Transcript continued from the Episode 005 Show notes

It’s time for the feature segment.

It’s time for the feature segment today, and we’re continuing our discussion about all the different possible internet business models. We’ve talked about affiliate marketing, last week we talked about eBay, we’ve talked about information marketing.

One thing I wanted to talk about today, because it’s timely, is the idea of creating residual recurring income through membership sites. In order to understand why membership sites are important, you really need to sort of understand the idea of a sales funnel. So, we’ll talk a little bit about sales funnels, and we’ll talk about membership sites.

This, again, points to one of the resources that I’ve provided you for this discussion, and that’s Jimmy Brown’s excellent report, which is called 10 Proven Ways to Make at Least 10,000 Dollars Every Month. In Jimmy Brown’s report, item three in that report is tap into the back end automatically.

Jimmy basically talks about the idea that most marketers really are concerning themselves with the creation of the sales funnel. If you’re not familiar with a sales funnel, I can sort of explain it to you like this. When you have an initial contact with a perspective client, you bring that person in to your range of influence and you essentially get their permission to receive your message.

Now, if you’re a person who’s being effected by TV marketing, sometimes you barely even have permission, you just happen to be watching the channel and you see a commercial and that’s sort of your first contact into the sales funnel for whoever is selling something to you on television. In the context of internet marketing, this sort of thing usually happens when you sign up to an email list.

You’re at the top of someone’s funnel, they’ve gotten your permission to market to you, basically. So, you’re at the top of their funnel. Then you might at some point buy an inexpensive product from them. That moves you a little further down the funnel.

You’ll find that a lot of internet marketers spend a lot of time creating more and more products at higher and higher price points to move you further and further down the funnel. You see, there’s a big difference between someone you’ve never talked to before, at the top of your funnel or just entering your funnel, and someone who’s bought two or three products from you over a period of time, who trusts you and understands the quality of your product.

So, that sales funnel should be architected to move you further and further towards purchasing higher and higher end products. That’s a classic marketing strategy. It’s not unique to internet marketing, but it’s used very well in internet marketing in a variety of product lines.

One sort of special version of that, that can replace the sales funnel to some extent, is the idea of continuity programs. One way to implement a continuity program is through a membership site. Now, a continuity program simply means, you can think of it as monthly billing.

Continuity programs have gotten a bad rap over the years, because of various problems, usually having to do with them being deployed in a sneaky manner. You’ll recall that Joel Comm had a problem where he had a continuity program attached to one of his Adsense books, I believe it was, and it wasn’t clearly indicated on the order form. A lot of people were upset with Joel, because he didn’t make it clear that in addition to buying the ebook for 9.95, you were also signing up for his 27 dollar continuity program.

Now, I happen to know Joel, Joel Comm is a really good guy. I really personally don’t think that was something that he did maliciously, but he upset a lot of people. So, continuity programs in general have gotten a bad rap.

Russell Brunson and others, particularly Jimmy Brown, have been talking about several ideas around continuity that make a lot more sense. One of the things that they talk about is micro-continuity through membership sites. Jimmy has an excellent course on this that he calls Membernaire. We’ll have a link to that in the show notes.

Membernaire is an opportunity to create what Russell Brunson calls a micro-continuity program. The way Jimmy does it is he creates courses that are finite duration. It’s one thing if you tell somebody that they’re going to need to pay 27 dollars, or 67 dollars a month for their rest of their lives.

But, what Jimmy says is, “Hey, we’re going to have a continuity program with a finite term. It’s going to be 6 months long, or a year long, it’s going to be 27 dollars a month.” You know the cost up front. It’s spread out over time.

Jimmy actually implements all of his stuff completely automatically, which is really neat. So, if you’re the product creator for a Jimmy Brown style membership site. Then what you can do is you can create these sites one time, market them, and then they run on autopilot all by themselves. It’s pretty interesting.

Now, there really are sort of three kinds of membership sites that Jimmy points out. Maybe four, I would say, Jimmy points out three. The first site that Jimmy points out, or sites that offer a service, if there’s something that you need over and over again rather than paying for it piecemeal you can create a membership site that offers that service over and over again or on a monthly basis. Web hosting is a really good example of that, that Jimmy offers.

There are other kinds of membership sites you can imagine. Help with homework would be an excellent example, or tutoring. Those kind of things you can offer in the form of a membership site. Related to that can be a site that offers lessons on a topic.

