Here are a few convenient rules of thumb to keep in mind as you start up and operate your own Internet Marketing business:
1 – The 10/10 rule.
This rule says always give your online customers a discount off the list price, but the discount doesn’t have to be huge; either 10% or $10 off will do.
2 – The 99/1 rule.
99% of your affiliate sales will come from 1% of your affiliates.
3 – The 90/90 rule.
90% of the people who opt into your list who are going to buy something from you do so within 90 days.
Therefore you want to get as many new subscribers as possible to make a purchase within that time frame, otherwise, they may never buy.
4 – The 3-month ROI rule.
This rule applies to buying traffic and new names for your list.
It says that ideally the revenue generated by new names added to your list should pay back the advertising cost to acquire those new names within 3 months. If not, you may be paying too much per name.
5 – The 10 X 10 = 100 rule.
If you can increase your clickthrough rates and conversion rates each tenfold, you will increase your revenues one hundredfold.
6 – The 8:1 rule.
The minimum selling price of a product should be at least 8 times the cost of the goods. So a DVD set that costs $10 to make must sell for at least $80.
7 – The 0.1% rule.
Each time you broadcast an e-mail to your list, no more than 0.1% of your subscribers should unsubscribe.
For a list of 100,000 subscribers, that would be a maximum of 100 opting out of the list.
If your opt-out rate exceeds 0.1%, consider throttling back on frequency or improving the content.