The 3 Step Funnel
April 10, 2018 1:50 pm
Step 1. The Facebook Ad
The first step obviously is you want to do a Facebook Ad that is going to focus on your product.
What I found is that if you try to be too clever with the ad then you get lower conversion rates because people will feel tricked when they go to your site. You don’t want to trick them. You want to be very straightforward on what your offer is. So, our ads are fairly simple.
We do have some branding and other things that we do to make our product seem attractive. One of the things that we also try to do is pick products that have good appeal, for example, hair care products ads.
Through some research I’ve found that these boar-bristle hair brushes are very popular with the ladies and there’s a lot of ladies on Facebook, so that seemed like a really good match.
Essentially, what we do is try to make our ad pretty straightforward. The idea of the way we build this business is we don’t want our customer to ever feel tricked or anything like that. We want a happy customer because we don’t make a profit until they buy the second, third and fourth product.
We want to build a list of very happy customers. If we can sell a product, let’s say, $30 on Amazon, then, we can get it for $3 on Alibaba. If we can sell the brush, add cost on top of that plus the shipping cost and break even then it’s a win for us.
We just acquire the customer for maybe $7. We charge them $7, $8, or $9 and give them a really good deal on the product so the ads is very easy for them to want to click and check it out.
Step 2. The Landing Page
The next step is we take them off of Facebook, eventually we will be able to sell within the Facebook ecosystem, but for now we then take them to a Landing Page.
This offer is a free plus shipping offer. We just sell it to them for the shipping and handling Cost, which is like $6 or something and what we’re doing is sending them to the Landing Page which has a bunch of elements on it that make them want to click through. We have more text and copy and we have these big green buttons that will take them to the next step of the funnel.
Step 3. The Cart
The next step of the funnel is the Shopping Cart.
All of our carts are our own that we built. We don’t use shopify or any of the pre-made carts because we want to have full control over everything that we’re able to do on the cart. We have little tweaks that we have discovered through the years that increased conversion value significantly.
This is a free plus shipping offer we are running here. We don’t always do that. Sometimes we do it, sometimes we don’t. With this one for instance, one of the things that we do is we put a screenshot of the Amazon Listing for the same brush on the cart under the ‘Buy’ button so they see they’ll be able to buy the brush for like $6 or $6.95 from us but if they go to Amazon the same brush is for sale at almost $30.
They can immediately see the value that they’re getting from this product. And, for us, again, there’s some other things that we do as far as how we allow them to order more products and ways we set that up that add to the thing.
There’s also several things we do with pop-ups to try to save the sale. One of which is we will offer a pop-up where they can actually purchase the product on Amazon if they like. This would be a way for you guys to increase sales velocity on your actual Amazon listings.
What we found works even better for us and that is to have a pop-up with a phone number where they can call if they don’t want to buy through the internet but want to buy on the phone. We found that we definitely get a lift and get orders everyday from people who just wanna talk to someone.
Make sure that it is legit and that they are not getting taken advantage of. They call in and talk to our sales rep and she text the order and they’re all happy.
When you combine all these little elements, we find that we usually accomplish 2 to 2.2 times average order value of what the single unit cost is. So if the single unit cost is $5 then we have usually an average cart value of $12, which is part of what makes it work financially for us to have this thing.
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