Yesterday, I wrote a post about how comedian Louis C.K. brought in over $1 million dollars in 12 days by selling a $5 downloadable video.
So I started thinking about it.
How incredible it was for Louis and his charity – but also, just how much money was also left on the table.
If Louis hired me as his business coach I’m confident we would have brought in A LOT more money. More than double – plus another $2 million per year in recurring revenue.
Louis didn’t hire me – but, since he is giving away a large percentage of the money to charity, this influx of MORE MONEY would only help the charity — so I will give him a few of my strategies for free right here :)
(and hopefully, this brainstorming will help you on your business too!).
He brought in over 200,000 BUYERS – so I will work off those numbers.
Here are my “bigger bucks” tactics for Louis…
BIGGER BUCKS TACTIC #1: CREATE A CONTINUITY PROGRAM
The first place I’d concentrate is on creating some type of continuity program. He is literally leaving millions of dollars on the table by not having one.
One obvious idea is some type of “fan club” (the equivalent of an “inner circle” for information marketers).
This online program can feature exclusive clips of Louis. Live group calls where they can ask him questions. Discounted tickets (and reserved seating) to his live events and discounts on future products.
I’d dig in deeper with Louis, but since he seems really busy, I wouldn’t go with a full fledged membership site. The lower hassle club would be a better fit for his lifestyle.
He can go with a $10/month program or even a Nano Continuity program for $5/month.
I’d add this as a “bump” on checkout (with a checkbox).
Even if he had just 20% of his video buyers to join the $5/month program.. that comes to 40,000 people (@$5/month) = $200,000 PER MONTH.
Yes, that’s over $2 million PER YEAR of additional income. And with such a low price point, assuming Louis provides some value, they will stick around for a long time.
BIGGER BUCKS TACTIC #2: CREATE A PREMIUM PHYSICAL UPSELL
When I work with clients, I like to first try to monetize without having to create more work. After all, who the heck wants to more work?
So the obvious upsell is give the customer the opportunity to purchase the PHYSICAL DVD for an additional price. In my experience, up to 30% of people will opt for a physical version of your digital products.
But I’d take it one step further.
I’d have UPSELL #1 as a premium DVD shipped to their door.
For $29.95 or even $39.95 – they would get a the DVD with a personalized autograph from Louis C.K. himself. Maybe he signs their name or even drops an f-bomb. Either way, it’s 100% personalized for the buyer.
It’s a one-of-a-kind, so people will pay extra for it. You could probably even get more – but I’m being conservative on these numbers.
And since duplication would be just a buck or so, it’s almost all profit. It just takes a few minutes to sign the DVD.
Again, if 20% of the people go for that upsell, that 40,000 people at $30. Another $1.2 MILLION. That’s right – he would DOUBLE his profits with this simple upsell.
BIGGER BUCKS TACTIC #3: CREATE AN IRRESISTIBLE DOWNSELL
Then, I’d go with a DOWNSELL for people who don’t want to spend $29.95 or $39.95.
The reason they wouldn’t buy is probably because of the price – so I would have the option to purchase just the DVD (NOT autographed by Louis) for just $19.95. Or, maybe it’s still autographed, just not personalized with their name and message.
Again, almost all profit and if 10% take the downsell, you’re looking at an additional $399,000 in almost pure profit.
Do you see where I am going with this?
His customers would be happy with the special product opportunities.
Louis would be happy with a bigger payday.
And his charity would be happy with an even bigger donation.
Louis… let’s talk :)
(if you have a twitter account – make sure to let him know about this article. His twitter is @louisck)
POST YOUR COMMENTS BELOW
P.S. This is just a taste of the kind of things you’ll learn in my Ryan Lee Method program. Get it now for just $97.
Awesome content with numerous actionable tactics…..
I am looking forward to our IC training session today….
Thanks Chris!
And I appreciate your support and loyalty!
Ryan
Increasing the life time value, awesome! (and allows one to increase the allowable acquisition cost!) Mr. Lee, I recently emailed Clickbank to see if/when they are going to lower their continuity to $4.95, just wondering if you’ve heard anything? Thanks Mr. Lee!
