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					 “You Only Need to Know
About Four or Five Things”

       Perry Marshall
    www.perrymarshall.com
    Too Many Things to Think About…
•   Thousands of Google keywords.
•   Dozens, maybe hundreds of products.
•   Thousands of prospects
•   Hundreds, thousands of customers.
•   Autoresponder sequences
•   Banner ads
•   Affiliates
•   SEO
•   Offline advertisements
•   Direct mail
•   Fax blasts
•   Landing pages
•   Customer Complaints
•   Recency, Frequency, Money
•   Merchant Accounts
•   Upsells
•   Cross-Sells
•   SPAM filters
•   Employee problems
•   Vendor problems
          The 80/20 Rule…
• 20% of people make 80% of the money
• 20% of your customers bring you 80% of your
  sales
• 80% of your problems come from 20% of your
  customers (mostly the cheap ones)
• 20% of your products account for 80% of the
  sales
• 5% of your keywords bring you 95% of your
  traffic
• 20% of your time generates 80% of your
  productivity
      The 80/20 Rule Stacks Up!
• Top 20% of the top 20%: 4% of the effort gets
  64% of the results
• Top 20% of the top 20% of the top 20%: 0.8% of
  the effort gets 51% of the results
• This applies to
  –   Web pages
  –   Mailing lists
  –   Buyers on your list
  –   Size of orders
  –   Products sold
    10,000 People Spend an Average
             of $1.00 Each
•   8000 people spend 36 cents
•   1600 people spend $1.44
•   320 people spend $5.77
•   64 people spend $23
•   16 people spend $92
•   The “Average” is almost meaningless
    Sales Funnel Matrix: What to
       Track, What To Ignore
• Example: 12 Keywords and…
• 12 actions:
  – $100 / $250 / $500 / $1000 product
  – Optin / Phone Conversation / Free Sample
• 12 x 12 = 144 Combinations of keywords,
  products and actions
            How Most People Track
1     2      3     4     5     6     7     8     9     10    11    12


13    14     15    16    17    18    19    20    21    22    23    24


25    26     27    28    29    30    31    32    33    34    35    36


37    38     39    40    41    42    43    44    45    46    47    48


49    50     51    52    53    54    55    56    57    58    59    60


61    62     63    64    65    66    67    68    69    70    71    72


73    74     75    76    77    78    79    80    81    82    83    84


85    86     87    88    89    90    91    92    93    94    95    96


97    98     99    100   101   102   103   104   105   106   107   108




109   110    111   112   113   114   115   116   117   118   119   120




121   122    123   124   125   126   127   128   129   130   131   132




133   134    135   136   137   138   139   140   141   142   143   144
                                    How You Should Track
                         Keywords
Products / Sales Steps




                                                                           8    9    1
                                                             6    7

                                                   4    5                                0




                                         2    3
                         1                                   1    19       20   21   2


                                                   16   17                               2




                         13              14   15                       8



                                                                           32   33   3
                                                             30   31
                                              27   28   29                               4


                         25              26
                                                                           44   45   4
                                                             42   43
                         37              38   39   40   41                               6




                                                                           56   57   5
                                                             54   55
                         49              50   51   52   53                               8




                                                                           68   69   7
                         61              62   63   64   65   66   67                     0
     Adding RFM to the Mix
• RFM is
Recency, Frequency, Monetary Value
Visual RFM
80/20 Applied to Google
Peel and Stick
You want to avoid this!
    “Peel and Stick” can apply to…
•   Individual keywords
•   Ads & CTR
•   Conversion tracking of individual keywords
•   Google / Search Partners / Content
•   Landing Pages
•   Regions of the US
•   Countries
•   Products on your site
•   Straight sale vs. “Turn The Corner”
•   AdSense Sources
  AdSense – Good Traffic Comes
        from a Few Sites
• Making AdSense convert is largely a
  matter of eliminating non-converting
  sources
• Same concept with Site-Targeted
  AdSense – skim the cream
• www.PPSeer.com
     Google Campaigns: Divide &
         Conquer Example
• Break your traffic into slices of ~100 clicks per
  time period
• If 1000 clicks / week are available then you
  could break it down like this:

  Keyword #1: 200/week          USA: 70%   Google 40%
  Keyword #2: 200/week          UK: 20%    Search Network 10%
  Keyword #3: 100/week          CA: 5%     Content Network 50%
  Keyword #4: 100/week          AU: 5%
  Keywords #5-10: 100/week
  Keywords #11-20: 100/week
  Keywords #21-50: 100/week
  Keywords #51-1000: 100/week
     How to Break These Up:
1. Keyword #1 and US only and Google only =
   200/week x 70% x 40% = 56 clicks / week
2. Keyword #2 and US only and Google only =
   200 /week x 70% x 40% = 56 clicks / week
3. Keywords #1+2 and CA / AU /UK and
   Google+Search = 400/week x 30% x 50% = 60
   clicks / week
4. Keywords #3+4+5 and US+CA and
   Google+Search = 300/week x 75% x 50% =
   100 clicks / week
            Syndication Tip
• If a group is getting less than 50 clicks per
  week, then you can mix Google / Search /
  Content together, set content bids at the
  group level and split test your ads every 2-
  3 weeks.
• Your content bids simply need to reflect
  conversion rates

				
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posted:3/27/2011
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