Excellent points. The onslaught of the VA popups has become very annoying. And since many in the Internet marketing niche are using it, I think it it teaches folks never to buy a product until you've tried to close the browser.
More than likely you'll get that VA popup with a hefty discount. So are those stats really saved sales or savvy surfers who know a discount might be waiting just by closing their browser.
Kevin - the Article Marketing
· 1 year ago
Michel,
I purchased VSA but have yet to start using it. I think it can be used effectively but I agree that simply giving a discount to your "exit traffic" may not be a good decision (long-term).
They can be used to offer the 'ole "ethical bribe" in order to get the opt-in or even to show them additional content (even video) in an attempt to draw them back to the page but I would agree that giving a discount without a good reason is probably not a wise move.
-Kevin
DK Fynn
· 1 year ago
Yeah, I agree.
However, what if you just had a product that was a one-time deal? Like, suppose you didn't intend on making any other sales to that customer? (That's not the best business model, but it does exist.)
And yes, your conversion rate may increase with this type of exit addition, but in the long run, you will have trained your customers to be bargain hunters.
Mark
· 1 year ago
I totally agree Michael...I remember Gary Halbert & Jay abraham saying not to compete with price as it is rarely the case.
If you want to compete on pricing go to ebay...as it will hurt your bottomline.
You would never see Amazon doing this or even Ebay.
I would offer a free compelling report so you could follow up with emails to boost your conversions. This was Jeff Paul's direct mail secret for doubling his conversions.
Karolos
· 1 year ago
This is a fantastic post Michael! I will use your wisdom to make my website even better. Thank you!
Brett T. Smith
· 1 year ago
Hey Michel,
I know what you are saying but this method does work for people who only have one product to sell.
Frank Kern actually does this in his dog business and does very well with exit traffic sales.
This is exactly what I've been telling my students for about the past year.
It amazes me how many people don't "get it" until I explain it to them.
I've been suggesting that they should make sure to include some bonuses with the "original" offer so that if they offer an exit offer at a lower cost, they can word it something like, "I understand you may not be able to afford this package but, I can offer you a lower price by removing the bonuses from the offer".
A better suggestion is to use the exit script to offer them a freebie in exchange for an opt-in. This way you can build a list with people who may well have left and never returned then, you can make them a new lower priced offer.
Cheers,
Mark.
AndyBeard
· 1 year ago
With social media and bookmarking tools, there are also other reasons people's mouse pointer heads in the direction of the taskbar. Not everyone uses hotkeys to bookmark or vote.
The appearance of a popup might even cause a down vote which might previously been neutral or positive.
Michel Fortin
· 1 year ago
@Brett:
Yes, but I know Frank and I know about the dog sites (I wrote some of the copy in the past for it). The difference is, he adds a very compelling, very believable "reason why," with the exit offer.
Which is the point I made in my post.
Making a discount simply because a customer is leaving without a reason why, or without a trade-off of some kind, is the killer I wanted to focus on.
Sandy Naidu
· 1 year ago
To me these strategies always looks like they are testing my intelligence...These days consumers are very intelligent and they will usually not fall for such tactics...On some websites the mailing list sign up or some offer comes up as a pop up as soon as we enter the site...This to me is even more annoying. If I like the content on the site, I will go out my way to find the subscribe button and do that...It should not be forced on to me.
George
· 1 year ago
I SO agree. I recently bought something that used this tactic. I didn't like it. The only reason I knew about it was that I clicked off the page, because I was going to buy it later when I had more time. I did buy it later, but I knew that I needed to click off the page to get the extra bonus. I felt like it was a bit rip off and it made me reconsider my decision. However, the original offer was just to good to pass up.
Joseph Ratliff
· 1 year ago
Michel,
Excellent points. I especially do not see it as good practice to discount the very same offer on exit, like in used car sales where they call it the "last ditch door close" offer.
Now, you hit it on the head with making a "downsell" offer, perhaps less of, or an abridged version of, where value is perceived less for the lower price.
Using those VSA scripts for that purpose may test very well.
Joseph Ratliff
big jason
· 1 year ago
hey michael,
isn't this all speculation on your part? have you tested this? I know dave from vsa has, and it has allegedly kicked ass for him and other users.
big jason
Mark Widawer
· 1 year ago
Michael,
The thing that always stumps me is how myopic some people are with their marketing. They think in terms of "this one sale" and not "our relationship," which I think is far more important.
Besides that, people have built-in BS detectors, and they know when they are being hoodwinked.
Treat your customers with respect, and they'll return the favor.
Depending on what you're selling, many customers don't buy because they can't decide what to get. A report can educate them and build confidence.
