Lead gen quizzes 101: aka the interactive path to enthusiastic leads

Are you getting lost in a market flooded with free ebooks? Or frustrated at having to give out blanket advice? Well, it’s time to take inspiration from old-school magazines.

Making leads feel like individuals

How would you feel if you walked into a doctor’s office, told them a single symptom like stomach pain…and then they monologued at you about potential treatments for twenty minutes.? You would probably feel a lack of empathy – like the doctor wasn’t fussed about understanding your exact situation.

Contrast that to being asked a whole series of questions. Maybe they even correctly predict details like “let me guess, does it typically hurt around 1hr after eating?”. You get a confidence boost that they get what you’re going through and will give relevant advice.

It sounds ridiculous, lead magnets go with the first approach.

They draw people in based on a single pain point, then give some general advice about how to fix the issue. At best, they have a few sections acknowledging different ways it might play out.

Quiz Funnels Example
Want to get meta? You can take a quiz about whether you should create a quiz on askmethod.com

From Buzzfeed to Big Bucks

Personality quizzes have been around for almost 100 years, when Meet Yourself, a 336-page home-psychoanalysis test was published in 1936.

They became a common feature in magazines like Seventeen, Esquire and Men’s Health. Covers often posed questions such as “Which Backstreet boy is your perfect match?” or “What fad diet is right for your body type?” to entice shoppers into buying.

Then of course came the internet.

Quizzes became a core tactic in the world of clickbait. Whether it’s assigning people to Harry Potter houses, guessing where your accent is from, or testing your music knowledge, they regularly get millions of users and go viral.

Businesses started catching on as tools or plugins made building quizzes more accessible.

Companies such as LeadQuizzes or Typeform let businesses add fully customized quizzes to their website in a matter of minutes. They can be on a vast range of topics such as 

  • Is your business idea profitable?
  • What is your sleep hygiene score?
  • Which coffee blend is perfect for you?
  • Discover the foods aggravating your IBS
Copywriter Quiz Funnel
A B2B focused quiz from copyhackers.com

They can be extremely effective. According to LeadQuizzes they have an average lead capture rate of 33%. Quizzes and calculators are ideal for catching the interest of people who want more detail about a certain topic, so it’s no wonder that quizzes for Facebook ads are a popular strategy!

Diagnosing the mystery rash

That brings us to the first key question when setting up a funnel; what topic should you choose?

Obviously, it should be related to your business. Don’t go creating a quiz about Marvel heroes if you’re trying to attract potential leads for a course on SEO. Quizzes typically come in two general flavors:

Personality quiz – these are feel-good “which X are you?” tests that make people feel seen. They have a higher chance of going viral, but the leads won’t be as warm

Diagnostic quiz – these run through symptoms or experiences to find what’s causing issues. Showing people you understand their issue is great for attracting strong leads.

Diagnostic quizzes are more directly related to lead gen, so we will focus on them for this article.

To come up with your quiz idea, think about those nagging pain points that prospects struggle to solve. They should be the mystery rash they keep scratching but without any source of relief, that the usual creams can’t heal.

A bigger pain point will hit harder, so go for the issue keeping them awake at night if possible, 

You don’t have to get too left field with your ideas. If you have a set of default fact-finding questions you ask new customers, these can form the basis of your quiz.

Keep the quiz simple

It is easy to get caught up in the details when building a quiz. You might want the results to be as bespoke to each person as possible.

But the truth is, a few buckets will usually do.

Think of 3-5 groups you can separate customers into. It might differ on the issues they are experiencing, suggested ways to solve them, or level of pain awareness.

You can then work backward from there, coming up with the questions needed to separate people into these groups.

Once you have those planned out, build out the quiz in your chosen tool. You will be able to set up definitions such as “if answered c to q3, then show results page X”.

We would recommend making your quiz 6-10 questions long. Too short and it can feel uncaring, while too long can cause people to drop out.

These questions don’t even have to help you define which result people are shown. They can be just for fun, or even to help you find out more about your potential customers such as asking about demographics.

Measuring quiz performance

You will want to optimize your quiz funnel to bring in the most possible sales. That’s why you will want a set of metrics such as

  1. Number of visitors to the quiz page
  2. Quiz completion rate
  3. Conversion rate from quiz to purchase

You want to find a quiz that is both appealing in itself and as a source of good potential customers.

That sounds easy, but it is easy to get distracted by your metrics.

