Using Self-Liquidating Offers To Build Your List
by Derrick VanDyke · June 27, 2009
The easiest way I know to build a quality list of buyers is selling quality, low-cost products and giving the majority (if not all) of the profits to affiliates. This is called a “self-liquidating offer” because your goal is to break even. You give away the front-end profits to get other people to send you buyers.
You don’t need a best-selling product on ClickBank to rake in tons of cash. You can simply piggy-back off other people’s successful products and get a cut of the sales. But as I’ve already explained, you need a list of people who trust you and are willing to buy through your affiliate link.
To put this into perspective, let’s look at some other types of self-liquidating offers…
A weight-loss site might give away free samples of a product and actually pay affiliates to give them away on a pay-per-lead basis. Affiliates get paid a set amount for every sample they give away, but they don’t get any commission on the product itself. The merchant actually loses money on the front end. But they get a physical address and they can use an upsell to recoup profits.
The “Free CD” offer: the merchant gives away a free CD and the customer only has to pay shipping and handling, which is usually twice what the actual shipping costs and that covers the cost of making the CD. And there is usually a “forced” free trial to a continuity program (monthly billing product).
But you don’t have to do anything quite that elaborate, to use this powerful method of selling.
The first step is to set up your offer. You can create your own report or acquire resell rights to a ready made product.
The most effective method is to create your own report because that makes you the expert to your subscribers. So when you recommend a product, they will be more likely to trust your judgment. I wrote a detailed report on this subject, but the basic idea is this:
- You buy the product that you want to sell
- You use the methods that you learn
- You write a report about your success
That’s one of the most powerful techniques I’ve ever used.
For example, when JV Giveaways were at their peak, I wrote a short report (about 14 pages) about my success with the first JV Giveaway event I promoted. The headline was, “How I Generated 1,012 Subscribers And Made An Extra $1,193 in 13 Days From My Very First JV Giveaway!” and it’s still online here.
I sold hundreds of copies and I also paid 100% commission to my affiliates who sold hundreds of copies and built my buyers list for me. Of course, I had a specific goal in mind for the back end profits.
I created a set of bonus videos for my customers and showed them how to set up their product to give away. I also recommended that they upgrade at a particular event to get bonus points, which helped shoot their product into the top 20 positions so they would get more leads.
A whopping 40% took the upgrade! And that’s because I took the time to teach them how it works and how they would benefit.
I gave them quality, useful information for free and made a simple recommendation that I believed would help them as well. It’s a win-win scenario.
Okay, let’s get back to the product and why it sold so well…
First, it was a true story from my own success. People love success stories. The headline drew attention and created curiosity…they wanted to know how I did it.
Second, I got good-looking graphics. The whole package was only $97 and that included banners.
Third, I added upsells for resell rights at $17 and branding rights for $27. More than 30% bought the branding rights for $27. So I basically quadrupled the value of the product by doing a little extra work.
To further increase the value of the resell rights package, I also included an affiliate tools page with solo ads, classifieds, and graphics. Plus I included a customer registration page and a download page.
That’s what inspired me to open Resell Rights Express. Most of the reseller membership sites just upload as much “stuff” as possible without checking the actual product for quality. At Resell Rights Express, my guy Terry evaluates every product, ads a customer registration page and a download page, and then reorganizes everything to make it easier to set up.
You don’t have to create your own product to use this system!
Just grab a resell rights product, set it up, and get affiliates to promote it. If you want to go the extra mile and make it more appealing to affiliates, get some new graphics to make it unique.
It does take some time to learn how to set these offers up. And if you do it right (add upsells and create tools for your affiliate), it might take you a few days. But that’s why list owners will promote for you… They’re lazy! They’d rather just send a quick email to their list and make 100% commission than take the time to set it all up.
Once you get this down to a science, you can create a new offer every week and people will look forward to promoting your latest offer. So you’ll have a consistent source of traffic, leads, and sales that will just keep growing and growing and you’ll be laughing all the way to the bank!
To wrap this up, I want to stress that it doesn’t matter whether you create your own product or use resell rights. You don’t to have to create killer graphics. You don’t have to add upsells. You just need to get started!
You need to go through the process, get your first product out there, and sell it. Don’t wait until it’s perfect. Just get the ball rolling and get some sales. You can always make improvements later.
We have video tutorials to walk you through the process at ResellRightsExpress.com and you can get started for free. I’ll even give you a 30-day trial to use my business automation software (customers only).
No matter what you do, I’d hate to see you miss out on this powerful system for generating buyers leads on autopilot and making a killing on the back end by promoting other people’s products for a hefty commission.
All you need to do is take action…
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Filed Under Internet Marketing, List Building
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