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If you did not read this email. Please try to find 2 minutes in your busy work load to pause for 1 sec, and go back and read it (if you can), it would mean a lot to me. Cya soon ;)

Again, I want to state that although this email used BCC to send to all, I would recommend using one on one. But I did let them know in the email that it was using BCC and the "reason why."

As stated, this was one of my most responsive JV emails. Almost every single person sent an email back to me stating that they would do a promotion for me and when. Some that could not send out for me even replied back to me as to why they could not. If you read the email, I think it is self-evident why it pulled such a personal response from every one that I sent it to.

The above email is not a boiler template email to use but if you study the personal tone, it can help you when you reach out to your JV partners.

The point of this chapter is to impress upon you that launching your site by yourself is a big mistake. And not letting people get thirsty for it is also a mistake.

Jeff Walker talks about how important it is to do this correctly. If done well, you will have people begging to pay you upfront before they even see the course.

So now let's get on to the launch phase...

The Launch Phase - The Spike

Much of this was covered in the previous chapter when I would say "when you go live." But I want to prepare you on a few things.

Make sure all of your ducks are lined up.

Make sure you are in a position to be in front of your PC for the hours before you go live and the full day after you go live.

You will make a nice chunk of money this day if you do what is outlined in the course. The key is to be excited but do not lose control. Stay calm and be ready for anything. And I do mean anything. I have had the worst happen to me on launch day.

95% of the issues below can be taken care of with proper testing. Go thru every possible scenario you can imagine. Make sure to test your payment buttons and track that they pay your affiliates. Never assume all is perfect. You WILL find small bugs; make sure they are fixed before you go live. Your credibility is at stake here and your future JV's will depend on how good or bad this one goes.

Here are some things that can go wrong and what you need to do to prevent it.

Site crash - This can be because of too much traffic for your server to handle. I use Kiosk.ws and I recommend you make sure you check with your web host to make sure they can handle a surge of a launch. I 100% suggest that you put your site on a dedicated server to make sure you are in control of your destiny.

Make sure your web host knows that you are having a big day and make sure you can get them on the phone when you go live. The last thing you want is a crash to embarrass you and piss off your affiliates that are driving traffic to your site. If you have a programmer, make sure he/she is around that day and on hand watching and monitoring the site.

Suspension of Merchant Account - This can happen based on what PayPal and merchant accounts refer to as "unusual activity." Do not think you are exempt. I have had issues here and I know of the very top Internet marketers (names everyone knows) that were shut down in the middle of a roll out because they pulled in 100x's more than their daily average. Imagine you are shut down in 3 hours and it takes you 3 days to get back up. Again, it will kill your conversion and piss off not only your JV affiliates, but your customers as well. Again, just as above, it is lost credibility that you do not want.

To avoid this, simply call your merchant account and let them know the facts. Where, when, what you expect in best case scenario, etc. Let them see the site and make sure they make notes, to your account, of the conversation. Get the person's name and badge number so you can call them if you have any issues. Merchant account managers are all about risk and I can assure you they know nothing about internet marketing. So be proactive and let them see and understand what is going to happen "before" you go live. Failure to heed my advice here will bite you hard in the butt. Do not take this lightly. Take the time to make the simple call.

If you need a good merchant account that understands our kind of marketing, you can use PowerPay.biz. Most of the Top marketers use this firm. Ask for Jud Smith. I cannot guarantee he can accept you, but if he does, you are in good hands.

Never put all your eggs in one basket.

Make sure you do not have just one account like PayPal. Make sure you use 2 -3 options, such as: PayPal, StormPay, 2Co, Merchant Accounts etc. So if one goes down, people can still pay by using the other options. Plus, it allows better conversions from countries that are not accepted by all merchant providers, but are accepted by others.

General Bugs

Make sure you read your emails coming in as the site is launched. Bugs WILL BE FOUND and you need to be there to be able to react to fix them or announce to the members and affiliates that it is known, being worked on, and when to expect a fix.