Hey Kevin,
First, please call me Ryan :)
Beau, from CB, told me they are working on making sure the numbers and percentages work.
I’ll keep you posted here…
Ryan
Wow,
This is how you go from good to great! :-)
It’s is amazing how when you have something that is working well, you can add a few relatively simple things and make it even better.
I think that there are a lot of businesses out there that could borrow your strategy above and make a lot more money in this new year!
Thanks Ryan
Jeremiah
Hey Jeremiah,
It really is amazing.
One of the first things I do when I have a coaching session is look at ALL their current assets. And usually, after a few minutes, I come up with a simple plan that can LITERALLY double their income.
When we stop getting distracted by so many “shiny objects” – it all become crystal clear. And it’s the reason why the guys who just send promo after promo for the new “product of the day” do much more harm than good.
Thanks for your comments and support.
Ryan
Ryan,
Brutal stuff right here… not only are you helping Louis but you’re also helping all of us understanding how a true Internet marketing pro works!
And I’ve also let Louis know about this gift. Let’s see what happens!
It’s posts like these that sometimes makes me feel that I have an unfair advantage over my competition… :)
Thank you Bruno.
And yes, when you implement what I teach – you have a HUGE advantage over your competition.
I appreciate the shout out to Louis as well.
You rock!
Ryan
Great tips and strategies Ryan!!
I would love to just borrow your brain for 1 day, just 1 day:)
Does your IC membership still include your CONTINUITY PROGRAM programs?
Trish
Hey Trish,
Thanks for the compliments.
Those special bonuses were taken down for now.
Stay tuned for more updates…
Ryan
Hi Ryan,
F’n brilliant. Just had the lightbulb go off. Cannot wait to finish this post to start working on it. Big plans for 2012. Hope you and your family have a happy and safe 2012. Great post on your part!!!!!!
Hey Brett,
I LOVE when the lightbulb goes off. Nothing beats that feeling.
And a Happy New Year to you and your family too!
Rock ‘on
Ryan
Nice blueprint Ryan. I believe that would work for just about ANY BUSINESS! The upsell/downsell process is seldom utilized to its fullest potential, nor the multiple media approach to product development.
But then again, comedians aren’t necessarily great marketers now are they?
Which is why LouisCK could use your help!
TS
Hey Todd,
Absolutely- this can work for ANY business.
Most people get the upsells wrong. They just try to make more money – but don’t think about it strategically.
There are ways to MAKE MORE and provide lots of VALUE too without pissing off your customers.
Keep rockin’
Ryan
Awesome article man. Except the part where you have Lou hand-signing 40,000 DVDs. ;-)
Thanks Pat.
Hey, for an extra $1.2 million – I’d sign those DVDs :)
The price might be higher. Maybe it’s $99 for the DVDs (plus a bonus CD). He would have to test to see what works better.
Ryan
Great ideas Ryan!! I love your approach to business. In the last years I’ve followed many courses, and your IC content is amazing.
I just tweeted @louisck.
If you read this, tweet this article also!!
all the best in 2012,
Patryk
Hey Patryk,
Thanks for the comments and I’m glad you are enjoying the Inner Circle!
I appreciate your tweet to Louis – let’s see his response :)
Best for the rockin’ 2012…
Ryan
Great content Ryan, I like the request at the end to retweet and mention Lous’ twitter account, that’s a great idea to help gets things noticed. Never thought of that before!
If/when you’re looking for a case study, please consider me as I have a killer product idea that includes some VERY high-end people who have an amazing reputation and position in one of the most lucrative markets.. they all good friends of mien, and on board. I want to make sure I do this one correct from the get go, so if you’re interested lets talk!!
Thanks and enjoy your Starbucks!
….oh and thanks for the head’s up about Alvin and the Chipmunks.. cross that one off my list, I’ll take the kids to go so Mission Impossible instead! lol
Hey Christopher,
Thanks – I will be interested to see how the Twitter link works :)
Right now, my calendar is 100%, but I will certainly keep you in mind for a case study (send Shirley more details of your program and maybe we can feature you as a guest in the IC. Her email is shirley.yorro77 (at) gmail.com)
DEFINITELY go with Mission Impossible. I saw it and loved it. I’m a big fan of the movies, and this is close to the first one as my favorite of the bunch.
