You want to read this. It is time to start lowering your prices and offering even more value to win in the coming months.
But before your RUN and knee-jerk react to what I am saying, make sure to read the entire blog post. It could have a MAJOR impact on your business if you UNDERSTAND this going into 2008.
The economy is in a funk. Here is the US, there is no doubt about it.
The War in Iraq has the US Gov’t printing money like Parker Bros. does for monopoly.
And every day our dollar gets weaker in the Global economy.
That means higher shipping prices and higher prices over all.
Compound that with Banks on the run and foreclosure ratings nearing and all time high… the bottom line is this:
TIMES WILL BE BAD FOR A WHILE>>> VERY BAD
You see, people could always go back to the well. Rate were at 5.9% and you could refinance and get $100k, $80, $20k, $50K…
Over and over… and this money went RIGHT BACK into the economy. Right into HOME DEPOT, plumbers, fences, contractors, roofing, vacations, and yes… even YOUR products and services.
Now… The well has run dry. There is no where else to run. People will now realize there is no were else to get that easy money.
And now, there will be a HUGE trickle down effect as well.
And you will see it in less people buying your products. PERIOD. If you have no money or are losing your job or house, you are less likely to spend any money you have!
So YOUR CONVERSION WILL SUFFER…
But, THERE IS AN UPSIDE…if you market in the B2B or “Internet Marketing” or Home based Biz world.
You see, when the WELL GOES DRY, more and more people will be flocking to online marketing.
So you may still see the same number of sales every day. It will be because you are going to see even MORE people coming into online marketing. So you may have your conversion rate got from 3% to 1% but you may see your site visitors go from 30 per day to 90 per day. At the end of the day, if we are lucky, we may just make the same amount of money ONLY because there will be more people coming into the market.
BUT.. HOW CAN YOU INCREASE BUSINESS knowing this information.
My advice to you is to provide MORE FREE CONTENT.
People will be looking more and more for GOOD QUALITY CONTENT on starting an online business. They just want have that EASY AS PIE disposable income that they once might have had. They will be flocking to people that offer FREE content and at good usable quality as well.
But it should not stop there. Consider your pricing strategy. Normal I would tell you to raise your prices and just offer more value. But with the economy taking a sharp turn, I think if you win in all ways as for as a better product/rvice with the best support, and combine that with a competitive pricing structure, your legion of fans from your FREE content will be more likely to becoming LOYAL LIFETIME CUSTOMERS.
And remember, your competition is not giving out any good free content. And he/she is not paying attention to the fact that it will not be easy for people buy at an impulse anymore.
People in the marketplace will be thinking a lot more about the risk before they make purchases. If you keep this blog post in mind over the next year and until we see a new spike in the economy, it can really help you to capitalize on INCREASED MARKET SAHRE AND PROFITS while while many will be singing the retail blues.
Thanks,
Mike Filsaime
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