How to build a list for free 101
Today I’m going to teach people how to build a email list for free.
So your probably guessing that I’m going to teach you some kind of obscure or crazy free traffic source. Reddit perhaps? Nope we are going to use paid Facebook ads. Now I know what your thinking: Hey there Brett I thought you said this was going to be FREE, what kind of game are you playing? Well I want everyone to understand that free traffic does not mean that you don’t pay for it. Let me say this again. Free traffic does not mean you don’t pay for it initially. (the key word there is initially).
Let me give you an offline example of how this happens. The other day I saw a flash drive for sale at Staples. They where selling it for $19 on sale and you get a mail in rebate of an additional $19. So this was in essence a free flash drive. But I had to initially pay for it. However if I did things right and followed the instructions I would get my $19 back so it would be free.
That’s how we are going to build our list. We are going to use paid traffic, but we are going to do it right so that we get our money back very quickly. This is a major thing in the IM business. Because once you understand how to do this, you will see you there is no such thing as a ‘traffic problem’. The real problem people have is an offer problem.
Ok first let me explain a couple of terms:
Lead Magnet: This is a freebie (training or software) that you give away in exchange for the optin. This must be a good gift though because it will be your first impression to the prospect.
Trip Wire: This is a very low cost, but good value product you are selling, the point of this is not so much to make a profit but to quickly break even on your ad investment and to convert freebie seekers into paying customers
Offer: A higher priced product that you have for sale, this is intended to generate profit
CPC: Cost per click, the price you pay per click on your ad.
CPL: Cost per lead, the price you pay per person that opts in via your squeeze page to get your lead magnet.
Ok so for the training I decided to start a brand new list from scratch, these are my results over the last 30 days:
780 subscribers on my list
$976 spent on ads (Ill explain why you dont need this much to get started)
$1504 earned from selling my trip wire and my funnel offers
Net result: I got paid $528 over the last 30 days to add 780 people to my list, not bad since I just wanted to build it for free actually
So how do I do it?
Well it starts off with a lead magnet. For my lead magnet I like to use my Jack Jacker FREE version. My squeeze page is a post here on this blog which you can see by clicking here. Now you might be wondering why I used a blog post for my squeeze page. Well the answer is simple. Because even if the traffic I send choose not to optin, this way they are not wasted traffic, because at least I got them on my blog.
For my Facebook ad, I have a video ad, I just use the video on the squeeze page, and my ‘dog head’ logo as the cover image for the video.
Though I initially set a $10 per day minimum pricing I increase that budget as people went through my funnel. Ill explain what a funnel is and how that works right now.
So we have all seen graphics like this:
That’s a funnel, well its a short funnel but its still a funnel. let me explain how it works.
At the top of the funnel you have your optin, this is your freebie that your giving away, which in my case is the free version of my Jack Jacker plugin. There are some things you need to know about that section. You need to know how much your paying per click to your squeeze page. What percent of those people are actually opting in and then from that you can determine what your cost per lead is (CPL)
So for me: Im paying $0.57 cents on average per click. From Aweber form stats I know that 48% of the people are opting in. So I can deduce that my cost per lead is about $1.19.
Next comes the tripwire, this is the point where I try to convert those free optins into paying customers. I do that by giving them a no brainer offer. I have an automatic email set up in Aweber. This email tells them that I hope they are enjoying the free version of Jack Jacker and that I wanted to let them know that there is an even better ‘Gold’ version that is much more powerful. It then links them to a very simple page I built with my Profit Canvas software that demos the gold version and offers it to sell it to them for $9. This is an easy upsell because I already know they where interested in what JJ does and the gold version is not only better, its sold low cost enough that its not something they really need to think hard about.
Keep in mind, my primary goal here is to build my list for free, so what I really want to do with the tripwire is make my own money back. Now I know that it costs me $1.19 per lead and I know that Im selling my tripwire for $9 so that means my tripwire needs to convert at at least 12.5% in order for me to break even on the ad spend. (aprox 1 in 8 people need to buy it).
For me its converting at 15.5% so Im golden, but if it wasnt all still would not be lost, so long as it was not really low I could still make my money back because next I have the ‘offer’.
The offer I use is for my Link Master WP plugin, this is sold via a blog post (so if they don’t buy Im bringing them back to my blog at least)
and is sent via automated email set up in Aweber to everyone who opts in, not just the people who bought the tripwire. I like to send to everyone because perhaps people where happy with the free version of Jack Jacker, just because they didnt want the Gold version does not mean that they wont want LinkMaster.
For me at this point I already made my ad money back from the Jack Jacker Gold tripwire and I’m recycling that money into new ads to keep the lead machine going. This is why I can spend a lot on ads, without actually having a lot of money, because Im recycling the new money that I earn back into the system. Its a feedback loop of sorts.
My Link Master plugin is higher priced at $19 and because of this it converts lower than the tripwire. This is why when you see those funnel graphics as you go down the ‘funnel’ it gets narrower, this is because as people filter through it, the prices go up and the conversions go down. However so long as people on average filter to a specific level (which will vary depending on your CPL and conversion rates) you will not only make your ad spend back, you will make a profit. I get an average of around 7% from the email leads on Link Master.
That is not the end of my funnel, and I wont go through the entire thing, but I hope I have made a few things clear at this point.
- You need to have some products, both free and paid ones, people don’t have ‘traffic’ problems, Google, Facebook, Bing, Instagram, Warrior Forum, and tons of other places will give you all the traffic you can eat. What you have is a ‘no funnel or no product’ problem.
- You need to understand that most free traffic is not actually free initially, free traffic can also be paid traffic that you make your ad spend back from quickly, which you can then feed back into more ads
- Understand the basics of a funnel, freebie->tripwire->offer
- Understand the power of your autoresponder, they are not just for sending out mass mails, they can send automatic emails that filter new subscribers through your funnel
- Realize that all of this takes time to set up but once you do its largely automated, you feed profits into the ads and let your ad and your autoresponder do the rest.
That’s really all there is to it guys, its not some big secret or trick,and once you understand and accept the enumerated things above its not really hard to implement. If you like this training article hit me with a social like or share on the left of this screen, feel free to comment below and if people seem interested Ill do some other free training on different ways of building your list.