Ryan
Awesome.. will do, thanks again! I’ll email her shortly with details.
A+ article. just had a little breakthru,
i’m going to plan this out today for a new upsell
and collect addresses for direct mail marketing,
thanks buddy :)
Shaqir
ps. where’s you aff program links?
i can send upto 8,000 clicks in a week -
messaged Jit – he never got back,
you have my email ryan.
speak soon.
Hey Shaqir,
Thanks – I’m glad you enjoyed it.
I’m going to send you a direct email with our affiliate links.
Rock ‘on
Ryan
Ryan you are right on. Thanks for helping so many people be better at Internet Marketing.
Thank you Jeremy.
I’m just doing what I love – so this is fun for me :)
Have a great 2012…
Ryan
Awesome post again Ryan,
This should not only be posted to @louisck but to all celebraties running any kind of fundraising.
Thanks again Ryan,
We’ll keep rocking on!
Thanks Reggie.
If you are going to make the effort to raise money for charity, you might as well raise as much as possible.
Ryan
Good stuff. One big problem. Comedians are like artists. Well, actually, they are. And artists don’t want to think like marketers or run businesses. They just don’t. So they’ll never think this way. And they don’t want to work with people who think this way either.
Artists just want to perform or create their art. Rarely will you find one who wants, or is good at doing both the art and the marketing.
Hey Jim,
Thanks for contributing.
I agree with most of what you are saying. I think MANY artists feel that way – but more and more are embracing marketing as they are beginning to sell directly to customers.
Comedians, bands and authors no longer have to rely on big music labels or book publishers to sell for them.
Will they embrace the hardcore direct marketing methods – probably not.
But just by Louis selling his video directly to consumers. Downloadable and for $5 is a HUGE step in this direction.
BTW, you rock Jim :)
Ryan
I agree, it’s a huge step. Any many others are doing it as well. And YOU rock! Thanks for all the inspiration the past few years. Will be including you in my second book this Spring, again!
Hi Ryan,
I love how you not only taught us how to improve our businesses, but how you “showed” us how to help someone else with your “How can I help you Louis CK” demonstration. Thank you for doing what you do.
Mike
Hey Mike,
Thanks for your comments.
Just trying to practice what I preach :)
Keep rockin’ in 2012…
Ryan
Thumbs up, Ryan! Way to deliver real value in your posts! In a world where ‘givers-get’, it’s no wonder why you’ve created such a large, loyal group of raving fans. Keep it up buddy!
I appreciate your compliments Charles.
It’s exactly what I teach my clients – to focus on your subscribers and work hard to overdeliver. When you do that, you win every time.
Have an awesome 2012…
Ryan
Great post Ryan! Love the way you think- no wonder you’re so successful!
Beverly
Thank you Beverly – I appreciate your continued support!
Ryan
Always delivering the goods Ryan! Love this! – Bret
My pleasure Bret – I’m here to always try and deliver :)
Ryan
Hi Ryan
thank you very much for great info, “road-trip plan” and tips that you are providing.
did or do you offer 1-1 ?
thank you
Ljuba
Hey Ljuba,
Thanks for the comments.
I offer 1-1 on a very limited basis. I don’t take on regular coaching clients anymore.
Best
Ryan
More solid and simple gold Ryan. Anyone with a buyers list can do this, and yet they don’t.
Here’s Tactic #4: Cross-sell. Louis contacts one of his buddy comedian friends and adds an option to download their vid too for a few more dollars. His friend gets the extra publicity and everyone is happy.
Nice one Quentin :)
Ryan
Loving your posts man. Learning a lot from you and finding your material to be super helpful. Thanks for doing this everyday.
Thank you Jesse.
And I love doing this – so stay tuned for more…
Ryan
This presents very powerful ideas and I will be applying them to a major product launch I am working on in the music / charity space and will report back to you Ryan
Awesome Paul – keep us posted!
Ryan
The paradox is that one reason people made it go viral was b/c of the lack of consumerism. I think physical DVD could have worked in isolation and would have seemed authentic, but if he has a three-tier choice program & subscription program, he becomes not the authentic, don’tgiveashitaboutmoney guy that made it go viral in the first place.
