A little story behind this article…
I had thought to write something about ‘how to build an email list for free’, but then Jaaxy (my preferred keyword research tool) sparkled the whole new idea in my head by providing me the related search query “the money is in the list“.
Hmm…That makes me wonder why people are searching this phrase on Google.
Upon research, I found that many people are looking for this phrase’s definition, and there’s limited information available on the internet.
Bingo! I have an idea to write something informative about this keyword, and that’s how this article is born!
Hey, this is Zac Phua, the owner of LifeGoalFinisher.com. In this article, I am not only going to explain what does it mean by “the money is in the list”, but I am also going to provide you some practical ways to start making money online by leveraging this concept!
Without writing any longer, let’s delve into it.
Table of Contents
What Does It Mean by "The Money Is In The List"?
The list is actually referring to the list of email addresses you collected from people.
Unless you are just into internet marketing, you probably have heard of “The Money Is In The List” countless times already.
It’s a well-known internet marketing proverb where the experts use it to emphasize how important it is to grow your own email list because it’s a most valuable asset to your business.
Famous digital marketing expert, Russell Brunson, claimed the email list as the traffic that you “own” in his Traffic Secrets free book.
What he means by that is you can utilize email marketing to further following up with your potential customers on the list to get new sales or even repeat purchases, with no extra marketing costs needed.
Besides, according to stats shown by Neil Patel shows, the general return on investment (ROI) from email marketing is $40 per $1 spent. How incredible is that!
Imagine if you have a huge enough list, let’s say 1000 email subscribers and assuming you can make $1 per email subscriber on average, which is pretty realistic. In return, you can easily make a thousand bucks or more than that every month!
Sounds like easy money? Yet, the premise for that is you have nurtured a good relationship with your subscribers through providing them values and earn their trust.
The more relevant and valuable messages you send to them, the more trust and credibility you shall be getting, and the more likely they are to buy from you.
More Reasons Why You Should Bother Email List
Advantage #1: Save Unnecessary Advertising Dollars
As I mentioned, building an email list enables you to have the traffic that you “own”. It will never go away unless you have the intention to sell it to other people (which is unethical).
You might already know that every time the search engines or social media make an algorithm change, most businesses will be affected.
Either they are required to pay more money for traffic, or their messages/posts can only be reached to the partial amount of people. If the post engagement is below average, the number of audiences they could reach is minimal.
As opposed to the search engines and social media where they could control the traffic you get, you can send your message to everyone on your list because you are the one who own it. You have permission to reach out and communicate with all of them, without any advertising fees.
This will save you loads of marketing costs.
Advantage #2: Your Warmest “Leads”
Recall back to your previous opt-in with other people’s email newsletter. The reason is most likely you are interested in their products/services.
The same goes for your email subscribers. They are amongst your “warmest” customers who know you better and possibly interested in your services.
Suppose you take the time to grow your list while deepening your audience’s relationship by continually giving them massive values.
In that case, many subscribers will convert into paid customers sooner or later if your free values blow their minds, making them want more from you.
Advantage #3: Enhanced Rate of Return Visitors
Let’s face it, most of the people who visited your website are poised never to come back.
And did you know that acquiring new customers can cost 5 times more than retaining existing customers?
If you have an email list, you can increase customer retention by inviting them to keep coming back to your site for the latest post, special offer, or new services.
Other than that, having a proper email marketing strategy that lures the visitors back to your site is also a kind of off-page SEO tactic to let the search engines trust you more and give your website a better ranking.
Better ranking will lead to more free organic traffic coming into your site.
Advantage #4: Email Is A Long-Lasting Asset
Most people say that email marketing is dying, that’s not true at all.
If email marketing is really like what they said – it’s “dying”, I wonder why there are still many big brands collecting emails by giving away free stuff. That doesn’t make any sense, right?
In fact, based on Radicati’s research, there are 3.8 billion active email accounts in the world. It’s almost half the population of Earth! And it’s growing every single day. This means the email has a huge demand, and it’s not going away anytime soon.
It also proves that email marketing is still working. It’s just not as effective as it was in the late 90s when everyone loves email, and the open rates could be up to 90%!
Today’s average email open rates are between 15% – 25%, and click-through rates sit somewhere around 2.5%.
However, growing your list can still make a significant positive impact on your online business over the long term.
Advantage #5: Email Is More Buyer Intent
Sometimes, I would feel annoyed by the endless ads on social media like Facebook, Instagram, and YouTube, and I am sure most people do.
You see, most people’s intention on these social media is merely trying to look for entertainment (watching funny videos, meme posts, etc.) or talk with friends and family.