There are just to many selections out there, it's crazy. There are a million eveythings.
big jason
· 1 year ago
i'm reading everyone's comments, and it seems again everyone is just speculating and going with the "i don't like it therefore most people won't either" which is dangerous and costly in many cases.
i think michael's post does bring up a good point though. do people that use it "assume" that people are leaving because of the price? that would be a mistake. not to say that the default tactic of offering a discount won't work or be profitable, but maybe other tactics discussed by michael would work even better.
probably why marketingexperiments says "marketing is testing. don't speculate; test"
big jason
Michel Fortin
· 1 year ago
@Big Jason:
Is it speculation? It depends what you think I'm speculating on. If it's the use of the exit offer, that's not speculation. As I said in my blog post, it works. And I know for a fact that it works extremely well, too.
I'm a big fan of exit offers. And heck, I'm also a fan of discount offers.
But let me repeat, paraphrase, and be clear:
While I love exit offers and discounts, what I'm referring to are empty discounted offers "just because" they're leaving.
Discounts alone, or discounts for no good reason other than the fact the person is leaving, is what I'm against.
Exit offers are fantastic. Exit offers with discounts are also fantastic -- as long the discounts come with a good reason why, or with a trade-off, or in the form of a downsell (instead of a "straight discount").
My opinion is that, doing it this way is not only a lot more believable but also more conducive to stronger relationships, increased backend sales, and overall higher perceived value.
big jason
· 1 year ago
@Michael
no, not about exit offers. I read that you weren't knocking them. I should have been more clear. my bad.
I was commenting on all your reasons for not liking the discount tactic
big jason
Phil Spinelli
· 1 year ago
We were thinking about trying an exit coupon to collect snail mail addresses, then mail them a coupon with a catalog.
Michel Fortin
· 1 year ago
Here's an example of a "reason why" exit DISCOUNT offer:
BAD WAY: "Wait! I really want to make sure you don't miss out. Here's an extra $[X] off."
OK WAY: "Since you're leaving, it might be because of the price. We understand. So here's an extra $[X] off to help sweeten the pot for you." (Even better, "Here's an extra bonus/incentive to help sweeten the deal...")
BETTER WAY: "You're leaving? Perhaps it's because you're not sure that the product will do [as expected]. Maybe we missed something. Or perhaps it's the price. Either way, we're confident you're going to love [X]. You're going to kick yourself if you miss out. So if you at least give us a try, in return for your quick action here's [an incentive] to help you decide if this is right for you."
(P.S.: It all boils down to copy, doesn't it?)
Carolyn Permentier
· 1 year ago
Michel,
You really should be a writer!
You have such a way of explaining things. :)
Bottom line: If it's cheesy, cheap, desperate or not believable ... don't do it.
It's like someone leaving the showroom of that same car dealership you mentioned -- and the yokel salesman grabs him by the arm and won't let him open the door.
Would you like that? I'd leave and never come back, no matter what the offer was.
As you said, think of the kinds of customer the 'wrong' kind of exit sale will attract! Who wants cheap, nickel & dimers??
I've tested various exit offers and the one we found made the most sales was revealing bonuses that weren't offered in the sales letter.
But I you really need to think about why your prospect is leaving your sales page in the first place.
As Michel points out most people aren't leaving due to price.
You need to make an attempt to deal with the most common objection or problem people have when they leave your sales page.
Another obvious strategy is to offer an email course or gift related to your product in exchange for an email address (or even just right there to download).
That can help pre-educate prospects who are already leaving on why they should buy from you.
Kindest regards, Andrew Cavanagh
Sylvie Fortin
· 1 year ago
I think the real issue here is the consumer's emotional impressions, rather than sales "bottom line".
It is our job to train our customers that they can and should trust us, that they will get lots of value from us, and develop long term relationships with our customers.
The "hey, here's a discount because you didn't buy" message is entirely wrong, in my view.
It teaches them NOT to buy from you right away, and gives them yet another reason to procrastinate.
How about these ideas instead?
1. The "Peek Behind The Curtain" strategy
Offer a sneak peek at what's included when they buy, and if possible, show extra unannounced bonuses you didn't mention on the salesletter.
2. The "Would You Rather The Lite Version" strategy
Offer the smaller package for a smaller price. Or, one with no bonuses. Be careful with this. Otherwise, it could be interpreted that your bonuses weren't really free after all.
3. The "You Pat My Back and I'll..." strategy
How about a discount in exchange for a testimonial? Or a discount in exchange for using your Tell a Friend script?
4. The "I Appreciate Your Consideration" strategy
Thank them for having taken the time out of their busy lives to review your offer. You understand that it isn't what they are looking for right now and want to improve your offers in future. To properly thank them, GIVE something of real value in exchange for their feedback. But they do need to register their email address and feedback to get the freebie.
