Hi Jim,

"Dang, Jim, you wrote the report I wish I had! Took me nearly an hour to get through it, because I had to check out all the fantastic links and tools you offer.

This is jam-packed with the best start-up information a person could have. Step-by-step info for anyone to start with and build with. Kudos on an excellent product!

[Get that new report free by clicking the gold key at my new work at home site.]

Regards, Chris Upson
buildupyourbiz.com

In today's issue...

"The OTO Strategy Uncovered"

Chances are, you've seen the "OTO" strategy in action. It's becoming quite popular at marketing related sites, and it is even making the leap to websites in other niches.

Today I want to explain why it is so popular and show you some examples of just how effective it can be. If you're marketing online, you owe it to yourself to read today's issue...

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First let me explain exactly what the OTO strategy is...

OTO stands for One Time Offer.

This "one time offer" idea was explained to me by Mike Filsaime in his Butterfly Marketing Package. While reading his manual I saw that it could work, but I was not fully sold on the idea until I saw it in action.

My first experienced with the OTO was as an affiliate. One day I got an email from a fellow marketer named Shawn Casey, inviting me to give away his "Business in a Box." I owed him a favor and I figured giving a gift away would be an easy way to repay him, plus it might help my subscribers at the same time.

So I sent a message to my subscribers that included my affiliate link where they could grab the free gift. As they grabbed their gift from Shawn's site, they were presented with a one-time offer on one of Shawn's business packages. The package was quite extensive and a bargain at his asking price of about a hundred bucks.

I thought nothing more of the message I sent other than it may have helped some of my subscribers, and I returned the favor I owed Shawn.

A month later I was shocked when I received a check for a little over $5,000 in commissions from Shawn. It was from the OTO site. That day my eyes were opened to the power of the OTO.

Needless to say I decided right then that I'd try the strategy myself some day.

That occasion came just a few months later. I had been working on a new book / special report that I knew was going to be a real hit. Rather than sell it, I decided it would make a perfect "front-end gift" for my own OTO.

(That's the real key to success with the OTO strategy. You need a product or service with a perceived value that is so great, anyone would be crazy to pass up a chance at grabbing it for free.)

Once my book was complete, instead of launching it, I got busy putting together a great one-time offer that would tie in well with the book.

(Another key to OTO success is matching the front-end product to the offer. It must be directly related and even more irresistible than the giveaway product!)

Since I'd been doing business online for nearly ten years I had developed quite a collection of books and software tools. I decided to update all my products, digitize my books and CD's and package everything into a Giant Do-It-Yourself Wealth Building Kit. The kit would be priced FAR below what it would cost to get each item individually, so it should make the perfect one-time offer.

When I was done I loaded everything up on my work-at-home-site.com -- a site I had not done much with since building it a few years back. I tweaked the presentation and had my friend Heather Colman create some fantastic images depicting the new and revamped products. I then increased the value of my OTO further by adding more books and related products from my friend Scott Brinter. Finally, I opened a brand new affiliate program for the launch.

(Letting others make money from your site is a big key to success online, and a powerful affiliate force helps an OTO site grow much faster than it could on it's own.)

Once it was all ready to go, I sent a test message to part of my subscriber list. I wanted to get a feel for whether this offer was any good or not. My answer came quickly when 15 orders arrived that day for the new Kit. And only 226 people had visited the site! That actually scared me a little. And it was just the beginning...

(More after this important message.)

I launched the site the following week without any fanfare, hoopla or "anticipation build-up" period. Two weeks later it had racked up 723 sales and $101,256 in gross revenue.

Pretty effective web selling strategy, eh?

And those numbers were attained despite a server crash that knocked the site down for 22 hours during the peak traffic period. (I actually moved the site to a new host but that's a story for another day.)

Sure, that revenue is gross revenue, as affiliates made a good portion of those sales. (I'll be sending out some fat commission checks!) But it's still pretty impressive for a two week period.

Plus, the site is still generating sales and I have other JV partners who will be promoting it. What's more, since everything is all downloable, it requires less of my time than my other sites that ship hard goods.

So if you're wondering whether you should try the OTO strategy in your own business, my answer is yes. Give it a try. Give away a great product and immediately offer something else of great value, at a great price. That's really the formula in a nutshell. It seems so simple I wonder why nobody thought of it before!

Here are a few tips to keep in mind as you try this strategy...

1. Be original. Try to do something unique with your site when using this strategy. As OTO's grow in popularity, the strategy's effectiveness will wane a bit. In other words, as people see more and more OTO's, the strategy simply will not work as well. That's normal, especially on the Internet. But if you run yours a bit differently, you'll avoid that problem. For example, I decided to have my visitors click a "gold key" at my site to get my special report for free. That gave them something to act on and made it possible only for people who were directly referred by me or one of my affiliates, to get my report without paying.

2. Be ready to answer more email. You get more support requests than normal when you use this strategy. That's because some people quickly scan the site looking for the freebie and do not see where to get it at your offer page. Some of these people quickly decide they have to pay to get what was supposed to be free. Be ready to answer their requests explaining that you really DO have a giveaway product at the site and tell them how to retrieve it.

3. Use multiple payment gateways. If you setup and launch an effective OTO, with a truly irresistible offer, your sales can rise very rapidly. When sales volume increases rapidly it can raise red flags with payment processors. While my processor simply asked that I authorize a reserve account due to the high volume in sales, I've heard of other processors freezing processing in fear of fraudulent orders. That's why it's a good idea to spread your sales across a few processors such as a merchant account or two, paypal and another processor such as 2checkout. That way you can continue processing orders if one gateway should give you problems.

4. Beware the bandwidth monster. While my own server's hard drive buckled during my launch, a more likely scenario for most businesses is bandwidth issues. If you are delivering downloable products and you sell a ton of them, figure out how much bandwidth you'll use ahead of time. That way you won't be hit with a huge bill, and they can be huge, from your hosting company for bandwidth overages. I decided to avoid that by hosting my largest download (a full 170mb software program) off my server. When my customers download it they get it from fileburst.com - a great place to serve downloads inexpensively and effectively.

5. The OTO strategy works best when you have a subscriber list you can announce the site to. But even if you do not have a subscriber list of your own, you can get some great numbers by signing on a few good JV partners. Promise them you'll reciprocate their efforts in the near future and keep your promise. Then remember to make growing your subscriber list a priority at your OTO site. In fact, make it a requirement for people who grab your freebie, to sign up for your opt-in list. That way you'll grow a customer list AND a subscriber list at the same time!

That wraps up today's gazette. See ya in a few weeks...
Jim Daniels - JDD Publishing Co.

P.S. Did you miss the Special Report? If so, come grab it for free by clicking the gold key at my new work at home site. You'll also get to see my own implementation of the OTO strategy up close and personal.

A Letter from a Subscriber:

Hi Jim,

"I wish I had your EZ Web Business Builder two years ago. Like most people trying to build a home business I read all the ebooks, paid for courses on how to start an online living and got nowhere."

"In the last nine days I have built and up loaded a twenty nine page web site only working part time (evenings). I have learned more from your CD over the last week or so than the last two years reading ebooks, course etc. I would have gladly paid double or triple just for the time it saved me on that learning curve."

One happy chappy. Thanks for saving my day.
Ken Grey UK.

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