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Will You Add? - The Mathematical Formula For Making Money
All of us want to make a glorious, fantastic and stunning career. We dream of earning a lot of money and at some definite moment delegating our business to our children. We plan spending the rest of our lives somewhere at the sea shore, in the country of the bright sun, warm climate, delicious fruit and cheerful people. Each of us has a desire to work and progress, we are full of ambitions, we are patient enough, we are fast learners, smart, energetic… With all these qualities we are a dream of every employer. But never make hasty decisions about joining a new company. First of all you should find out if your work in this company will be rewarding, harmonious and convenient for you, in brief, how well this company suits you.Psychologists distinguish four main managing styles: authoritative, marketing, bureaucratic and participative. Being aware of the peculiarities of every style will
The real power of this formula is stored within the five highlighted variables (a.k.
A web hosting plan usually comes with a fixed price tag attached to it that often appears hefty to the buyer; seldom do they realize that taking a few steps can help minimize costs. While some of these steps require some effort on the buyer's part, others are simply a matter of common sense and deductive logic.General Introduction:Even the most active people find themselves turning lazy when it comes to choosing the right web hosting plan; as a result, they land up paying more than what they are supposed to. Of course, most web hosting plans deliver more features (and some of them are absolutely not required), but staying a little conscious on a few aspects of any web hosting plan may help in saving further.Tips for saving money while availing a hosting service plan:Step 1: Instead of pouncing upon th
Embrace this truth and profits will flood your business.
Disregard this truth and financial-cancer will eat you.
What is this truth?
Quite simply, the size and speed of your entrepreneurial success is directly proportional to your understanding of The Mathematical Formula For Making Money.
Despite serving as the corner stone of every single commercial success since the dawn of commerce most businesses neglect its power. Being so familiar with the diluted version of the formula these businesses overlook the enormous profit-potential held within.
The Formula
Mindful of this blind-spot, let's now take a close look at the Mathematical Formula For Making Money:
Leads x Conversion Rate = Customers
Customers x Average Dollar Sale x Sales Per Customer = Gross Profits
Gross Profits x Profit Margin = Net Profits
Please pay close attention to what I am about to tell you: your number of customers; your gross profits; and your net profits are the least important figures in this formula.
Why?
Because they merely represent outcomes. They tell you how good or bad you're doing without telling you why. And without knowing why you're doing so well (or so bad) you are in no position to fix the cause with speed and accuracy. All you can do is guess and implement random strategies in the hope that one day your results will improve.
The real power of this formula is stored within the five highlighted variables (a.k.a
Do you want to advertise your business without having to invest a fortune to do so? If you think this is not possible, you are wrong. A press release does exactly that. You can jumpstart your business with a press release. For this, you have to learn the basic tricks of writing a press release that is effective in launching your business on the fast track.About a century ago, when the press release came into being as a news-story tool for the first time, nobody thought that the same tool could also serve the purpose of an ad. You may now write a brief but riveting story about your business with all its main features, some of which may be unique or novel, and send it in an established format to the media. If, and only if, the piece is written well enough, the media will allot space or time for letting your story reach their target readers or viewers. A press release is your free tool by mea
Despite serving as the corner stone of every single commercial success since the dawn of commerce most businesses neglect its power. Being so familiar with the diluted version of the formula these businesses overlook the enormous profit-potential held within.
The Formula
Mindful of this blind-spot, let's now take a close look at the Mathematical Formula For Making Money:
Leads x Conversion Rate = Customers
Customers x Average Dollar Sale x Sales Per Customer = Gross Profits
Gross Profits x Profit Margin = Net Profits
Please pay close attention to what I am about to tell you: your number of customers; your gross profits; and your net profits are the least important figures in this formula.
Why?
Because they merely represent outcomes. They tell you how good or bad you're doing without telling you why. And without knowing why you're doing so well (or so bad) you are in no position to fix the cause with speed and accuracy. All you can do is guess and implement random strategies in the hope that one day your results will improve.
The real power of this formula is stored within the five highlighted variables (a.k.