Nigel Aslett
· 1 year ago
Hi Michel, It's not often that I click on emails with just the link, but,I am glad I did this time. Your comments are spot on, I often click off just to see if the VSA is going to pop up. If I am interested in the offer and no VSA popped up then I would go back to the sales page and buy it. Why should I pay my hard earned cash if I can get it $10 cheaper just by leaving. I purchased VSA myself and have not used it because I have already got hacked off with its use on other sites.
It's the same with popups to snag the emails.. I agree that you should get their details but why shove this in their face as soon as they come to your site. It is like many shops these days, the salesmen grab you as soon as you walk through the door and it's bloody annoying. I know most people just want to browse the store without the hassle of hovering sales people.
I know that a much better way would be a welcome popup ( I'm not a copy writer)..i.e. "Welcome to my site please read this very exciting offer I have for you today. If you decide not to take me up on this offer then I would like ask for your opinion as too why! What you think is very important to me and if you are willing to share your reasons with me I will try to address the issues you raise. I will also reward you for your for your time. Please close this popup now and enjoy the offer."
This way you are making the person feel that their opinion is worth something.. they feel important and they are expecting another popup to give them that chance to express themselves. This can include the subscribe offer to give them that reward.
Basically this means that the customer feels welcome, not pressured and gives them the impression that are important to the seller and not just a $.
Like everything in life.. we quickly adjust to the stimuli we see everyday. I know that when i go to a site the majority of the time there it is "subscribe to my newsletter or give me your details and i will send you a report". ENOUGH already! I haven't even seen the goods I came for and already I'm peed off.
I have spoken to many friends etc. and all say the same. Make your customer a friend who can trust you and you wont have to SELL him on anything again, your future "offer" will be trusted.
Make them feel that you care for them and not just your bank balance and see the difference!
just me 2c worth.
Nigel
Juri Saragih
· 1 year ago
Nice blog Mr. Fortin,
In here, i found a lot of trick and tips for my copywriting learning as a amateur copywriter. :)
Greeting from Pontianak, Indonesia.
Juri Saragih
Simon Thurston
· 1 year ago
I too have come accross this tactic recently and for reasons of sensitivity I won't reveal the names involved. Whilst many exit offers DO in fact offer a relevant and compelling reason for the offer, I would agree that several of these "virtual assistants" exit pop-ups offer no value and no relevancy at all.
I heard Mike Filsaime talk about this very subject a couple of years ago (and indeed he used it for BM)where he spoke about using VALUE to build your brand, rather than price. To simply make a deep cut price reduction is, in my opinion, the wrong way to approach it. Mike explains that removing some bonuses, or changing the product and/or bonuses to digital rather than physical products is an effective and "customer friendly" way to approach an exit offer.
Indeed another tactic that Robert Puddy uses, is to offer an affiliate product with a link to the product site, and say something like "I completely understand if this (my) product is not right for you, but maybe product X (affiliate product) will be more suitable ..." - I'll throw that tactic in for free LOL!!
Having EXACTLY the same offer (in terms of product range) and simply discounting the price as a last ditch attempt would always leave me wondering "If I'm a valued customer, why didn't you offer me this price in the beginning?"
As always, great post Michel :o)
Simon
Bobby Handzhiev
· 1 year ago
I agree with the post. I personally hate when I am offering the same thing again. If I don't want it, giving a discount or bonus will not change my mind, just let me leave.
Offering a different product or package is much better idea. However I would try to offer a freebie or newsletter subscription and try to presell the user there. If he came on my sales letter, he is obviously interested in the topic, so he could either choose a different product or re-decide to buy later without being hard-sold with discounts or bonuses.
Phil Spinelli
· 1 year ago
A few things I observed from over 10 years in the online and retail business. And beside our retail and online store, I've been selling most of my life, even when I was a kid, I bought most of my own clothes, bike, car, and other things from working, like walking dogs, cutting grass, cleaning pools, working in my dads business, etc.
About coupons: You need to be careful offering coupons, you will train your customers to only buy when they have a coupon. Coupons can work, but can cause you problems too.
About price: If you sell a product that is available else-where. Price IS a important factor in selling, as a general rule, you can charge up to 10% more then the average price IF your service is much better. But it's a tricky situation. You need to be competitive on price, but there are other factors too, like honesty, service and selection.
I alway see people saying price is not a major factor in selling, but it is, (unless you have a unique product, like, maybe, if you're a copywriter and YOUR writing skills are in the top 10%). But even then, I'll bet you'll still have your price shoppers.
Today, we not only need to compete on price, but we need to have the fastest delivery, honest service, great selection, best product copy, complete product information, customer follow up, etc.
