Note: This blog post is Part 2 of a 3-part series about creating an eCommerce business that brings in at least $10K/month. If you missed part one, you can check it out here.
One of the annoying things about eCommerce is Facebook advertising…
Up and down. Awesome and crappy. Good days and bad days.
Around here we call it the “Facebook Roller coaster ride.”
But here’s the BEST way to solve this problem: introduce residual income to your model.
What is that you ask? Great question!
Residual income is income that pays you over and over and over for work you did ONE time.
Let me say that again…
You work ONCE and get paid over and over again!
Until now, most people could only access this type of income if they sold insurance, real estate or were part of a network marketing company.
Now eCommerce truly brings this model to the masses… to those savvy enough to take advantage of it.
The Easiest Recurring Revenue Model
In eCommerce one of the easiest ways to do that is to offer your customers a recurring purchase model.
Now, that can be super complicated with products…
You have to pick the products every month, and then figure out how to fulfill them.
UGH, it's a nightmare.
BUT… what if you just offered a membership group that supports your market’s passions?
Then it becomes a piece of cake!
For example, you start by selling them a $20 necklace and then a $50 bundle, just like I talked about in Part 1 of this series.
Then you offer them a $20/month membership to a VERY specific type of high value Facebook group.
Now, specifically how we create those groups and promote them is part of eStore Incubator’s secret sauce and what clients pay us good money for…
But for now just imagine how your income would change if a bunch of people were paying you $20 a month just to be part of your private Facebook group?
Doing the Math on a Membership Group Model
Check this out:
If you have 600 customers and just 30% of them are interested in your VERY high value Facebook group…
Let’s do the math…
600 customers x 30% = 180 customers paying you $20 per month.
That's an additional $3,600 profit per month.
EACH AND EVERY MONTH.
Month 1: $3600
Month 2: $3600 [FROM WORK YOU DID MONTH 1]
Month 3: $3600 [From work you did TWO months ago]
Sure there will be some churn [people leaving] but as long as you are providing a VERY high value Facebook group they will be happy campers!!
By the way… this math doesn't even include the additional benefits of the Facebook group members buying more of your products and generating referrals..
This is a BIG secret the other “guru's” out there seldom talk about!
So… You're welcome!! LOL
If you can't already tell… I LOVE eCommerce!
If you've fallen out of love with your business, get in touch, let's talk and let's help you fall back in love!
It's the best business model in the world for a reason!!