Steve Wagenheim’s Home Business Blog

Marketers love to throw around numbers and stats, as if the world rose and set around them. Ever go to the Clickbank marketplace to see some of the top selling products and the insane statistics that they’re claiming as far as conversion? It’s enough to make you sick. Well, I’m going to cut through all the garbage as far as these stats and also clear up some confusion regarding conversion rate versus conversion ratio. It is my hope that when you are finished reading this article, you’ll be able to take all of this with a grain of salt and also understand what these numbers really mean.

The first thing you have to understand is the difference between conversion rate and conversion ratio because many marketers interchange these terms and they are not the same.

Conversion rate is an actual percentage. For example, if somebody says that their conversion rate is 6%, that means that for every 100 people that come to their site, they make 6 sales. You get the percentage by dividing the number of sales by the number of visits and then multiplying by 100. So if you get 70 visits for a test and make 7 sales, you divide 7 by 70 and then multiply by 100. That will give you a 7% conversion rate.

Conversion ratio is presented as X number of sales for every Y number of visits. So a conversion ratio of 4:25 means 4 sales for every 25 visits. If you want to convert this to conversion percentage, then you simply take the number of sales divided by the number of visits and multiply by 100. In this case, the conversion rate would be 16%.

What you need to know about these numbers, when they get thrown at you, is that most marketers will not give you true statistics. They’ll tell you that their conversion rate is 6% but what they don’t tell you is that this is based only on Adwords advertising, or on list promotion. If they were to give you the stats for all their promotions, they would probably turn out to be lower than the stats they are showing. The reason for that is because they always put their best foot forward. So it is important to be aware of this when you decide on a product to promote as an affiliate.

Naturally, marketers are going to want to put their best foot forward when giving you their conversion stats. As long as you understand this, you’ll be better able to make an informed decision when deciding what product you’re going to put your money behind.

To YOUR Success,

Steven Wagenheim
Tired of being an affiliate failure? Want to turn yourself into an affiliate assassin like I am? Want to land in the top 20 of every affiliate promotion you tackle just like I do? Check out my site at http://www.stevewagenheim.com/affiliateassassin/index.html and start earning a solid income as an affiliate marketer.

It’s a sad commentary on our world, but people are greedy. Oh, don’t deny it. We all have a bit of that greed bug in us. The economy we live in doesn’t make it any easier. Homes that used to go for $45,000 are now costing almost a quarter of a million bucks. It’s absolutely insane and it’s not getting any better. Fortunately for marketers, we can use this greed factor to our advantage when marketing to others, especially if we are in the make money niche. I’m not talking about doing anything unethical or illegal. I’m simply talking about giving people what they want. They question is, how can we do this? I’m going to give you a couple of ways that work sure fire. At least they’ve never failed for me.

It doesn’t matter how good your product is. People need to feel that they are getting more for their money than what they are actually spending. So if you are selling an ebook that you have valued at about $97 and you decide to sell it for $47, that’s fine. But that’s only about a 50% savings. In the ebook marketing world, that’s just not a lot of bang for the buck to most people. However, if you were to package that same ebook with three or four more ebooks, all valued at about $97 each, and sold the whole package for $47, well, then you’re getting into somebody’s greed index.

Want to go one step farther? Why not include a year’s support for the person who buys your ebook package? That’s right. You’ll answer any questions that they have and assist them in any way that you can for one whole year, all for that same $47. To be perfectly honest with you, somebody would have to be stark raving off their rocker to pass up a deal like this. Of course this all depends on whether or not they want your main product in the first place. And of course all packaged products have to be related in some way. Otherwise, this method of tapping into someone’s greed glands isn’t going to work.

The one thing you have to keep in mind at all times is value. People need to know that their hard earned money is buying something that has real value. If you’re selling snake oil, it doesn’t matter how many ebooks or how much support you package together. People either won’t buy your product or they’ll return it after they see that it is nothing but empty promises.

So please keep these things in the back of your mind when you’re targeting your potential customers and their greed index. There’s nothing wrong with being a little greedy.

But there is everything wrong with not fulfilling that greed with a quality product.

To YOUR Success,

Steven Wagenheim
If you’re sick and tired of all the lies and misinformation on the Internet, my FREE book “Blowing The Lid Off The Lies Of The Internet” should prove to be a real eye opener. You can get your copy at http://www.stevewagenheim.com/btl_squeeze.html