About exit pop-up coupons: if you do this, you'll train customers to exit then buy. And you'll attract those horrible price shoppers.
If you experiment with the layout of your website AND the copy, you'll get people to stick around longer and maybe buy, not just on price alone. You need to mimic the person-to-person sales situation on your website. If you have real world sales training, you'll know what I mean.
About competing on price alone: Look at the battle between walmart and target, walmart is all about price (and they are the biggest) and IMO they sell junk. If someone comes along and beats then on price, their customers will leave them. Target will still have their customers. Competing on price alone in dangerous.
thanks,
The Story Ideas Virtuoso
· 1 year ago
@Sylvie @Michel
Love your comments (and the article) -- excellent suggestions all.
(*Have* you and Michel considered careers in writing? LOL)
Why would any of us be surprised you two have come up with stunning alternatives to this pesky problem? Thanks for the swipe file ideas.
Deb Gallardo
Michel Fortin
· 1 year ago
Here's an interesting article on automated virtual assistants and abandoned shopping carts:
"In the A/B test of a 10% coupon vs. no offer, the discount obviously won. The coupon has been a key to making the whole system purr. "It drives people back to the site for the biggest reason they use the Internet -- to save money."
IMO, I'm sure coupons can help, but you will train your customers to want them every time.
I wonder how they worded the coupon, was it, order today and get X off your order (today only).
I know someone who does OK with bounce-back coupons. They give a 10% coupon good on their "next" order (IMO, this would be a smarter offer)
Not every business can afford to give an extra 10% off, we can't.
I would rather increase the amount of orders, then to offer a coupon at the cart.
Online conversions rates are terrible (average 1-4%). I would rather get more people to add items to the cart, then our overall sales would be better.
thanks
Phil Spinelli
· 1 year ago
Other cart suggestions that will help:
*Upsells and cross-sells in the cart will increase your orders too. *Shipping policy should be available, people want to know when they will get items. *satisfaction guarantee should be posted. *credit card security statements (people are still scared about their credit cards and personal information) *Optional log-in (people may want to register ONLY after they trust you). Some carts MAKE you register to complete an order. *A toll free number, so they can call you if they have a concern.
I'm sure there's more, but I think these are the major ones.
thanks
John Matterson
· 1 year ago
We actually split-tested this recently and it LOST...
We tested 3 different version of the VA against NO VA and they ALL LOST. It wasn't a big drop (about 15%)...
However, since we send people BACK to the website over and over again in our autoresponders -- I think it turned them off from returning... and obviously buying.
I think a REAL LIVE CHAT on the way out might work well?
That will probably be our next test... John
Phil Spinelli
· 1 year ago
It all boils down to testing in your own business.
It's a good idea to keep an open mind and read what other people are doing.
Just keep in mind, even reports from http://www.marketingsherpa.com and other research firms, don't alway give you the complete picture. I don't even read marketingsherpa stuff anymore.
Lately, I've found Jim Novo to be really informative (jimnovo.com) his website has a lot of solid info on coupons and such. Just about everything I've read from his website and book, we've found to be true in OUR business. His book, "drilling down" is great.
I think I'm also going to read "Secrets of a 10% Conversion Rate" on the home page of this site and see if I can get some new ideas.
thanks
Dr.Mani
· 1 year ago
Michel, interesting post. I read about it on Alice Seba's blog, so commented there first. I'll share one part of that comment, in the form of a question, playing Devil's advocate ;)
Of these 2 choices, which would you rather have?
#1 - A customer who buys from you at the lower price because s/he is a bargain hunter, or slow decision maker, or just ‘warm' enough to buy only when incentivized.
#2 - A NON-customer who turns down your offer and so is allowed to walk away, perhaps to never return!
Give me a cash-paying discount hunter and I have a chance, with an education-marketing sequence of communication, to convert him/her into an ongoing repeat buyer.
But without that prospect in my funnel, in such a vast ocean as the online marketplace, what are my realistic chances of ever getting that non-buyer back to sample something else?
All success Dr.Mani
Phil Spinelli
· 1 year ago
Maybe IF this is not a current customer. Some customers return over time and add items to the cart, then buy when they're ready.
Better if you can offer only NEW customers, a discount (also called buying customers).
Some companies in my industry offer free shipping on your first order.
thanks.
Michel Fortin
· 1 year ago
@Dr. Mani:
Perhaps you misread my post or didn't read some of my clarifying comments above. But I think you failed to add a third choice:
#3 - A customer who buys at a lower price, but bought because you did offer a lower price with a good reason why and/or a solid trade-off that doesn't devalue your initial offering (instead of simply offering a mere discount "just because" they were about to leave.
