Recurring profits are generated from places like membership sites that customers pay for each month in order to remain members.
From a marketing perspective, continuity is awesome as it means a steady flow of income for you.
However, from a customer perspective, continuity can either be a terrible headache or an amazing thing…this depends on you, the marketer.
Let’s face it, every one of us would love to have as many paying subscribers as possible for their continuity programs, and you would like to keep them in your membership site as long as possible.
However, some marketers take this too far.
Some unscrupulous marketers make it difficult for their members to cancel their subscription.
Worse still, some force their customers into be in continuity membership against their will.
For instance, when subscribing to their program, they fail to disclose to the customer that they will be billed on a monthly basis.
Because this was made illegal, we see less of this technique these days, but it is still out there.
The second thing dishonest marketers do is to offer Product X for $1, and then link it to a free month of membership site Y, which is normally billed monthly.
Of course, the customer will be charged after the 1st month for membership Y.
If they forget they needed to cancel, or did not read the fine print on their sales letter, they are going to think they are being ripped off.
You can argue and say that it is legal since it is the customer who failed to read the sales letter, but this is not going to earn the marketer any trust.
In fact, the customer will be more irritated to the point that they will never do business with the marketer again.
But the question is: why do these marketers find it necessary to hide Membership Y behind product X?
If the membership is worth it, why not promote it and use product X as a bonus?
Here is one thing we can learn from this.
How you treat your customer/client today will directly affect your income tomorrow.
Trying to hide your continuity behind another product, will not only hurt your future business but your reputation as well.
Instead, give worth to your membership Y, and then brag about it.
Tell customers upfront that you are charging $1 today, but that it has a monthly charge of $47 a month after that.
Let them know this 3-5 days prior to charging them that you are going to charge them $47 for the next month.
If they want to cancel their subscription, outline the procedure for canceling.
If you are worried you will lose your subscribers, tell them that you are going to give them a powerful bonus every month.
Make it a worthy bonus that will make them stick with your membership site.
Your subscribers will love you for being honest with them, and you won’t have to worry about being called a con-artist on social sites and forums.
Your subscribers will trust you and will want to buy more stuff from you.
In addition, fellow marketers and affiliates will want to promote for you.
Treat your customers the same way you would like to be treated, and you will build a business that will keep making profits for you for a lifetime.