Cubicle escape is all about experimenting, testing and finding alternate revenue streams. In the niche marketing world they call this “passive income”. By reading the glossy sales brochures about niche marketing we are led to believe that there are numerous ways to make 7 figure passive incomes in under a year. Sounds too good to be true!
And you’d be right. What the marketers are actually saying is that you need to sell an information based product to a hell of a lot of people. How many people are we talking?
A staggering 5348 a year! Let me explain.
Let’s say for a second we believed the marketing BS. Let’s set a target to achieve a $1,000,000 within in a year. As promised, this would allow for the perfect cubicle escape. So, if we simply divide our target by $187 which is the commonly charged price for an information based product we quickly realise we need to get 5348 people throughout the year to buy.
Let’s keep going.
Suppose you had an information product that did cost $187 and suppose you had a website setup already. Obviously, you need people to visit your site so they have an opportunity to purchase your product. This means making your site appear in the search listings on Google when someone searches for something related to your site. For example if you’re selling a “How to lose weight” product, you need people to see your site in the Google search results when they type in “how do I lose weight”. This is called search engine optimisation.
To have any real chance of making money, your site has to be in the top 10 Google search results. Real statistics (not marketing BS ones) tell us that only 41% of people click on the first result presented in the organic search section of Google. Percentages diminish for every result below that.
So, roughly you’ll need a staggering 13,000 people a year or around 35 people a day to be searching for stuff related to your site (41% of 35 =15 people X $187 X 365 = $1,023,825 which meets our 1 Million target).
But the story doesn’t end there.
As you know from your own behaviour, you don’t just go to a site and automatically buy something. Here is another shocking fact, only 1.1% of all people that “land” or visit a site make a purchase. That’s called a conversion. So the common “conversion rate” is only 1.1%.
Let’s put it all into perspective.
- To make 15 sales a day we need 1500 visits a day.
- To get 1500 visits a day we need 7650 people searching for topics related to our site in Google, (and assuming we are in the #1 position.)
While there are obviously lots of assumptions here, that’s the real nuts and bolts behind setting a million dollar target. So tapping into 7650 people a day, attracting 1500 people to our site, and converting 15 of them a day to buy a product worth $187 seems a bit impossible doesn’t it?
And for non marketing specialists it probably is. However, I’ll leave you with this. What if a cubicle escape only required $100,000 to make happen, not a million? Suddenly the numbers look much more in our favour.
