"FROM THE GROUND UP" BUSINESS AND EXTRA INCOME REPORTS
The following reports provide solid information (and motivation)
for the just-starting-out entrepreneur who is looking for the way
to earn extra income in a part-time venture. Each report runs
5000 to 7500 words in length and offers great "jumping off" point
for your new career.
- HOW TO PUBLISH YOUR OWN NEWSLETTER. Learn how to start and
maintain a profitable newsletter with virtually no overhead and
very little investment. We'll show you how to avoid the most
common mistakes, how to find (and keep) subscribers, how to
economically produce and print your newsletter for pennies each,
and much more.. Opportunities for newsletters exist in every
field you can image, and the profit potential is staggering. If
you have a flair for the written word and a subject (or subjects)
you are interested in, this may be your ticket to success!
- HOW TO START AND OPERATE YOUR OWN PROFITABLE IMPORT/EXPORT
BUSINESS AT HOME. If you enjoy foreign contacts, yearn for
independence, have little investment money but what high returns,
import-export could be just the thing. Manufacturers want and
need to sell their products, and stores the world over are
looking for imported goods to sell. You'll learn how to get free
samples of any product from most manufacturers, sources for
finding the names of potential overseas suppliers, where to get
government regulations on import-export and how to use them to
your advantage, and the best way to take advantage of the tax
breaks (which are substantial) in importing. You can do it all,
and you don't need any inventory, warehouses, or boats - your
business can be operated out of your home at minimum expense to
you.
- HOW TO START AND OPERATE YOUR OWN PROFITABLE MAIL ORDER
BUSINESS AT HOME. Mail order is one of the fastest growing
segments in America business, and the potential has barely been
touched! For a low start-up cost and with the right information,,
you can begin your own homebased mail order enterprise and
experience the "kick" you'll feel every time you open your
mailbox to find cash orders. We'll help you with product
selection, sales material preparation, and record keeping; you
will learn how to grow your company from a kitchen table endeavor
to a thriving, lucrative business with huge profit potential.
- HOW TO MAKE A FORTUNE WITH CLASSIFIED ADS. A natural adjunct
to the above report on mail order, this will show you how to
capitalize on the terrific cost-effectiveness of using classified
advertising to promote your business, product, or service. From
selecting the best media to writing powerful and copy increasing
your response rate, you'll learn the techniques for getting the
most out of this inexpensive advertising arena. Many fortunes
have been made from the expert use of classified ads; perhaps
yours can be one of them!
- HOW TO SELL INFORMATION BY MAIL. THere's no doubt about it-
selling information by mail is one of the most profitable
business operations in America today. "How to do it" and
self-help books are very popular; mail order operations who
specialize in selling bits of education are enjoying great
success, yet they're only scratched the surface so far of this
tremendous market! Demand is high, start-up and maintenance costs
are low, and the savvy marketer can very quickly establish
himself in a profitable niche.. You owe it to yourself to
investigate this area of mailing selling!
- HOW TO MAKE UP TO $750 NEXT WEEKEND. For some quick cash,
nothing beats the advice offered in this report; you'll discover
the facts you need to turn "stored potential" into real money.
Here is practical advice for making money with new and used
objects, plus insider's tips on the art of buying and selling,
where to pick up free items (which you can sell at a huge
profit), and much more! Rummage sales, swap meets, crafts
fairs--learn the difference and which brings the most money.
Anybody can do this!
- HOW TO ACCOMPLISH ANYTHING YOU WANT IN LIFE. Offers the proven
techniques of hundreds of successful individuals. What do you
want from life: Money, Health Power, Success, Peace of Mind? This
report will show you how to follow specific plans to attain your
heart's desire. Control your own destiny--don't let it control
you. Learn how to set your goals, and then achieve them..
Discover how to stop wasting time and do the right things to
insure your success in whatever you wish.
HOW TO PUBLISH YOUR OWN NEWSLETTER
With the expansion and diversion of businesses, manufacturers,
and even hobbyists into more and more specialized areas of
endeavor, there is an increasing need for information. And
newsletters are the high profit way to cash in on the market for
specialized information.
You can write and produce your own newsletter from home with a
low overhead and potential for high returns. Many newsletter
subscriptions range from $25 to $100 per year, some much higher.
Even a thousands subscribers will bring in huge earnings.
There are no tried and true methods of making a newsletter
successful, but if you investigate the market thoroughly, and are
cautious in your moves, you can make a break-even profit turn
into a sound income year after year.
