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Buy customers not traffic
All across the net you can find websites offering to send you large amounts of
traffic - banner adverts, pop ups, expired domains, the list goes on. Even affiliate
programs offering 'targeted' content fall into this category. The problem is that
traffic does not automatically earn you sales. So why bother when you can buy
customers?
Buy customers - you are probably thinking am I mad. Paying for people who are
supposed to come to your site and pay you. But it's a tactic that is used by
shops although to a lesser extreme. Let's say for instance you are a small bookstore
selling books and magazines online.
The new Harry Potter book is out and everyone including you is buying it problem
the wholesalers at $10 and selling it on at $15. You have to sell it for this
price to make a profit so everyone does. But on average each customer who buys
a Harry Potter book also comes back to your site and buys $100 of Harry Potter
merchandise as well. Let's say this costs you $50 from the wholesalers.
So on average the lifetime value of your customers to you is actually $55 profit.
Therefore you can actually lower the price of the original book to say $5 as
you know that you are still going to make $45 profit on average from each customer
in the end. Now you are selling the book $10 cheaper than everyone else so everyone
heads over to your site to buy the book - and consequently the $100 of extras
afterwards.
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