Hey Ross,
I don’t think that was the main driver of why it went viral.
It was also a great offer. And it was not a lack of consumerism – because he charged money (it was just $5 – but he still charged for it).
Even at $5, I will guarantee you – there were still thousands of people who bitched.
They probably said “hey, it’s just an online video – there’s no DVD, and I know that doesn’t cost him $5 to give us access to an online video.. it should be $1).
People still go to Starbucks (always offering upsells and cross-sells), the Movie (want a bigger popcorn for $.25 more) and every fast food joint on the planet. And I have a feeling they would still be fans of Louis C.K. (with a few upsells after a bargain deal).
Ryan
You don’t become a world class artist by thinking like a suit.
The kind of wellspring that creates fantastic work doesn’t do this crap. Spending energy on the PRODUCT and not the chattel is where it’s at.
Plus, instead of spending time with his daughters and making BM jokes, he’ll have to sign your stupid DVD case and worry about customer service headaches.
He won’t be making more art, he’ll be doing monkeywork. Distraction. No content, just fluff.
Louis CK wouldn’t be successful if he put any mental energy into the rest of the crap you talk about – it’s destructive to art., and the kind of person who would do this can’t operate at a world class level.
Hey Chris,
I appreciate your thoughts – but disagree with you on this one.
Like it or not, his art is still a business. He doesn’t perform for free. He didn’t put his shows on TV for free.
You hire someone to setup the shopping cart and customer support for you (and the premium dvds was an example off the top of my head – he could offer an extra CD instead).
Just like the Rolling Stones are not knitting the t-shirts they sell at their concerts, Louis would still be honing his craft.
And in the meantime, his fans (who want it), have the opportunity to purchase other products. He can hire more staff to run his bigger business (people always bitch about jobs – here’s an opportunity to create new ones).
I believe 100% in the ABUNDANCE – and live it to the core.
Ryan
I agree Chris, signing copies is a little too far.
Still, there’s value in what Ryan is saying.
How much time would really be needed to create a DVD version?
He’s already providing the DVD jacket for download so the artwork is done, the video is done.
BUT…
For those fans who like “collecting” his work or enjoying it elsewhere other than sitting in front of the computer, it’s a no brainer.
I don’t see this as “destructive” at all and yes, world class people and companies DO offer upsells.
The key is finding the balance between adding value vs. pounding your customers with offers.
Ryan:
Great stuff as usual Man. I’ve been burnt out and stale. It’s good to get a kick in the pants by getting back to the basics!
Happy Holidays Bro….
Hey Nick,
Good to see you back here!
I’m always happy to provide the needed kick in the pants :)
Happy holidays to you and your family!
Ryan
While in many (most) situations your recommendations would probably be right on target, in Louis CK’s situation your coaching would have cost him money. CK’s goal was to compete with piracy, and to do that it had to be super simple with no gimmicks or tricks. His simple, no nonsense style made it super easy to purchase, and left fans with a great taste in their mouth. Many of the people that would normally torrent his video instead bought it for $5 bucks. With all that other nonsense, how many of his fans would have been annoyed and went to Pirate Bay instead?
Hi Larson,
He still could have had the super simple buying process. That didn’t change.
All he would do differently is give people who WANT more stuff – to buy more stuff.
And the people who go to the places like Pirate Bay – will still go there anyway, even for a $5 product.
Ryan
Using your estimate of ‘a few minutes’ to personalize each DVD, if he sold 40,000 copies, that translates to 2,000 hours of additional labor.
Hey Bart,
I was exaggerating. It wouldn’t be a few minutes per DVD. And that was just an example.
I’ve seen authors sign A LOT of books in a few hours too :)
Ryan
“Luis”?
You’re not a fan of his, are you?
No doubt that these are great business ideas, but they’re contrary to what Louis CK has been about for years. He wanted no middleman between himself and his fans, and didn’t want people to have to join yet another service, subscription, or commitment just to see him perform.
