There’s a lot of moving parts in the only health business. It’s not only a game of marketing but also a game of numbers.
What is the front-end marketing?
Front end marketing is any offer that brings in a new customer.
The type of offer is irrelevant.
It can be a free plus shipping offer, a deep discounted offer, etc. what matters is that there is a sale and you’re capturing a buyer not just an opt-in.
Although opt-ins can also be on your front end.
In either case, weather you have an offer for a sale or an opt in as the first step in your front end, you’ll usually also have a front end sales funnel consisting of a tripwire offer and or a couple of up sells and down sells. This is your front end sales funnel.
What is the back-end marketing?
Back end marketing is any offer that sells to an existing customer.
Again the type of offer is irrelevant.
The important think to learn is that this is in the back end. So it usually consists of a follow up email sequence that nurtures the buyer and moves them onto another offer, which in turn is actually another funnel with up sells and downfalls behind that, or a high ticket value ladder.
The Money Is In The Back-End
Savvy online health marketers know the real money is made in the back-end.
What that simply means is that you make more money by selling additional products to the same customer than you make on the initial front-end sale.
In fact the top marketers are actually making no money on the initial first sale. Sometimes they are even going in the hole, losing money on that first sale. In the offline world this is known as a loss leader. This is why you see those deep discount deals on Black Friday. The brick and mortar business hope is that the super bargain deal will bring you in the store and you’ll wind up buying other things while you’re there.
The only marketer however takes this to the extreme. Where the offline brick and mortar store will limit the up front deal to a limited number often times online there is no limit or there is a fake limit.
The reason why this works online is because of the backend.
To the new marketer this can be very confusing to understand. How can a company stay in business if they are making no money or even losing money on a sale?
The secret is that they are making all their profit on the back-end. Including recouping the loss of that first sale, the front-end sale.
In order to understand this let’s look at everything above and below the line of the first offer sale.
Above the line we have what looks like a simple flow that we have seen on any Ecommerce website. First you have your product sales page that goes to an order form or shopping cart. Very simple. Do you want to buy this? Enter your credit card here and it’s yours. Sometimes you’ll see these two pages combined into one page, where the shopping cart functionality is on the same page as the product offer. In either case it’s the same transaction flow.
Everything below the line is the backend. Which most people don’t get to see. This is where it gets complex and where all the money is made.
Discover the 3 funnels that can help your health supplement business succeed.
Listen to the Health Supplement Business Mastery Podcast for for dietary supplement entrepreneurs and marketers.
