What is a Funded Proposal and Why You Need it?

Funded Proposal Define

In the online World, it is very important for you to utilize a funded proposal for your internet marketing business. It does not really matter you are in the home business niche, financial niche, health and fitness or other niche, you need to embrace a funded proposal pipeline in order to succeed in the long run. A well structure funded proposal marketing funnels can ensure your long term growth.

A funded proposal is defined as an on going marketing plan where you sell an inexpensive front end offer or product to your target audience at the very initial stage. Thereafter you establish your communication strategy via various marketing mix messages, cultivate the relationship and promote other relevant products and services on the backend of your funnels.

The aim is to capture the leads thus enable you to educate your prospect and promote multiple similar offers to your lists on an ongoing basis. Thru the entire process, you will be responsible to build trust with your audience, cultivate the right relationship and offer a win win situation for both parties.

Key Benefits of Using Funded Proposals

We all know that email marketing is key to success when comes to implementing your internet marketing strategy. Nevertheless, many didn’t realize how to properly structure the marketing mix in their email flow. That is how a well structured funded proposal comes into play.

In my opinion, there are top three benefits of utilizing a funded proposal strategy when comes to building your business.

1) Prospecting & Leads Generation

When you start driving traffic to your website, the first steps is always prospecting. Like a new date, you get to know your partner and find out whether there is a good match? The date might or might not turnout as expected, but the the key is you start unlocking the potential to move on to future long term relationship on your second and third dates. And this is an on going communication strategy and you would have to evaluate the strategy not only based on your observation but also your audience feedback!

Even you occupy an offline retail mall, there is no guarantee the prospects will but from you when they walk in your store. In the offline World, the customer relationship is built based on how good the salesman interact with the prospects.

Vice versa, in the virtual World, the relationship is always built via multiple layers of email communication, or so called the follow ups. We often hear that: “The money is in the list.” but I would rather say “The money is in the relationship.”

Bear in mind, not every time a prospect will buy something from you at the very beginning. The average conversion is around 1-2% depends on your offer and sales copy.

The key of having a funded proposal is to capture the contact details, so you can keep building that fruitful relationship for many years to come.

2) Relationship Bonding

Please keep in mind that, if you do not intend to capture the audience details, the minutes they leave your website..chances are 90% of them will not come back and revisiting your site. Thus it’s always key to get the contact details before you start selling.

The key of building a list is it allows you the opportunity to get to know your prospects or likewise. The truth is not all customers are created equally, the pivotal principal suggested that 80% of the sales are always generated from 20% of the customers who have previously bought a product from you before. That being said the larger your list size, the most successful you are going to become. You also have to keep in mind not everyone will buy from you all the time (including buyer who bought from you before), some may do it and some may not as everyone has different interest levels.

Relationship marketing also known as attraction marketing. The key is to engage your audience, build the trust and create a win win formula.

If you want to learn more about how direct marketing evolved and turn into attraction marketing, I recommend a good book: (Being Direct: Making Advertising Pay: by Lester Wunderman) Trust me, it is worth checking out:)

3) Scale Your Business

One of the undervalued benefits of having a funded proposal strategy is the ability to scale your business for many years to come. This example can be clearly illustrated in the network marketing industry. The pyramid keep growing and both parties keep winning. Bottom line, you will be able to sponsor more distributors and partners into your long term targeted business to create a win win situation.

What Should You Include in Your Pipeline?

In your funnels, you will always want to have a couple of options layout properly for your audience. I like to execute my strategy based on the below format:

• The front end offer – usually a low pricing item (less than <$50)
• Educational email series + Social proof
• The mid price offer – Mid price offer ($50-$100)
• Educational email series + Social proof
• High price item or Residual offer – ($100 and above)
• Educational email series + Social proof
• Rinse and repeat

 

In between these offers, it is key to establish weekly communication strategy with your prospect as you don’t want to bombard your list with offers all the time. I personally like to embrace 20% offer and 80% educational approach.

In Conclusion

Once you started to build trust with your audience, they will more open to you and listen to your voice. But please bear in mind, you don;t want to promote one offer for more than 20+ times in your follow ups as your prospects will get bored in reading your messages. Personally, I like to stick to the magic 10. After that, you should keep building your “portfolio products” in your marketing funnels and few of them will be best suited for your prospects in your funded proposal.

I hope this write up helps you understand better on how to structure a solid funded proposals. Feel free to share this post with your friends if you find it helpful, or leave comment and feedback.