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One percent rule



 
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Old June 3rd, 2007 Jun 3, 2007 5:03:17 AM -   #1 (permalink)
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Default One percent rule

Hi

I recently came across some info on here regarding the 1% rule of sales which has really made me think. For anyone that doesn't know, it seems that agood rule of thumb is that for every 100 visitors you have to your t shirt site, you make 1 sale.

To cut a long story not so long, I wanted to set up a small online t shirt label about 4 years ago but realised I was grossly underprepared. After quite a bit of research, I decided to set up a website which would attract the exact target audience I was hoping to sell to so that when I eventually came to set up the label, I would have free marketing.

The site I run now gets around 3000 unique visitors a week and I am about to sponsor the site with the label and advertise it on every page. However, by the 1% rule which generally applies to all marketing too it would seem, of the 3000 visitors a week, 300 would visit the label website and 3 would buy per week.

3 a week!? I'm now bricking it cos setting up the label has taken me best part of 6 months. Perhaps because all visitors will be the exact demographic I'm looking for I shouldn't pay too much attention to this rule?

Any thoughts or advice would be most appreciated?
 
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Old June 3rd, 2007 Jun 3, 2007 6:12:54 AM -   #2 (permalink)
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Default Re: One percent rule

Quote:
Originally Posted by dominici
Perhaps because all visitors will be the exact demographic I'm looking for I shouldn't pay too much attention to this rule?
The rule isn't hard and fast, and having targeted traffic definitely makes a difference. There's only one way to really find out, but with a good captive audience and the right marketing you could get much higher conversions.
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Old June 3rd, 2007 Jun 3, 2007 11:16:23 PM -   #3 (permalink)
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Default Re: One percent rule

Someone on here has mentioned a 20% conversion rate. Seems really high that though, is it realistically possible?
 
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Old June 4th, 2007 Jun 4, 2007 12:16:54 AM -   #4 (permalink)
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Default Re: One percent rule

20% is very high indeed, but not impossible. If it wasn't for the fact that amazon is used as a book reference tool (if you took all that traffic out), it wouldn't surprise me if that was close to their *actual possible shoppers* had a 20% turn over.
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Old June 4th, 2007 Jun 4, 2007 1:30:09 AM -   #5 (permalink)
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Default Re: One percent rule

Quote:
Originally Posted by monkeylantern
If it wasn't for the fact that amazon is used as a book reference tool (if you took all that traffic out), it wouldn't surprise me if that was close to their *actual possible shoppers* had a 20% turn over.
Yes I agree with you. Just stick to make the best website you can possibly make, and don't worry about the conversion rate.

Check this reference site, it might help: So You Want to Make Money Online: An Extensive Guide to T-Shirt Affiliate Marketing
 
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Old June 4th, 2007 Jun 4, 2007 8:23:33 AM -   #6 (permalink)
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Default Re: One percent rule

But Amazon is a bad example in my opinion. Remember that for all intents and purposes they have "every" book in existence, good prices, a stellar reputation, and free shipping for orders over $25. As an independent t-shirt retailer you have a small inventory of t-shirts, comparable prices with everybody, probably realistically no real reputation, and you charge for shipping. While I have no basis for the number I'm going to give out, I think 10% would be very high.
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Old June 4th, 2007 Jun 4, 2007 9:25:46 AM -   #7 (permalink)
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Default Re: One percent rule

Quote:
Originally Posted by dominici
Someone on here has mentioned a 20% conversion rate. Seems really high that though, is it realistically possible?
20% is on the high end. I think I may have posted that figures in the past in reference to the tshirthell affiliate program.

That is with sending targeted t-shirt buying traffic their way and their site converting those visitors at a higher rate than any other program I've seen.

If you get unrelated traffic or untargeted visitors, that number could go down significantly. The quality of the visitor will greatly effect your conversion rate.
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