JV Brokers

[illmill 87]

Does anyone have any experience working with JV's and JV brokers?  I am planning some upcoming launches that I want to be big and I'm looking at hiring a JV broker to assist with this.  I have never worked with JV's or jv brokers before.  Can you please give me advice on what I should ask the broker, what I should look for, etc.  

 

I spoke with this guy last night who seems legit and was recommended by a very well known JV broker (if it wasn't for this recommendation I wouldn't have even talked to him, nor would I have considered doing business with him - basically, the person who recommended him is HUGE).  He's asking for a $5000 up front retainer for his services, then he gets 10% of all sales for the first year.  This seems reasonable to me (but what do I know?).  The 5k goes towards his fees and PPC, press releases, and some other things.  I'm a bit hesitant to pay so much up front, but it makes sense.  Then his affiliates take around 50% commission.  This is actually less than I was thinking.  I was expecting affiliates to get 60% and JV's to get 15%.  But, as I mentioned, I have never done this before, so I'm wondering if this is fair.

 

Of course, my biggest fear is getting scammed or this guy doesn't do anything and I'm out 5k.  We would have a signed contract and everything, but it's still someone I just talked to over skype and we live on opposite sides of the world.  I know 5k might not be a lot for some people, but it really is for me.  I am also confident this would result in a much bigger launch than I could ever produce.  

[AutomationNinja 194]

That is the same rate I have heard. I think it is too much. If you get the right affiliate(s) promoting your product then who needs a JV broker? I am willing to bet many people with large affiliate lists would be willing to promote your product as a 2nd tier affiliate or as a JV partner. Many platforms including clickbank, warrior pro, and jvzoo allow you to do JV splits. You can often have more than one person to spit with too. So whatever revenue that comes in you split.

[illmill 87]

well, the jv only gets a cut of what his affiliates bring in, so you are only splitting with him and his afiliates.  other jv's get a cut of what their affiliates bring in.  So it's not like you're splitting with a bunch of people cuz that would be ridiculous.

[VaultBoss 310]

You should plan your launch on a test, rather lower-sized, scale.

 

That way you get many benefits, such as:

• no need to pay the JV broker AT ALL 
  (you've just made $5k - send me 10%, will you?..  after all, I'm giving you advice, like the broker would?)
• you will make sure your software works smoothly - you get a chance to iron wrinkles before having to deal with 100s and 100s of complaints, otherwise
  (again, a lot of cash not spent already on support help, anymore)
• you get some buzz on the market this way, PLUS you may get testimonials from satisfied clients (hopefully) which is HUGE, sales-wise
• you can get more affiliates on-board of a real full-scale launch after the experience
• you can split-test other parts of the sales process to improve conversions on sales, etc...

And I could give you lots more ideas how to profitably launch software, but... I am not your JV broker.. LOL

[Kreatus (Ubot Ninja) 422]

The best way is to have a JV Partner who have good reputation on selling products and have an split commission understanding.

That's what I've been doing and it works for me. I will create the bot and he will market it.

[AutomationNinja 194]

Exactly!

[AutomationNinja 194]

Also goes to show exactly where the money is at.  Affiliate recruiting. Hey I know of a bot that would be good  for that by TJ.

 

[Kreatus (Ubot Ninja) 422]

Also goes to show exactly where the money is at.  Affiliate recruiting. Hey I know of a bot that would be good  for that by TJ.

Which bot of TJ is that?

[illmill 87]

have an split commission understanding.

Can you explain what you mean by this?  What sort of split are we talking about?

[illmill 87]

You should plan your launch on a test, rather lower-sized, scale.

That's what I was thinking.  After all, I need to get the money for a retainer somehow anyway....

[AutomationNinja 194]

Give a man a fish and feed him for a day. Teach him how to fish and feed him... his dog.. the whole village...

[AutomationNinja 194]

ok here is how it works. you sell your product for say $100. You can give your JV partner whatever split you want. 10% , %50 - Whatever. It is up to you. So what happens is you make a sale. Lets  assume an affiliate made the sale for you and you pay affiliates 70% commission. 

 

The money comes in, Paypal takes it cut, your affiliate gets paid out their commission. Your JV partner gets paid out. Then you get whatever is left over.

 

This is all done automatically so there is no funny business.  

 

Everyone wins!

 

 

 

[Kreatus (Ubot Ninja) 422]

Give a man a fish and feed him for a day. Teach him how to fish and feed him... his dog.. the whole village...

Lol. Thanks. I saw that already. I thought you're referring to a different bot.

[Optimus Prime 4]

Although a jv broker is an excellent idea, I suggest that you build your laser targeted email list and carry on with your own ventures. Depending on Jvs and affiliates can be a royal P.I.T.A! Start build your list right away and grow it. Once you have a nice list, the money shall come and you do not have to rely on jvs or tons of affiliates. Having affiliates is great, but having your own list is better in my opinion.

