Selling digital products like e-books or videos (or even services) can be great, as they often carry much higher margins than physical products. However, people often place a much higher value on physical products that they can touch and hold.
This doesn’t mean that you have to offer all your products as physical ones – far from it! Instead, you should consider offering a simple physical product like a branded coffee mug, hat, t-shirt, or some other product that makes sense with your offer, as a bonus for those who take action fast.
This does two things. First, it makes people take action faster because they know there’s probably a limited quantity of the physical product (vs. a digital one that they really know you can have as many as you want). And second, they place a high value on physical products that they can touch.
In fact, as crazy as it sounds, you can increase conversions on a $2,000 web service simply by offering a branded coffee mug or t-shirt as a bonus. Likewise, you can even increase conversions MUCH more on lower-priced offerings where you give something away that they perceive to be worth as much or more than what they’re buying. For example, you could sell a newsletter for $19/month and give a free t-shirt away to any new subscriber, and that could in some cases more than double your conversions because they think the value of the shirt is worth more than the $19 they paid (and they’ll often stay for a much longer time, making you a lot more money).
We actually included a physical product once as a bonus to a membership offering, which had a perceived value to be more than the first month’s price, and it actually increased our conversions many, many times over to an almost unbelievable amount.
Another example would be if you sold a phone case for $29 and included a free charging cable with that. Since many of those sell for $29 or so themselves, the perceived value of the offer is huge, even though it might only add a dollar or two to your costs (and still give you huge margins).
You can do the same idea for the services that you offer. For instance, you could offer a free cell phone clip-on lens with any purchase of a custom web video (justifying it in a way where they could shoot professional-looking videos themselves from their phone).
Offline Physical Products
For an offline physical product or service example, you could offer a free towel and sweatband just for trying out a one-month gym membership as a trial.
You’d be shocked at how your conversions can jump even for higher-priced offerings, and probably more shocked at how much they can help your lower-priced offerings.
It’s funny how even a $10 physical freebie can boost sales for a $1,000 product. Likewise, it’s truly amazing to see conversions skyrocket on a lower-priced recurring offer by offering something of value that’s perceived to be more than the initial payment (doesn’t mean it has to cost you more, just that the perceived value if they bought it elsewhere would be more). Stay tuned and you will see physical products added to danhemenway.com
This marketing trick right here has been responsible for some of our biggest moneymakers out there, as well as for others that we know. One might say that you could potentially build an entire business off of this tip right here.
So consider adding physical products as bonuses to your offers, as they can tremendously increase conversions for both low and high-priced products and services.
For other great marketing ideas to help you increase your conversions and grow your business, check out his book: 50 Marketing Tips & Tricks Learned After $100 Million in Sales Over 20 Years!.