Lee McIntyre went from overworked high school teacher to full time marketer in just 56 days. He is the founder of Aim Higher Marketing where he shows others how to use honest marketing to build profitable Internet businesses in record time.
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Different Solutions For Different People?
By Lee McIntyre | June 25, 2008
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Yesterday I got back from a LONG weekend in Newcastle Upon Tyne. One of the great things about running an Internet business is the ability to work from anywhere, and I’m strongly considering moving to Newcastle for a short while.
I went to Newcastle University, I love the area, and I still have friends who live locally too.
Suddenly I feel an urge to make the most of the freedom that my Internet business provides, and so I’m looking forward to spending some time in one of my favourite cities.
In Manchester I own a house that I’m currently selling, and so in Newcastle I plan to rent for a while. Over the weekend I looked at 7 VERY swanky city centre apartments overlooking the river, and now I can picture myself sat on the balcony, drinking beer and making money.
Are these apartments cheap? No way!
In fact, the apartment I like the most in the Baltic Quay development costs more than $2,000 a month.
I’m going to be working from home and I want to live in the city centre. I plan to do lots of writing, and so a balcony overlooking the river is enough to make me feel completely inspired.
Obviously $2,000 per month (£1,100) is a big amount, but at this stage of my life I’m more concerned with the benefits and the lifestyle than I am with the premium rental.
Let me take you back to 2001 when I was living in a student house in the same city…
At the time my main housing concern was to be living in a place that was as cheap as possible. I lived with 4 mates, and my monthly rental was just $168 (£84).
Now that might sound cheap in comparison, but trust me when I say that it felt expensive at the time! We had an amazing time of course, but if you actually saw the property you’d think we were being overcharged! 
As a student can you imagine my reaction to the thought of paying $2,000 per month rental? I probably would have either fainted or been violently sick!
Let me explain…
The Lee from 2001 wanted cheap and cheerful, with the very minimum of thrills. My bedroom view was of a backwall containing barbed wire and broken glass and that was fine by me.
The Lee from 2008 wants a fancy bachelor pad with a plasma TV and a riverside balcony.
You see, different people have different problems needing different solutions. What would happen if you were a letting agent just selling $80 properties to a group containing people looking for a $2,000 pad?
What would be the likely outcome if you were only selling $2,000 riverside apartments to a group containing people looking for the $80 budget option?
In both examples you’d be providing just one solution to people with different problems. And that means you wouldn’t be maximising your profits, and you’d be leaving serious cash on the table.
Let’s apply this lesson to your online business…
Whatever your niche you will have some subscribers who want the budget solution. Maybe a $7 report, or possibly a $27 ebook.
You’ll also have subscribers who have more urgent problems and so who are willing to pay a premium price for a solution that delivers.
Some subscribers will want basic ‘how to’ information. Others will want toolkits and ready made solutions. Others still will want DVD sets and audio CDs.
And the solutions your individual subscribers crave will vary over time, in the exact way that the solution to my housing problem today is hugely different to in 2001.
Think about this…
Right now your list is full of people looking for different answers. The question you must ask yourself is are you providing different solutions, or are you just focussed on one problem experienced by one type of subscriber?
Let’s look at the products in my business for example…
I have a $1,000 phone mentoring program
I have a $450 email mentoring program
I sell a $240 per year membership site and forum
I sell a $197 webinar course
I sell a $97 audio homestudy course
I sell a $37 ebook
I sell a $10 audio interview
I gave away lots of free reports.
Do you see my point? Not all my subscribers want to spend $10 on a solution. And not all want to spend $1,000.
To maximise my profits I produce products at multiple price points and in multiple formats. Why? Because this way I’m doing my best to cater to the different segments that populate my list.
Does your online business offer different solutions to different problems? If not you’re missing out. Realise that your email list contains a varied bunch of people looking for differnet answers and you’ll make more money as a result.
And if you understand that the solution someone craves today might be different to the solution sought tomorrow you’ll find it easier to develop the range of products and services that keeps your subscribers AND your bank manager happy.
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Topics: Marketing Lessons |
June 26th, 2008 at 4:12 am
Hi Lee,
Totally agree with you on having different kind of product at different price point. Because some people need more personal touch and are willing to pay for more.
Therefore, why not provide these service and earn more!
All the best for you in your new place
John Tan
June 26th, 2008 at 10:00 am
Ha, Ha, Ha. Seriously Lee!
If you think £1,100 is expensive, come and live down south for a bit.
I get your point though.
June 26th, 2008 at 10:36 am
@ Sam: Ha! I guess us northerners do have things a bit cheaper!
£1,100 nearly makes me faint….anything more and I’d pop!
Lee McIntyre
June 28th, 2008 at 10:30 pm
Lee - you talk absolute sense as per usual. I’m listening to every word you say because it’s GOLD!
Dan