You don't have to be a famous business consultant or an insider
on the stock market to produce a newsletter. There are many that
cater to all types of sports, crafts, health, housing or money
making.
The most important aspect of creating a successful newsletter is
the market. You need to research who will buy the subscription
and how much they are willing to pay. But there are sound methods
of testing the market so you can be sure to come out ahead and
establish yourself in the field.
If you have a special interest that has a broad following, you
might find that a newsletter will be readily accepted and
flourish.
What interests or hobbies have you been involved with that can
make a lively income for you? If you follow the steps and
carefully consider your market, there is no reason why you can't
get into the newsletter business too.. And you can MAKE IT WORK.
WHAT IS A NEWSLETTER?
A newsletter is a special timely report on a single subject. It
is a personalized, concise statement from an expert or person
thoroughly familiar with a specialized field.
Newsletters are maintained solely by subscriptions; there is no
advertising. Most are printed within low budget means,
typewritten, from two to eight pages.
The specialized information is newsletters is current, and
usually cannot be found elsewhere. They are a logical extension
to trade journals and magazines.
Aimed at a select group, they often contain the inside
information in the field, hot tips or news scoops that become old
news in publications of the trade.
Newsletters are not distributed by newsstands, nor are they meant
for the mass market. In fact, the average number of potential
readers of newsletters in any one field is relatively small.
Because of their specific information,, newsletters can command a
high subscriptions fee. Business can afford to spend money to
offer executives top-rate information..
There are hundreds of newsletters now being published and
distributed in the United States. But there is room for hundreds
more. Because of the specialized market, there is often little
competition among newsletters, and THERE IS A RISING TREND
TOWARDS SUBSCRIBING.
WHY ARE NEWSLETTERS POPULAR?
With all the print media and visual communications in this
country, you might think there is a saturated market. And that is
true when it comes to general interest mass market publications.
However, the need for specific information in specialized fields
is constantly increasing. How can I beat the competition? How
does the world news affect my industry? Will a union strike on
the other side of the world raise our prices??
The focus of the newsletter is success. Success in business,
success in hobbies, success in health and happiness. The
information contained in the newsletters motivates readers to
follow the advice. What are the best investments? Where are the
trade shows? How can I get an edge on winning contests?
There is an endless need for specific knowledge in every field of
endeavor. Since there is a high standard of competition within
every aspect of our modern life, people search for ways to be in
the know, and use that information effectively.
One of the reasons subscription prices can stay high is because
people are paying for the knowledge and what might be gained by
it. If a two hundred dollar newsletter saves a company thousands
of dollars in excellent advice, then it is well worth the price.
WHAT IT TAKES
You can start a newsletter by yourself; you don't need a large
staff. A desk at home, a typewriter and a telephone are all the
basic tools you need to create a newsletter. Even when you get
into computerized labels and mass mailings, you still will not
need a large space.
You don't need to invest a lot of money to begin a simple
newsletter. You may need to put a little out for advertising for
subscribers or mailings to introduce your product. And you need
to spend some money on getting the first newsletter printed.
But, if your subscription list builds properly, you'll be able to
earn back your initial investments quickly-with some left over.
WHAT TO WRITE ABOUT
The topic choose has got to be your major interest. You'll be
living with it day and day out for years, so you need to be
devoted to the subject. Usually, it's not hard. You probably
already have a chosen field of endeavor, or have developed a keen
interest in a special hobby or sport. Writing a newsletter is
only one more way to demonstrate your interest.
Read any newsletter you can find. What do they talk about? How
much do they cost? How long have they been in business? You might
want to talk to the publishers of a few to find out how they
started and what troubles they encountered. Consider paying them
a consulting fee to help you get on your way.
Take a look at all the trade magazines of the topic you'd like to
work with. Find out if there are any newsletters already existing
in that field. But don't worry--there is usually room for more if
you keep to another aspect of the business or endeavor.
Keep up with the current trends in health, money, sports, or
social events and styles.. What's new with the young people? Or
the elderly? There are many retired people actively pursuing
hundreds of various interests. How can you tap into that market??
WHO WILL BUY?
The first place to test your newsletter is with associates and
colleagues. And, you don't need their subscription, just their
input. What do they think about your ideas? How much would they
pay for a newsletter delivered to their office or home on the
subjects that are vital to them?
The target you're aiming at is simply, anyone who will benefit
from the information you have. Not only are people in a specific
profession hungry for news,, but there are people in all sorts of
related jobs and organizations seeking specialized knowledge.
