The Only Verticals I Enter Are Those In Which A Ceiling Does Not Exist – Rich Gorman
One of the most profitable industries in the world is health & beauty. Given a bad rap online by unscrupulous pushers of Acai & Skin, this multibillion industry is not only here to stay, it’s actually growing!!!
Indeed, we witnessed the rise and fall of many CPA networks, which were primarly powered by overly agressive marketers of nutra. i.e. Industry gians such as Epic Direct, who were HUGE players in the nutra space 2 years ago, are now DEAD IN THE WATER. Now that the dust has settled, and these CPA networks are dying off, where are health & beauty advertisers getting their traffic from?
The answer is simple: the same places they’ve always bought traffic from.
Tier-1 Health & Beauty brands have direct access to the best traffic sources in the world. These groups have vertically integrated media buyers that spend their days placing ads and watching stats. While some of these groups work with a few high-volume affiliates, they’ve almost all pulled the plugs on the networks. Examples of such advertisers are:
It’s no secret that I am a HUGE fan of health and beauty offers. Working directly with the most prolific marketers of health and beauty, I can tell you that these guys are exceptionally gifted…. i.e. When I took Zac Johnson through ACMGs 480 seat call-center, with floor-to-ceiling windows facing the Hudson River, even Zac was floored. If you are an ingenious marketer and are looking to build a business from your garage that you can scale into a multi-billion-dollar enterprise, then health and beauty is the way to go.
In this post I’m going to provide you with direct advice on how some of the largest advertisers in the world build nutra offers. These steps are expensive and take a lot of time to complete. But if you follow my advice, and are willing to invest a lot of time and money in a successful offer, then you’ll not only position yourself to make millions of dollars, BUT ALSO KEEP IT
9 Steps To Creating A Compliant Nutra Offer – THAT CONVERTS!
1. Many of the advertisers I listed above work directly with Venable. The main FDA contact at Venable is Todd Harrison, who is a master at creating formulas with clinically-proven ingredients for his clients. Todd will get you hooked up with a solid formula – he’s one of the few attorneys who actually gets it! Here’s his info:
TAHarrison @ Venable.com.
2. Once you have your formula in hand, place an order at wholesale costs via At Cost Fulfillment. Also have ACF set you up with a fulfillment account that will provide you with postal rates. Big savings! Here’s ACF’s info:
At Cost Fulfillment
3. Run a controlled test via ITG. ITG is an INDEPENDANT group of doctors that will recruit human guinea pigs that have no material connection to your offer – sorry, using your mom and best friend’s testimonial won’t hold up too well in Federal Court ITG will get you some awesome testimonials, videos, before & afters, and other REAL marketing material for your offer. These guys rock!!!
To reach out to ITG, contact:
egaut @ detauginc.com
4. Once you have a few dozen testimonials w/ videos & pics, have DRA buildout THE ABSOLUTELY BEST lander / presale page (w/copy) / banners. NOTE: design is usually 3-4 weeks backed up due to existing projects. Ron Gamble runs the show, and if you don’t already know, he’s the designer of the new top mast on DirectResponse.net + Avatars + hundreds of sick direct response pages that you’ve seen around.
Direct Response Agency
Ron @ DirectResponse.net
5. Run a full FTC / Visa compliance review via Tom Cohn.
For those of you don’t know Tom, he is the former regional director of the FTC and has successfully represented a number direct marketers who got in trouble with the FTC. Tom will run a full scan of your sites and recommend changes. I strongly encourage you to make all of the changes he suggest. If you have a superior product (Todd will set you in the right direction) then it is easy to procure awesome testimonials.
Procure documents from Tom Cohn for traffic vendors so you can PROVE that your offer is compliant.
Thomas.Cohn @ LeClairRyan.com
6. Setup a LL account. If you need integration help DRA will assist.
7. Utilize Rick Del Rio’s exclusive rolodex of merchant processors. This list is reserved for LL clients only. Very useful contacts.
8. Take your compliance documentation to the direct traffic sources. We recommend the following:
- EngageBDRs managed buys (you better be an experienced advertiser of you will lose your a$$)
- Facebook: get legal involved and stay persistent to get on this channel. Do not shortcut by cloaking.
9. Monetize Your Data.
It is best to monetizer your own data:
Email Monetization – Stormpost
Direct Mail – Build It Internally
Call Center – Build It Internally
If you can’t monetize your own data, use King Monetizer.
Remember the old saying: any fool can make a million dollars, but it takes a wise man to keep it. Get your offers compliant and sleep with both eyes closed
P.S. There’s a lot of advertisers that are still pushing hard Acai that do not run into troubles with the law. Here’s 2 business models that are extremely successful and have been around for a long time:
Disclaimer: I have included some companies in this post that we have a stake in. We provide services to several of the largest advertisers in the world and truly believe that our services are far superior to that of our competition. While we are by far the most expensive on design and copy out there, our pages convert. RE fulfillment & contract manufacturing, the savings passed over to the client combined with the efficiency of the operation, make us the preferred vendor amongst the highest volume merchants.