They aren’t prepared for the interruption marketing videos that are trying to sell them something. Naturally, they will get annoyed.
But email is different. Most people still prefer emails for business messages (of course, including myself).
Hence, email marketing could bring your more “buyer” traffic into your sales funnel ready to pull out their credit cards and buy your stuff. I guess that’s why email marketing has such a colossal ROI than other marketing approaches.
How To Build An Email List & Make Money?
Step #1: Pick A Niche
This step is very straightforward. You need to pick a niche that you love. You can think of it as choosing an interest that you passionate about.
Just like the old saying applied here;
“The birds of a feather flock together.”
People who have the same interest as yours are more likely to give you their emails in exchange for something valuable, which wed coined it as “lead magnet”.
Step #2: Create A Lead Magnet
Once you have a targeted niche, you need to create a relevant lead magnet to be offered to the niche-specific audience in exchange for their emails.
It could be an ebook, a coupon, a video guide, or anything valuable you could dream of!
Make sure you give your lead magnet a “sexy” name to entice people’s interests in order for them to provide you with their emails.
Even if your lead magnet is an ebook (better not too long), you can name it as a ‘blueprint’, ‘cheatsheet’, and a ‘guide’.
Let’s face it, the word ‘ebook’ is obsolete because people are simply impatient today, and nobody wants to read a 200-page ebook.
Step #3: Create A Compelling Squeeze Page
A squeeze page is also widely known as an opt-in page. It’s the place where you capture people’s email addresses.
On your squeeze page, you need to introduce the lead magnet they are about to get. Try to make it as compelling as possible. Tell them how they will benefit from your lead magnet, or solve a specific problem.
ConvertKit is my recommended email service provider to create your squeeze page because it’s easy to use. They have lots of pre-made templates that you can customize to meet your needs.
Step #4: Set Up An Email Sequence
Step #5: Drive Traffic To Your Squeeze Page
Now you have everything set in place. It’s time to drive traffic to your squeeze page and grow your list.
You can be a content creator like YouTuber or blogger to attract visitors to your content, and then direct them to the squeeze page to capture the leads.
Another way to grow your email list is with paid promotion, which I don’t really recommend to beginners, especially if you have low startup capital and zero experience in running ad campaigns. Or else, your budget will burn out very soon.
Step #6: Develop Rapport
As far as providing values to your audiences, I can’t stress it enough because it plays a pivotal role in bringing you the money that you desired.
Don’t try to be a pushy salesman because nobody likes to be sold. Keep serving them with massive free values first, in order to nurture a great relationship with them before you start monetizing.
I understand making sales is essential because there’s no point in building an online business that ends up losing money. But, how you going to get the sales if your customers don’t trust you?
When building your lists, it’s important to treat them as a long term business asset rather than a method to make a quick buck.
Step #7: Monetization
Basically, there are only 2 core ways to monetize your email list, viz:
- eCommerce ➜ Create your own services/products to sell.
- Affiliate Marketing ➜ Promote other people’s products for commissions.
Unless you have huge startup capital and ready to hire a team to handle stuff like:
- Dozen paid promotions
- Warehouse rentals
- Product packaging
- Product fulfillment and shipping
- Customer service
- Complicating taxes
- Be well-prepared in dealing with legal issues
The latter might be a better approach for you.
Quite frankly, I like to make things as simple as possible in both life and business by taking the least resistance path. Fortunately, it has worked like a charm.
That’s why I prefer being an affiliate to promote trusty product or service to people for commissions. If they decide to buy, I get paid and wash my hands of any future responsibility.
Compared to eCommerce, Affiliate marketing, by any means, is a more beginner-friendly way to earn a living online.
In A Nutshell
And there you have it. You already know the meaning behind the internet marketing proverb – “The Money Is In The List”. And You also understand the hidden potential of email marketing.
Although I have given you the guide to building the email tribe that follows you for life, there is so much more to learn in internet marketing.
I know that all these concepts might still sound vague to you right now, especially if you are completely new to this. That’s ok. You just have to be patient and learn by doing. The more you practice, the better you will get.
As it is getting tougher and tougher to succeed with internet marketing as time goes on, the best time to start your online business is right now, right this second. The longer you wait, the more difficult it will be to succeed.
Perhaps you want to shorten your learning curve, feel free to check out my top recommended online community to get the needed support and training program in affiliate marketing.
You can then leverage what you learned from the community and integrate with your ideas in email marketing to generate more sales.
I am about to stop writing here, and I hope that you can get values from this 2200+ words article.
Thanks for your reading, and I will be forever grateful for that. Peace