Ascension Tiered Product Mix
To be successful online selling your information products in the e.learning niche, you must have a sales funnel. Every successful info-product marketer has one, so you need one too. There are a million different ways to put together a sales funnel, but the ascension model is very popular among most top online marketers – the reason being, ‘they make economic sense when done right’.
The basic premise is to move people through your sales funnel from low to high priced products. When people start in the sales funnel, they can’t advance without buying the product in front of them essentially. They get introduced to the first product at an ‘entry level’ price. That might be a $7 or $17 product (we call this a Trip Wire), most likely being a 1 hour product of high educational value to the target audience.
This has effectively allowed us to acquire a Customer with the objective of the trip wire product toestablish enough trust with the Customer that they can be offer and sold another higher priced product.
When they buy, they’ll be introduced to the next product, which might be a 3 hour course for $97 (as an example).
After that, another product in the sales funnel will be offered essentially ascending in value to the end Customer and Price. This may be a 5-10 hour course ranging from $297 to $497 as an appropriate example for the third products in the tiered-product mix. Finally, the last product in the funnel is the top-tier product you have. Typically, this will be a 10-20 hour course for $997 to $1,997 or above. It could be group coaching, personal coaching, a home study course, whatever!
This model really only requires 4 different levels of tiered products to make it work. Think of the model as a filtering process, where only theright people for you buy your best products. Obviously you’re going to have fewer buyers at each level, but the revenue gained from the higher priced products is well worth it. If you do the math with 1000 subscribers and only 20% buying from each level, the money made starts to stack up the economics of the cost associated with acquiring customers (hence the term economics).
Ascension impacts Economics
Most Online Marketers struggle with the economics of their business for the valuable lesson you have learned above. Your marketing and sales funnel MUST have these key attributes;
- tiered product mix pricing
- automated follow up
- conversion tactics / actions
Whilst the above example showcased 4 tiers in the product mix to a high ticket offer of $1,997 (as an example). The real High Ticket Affiliate Marketing models (known as the HTAM method), have ascension through a tiered-product mix like this;
- $5k, $10k, $15k and up to $30k
These are usually associated with LIVE events, Workshops or Licensing business models similar to Franchising (so the Customer may be purchasing and end-to-end turn-key business system and ready to market products and services).
The good thing about the Ascension Model is it’s easy to start with. It makes the most sense because you only want people who are serious to buy your products. This model is also easy to grow with as you can add more products to each level as your business scales and grows (and also to meet existing Customer demands).
This model is also easy to automate with email auto-responder systems that do all of the follow up work and thinking for you (when setup correctly). This model is the easiest for consistent income, particularly if one of your products is a monthly subscription – continuity program. If you know where each level converts at (we call this conversion metrics), you can forecast your income for every 10, 100 or 1,000 subscribers to your email list.