Everyone is interested in making or saving money. Although you
don't have to focus on investments--there are many such
newsletters already--you can point out the benefits of your
inside tips on how to find the easiest, or the least expensive,
or direct-to-the-source methods of attaining materials for
pursuits or sports.
Generally, you have a small audience target--about thirty to
fifty thousand people. But even a small percentage of that target
will make your newsletter profitable.
Extremely successful topics are new trends where people can't get
enough information. Manufacturers, advertisers and entrepreneurs
are all searching for the new to exploit. Depending on the
subject you choose, tap into those potential subscribers.
WHAT TO CALL IT?
The title at the top of the newsletter is the most visual aspect
of the publication. It reflects the content and it reflects you.
What title is best for your newsletter? If you are well-known in
your field, you can use your own name. Or, think of a few titles
that indicate the topic, or use a catch-phrase that sums up the
endeavor. Two-word titles work well.
You might use an action title if you're going after sports, or a
title that includes the word "money" if that's a main focus of
your subject.
Make up a few titles of your own. How do they compare with the
titles of other newsletters? Which rings true for your
enterprise?
Check at the library to be sure your title is original and
doesn't duplicate other publications currently on the market. The
title is your trademark.
Although newsletters require very little graphic design,
illustrations, or an art director on staff, you may want to
consult a professional designer to help you with the prototype.
Since the title of the newsletter is so important, it would be
worthwhile to have it designed.. You'll only need to pay a
one-time fee, and you can use it forevermore.
The logo can be very simple. If you have a title that doesn't use
your name, you might have a company name under or above the title
in small print.. Although most publications don;t place the
address under the title,, newsletters often do, so potential
subscribers know where to write.
Another aspect of the title at the top of the publication is the
date and the issue number. These should be considered in the
original design. Since a newsletter has timely information,, the
date of the issue should be easy to find.
The newsletter will be typewritten and photo offset, so an
elaborate logo may look out of place. Start out with one color
and keep it as homespun and fresh as the news you'll publish.
Avoid fancy type styles or those that are hard to read. And don't
go overboard with a clever or cute design. Something simple and
clear is what you're after.
STYLE AND FORMAT
A low-budget newsletter is usually one column., typewritten copy,
with ample but not wide margins. Anything with two or more
columns should be typeset, which is an extra expense you don't
need.
The most economical way of printing the newsletter is on one or
two 11 x 17 inch pages, printed on both sides, and folded. This
will give you a small booklet of four to eight pages, each the
standard 8 1/2 x 11 inch size.
You might consider having it three-hole punched. It doesn't cost
much to have this done at the printers, and it could be an added
feature to encourage subscribers to save the valuable
information..
Any graphics should be kept simple, but don't be afraid to use
subheads to break up the copy.. A few words capitalized or in a
larger or darker print help the reader identify the information,
and make it easier to read.
Keep enough white space to encourage reading, but fill the pages
to make the subscriber feel the newsletter fulfills its promises.
WHAT TO INCLUDE
Consider a copy format that is divided by types of information.
For example, you can have a section labeled profiles, another on
upcoming events. Perhaps you have a calendar of shows,
conventions, or seminars that would concern readers.
There might be sections on various industry policies or unwritten
rules.. Past events and history are always good fillers. And
don't forget humor. Although your newsletter is serious, potent
information, no field of endeavor is without its lighter side.
Don't lock yourself into a format you can't always fulfill.
Rather, have these sections available for you to use as each
issue is written.
And always include subscription information. Your own newsletter
is the best way to sell more.
FINDING THE FACTS
Your first issues won't lack for information, because you already
have pages of information to publish.. But after that, you'll
need renewable sources of copy.
What's new in the industry? Your associates and colleagues are
the prime source of undercurrents in the field you write about..
Renew and make new contacts, they'll be invaluable for getting
information.
Are there any correspondents you can use in other parts of the
country to give you fact? Perhaps you can work out a financial
arrangement with an insider for important information you want to
include.
Interviews are important ways to get vital information. If you
can't contact the people in the high places, such as presidents
or directories, their assistants can be just as valuable, if not
more, in acquiring information.
New trends are found by talking to the workers, or the
participants.. An employee might describe the wonders of a new
machine; and athlete may praise some new equipment. And don't
have to travel to see these people. A good phone voice can unlock
many doors.
Don't overlook the obvious-public relations people have a lot of
information to disperse. Creating a good rapport with a P.R.
person can get you constant timely advice and specialized
information..
Talk to people who have nothing to hide.. Secretaries often know
more details than their bosses. And they usually aren't told to
keep project secret. What they know can fill pages of
newsletters.
