I used to think that learning how to build wealth to the tune of $10,000 a month was unheard of. And then I recently listened to a webinar explaining a formula that actually makes sense…
How to Create Wealth Step One: Get a Clear Intention…
You need to have a clear intention of how much you want to create. For the purpose of demonstrating this formula, I am using the figure of $10,000 per month. It’s important to use daily visualization by imagining yourself at a future date, but thinking of it as present, making sure to pay attention to the feeling you get when you actually see this amount of income flowing into your bank account on a consistent basis.
How to Create Wealth Step Two: Determine Your Bottom Line…
If you have no idea what your income goal is, there is no way to achieve it. You can’t just blindly go about your business and “hope for the best.” You have to have a plan – strategy that gets you closer to your goal as you go. And remember, it’s not necessarily just the result that makes the difference… it’s the journey…
“The main reason for setting a goal is what it makes of you to achieve it. What it makes of you will always be much more valuable than what you get.”
– Jim Rohn: American businessman, author and motivational speaker
How to Build Wealth Step Three: Determine the Number of Sales You Need…
Take whatever monthly number you want and divide it by 31 to get your daily wealth building expectation. In this example, $10,000 divided by 31 = a goal of $322.58 per day (we can round this up to $325).
Take this figure and work backwards to determine how to create wealth in your own business. For example, in my business, I know that statistics reveal that one in 40 people who watch the sales video will decide to buy on the spot.
Now, I also need to do some research on my own business to calculate my own upsell stats. Why? Because this will give me concrete figures to move forward. While the average person who decides to buy will earn me a commission of $25, I know that one in three of these people will upgrade to the $100/month program, which will earn me a commission of $125/month. One in five of those people will choose the $500 product and one in ten will buy the $997 product.
So, to calculate average commissions, let’s work backwards from a sales point of 30. Thirty sales = ($25 x 30) + ($100 x 10) + ($500 x 6) + ($997 x 3), or $750 + $1,000 + $3,000 + $2,991, or $7,741 times 30 sales, divided by 30 = $258.03 each. Let’s round that up to an average value of $258 commission for each sale.
Judging from this scenario, you would need 38.76 sales per month (or 1.25 daily sales) to equal a monthly income of $10,000, or a daily income of $325.
How to Create Wealth Step Four: Determine how to get the sales…
Judging by my own statistics, I know that one in forty people who watch my video will decide to buy on the spot. So, to get 40 sales a month, I would need to find a way to get 1,600 people a month (52 people a day) to watch my sales video. How do I do that? Well, this brings us to step five to building wealth…
How to Create Wealth Step Five: Determine Potential Clients…
The easy way, of course, is to simply buy leads. However, this is not always very profitable, especially when starting out. Some people pay up to $5 per lead, depending on their marketing strategy, and this would cost $260 per day to get 52 leads!
While many people choose paid marketing strategies, I choose to use free marketing (blogging, article marketing, and video) to engage my potential customers. Assuming you want to go down this path too, let’s figure out how to get those 520 people to read your blog posts and articles daily and watch your videos. (520 visitors is based on my own 10% engagement rate for my content to produce 52 leads.)
How to Create Wealth Step Six: Determine the Flow of Leads…
This is where keyword research comes into play. You don’t want to waste your time blogging about stuff no one wants to read! You can determine potential visitors to your site by accessing Google’s free external keyword tool at ‘Google.AdWords.com’ and clicking on the ‘keyword research tool’ link.
Determine how many people are searching for your “keyword phrase” that you will use in all of your content. For example, I know that the keyword phrase “how to build wealth” receives approximately 590 exact match searches per month, or 19 searches per day. This knowledge tells me that if I can promote this content to rank on the first page of Google, I can expect about half of those people (10) to watch my video or land on my article or post, and 10% of those people ( 1) to become a prospect.
So in this scenario, this particular piece of content for the keyword phrase how to build wealth should give me a daily edge. How do I get 52 leads a day? Just post more content for other keyword phrases – 52 pieces of content, each producing one lead per day, will give me 52 leads, leading to 40 sales per month, which works out to an average of $ 10,000 monthly. Your future to create wealth is now in your hands!