Two Things Kate Hudson and Freedym Have in Common
Two of my favorite things are getting fit and making money. There’s nothing like getting motivated by putting on a cute new exercise outfit.
But this one outfit in particular almost cost me an extra $150.
Here’s what happened…
A few years back I discovered Fabletics. Kate Hudson’s athletic clothing line. She has some pretty cute stuff. One day I ordered an outfit (it was offered at a low first time purchase deal for around $20).
Anyway, they had this VIP club where if you joined you could buy one new outfit a month for $49. Loving the sound of a deal and a discount I signed up.
When the cute outfit I ordered arrived, I excitedly opened the package and tried it on. I really liked the style but it didn’t really fit me all that great.
I decided to keep it anyway and wore it a few times. But I never ended up ordering from them again.
A few months later I noticed a $49 charge on my credit card bill that I didn’t recognize. After a little investigation, it turns out that Kate Hudson’s company charged me 3 times. $49 for 3 months even though I didn’t order anything.
Say what?
I called the company and they refunded my money since I didn’t buy anything. But they didn’t bother to ask why I wasn’t happy enough with their clothes to keep ordering. I realize it was my fault for not reading the fine print, but seriously? They are charging people every month without delivering any goods.
Not the best continuity business model in my opinion.
Or is it?
Of course, there’s also nothing like earning passive reoccurring income while you sleep, go out to dinner or walk on the beach.
Now, I’m guessing good ole’ Kate has a lot of customers. Imagine if she only has a thousand people signed up for her VIP club who don’t bother to order a new outfit every month. Let’s do the math…
$49 x 1000 people = $49,000 a month times 12 months = $588,000. For nothing. Now I certainly hope most of her VIP customers read the fine print and order more clothes.
But either way. The cost of manufacturing and shipping a sports bra and a pair of leggings can’t be all that much. Besides she has to have way more than a thousand customers.
Since she’s been in business for a while now.
Now another membership I used to belong to is the Freedym group. It’s a membership that was founded by Ryan Lee, the guy who ran my Mastermind Group in LA a couple of years back. At the time I was paying about $30 a month to have access to all sorts of business information.
When I joined they were offering a $1 trial for one day. This way you could check it out first. Then they started billing me monthly after my one day was up. Now I don’t think one day is really enough time to fully check something out but I definitely got my money’s worth.
After a while, I dropped the membership since I didn’t seem to need it anymore. Which is the cool thing about memberships since you can usually cancel anytime. Unless you’re a gym membership that tries to lock you in for life and keep your firstborn child.
One day I noticed that Freedym had over 6000 paying members.
I did the math on that one too. Here let’s do it together. 6000 members paying $30 a month = $180,000 x 12 months. Ryan’s company was making $2,160,000 a year. And this is only one of the companies he owns!
You can see why I jumped at the chance to join his mastermind.
Of course, both companies have employees and overhead costs, etc. But still, my point is that continuity is where it’s at. Which is why everyone is doing it. Amazon, Netflix and even little businesses like me.
Which is why I finally created my first membership site. But I will get to that in a minute…
Anyway, the 2 things both cutie-pie Kate and Ryan’s Freedym have in common is that they both get “continuity.” Since they both have successful businesses where they have members paying month after month. Which brings in sustainable income every month.
The other thing they have in common is that they draw in new customers with a one-time low priced offer. This way people can check it out first before they pay the higher monthly membership dues.
Now the thing they don’t have in common is that Fabletics wasn’t Crystal clear on the deal. It took me 3 months to notice they were charging me. Whereas with Freedym I knew exactly what I was getting for my money and how much I would pay.
I don’t know about you but I think doing business the way of my Mastermind coach is the way to go.
Selling Online Courses is the #1 Way Most Bloggers Make Money
As wonderful as continuity is building the trust you need to get people to sign up could take month and possibly years. Especially, if you been burned before. Like I was with Fabletics.
That’s why most bloggers start out by selling lower priced eBooks and courses. Then once you’ve established credibility with your students you can then sell them higher priced (more intensive) courses that can help them even more.
Which is why I created the How to Build Your Own Money Making Website course. It’s so affordable anyone can start right away. Plus, I teach you 5 ways you can start making money online right away.
Here’s what’s included in the 6 part video series Plus Bonuses:
*You will learn step by step how to build your own money making website in less time than it takes to watch your favorite 1 hour TV show.
*How to start your own email list (who will buy from you for years to come)
*How to build your list of loyal followers with the perfect lead magnet.
*What is affiliate marketing and finding something to sell if you don’t have your own product yet.
*One of the best ways to quickly drive traffic to your website.
*A beginner’s guide to using Pinterest and make your pins go viral.
And a whole bunch more…
But before you sign up download your FREE guide that teaches the fastest way to make money blogging. If you’re ready to start creating a lifestyle filled with sustainable reoccurring income, then march on over to the link below. The one that has Freedom written all over it here:
I want the Freedom of owning my own business.
Irene
Founder of Zipping It Up
P.S. We’re on Thinkific! One of the leading course distribution sites with over 30 million courses sold. According to Entrepreneur, you can make 7 figures a year by just selling online courses alone. What would your life look like if you had your own freedom lifestyle business?
You can start now… Download your FREE guide here: The fastest way to make money online.