You could have 6 month, 12 month, or 3 month courses on how to get an online business up and running. That’s the example that Jimmy offers. How to start a restaurant, how to do home repairs, or how to do whatever it is that you know how to do.

That’s one of the exciting things about the idea of a membership site. If you’re an expert in something, and you can break it up into 48 or 50 or 100 easy lessons, then you can easily create a membership site that just drips those lessons out to your customers at a fixed rate. You just tell them up front, “You’re going to get one lesson a week, and here they come. As long as you keep paying, you keep getting lessons.”

The other kind of membership site that you hear about a lot is a site that offers a new product each month. So, each month you get a new PLR product or each month you get a new something that you need, new templates for a website, new content, new something, new cross stitch patterns, whatever it might be. People subscribe because they want that new fix of whatever it is that they need.

The other kind of membership that I think Jimmy didn’t mention, but he certainly knows all about this, because he does these sorts of things, are coaching programs. I think those are a special kind. They’re sort of like offering a service, but basically you’re paying to have some person on retainer to help you with whatever your problem. Usually those are implemented as a forum.

That’s just a few ideas that Jimmy covers in his book. He says, basically, you need to choose a niche, find out what they’re buying, and what they want, and then go build a membership site around that. I think that’s a really good idea.

The reason that I bring that up in this podcast is two fold. One is these are very, very important. In fact, I had a graphics guy tell me today that I was talking to by email, he’s over in Europe and is the guy who does most of my graphics for my sites, he told me there are four weeks out on graphics because of all these micro-continuity sites they’ve been doing based on Russell Brunson and Jimmy Brown’s sort of programs. So, they’re just swamped with work over all these membership sites that are being created. That’s one reason why I bring this up to you.

The second reason that I bring this up to you is if you’re interested at all in this, Jimmy is offering a webinar, and I’m going to give you the details on that at MasonWorld.com/jimmywebinar. That webinar is currently airing this Thursday. If you’re listening to this in a time shifted manner, go ahead and go to the link, it will give you the current next time for the webinar.

Basically, it’s an hour long tutorial from Jimmy on webinars. I’m going to see it for the first time tomorrow. I can tell you that I can recommend it without seeing it, because Jimmy is just a fantastic guy. If you don’t know Jimmy, it’s worth going over to the webinar just so you can get a sense of what he’s all about.

He’s really a fantastic marketer and somebody that I’ve really enjoyed getting to know over the last year or two. His stuff is top notch. He knows what he’s doing. He has personally created, I know for sure of two, but maybe it’s six of these sites, where he has over 1,000 members in each site. You go do the math. If you had 1,000 members in a membership site, each paying you 27 dollars a month. I think you might like that result.

That’s the main segment for today. I just wanted to tell you about that other income model, which is membership sites. The bottom line is if you know how to do something that people want to learn how to do, and you can figure out how to bust that up into courses, kind of like a Dummies Guide to Tennis, or a Dummies Guide to Fitness, or a Dummies Guide to whatever it is that you’re interested in, you can make that into a membership course.

You can recruit people into that course and have a recurring stream of income. You can set the whole thing up automatically, and Jimmy Brown is the guy to teach you how to do that. So, that’s another way you can make money online, and that’s well covered in the 10 Proven Ways to Make at Least 10,000 Dollars Every Month. That’s Jimmy Brown’s ebook, and that’s available at MasonWorld.com/10ways.

Thanks. That concludes the feature segment.

And now the feature interview.

Okay. Now it’s time for the standing interview segment that we’ve been having for the last couple of weeks. What I’ve been promising you is that I’d interview successful internet marketers and ask them the three most important things that they wished they had known about internet marketing when they first started.

This has been very exciting. But, recently I’ve been working with my nephew on his first website. He has an affiliate marketing site based around comic books, which is something that he is interested in. He’s a sophomore in high school, very intelligent young man, highly motivated, but didn’t really know anything about how money was made on the internet. Kind of like a lot of us when we first started.

So, I thought, “Wow. Here’s a guy who just learned how to make money on the internet.” He’s made his first 100 dollars, I think his site made 136 dollars in the month of August. He’s very excited about that. We’ve got big plans for the site, because we made that 136 dollars and we’re not even ranking on the first page of Google for our search term yet. So, we’re real excited.

I thought the interesting was 2 months ago he didn’t know anything about internet marketing. He’s done all the work himself. I’ve sort of led him through it, and helped him and coached him, but he’s done all the hard work, and he’s got a result to show for it.

