Once you have your first digital product created and have committed to the idea of creating an information product business, it’s time to think about a product funnel. The idea is that you attract potential customers with a low-cost product that’s fairly small and basic. You show them or teach them how to take the first few steps to whatever it is they may be doing. For example, if I was working on a product funnel on creating and selling digital products, my first product may be how to write an eBook.
Then you want to think about what else your customers need to know. What else do they need help with? What’s the next step in the process? What’s the next task they need to tackle or the next problem they need to solve? Going back to our previous example, the next product could be how to write a sales page for the eBook, or how to package and sell it. It could be how to choose and set up a shopping cart on their site. Another product could be a course on marketing information products or how to create a product funnel and make cross sales.
From there, you can build out your product funnel even further by giving them more personalized, hands-on help through more intensive courses, group coaching, one-on-one coaching, and even done-for-you services. The more involved you become personally, and the more time it will take you to deliver what you’ve sold, the more expensive the product will be.
The idea with a product funnel is to start with a low priced offer and then move your customers up to higher and higher price products. Only a small percentage of your client base will take you up on your highest priced products, but that’s ok. You don’t need a lot of sales of a high-cost item to make bank.
Start thinking about what products you want in your own product funnel. Start with a few key items like that low-priced introductory product. Then make a plan to create more products for your funnel. Continue to come out with more digital products your audience can consume until you have a well-laid out product funnel that upsells and cross-sells your customers to all sorts of products. The idea is to increase the amount of money the average customer spends with your over time. Do that, and your digital product business will continue to grow and flourish.
Improving Digital Product Sales With A Funnel
Once you have your first digital product under your belt (or maybe your first few) and enjoyed the first profits from the original launch of what you’ve created, it’s time to think about a long-term income strategy. You want to continue to produce and sell more and more digital products, and the best way to do that is to create a funnel.
The basic idea of a product funnel is to draw people in with a free or lowcost product and then continually upsell them to more and more expensive and involved products that go into more detail about what they need to know, become more complex, and give them more and more hands-on, advanced training. You don’t just want to see one little eBook about the basics. Instead, you want to be able to sell this same customer multiple products in a variety of formats and price ranges.
The hardest part of marketing digital products is finding your customers. Once you’ve made that first sale with someone and you’ve gained their trust, it becomes much easier to sell them other products. That’s why product funnels are so important. Marketing to people who know and love what you do is much easier and a lot more fun than going out there and trying to convert cold leads.
Get out a piece of paper and start planning out your own product funnel. Start with a lead magnet and a low-cost intro product. From there, come up with a list of other products you want to create going forward. A fully fleshed out product funnel isn’t something you’ll have in place overnight. It’s a work in progress and something you’ll continue to build and expand over the coming months and years.
As you work more closely with your target audience and get to know them better, you’ll be able to fine-tune this funnel and create the products they want and need. You don’t even have to stop there. Once your basic digital product funnel is in place, circle back and look at it from a different angle. What other lead magnets and introductory products can you create that will feed more people into your product funnel. With each one of those you create, you’ll be able to increase subscribers, customers, and of course sales across the board. Since the rest of the funnel will be in place at this point, you’re multiplying your income potential each time you add another piece to the puzzle. That gives you the leverage you need to build a thriving business that will continue to grow.