Follow up on articles presented in the trade publications. You
might be able to use some more in-depth aspects of the same
topics they publish. Can you talk to the people they interview?
Perhaps you can critique some controversial subject and get
someone to present an opposite opinion.
The newsletter is a personal forum. That means that you are
welcome to give your personal comments and opinions on anything..
However, they can't be egotistical or narrow minded, or you'll
lose subscribers.
Trade shows and conventions are your gold. Every person who
displays or attends the show is interested in the subject.. You
could virtually interview everyone and get a complete overview of
the industry.
If you are working with a sports topic,, meets and events are the
place you need to be.... Talk to people who arrange them and the
broadcasters-they have a lot of background knowledge.. You might
be able to feature events regularly in the newsletter.
Where are the people who subscribe to the newsletter? What events
happen in their towns? If you are writing about industry, where
are the main manufacturing plants? Have their local newspapers
written about public opinions about those plants, such as
pollution or high employment?
If you have a topic that requires a certain environment, how do
the local towns cater to the enthusiasts, especially during a
main event?
WRITING COPY
In this publication, you are the authority. Use strong, direct
statements with an active voice. Although you are often offering
opinion, the content should be factual.
Your readers are intelligent, and experts in the same field you
are writing about. You'll need to back up statements with
research. A rule of thumb is that three concurring sources make
fact.
Although you don't need to be a polished writer your copy must be
easy to read and understand, It should be exciting, filled with
lots of bits of information.
The main thrust of the newsletter is enthusiasm,, Your
subscribers are into the subject you are writing about.. Don't be
afraid to let them know you love the topic as much as they do..
Go ahead--get excited...
If you have chosen a technical subject, you'll need to be an
expert in the field. If you are not,have somebody you can call at
any time to confirm fact. After all, your newsletter is geared
toward the experts.. so you have to pull through.. You don't have
to do all the writing yourself. You can employ free lancers who
collect or write material for the newsletter. The financial
arrangement is negotiable. But keep in mind that high quality
skills and expert knowledge usually cost.
The success of the newsletter lies with the quality of
information you have. Not quality of writing-the quality of
information.. If a reader can review an entire copy and say, "i
know that," you're not coming through with inside information or
new trends.
Quality of information is the dozens of little tidbits of
information, expert advice, and tips for success. That is the
core of the newsletter, and should be the core of your own
interests. That is why you have unique knowledge to offer, and
why your newsletter will be successful.
What interests you? You are the best judge of lively topics, and
are the best critic of the newsletter. If you subscribed to this
publication, would this be what you'd expect? Are you delivering
the full potential of the subject matter?
Above all, the information practical? Can a person reading the
newsletter gain from having acquired that information? Although
you are publishing the newsletter for a select group of people,
you should direct it to each individual person.
The personal approach is the best attitude to take in both
gathering information and in writing copy. Since the newsletter
is an informal publication, the copy should read informally, as
though you just heard the hot news and are writing it quickly for
your best friend to profit by.
GETTING READY FOR PRINTING
Once you have all your copy finished, you need to have it typed.
If you are an expert typist with an excellent typewriter, you're
ahead of the game. But if not, spend the money necessary for the
final copy to be letter perfect. Any errors will reflect on
you-even typographical errors.
The first few newsletters you publish will require a lot of trail
and error with copy and layout. You'll need to decide how many
spaces to leave between the end of a paragraph and the beginning
of a subhead, how many spaces to indent, and how big the margins
will be.
Think about what is important to the format. Some newsletters use
italics or underlined words to emphasize the importance. And some
of these over-use these methods. Always let good taste dictate
the layout and style of your publication.
When a whole line is taken up by a few words, or the last half of
a hyphenated word, it is called a widow. These look sloppy in any
type of publication, you may rewrite the paragraph to extend or
shorten that sentence.
Be careful about carry-overs to the next page. It's very awkward
to hyphenate at the bottom of a page, or have only one line at
the top of the next, then space for a subhead. As you get more
adept at preparing copy, you'll be able to write to fit. And that
looks good.
The basic standard for a newsletter is clarity. Can you read the
type? Are the ideas well presented and easy to under-stand? Do
the subhead interest and moti-vate readers?
The final typed copy is exactly what will be printed. Since photo
offset is the least expensive way to print multiple
copies of typewritten material, the pages must be clean. Any second
color should be indicated with an overlay. This is a sheet of
tracing paper taped to the copy with printers instructions
written on it and sections circled that need special attention.