I would have offered either a bonus/incentive. But if I really wanted to give a discount, I would give a discount coupled with a good reason why or tied to something other than the fact that they're simply leaving.
(See my example in my previous comment, for instance.)
If you had just given me the first two choices, obviously I want the sales. But now I have to work twice as hard to rebuild or retain the value in my offering, and to sell higher priced offerings in the backend to that bargain hunter.
So if you would have given me the third choice above, that would be my choice.
Again, let me be clear. I'm not against making an OTO to an exiting customer, and I'm also not against a discount. But I would think long-term relationships and customer value, so that I don't discount my value in their eyes and/or don't have to work twice as hard to keep them as clients.
Customer acquisition is a lot more expensive than customer retention. But I believe we focus more on customer acquisition because it's easier than retention -- particularly when that acquisition was made using a bargain mindset.
If you sell one-hit wonders (one-shot sales) of a product, and you don't care about building a list, developing a funnel, or boosting profits through lifetime customer value, discounting is certainly the easiest and most productive way to do it.
And I agree with you 100%.
But my blog post is, like you, playing devil's advocate in saying that you should be careful and focus on the long-term.
I know this from actual testing myself in my own business.
I also know this from my own experience working with many top marketers.
It is that, backend sales (especially with higher-ticket backend sales) are a heckavulot harder with bargain hunters.
My 3 cents.
Gdi - Work At Home
· 1 year ago
to be honest i my self add products on cart and after when my credit card is aviable i bought them ...
Michel Fortin
· 1 year ago
Here's a great example:
Robert Puddy sells a membership site script. It goes for $297. But if you hover your mouse outside your browser to close it, a popover appears offering the "lite" version (downsell) for just $97 -- and the ability to upgrade at a later date:
Hi Michel - Can't agree with your more on this one. I check out a lot of *new* info products about the business and indeed noticed this 'VA popup' technique. And yes, it turned me OFF.
It turned me off the first time I saw it and then I just realized that A LOT of people were doing it and I was just thinking that consumers will soon catch up that this is just another marketing ploy.
I perfectly agree too that if it should be used, a really good reason why - as opposed to a $10 discount - is better.
All Comments
More than likely you'll get that VA popup with a hefty discount. So are those stats really saved sales or savvy surfers who know a discount might be waiting just by closing their browser.
I purchased VSA but have yet to start using it. I think it can be used effectively but I agree that simply giving a discount to your "exit traffic" may not be a good decision (long-term).
They can be used to offer the 'ole "ethical bribe" in order to get the opt-in or even to show them additional content (even video) in an attempt to draw them back to the page but I would agree that giving a discount without a good reason is probably not a wise move.
-Kevin
However, what if you just had a product that was a one-time deal? Like, suppose you didn't intend on making any other sales to that customer? (That's not the best business model, but it does exist.)
And yes, your conversion rate may increase with this type of exit addition, but in the long run, you will have trained your customers to be bargain hunters.
If you want to compete on pricing go to ebay...as it will hurt your bottomline.
You would never see Amazon doing this or even Ebay.
I would offer a free compelling report so you could follow up with emails to boost your conversions. This was Jeff Paul's direct mail secret for doubling his conversions.
I know what you are saying but this method does work for people who only have one product to sell.
Frank Kern actually does this in his dog business and does very well with exit traffic sales.
~Brett
http://www.FreeTrafficBigProfits.com
This is exactly what I've been telling my students for about the past year.
It amazes me how many people don't "get it" until I explain it to them.
I've been suggesting that they should make sure to include some bonuses with the "original" offer so that if they offer an exit offer at a lower cost, they can word it something like, "I understand you may not be able to afford this package but, I can offer you a lower price by removing the bonuses from the offer".
A better suggestion is to use the exit script to offer them a freebie in exchange for an opt-in. This way you can build a list with people who may well have left and never returned then, you can make them a new lower priced offer.
Cheers,
Mark.
The appearance of a popup might even cause a down vote which might previously been neutral or positive.
Yes, but I know Frank and I know about the dog sites (I wrote some of the copy in the past for it). The difference is, he adds a very compelling, very believable "reason why," with the exit offer.
Which is the point I made in my post.
Making a discount simply because a customer is leaving without a reason why, or without a trade-off of some kind, is the killer I wanted to focus on.
Excellent points. I especially do not see it as good practice to discount the very same offer on exit, like in used car sales where they call it the "last ditch door close" offer.
Now, you hit it on the head with making a "downsell" offer, perhaps less of, or an abridged version of, where value is perceived less for the lower price.
Using those VSA scripts for that purpose may test very well.
Joseph Ratliff
isn't this all speculation on your part? have you tested this? I know dave from vsa has, and it has allegedly kicked ass for him and other users.
big jason
The thing that always stumps me is how myopic some people are with their marketing. They think in terms of "this one sale" and not "our relationship," which I think is far more important.
