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Case Study: Defining The Sales Funnel For an Online Business

Welcome to Day 3 of our case study. If you missed Day 1 and 2, you can find them below:

Today we are defining our sales funnel for our website at

Enjoy the video…

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Watch on YouTube: Creating A Niche Website Sales Funnel

typical sales funnel

What is a sales funnel?

Well, a typical sales funnel is like the one in the image to the right.

It's a process where you offer a series of products or services in a pre-determined order.

The idea is that you offer a free product (very low barrier of entry) to give the customer a sample of your product and service.

Once they have consumed the free product you would offer a low priced ($27) product or service.

Once they have bought and consumed the $27 product, you would then offer them the $97 mid-priced product… And so on, until you have sold them the big $1,997 product.

The problem I have with this sales funnel, is that a new customer doesn't get to know about the $1,997 product until they have bought the $27, $97 and $497 products… Some new customers would have probably leap frogged to the $1,997 product, if they knew about it.

product portfolio

The answer is to have a ‘product portfolio' that you introduce early to the prospect and if they don't buy the higher priced product, you then follow the typical sales funnel.

That way you give the customer, who wants the biggest and best upfront, what they want immediately…

…And the typical sales funnel then converts the other people that like to test the water and build the relationship, before they commit fully.

So, how do I apply this to my niche website at

Step 1

The first step is to define the affiliate products I could offer immediately, and the products I could create myself later…

Product Offers

  • Clickbank (affiliate) productDeclutter Fast – How To Declutter Your Home! – pays $13.08 per sale.
  • Amazon (affiliate) products – these include books, Kindle books and products (like containers, etc.) – estimate an average payout of $1.00 per sale.
  • eBay (affiliate) products – these include books and products (like containers, etc.) – estimate an average payout of $1.00 per sale.
  • Adsense ads – estimate an average of $0.30 per click.

Potential Products

  • Own short report – $5 per sale.
  • Own eBook – $27 per sale.
  • Membership site  – community of like-minded people – $17/mo, average stay of 6 months = $102 per sale.
  • One-on-one decluttering help – average of $197 per job. I know there are people that offer to go to people's houses or offices and do the decluttering for them or with them. I could offer a job board type service which connects the service providers with people needing the service for a commission.

Step 2

The next step is to decide which product I am going to offer initially. I like to start with one product and one traffic source, and then scale it from there.

As you can see from the list of affiliate products above, there is not much profit available in any of them. I also don't like the Clickbank product's sales page and it would waste a lot of resources testing the conversions of any of the affiliate products.

There is a lot more profit in creating my own products, especially the membership site (estimated $102 per sale) and the one-on-one decluttering service (estimated $197 per job).

I want to get to making $100 a day quickly.

So, it looks like the best way to do this is to create my own ebook, which can eventually be used as the groundwork for the membership site and a lead generator for the one-on-one decluttering service.

Step 3

Step 3 is to finalise the sales funnel. From my research, the most profitable sales funnel is shown in the image below…

declutterhowto sales funnel

What’s Next

The research is done to make sure the niche is worth the effort, and we now have a sales funnel which makes the goal of $100 a day appear to be achievable.

The next step is to configure the website to suit our new sales funnel… It will be very different to the current website that was only designed for Adsense ads.

>> Day 4: How To Configure A Website To Maximise Conversions

Please leave your questions or comments below…

About the Author Ian McConnell

Ian is a successful offline and online entrepreneur with over 20 years of marketing and business experience. He is very passionate about living a life with time, income and location freedom. Find out more about Ian McConnell >>

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