For the first year of publication, you won't need to put in any
photos-in fact, you may never use photos.. But give yourself a
long enough time to get established before you go to more
expensive elements.
PRINTING
The least expensive, and most practical, way to print your
newsletter is at an instant printer's, using photo offset. These
small local businesses can print, collate, fold, and stuff
envelopes, all for a reasonable fee.
If you want to use two colors in the newsletter. first have your
masthead and perhaps border designs printed in huge quantities.
All the clack type can later be printed on those two-color
pre-printed sheets.
Don't go to the expense of elaborate printing until your
subscription volume is high and you advance into a different
format. Almost any publication you read, (newspapers, books,
magazines) are printed on large roll presses and require
typesetting.
Typesetting is expensive, but it certainly gives a professional
finish to publications. Consider, however, if you want your
newsletter to be slick. It may detract from its personal
approach, and subscribers may drop if it leans towards a
magazine.
But, if your subscription list is large and the newsletter is
successful, you can find excellent printers who will handle the
whole job of typesetting, layout, printing-all the way to
mailing.
HOW OFTEN TO PUBLISH
There are a lot of factors to consider when deciding upon a
publication schedule. The main one is how fast can you produce a
newsletter.
Work backwards, You want a subscriber to receive the newsletter
on a certain date. It needs to be in the mail a few days before
that. And before that, it will take the printer how many days to
deliver the printed materials? How long will it take a typist to
finish the copy, and for you to decide on the final layout?
How long will it take you to research and write material for your
newsletter? This may be a deciding factor in the size of the
publication. Perhaps you'd prefer to get a four page newsletter
out every other week rather than an eight page newsletter out
every month.
If your topic is filled with today's news, then you'll want to
get that out to your subscribers as fast as possible. Other
subjects can be done monthly, bimonthly, or even quarterly.. Be
careful with infrequent mailings, however, because the
subscribers may just forget about it. And what use is a small
newsletter only a few times a year?
GETTING SUBSCRIBERS
Think about where the people who would want your newsletter are,
and go find them.
Do you have access to mailing lists directly related to your
subject matter? Maybe you already have a small business selling
information, or have access to a customer list of people who buy
similar information.
You can purchase mailing lists that have every demographic
breakdown you can imagine. What is the profile of your potential
subscribers? Think about those people, and write down their
attributes. Write down the age group, sex, education level,
income, where they live, perhaps the type of housing
accommodation. A good list broker can work out the best lists to
give you results.
A sure way to build up a potential subscriber mailing list is
with a drawing at a trade show or convention. You can have cards
printed up for people to fill in their names and addresses. All
attendees would be interested in the subject matter of your
newsletter.
You can take out display ads in the trade magazines that cater to
the topic you are pursuing. Include the full details of your
newsletter, or use a leader to get inquiries, and send the
details later. Especially with the prices of newsletter, you may
want to prepare and send out literature and samples rather than
go for a low response.
Prepare a direct mail piece that describes the benefits and
features of your newsletter and pushes for subscription.... You
can offer a special free booklet to new subscribers, or a
discount. You may include a sample copy in the direct mail piece
to show how worthwhile the publication is.
Selling newsletters, like any other direct mail or publishing
enterprise, takes a lot of testing. You need to test the initial
response to the idea of the topic;; and the response to the first
few newsletters produced.
Pricing is always a tricky of selling information. How high can
you price your newsletter an still keep the number of subscribers
to make it profitable? You'll find through testing that there's a
plateau, and subscriptions will fall off when the price gets too
high.
Frequency of publication is also important. Although you may be
able to prepare and publish a weekly newsletter, your subscribers
may not be able to keep up with the reading, and prefer a monthly
subscription.
Any good mailing list should be used over and over. If you know
you have alist of prime targets for your newsletter, don't stop
with one mailing. Follow through with subsequent offers at
certain intervals to catch those who couldn't decide the first
time.
MAILING
You can use computer services in your town to have labels printed
up, or, if you're only dealing in a small quantity, you can have
mailing lists photo copied onto address labels.
After your first success, and after you've paid your initial
investment and you've got enough money to expand, make things
easy on yourself.. The most sophisticated, and the easiest method
of mailing to subscribers is by computer.
Nowadays, computers are so commercially popular that they are
within almost anybody's budget. And a computer that would store
and print out names and addresses need not be expensive.
If the mail is pre-sorted by zip code, you can use a bulk rate
for mailing and save money. If your newsletter can meet the
specifications, you might even be able to get a special second
class rate permit for educational material. Talk with postal
workers to find out what you need to do comply with these special
rates.
