One of the hardest things for people to do is visualize a new pie when it comes to sales. Here's what I mean: say you took a year to build out a course, went through your sales 3-month launch, acquired students who took the 90-day course, they graduated and you got paid. Let's assume your course is now paid for, you make a profit when your students join and they make a profit by implementing your process. Win-Win. The troubled lens of ongoing salesNow, a few years later, when you sell the course and get new students, you need to support more people on your team. You now have coaches to implement the course, customer service for payment and course access issues, and a marketing and sales team to keep the ads going and leads flowing. The profit is not as large with every sale, in fact, it's worse than when you were running the course alone. However, your lead volume clears up this initial troubled lens. You now find that the bottlenecks are not in marketing and getting leads, it's in closing sales. Each time there are leads they need to go through a sales call process. Each sales person only has so many time slots a day to talk to potential clients. This can stall each sale as not everyone likes to get on the phone with a sales person - more than likely, they know they will be sold and no one really likes that even if they desperately NEED the product or service. They want to have a conversation in which they feel like they made a decision to purchase and move forward. Moving forward and a little math...don't worryBack to the pie, this particular sales pie is now cut into 5 between the coaches, customer service, sales, marketing, and the course owner. So how in the world can you clear up the bottleneck and get more sales when your profits when students do sign up is split into so many directions.
You can't. In that scenario, there is no room. Without another way that doesn't affect the original pie, you can't take out another slice and have it be a profitable endeavor. Yet, something needs to change to get more sales closed. Option #1- hire more salespeople - might be able to up the volume, but you'll be adding to your COGS. Option #2 - work with an outside sales person who focuses on having conversations with people who went through your sales process but are now in your nurturing list because they didn't take action. You may argue, "aren't you just adding another cost?" and I would reply with, "Not in the slightest, especially since option 2 is only paid on a percentage of sales brought in, not the upfront work and effort to get those sales. Wheels start turning and people start to realize this is a New Pie. Yes, there may have upfront work but that work didn't lead to an acquisition of a new student. The upfront work helps to build the trust and credibility that an outside sales person can piggyback off of when contacting the people on the nurture list. These are people that probably won't buy, unless something or someone moves them to a decision. They could stay on this list essentially... forever. So option 2, would be bringing in sales from a New Pie. There is no split in this pie except for the percentages between the course owner and the outside sales person. So let's do some math, again don't worry, I do not especially like math beyond the basics so that is what we will be using. Let's say you have an offer that is $2000 for 3 months, and a recurring amount of $1000/mo after for ongoing coaching. In this example people attend a webinar and then move on to either a sales call or a follow-up email sequence about the offering in the webinar. For easy math, you had 100 people sign up, 50 actually attend, and 5 of those people get on a sales call, 2 people move on to coaching. In an hour, you've just added $4000 in sales and $2000 recurring for a year ($24,000) while they get your top notch coaching course and help in their business - Win-Win. What about the 50 who didn't sign up for a sales call? They get moved to follow-up emails where maybe another 2-5 sign up. Great, you've doubled your sales and more students will benefit. But you still have 45, who are undecided. They get moved to your automated nurturing list to hear from you occasionally and probably never make a decision. Why? Because they have questions or objections that were never answered. They are unsure that it will work for them and because no one is going to ask them about it, they will silently say "no." Now you add your outside sales person, who sends out an email 1:1 to these 45 people asking them about their thoughts and the course. You start to gather data from 45 people telling you why they didn't purchase to begin with and what would help them. You can now use this data in marketing because you have an open door to the objections and questions that were not answered. While your outside sales person helps them and moves them to a decision to purchase or not. Let's say that half purchase - you now have another 25 people in the course at $2000 ($50,000) and a years worth of recurring coaching at $1000 each ($300,000) all because someone on your team reached out. Your outside sales person is asking 50% commission for the initial course - $25,000 to get our students enrolled. You keep $325,000 that you didn't have previously because this is a New Pie. Yes, that is the dream scenario. What if it bombs and there are no sales - then there is nothing to split. No time or energy wasted by the course owner. They can decide to try another test or go their separate ways. There is no risk, and so much upside potential, why not try? What do you think? Do you think you'd run a test with the outside sales person?
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Have you ever had that moment when you have to just shake your head, knowing that even though your coach tried to tell you not to work with untested leads, lists, or groups, you went ahead and did it anyway? Yep, that is what has happened now over and over again because I want to help people get sales. Now, don't get me wrong, some sales tests have produced sales, while others have failed miserably. Thank goodness, I run these test on my time and dime without any work on my partner's part. This falls under the I should have listened to my coach category!Don't get me wrong; some sales tests have produced sales, while others have failed miserably. Thank goodness, I run these tests on my time and dime without any work on my partner's part. Otherwise, I can only imagine the frustration if they paid for this service upfront and got these results. I know businesses do it all the time by running ads and marketing campaigns, but I would feel horrible if I was running those accounts and not getting them results. The flip side of the quarterSo, what has been working, just as my coach preaches- working with buyers lists, groups that have sold products and services to their members, newsletters that have a sales track record, social media influencers who are already selling. The point is to work with people who are doing well. So well that they really don't need my services. Unless they want to get back to doing what they love to do and get away from the sales side. For those partners I can bring in a separate income stream from what they are already doing:
I want to help everyoneWhile that is 100% accurate and honest, it is not realistic.
Some partners are not a good fit. We don't jive. I'm peanut butter, and they are mustard; we just don't make a good combo. Both work well separately in the right sandwich, but just not together in this one and that's ok. The best partners that I have helped bring in sales for are the ones who have an active list of buyers. They communicate often and the audience knows, likes, trusts, and has purchased from them in the past. The offer could be the same, different, an upsell or an affiliate offer. With an active buyers list there are always people waiting in the wings to be communicated with in the right way to answer their questions, objections, or speak to their present pain and help walk them toward a solution in conversation. Who do you know who is busy and bringing in the sales but wants to get back to the part of their business they really love? If you have anyone in mind, we should talk! I won't make any promises - as you've seen some tests have been great while others have been complete bombs. But if I can help to keep their audience happy by serving them, it's a win-win-win. |
AuthorEva is a marketing copy and content writer. Her goal is to help businesses set themselves apart and grow! Archives
May 2024
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