Opt-in pages - Seeking a solution or Answer to Problem?
To Opt-in or not to opt-in ?
Yesterday, we completed our article with this line
For marketers, who might pay up to 8 dollars per click for a potential customer - the opt-in or squeeze page is a necessity.That article on opt-in or not to opt-in was here
More on why its a necessity later ...
So, let's look at the statement that opt-in is a necessity.
It all comes down to math.
If you are an online marketer, one way or the other you are paying to acquire each customer.
Think about it, whether it was
- word of mouth ( generally the least expensive and best ) or
- a pay per click program set up by yourself or
- a pay per click specialist or
- you took the time to create a number of on theme backlinks from other sites to yours
- any way you cut it, your valuable time was used in a one off situation, your hosting costs are being incurred ( and hopefully paid ) and or you paid for that traffic very directly.
There are costs associated with getting qualified traffic to your web site or even to the door step of your retail business.
For those that engage in PPC or Pay Per Click advertising, the costs are clear and quite stark. These costs are incurred directly on ones credit card and the Pay per click management reports enable one to see quite accurately what the costs paid for.
So, let's really do the math.
If your Google management reporting facility lets you know the following:
- 8000 Impressions ( which you don't pay for )
- 200 clicks ( 4% CTR )
- Avg CPC $2.00
This means that you recieved 200 clicks with an average cost per click of 2 dollars each.
If you converted 1% of these to a sale, that would be 2 sales generated at a cost of $400.
Obviously, the profit on each sale would need to pay for the cost of the sale right?
Well, simplistically speaking yes. A mature well funded business would be hoping for repeat sales from the customer but most businesses would prefer or like to see the cost of the sale covered by that first sale.
So, in the above scenario, the cost per sale is 400 dollars.
What variables could be tweaked to lower the cost per sale?
The most obvious one, and the one that most marketing departments would focus on would be the conversion rate. Above it was 1%.
But suppose that could be tweaked to 4%? Would that not drop the cost per sale to 100 dollars? And would that not incredibly open up the number of products that a seller could sell?
Even at 100 dollars, this is still quite expensive for many businesses, so looking a little further out at the life time value of a customer would yield a much more attractive curve.
Stay tuned, tomorrow we look at a few simple ways of growing a customer list with incredible speed.
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optin pages
optin
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life time value
aweber
monstercommerce
autoresponders
customer retention
autoresponder
offline marketing
opt-in pages
opt-ins
online marketing
marketing
internet marketing
business opportunities
long sales letter

