3 Mistakes Entrepreneurs Make When They Start to Sell Information Products

Recently, I wrote about the big mistakes entrepreneurs make when they create information products. Unfortunately, there are more mistakes to avoid when starting to sell them! Here are the biggest 3:

1. Your expectations are out of whack with reality. I once had a self development consultant tell me he wanted to sell a million dollars of his $497 product in one year. So I ran the numbers for him on what he would have to do to get that. He got very, very quiet.

Look, I’m all about thinking big. I’ve thought big my entire life. But if you want to do more than simply think big and actually accomplish big things, you need to understand what it takes to get there.

Let me give you a quick example. Let’s say you want to sell one information product a day off your web site. If you have a 1% conversion rate on your sales letter (and that’s not a walk in the park to do, but we’ll start there because the math is easy) that means one out of every 100 people are going to buy your product. To sell one a day, means you need 100 people looking at your sales letter a day. (Note, I don’t mean 100 people looking at your web site a day, I mean 100 people looking at that sales letter a day.) That means you need to get 3,000 visitors to that page a month. And if you’re not getting 3,000 visitors a month, you probably won’t sell an information product a day.

So let’s say you’re this entrepreneur. You just finished your product, you wrote the sales letter and stuck it up on your site and are now sitting back and waiting for the sales to pour in. And instead of getting one sale a day, you’re lucky to get a sale a month. Or every 6 months.

And when this happens, you’re probably feeling very frustrated and discouraged. But you shouldn’t be. Because if you understood how the numbers worked, you would know what was realistic and you would ALSO know what you needed to do in order to sell one a day.

The problem I’ve found is entrepreneurs create their first info product sure this is their ticket to easy wealth. Then, when the days, weeks and months go by and it doesn’t sell, they get frustrated and give up. And giving up is the REAL problem. Not the lack of sales. (Lack of sales CAN be fixed.)

2. You don’t spent the time and energy selling it as you did creating the product. Sending a couple emails to your list is NOT putting a lot of time and energy into selling your product. Or, worse yet, throwing up a sales page and expecting people to flock to it and buy is also not putting enough time and energy into selling it.

Products are great, don’t get me wrong. And while they can be passive income, what they mostly are is leveraged income. Making sales every day from your site is NOT magic. Nor is it an accident. It’s a combination of doing the right marketing tasks to drive warm visitors to your site, collecting their contact information, and starting a relationship with them with an ezine or some other communications. It’s about doing visibility activities. It’s about doing product launches to up your visibility and take your marketing to another level.

When you do all these things, you find your overall sales go up. And when you promote a product specifically, sales spike further.

3. You give up. I can’t tell you how many entrepreneurs I run into who have unrealistic expectations about selling their product, and then do little to no promoting or marketing of their product, and then give up because they don’t sell any. They incorrectly assume there’s a problem with their business, their clients, the product, themselves, etc., when it’s a problem with their marketing.

Before you decide there’s something more drastically wrong, make sure you understand the numbers and the marketing. Only then can you make a determination if there’s a deeper problem then simply bad marketing.

Launch an Online Business Profit Making Machine Powered by an Affiliate Marketing Business Plan

The world of new affiliates presents many options; unfortunately, some of these will not contribute to profit-making at all. One practical affiliate tool that will ensure an online business gets launched as a revenue-generating enterprise is an affiliate marketing business plan.

Selecting and implementing a solid affiliate action plan does not guarantee, but certainly increases the chances of two important items:

1. Consistency in the creation of product campaigns
2. Traffic generation

Obviously, other factors such as the quality of the vendor’s sell page come into play for sales production.

A value-added affiliate marketing blueprint has the following attributes. Note that action plans, like product campaigns, can directed to a specific target audience. For example, a plan directed at new affiliates.

- Tasks related to niche, product, and keyword selection.

- Steps to create a campaign launch area and guidelines to optimize it.

- Actions to direct the target audience to the launch area and/or the affiliate’s sell page. Affiliates do not need to SELL a product in a specific market campaign; instead, they lead target audience traffic to the VENDOR sell page.

- Description of costs associated with campaign set up and deployment. If a plan does not do this, affiliates may be shocked when your budget is gone in the first month.

- Description of maintenance (including running on auto-pilot) and “tweaking techniques.” For example, initial keyword selection may lead to insufficient traffic; simple keyword tweaking may be required.

- Recommendations for the software tools for the business plan phases. These tools should be selected so they will not blow the budget.

The Pros And Cons Of Different Investment Strategies

This post will talk about different investment methods and their pros and cons. Along the way, we’ll share helpful tips from famous financial expert Aleksey Krylov.

