If you want to really learn anything about How To Sell Online and make money, be very careful whose advice you follow.
I read a guest post the other day at copyblogger.com entitled How To Get Past No which was written by Nathan Hangen. I have to say I’m sure he is well intentioned and he’s probably giving advice outside his area of expertise!
Here’s an excerpt:
Years ago, I worked for a direct marketing company that sold cutlery.
Although I saw many salespeople come and go during my 2+ years working there, most of whom didn’t make any money, I was able to find a way to be successful in this odd niche. I sold nearly $25,000 worth of the stuff.
Here are some simple tips for getting past no online:
Break the ice with a cheaper version of your product as a lower-risk purchase. They’ll get to know a little bit more about you and will feel better about buying more in the future. Even making a tiny purchase, say a $7 special report, makes it much more likely for that customer to buy from you again.
Wow Nathan!
I really think you are out of your depth talking about selling which is evident in this point.
I’d love for you to explain the strategy in the cheap-knife-first routine.
It goes against every sales technique in the book!
The truth of the matter is this: If you show your prospect the most-beautiful, highest-quality, and most-expensive product you’ve got, it’s usually way easier to sell the middle priced product. But here’s the payoff – You will sell the expensive product as well!
There is only poverty for the salesperson in the cheap knife. Think about it.
If you try to sell the junk first, where are you going to go when they say no thanks. Up in price? I think not. Ok! You might get one in a thousand!
You mentioned it was Cutco so I checked them out.
They range from $38 – $179 per single knife. I am also assuming you didn’t sell any Gift Sets which go for as high as $579.(I’ll give you a break on that one as it goes against your sales philosophy!)
You say you were there 2+ years, we’ll keep it at two and that’s approximately $1040 per month in sales.
So, using a little math, if you averaged about $108.50 per sale (MidRange) you needed about 230 deals which is around 10 knives per month.
But you sold the cheap knife at $38 so you needed to sell 658 for a total of 27 per month. That is 3 times the work for the same money.
$25,000 in sales for 2+ years hardly spells sales success. If you were getting %50 commission, it’s only $500 per month. I hope you were getting a base salary!
Overcoming objections is a big part of sales but great salespeople don’t sell based on price! You are so much better off selling the knife. Get it!
When it comes to value, there is more in play than price.
So folks, if you really want to know how to make money, the bottom line is this – You are what you eat, in this case what you read.
If you want to learn how to sell online, or anywhere else, seek out the pros. Mediocrity breeds mediocrity!
The whole reason I am even posting about this is the fact that when I tried to comment in copyblogger with a keyword, it kicked out my comment. Nice one!
Maybe I’ll continue to make my comments here!
Stay Tuned
Jim
{ 5 comments… read them below or add one }
Hey bud, hate to break it to you, but you’re full of crap. You took my post out of context and apparently missed the distinction between selling online and selling in someone’s home.
If selling 25k worth of knives isn’t enough to claim expertise, then please tell me what level is?
And who said anything about selling junk?
Sounds to me like your comment was junk, which is why the spam filter kicked it back.
Nice response Nathan,
Please try not to actually address any of the points I made in the post.
I don’t care where or how you present your offer – online, offline, face to face, over the phone, in a classified ad, a direct mail-out, on TV, on Radio, or a display ad.
I’m not one bit confused. It is still SALES! When you are selling, it’s still selling, regardless of the environment.
Yeah $25k worth of knives is the height of success, in a week, not 2 freakin’ years!
The junk comment is mine, not yours.
I guess you just don’t wanna answer the question I asked in my post, it’s obviously easier for you to resort to name-calling rather than engage in a response that actually challenges the points I have made.
Here it is again Nathan, you’re words!
Tell me why this technique is effective.
As far as I’m concerned, you should give away your $7 report. But then again, why would you want to position yourself as the $7 report guy?
Oh right! Then you’ll develop trust and you can then up-sell… right?
As for why my comment was kicked out, who really cares – you? I don’t!
Every now and then there can be some good stuff posted on copyblogger.com but I actually like to use keywords when commenting, I am not trying to brand my first name.
I hope this is not how you respond to criticism. Good on you!
Thanks for stopping by!
Jim
There is a reason that IM use upsells and downsells.
If you read copyblogger, as you say you do, then you’ll know that they subscribe to a method called content marketing, which is a process that builds trust and authority over time. One of the methods used to do this is the strategy I outlined in that post.
Sorry to break it to you, but it works. I don’t know what else I can tell you in that regard.
As fir the cutco, we did offer the highest priced set first, but that is an environment in which you’ve already built rapport and have been referred to that person. Not the same thing.
Now that’s almost a better tone.
Nathan, I am not debating the use of different sales techniques once a person has bought your product and/or service – up-selling. They are then customers and the whole ballgame has changed.
I am talking about the initial approach to selling where you have said in your post, and again I quote:
There is no such thing as a lower-risk purchase. Why? All of my money is important to me. With any purchase there is an element of risk, losing your money, $7 or $7,000,000.00. One mans floor is another mans ceiling!
I notice on your blog that you offer a free report to anyone that gives you their name and email address. Why not charge $7?
I read copyblogger as much as I have read it, it’s not a badge.
Oh and by the way, without content – what is there, I suppose you could throw up a picture of an eBook cover, oops, thats still content isn’t it!
Marketers have always tried to come up with the coined phrase to hang their hat on Nathan – Content Marketing, Who’s Your Tribe, What Color Is Your Parachute, and should I go on… it’s all selling, it’s all marketing.
At the end of the day, dealing honestly and fairly with people is the key to successful anything, wouldn’t you agree?
I don’t care much for the newest wannabe cliche’.
The point I am trying to make here is that you may be able to write, you may have even worked as a copywriter in a DTC environment but you shouldn’t be handing out sales advice, just my opinion.
Thanks
Jim
I’ve been in sales, successfully, for most of my life. I suppose we’ll have to agree to disagree. As for the ebook? $7 is worthless to me, I’d rather have the trust so I can sell higher priced products down the road. That’s what works for me, and so far it works pretty well.
If a one size fits all marketing strategy works best for you, then go for it.