Internet Marketing From Home

Small Ticket Selling – Why It Sucks


Small Ticket Selling – a Hard Way to Make Money

I’ve got a beef with affiliate marketers who only sell small ticket/small margin products.
These are the folks who are happy to make twenty bucks selling products for Amazon, Clickbank, Warrior Plus, JV Zoo, etc.  They join dopey training sites like wealthy affiliates, so they can learn how to make nickel and dime money.  Oh joy!  The reality is quite simple.  It’s hard to make a full-time income when your average commission is smaller than an ant embryo (is there such a thing?).
So affiliate marketers should generally avoid the standard affiliate marketing method.  There is no future flogging small tickets that pay small commissions. But network marketers are different.  They need to join programs that offer small ticket consumable products. Without them, explosive duplication is nigh on impossible.  It’s horses for courses. Know the business you’re in.
Which brings me to the third category of marketer – big ticket or top tier marketers.  These marketers are comfortable selling products with higher price points.  I’m talking about $500 and upwards.
Is there a way to combine small ticket and big ticket marketing? Yes for sure.  The best way to do it is to lead with a cheaper product. Then give the consumer the option to upgrade to the higher priced option.  I’ll explore the concept a bit more soon.  But first let’s look at some of the reasons why marketers fail to embrace the big ticket way of doing business.

Why We Like the Idea of Small Ticket Product Selling

Marketers often start their online career by marketing  low-end products.  Think E-books, courses, and software with platforms like JV Zoo and Clickbank.  Some choose to market physical products so sign up as affiliates with Amazon.  But either way, the commissions are going to be small – often less than $20 a sale.
People who embrace this small ticket business model have a problem. They deny themselves the opportunity to create a full-time income anytime soon. But still, people persist with the concept.  Here are some of the reasons:

  • No Buy In.  It’s free to sign up with online marketplaces such as Amazon and Clickbank.  They have thousands of products you can promote without any financial outlay.  A lot of people who join these programs have no money to start a home based business.  So these options are superficially attractive to these budding marketers.
  • They Think They Can Make Volume Sales With Cheap Products.  Newbie marketers delude themselves – they believe that because the products are cheap, it will be easy to sell lots of them.  Unfortunately, this notion is wrong.  It may be relatively easy to sell one or two of them here and there.  But to scale it up to the point where you are selling hundreds a week is fanciful.  The facts are that driving traffic to offers whether cheap or not, is always a challenge.  To find one $30 customer is not that easier than finding a client who will outlay $1,000 and more.
  • They Don’t Believe People Will Pay For Premium-Priced Products.  Many novice marketers have a hang up about promoting big ticket products.  They don’t believe people will pay thousands of dollars for products.  It’s as simple as that.

Price Phobias and Other Shibboleths

Continuing from the last point in the last paragraph we need to ask this question.  Why do marketers have these price focused hangups?
One reason is that they’re small thinkers.  They think that because they would never spend that kind of money on one of these products, no one else will either.  But of course, they are wrong.  I’ve seen people buy an eBook for $20 then, through a series of upselling sequences, spend up big. I’m talking about spending more than $20,000 on high-end info products.  Examples include live masterminds in exotic locations and coaching packages.

The Right Way to Use Small Ticket Products

Marketers like to talk about funnels.  I’m not a great believer in much of what these funnel maniacs talk about, but here is where I am aligned:
A simple sales funnel that leads with a low-end product – which is sometimes called a trip wire offer – can be a smart thing to do.  People who pay some money are far more valuable than those who just opt into an email list without paying a cent.
Email marketers talk about having two lists:

  1. Subscriber List
  2. Buyers List

The buyer’s list is always worth more because the people on the list have already put some hurt money on the table. These people already (presumably) trust the seller.  If trust is there, it is much more likely that they’ll feel comfortable about buying again.  And spending a lot more money.

A Better Way to Make Money

I am an unabashed fan of top tier marketing.  Look at it this way:
If you make say $1,000 from one customer, you would need to find 500 customers at a $20 commission just to equal it.  Scary, right?
So a top tier model often uses the Ascension Strategy.  As the client purchases the higher price option, they are then tested to see if they might like to upgrade to an even higher priced offer.  Why would they do it?  Well, it depends on the nature of the offers.  One reason people will upgrade to a higher ticket info style product is that they want more depth of information.  So their hot button is a total learning experience.  Let’s face it a simple ebook is not going to give keen students the depth they want.  But a complete package maybe exactly what they want.  Packages could include seminars, webinars, hotline support and a supportive community.
Another example.  Think of a high priced Mastermind conference held in an exotic location, as mentioned.  Not only do participants get the learning experience but they also get a vacation on a tropical island while staying in a five-star hotel.  Some of these packages sell for $10,000 and much more.  But some people may decide that they also need something more.  Examples could include personal consulting and implementation support packages.  So a high-end coaching package could be offered.  I’ve marketed offers like that – some of which have sold for $20,000 and more per customer.  The options are endless.

How To Sell Big Ticket Products

As a rule, people will not outlay thousands of dollars for high-end products without a great reason to do so.  Further, they will not do it without making personal contact with the seller.  So, it becomes mandatory to install a sales system that connects prospects and marketers.  The human connection is vital. Thus a sales system should connect prospects with a phone consultant who can guide the person through the process.  They can also answer their questions and perhaps make them an offer they can’t refuse.
The best programs I’ve joined had a crack sales team in place.  Their sole job is to upsell trip wire buyers into fully fledged big-ticket customers.
To learn more about this way of doing business make an inquiry here:
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Time to Comment!

Have you marketed big ticket products before?
If yes, what results and/or struggles have you had?
Make a comment below!

4 thoughts on “Small Ticket Selling – Why It Sucks”

  1. Hey Kim,
    Generally, online marketers start their career with low end products but this causes low in commissions, this phenomena makes frustrated after specific time. Amazon and Clickbank provides amazing opportunity to earn huge commission. Today, Email marketing become a good opportunity in term of monetization and it shows positive magnitude to meet our goals. If we have lots of connections to people in our field who have large emails lists and willingness to promote something of ours, we can get almost any results which we expect. Eventually, thanks for reveling a light on this topic.
    With best wishes,
    Amar kumar

    • Hi Amar
      Yes, partnering with someone who has a good email list is a good strategy. The hard part is finding that person, and then convincing them you have something unique to promote. This strategy would not work for affiliate marketer
      Thanks for dropping by

  2. This is excellent advice Kim!
    And I couldn’t agree more! Because, as you pointed out
    why go after the masses, for a mere $20 less gross or less, per sale!
    I mean, as you said, how long if ever, will it take for you to come close
    to going full time!
    And thanks for the heads us, regarding the bottom line,
    regarding the Wealthy Affiliate training platform.
    I’ve seen them around for years, but never actually knew anyone who
    was personally succeeding, due to their training programs.
    I always learn some practical nuggets I can immediately put to use,
    once I study at your blog! Nice job as usual!

    • Exactly Mark
      Trying to make enough money so someone can quit their job from selling small-ticket products is a bit like a one legged man trying to climb Mount Everest. It may be possible, but it’s highly unlikely!
      Thanks for dropping by


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