Besides that, people have built-in BS detectors, and they know when they are being hoodwinked.
Treat your customers with respect, and they'll return the favor.
All well said, Michel.
-Mark Widawer
http://www.TrafficAndConversion.com
Depending on what you're selling, many customers don't buy because they can't decide what to get. A report can educate them and build confidence.
There are just to many selections out there, it's crazy. There are a million eveythings.
i think michael's post does bring up a good point though. do people that use it "assume" that people are leaving because of the price? that would be a mistake. not to say that the default tactic of offering a discount won't work or be profitable, but maybe other tactics discussed by michael would work even better.
probably why marketingexperiments says "marketing is testing. don't speculate; test"
big jason
Is it speculation? It depends what you think I'm speculating on. If it's the use of the exit offer, that's not speculation. As I said in my blog post, it works. And I know for a fact that it works extremely well, too.
I'm a big fan of exit offers. And heck, I'm also a fan of discount offers.
But let me repeat, paraphrase, and be clear:
While I love exit offers and discounts, what I'm referring to are empty discounted offers "just because" they're leaving.
Discounts alone, or discounts for no good reason other than the fact the person is leaving, is what I'm against.
Exit offers are fantastic. Exit offers with discounts are also fantastic -- as long the discounts come with a good reason why, or with a trade-off, or in the form of a downsell (instead of a "straight discount").
My opinion is that, doing it this way is not only a lot more believable but also more conducive to stronger relationships, increased backend sales, and overall higher perceived value.
no, not about exit offers. I read that you weren't knocking them. I should have been more clear. my bad.
I was commenting on all your reasons for not liking the discount tactic
big jason
BAD WAY: "Wait! I really want to make sure you don't miss out. Here's an extra $[X] off."
OK WAY: "Since you're leaving, it might be because of the price. We understand. So here's an extra $[X] off to help sweeten the pot for you." (Even better, "Here's an extra bonus/incentive to help sweeten the deal...")
BETTER WAY: "You're leaving? Perhaps it's because you're not sure that the product will do [as expected]. Maybe we missed something. Or perhaps it's the price. Either way, we're confident you're going to love [X]. You're going to kick yourself if you miss out. So if you at least give us a try, in return for your quick action here's [an incentive] to help you decide if this is right for you."
(P.S.: It all boils down to copy, doesn't it?)
You really should be a writer!
You have such a way of explaining things. :)
Bottom line: If it's cheesy, cheap, desperate or not believable ... don't do it.
It's like someone leaving the showroom of that same car dealership you mentioned -- and the yokel salesman grabs him by the arm and won't let him open the door.
Would you like that? I'd leave and never come back, no matter what the offer was.
As you said, think of the kinds of customer the 'wrong' kind of exit sale will attract! Who wants cheap, nickel & dimers??
You're too cool. :)
Carolyn
http://blog.kickasscopywriter.com
I've tested various exit offers and the one we found made the most sales was revealing bonuses that weren't offered in the sales letter.
But I you really need to think about why your prospect is leaving your sales page in the first place.
As Michel points out most people aren't leaving due to price.
You need to make an attempt to deal with the most common objection or problem people have when they leave your sales page.
Another obvious strategy is to offer an email course or gift related to your product in exchange for an email address (or even just right there to download).
That can help pre-educate prospects who are already leaving on why they should buy from you.
Kindest regards,
Andrew Cavanagh
It is our job to train our customers that they can and should trust us, that they will get lots of value from us, and develop long term relationships with our customers.
The "hey, here's a discount because you didn't buy" message is entirely wrong, in my view.
It teaches them NOT to buy from you right away, and gives them yet another reason to procrastinate.
How about these ideas instead?
1. The "Peek Behind The Curtain" strategy
Offer a sneak peek at what's included when they buy, and if possible, show extra unannounced bonuses you didn't mention on the salesletter.
2. The "Would You Rather The Lite Version" strategy
Offer the smaller package for a smaller price. Or, one with no bonuses. Be careful with this. Otherwise, it could be interpreted that your bonuses weren't really free after all.
3. The "You Pat My Back and I'll..." strategy
How about a discount in exchange for a testimonial? Or a discount in exchange for using your Tell a Friend script?
4. The "I Appreciate Your Consideration" strategy
Thank them for having taken the time out of their busy lives to review your offer. You understand that it isn't what they are looking for right now and want to improve your offers in future. To properly thank them, GIVE something of real value in exchange for their feedback. But they do need to register their email address and feedback to get the freebie.