If you use a tool such as Google Analytics, it will be easy to look at the immediate stats such as how many people complete the quiz and turn into a lead. Running a tripwire quiz, where the results page is a sales pitch gives you some easy data about the related revenue.

But, what if you want to nurture these leads?

Back in my agency days, I had a client who offered a fitness course. So, we sold a recipe book for fitness folk. It was very popular, and we figured these leads would eventually buy after going through our email sequence. But, we were wrong. It turns out the people who enjoy cooking healthy food aren’t necessarily the people who enjoy working out. The quiz was tangential but wasn’t connected.

Ideally, we would recommend testing three or more variations of your quiz. It might be as simple as a tweak to the title or as big as a full overhaul.

Just like with lead magnets, not all quizzes are created equal. At SegMetrics we typically find a 3-10x variation in the lead-to-sale conversion rate for different lead magnets.

How to get the numbers

Even if you are immediately pitching your product after the quiz, it is important to measure long-term performance. 

People might not always be ready to buy and need some more nurturing.

Frank Kern is a big advocate of looking at the long-term picture. In his Hardcore Scaling YouTube series, he shows an example of a campaign that looks like it’s wasting his money.

Very few people are buying within 7 days of clicking the ad. Yet when he expands that to 4 weeks, the RoAS jumps up to 200%. The campaign was bringing in good leads, it’s just that they needed educating for a few weeks.

Step 1: Tag people with the quiz and results

Your email platform should support contact tags.

You can use this feature to add relevant information to people who join your list through a quiz. Tag people with both the name of the quiz and a segment based on the results.

We can’t give instructions for every platform, but as two examples…

Infusionsoft – Drag a web page automation goal onto a campaign canvas and double click to configure it. You can then add the URLs for your different result pages, along with adding a code snippet.

ActiveCampaign – Click through automations > start from scratch > web page to define the result pages, then use action options to define what tag should be assigned.

Integrated tools – Some quiz builders such as LeadQuizzes can natively connect to a range of CRMs including both Infusionsoft and ActiveCampaign, letting you map quiz results directly to different tags.

Step 2: Find the LTV from each quiz

The next step is to find the sales associated with each quiz over a meaningful timeframe. There are three main methods for this, depending on your setup.

Option A) Export and manipulate data from your email platform

If your email platform already imports revenue data then it’s a matter of viewing the revenue per tag. To do this you will need to:

  1. Export the list of subscribers, then tidy it up so it is just the name, quiz tags and revenue.
  2. Create a pivot table between the quiz tag, and the number of core purchases and revenue that were generated by those contacts.

Option B) Export and merge the lists from your email and payment platforms

The aim is to match up the email addresses of people on your subscriber list with customers in your payment processor. That way you can see the revenue associated with each quiz. To do this you will need to:

  1. Export the list of subscribers, then tidy it up so it is just email addresses and quiz tags.
  2. Export the list of customers from your payment processor and again tidy it up into only email address and revenue.
  3. Use a VLookup to attach the sale to their subscriber entry
  4. To see how much revenue is associated with each tag

Option 2c) Do it in a few clicks with SegMetrics

There are funnel analytics tools designed to look at long term customer data.

SegMetrics will directly collect information from multiple sources, such as your subscriber data and payment processor to let you analyze lifetime revenue.

Quiz Results

You can even connect SegMetrics to your ad platforms. That will let you see the lifetime RoAS for each campaign based on the revenue associated with each quiz campaign.


Want help optimizing your quiz campaign?

If you want more detail about how to optimize your quiz funnels, then go ahead and register for our FREE Teachable Course that includes webinars with Chanti Zak and Jason Resnick that will help you connect with your audience in ways you didn’t think were possible.

We will be going through all the necessary steps to track LTV from quizzes and to optimize them for long-term performance.


Vanessa Copley

Vanessa Copley is a business automation specialist and the founder of Custom Client Journey. She specializes in client journey management and bringing the human touch to your automated experience. In her free time, she enjoys reading science fiction and horror novels, studying real estate, practicing Tang Soo Do and spending time with her amazing children, the love of her life, and their birds and guinea pigs.

Why Facebook’s attribution data is mostly guesswork

One of the biggest challenges when running ads is measuring accurate attribution data. This is difficult for a number of reasons, including the fact that different systems calculate metrics and attribution differently.