As a longtime fan, it’s exactly what keeps me loyal to his work, and I know I’m not the only one. He’s not trying to raid his fan’s pockets, and in return we get treated with respect and aren’t bombarded with advertising. It’s a rare thing to see someone whose desire to perform and connect isn’t completely outweighed by their desire to be profitable. Granted, I’m not begrudging ANYONE’S right to get paid, and well – it’s just a great thing as a fan to not feel like he wants my money at every single turn.
He was suprised that so much money came in, so he may or may not have intended to donate ANY of the proceeds to charity; this “challenge” of yours, will seemingly good-intentioned, is exactly the kind of activity that many artists should avoid if they want to hold on to a loyal fan base that supports them for what they do. Otherwise, all they’re doing is attracting people who simply pounce on whatever’s making the most noise.
See also: Conan O’Brien – albeit a very different situation, he put on a show because he wanted to see his fans; he could’ve easily sold streaming access to the shows, or even filmed them for DVD sales, not to mention the countless other things pros like you could think up.
Maybe it’s different for artists, however; they’re still selling a product like anyone else, but they seem to need to connect on an entirely different level.
http://www.nytimes.com/2011/12/19/business/media/louis-ck-plays-a-serious-joke-on-tv-the-media-equation.html?pagewanted=all
Ivan,
I appreciate your feedback.
Yes, I am a fan.
Yes, I left off the “o” in the post accidentally – and corrected it.
And I will respectfully disagree. When you offer people opportunities to purchase more – many will. He would simply offer the options.
They are not forced into buying more. There would be plenty of fans who would WANT the physical DVD – so why not offer it to them? And help a charity at the same time.
My job to my subscribers and clients is simple. To show them how to make MORE money ethically – while still keeping people coming back for more.
If artists want to give away all their stuff for free on their site or youtube, it’s completely up to them. I don’t judge what anyone else does.
But when they want to make more (to give away to charity, to buy a bigger house – it’s up to them), they come to me. And I show them the simple methods WITHOUT turning off their customers.
Would it upset a few customers? Probably.
Will you ever please everybody? Never.
Would it be A LOT more money he could give to a charity? Yes!
Again, thanks for contributing…
Best,
Ryan
Hi Ryan,
Thanks for your response. I think the crux of where we disagree is here: When you offer people opportunities to purchase more – many will.
I completely agree with you on the face of it – it’s completely true, after all. But personally, I wouldn’t have bought the performance on paypal if it meant joining anything, or purchasing anything except what I was offered. I love his work, but I wanted a peepshow, not a commitment.
The DVD stuff you mentioned is great, and I think lots of other artists should pay attention to that. However, in this specific circumstance, with this performer and his long history of being anti-materialism, he would’ve been risking turning a lot of people off. Also, agree with you or no, I’ve learned something from you, so I respect what you’re doing here.
One artist that I think might interest you in light of this model is Henry Rollins. He’s somehow kept people believing that he lives in a tiny one bedroom apartment in some squalid city. http://henryrollins.shop.musictoday.com/
@Ivan – I think you’re missing one VERY important point.
The hard core fans WANT more of Louis.
All Ryan is suggesting is to give them the opportunity to get more.
He’s not suggesting to suck the customers dry.
He’s saying, take what you’ve already got, repackage it and make it available to those fans who DO want more.
Hard core fans go out of their way to support their favorite artists, performers etc. and I think this would be no different – especially since Louis’ is selling it directly.
Just my two cents.
Great point Stu!
Ryan
Hi Stu,
I don’t know where I missed the point that fans do actually want more; I DO want more. I bought the Beacon Theatre performance, and I’ll buy another if one comes out anytime soon. If he wrote a book, I’d buy it. If he came through my city, I’d pay to go see him. Basically, if he keeps working, I’ll keep buying. But, if while trying to just buy tickets, I was faced with various upsells, then got inundated with offers to buy the DVD of the performance I just saw, or got invited to join some kind of paid “inner circle” on his site, the efforts would get old quickly, and I’d start feeling like I was buying a bundle from Amazon or something.
As I mentioned before, these are great ideas in Ryan’s post, but they’re not what LouieCK’s about. I was trying to think of another artist that I’d be willing to buy from in the way that Ryan describes, but am drawing a blank; suffice to say then, that I’m not against artists doing stuff like this; it is simply antithetical to the spirit in which Louie CK proposed the experiment from the very outset.
