What do you think about this advertising price?

Dedicated "eblast" going to 24,500 homeschoolers. The cost is $700.

My product cost is only $4.99.

Is it worth it to do this?

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Permalink Reply by Lee Smith, ND on August 28, 2012 at 6:45pm

As Jim Collins says, I'd prefer to fire a few bullets before firing that cannon.

If you can sell 10% of them...its a deal, but that's probably a high target.

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Permalink Reply by Justin Lukasavige on August 29, 2012 at 6:57am

I think you'll ha a difficult time converting even 1%, Mia. I don't know your product, but advertising as an add-on to a newsletter may not even convert 1%. Keep in mind that a 30% open rate would be great, meaning you'll only make $120 off of 24 sales.

Advertising is almost always the most expensive and least effective form of marketing. I'd stay away from it.

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Permalink Reply by Mia Borojevich on August 29, 2012 at 7:30am

ok, thanks for replies - just as any fyi, i wouldn't be the add on, i would be the whole content of the email

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Permalink Reply by Justin Lukasavige on August 29, 2012 at 7:41am

My pleasure. That would definitely convert better. Assuming your sales page is top notch and you already know it works well, the numbers I posted at 1% conversion assume you're the main content. If you're anything less, it'd be worse.

But I could be completely wrong. If you try, will you share your results?

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Permalink Reply by Mia Borojevich on August 29, 2012 at 8:40am

Justin: After hearing some feedback, its doubtful i will do that...

and your comment about: " advertising is the most expensive and least effective" has been my results of the small amount of advertising I have done so far...

but, list building is very slow - i would appreciate any ideas, suggestions, feedback

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Permalink Reply by Justin Lukasavige on August 29, 2012 at 1:27pm

List building is very slow, Mia, but always worth it. The stuff worth doing usually doesn't happen overnight.

I have a list of 101 free and low-cost ideas that you can download at http://coachradio.tv/subscribe. Let me know what you think.

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Permalink Reply by Mia Borojevich on September 1, 2012 at 2:31pm

I am going through your list - thank you for it. I see that you mention google adwords - what is your experience with google adwords and your opinion of it, if you have time.

Right now, I have about 150 people on my email list.....

Out of those 150, I have probably sold a curriculum unit to 30 people - what do you think of that rate? My curriculum units are only 4.99, so its not like I generate alot of money per sale.

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Permalink Reply by Justin Lukasavige on September 1, 2012 at 3:38pm

For the right business it's phenomenal. I'd have to do an in-depth study of the competition and pricing, and know what that business is selling, to be able to advise on it.

You've got a great conversion rate with your current newsletter. It's small, but that means it's well focused.

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Permalink Reply by Mia Borojevich on September 1, 2012 at 5:46pm

Thanks - I don't mean to take up all your time. ...so with that conversion rate and the price of the product, you can see that I would need to have a pretty large list though.....

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Permalink Reply by Lee Smith, ND on September 1, 2012 at 5:56pm

That IS a great percentage of sales.

Can you develop add-on sales and up-sell these customers?

What if you start an affiliate program and use these 30 people to share to their friends...offer them a discount on future purchases if their friends buy...
Or, could you enroll them in free newsletters that will later invite them to buy more?

Such as...

Offer a free members' only benefit for everyone who has bought anything so far and cut-it-off at the end of the year. Beginning in 2013, it becomes a new product for $3.00 per year. Make it worth the money by keeping it current and vibrant.

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Permalink Reply by Mia Borojevich on September 1, 2012 at 6:19pm

thank you so much for your ideas...i appreciate it...

i am trying to think thru that members only benefit...i have another science product that would typically follow the one that most people purchased, and it comes out in november...

sooo, can you spell out more what you are thinking? they already bought a 12 week one for $4.99, and the next 12 week is $4.99 - so how would i do that?