Differences in measurement approach mean that SegMetric’s will typically disagree with the sales according to facebook. They include:

  1. Facebook measures thank-you page visits or web events, while SegMetrics looks at processed payments
  2. Facebook only attributes conversions to Facebook clicks, while SegMetrics attributes across all of your ad platforms
  3. View-through attributions will take credit for a sale, even if a customer barely glanced at the ad
  4. Facebook has a 7-day attribution window by default, which will miss sales that take over a week to convert

Let’s look at these in more detail…

Web events vs Payment Events

Facebook really only attributes checkout events, not real revenue. 

In marketing analytics, it is important to define a Source of Truth. Ideally, your Source of Truth should be as close to reality as possible. When measuring sales this means processed payments, or when measuring leads it means contacts in your email marketing system.

Facebook’s Pixel can’t access either of these sources of truth. It looks instead at javascript events or thank-you page visits. That means, it will still report that a sale has occurred even if 

👎 the payment fails
👎 the purchase is refunded
👎 the order is canceled later on

These uncompleted purchases can quickly burn through your profit margin, so it is vital to use an attribution tool that helps you avoid fake “sales”.

Similarly, leads can be double-counted over multiple browsers and sessions, even if there’s only one contact in your email marketing system.

SegMetrics hooks directly into your payment provider and email platforms. That lets us only report on actual sales that turned into money in the bank or leads that made it into your subscriber lists.

Facebook Focused vs Holistic Attribution

Accurately defining which clicks are responsible for a conversion is the most challenging part of marketing attribution.

Facebook makes things easy for itself…by pretending other ad platforms don’t exist.

Facebook’s first and last touch attribution only looks at the attribution within their platform. They will still claim credit for a sale even if there were other clicks, such as on Google or AdRoll, since their Pixel ignores these other touchpoints. We call this greedy attribution.

SegMetrics instead looks at all possible touchpoints and attributes leads and purchases to the corresponding ads based on your selected attribution model. This creates a holistic attribution system, which gives you true attribution across all of your marketing tools.

Facebook will claim attribution even when visitors came from other sources before or after

7-Day vs Lifetime Attribution

Facebook is limited to a 7-day click attribution window.

This means the attribution data is missing anyone who took their time before making a purchase. You can check your own typical time in Google Analytics, using their Time Lag report. For SegMetrics, it looks like this:

The Time Lag report for segmetrics.io

For our own funnels, Google reports roughly half of signups occur after 7-days. For e-commerce, we have typically seen an average of around 14 days from first ad click to purchase.

Note:  this stat can be distorted by people who came back after 30 days, whose cookie will have reset so that signup will now be measured as same day.

The 7-day window is dangerous as it can mislead marketers. In an attempt to follow the data, advertisers will be biased towards impulse buyers, disregarding potential customers who take a slower approach to making a purchase.

Facebook’s Inflated Metrics

Facebook has a history of dodgy data…

In 2018, they paid $40 million in a class-action lawsuit for inflating viewership metrics of their new video ads service by 150% to 900%.

While it disputes the lawsuit, Facebook did admit in 2016 to inflating its average video viewing figures by only counting views that lasted longer than three seconds.

— Fortune

This focus on video, unfortunately, decimated the written journalism industry, as the high-value metrics convinced publishers to move to video.

Unfortunately, that’s not the only time Facebook has been caught muddling the attribution metrics — and were sued again for misrepresentation of their “estimated potential reach” data.

The lawsuit cites an example when Facebook told advertisers it had a “Potential Reach” of 230 million adults, even though census data showed only 170 million were using Facebook. – CNBC

Then they blundered again with the “Conversion Lift” tool. A bug was found that lead to over attributed view-through sales. In some instances, Facebook are compensating advertisers for vouchers for millions of dollars of ad credit.

It’s reasons like these that it’s difficult to implicitly trust Facebook’s black-box data, and why it’s important to use data in holistically attributed, accessible systems like SegMetrics.

How to Determine the Truth

One of the core tenets of SegMetrics’ reporting is that all data should be available and accessible. You can see exactly which leads, customers and purchases are making up the data in each report.

Accurate attribution means no more inflated metrics.

You can then click into a contact to see details of their journey, down to every ad click, tag and purchase they have made. It gives you the ability to see how Facebook ads truly contributed to individual sales, instead of taking them on good faith.

Step 0) Trust but verify

We don’t want blind faith from our users. You should first verify your SegMetrics setup, such as that your ad_ids are pulling in and that your Pixel is firing for accurate attribution.

