With a good back end, you could make plenty of money from a front-end promotion that barely breaks even, or even loses a little.
In fact, many top marketers and companies build the loss into their front ends just to get the prospect to become a customer. They know what the lifetime value of the customer is, so they know how much they can spend to get that customer.
A good case in point are computer printer companies. They’ll sell you a printer (the front end) for less than it costs them to make it and distribute it. Why? Because they know that once you own the printer, you are going to buy ink (the back end) for that printer for at least a year or two, or more.
Many people would think that the printer is the main product. In this case, the main product is the ink. The printer is the means to the income stream that follows.
With the knowledge of how much you’ll be spending with them for the life of the printer, it’s easy for them to sell you the printer at an inexpensive price to turn you into a customer.
So, a good back end is where your profits lie. Design it correctly, and watch your bank account swell.
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