Forum Bashing

This is typical, of something that happens to the best of the best, during a launch. These losers, who make no money and never did, go out and flame you in forums. Mark Joyner and I call them keyboard cowboys.

All you need to do is watch out for this in the popular forums. Have your friends do the same for you and have them ready to post "Spin" posts ASAP in your favor. Of course, it will be from the heart and not hype.

No offense to anyone. I mean this in general. Crowds behave like herds. You have heard that people are like sheep. Well, it is true. And if a forum thread starts out bad, it will go bad if it is not stopped in the first 3-4 posts. People tend to jump on the bandwagon. It is sad, but true. Even people that like you may post against you just to be part of the crowd.

Having a few friends SPIN the post will shut the "cowboy" up and everyone that follows will be on your side. People love to be part of the winning side. If the cowboy tries to defend his/her case, they tend to bury themselves further and make a fool of themselves.

Many people will advise you to stay out of the forums. I agree. It may be best not to get involved. That is why I say it is best to have your friends do it. In some cases, you will want to jump in and defend yourself. If so, be humble and firm. But more humble than firm. It will make you look professional and the cowboy like a negative fool. Do not attack him/her or it will get personal. Just state your peace and move on from the thread. - Enough said.

SPAM Complaints

Remember, you have many people promoting your site with their affiliate URL. Occasionally, you will have a moron that promotes via SPAM. This can be avoided by using the right host to begin with. A host with a 100% zero tolerance for spam will shut you down and ask questions later. Some will not even ask later. They will ask you to move and will not listen to what you have to say. This can take days to fix if you are not ready.

Proactive solution is to use the right host. As I said, I use Kiosk.ws and they are good people to deal with. They hate spam like all of us; they understand marketing, so they will contact you first and wait for your reply before they "react" and kill your site.

Reactive solution is to have another server or host ready in the wings. As we said above never have all your eggs in one basket. If you have an account elsewhere already, all you have to do is Cpanel copy the site to the other server and then transfer your DNS and your domain registrar. If this does not make sense to you, contact your domain registrar now and ask them how you would transfer your DNS name servers if you had to.

Also, I do not want to get into it here, but do not use Godaddy.com to host your domain name. They are the only service I know that will take ownership of your domain if you get a spam complaint. This is worse than your host shutting you down. If this happens, they own the domain, lock out your account and will not allow you to move it. You are dead in the water and if you are lucky to get it back, it could take 3-4 weeks. I would recommend using NameCheap.com or DirectNic.com

If these things happen, remember to stay calm and let your members and affiliates know what is going on and what you are doing about it.

O.K., so now that we know how to protect ourselves from potential disaster we need to know how to maximize the good. Here are some things that I like to do in the first few hours and days of my site launch.

• I like to monitor my metrics

• I like to see how many members are joining per minute, hour, day etc.

• I like to measure the conversion of visitors to join ratio

• I like to measure my OTO conversion

• I like to measure where the leads are coming from. Is it one or two main people? Or is it from all different affiliate ID's?

• Are new affiliate ID's that just joined making referrals? If so, I know that the system is set up well, as I will describe in a later chapter. I know that my Vx factor is doing well and as people join, they promote ASAP. They recognize the WIIFM factor, and this will be crucial for the sites future ongoing viral success

• I like to monitor the site's Alexa.com rating. This site is 2-3 days behind, but I still monitor it right away and make sure to get a screen shot of the spike to brag about the site's success to the members and affiliates. Call it "social proof that the site is doing well

Somewhere, you should document all of the above information. I keep all this information in a file and I "exploit" it to my own good.

I like to keep in touch with the affiliates and also the members and new members with stats via email and a "news" page when they login.

This is propaganda or SPIN. It is crucial. You need to move the meter on the hype bar just a bit in these days. Maximize the launch in every way you can.