Start by going through your custom setup guide and the troubleshooting SOP. If you’re confused about any step, you’re welcome to email [email protected]

Once you’re set up, there are a couple of simple steps you can take to quickly understand where your conversions are coming from, and what your true ad attribution is. Check out these helpful articles we have on Facebook Lead Ad Tracking and Setting Up Facebook Ad Tracking.

Step 1) Filter to show only Facebook Ads

In the default report, SegMetrics will report across all of your ad platforms, and attribute leads and purchases correctly to the platform that brought them in. Facebook defaults to assigning all multi-touch attributions to Facebook.

To only show purchases that involved a Facebook ad click on their journey, go ahead and add a report filter.

Then make sure your date ranges are matching up.

Step 2) Flip the Script

The easiest way to get our true attribution numbers is to flip the script, and look at the leads or purchases for a single day, and then see where each one came from.

This can be a little time consuming, which is why we recommend looking at a day or two of day, but it’s the best way to understand the full customer journey of your ads, and verify what Facebook is reporting.

From the New Leads or Orders report, choose a specific 1 or 2 day timeframe that you can easily confirm with live data.

Next, choose the Contacts or Purchases table to get a list of all the contacts or customers that came in during that day. You’ll see their first-touch information in the report, which gives you a quick view if you are getting tracking or not.

Accurate Attribution Data starts with a client by client view.

Click the Open icon next to each of the names to open the contact’s full customer journey.

Contact Activity in SegMetrics

Here you can see all the clicks that a contact has made during their marketing lifecycle, and quickly verify which purchases and conversion events are attributed to which ads.

Conclusion

Multi-Touch Attribution will always be a challenge for digital marketers. That’s why the most critical tool a marketer can have is an accurate attribution platform that allows you to verify the metrics it reports on — by being open about the data it collects, how it attributes, and its limitations.

There will never be a perfect marketing tool. But SegMetrics is dedicated to being open with its attribution and data, so that you can trust the marketing decisions you make.

Because you can’t reliably improve your marketing if you can’t trust your reporting platform to have accurate attribution data.

Vanessa Copley

Vanessa Copley is a business automation specialist and the founder of Custom Client Journey. She specializes in client journey management and bringing the human touch to your automated experience. In her free time, she enjoys reading science fiction and horror novels, studying real estate, practicing Tang Soo Do and spending time with her amazing children, the love of her life, and their birds and guinea pigs.

Don’t let adblockers disrupt your data, with the new Self-Hosted Pixel

In an age where some websites shove in more ads than halftime at the Superbowl, it’s understandable that 43% of people now use some kind of adblocker.

Self Hosted Pixel
What do you mean “Too many ads?”

According to the Digital Trends report, the top reasons for using an ad blocker are:

  • 22.3% – Excessive amounts of ads
  • 22.3% – The irrelevance of ad messages
  • 19.9% – Ads are too intrusive
  • 16.7% – Ads take up too much screen space
  • 16.5% – Ads might contain viruses or bugs

And we agree with that. Ad overload makes the internet worse for everyone, so we respect people’s choice to block them. 

Blocking more than just ads

Unfortunately, other tools can get caught in the net.

For example, many adblockers stop Google Analytics from running, despite that it has nothing to do with displaying ads. It has many uses for website owners, such as monitoring that everything is running smoothly.

Some extensions also block the Facebook Pixel, in a quest to stop Zuckerberg and co. from watching you across every website. Combine this with the iOS changes, and measuring RoAS becomes a real challenge.

Even tools such as Google Tag Manager are often blocked, despite just being a container.

Dressing the part

SegMetric’s snippet plays by the rules. 

We don’t have anything to do with showing ads…

We don’t watch visitors anywhere other than your website…

We only save data about people who submit their email…

But, a few services take a sledgehammer approach that stops our snippet from loading. They stop any 3rd party javascript snippets from running, despite that this includes completely innocent tools.

But, our new Self-Hosted Pixel lets SegMetrics dress the part.

Think of an ad blocker like a simple security guard. If you walk past the desk wearing the company’s uniform, he’ll let you go past. But if you look like an outsider, you’ll be stopped and inspected.

With the Self-Hosted Pixel, the snippet will be dressed to look like part of your website’s infrastructure. Ad blockers won’t stop data from going back to the original domain, so you get 100% of your visitor data.

Performance tracking for every visit

Setting up the Self-Hosted Pixel only takes a few steps to configure. You will then get the full advantage of server-side tracking, but without the complex setup.