@Ivan – I think it’s a matter of preference because when I’m passionate about certain artists, I DO buy this kind of thing.
For example, in 2005 I saw U2 live in Chicago.
They filmed that concert and inevitably I bought that DVD as well.
If they had offered the MP3 of the show, I would have bought that as well.
It’s the same concert but it’s being provided in different formats.
One I experience live (which was AMAZING).
The other I watch on our TV.
The other I would listen to on my iPod.
Same show. Different format.
If Louis followed the same train of thought, I guarantee there are hard core fans that would want this made available in different formats.
Think of hard core fans like “collectors”.
They want the DVD for their Louis CK “collection”.
If he offered a membership providing more of Louis on a regular basis… a certain percentage of his fans would want that too (especially if it was only $5/month).
I think the important thing is to not make generalized conclusions based on what “we” would want.
There will always be a percentage of people who WILL want these extras, and then there will be a percentage of others who WON’T.
But if we don’t provide the option, then we are making the decision for everyone… and that’s not right IMHO.
Great posts inspire passionate discussion.
Some excellent points being made here that entrepreneurs can take stock in… however, I have to side with Ivan… the idea of turning this event into a virtual flea market booth is completely at odds with Louis’s intentions for this project.
I know Louis from my comedy days (we’ve performed together and we featured his early films at our comedy festival) and continuity is something he just would not add to his offer.
Not yet anyway.
Watch the clip of Louis on Fallon… he’s not kidding about being really uncomfortable with all that money. Most of my comic friends feel the same way.
Believe me, I’ve tried to “cure” some of them by explaining that their biggest fans are happy to pay a small amount to be in an exclusive club where they get special access that “soft fans” don’t get. But it feels like douchebaggery to them.
They’d much rather let the agents and managers handle all that crap. Just let them show up and kill the room That’s what they signed up for.
A handful of comics get past this early on, or never have the “money issue” to begin with… but, unfortunately, the “marketing savvy comedian” poster boys are Carrot Top and Dane Cook, which makes the really good comics cringe at the idea even more.
Artists become artists because they feel outcast from the masses. So to most, the idea of “building a following” is counter-intuitive to what gives them a unique voice worth listening to.
I can’t speak for Louis C.K., but the feeling among comics is, “I’m the guy who works the stage, get someone else to work the door.”
Nothing wrong with artists who license everything under the sun. Like Stu mentioned, why not feed the appetite of the hard core fan?
But, choosing *not* to is not always a bad decision. And, in fact, can be critical to an artists longevity.
Kevin
@Kevin – You mentioned that most artists would much rather let agents and managers handle all the business “crap”.
But Louis is actually the opposite kind of guy – he actually likes doing this stuff himself (just like the fact that he wrote, produced and directed the whole show, he was the guy thinking through the online strategy and making decisions on the website, copy etc.).
Great stuff Ryan.
The thing that makes each of those upsells/downsells so attractive is the fact that they are all RELATED to the original product.
It’s not something completely different.
It’s something the buyer is very likely going to want because it’s so closely aligned with what they are already buying.
Hey Stu,
Exactly – they are related.
People are jumping on the “signing DVD” example. That was an extreme example. It could have easily just have been a box set.
I like opportunities to purchase – especially if it’s supporting my favorite artists.
Ryan
This is all good advice, but there comes a point where you have to ask yourself do I want to be rich or do I want to be respected? The answer is different for different people.
Artists in particular will find this upsell game cheesy and some might even call it unscrupulous.
Yes, you will probably make more money, but over time it could alienate you from the core audience that made you popular in the first place.
People don’t like being constantly sold to and I don’t care how you disguise it or how many times you abuse the phrase “add value” it wears people down.
I think you’re transparent with your points; just wanted to show another side.
Hey Chris,
Thanks for your input.
And I think you can be BOTH – rich and respected.
Rolling Stones. Bruce Springsteen. U2. All sell A LOT of merchandise (and even high-level VIP passes). And they are rich AND respected.
And my methods teach people how to achieve both.
Yes, some artists do not like my methods – and that’s ok. And some audience might not like it – BUT the hard core fans are usually the most supportive when it comes to buying more.