BOOKKEEPING
You can keep complete and accurate accounts of your newsletter
business by yourself. It's basically broken down into two areas:
how much you spend, and how much you make.. If you keep track of
all your expenses, you'll have an easy time of it at tax time.
Open up a business checking account at your bank. Get to know the
bank manager, if you don't already. Although you can start and
maintain a newsletter within a low budget, be sure to figure your
costs and risks before you invest too much money, and be sure of
a back up to be able to fulfill all the subscriptions.
Maintaining your subscription lists is a task that needs
diligence and a head for details. Since each subscriber starts at
a different issue, you need to create and continue a method of
keeping track of expiring subscriptions.
You'll want to write a standard appeal for renewal to be sent out
in plenty of time for subscribers to renew. And you'll have to
follow up for those who choose not to renew at the end of their
present subscriptions.
The best advice is to get the best advice. Who can help you set
up a subscription system? Maybe somebody local is expert at that.
Find out who handles subscriptions at a nearby publication, and
talk to that person.
WHAT'S LEGAL
Although any business in the United States is subject to the
Federal Trade Commission's regulations, a newsletter business is
simple.
You don't need a license for this business. However, You should
consult with your local Sales Tax office for acquiring a resale
tax permit.
The content of the newsletter must be documented by facts if you
get into any dispute.. If you don't border on libel, you should
have no problem with any law suits for the content of your
publication. However, consult your attorney if there are any
problems with copyright, confidentially, or access to news.
If you write with integrity, independent of any payoffs by
companies or individuals, you'll have no trouble with being on
the wrong side of the law.
SUCCESS IS YOURS
Writing and publishing a newsletter is a challenging and exciting
way to express yourself. And it will give you prestige and
acknowledgement in the community.
You can start the business with virtually no overhead and a small
amount of capital, and you can build up to making profits in the
six-figure bracket.
A newsletter has a market, and the people who subscribe to it
will pay high prices for the information you have. Tap into the
market and reap those profits.
There's no news you can't find out about, and there's no industry
or type of endeavor in this country today that doesn't have a
large group of enthusiasts. How can you find out what they want
to know? This is a place to use your resources and use your
background.
The actual task of researching, writing, and having a newsletter
published is easy. There is no secret or special tricks or skills
you need besides a good nose for the best prices. What is
important is coming up with an idea for a newsletter that will
sell to a select group who has no specialized information
presently available in that or in a similar form.
You've probably got your ideas already. Well, go ahead. Make up a
sample newsletter and pass it around. Get a good response? A
small sampling is only a good indication that the rest will like
it too.
If you need specialized legal advice or assistances, the services
of a pro-fessional person are recommended.
HOW TO START & OPERATE YOUR OWN PROFITABLE IMPORT/EXPORT BUSINESS AT HOME
What is a good way to build up a successful business from nothing
and have fun doing it? The import/export business may be your
answer. Not only does it require little financial investment to
start, but it offers the prestige of working with clients from
all over the world.
You don't need previous experience in the field, but you should
have a good head for organizing. Fulfilling a successful
import/export business requires constant attention to little
details.
Do you know some local manufacturers looking for ways to increase
their market for the goods they make? Or are you planning a trip
abroad and want to make some contacts for setting up a business?
If you have the ability to sell, and an air of diplomacy, the
import/export business might be right for you. All you need is
the desire and determination to make it work.
As you progress in the business, many factors become obvious and
easy to handle. For example, you'll need to find a person to
handle shipments, called a freight forwarder. And you'll need to
create solid contacts and strong relationships with reliable
suppliers. But after a short time, you can be well on your way to
making a sizeable income, with a very low overhead.
Do you like the idea of running your own business? How would you
like a tax deductible trip to foreign places a couple times a
year? The advantage of an import/export business are great.
The biggest advantage is the money you'll make.. Once you get the
business underway,, the commission for setting up sales is very
profitable. And after you establish and maintain a number of
exclusive accounts, you'll find the time you spend is highly
rewarded with money.
Take a look into the import/export business. Consider the risks,
and consider the advantages. Talk to people in the business. Is
it for you?
HOW IT WORKS
Of all the manufacturers in the United States, only a small
percentage distribute goods outside of North America. The goods
that do find foreign markets are exports. On the other hand,
anything that is manufactured outside the country and brought in
for sale is imported.
Although it seems obvious that all manufacturers would want a
worldwide market, it is not easy for a company that is limited in
its scope and abilities. That's where you come in.