  1. Add a new CNAME record so your server talks to SegMetrics
  1. Enable the Self-Hosted Pixel option in the settings and message the domain name to our support team so they can double-check to make sure everything is configured correctly!
  1. Copy the updated SegMetrics Tracking Pixel onto your site to use your new Self-Hosted Pixel

That’s it! Your SegMetrics pixel will run smoothly for every visitor to your site, giving you even more accurate data.

Start Hosting Your Pixel

If you have a SegMetrics account, then read the support doc for more detailed instructions for how to configure your pixel.

Or if you’re not yet a user, go ahead and grab yourself a free 14 day trial.

Vanessa Copley

Vanessa Copley is a business automation specialist and the founder of Custom Client Journey. She specializes in client journey management and bringing the human touch to your automated experience. In her free time, she enjoys reading science fiction and horror novels, studying real estate, practicing Tang Soo Do and spending time with her amazing children, the love of her life, and their birds and guinea pigs.

How to track Frank Kern’s HARDCORE SCALING method with SegMetrics

Want to take your funnels to the next level? Well, we would highly recommend you check out Fran Kern’s Hardcore Scaling YouTube series.

If you don’t know Frank Kern, he’s a marketing legend. He has been one of the top guys for over twenty years, especially in the direct response world. Having come out strong through the various waves of internet marketing changes, he’s definitely a dude worth listening to.

In the series he drops consistent wisdom bombs about how to give your marketing a boost. 

You will also see him using SegMetrics to analyze his own key metrics and marketing performance. These metrics are critical to his method of looking at long-term performance, so we wanted to take you into more detail about exactly how SegMetrics gives you access to the key insights you need to pull off his new strategies.

Focusing on more than attention

Frank defines the four steps to a sale as:

  1. Attention
  2. Lead
  3. Offer
  4. Follow Up

He discusses how most modern marketers typically focus on the attention stage. They spend most of their energy on ad campaigns and landing pages, trying to maximize the number and cost of leads they’re bringing in.

Attention is great, but it’s only the tip of the sales iceberg.

The next three stages are where the real salesmanship kicks in. It’s building up the desire for your product or service, then helping them make the decision to buy.

Think of it like a car dealership. Getting people in the door is great, but won’t matter if nobody is being offered test drives and your sales technique is turning people off. Getting traffic from ads is the same, it’s only people arriving through the door.

Being Misled by Metrics

This focus on attention and traffic is reinforced by the tools marketers have had access to.

The data within Google Analytics and Facebook’s Ad Manager is mainly designed to look at the Attention stage. With limited tracking and short attribution windows, they can only measure the revenue associated with very simple sales processes, such as an impulse buy in an ecommerce store.

But you can’t measure the full journey with these tools if you’re running more complex sales processes, such as a 30 day email funnel, a subscription trial period or following up with a sales call.

If the only metric marketers can measure is Attention, then it’s no wonder it becomes our sole focus.

After all, any attempts to improve the Lead, Offer or Follow-Up stages feel like stabs in the dark if we can’t measure the impact. You might deploy a new email sequence, but it won’t feel as rewarding when you can’t measure the impact it has had on your sales.

So, that’s why it is crucial to analyze LTV with a tool like SegMetrics.

It lets you analyze the full customer journey across the 4 stages, no matter the funnel length. You can measure the LTV of every lead across weeks, months or years, plus you can see how different funnel strategies affect your revenue.

Want to know the key data Frank Kern looks for? Well keep on reading

Lesson #1: Stop focusing on cost per lead

Cost per lead (CPL) is the key criteria people discuss when evaluating ad campaigns. People will cut campaigns with a high CPL and boost ones with a low CPL.

But really, the only thing that matters is return on ad spend (RoAS).

Unfortunately, not all lead sources are created equally. Far too often, the campaign bringing in cheap leads isn’t actually bringing in customers. Meanwhile, the expensive leads are regularly making purchases. 

What you really need to do is measure RoAS, which campaigns are actually bringing in a return.

SegMetrics helps by: tracking visitors through your funnel, not just until they become leads

Lesson #2: Look at long term RoAS

Don’t be too over eager when looking at your RoAS.

We can’t expect everyone to instantly whip out their credit card and throw money at us. This is where the Follow Up stage comes in.

You need to be patient, giving leads the time they require to decide that yes, they do want your product.

That means your metrics need to be patient too.

Frank gives the example by looking at one of his own campaigns. When looking at the RoAS within 1 week of people clicking the ad, the RoAS was down at 20% suggesting they were wasting money.

