Why Selling Your Product At A Profit Is A Big Mistake

One big mistake many companies make is selling their product at a profit.

They see advertising as an expense, rather than an investment.

They focus on driving the cost of advertising down, while increasing the amount of exposure they get from ads.

Here is why that doesn’t work…


Especially in the days of Facebook & Google advertising, where anyone can hop online and place ads, we are vulnerable to rising ad costs…

When 10 people are bidding against each other to show ads to the same people, the price rises. 

So we need a different way to go about it.

Let’s say you sell a $100 product.

And you think “if I can get customers from Facebook/Google at $50, then I can make $50”.

Which is what everyone is thinking.

So that cost goes up & up & up… until the market saturates and competition starts dropping out.

Let’s say that number is $100: you and your competitors have to pay $100 to acquire a new customer.

The experienced marketers & entrepreneurs rub their hands together in glee, at this point.

The novice marketers & entrepreneurs drop out.


Because the new marketers are advertising to make a profit. Their goal is quick cash, quick results, etc. They need to turn advertising dollars into profit.

The experienced marketer looks at it like this…

I want this marketing campaign to break even so that I can acquire unlimited customers for free. If I can spend $1 on an ad, and get $1 back from this campaign, I pay nothing to get new customers.

This is known as the front end. 

The front end is a customer acquisition strategy.

The only goal is to acquire new customers.

We are not trying to make a profit.

We are trying to break even, so that we can go to more channels & get more customers, at zero ad cost.

We are trying to get a high volume of customers… because we know that we have a back end.

A back end is where the profit is made.

A back end is our follow up system.

The back end is where we make all kinds of offers… to people who already know, like & trust us… AKA customers… as opposed to prospects.

When we try to sell to new people, in the front end, our conversion rate is lower.

When we try to sell to existing customers, in the back end, our conversion rate is higher… and the amount of money they will spend seems endless compared to how difficult it would be to make the same amount of money by going around the world trying to tell everyone about our single product that we need to make a profit on.

Rather than expecting our front end product to create a profit, we want to build a “front end” marketing system that sends a high volume of customers into our “back end” selling system that is designed with profit & customer experience in mind.

Thanks for reading, I hope you put this to good use. Whatever you do, don’t let it distract you. There are many good ways to achieve your goal, but only 1 best way.

Think of it like a bridge. If you had to build a bridge to get you from where you are at, to where you want to be, what would it look like, how much money would it cost, what material would you use?

This should help you decide…

Imagine the Grand Canyon. You are on one side of the canyon and your pot of gold is on the other side of the canyon. Maybe you want financial freedom, maybe you want to enjoy your work, maybe you are trying to raise money for a cause, whatever your goal is, the only way to get it is by building a bridge.

The problem is, we live in a day & age where opportunities are everywhere. It's hard to decide which one is best. And when we do, another opportunity comes around & distracts us from the project we are currently working on.

This results in a dozen half-built bridges.

Imagine if you had poured all those resources into one single bridge.

The way out of this trap is to pick one bridge... and only one bridge. Maybe it's Facebook advertising, maybe it's copywriting, maybe it's email marketing... it could be any single bridge.

The most important factor in making your decision is determining which bridge is going to be the best way to get your pot of gold.

Here is why this is so important....

Once you finish 1 bridge, you not only get your pot of gold, but you also create an income stream that will provide you with the money, time & energy to build another bridge.

Now you can hire people to build your 2nd bridge & your 3rd bridge & so on. Here is the problem...

There are hundreds, even thousands of bridges you COULD build.

This leads to analysis paralysis. You can't decide which bridge is the best bridge, so you go back to what you were working on & stay stuck.

That is exactly why I wrote a quiz for you. I want you to get clarity around which bridge to build first. All you do is answer a dozen questions & a couple minutes from now, you will have clarity.

Click here to see the quiz.