An import/export agent is a matchmaker. Manufacturers of domestic
goods seek foreign distribution; foreign manufacturers want a
United States market. You need to find them, make a solid
connection, and establish a business relationship with these
companies.
The agent's commission is generally about ten percent. Now, think
of ten percent of $500,000 or ten percent of a million. Although
that may seem like a large order, it wouldn't be, if you're
talking about machinery, raw materials, or computers.
The market is unlimited and there are hundreds of manufacturers
looking for foreign distribution. Sporting goods, clocks,
electronic games, radios, housewares, garments, tools-anything
can be readily imported or exported if there is a consumer demand
and if you can get the products.
The United States Government encourages exports. Indeed, it is
those sales that keep our balance of payments with the vast
amounts of goods are imported.. And you'll find government
agencies helpful in establishing your business.
THE BASICS
You can start your import/export business at home with a
telephone.. You'll need a file system, business cards, and a
machine to answer the phone calls. Once you get going, you'll
want a cable address or a telex hook-up.
And you'll need a classy letterhead. Until you establish personal
contacts, it is your letterhead that represents you. Make it look
professional, possibly embossed or two-color, or gold leafed.
Have it printed on light-weight paper for airmail correspondence,
but don't have airmail envelopes printed. You'll have a lot of
domestic correspondence too.
More than office equipment,, you need the determination to make
it work. It will be slow at first, and you'll need to plan your
moves, make contacts and SELL YOURSELF. But once you make a few
sales and sign several exclusive contracts worth money, you'll
know your dedication was worthwhile.
MAKING CONTACTS
THe most important step in setting up your business is finding
the contacts. You may have relatives in a foreign country;; you
may have frequently visited and established business
relationships in a country. Or, you might just have a feeling for
what will sell where. A person who keeps well-informed in the
business world can pick up and ride the crest of worldwide
trends.
Foreign consulates located in the United States have commercial
attaches who want to establish outlets in the U.S., and they're a
good place to start.. Sometimes these consulates can help find
indices of their own import/export enterprises.
The Unites States embassies abroad are another place to find
contacts for commercial distribution. They can help you find out
about a company's solvency and reputation.
Another way to establish contacts is through the Chambers of
Commerce of every city you are aiming for.
Start small-don't tackle the world.. Where do you want to sell
American goods you might have in mind? Which countries have the
merchandise you want to import? Find out about the countries,
what they have to offer, what is generally in demand.
Then prepare a massive mail campaign
The easiest way to mail hundreds of letters is to use a typing
service that has the equipment to produce the same letter with a
different address each time.. It's worth the money it will cost;
you'd go crazy typing so many identical letters.
To every possible contact, write a letter introducing your
company, requesting the names and address of appropriate firms to
contact. Ask to have the notice published in the monthly bulletin
or posted in an appropriate place.
From the names to get back, write another letter, again
introducing yourself, and asking information about their company.
You can use a questionaire, which is easy to fill out and invites
a response.
What goods do they want to import? What products are now imported
and how are they distributed?? Does the company have a certain
territory, does it have sales representatives, branches in other
cities? What are the basic details of operation--history, assets
and liabilities, plans for growth?
Request any information you need, to find out what they will buy
and what they have to sell. If the company is a manufacturer, ask
for samples or a catalog, the facts and figures of current
foreign distribution, and the product demand in their own
country.
ANALYZE THE MARKET
Keep informed. Read everything you can find about world trade.
Look at trade publications, international newspapers, news
magazines, and financial reports. Who is selling what to whom?
Although the market for American-made airplanes is sewn up, there
are thousands of medium to small sized manufacturers in every
state of the union.
You can get goods to sell, buy you have to be sure to study where
they are in demand and can get the price to make exportation
viable. Your questionaires will tell you what foreign importers
want. Take it a step further and read the journals published by
that country; many of them are available in English. Do these
publication confirm the desire for certain products?
The American market for imported products fluctuates with the
value of the dollar in comparison to the value of each other
country's currency. And, importation prices reflect that
directly. Can American consumers afford to pay the price of
certain imported goods? Or will they?
Finding the right market is as important as the actual
particulars of making deals and selling goods.. What do you think
will sell? If you do some careful studies and think about the
trends, you'll be able to come up with hundreds of products to
import and export.
The import/export business is actually smaller than you might
think.. There are only a few of these businesses; that's why
there's plenty of room for more.