Email the results from your OTO, your sales, etc. Reward your top affiliates by recognizing them in the emails by giving them a plug. You could also talk about your top five affiliates. Although it is too early in your site to run a contest, you may want to put a bonus on the table for affiliates so they will want to keep promoting. Heck, if your site is kicking butt, offer them a Rolex or 100% commissions or $1000 - $5000 in cash.

When Michael Rasmussen and I launched our Free-Advertising-Giveway.com, we ran some incentives right away, since we only did a 3-week project. We offered a reward to the highest affiliate, of retroactive $100 commissions, on all OTO's they produced. This got everyone active, but only one winner. In the end, they were all winners. Even though they did not get the 100% commissions, they still made more money in OTO sales, even at 50%, so everyone was happy.

The launch phase will usually last about 1 week to 10 days. Then the buzz is gone and people move on. The site is now ready to either fail or continue to auto pilot success. Most sites fail, but those that understand what I am about to share with you, have their sites continue to bring in new members and income passively for years to come, with little promotion from the owner. It is all about the Vx factor and we will get into that in the next chapter.

The Post-Launch Phase - Keeping Momentum

This chapter is really what Butterfly Marketing is all about. This is where I finally get to reveal to you what I have learned about passive income success and list building.

What I am about to share with you is something I think that less than 3% of the Guru's even know. There are guys out there that know a hell of lot more about marketing than I do. But this section is what separates me, in many ways from others.

Sure, some guys can make huge launches and write great copy etc., but the "Set and Forget" aspect to their marketing may be missing. This is what allows me to have ongoing success as opposed to constant splash to market hits that die out in weeks.

The 3% that know what I am about to go over with you have also done some incredible things with their projects. Some of these guys I know, and we share test results; others I have observed. As I join sites, the first thing I do is see if they have their "Butterflies" set up. Is it set up to be viral? Is it set up to have a Butterfly Effect from this point forward? Do they practice WIIFM marketing?

I have postponed the Butterfly Marketing project for over 1 year. I was working on PayDotCom.com and other projects and seminars, so I felt it was best to put it off until the time I did. (I needed my programmer to make the script wizard, but I also needed him to complete PayDotCom. It was just a matter of priorities of our time at hand.)

Each time I revisited the project, I had to adjust sales copy I was working on, or even entries in this book.

Heck, when I first started the idea for this project, I wrote that my list size was 40,000 members. Then it went to 100,000 members. A few months later it was 150,000. I remember hitting 203,000 members on June 21st 2005 while I was making my Power Point for the MegaSeminar.com in June of 2006.

Then each month I was speaking at a new seminar. In September, I adjusted my power point to read 242,000 members. Heck, I went from 203K to 242K in 3 months. That's 13,000 members per month or about 425 new members per day!

6 weeks later, on the Marketing cruise for November 1st, I was at 275,000 members.

8 weeks later, as I write this (yes, it is December 26, 2005) the day after Christmas, I am at 300,436 members.

Now, I do not know about you, but the fact that I went from 200K to 300K in 6 months has me excited. Could you imagine if you had 400500 people joining your sites every single day? ... Almost all of them seeing some type of offer at the site they join?

Take 400 new members daily x just 3% conversion. Now, with an average OTO net profit of $100, that's $1200 per day in passive income just from One Time Offers. And to let you in on a fact. in 2005, I made over $400,000 in OTO's alone.

I hope you can now appreciate the power of putting many of these little sites out there on autopilot.

But the key is - 'SET AND FORGET' autopilot systems. If it wasn't for the following section, none of the success I have had or just showed you, would or could have happened. That is why I said this is the most important chapter in the book. So let me share those secrets with you now.

The Viral Exponent - Butterflies

Earlier when we were talking about Viral Marketing, I spoke very briefly about the Vx (Viral Exponent.)

The Viral Exponent (Vx) is a metric, or a way to measure the growth of your site over a period of time. Mark Joyner refers to this as the "copulation rate."

I do not want you to feel that I am going over any type of mathematic concept here. Do not worry. It is very easy to understand.