[LoWrIdErTJ - BotGuru 904]

In  my experience test your bot sales first on a smaller scale before attempting to contract a broker.

Iron things out like others mentioned.

 

Then when its solid with a good reputation, present it to other heavy hitter affiliates, or those that have made tons of sales in the past they have a large list they will market to for a higher affiliate rate maybe 60-75%

but more sales = higher profits

 

then can bank role a broker if you want and sales did great.

 

 

Less upfront out of pocket costs, and more back-end sales.

[illmill 87]

ok here is how it works. you sell your product for say $100. You can give your JV partner whatever split you want. 10% , %50 - Whatever. It is up to you. So what happens is you make a sale. Lets  assume an affiliate made the sale for you and you pay affiliates 70% commission. 

 

The money comes in, Paypal takes it cut, your affiliate gets paid out their commission. Your JV partner gets paid out. Then you get whatever is left over.

 

This is all done automatically so there is no funny business.  

 

Everyone wins!

Yeah, I know how it works.  I didn't understand your previous comment so I thought you were talking about something else.  Thanks...

[Optimus Prime 4]

TJ brings up a very crucial point. You need to have stats and good conversions before a jvbroker/affiliate will do anything for you. Test out your salespage/product and see that the conversions are there. Poor conversions just leads to a waste of time and money.

 

1. is this product in demand?

2.Is your salespage clean and catchy? Does it have a decent conversion rate?

3.Test things on a smaller scale, possibly start selling your bots/products on this forum and gather some numbers.

4.If everything looks good , then consider a JV broker and possibly paying 3-5ks.

 

HTH

[LoWrIdErTJ - BotGuru 904]

and i can not STRESS enough..  If selling to the masses, make sure your sales page ROCKS.

 

Crisp, Clean, Informative

Higher a copyrighter if needed to build the sales copy, and designer to make the graphics.  Ive spent as little as 300 up to 1000 on setup process.  But worth it for great conversions.

 

You can bankroll this with selling smaller bots, and save up for the larger releases.

[illmill 87]

and i can not STRESS enough..  If selling to the masses, make sure your sales page ROCKS.

 

Crisp, Clean, Informative

Higher a copyrighter if needed to build the sales copy, and designer to make the graphics.  Ive spent as little as 300 up to 1000 on setup process.  But worth it for great conversions.

 

You can bankroll this with selling smaller bots, and save up for the larger releases.

I hear what you guys are saying and definitely respect your expertise.  I think I'm going to do what you recommended, TJ, but I was also thinking it would be good to get someone who has contacts who can write copy that convert and create great sales videos.  A good broker will help you set up everything from start to end so you have a successful launch.  Of course, if you already have people who do awesome copy, then this isn't something you would need.

[AutomationNinja 194]

Yeah I am pretty picky about copy. I prefer to write it myself. I just find other people can't write copy that is suitable. Nobody knows your own product like yourself.

[Optimus Prime 4]

Yeah I am pretty picky about copy. I prefer to write it myself. I just find other people can't write copy that is suitable. Nobody knows your own product like yourself.

 

Writing your own copy is excellent. Just make sure that copy converts and covers all the psychological triggers, that makes someone buy. If you ever plan to hire a copywriter, make sure to give enough input and detail about the product and all its features + benefits, so that copywriter knows as much about that product as you do. Writing copy is something that takes years, to fully grasp and great copywriters will always have better conversions as well.

 

This is one area, i would outsource for sure. If your product has a decent price point ($100+), then hiring a great copywriter can be a pretty sound investment.

[illmill 87]

Yeah, I agree with Optimus Prime (plus you don't wanna fuck with the autobots!).  I'm a great sales person and good at writing, but writing copy is a science that takes years to master. It would take me too long and it wouldn't be as good as paying someone a few hundred bucks (or a thousand for someone good)..  If it converts, then it's one of the best investments you can make.

 

If you are good at writing copy, though, then more power to you!

[AutomationNinja 194]

For what copywriters charge it is a skill worth learning. I have seen $250 copy that was garbage as well as $1,000 copy that was a joke. Some people have been known to spend $30,000 for copy.  Granted that $30,000 copy is damn good, but c'mon 30G. No thanks. I think if you study writing copy most of us can do just as well (or better) than a professional copywriter. It really isn't that difficult.

[VaultBoss 310]

Yeah... and the copywriters would think the same about coding, you know...

 

Truth is, they may be expensive, but usually based on prior success - if someone wrote copy that made millions in sales volume... their fees may not seem so high anymore.

 

Of course, being ready to open your purse and pay thousands for copy to someone you never heard of and never seen examples of their copy would be foolish.

 

But the same goes for coders, isn't it? 

[AutomationNinja 194]

I hear ya. $30,000 copy that makes millions would be worth paying for. But if you can do the same yourself then you might as well save $30,000. Unless that is the kind of cash you make in a few days, then it is just not worth your time.

For check a writers examples and/or sales page. If his sales page sucks then it is pretty clear he can't write worth $hit.