It's not often that I click on emails with just the link, but,I am glad I did this time. Your comments are spot on, I often click off just to see if the VSA is going to pop up. If I am interested in the offer and no VSA popped up then I would go back to the sales page and buy it. Why should I pay my hard earned cash if I can get it $10 cheaper just by leaving. I purchased VSA myself and have not used it because I have already got hacked off with its use on other sites.
It's the same with popups to snag the emails.. I agree that you should get their details but why shove this in their face as soon as they come to your site. It is like many shops these days, the salesmen grab you as soon as you walk through the door and it's bloody annoying. I know most people just want to browse the store without the hassle of hovering sales people.
I know that a much better way would be a welcome popup ( I'm not a copy writer)..i.e. "Welcome to my site please read this very exciting offer I have for you today. If you decide not to take me up on this offer then I would like ask for your opinion as too why! What you think is very important to me and if you are willing to share your reasons with me I will try to address the issues you raise. I will also reward you for your for your time. Please close this popup now and enjoy the offer."
This way you are making the person feel that their opinion is worth something.. they feel important and they are expecting another popup to give them that chance to express themselves. This can include the subscribe offer to give them that reward.
Basically this means that the customer feels welcome, not pressured and gives them the impression that are important to the seller and not just a $.
Like everything in life.. we quickly adjust to the stimuli we see everyday. I know that when i go to a site the majority of the time there it is "subscribe to my newsletter or give me your details and i will send you a report". ENOUGH already! I haven't even seen the goods I came for and already I'm peed off.
I have spoken to many friends etc. and all say the same. Make your customer a friend who can trust you and you wont have to SELL him on anything again, your future "offer" will be trusted.
Make them feel that you care for them and not just your bank balance and see the difference!
just me 2c worth.
Nigel
In here, i found a lot of trick and tips for my copywriting learning as a amateur copywriter. :)
Greeting from Pontianak, Indonesia.
Juri Saragih
I heard Mike Filsaime talk about this very subject a couple of years ago (and indeed he used it for BM)where he spoke about using VALUE to build your brand, rather than price. To simply make a deep cut price reduction is, in my opinion, the wrong way to approach it. Mike explains that removing some bonuses, or changing the product and/or bonuses to digital rather than physical products is an effective and "customer friendly" way to approach an exit offer.
Indeed another tactic that Robert Puddy uses, is to offer an affiliate product with a link to the product site, and say something like "I completely understand if this (my) product is not right for you, but maybe product X (affiliate product) will be more suitable ..." - I'll throw that tactic in for free LOL!!
Having EXACTLY the same offer (in terms of product range) and simply discounting the price as a last ditch attempt would always leave me wondering "If I'm a valued customer, why didn't you offer me this price in the beginning?"
As always, great post Michel :o)
Simon
Offering a different product or package is much better idea. However I would try to offer a freebie or newsletter subscription and try to presell the user there. If he came on my sales letter, he is obviously interested in the topic, so he could either choose a different product or re-decide to buy later without being hard-sold with discounts or bonuses.
About coupons: You need to be careful offering coupons, you will train your customers to only buy when they have a coupon. Coupons can work, but can cause you problems too.
About price: If you sell a product that is available else-where. Price IS a important factor in selling, as a general rule, you can charge up to 10% more then the average price IF your service is much better. But it's a tricky situation. You need to be competitive on price, but there are other factors too, like honesty, service and selection.
I alway see people saying price is not a major factor in selling, but it is, (unless you have a unique product, like, maybe, if you're a copywriter and YOUR writing skills are in the top 10%). But even then, I'll bet you'll still have your price shoppers.
Today, we not only need to compete on price, but we need to have the fastest delivery, honest service, great selection, best product copy, complete product information, customer follow up, etc.
About exit pop-up coupons: if you do this, you'll train customers to exit then buy. And you'll attract those horrible price shoppers.
If you experiment with the layout of your website AND the copy, you'll get people to stick around longer and maybe buy, not just on price alone. You need to mimic the person-to-person sales situation on your website. If you have real world sales training, you'll know what I mean.
About competing on price alone: Look at the battle between walmart and target, walmart is all about price (and they are the biggest) and IMO they sell junk. If someone comes along and beats then on price, their customers will leave them. Target will still have their customers. Competing on price alone in dangerous.
thanks,
Love your comments (and the article) -- excellent suggestions all.
(*Have* you and Michel considered careers in writing? LOL)
Why would any of us be surprised you two have come up with stunning alternatives to this pesky problem? Thanks for the swipe file ideas.
Deb Gallardo
http://www.marketingsherpa.com/article.php?iden...
"In the A/B test of a 10% coupon vs. no offer, the discount obviously won. The coupon has been a key to making the whole system purr. "It drives people back to the site for the biggest reason they use the Internet -- to save money."