But, he then expanded the view to 4 weeks and the RoAS jumped up to 200%! The leads were great, it was just that they needed a few weeks of follow-up before they purchased.

It is only by looking at the long-term RoAS that he was able to assess which ad campaigns were turning a profit.

SegMetrics helps by: tracking lifetime spending per lead, even if purchases happen offline or on a different platform

Lesson #3: Test your offer and follow up

Your follow-up strategy could be secretly losing you sales.

When was the last time you gave your sales funnel the same care and attention you give to your ad campaigns? It is always worth coming up with a new array of ideas to test.

Maybe your webinar topic is missing the mark, you could be better segmenting your list into different groups, or offering a sales call would boost conversions? There are plenty of opportunities to test.

But of course, you’ll want to measure more than just email click rates. Using a tool such as SegMetrics will let you see how each new idea affects the revenue per leads.

SegMetrics helps by: letting you A/B test whole sequences or strategies, along with seeing how different groups of leads respond to each idea

Suggestion #1: Upload lookalike audiences

You probably teach your AIs to send you more traffic like the people who met an initial goal like downloading the lead magnet.

But what if you could use a higher quality indicator? Like just the people who watched the full webinar, booked a sales call or read the full email sequence?

You can use SegMetrics to upload lookalike audiences based on any lead attribute such as actions they are tagged with.

It ties into Frank Kern’s methodology of Behavioral Dynamic Response.

It is all about carefully responding to the lead’s behavior and guiding them through to the sale, instead of just sticking all onto a conveyor belt.

Suggestion #2: Optimize for sales with Conversion Feeder

Even better than indicators of lead quality is knowing which leads made a purchase.

Tools such as SegMetrics’s Conversion Feeder can feed attribution data back to the ad AIs, even if they were outside the inbuilt attribution window.

That means the bots will know which ad clicks bought in actual revenue. They can optimize for traffic that turns into customers, not just leads.

If you then improve your follow-up, there will then be more data to feed the bots, letting them better refine the traffic, and causing a great big positive feedback loop.

——————————-

Optimizing your marketing means going beyond the Attention stage. And that means going beyond Google Analytics and Facebook’s Ad Manager, and using tools that allow you to track the full lifecycle of your customers.

When your tools limit you to only focusing on Attention metrics, then the only thing you can optimize for is Attention, and lose sight of the revenue sitting right beyond your key metrics. Without lifecycle attribution metrics, any attempts to improve the Lead, Offer or Follow-Up stages feel like stabs in the dark.

Get started with your free trial of SegMetrics today — and start getting the marketing insights you need to pull off the Hardcore Scaling strategies.

Vanessa Copley

Vanessa Copley is a business automation specialist and the founder of Custom Client Journey. She specializes in client journey management and bringing the human touch to your automated experience. In her free time, she enjoys reading science fiction and horror novels, studying real estate, practicing Tang Soo Do and spending time with her amazing children, the love of her life, and their birds and guinea pigs.

Tripwires 101, aka stop with the free stuff

Getting lots of leads but few sales? Or people who are getting sticker shock at your prices? Well, a tripwire offer could be just what you need.

Why lead magnets are like lettuce

How many free ebooks do you have sitting forgotten in your inbox? Ones where you gave them your email but then never got around to reading them.

It’s like lettuce. We pick one up with the best of intentions, convincing ourselves we’ll be virtuous and make some healthy salads. But we never get round to it, so it just sits there wilting at the back of the fridge until it starts smelling funky. 

So it’s not surprising that 700 million pounds of lettuce end up in the garbage each year.

Ebooks often suffer from the same fate. People grab them with the best of intentions. We want to learn the business advice, health tips, or whatever else was in the ebook. But, we get distracted so leave them to sit forgotten in inbox (although thankfully without the smell).

Using them to start building a relationship isn’t effective if they just get ignored. 

“People value what they pay for…You’re not doing [prospects] a disservice by charging them, you’re actually doing a profound service for the people who want to take action.”

Ramit Sethi

Sure, you can hope that people read your follow-up emails despite not opening the ebook. But, don’t trust your open rates, because they’re definitely lying to you.

Stop undervaluing your content

Yes, you’ll get more conversions if you give something away for free…

…but will that actually lead to more revenue?

If your core product has a three or four-figure price tag, it’s sensible to avoid the sticker shock and not scare people away.

A great alternative approach is a tripwire campaign, where you first sell a low-priced offer.

