It’s time for a quick recap of January!
2017 took a big toll on me: I worked my butt off for 12 months straight, took no holidays, almost zero day off, generated a ton of sales… and made almost zero dollar.
I simply can’t go another year like this or I’m going to hit a brick wall head on.
I’ve decided to pause all my advertising and take some time off.
I spent a good amount of time chatting with friends while trying to figure out what’s next, and one of my friends gave me the best piece of advice: focus on your lists.
We hear it time and time again: the money is in the list. And yet putting these emails campaigns together can be a complicated task if you’re trying to do it the right way.
But contacting your list with an email that’s half-good is still better than not contacting your list at all.
I mean, you’ve already spent the money to collect these leads so it’s basically just money sitting there and waiting to be collected.
So this is what I’ve been doing for the past month: sending email, after email, after email. Putting together 3 different email templates and seeing which one works best with each store.
And here is the result:
I know it looks like I forgot to input the numbers for January, but they’re actually there. Simply hover with your mouse (or tap on January if you’re on mobile), and you’ll see that I made 92 sales.
92 sales is nothing compared to the gross numbers I’ve been generating for the past 12 months, and yet the net profit is so much better… because I didn’t have to spend a single advertising dollar to make these sales.
To be clear, it wasn’t 100% profit because I still had to source the products, as well as pay all kind of fees and monthly services, but it’s always better than nothing.
Since I didn’t have to pay any advertising for these sales, my ROI went through the roof: +71%. That means that for every $1 spent, my stores made $1.71 in gross revenue. Not bad at all.
Niche sites and Dukeo
The traffic to my niche sites is still going down. This is kind of ridiculous when you remember that at its peak, my main niche site was make over $5,000 per month in affiliate commissions, until it fell out of grace with Google for a reason that I never understood.
Also, I’ve decided to add a few Adsense banners to this blog again. It’s not going to make a lot of money, but at the end of the month every dollar adds up, so I might as well make a few extra bucks.
What about the money?
Here is a breakdown of the money flow for my various projects.
To make this report easier to understand, I’m using a simple color code: green numbers are positive, red numbers are negative.
Please keep in mind that these figures may not be 100% accurate due to various factors such as refund requests and network adjustments. The terms for each payment may also vary. As a result these numbers may differ from the actual payments issued and received.
|Cost of Goods||-$897.61||▲ $13,023.38|
|Customer Service||-$173.05||▲ $45.76|
|Payment Fees||-$167.51||▲ $3,591.38|
|Niche Sites||$299.55||▲ $240.55|
|Sponsored Blog Posts||$0.00|
In December, I spent over $70,000 to make $2,500… And in January I spent less than $2,400 to make almost $1,600.
It’s easy to get caught up in the gross revenue numbers when they go up steadily, but at the end of the month what really matters is the net profit.
When you remove paid advertising from the equation, the numbers are so completely different.
Once again, I didn’t forget to input the numbers in that graph. It’s just that they’re so small compared to previous months that you almost can’t see them.
What’s happening next?
I am not yet ready to reactivate my advertising campaigns.
Even though my net revenue is not covering my living expenses, I don’t want to get back on the paid advertising grind just yet.
Obviously, the problem with my current strategy (relying 100% on my email lists) is that I can’t really scale without collecting more emails.
I need to come up with a different strategy first, since I don’t want to repeat the 2017 mistakes all over again.
I’ll keep you posted next month!