Trying to Get $0 Leads with Facebook Ads – Beta Test

Marcus Neo // April 29 // 0 Comments

Can you really get free leads for zero dollars? I am doing a beta test on lower ticket front end offers that addresses the problems of free cash flow from a business standpoint.

This is different from my first client acquisition model I implemented: a high ticket model.

If you are selling a high ticket service or an offer: real estate, insurance, coaching programs, SEO services or anything that is high ticket (I’d define something high ticket to be above $1,000) most of your customers are going to take multiple touch points to convert if they don’t already know or like you. This is why many marketers like to follow up through email marketing or SMS.

The problem of solely selling high ticket is the issue of cashflow.

If you are charging above $1000 and running cold Facebook advertising.

Your cold audience from Facebook advertising who don’t know you at all isn’t going to transact with you above $1,000 on the first touch point.

For high ticket offers, where the price point is around $4,000 to $20,000. MOST people take around three to six months to transact.

In my experience, I’ll keep sending emails, add value to my audience. Then as a result of that, they will book a call with me and they’ll become a customer.

However just relying on this model may lead to cash flow issues.

So, how do you get positive cash flow from day one? This means you get leads to pay for themselves. I want to be cash flow positive as much as possible.

 

 

The new model I’ve been exploring is to sell a lower ticket product on the front end. This helps you break even on the front end.

So instead of just having ONE high ticket offer: you got two offers: the high ticket offer and a a front-end offer.

Basically, you can sell something at a lower ticket price point: it can from a $7 e-book to $300 mini online course.

Now basically, we are just trying to demonstrate authority, add value, and help people solve problems on the front end offer. Then, once they are ready, they will transact with us on the higher ticket back end offer.

So, what does this look like in other industries?

Just about any business can come up with a front-end offer and then sell something on the back end.

In fact this is done by many companies already. One of the examples that I’ve came across recently from an insurance company.

They were giving out an irresistible front-end offer. They were giving out FREE bird’s nests in exchange of going through your portfolio with a financial consultant.

How much does a bird’s nest cost? The cheaper ones maybe at $27?

Yes, you might lose money. You might lose money on the front end. However at the same time, you’re getting a lot of leads on the back end.

It’s an irresistible offer where people can’t say no to it.

The cost of giving out 100 bird’s nests would cost you $2700. However on the backend you’ll definitely get more qualified leads.

The psychology of reciprocity is there and the prospect is more willing to sit down with a financial consultant, go through a portfolio review and their likeliness of buying increases.

That is because they got something entirely for FREE, as a marketer, I understand the psychology of reciprocity.

However, is there a better model where you can do this where you don’t have to shell out $2700 on the front end just to get leads?

Creative Ways of Crafting a Front End Offer

If you are a financial consultant, you can package up a bunch of financial books and sell it for a low cost. Or you can come out with a low ticket financial seminar, coaching program.

Note: I’m not a financial consultant. I also know that in Singapore there are restrictions and regulations. However, it is on you to be creative and to find ways on how you can construct a front-end offer that’s contextually congruent that will lead to your back-end offer.

Now don’t get me wrong, I generated $80,000 to $100,000 with solely a high ticket offer. Then again, there months where I was pretty much stressed out for qualified calls and appointments.

Ending Thoughts

There is an old adage in digital marketing: he who can spend the most to acquire a lead wins.

If you’re not spending $10,000 a month on ads or you’re not at that stage of a company where you can spend $10,000 a month on ads.

Then a front end offer will make sense.

That is because your competitors are spending $10,000 and getting and making $100,000. They have the marketing scalability and they have the ability to buy up leads.

However, if you’re looking to be efficiency-minded and cash flow minded, then this model of “getting leads for free” can help you from demonstrate value, demonstrate authority and smoothen out cashflow issues.

About the Author 

Marcus is a SEO specialist and ROI focused digital marketer specialising in paid customer acquisition. Marcus's SEO expertise is in white hat SEO link building. He has managed digital marketing campaigns on both an SME and enterprise level in Singapore