For example, let’s say your main product is a $300 dollar course. You want to give people a low-stakes first interaction, so you could offer a $20 mini-series as a first purchase.

Or perhaps you offer high ticker consulting services? A popular tactic is to sell a short book filled with advice as a low price introductory product, which is “free” other than the price of shipping.

Add a valuable tripwire offer

There are then two potential funnel strategies:

  1. The immediate upsell, where the checkout sequence pitches higher value products
  2. A nurture sequence, giving them time to find value from the first product before upselling

Both aim to sell the full course, with the best approach depending on your content and sales style.

A 2-Step Tripwire Sales Funnel

OptinMonster suggests this 2-Step approach for a tripwire sales funnel

Advantages of a tripwire

As well as making a bit of extra revenue, running a tripwire has various advantages compared to a lead magnet:

Freebie hunters – you don’t want an email list of people only after free tips. Charging upfront removes these time wasters.

Value perception – all of your content is valuable and helpful, so charge for it! Instead of making it a major jump from free to paid.

Cover ad costs – Revenue from the tripwire can go a long way to covering your advertising costs, giving you a much bigger reach.

“Yes” mode – it is easier to pitch the high ticket product when customers are already in a purchase mindset and happy to buy from you

So if you’ve been building your email list with dubious results, then go ahead and try selling a low-priced entry-level product instead.

Matching up the three pieces

Much like with lead magnets, the key is to optimize the set of three parts. That’s why you’ll want a set of metrics such as 

  1. Cost per visitor to the tripwire page
  2. Conversion rate for the tripwire
  3. Conversion rate for the upsell

You want to find a tripwire that will attract folk who will want the upsell. That sounds easy, but it is very easy to be misled by your metrics.

Tools such as Google Analytics make it easy to measure how many visitors are buying your tripwire. If you’re upselling them the same visit then it will also capture that data, but if you’re taking your time to nurture them first then it will fall short.

This can be dangerous, as a more popular tripwire won’t always mean more core product sales.

Here is an example of a previous client who had a fitness course, who was selling a recipe book for fitness folk. It was very popular but didn’t lead to many course sales. It turns out the people who enjoy cooking healthy food aren’t necessarily the people who enjoy working out. The tripwire was tangential but wasn’t connected.

Connect account data with Segmetrics

Take this set of lead magnets from EOFire. The Resource Guide is the most popular with 4,029 downloads, yet the Cheatsheet, Burnout Template, and 5 Reasons are all converting to paying customers at triple the rate

It is far more profitable for EOFire to promote these resources that are less initially popular, but more often lead to sales.

That is why it’s important to test a few different products before throwing resources promoting one in particular.

How to measure your tripwire performance

Even if you’re immediately pitching the upsell, it’s worth measuring long-term performance.

Frank Kern covers this in his Hardcore Scaling YouTube series. His campaigns look like they’re losing him money if he measures the sales generated within a week of people clicking an ad.

But, he then expanded the view to 4 weeks and the RoAS jumped up to 200%! The leads were great, it was just that they needed a few weeks of nurturing before they purchased.

It is only by looking at the long-term RoAS that he was able to assess which ad campaigns were turning a profit.

(Note: SegMetrics reports on this in the “Sales Velocity” report, showing the time from lead to first and second sale)

So, let’s look at how to measure the total revenue your tripwires have brought in.

Step 1: Tag your contacts

Use the tagging feature within your email platform.

Most major email platforms will let you tag subscribers with extra information. This might be the URL of the signup page or the name of the product they purchased.

We can’t cover every system, but for two examples…

HubSpot – HubSpot’s automations can enrich the contact’s data to show what product they purchased. 

Create a static list for each tripwire, then add an automation step to add contacts to the relevant list after they complete a purchase.

Add tripwire leads to a relevent sequence

MailChimp – Use Mailchimp’s automations to add tags to each contact. 

Create a separate tag for each tripwire, then tag people with the relevant one when they make a purchase.

Step 2: Find the LTV from each tripwire

The next step is to find the lifetime value of customers who bought each tripwire, even if their follow-up purchases were much later.

There are a few ways to do this, depending on your setup.

Option A) Export and manipulate data from your email platform

If your email platform already imports revenue data then it’s a matter of viewing the revenue per tag. To do this you will need to:

  1. Export the list of subscribers, then tidy it up so it is just the name, product tags and revenue.
  2. Create a pivot table between the tripwire tag, and the number of core purchases and revenue that were generated by those contacts.