I recently had an experience with one of the affiliate programs I *was* involved with. This experience did not surprise me, but did however, disappoint me. It is a sad fact that it did not surprise me and I thought maybe an article on this subject might bring it to our attention.I did willingly join this program and accept the terms of which I do understand. However, when customers of this online business owner would email me with complaints about the product and the fact that the owner would not answer any emails, I definitely had to think twice about promoting this product and affiliate program.So having decided this, I wrote the owner and asked if he could send me the small amount owed to me. I informed him I would not be promoting his product or program any longer and would like what was owed to me. His reasoning was, he would not pay me because I joined the progr
The Formula
Mindful of this blind-spot, let's now take a close look at the Mathematical Formula For Making Money:
Leads x Conversion Rate = Customers
Customers x Average Dollar Sale x Sales Per Customer = Gross Profits
Gross Profits x Profit Margin = Net Profits
Please pay close attention to what I am about to tell you: your number of customers; your gross profits; and your net profits are the least important figures in this formula.
Why?
Because they merely represent outcomes. They tell you how good or bad you're doing without telling you why. And without knowing why you're doing so well (or so bad) you are in no position to fix the cause with speed and accuracy. All you can do is guess and implement random strategies in the hope that one day your results will improve.
The real power of this formula is stored within the five highlighted variables (a.k.
If you plan to make outrageous but true claims in your direct response copy, make sure you have a calculator nearby as you write. Because sceptical prospective customers and existing customers will check your numbers, even if you don't.As Exhibit A I present to you the outrageous and impossible-to-believe claims of Vincent James, the self-proclaimed 12-Month Millionaire who sells a get-rich-quick course on direct response copywriting by the same name.Here is how Vincent starts his online sales letter: Finally! Successful Entrepreneur and High School Drop-Out Vincent James Breaks 12 Years of Silence To Teach YOU His Money-Making Strategies and Powerful Secrets That Anyone Can Use To (legally) Make As Much As $77 Million By This Time Next Year!"The Amazing Money-Making Secret of a 28-year-old Convicted Felon Who Earns More Money
Please pay close attention to what I am about to tell you: your number of customers; your gross profits; and your net profits are the least important figures in this formula.
Why?
Because they merely represent outcomes. They tell you how good or bad you're doing without telling you why. And without knowing why you're doing so well (or so bad) you are in no position to fix the cause with speed and accuracy. All you can do is guess and implement random strategies in the hope that one day your results will improve.
The real power of this formula is stored within the five highlighted variables (a.k.
1. Identify Your NicheThis needs to be the start of your foray into internet marketing. Write a list of possible subjects that you are interested in. Check and see if people search for related information on your possible topics (called niches) and how much competition there is.2. Formulate The PlanIdentify the areas that you can make money through by researching narrower topics and checking for possible products to sell. You can then do a paper sketch of what you want a visitor to do when they get to your site and how your sales funnel will work. If this is your first site I would recommend a basic site that captures your visitors names and email addresses in exchange for a free e-course using an autoresponder as this gives you time to establish trust and credibility with subscribers before they buy and gives you the chance to sell more than one product over time.3. D
The real power of this formula is stored within the five highlighted variables (a.k.a. levers).
A Demonstration Of Power
Quite literally, when you apply these levers to your business your profits will increase exponentially.
Allow me to demonstrate.
Assume for the moment that your business currently operates under these circumstances:
Leads Per Annum = 10,000
Conversion Rate = 0.1 (10%)
Av. Dollar Sale = $50
Sales / Customer = 2 per annum
Profit Margin = 0.2 (20%)
Plugging these into the formula gives you a net profit of $20,000 per annum.
Let's now demonstrate the impact of improving progressively more levers without increasing your overall effort:
Case #1: Improve leads by 100%
Net profit = $40,000
Profit to Effort ratio = 1:1
I.e. for every % increase in effort you get the same % increase in profit.
Case #2: Improve leads and conversion rate by 50% each.
Net profit = $45,000
Profit to Effort ratio = 1.25:1
I.e. for every % increase in effort you get a 1.25% increase in profit.
Case #3: Improve your leads, conversion rate and average dollar sale by 33% each.
Net profit = $47,052
Profit to Effort ratio = 1.35:1
I.e. for every
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