Buy And Hold Strategy

One of the oldest and most simple ways to invest is to “buy and hold.” It comprises of acquiring valuable assets such as common and preferred stocks, bonds, or real estate or even private equity with the intent to holding them for the long term, potentially several years or lustrums.

Pros:

· Simple: Buy and Hold is straightforward. It is inexpensive to execute. One starting in investing can easily understand this strategy.

· Potential For Long-Term Gains: Driven by inflation, the majority of financial asset classes tend to appreciate over the long term. Those who hold such appreciating assets over the long horizon tend to benefit from the asset appreciation..

· Lower Transaction Costs: Minimal buying and selling reduce brokerage fees and taxes.

Cons:

· Lack Of Flexibility: You may miss opportunities to capitalize on short-term market fluctuations.

· Risk Of Losses: Market downturns can erode your portfolio’s value, and you may need to wait for recovery.

· Emotional Discipline: Patience and emotional resilience are crucial, as it can be challenging to stay the course during market volatility.

Value Investing

Value investing, popularized by legendary investor Warren Buffett, focuses on isolating those stocks or assets that are materially underpriced relative to their intrinsic value and acquiring them with the expectation that the discount to intrinsic value will disappear over time.

Pros:

· Potential For Bargains: Finding undervalued assets can lead to significant returns when the market recognizes their true worth.

· Risk Mitigation: Investing in undervalued assets can provide a margin of safety, reducing the risk of losing value.

· Focus On Fundamentals: Value investors analyze financial statements and company fundamentals, promoting a long-term, rational approach.

Cons:

· Patience Required: It may take years for investors to acknowledge the true intrinsic value and bid up the assets price. Patience is crucial.

· Uncertainty: The market may not always align with your assessment of value, leading to potential losses.

· Research Intensive: Successful value investing requires in-depth research and analysis.

Dollar-Cost Averaging

When a trader uses dollar-cost averaging (DCA), they put a set amount of money into a stock every month, no matter how the market is doing.

Pros:

· Risk Reduction: DCA spreads the risk over lengthy periods of time, reducing the effects of market volatility.

· Automatic Investing: It’s a disciplined approach that can be automated, making it convenient for busy investors.

· Mitigates Timing Risk: DCA avoids the pressure of trying to time the market.

Cons:

· Lower Returns In Bull Markets: In strongly rising markets, DCA may underperform lump-sum investments.

· Potential Opportunity Cost: Holding cash while waiting for market dips might mean missing out on potential gains.

· Requires Consistency: To reap the benefits, investors must stick to the plan consistently.

Growth Investing

Growth buying looks for businesses that have the ability to make a lot more money. Investors who allocate capital into growth stocks target capital appreciation over distributions of cash flows via dividends.

Pros:

· High Returns Potential: Successful growth stocks can deliver impressive returns over a relatively short period.

· Innovation And Disruption: Growth companies tend to operate in high tech or other highly innovative industries; they sometime lead emergence of new sectors of the economy..

· Diversification: Growth stocks may not correlate with other asset classes. And investors may enjoy g diversification benefits.

Cons:

· Higher Risk: Growth stocks can be more volatile and subject to market sentiment swings.

· Valuation Concerns: Overvaluation can lead to sharp corrections when growth expectations are not met.

· Lack Of Dividends: Growth companies may reinvest earnings rather than pay dividends.

Dividend Investing

Dividend investing involves building a portfolio of stocks of those companies that regularly distribute earnings via cash dividends. The focus here is on generating a steady stream of income.

Pros:

· Income Stream: Dividend stocks provide a consistent source of passive income.

· Lower Volatility: Dividend-paying companies often have more stable stock prices.

· Historical Resilience: Dividend stocks have historically shown resilience during market downturns.

Cons:

· Limited Growth Potential: Companies paying high dividends may have limited funds for growth initiatives.

· Interest Rate Sensitivity: Dividend stocks can be reactive to movement in interest rates as interest yield can be in competition to dividend yields.

· Company Risk: The sustainability of dividends depends on the company’s financial health.

Conclusion

Growth buying looks for businesses that have the ability to make a lot more money. Each strategy may have its own pros and cos, making it essential to diversify your portfolio and, if possible, seek professional advice.

As Aleksey Krylov wisely reminds us, “No single strategy fits all. The key is to understand your objectives, stay informed, and adapt your investments as your circumstances change.” Whether you opt for Buy and Hold, Value Investing, Dollar-Cost Averaging, Growth Investing, or Dividend Investing, a well-thought-out approach will enhance your chances of achieving your financial aspirations while managing the associated risks.