We’ve been so conditioning by the media to believe in the “lack” way of living, it has filtered down to every part of our life. Don’t believe the BS – people WILL spend and support people they like. How else do the New Kids on the Block sell out a cruise ship each year (at over $1k per person)? And their fans LOVE them for it.
Again, i appreciate your comments and welcome discussions like this.
Ryan
Wow, Ryan- this really hit a nerve! Very polarized reactions, amazing.
I can understand the guys who think that LCK would be somehow tarnished or ruined to sell anything, just based on his image and reputation. But I see this whole $5/each online experiment as an innovative shift for him and for the industry- and I really have to side with you on this one. What would it hurt to offer more options for purchase? Especially with the charity aspect in play.
I just keep thinking of one of my favorite bands… I wore out several cassette tapes, then CD’s, then bought tickets to the show, and a T-shirt at the show. Some people don’t even listen to this band; some will buy the CD, and some will go to the live show. Some will buy the boxed set. And about 1,000 people paid extra and bought the signed CD set and 1,000 people bought the signed DVD set. I’m one of those who went all out. Yeah, baby! And I was glad to do it!
Surely LCK or anyone else who has fans will have a certain % of those fans who will want the change to get MORE of what they want- and that’s what this is all about: giving our customers more of what they want.
Rock on!
Kevin
Hey Kevin,
Yes – this definitely hit a nerve.. but it’s great to have open discussions like this.
There is a way to offer more that will please your biggest fans (who want to purchase more) and not piss off everyone else.
Thanks for your input.
Ryan
I’d like to see Louis CK’s response to this.
From my impression of him, I think he would feel it would be wrong to do all these upsell/downsell etc tactics on his fans. He’d consider it to be sh**ting on them.
From the comments, I think a lot of other fans get that same impression of him.
Overall, I think these are all great ideas. I think that if a person starts out seeking fans that resonate with these kinds of things, then they are excellent ways to make more money and deliver more value.
It’s impossible to project how much money Louis CK “would make” by doing these additional offers because the crass commercialism of them might piss off way too high a percentage of his fanbase. This is a fanbase he’s built up over years who are fans of his current image and that ought to last for his lifetime — as long as he doesn’t abuse it in some way. There have been plenty of successful comedians who with one action managed to severely damage their careers, and being labelled as some kind of “sellout” for making offers like this could damage the authenticity he’s spent years building.
On the other hand, I’d think that someone like Lady Gaga who is way more commercial and has always presented herself as more commercial could very effectively use all these tactics and more and her fanbase would eat it up. There’s nothing about these things that wouldn’t resonate with what she currently does.
What I would take away from this is:
If you are starting out and have the choice, make sure that making money for yourself is a congruent part of your image (providing that you don’t want to be some kind of starving artist).
Hey Eric,
Even though I haven’t done this in the “comedy” niche – I can tell you from doing it in my own business niches (as well as hundreds of my students in different niches as well), it would make him A LOT more.
The numbers I gave, with even a decent upsell video, are pretty average. And if he used his sense of humor in the upsells, it would likely convert even higher.
At the end of the day, it’s about giving people more choices. And doing it in a way that they feel like they are not only getting a great deal – but they are supporting him as well.
That, my friend, is the secret sauce.
Ryan
Haha, this is so cool!
Good luck with the challenge Ryan. CK is my favorite comedian.
I hope he respons.
Fred
Thanks Fred.
I’ll keep you posted…
Ryan
Awesome advice, and so simple to implement, I really like the idea of the low hassle Fan club, its not just a way to make more money, but a way to make his hardcore fans feel more special and connected to Louis & build a stronger relationship
Great post like always, and the RL Method Kicks Ass!
Luis Carrillo
Thanks for your feedback Luis. It really is simple.
And I truly appreciate your enthusiasm and ongoing support…
Ryan
YO RYAN!!!
I just sent @LouisCK and @SnoopDogg a message on Twitter about your challenge
https://twitter.com/#!/justinbrooke/status/152413107556323329
Thanks Justin.
You are da man!
Ryan
Ryan,
I think one thing that might be misunderstood in this post is that you’re not necessarily saying that Louis C.K. offer all the upsells you mentioned – they were just examples of what he could offer.
