Small Business Coaching: You May
Lose Customers Without One
By Allison Babb
So
what do you sell? For a lot of solopreneurs, the answer is
just one thing. Maybe two. I'd like to encourage you
to rethink that. And even if you have a good selection, it
won't sell if it just sits there.
Customers show up to do business
with you in a variety of different ways so let's talk about how
to set up this thing called your "sales funnel" to increase
revenue.
What's a sales funnel
There are a variety of
definitions but I'll explain with solo entrepreneurs in mind.
It's your plan for converting prospects into different levels of
sales. With a sales funnel, your least expensive offering is
typically at the top of the funnel. And it's typically
your freebie offer. Lots of prospects show up there.
It's the wide end of the funnel. It's called a sales
funnel because the wide part is where you attract most
prospects.
As your prospects get to know
you, your products and your services better, a smaller portion
of them end up further down the funnel with interest in a more
expensive offering. Then a smaller percentage go further
down to your most expensive offering.
Why is it important
If you only have one or two
things to sell, you give your prospect an either/or option and
that's far less attractive (and less lucrative I might add),
than having several options to choose from. Here's a key
fact: Believe it or not, there's always someone who wants
your most expensive offering. It's usually a smaller
percentage of people than those who want your less expensive
offering but those people are out there.
I have people who show up and
flat out say "I don't want anything else but your private
one-on-one coaching." That's my high end offering.
Other options are for my book,
my home study system,
group coaching programs, etc. But
if I had only one thing to offer, I'd turn away people who want
something else. So having, say, 3-5 offerings is really
important.
How it works
Typically, your prospects start
at the free to very low cost offering; which is why I highly
recommend you create a freebie. As prospects get to know
you, your business, your products, your services, they become
interested in other things you offer. They may buy
something for under $50, then return for something around $100,
and later spend $400, then come back for something at $1000 or
$2000 (or higher).
And remember, there's always
someone who wants the high end offering - the very best option
you have. I can identify with that because I'm that
person. Whenever I find a great mentor or coach, I go for
the top offering - often paying $10K, $20K or more. I want
the very best from the best and I'm willing to pay for it. There
are always people like that in your industry. So create a
high-end offering and have it ready and waiting.
A sales funnel works when you
have strategically set up systems, processes, and programs that
turn prospects into paying clients and introduces clients higher
valued options to match their growing or more in-depth needs.
But remember
Just having different offerings
is not a sales funnel. You must have systems and
strategies in place to introduce prospects and clients to higher
level programs especially if they would genuinely benefit the
client. You must have a clear and systematic sales process
around your offerings.
If you enjoyed this article,
you'll love Allison's
Ultimate Clients and Cash
System that walks you through the process of setting up a
sales funnel for your business - one that creates new revenue
for you.