Option B) Export and merge the lists from your email and payment platforms

The aim is to match up the email addresses of people on your subscriber list with customers in your payment processor. That way you can see the revenue associated with each tripwire. To do this you will need to:

  1. Export the list of subscribers, then tidy it up so it is just email addresses and tripwire tags.
  2. Export the list of customers from your payment processor and again tidy it up into only email address and revenue.
  3. Use a VLookup to attach the sale to their subscriber entry
  4. To see how much revenue is associated with each tag
Segmetrics Makreting Analytics

Option 2c) Do it in a few clicks with SegMetrics

There are funnel analytics tools designed to look at long term customer data.

SegMetrics will directly collect information from multiple sources, such as your subscriber data and payment processor to let you analyze lifetime revenue.

Order placed
ProductPurchasesLTVRevenue
Tripwire A23$82$1886
Tripwire B7$96$672
Tripwire C40$16$640

You can even connect SegMetrics to your ad platforms. That will let you see the lifetime RoAS for each campaign based on the revenue from both the tripwire and upsell.

Vanessa Copley

Vanessa Copley is a business automation specialist and the founder of Custom Client Journey. She specializes in client journey management and bringing the human touch to your automated experience. In her free time, she enjoys reading science fiction and horror novels, studying real estate, practicing Tang Soo Do and spending time with her amazing children, the love of her life, and their birds and guinea pigs.

Great News, Open Rates are Dead!

We’re very excited here at SegMetrics to hear that open rates are the next victim of iOS updates. It’s a similar change to Gmail’s image prefetching update a few years ago, which will make open rate stats even more drastically inflated and meaningless.

“The iOS 15 update means that marketers could lose around half of their open rate data. That will render it effectively useless, as it can no longer be used as a legitimate KPI or optimization metric.”

Omnisend

And that’s great news! Because do you know what’s worse than not optimizing your campaigns? Optimizing them for misleading metrics…

Open and click rates – misleading marketers for decades 

Here at SegMetrics, we’re big optimization nerds. There’s nothing we love more than combing through data to determine what’s working.

So you’d think we’d enjoy open rates, rights?

Well, the bad news is that testing subject lines to improve open rates has never been helpful. According to Mailchimp’s data:

“Unfortunately, we found that opens and clicks don’t predict revenue any better than a coin flip!”

This is confirmed by research into 50 million emails, that concluded:

“Open rates wrongly predict success 53% of the time”

Or in other words, an improvement in open rates has no connection to improving sales.

(Note: We’re sorry if this reality check is distressing. We’ll understand if you want to take a minute to try and reason why we’re wrong)

Focusing on what matters – money!

Now we’re not just saying you should take a hit and hope approach to your emails. Open rates are meaningless, but there’s a better alternative!

How about…which emails actually make money!

Alternative #1, measure immediate sales

The most obvious choice is to measure which emails are leading directly to purchases. 

This is standard in e-commerce, where most emails are aimed at bringing in sales (although there’s other options). Most major email platforms have integrations for platforms such as Shopify and Woocommerce to attribute sales to email clicks.

For industries such as info products, this isn’t always so straightforward. You might have a nurture sequence where immediate sales aren’t the aim, which brings us to…

Alternative #2, measure impact on LTV

With tools such as SegMetrics, you can see how email sequences impact average lifetime value.

This is ideal if your aim is to increase spending, days, weeks or even months after someone received the emails. Revenue data from your email platform or payment processor will be matched up with someone’s contact data and the sequence they have been tagged with.

It is ideal if you have a long nurture sequence before pitching your course, or want to build the brand relationship after a first purchase.

Example: lead follow up sequence

Let’s say you have a free mini-course you email out to people who downloaded your lead magnet, after which you pitch your main product. You’ve been wondering if switching the content to a different content would be a good idea.

Previously, you might have looked at the open rate to see if the new series got in front of more eyeballs.

But with SegMetrics, you can split test them to see which brings in more revenue. Simply

  1. Tag leads with which email sequence they are receiving
  2. Let the emails run until enough people have gone through the funnel
  3. Use SegMetrics to see the revenue attributed to each tag

If you then want to take it up a level, you could even measure which course content works best with which lead magnet!

Vanessa Copley

Vanessa Copley is a business automation specialist and the founder of Custom Client Journey. She specializes in client journey management and bringing the human touch to your automated experience. In her free time, she enjoys reading science fiction and horror novels, studying real estate, practicing Tang Soo Do and spending time with her amazing children, the love of her life, and their birds and guinea pigs.