If you sell one or a number of lower priced products or services and nothing else, you could become the front-end provider for a number of other businesses that offer higher ticket products and services to the same market.
Here’s Two Examples…
For example, if you sell a piece of software that retails for $197, you could partner with other software providers that offer cloud-based services that sell for $97 – $997 per month or more.
Or if you offer lawn mowing services, you could partner with people who offer swimming pools, home renovations, granny flat installers, landscape design services, patios, garages, roofing and guttering, fencing, driveway installations, repairs or resealing, and all kinds of other services for home owners.
In other words, you can become the front end for other people’s high-ticket back-ends.
Or if you sell higher priced products or services, you can become the back-end for people who offer lower priced products and services, and give them a referral fee for every job they send you.
For example, if you sell any of the services above, you could work with people who sell inexpensive services such as lawn mowing, driveway cleaning, gutter cleaning, internal house cleaning, house washing, personal home services and the like, and give those people a referral fee for each job they generate for you.
Both of these strategies allow other people to do 95% of the work of developing, stocking, fulfilling/shipping, and providing customer support for their products, while you get a nice share of the profits for simply introducing them to your prospects and clients.
Do both! Add a front-end AND a back-end from other merchants, and sell your product in the middle. Or bundle other products and services INTO your products or services, and sell them at a higher price.
The options are endless once you develop this JV or collaborative mindset and push it to it’s limits. I’d love to see what you come up with…
1a. Consider sharing your unconverted leads with your competitors in exchange for a percentage of the profits they generate if they sell their products or services to those people.
1b. Consider buying or acquiring unconverted leads from your competitors in exchange for sharing a percentage of the profits you generate from your sales to them.
ACTION STEP: Spend some time this week developing a backend for your low ticket offers, or a front-end offer that leads to your high ticket products and services… or both 🙂
INVITATION: Each month we hold a limited number of Free Business Strategy Sessions designed to help business owners with everything from turning their enterprises around and back to sustainable profitability, to leveraging the assets of fast growing companies so they can grow even more quickly.
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If you’d like to schedule one of these Free and obligation free one-on-one sessions, let us know by email at email@example.com or call 1300740066 and we’ll set things up for you.
About The Author: James Huy Vuong is a CPA, Registered Tax Agent, Business Broker, Certified Exit Planner and the owner of Your Accounting Partners, an Associate of Negotia Group. Partnering with businesses from start to scale thru to sale.
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