Our next two items are subscriptions and bundles.
Both relatively simple to use,
but incredibly valuable when implemented appropriately.
So,
subscriptions can be a great way to increase the lifetime value of a customer,
how much money they will pay you, um,
for the total of your products and services.
It can have a great return on investment,
so long as you're good at continuing to deliver value to those people,
they'll continue to renew and continue increasing that lifetime value
they're paying based on what they perceive,
perceive the value is that they are getting. So the more value you're providing,
obviously the longer they stay and the more you make,
depending on your pricing strategies, uh,
you could even use like a lifetime access one-time purchase that looks
tremendously valuable and actually works in your favor if you have a good
idea of what your retention rate is for that subscription or membership.
If you had like a $10 a month subscription and your average retention rate was
three months, your average lifetime value is going to be about $30.
But if you started offering a $50 lifetime access item,
the people who bought that,
you're actually increasing their potential lifetime value by
60% when they sign up, right? So,
and oftentimes when people are just, uh, subscribing to these type of things,
they don't know what they're, how long they're planning to stay.
If they're looking at one of these, you know, limited lifetime access,
one time only opportunity type things, again,
this is something you have to play with.
Do you only wanna offer it when they first sign up or is this something you
wanna offer after a period of time? Offer it to everybody.
Things you can play around with. Um, they're gonna look at that and be like,
well, if I'm planning to stay for maybe more than five months,
this is a great deal because, you know,
even if I don't use it after five months,
I've already basically got my money as worth if you will. Um,
so that's another option you can consider.
Once you have an idea of how long people are typically staying around,
then you can create these products that might help, you know,
boost your potential revenue. Um, on top of that,
these, uh, subscriptions can also compliment, uh, regular products. So,
for example, if you know someone buys a workout program,
but maybe you have all of these other resources that are under a subscription
that go really well with this program, may they subscribe to get access to,
you know, some kind of, you know,
live nutrition calculator they can use repeatedly or an in-depth exercise
library, additional content live q and as group coaching calls,
all of those other things you can bundle that to or bundle that together,
which rolls right into our next thing. Um,
use that subscription as a complimentary product. Another way, again,
to kind of boost that customer's value to you. Now,
I did put a technical note on here, um,
when bundling like subscription based products and one time purchases
and making sure, uh, that you're remaining, uh, compliant legally,
um, as well as, you know, with your data protection and stuff,
which we will get into later products, um,
kind of a way of introducing a discount or it is a way of introducing a discount
without overly decreasing the perceived value of the products.
These are usually a little different, um, than a, you know,
quote unquote value add cuz it's typically two products that would otherwise,
you know, exist individually on their own. You're just stacking them together.
Um, and again, this could be an opportunity of, you know,
a customer feeling like they're getting a deal,
perhaps that actually increases your conversion rate.
It certainly increases your, you know,
average cart value if you're starting to get into that stuff on the marketing
side. Um, but if you do limited time bundles,
it can also be another way of, um, increasing purchasing, uh, due to,
you know, the fear of fear of missing out or FOMO as I abbreviated it here,
right? Even if you're getting, you know, an extra $10 in cart value or profit,
um, that certainly can add up over time, especially as you start, uh,
ramping up your sales volume if you have a very scalable product.
So an example,
you probably have seen a ton if you've been in this industry for any amount of
time and seen sales pages, uh, they will typically list out the, uh,
you know,
projected value of all of the individual things that are being put into this
bundle. Um, oftentimes they're, you know,
a little inflated beyond what they're really worth. And again,
the value of these things is subject to the the customer. Um,
and then they show at the very bottom, uh, you know,
what your price is after they've, you know, reduced, uh,
or taken off that bundled discount for you. So I just kind of mocked up, um,
two examples here for, uh, Jack Den sws pump Up program.
So just seeing all the, the products by themselves listed out,
and then the price versus how that looks, having, you know,
the values listed out the total value before the discount and then the
afterwards discount, right?
That's typically what you see on the sales page because that psychologically
tends to work better for increasing conversions and getting more sales.
Those two are very simple. Um, but like we talked about with, uh, subscriptions,
um, you know, you can stack these on top of each other. Um,
when you want to show, if you do like a lifetime access product,
there's a lot of potential strategies we can leverage, um,
with just these two items. The better we understand how they work.