The chap in this case study understands selling really well.
Not actually how to sell – in fact he’s quite a shy bloke and
I know for a fact he had to push himself with this method.
Nor is he a great copywriter.
Nope, the skill that brought him almost $25,000 in this particular instance was a key understanding of how retail sales work…
I mean understanding supply and demand, when to sell to end-users and when to sell to wholesalers, or to people who are a bit higher up the chain that that…and knowing who sells what kind of goods
Let me explain…
He created a course about selling on Ebay.
There are a lot of them out there and to be fair this was nothing too ground-breaking, although it did feature an interview with a bloke who was making around £2500 (this was in the UK) a month from selling certain unbranded goods on eBay
So our course creator didn’t even ‘do’ Ebay himself, he just recognised an interesting method when he saw one.
I have no idea what deal he struck with the Ebay seller for the interview if any, and youíd be surprised how many people are happy to share what they do for a nice lunch and getting their name mentioned 😉
Anyway he interviewed the seller, got some screenshots,
let him walk him through the methods, and created a course from the info
He outsourced the lot, from creating the actual course right through to having the sale spage made.
Cost around $5,000
Then he spent two weeks doing some research.
This was the real work on the profitable part of the venture.
He trawled the net, forums, newsgroups and chatrooms finding out who created and launched or just sold courses like the one he’d just created.
And he contacted them personally, got them on Skype (he was so nervous on the first call he was almost sick!)…
…and told them he was selling just 25 licenses of his course to professional sellers with proven lists that had
already bought similar courses.
He showed them inside the course, the salespage and everything, so they could see the quality for themselves
Then he hit them with the bombshell
He said because he wanted to establish a lasting relationship with them, he was offering them full rights to resell it for just $999
He called it a “licensing deal” that would last for one year with an option to renew year on year…
Now ANY established marketer who can’t make at LEAST five times that back from a ready-made course in their established niche should shut up shop and go home so obviously most jumped at the chance.
If they didn’t he just moved onto the next person on his list until he had sold 25 copies
Most also said that if their sales went well they would renew the licensing deal the following year AND would also look at any further content he created.
He sold 25 at $999 and made $24,975 pretty easily.
He supplied license agreements, suggested prices, the lot.
If he’d have tried to market the product himself for say $97 he’d have needed to sell more than 257 copies to
make the same amount of money.
But in three days on Skype he pulled it in pretty easily.
After taking out his $5k production costs he was still almost $20,000 up and he had no hassles with support, affiliates, refunds or whatever.
Take off anything he paid the Ebay dude and his profit is still pretty good AND next year if his licenseesí sales have gone well he can expect a good proportion of them to rebill.
Hell, if I was one of his sellers and made (for example) $10,000 in a year from selling that course Iím damn sure Iíd spend another $999 the following year to keep my license going.
He’s talking about producing 2 courses in different niches a month now.
That’s $40k in profit a month.