But it got me thinking, another one that I think would do well is him offering his next show at 50% off.
It would likely fund the production costs of his next one and therefore giving him the freedom and flexibility to focus on creating more kick-ass content.
Isn’t that what his fans would want him doing?
Stu, I was thinking along the same lines.
I bought the Beacon show recording, and I’m a big Louis CK fan – can’t get enough.
If I’d been given the choice to buy this single recording for $5 or one new recording a month for the next year for $50, I would have TOTALLY chosen the latter and told all my friends to do the same.
(Heck that doesn’t even feel like an upsell, does it?)
And for the artist/upsell-haters out there … think of how amazing an offer like this would be for both fans and artist…
You may have noted that Louis said it cost abut $250K to produce this video.
If 30% of his fans were to say “yes” to this $50 offer, that’d put $3M in his production company – enough to finance 12 new videos.
Artist wins, fans win.
Upsell? PFFFT. I say get over it – give me MORE baby. Frankly, it ticks me off when i’m NOT given the opportunity to get more irresistible deals on stuff I love to buy. And heck, it just takes one click to move past the offer if i don’t want it.
Lou
Right Stu.
These were just examples.
He could have still made A LOT more with even one upsell.
Ryan
Interesting and very informative, added value marketing is likely to become much more popular in the very near future. One thing I think everyone should be more aware of is the upcoming 2012 FTC guide information concerning, continuity and the very serious requirements of using forced continuity in online marketing. This very likely will reduce or terminate the forced continuity model at least for US residents.
Thomas,
“Forced” continuity has been scrutinized pretty heavily during the past 1-2 years.
I don’t recommend forced continuity – only “optional”
Ryan
This is great info and I have used these techniques but what I really want to know is how he found 200,000 eyeballs to purchase from him initially. That’s the real juice. Having that much traffic or that big of list is insanely valuable. He must have great following! Plus he can still go back and offer all this again and maybe close half of what you calculated and it’s still worth a fortune.
Hey Dave,
Louis has a much bigger platform since he is a celebrity.
TV shows, talk shows, etc.
But I know other marketers who can build up massive followings online by saying something different and being authentic. Guys like Gary Vaynerchuk and Tim Ferriss come to mine.
Ryan
Ryan, brilliant
Thanks Christine.
Ryan
Ryan,
Your a Hack… Continuity is such a scam a you know it… Because people like you the FTC is now going to make it disappear..
Matt,
That’s a pretty sweeping statement to call all “continuity” a scam.
Health Clubs. Software. Cable. Telephone. Electric. Banks. Wholesale Clubs… all use continuity.
If you’ve read my blog for any length of time, you’d know I teach people to create continuity programs that provide VALUE – not to scam people.
Ryan
Ryan,
Lets be serious.. your using propaganda to sell you “continuity” when in fact you and your followers are not selling any Health club memberships, Costco or any of the above.
95% of continuity being sold online is FREE TRIALS.. and with the tiniest font you let people know they are getting into a membership where they will be re-billed every month until they call this number which no one answers to cancel..
Seriously if continuity was so great, why is the FTC coming down on it?
Matt,
Where are you getting your facts? How did you come up with the number “95% are FREE TRIALS”?
You are talking about the CPA world from 2 years ago and the FTC came down on them hard (which they should of). They put people into programs and then it was impossible to cancel. THOSE were all scams and I NEVER endorse that type of marketing.
Again, I don’t teach the “free trial” method. I teach creating real-value continuity programs. What you are thinking of is NOT what I teach.
Here’s an example of the type of sites we create with THOUSANDS of members, happily paying for quality content and community.
http://www.strengthcoach.com
Or even my Inner Circle – with thousands of members who LOVE the training:
http://www.ryanlee.com/ic
Ryan
wow
Matt, not sure who ripped you off in the past, Ryan, his “continuity” and his teachings are far from your claims that he is a “hack”. His teachings and his continuity program has changed my life. From his teachings I also have been able to help others in there business. Some people tend to hear or read something and believe it to be fact with out fact checking the source. I try not to judge others so I wish you the best of luck, I hope that future posts you fact check before you comment!