How much would it be worth to you and your business if you cut in half the unprofitable activities and doubled the ones that work?
A simple equation really.
I remember 3 years ago when I self-enrolled in sales boot camp. I read just about every piece of sales material I could get my hands on: Ziglar, Tracy, Schiffman; cold calling, door to door, face to face, the whole nine yards.
One thing I remember particularly well today is from Ziglar: You can double your sales if you improve 7 parts of your process by 10%.
In reality it’s nothing but basic math, but these are the keys to a direct response business that are all too easy to ignore.
Most people think along these terms: “If I want to double my sales, I need to double my advertising, I need to double my sales force, I need to double my conversions†and so on, with phrases that involve the word double…
And this is not just false thinking, it’s poisonous.
Let’s put it on paper here so we can fully view the power of 10% increments. The effectiveness lies in the cumulative nature of these improvements.
Company ABC makes $100,000 in sales every month as it stands. Let’s see what happens when they improve 7 parts of their process each by an easy 10%.
Improvement 1: $110,000
Improvement 2: $121,000
Improvement 3: $133,100
Improvement 4: $146,410
Improvement 5: $161,051
Improvement 6: $177,156
Improvement 7: $194,871
As you can see, we’re just short of double the sales, and we’ve achieved it not by radically influencing one part of our business, but rather by having a small impact on numerous processes.
Looking at things this way puts them into perspective. Rather than think: “Hey, I have to double my ad spend†you think “Hey, how can I get one more person out of 10 to optin to my mailing list†or “How can I make my average CPC on this campaign go from $0.50 to $0.45.
Much more manageable, I think you will agree.
So why am I going on about this?
Because I’m once again guilty of ignoring it at times. But not today.
I feel pretty good right now because I’ve just done more of what works. Today I set up an affiliate campaign to promote a piece of software I often use. It’s very similar to another product I’m already promoting with success so it was dead easy to set up.
I’m pretty sure this will bring in an extra $10 a day in residual income. If you’re not impressed, you’re either too rich for this blog or the lights aren’t on properly.
Ten dollars a day in residual income is over $3500 a year for one day of work. Can’t complain about that…
But that’s not all I did.
Remember the deficient campaign I was telling you about on the verge of the New Year?
I applied the rule of 10% increments to it almost immediately after the post. Here is what I did, in a nutshell:
1) Re-wrote the squeeze page
2) Wrote the desperately lacking auto responder sequence
3) Wrote a special report to induce my visitors into signing up on the squeeze page
4) Implemented just enough tracking to know if sales are coming from the squeeze page or the review page.
Still to do:
1) Skim keywords
2) Expand keyword list
3) Test another landing page formula
4) Add messages to the auto responder sequence pitching different products in the same niche
5) Kick analytics into over drive
Ok, so it’s been almost a week since the first wave of changes. Here are the results.
• Clicks have gone up 33% (higher relevancy of the landing page?)
• Signups have gone up by 75%
• Sales have gone up by 200%
• ROI has gone from break even and list building to a smashing 314%
By doing more of what works and eliminating what doesn’t, I created another easy stream of residual income. It went from a losing campaign to a raging success with only small tweaks here and there. And there is still more to be done.
So here is yet another resolution you can take with me:
- Break down what you do into little pieces.
- Choose one of those pieces and improve it just a bit.
- Move on to the next piece.
- Reap big rewards.
In short, find out what works and do more of it.
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Alex…
I’ve worked with Ziglar…an awesome guy, speaks the truth.
Very impressive results from your efforts…gives me inspiration too.
Thanks for the recent “special support”…working on it with great expectations.
Paul
Hi Paul,
Let me know how it works out for you, I’ll be glad to be of assistance where I can.
Cheers,
Alex