So, I wanted to ask him what were the three things that he knows now that he didn’t know 2 months ago. The things that really stuck out for him. I got a very, very interesting answer from him and I wanted to share that with you.

Now, he’s a minor under the age of 18. Like I said, he’s a sophomore in high school. So, I’m not using his real name. we’re calling him Bob here for the purpose of this interview, which is really hilarious, because that’s not his name at all. So, you may hear us giggling a little bit in the interview about that.

The other thing I’ll tell you, I want to apologize in advance, this interview we did in my study. We had to move the microphone around, and I forgot to put the p-pop filer on. So, I’ve edited the interview to try and cut out the pops from articulating the letter P, which is the world’s most annoying sound.

I don’t quite have them all out of the interview, but I did the very best I could. I enjoyed the interview so much, I didn’t want to do another take. Here it is live, raw, and with the pops, my nephew Bob and our discussion about his internet marketing experience.

Mark Mason: Hey, this is Mark Mason. I’m actually in studio with my nephew today. A lot of you who have been following me over on Lynn Terry’s forum know that I built with my nephew a website about something that he was interested in, actually the website is about comic books. We built that website and in the first month were able to generate some revenue with eBay’s affiliate program. That was a very interesting process.

So, what I thought I would do is get some insights from my nephew, who is a sophomore in high school about what he’s learned from his experience making money online. I’ve been telling people, “If my nephew who is a sophomore in high school can make money online, you can make money online too.” I think that’s a pretty straight forward kind of way to think about things.

Now, I’ve agreed since my nephew is a minor under the age of 18, I’m not going to use his name. So, I’ve agreed to call him Bob for the purpose of this interview. Hi, Bob, how are you doing today?

Bob: Hi. Good. How are you?

Mark Mason: I’m doing great. Bob came over, he lives nearby. How long have we been working on this website together, Bob?

Bob: We’ve probably been working on it maybe since the beginning of last school year.

Mark Mason: Yeah, something like that. So, we worked on it for a couple of weeks, then we kind of dropped it, but then we hit it really hard this summer. Right?

Bob: Yes.

Mark Mason: So, my recollection was we didn’t make any money or really generate much of any content last year at all. We really started working on it about in July.

Bob: That’s right.

Mark Mason: We started making money on the website in August, right?

Bob: Yes.

Mark Mason: Okay, great. So, the website sat idle for awhile, and after about a month we started seeing a little revenue. That’s been really exciting. I guess it’s been exciting for me, has it been exciting for you?

Bob: Yes. It’s very exciting.

Mark Mason: Okay. So, you’re actually in a very prestigious position. I’ve been interviewing internet marketers from all over the world on this podcast and asking them the three things that they wish they had known when they started internet marketing.

I thought I’d turn things around today and ask you what are the three things that you’ve learned over the summer with your first experience in internet marketing that you just didn’t know before, that you’d want to tell someone about your internet marketing experience?

Can you think of one thing that just occurs to you just right off the top of your head, Bob? That’s not your real name, I know, but it’s kind of funny. Something that you learned over the summer, that you didn’t know before.

Bob: Yes. First, is how easy it is to get a website going. If you use a website like WordPress you just pick a theme you like, get it going, and put it up. It’s just easy to make one.

Mark Mason: That’s right. So, basically, what we did was we just simply found a theme that worked well with our topic of comic books. We actually found sort of a play on Superman theme, right?

Bob: Yes.

Mark Mason: We just used that on top of WordPress to create our little kind of ecommerce site. That worked out pretty well. It looked pretty cool?

Bob: It looks really cool, yes. A lot of neat features.

Mark Mason: I think, if I remember right, we asked a virtual assistant to make some small modifications to the site.

Bob: Yes.

Mark Mason: Right. So, we started with a theme that was pretty close to what we wanted, and we had a virtual assistant make some changes. Just a few dollars, literally a few hours work, someone offshore. It’s pretty much exactly the way you want it right now, right?

Bob: It’s perfect. Yes.

Mark Mason: Great. That’s the first thing. So, that point is a really good one. That is that basically anybody without a lot of technical savvy can have a website up and running very quickly by using WordPress. Is that pretty much what you’re saying?

Bob: Yes, sir.

Mark Mason: Okay, great. That’s thing one. That’s an excellent point. What’s your second thing that you kind of picked up this summer working on your WordPress website?

