Now, back to the steps to create a great business.
Step three, which can only happen once you’ve built the list and built the relationship, is to offer products to people on that list. We call this building a backend to the business. It’s a lot of work to be constantly finding new clients. You’ll find that it’s much easier – in fact, eight times easier and cheaper – to sell things to an existing client than to go out and find a new one. Once you’ve built your list, once you’ve built a great relationship with them, treated them well, given them lots of fantastic value, start to offer them products.
We offer two types of back-end product.
First of all, continuity. Continuity income means you make the sale once and the client continues to pay on an ongoing basis, which might be, for example, a membership site where you provide new information on a regular basis in return for a monthly subscription; or it might be a hard product, like a consumable.
The second type of backend is building what we call the ascension model when you offer clients progressively higher-level products over time, for example, if you’ve sold or given away a free information product, the next thing that you may offer is an audio pack, say, $200. Once they’ve gone through that, enjoyed it, learned from it, you might offer the next level up, which may be a home study program for $2000; and so on, up to exclusive coaching for 10s of thousands of dollars. They key is to provide outstanding value.
The final step in building a great business (so that you don’t get sucked back into hours for dollars) is to automate, leverage, and outsource. You do this by having a great system and this is where a lot of businesses fail: they don’t create a system that is easy to leverage, easy to automate, or that runs without them there.
Daryl Grant features in Business millionaire