IMO, I'm sure coupons can help, but you will train your customers to want them every time.
I wonder how they worded the coupon, was it, order today and get X off your order (today only).
I know someone who does OK with bounce-back coupons. They give a 10% coupon good on their "next" order (IMO, this would be a smarter offer)
Not every business can afford to give an extra 10% off, we can't.
I would rather increase the amount of orders, then to offer a coupon at the cart.
Online conversions rates are terrible (average 1-4%). I would rather get more people to add items to the cart, then our overall sales would be better.
thanks
*Upsells and cross-sells in the cart will increase your orders too.
*Shipping policy should be available, people want to know when they will get items.
*satisfaction guarantee should be posted.
*credit card security statements (people are still scared about their credit cards and personal information)
*Optional log-in (people may want to register ONLY after they trust you). Some carts MAKE you register to complete an order.
*A toll free number, so they can call you if they have a concern.
I'm sure there's more, but I think these are the major ones.
thanks
We tested 3 different version of the VA against
NO VA and they ALL LOST. It wasn't a big drop
(about 15%)...
However, since we send people BACK to the website
over and over again in our autoresponders -- I think
it turned them off from returning... and obviously
buying.
I think a REAL LIVE CHAT on the way out might work well?
That will probably be our next test...
John
It's a good idea to keep an open mind and read what other people are doing.
Just keep in mind, even reports from http://www.marketingsherpa.com and other research firms, don't alway give you the complete picture. I don't even read marketingsherpa stuff anymore.
Lately, I've found Jim Novo to be really informative (jimnovo.com) his website has a lot of solid info on coupons and such. Just about everything I've read from his website and book, we've found to be true in OUR business. His book, "drilling down" is great.
I think I'm also going to read "Secrets of a 10% Conversion Rate" on the home page of this site and see if I can get some new ideas.
thanks
Of these 2 choices, which would you rather have?
#1 - A customer who buys from you at the lower price because s/he is a bargain hunter, or slow decision maker, or just ‘warm' enough to buy only when incentivized.
#2 - A NON-customer who turns down your offer and so is allowed to walk away, perhaps to never return!
Give me a cash-paying discount hunter and I have a chance, with an education-marketing sequence of communication, to convert him/her into an ongoing repeat buyer.
But without that prospect in my funnel, in such a vast ocean as the online marketplace, what are my realistic chances of ever getting that non-buyer back to sample something else?
All success
Dr.Mani
Better if you can offer only NEW customers, a discount (also called buying customers).
Some companies in my industry offer free shipping on your first order.
thanks.
Perhaps you misread my post or didn't read some of my clarifying comments above. But I think you failed to add a third choice:
#3 - A customer who buys at a lower price, but bought because you did offer a lower price with a good reason why and/or a solid trade-off that doesn't devalue your initial offering (instead of simply offering a mere discount "just because" they were about to leave.
I would have offered either a bonus/incentive. But if I really wanted to give a discount, I would give a discount coupled with a good reason why or tied to something other than the fact that they're simply leaving.
(See my example in my previous comment, for instance.)
If you had just given me the first two choices, obviously I want the sales. But now I have to work twice as hard to rebuild or retain the value in my offering, and to sell higher priced offerings in the backend to that bargain hunter.
So if you would have given me the third choice above, that would be my choice.
Again, let me be clear. I'm not against making an OTO to an exiting customer, and I'm also not against a discount. But I would think long-term relationships and customer value, so that I don't discount my value in their eyes and/or don't have to work twice as hard to keep them as clients.
Customer acquisition is a lot more expensive than customer retention. But I believe we focus more on customer acquisition because it's easier than retention -- particularly when that acquisition was made using a bargain mindset.
If you sell one-hit wonders (one-shot sales) of a product, and you don't care about building a list, developing a funnel, or boosting profits through lifetime customer value, discounting is certainly the easiest and most productive way to do it.
And I agree with you 100%.
But my blog post is, like you, playing devil's advocate in saying that you should be careful and focus on the long-term.
I know this from actual testing myself in my own business.
I also know this from my own experience working with many top marketers.
It is that, backend sales (especially with higher-ticket backend sales) are a heckavulot harder with bargain hunters.
My 3 cents.
Robert Puddy sells a membership site script. It goes for $297. But if you hover your mouse outside your browser to close it, a popover appears offering the "lite" version (downsell) for just $97 -- and the ability to upgrade at a later date:
http://www.launchformulamarketing.com/members/
It turned me off the first time I saw it and then I just realized that A LOT of people were doing it and I was just thinking that consumers will soon catch up that this is just another marketing ploy.
I perfectly agree too that if it should be used, a really good reason why - as opposed to a $10 discount - is better.
Thanks,
Lan