Bob: Probably number two is if you want to get your website going, something very important to use is keywords through Google. Pick out a keyword phrase, get backlinks to your website to get viewers to come to your site.

Mark Mason: Now, before this summer, did you have any idea, you’ve always used Google, right?

Bob: Yes.

Mark Mason: But, did you have any idea why pages came up on the first page of Google? Did you understand any of that before this summer?

Bob: I had no clue. I just thought it was random.

Mark Mason: So, we basically spent. I don’t know, about an hour? So, we got you started with the Easy SEO report from Josh Spaulding,that was really cool. Then we picked a keyword with some traffic. Where are we now with that keyword?

Bob: Just by using that one keyword we’re almost to the first page of Google. We’re kind of floating back and forth between page one and page two.

Mark Mason: So, we’re down kind of at the top of page two. We’ve got some tricks up our sleeve, maybe we’ll talk about that at the end of this, where we think that’s going to get us to page one.

Basically, pick a keyword that people are searching for and get backlinks to the website. That’s the offpage SEO part, getting the backlinks, but we also optimized the homepage for the keyword. Right? We’ve got it in there.

Bob: Yes, sir.

Mark Mason: Kind of in a natural amount of time. So, that’s just kind of common sense SEO, and you were able to pick that up pretty quickly, right?

Bob: Yes, sir, I was.

Mark Mason: Okay. So, the first thing that you learned this summer was that you can easily build a site with Wordpres.

The second thing that you learned is that once you build a site with WordPress, you can optimize it, both on the website and off the website, so that you’ll get listed in Google for a keyword that’s getting some traffic.

What’s a third thing that you learned this summer?

Bob: The third important thing I learned was if you can get traffic to your website, you can send them to other websites and earn commission off their views.

Mark Mason: Yes. We talked about that quite a bit this summer. That’s affiliate marketing. Of course, for our website, because we’re dealing with comic books, that’s just a perfect fit for eBay, right, because that’s where comic books are being sold.

Bob: Yes, sir.

Mark Mason: And you knew that already. You’d already been buying comic books on eBay. That’s in fact, how we got the idea.

Bob: Yes, I had.

Mark Mason: So, Bob is into comic books a little bit, and knew that there were transactions going on at eBay. All it took was for me to explain to you that you could build a website that drove traffic to eBay and get commissions, and we’re off to the races, right?

Bob: Yes.

Mark Mason: What we really want is to be on the first page of Google. So, why don’t you tell everybody what you have planned for, I guess we’re hoping to get the first draft of it done this weekend, you’re doing all the work. What do you have planned for this weekend?

Bob: We’re planning to write a press release to put out there to get our website on the first page.

Mark Mason: Yes. We’re following the Google First Page Formula, that’s the ebook that I’ve shared with Bob. He’s going to write a press release according to the Google First Page Formula, and we’re going to see if we can get the same results.

I’ve actually got a special link for that ebook, where I’ve got a discount available for the listeners in honor of Bob, since he’s going to be doing that this weekend. You can pick that ebook up for a 20 or 30 percent discount. I’ll be sure and put that link in the show notes. In fact, that will be at MasonWorld.com/press.

That’s great. Bob, I really appreciate you being on the show tonight. Tell me what you’re thinking about doing next. Are we going to build some more sites? How many more are we going to build or what are you thinking?

Bob: We’re just going to keep going until there’s nothing left to do. For all those people that are doing websites, don’t give up. It takes time, but it pays off.

Mark Mason: That’s excellent advice. I really appreciate it. Thanks for coming over. Have a great day.

Bob: Thank you very much.

Thanks for listening to the Mason World Late Night Internet Marketing Podcast. For more information about this program, and to get the show notes, be sure to visit our website at MasonWorld.com/podcast. Follow @MasonWorld on Twitter.

Have you got a question or comment for Mark? Let us know by leaving us a voicemail on our digital recording line at 214-444-8655. We may use your message on a future episode of the Mason World Late Night Internet Marketing Podcast.

Did you like our podcast? Help us out by telling your friends and leaving your review on iTunes by going to MasonWorld.com/iTunes.

Finally, always remember that all business involves risk. Internet business is no exception. Your ability to make money with the concepts discussed in this program and on MasonWorld.com depends on many things, including your effort and capability. Since these factors according to individuals, we cannot guarantee your success or income level, and we are not responsible for any of your actions.

Thanks again for listening to the Mason World Late Night Internet Marketing Podcast, building internet businesses one night at a time. Have a great day.

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