If you launch your site, we call that the catalyst. That is the huge spike you see, from you and all of the heavy hitters promoting the site like crazy. It is very unlikely that you will continue signups at the same rate you do in your first few days.

So let's start to measure your Vx about 2 weeks into the site.

What you want to do is see how many people join your site (or take any call to action you want to measure) in a certain amount of time. This time period can be by the hour, day, week, month, or year (or even more.)

I like to measure by the "day."

So let's say that today I get 100 new people to join my site. For it to survive on autopilot, I need to get 100 people tomorrow, 100 people the next day, and 100 people each day for the rest of time.

That would mean that my Viral (x) factor is at 1.0. That is what you want to strive for. 100 people x 1.0 = 100 for the next time phase I am measuring.

If I can stay at 1.0 then I know that each day I will get 100 new members for a very long period of time. 1.0 is very hard to reach but can be done if your site is set up to focus on reaching that.

It could be at 1.01 or more, if your site is set up even higher, based on buzz and great copy and a great focus on WIIFM (What's in it for me) as the members sees it.

Sites such as: Hotmail, GMail, MySpace, Friendster, and Napster all had a high x-factor in their Vx. They were growing so fast that each day they were getting more members than the last day. Eventually, this cannot continue forever. There are only so many people in the world. You would reach what is called a "saturation" point.

But, my dear friend, if you can reach market saturation in anything, that is where billionaires are made. And the site will not stop at saturation point. It will just go down to an x-factor closer to 1.0. The reason new people will continue to come in even at saturation is because new people are getting on the Internet every day. New people turn 18 every day. New people are born every day.

But at saturation point, you now have a customer database that can be leveraged to new heights. You can offer new products, upgrades, up-sells, cross-sells, affiliate products, and launch new projects with the use of this client database.

Now, I do not want to get you too excited here. Getting an x-factor greater that 1.01 most likely will not happen, However, I would be very excited to see any student of this course become the next internet billionaire.

The closest site I have to an x-factor of great than 1.0 is InstanBuzz.com - It is somewhere about 1.0000001. It is growing at a steady rate, but over a year's time, I am seeing more new members per day than I did the same day 1 year ago.

That means I would get about 135 members per day now for InstantBuzz.com and about 136 members per day next year. Trust me, that is awesome. I do very, very little to promote that site. There are some things I do a few times per year to "re-launch" it to the marketplace every few months, but I will get into that later.

Right now, I want to focus on the x-factor of 1.0 as the goal. But let's see what would happen if you have an x-factor of less that 1.0

Let's say your x in your Vx is .89 - This could be because you do not have good affiliate tools. Perhaps your sales copy sucks or it does not explain your program well. Maybe your affiliate commission is not set high enough, i.e. 20%

Maybe your site is not easy to navigate. So now, after the spike, you decide to test your Vx and you find it is at a 0.89 and not a 1.0. Here is what you would see.

You decide to make your "Time" variable = 1 day.

Today you see that you have 100 members. And tomorrow you see only 89 people join your site (100 x .89)

The next day (3) you would have 79 people, then Day 4 - 70 Day 5 - 63 Day 6 - 56 etc.

So now, one month after a successful launch, your site is dead. You spent all this time to launch your site. you read Jeff Walkers product launch formula. you made a ton of money the first few days of your site launch. but now it is DEAD!

So you contact all of your JV partners and ask them to re-launch. Some help you and you have another spike again and a new success. But after a few weeks, you find that your site is dead again.

It cannot sustain an autopilot growth unless you advertise, pay for Pay Per Clicks Ads, and constantly recruit JV partners. I do not know about you, but I hate going back to JV partners again and again and again for the same project. Let's face it. The site is a flop. It was a one hit wonder that made you money, but that is not the type of site you want to build.

You want to focus on the Butterfly Effect in your marketing. You need to make SMALL CHANGES that can have DRAMTIC EFFECTS.

Below I am going to show you the difference small changes can have on your x-factor and why it is crucial for you to understand and implement what I will detail for you later in this chapter.

Take a look at this chart here.

eWponent

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