Should you introduce a tiny offer into your marketing mix? The answer may not be as straightforward as you think. Great marketers are great investigators. And more often than not, small business owners have to become great marketers – which also means, they their fair share of investigating.
When it comes to providing value and qualifying potential customers (aka bringing new people into a marketing funnel to make sure they are the right fit for your needs) most business owners will be faced with a million and a half strategies.
But how about trying something new by asking for commitment from the very first interaction?
This is exactly the shift from offering freebies to a £1 tiny offer. It’s a bit like asking for a small show of trust right from the start. But is this a smart move or just the latest trend?
To get some insights, we sat down with Michelle Murphy from The CEO Legal Loft.
Meet Michelle Murphy
Michelle isn’t your average entrepreneur. She’s dedicated to helping online business owners navigate the tricky world of legal protection. With a focus on contracts and trademarks, Michelle’s offerings are both practical and essential.
Michelle’s main goal is to support new online business owners. “I provide contract templates, legal trainings, and business trainings,” she explains.
- Tailored Contract Templates: Crafted with precision to protect online businesses.
- Legal Trainings: Empowering entrepreneurs with the knowledge they need.
- Business Trainings: Sharing her own journey, Michelle helps others sidestep the pitfalls she once encountered.
In essence, she’s the guiding star for those in the early stages of their digital business journey. But her move from freebies to the £1 tiny offer is what’s turning heads. What sparked the change?
A surprising 2000 subscribers took her freebie but didn’t engage further. “I was ready for a change,” Michelle admits.
The rising costs on ConvertKit for these inactive subscribers pushed her to rethink her strategy. “It was time for a fresh approach.”
The £1 Offer vs. Freebies: What’s the Real Difference?
By asking for just a dollar, Michelle managed to connect with a more engaged and interested audience (you can see the template here).
When asked about the psychology behind a £1 offer (or dollars, euros) compared to a free lead magnet, Michelle had a clear perspective. “When someone grabs a freebie, especially if it’s digital, it often just sits in their inbox, forgotten,” she explains.
It’s a bit like those free e-books or courses we all download with the best intentions, only to never open them. By introducing a £1 price tag, even if it’s minimal, it adds a sense of value and commitment.
Transparency and Ethics: Building Trust
In a world where trust is paramount, Michelle understands the importance of her tiny offer is presented transparently and ethically. “I’m always upfront about pricing,” she says.
“And I make sure my product descriptions are detailed, so customers know exactly what they’re getting.” It’s this commitment to clarity and honesty that has helped Michelle build a loyal customer base.
When building your tiny offer think about the following:
- Identify the immediate benefit for the customer.
- Ensure the offer provides real value, not just perceived value.
- Make it actionable: something they can use or implement.
The Impact of the Tiny Offer
The results of this shift? Quite impressive, to say the least.
“Since making the move, the engagement and quality of my email subscribers have seen a huge boost,” Michelle shares. “I’ve got more repeat customers, and the click rate in my emails has gone through the roof!” And sales? “There’s hardly a day now when I don’t see at least one sale,” she adds with a hint of pride.
Facing the Challenges Head-On
Every change comes with its set of challenges, and Michelle’s journey was no exception. “The main challenges were my own doubts,” she admits. There was a fear that her offers would be perceived as “cheap” or that other business owners might not take them seriously. “It’s funny, though,” she reflects, “I was okay giving it away for free and promoting it, but charging a pound made me second-guess.”
But Michelle’s never been one to shy away from a challenge. “I decided to just take the bull by the horns, put my offer out there, and see what happened.” The outcome? Overwhelmingly positive.
When it comes to gauging the success of the £1 tiny offer strategy, Michelle takes a holistic approach. “Beyond the metrics, it’s about how I feel,” she says. “Before, when someone grabbed my freebie but skipped the tripwire, it felt like a missed opportunity. Now? Every sale notification makes me genuinely excited.”
The feedback from customers has been overwhelmingly positive.
“They definitely see more value in the $1 offer compared to a freebie,” Michelle notes.
It’s a testament to the idea that even a small price tag can elevate the perceived value of an offer.
The Verdict: Freebie or Tiny Offer?
For those thinking of diving into the world of tiny offers, Michelle has some golden advice.
“Ensure that your order bumps and upsells are in sync with your offer,” she suggests. “Before, my upsells didn’t really align with the journey, and the price jump from $1 was too steep.”
After tweaking the pricing and offers, the results were clear. “The purchases for order bumps and upsells shot up,” she shares.
For those keen to delve deeper, Michelle discusses these results in her training, “How I Turned a $1 Offer into $500.”
The digital landscape keeps shifting. While freebies have their place, the tiny offer is making waves.
It’s a message to all entrepreneurs: value your work, even if it starts with just a pound. Because sometimes, that small step can lead to bigger opportunities.
Michelle Murphy, founder of The CEO Legal Loft, specialises in guiding online business owners through the maze of legal protection. Leveraging her expertise in contracts and trademarks, she offers tailored contract templates, trainings, and essential legal resources to fortify and support the digital entrepreneur’s journey.
Through her own experience of running a digital product shop, she also shares business trainings to help new online business owners avoid the mistakes she’s made with her online shop.
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