The techniques I will reveal to you have often been taught in many marketing courses and articles…but they are still underutilized because of two words – “tunnel vision.”

Backend profits means the additional income that you earn from a customer. The first purchase from a customer is the front end profits while the second purchase and so forth will be your backend.

The really good marketers understand that the most money will be made on the backend.

Here are a couple reasons why:

You can charge higher prices for backend products because you’ve already built a relationship with your customer.

They already know the quality of your product and of your customer service. You no longer have to convince them that you’re credible and that your information is good.

You only have to convince them that your backend product is higher quality than your front end product and that they NEED the backend product.

Trust is one of the single most important components of selling. You can earn that trust by providing a good front end product.

Most marketers do not truly understand the power of the backend and that’s a fact.

I know because I see very few affiliate programs which pay higher than 50% commission.

Think about this for a minute.

Let’s say you sell your product for $50 and you give 50% commission. You have 5 affiliates who each make 10 sales each.

You pocket $1,250 after paying commissions. You now have 50 customers. Five of them end up purchasing your $100 backend product for a profit of $500. Total profits is $1,750 for you.

Now let’s consider giving away 75% commission to your affiliates.

By giving away higher commissions, you get 10 affiliates instead of the 5. Ten affiliates making 10 sales each at $50 will make you $1,250 – which is the same front end profits as before.

Now you have 100 customers and make 10 backend sales for $1,000 profit.

So how did you end up making more when you increased your affiliate commissions by 25 percent? You made it on the backend.

Here’s what is happening behind the curtain as you increase your commissions.

You gain more affiliates and subscribers as those affiliates send you more traffic to your site.

Those affiliates are happier with their higher paycheck because you gave them higher commissions. Therefore, they will continue to send traffic to your site.

This cycle increases your traffic over time as you gain more customers, more affiliates and more subscribers.

It’s the ultimate viral marketing machine!

More subscribers equal more profits. More customers equals more profits. More affiliates equals more profits.

So is all that worth a hit on your front end profits?

Yes!

The problem most people have is they can’t stand to see their affiliates making more than them. Tunnel vision keeps them from seeing all the extra subscribers, customers and affiliates which could be theirs.

Please remember one thing about running your affiliate program.

A 75% reduction in profits is better than a 100% reduction, which is the case if the affiliate had not made ANY sale.

In summary, you should create an affiliate program for your front end product which gives away a majority of the profits.

You should also spend your time creating multiple backend products.

If the type of product you’re selling requires manual work and it’s not worth it for you to give higher commissions then an option for you is to create a different front-end product which will serve as a portal into your product line.

Your main goal in creating an ‘intro’ product is to use it to gain more traffic to your site. When you get the traffic, you should capture as many prospects as you can into your marketing funnel.

When you have more leads in your marketing funnel, you can control where they go by directing them within your follow-up emails.

You have probably heard that many people are making money online. Perhaps you have also tried various attempts to make money on the internet. You might have tried various internet marketing techniques to sell a product in an effort to make money, to no avail. Many people do make serious money online. Unfortunately, many others give up, after wasting a lot of time and money with websites that do not work.

Internet marketing encompasses many online marketing strategies that you can learn. But even those who are experts at these strategies can have trouble making it online. They lack the coaching that is needed for internet marketing as well as the right product. According to internet guru, Alex Jeffreys, you have to not only have good coaching to make money online, but you also have to have a quality product that you are distributing. Otherwise, all of the mass mailings in the world will not help.

A great deal of online marketing involves direct response marketing. This is where you contact the prospective customer via email to tell them about your product and urge them to take action. There is an old saying that sales is a numbers game. This concept of contacting as many people as possible translates to building a list of prospects and then shooting them offers via email. The numbers game, however, does not work with online marketing. Sure, you should build a list and gather as much information in your email list as you can about your potential customers, but this alone will not allow you to succeed. The numbers game only works if you have the right product of value to sell, but savvy internet marketing skills to boot. In other words, you need a good email list that you are constantly building, a product that has value and that people will want to buy and a marketing plan. Once you have this, you can become successful in your efforts to make money online.

Instead of going at your online marketing sales alone, you are better off to get a coach who is successful in the online business that you want to create for yourself. Just as you would look for coaching and mentoring with any other type of job, you want to do the same when you start trying to make money online. It does not make sense for you to try to go at it alone in the competitive world of online marketing when you can get the help that you need from successful internet marketing coaches.

If you are tired of wasting your money trying to sell products that do not sell through newsletters and emails that are promptly deleted, your strategy is not working. You are better off to seek a new way of making money online by looking for a successful online coach. You can go from a successfool to being successful if you follow the tried and true pattern developed by those who have made it in the field by seeking out their guidance with your internet marketing plan.

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Ray Subs is a consultant with http://fromsuccessfooltosuccessful.com/

Article Source: ArticlesBase.com – How to Get Started Online Marketing

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