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If you’re spending money on ads for your low-ticket offer but still losing money, I’ve got some tips for you.
- Cut your lead gen costs in HALF with my $37 mini-course–NOW only $17!
- Visit The Art of Online Business website for Facebook Ads help
I’ve run almost four million dollars in Facebook and Instagram ads, and I’ve learned a few tricks to turn things around. I’ll show you how to fix your pricing, why your conversion rates might be tricking you, and how the right upsells can boost your profits.
I’ll also share how I tweaked my own order bumps and upsells to make more money. Plus, I’ll talk about an easy way to make extra cash from your email list! These are simple changes you can start using today to get better results from your SLO funnel.
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Kwadwo [QUĀY.jo] Sampany-Kessie’s Links:
Speaker 0:
What if you’re running ads to a low ticket offer but instead of breaking even or profiting, you’re actually losing money, or even a lot of money. Well, that’s exactly what happened on a recent call with someone that I had, and they were spending like $1,000 on ads but had only made $600 back. At least they were quite accurate in their data tracking, so that would be a 0.6 ROAS return on ad spend not exactly a winning funnel, but after diving in with them, I found a few key issues and simple fixes that should completely change their results, and so you can implement these same fixes in your SLO offer, if you will, in your self liquidating offer. So in this episode, I’m gonna break down the tweaks that I recommended, including the pricing strategy and upsells, and also I made a recommendation about how to make money from the email list. You can apply these to your offer too. So this person was running their ads to a $19 mini course with a $9 order bump, but they’re only making back 60% of their ad spend, and I asked what the order bump conversion rate was and they said 80%, which sounds great. Actually, that is amazing, but it’s it’s too high. Remember, they came to me cause they weren’t breaking even, and so you know what I told them. Well, I’ll tell you later in the episode, but also what else. The other problem I noticed was that there was no upsell and so they weren’t capturing additional revenue from buyers. Remember that if you’re running cold traffic to your SLO funnel and you know the messaging is right, you know the order bump has allows you to obtain a result that the first offer works towards, but in a more quick way, saving you time, and the upsell does the same thing. You should see somewhere around 15%, maybe 20%, if you’re doing good of the people who get the first offer, let’s call it the $19 offer, also buy the order bump, and then another five to 10% of the people who buy your first offer should buy the upsell. So if you’re way better than those stats, then awesome Congratulations. You know your client, but you’re leaving money on the table and you could increase your prices.
Speaker 0:
So why is 80% too high on the order bump? Well, typically, like I said, 15 to 20% conversion is solid. 80%, the price is too low. So that’s where you want to test price elasticity, and what I had recommended to this person is that they increase their order bump price from $9 to $15 and even $17. And you’re probably thinking okay, quajo, how long do I test this for? Well, just do it for like two weeks, right? All you want to see is you would expect that the conversion rate drops a good amount, but if it’s at 80% it can drop a lot, right, until you hit like 15, 20%, and so then you’re just running the numbers and making sure. But the idea is that, and what I’ve seen, is that when you increase the price, then your conversion rate might drop some, but you want your average order value, aov average order value, to increase. So maybe fewer people get the order bump, but because a fewer percentage of people are getting the order bump, but it’s more expensive the order bump, then you’re actually seeing a net gain in the amount of money you make.
Speaker 0:
Okay, now upsell time, super key to a profitable funnel, Like I heavily recommend. In fact, I never recommend running ads to an SLO funnel that does not have an order bump and an upsell. I know current or past clients come to mind that have ever had successful SLO ads. First, when you’re thinking about an upsell, the price in general should be higher than the main offer. And I say in general, because I’ve seen exceptions and you’re like Quajo. Don’t tell me there’s exceptions to the rule. There are always exceptions to the rule. I am just some Facebook ad manager with four years of experience. Yes, I have managed like close to $4 million in Facebook and Instagram ads, but I am not your Facebook ad manager and I’m just giving you my experience. You have to test what works for your offer.
Speaker 0:
Okay, usually an order bump is higher price than the core offer. So with a $19 core offer, you could expect like a $57, $97 order bump to maximize revenue. The key here is what is the value that you’re offering inside of your order bump. It should be a steal whatever price you set. And can we just enough with was $997, only now $27.
Speaker 0:
Let’s go ahead and be honest, especially because I think it’s the FTC can come after you. As in, you want to make sure that you’re not making claims that are not true. So whatever the original price that has a strikethrough, want to make sure that you’re not making claims that are not true. So whatever the original price that has a strike through is, make sure that you have evidence that you’ve actually sold like people have actually bought at that price. Otherwise, please rethink putting that on your upsell page or sales page even right.
Speaker 0:
So an example of an order bump yeah, could be a done-for-you solution. It could be a discount off of your membership if you have one. It could just be another course. I had told this person on the call if they are selling a mini course as the regular first offer and then they have the order bump is marketing right, that teaches people how to market Then what is the very next immediate need? That could be the upsell. Your upsell could be an exclusive offer only available on that upsell page. It could also be an exclusive discount. Maybe the upsell is just a course that for some reason you decided to sunset in the past, but actually there was high demand for. You just want to make sure that the upsell is aligned with that first low ticket offer.
Speaker 0:
Okay, now something else I had suggested to this person is that they monetize their email list. Right Now you might be running ads to your SLO funnel and almost breaking even, but before you decide to shut off those ads, like, maybe you’re getting 0.9 ROAS almost one, right? Remember these are amazing people to add to your list and if you have a huge list, like this person I was talking to had 17,000 people. What if you decided to monetize your email list, especially if you’re in a niche that you know can get good money for ads? You know, like you know, you could be in the online business niche, just to give one example.
Speaker 0:
Okay, so all that means is I know somebody who has a large email list and what they do is they sell ad space on their email list. Now I don’t know specifics if that’s like a banner at the bottom of their emails or if it’s like for every you know certain period of time, they send out an email that specifically promotes the company that’s buying ad space in their email list. But they do monetize and they make a good amount of money somewhere around I think the number I was quoted was $2,500 a month, right, pretty good in my book. So also think of any kind of affiliate software that aligns with the results that you’re getting in your low ticket offer that somebody’s buying for that customer. You could sign up for that affiliate software and then offer that software you know in the follow-up email sequence to, or even inside of the mini course or your load. Whatever your low ticket offer is, you could offer that software right because it helps your customer get their result, and it makes you affiliate revenue, maybe even recurring affiliate revenue, and so there are quite a few ways to monetize.
Speaker 0:
What you really want to do, though, is make sure that you do have that order bump and you do have that upsell.
Speaker 0:
This is essential to running a success, like as to a successful self-liquidating offer funnel, and then you got to do the due diligence to lower your ad costs.
Speaker 0:
Too many times I see somebody show up or they are on a call with me, right, because I do Facebook ads coaching calls one-on-one and they had like one piece of ad copy and one or two graphics, and that is not enough to test to get good results, and so, if you need a good framework to lower your lead costs by up to 60% even, which will change the game, change the game Ah, that’s such a weird cliche this will increase the odds of you getting your low ticket offer funnel ROAS positive, as in making you money and not costing you money.
Speaker 0:
I have that course. It shows you the exact step-by-steps that I take, step-by-steps. I take them in every client account to cut down cost per lead while still getting the highest quality of client or customer possible, and you get to follow that and you get to see me pre-recorded doing the same steps inside of client accounts too, so that you can see real life how this plays out. That is normally $37 for you if you go get it now. It is $17 in the show notes below. And with that, take care, be blessed and I will, or you will see me in the next one.
