t have the same level of trust as someone who already has a feel for what you do.

So, the best place for a brand new lead to start is with your free offer.  This could be an opt-in for a free report or a strategy session (or even both in some cases!). This gives you a chance to establish credibility and trust while exposing them to what you do.

However, someone who has found you from a teleseminar has already gotten that first taste of what you do and may be open to a paid product. When you’re participating in a teleseminar, consider offering a paid strategy session to participants.  I typically recommend pricing these in the $97 t0 $197 range rather than free.

Also, make sure you’re recording those teleseminars!  These events make great products and can provide a quick way to add to your funnel.  By the time you have the teleseminar, the bulk of the work is already done so if you record you have material to transcribe or use as audios without any additional work on your part.

Then, what do you have to offer someone who has found you through an actual event?  Well, I look at a few factors to decide what I want to offer here.  Think about time spent at the event.  Think about how much (if anything) they paid for the event.  These will help you decide what price point it makes sense to offer them.

By having that well developed product funnel, you’ll be able to offer potential clients different products without more work on your part.  You’ll also have the option to bundle products when it makes sense to create customized packages based on the client’s needs.  Again, bundling when the products already exist creates more options but doesn’t create more work on your part!

So, take the time to develop products at multiple price points so you have options to choose from based on what makes sense for the client.  If done well, you’ll have the options without creating extra work!

Michele Scism is a decisive, driven and committed entrepreneur who helps successful business owners create passive income streams so they can stop working so hard and start enjoying the benefits of entrepreneurship.

Michele’s business expertise has been highlighted recently on NBC, CBS, Fox, Entrepreneur.com and Forbes.com. She is an international speaker, best-selling author and the Founder of Decisive Minds.

She is a serial entrepreneur who knows how it feels to fail miserably at business, at one time the bank actually called demanding their $1.5 million back, and also knows how it feels to sign the contract to sell your company for $9 million dollars. For business building tips visit http://DecisiveMinds.com

© Copyright 2013 Michele A Scism

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