This past month, I’ve been studying the art of creating product offers.
Here is what I learned and discovered. (As of the day I published this post, I am almost done with a book product offer. Once it’s ready, I’ll put a link to it right here so you can check it out and see how I set it up. If you don’t see a link here as you read this, check back in later.)
10x Principle
If you can make the product offer 10 times more valuable than the cost you are selling for, it’s a great value, and people should be much more willing to buy.
Making it 10 times more value, however, is the difficult part.
I’ll share an example. If you have a Ferrari selling for $250,000, then to incorporate the 10x principle, you will have to do something like give away a $2,500,000 home with the purchase of the car (10x the price of the car).
If you do this, a few things should happen.
First, you are creating huge value for customers. People love a good value.
Who wouldn’t scramble to get $250,000 to buy a Ferrari if a $2.5 million dollar home is included at no extra cost?
Second, you are separating yourself from the competition. Not many other companies are doing stuff like this. You’re unique, in a good way!
Which Ferrari dealership is offering a $2.5 million dollar home with the purchase of a car? I’m guessing none. What if one did, think about how many people would buy. I know this is probably not possible, but I’m using this as an example to demonstrate the power of the 10x principle.
Third, you are building your brand and should get repeat customers. Customers will come to know, like, and trust you because you are adding more value.
You want to make the offer so value, it’s a guaranteed win for the customer. So valuable they can’t say no. That keeping the money in the bank is far less valuable than paying for the product.
For the Ferrari dealership, if they can’t include a home with the purchase of a car, then perhaps something else would be worth a lot to customers.
What if they made training for how to drive the car better or faster. How to change the gears faster. How to drive like a NASCAR driver, or perhaps have videos from a NASCAR driver giving expert tips and instructions on how the car should be driven to accelerate or improve results or driver experience.
Maybe the dealership could include a car wrap package or car improvement or augmentation package at no additional cost where the car can be customized or detailed to the driver’s desire?
The point is to continue exploring bonuses, promotions, add-ons, and freebies to get to a product’s total value to be worth 10 times the purchase price.
Be a Producer, and Not a Consumer
Being a producer means to provide or create more value than what you consume. This is a way of being. Doing this helps open up wisdom and helps you maximize productivity and value creation.
Many people (and businesses) have more of a “what’s in this for me” mindset. Businesses are looking to maximize profits and not focused on how to over deliver. This is the ordinary way of thinking.
Another way to put this is to be a Creator and not a Consumer. Creators are the ones making everything, while consumers use or consume stuff.
The people creating product offers are the ones making the money.
Are you consuming more than producing or creating? It’s something to think about.
2 Factors To Understand Why People Buy
There are two factors to understand why people buy: emotions and logic.
People buy for emotional reasons, such as to move away from pain and suffering, and move towards happiness and pleasure.
An example of how to use this in an offer is with a success story. Maybe a customer faced a problem and found the solution using a product or service. Or, a customer got huge results from using a product.
This helps increased the perceived value of the product because it helps people understand the value of the product conceptually. They can see in their own mind’s eye how a product can help them, too, and therefore help them in the buying process.
People also buy for logical reasons, such as when there are discounts, sales, bonuses, and freebies. If you can buy a product for $10 that normally sells for $20, logically this is a 50% discount, and you save $10.
The offer should have both factors included because you don’t know why any particular person is buying. Some people buy with emotions and justify with logic.
Bridge Page: Present the Offer
For offers with bonuses, promotions, etc., it is a good idea to build a webpage for the offer. This is what a bridge page is. It’s sort of a bridge between those interested in learning more and those who buy. It’s essentially an information page.
A link to the bridge page can be placed on a company website, sent to customers via email, placed on an online ad, or in a social media post.
The bridge page is helpful because you only need to have all the information in one spot, the bridge page, so you don’t have to give full explanations every time you want to place the link somewhere. Does that make sense?
Bridge Page Setup
For those interested in bridge pages, the structure of the webpage is very simple. The page has an all-white background.
There are four elements on the page:
- Headline
- Subheadline
- Video/written information about the product and offer
- Button to take someone to the purchase page
Deadline
Providing a deadline can be a good way to have people on the fence about buying make a decision before the deadline.
For example, what I’m doing for a book offer is providing two free e-books to those who purchase the hardcover book by a certain deadline. The e-books are different than the hardcover book but complement each other. The content in the e-books will take different challenges and problems and offer solutions that will help people achieve better results from the concepts learned in the hardcover book.
Take away risk
The book that I’m offering has a 30-day money back guarantee. The book itself is free, but there is a shipping and handling cost. So, the money back guarantee is for the $8 shipping and handling cost. Usually, shipping and handling fees are not part of a money-back guarantee, but it is with this offer.
This helps take away the risk of “losing money” someone might experience if they don’t like the book. It’s financially risk free, if the refund is requested within the time frame.
Taking away risk is another element to add to an offer to help those interested make the commitment to buy, or those on the fence more likely to buy.
Summary
Every product offer might not have every single one of these offer strategies, however, I think it’s important to think about all of them when developing an offer. That way, you can decide which strategies to use based on what is feasible and available.
The main take away is the concept of creating value for others. It’s an amazing technique that not only leads to more sales but also helps build a loyal customer base of people who know, like, and trust you and the business.