There are so many reasons lead magnets are so effective at list building. Aside from the obvious fact that human nature makes it apparent how much we love getting free stuff, lead magnets help educate an audience in a way that feels more natural than other types of selling.
In many ways, when you develop a lead magnet, you’re giving away some of your expertise in the hope that they’ll value what you offer even though it’s free. The customer is giving away their email address, something they value because they dislike spam and high-powered salespeople, in the hope of learning something valuable and advancing their trust of your expertise.
To put it into perspective, most people giveaway their email at the same rate that they would give away a $20 bill.
With that in mind, lead magnets ONLY work when you giveaway something that is high quality. A resource you easily could have sold for $20 or more.
But in case you don’t believe me yet, here are 10 reasons lead magnets are so damn effective.
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- Lead Magnet Ideas that Actually Convert
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1. They’re Targeted to a Specific Audience Member
First, for a lead magnet to be effective, it needs to be laser targeted to a very specific audience member. When it is very targeted, you only attract the people you really want on your list.
To create a truly niched-down freebie, it can help you to trace your buyer’s journey through the sales funnel to find out where they are missing information and need more to help guide their choices.
2. They Establish Your Expertise
When you design your lead magnet with your ideal customer in mind, you can use it to establish your expertise by giving them such useful information that they cannot question it. Even if they research the facts, they’re going to come away knowing you are really the expert about the topic and someone they can really follow.
3.They Build Trust and Authority
The fact that the ethical bribe is so well made, solves their problem so perfectly, and is branded for your business, will help to spread trust and showcase your niche authority quotient well. Always double-check the facts you share with your audience to ensure that not only is the information demonstrably accurate, but it’s also updated and current. Even when you use PLR to create the lead magnet, you’ll want to check your facts.
4. They Build Your List Fast
Anytime you want to build your list, focus on finding more points of entry into the list. If the only point of entry right now is if you make a sale, obviously that’s going to be slower. If you have multiple points of entry with multiple lead magnets designed to attract different members of your ideal customer audience throughout their buying journey, you’re going to be that much more successful with fast list building.
5. You Learn More about Your Customers
The exciting thing about creating lead magnets is that it requires you to do some study into your audience and your competition. When you learn more about your customers, you are always going to do better in your business. The act of getting your customers to download the freebie and then potentially buy something that you suggest, is going to help you get to know them even more – especially if you watch your metrics and study the data generated by your actions.
6. Converts at a Higher Rate
Customers who buy via your recommendations after joining your list via a freebie tend to show more customer satisfaction. After all, they made a purchase after seeing what you offer and liking it. This means they’re much more easily satisfied than a customer who purchased without any idea of what they would get.
7. Everyone Likes Free Stuff
Human nature is such that we tend to like getting stuff for free. This is the main reason why so many people fall for scams. They really want to do things the easy way and sometimes to look for the easy thing is not good for customers. You can help make it useful by giving them a highly valuable and targeted freebie.
8. You Provide Marketing Materials
The truth is, when you offer a freebie, you should promote it like you do your paid products. This is yet another opportunity to create brand awareness by promoting the freebie.
9. It Segments Your Audience Better
When your ideal customer downloads the freebie, they’re segmented based on the item they downloaded. Then further down the line, when they do more actions and more clicking through your email messages, they’ll get segmented even more. This is always a good thing because the more segmented they are, the more individual the messaging will appear to them, and the more likely they are to convert.
10. They Offer a High Rate of Return
Finally, the investment in freebies offers an extraordinarily high rate of return. The main reason is that email marketing works. Even today, with social media marketers, reports show business owners earning 38 to 40 dollars for every dollar they spend on email marketing. This is a massive thing for marketers and something you cannot ignore because no matter how small your business, this is a compelling marketing method that works.
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