WHERE TO FIND HELP
Establish a good business relationship with a local bank that
handles international business.. Your personal banker will follow
through on the actual foreign transactions, and will help you
keep your credit afloat, In fact, this is one of the best factors
about an import/export business. Aside from office suppliers and
correspondence, or possible business trips, you need a no
personal cash outlay. All you need is a good credit and good
reputation.
Your banker is your credit manager and will give you valuable
advice and references when you deal with both American and
foreign manufacturers
and distributors.
The United States Government agencies are great places to find
help... These agencies promote the import/export business, and
publish many small booklets and pamphlets. They also distribute
continually updated reports on foreign markets, commerce and
financing.
Read these source of information and find out the particulars of
exports, global surveys and ocean freight guidelines. Become
familiar with the market share reports, current laws and
regulations, and government promotional facilities.
MAKING CONNECTIONS
As you continue your correspondence with foreign companies, build
up a good rapport with their representative.. Pin down a few
companies- perhaps in the same country or similar territory--to
their exact needs. What are the two or three products most in
demand?
Consider their methods of distribution. You may be able to work
directly with a wholesaler of an overseas importing company. Your
commission will be lower, but you won't need to handle as many
particulars , and they will take care of distribution.
Or, you may need to supply catalogs and samples, working with a
network of small companies or sales representatives from a larger
conglomerate.
The highest fees that you can collect are for raw materials taken
from the source and delivered directly to a manufacturer. But you
must be certain of a guaranteed quantity and the continued
ability to deliver.
If you are importing goods, you'll need to find U.S. distributors
that can handle the quantity of goods at a high enough price for
you to profit by. A single retail outlet or two is not enough to
make your time worthwhile. Look into how buyers work and make
contacts in the larger retail chains if you have retail
merchandise.
GETTING THE GOODS
There are hundreds of American manufacturers with limited
distribution looking for an overseas market. Exporting their
goods is the place to start your business.
You have many selling qualities for convincing the manufacturers
to engage you as the sole export agent. You have foreign contacts
and know the demand for specific goods.. You will handle the
sale,, the paperwork, the money, all shipping, customs, and
foreign distribution.
The manufacturers in return provide firm price quotations, and
you put your fees on top of that; you cost the manufacturer
nothing.
The manufacturer have everything to gain--an increase in sales, a
broader market, and more profit. And you have everything to
gain--establishing your business, and a commission on the cost of
the goods. That is the basis of firm business connections and a
mutually profitable arrangement.
Contact local manufacturers first and then move into larger
territories. You can make these contacts by phone, in person,, or
by personal introduction from contacts you may already have.. Or,
you can advertise in business publications and newspapers.
Before yo do get into a legal agreement, be sure to check the
reputation of the company. How long has it been in business?
Where are the products distributed domestically? What is the
solvency and reliability of the company and its goods? When you
make your sale, you'll want to be able to deliver.
MAKING AN AGREEMENT
ONce you have agreed to represent the manufacturer as the export
agent, you need to have a written and signed contract to bind
this agreement. Your attorney should be the one to draw up this
contract; later you can just use the same one, substituting names
of other manufacturers.
Basically, the contract is between the manufacturer and you as
the export representative. You are granted exclusive rights to
distribute goods to all countries except those they already
distribute in. The manufacturer will pay you the specific
commission quoted to the distribution on top of the price of
goods. The company will also provide catalogs and samples for
your use in distribution.
You, the export representative, in turn will promise to do
everything possible to make contacts and distribute
manufacturer's goods in foreign territories..
The terms of the contract should then be stated: how many years
the contract will be signed for, the terms of cancellation by
either party voluntarily or because of no sales action over a
certain period of time.
THE SALE
You've made your contacts with foreign distributors who will buy
the merchandise. You have a signed contract with an American
manufacturer that will deliver the goods.. Perhaps one of the
distributors now asks for a firm quotations on the price of a
certain amount of goods.
You go to the manufacturer and get a price quotation on the
quantity of goods. It should be valid for a certain stated
period... The manufacturer may agree to deliver the goods to the
ship,, handling the freight to that point, or you may need to
make arrangements from the factory.
You ass on the commission you want to the price of the goods.
Then you add on all the extra costs of getting the merchandise
from the factory to the warehouse of the distributor.
If you've made an agreement with a foreign import/export company,
their representatives may take over the shipping, paying you the
price of the goods and your commission. That;s the easiest, but
your commission will have to be reasonably lower.
If your sale is to a company that will distribute the goods
wholesale or retail from its premises, you have to arrange all
the transportation.
TERMS OF SHIPPING
You will become more familiar with the terms of shipping used in
quoting prices and delivering goods as you gain experience. Your
responsibilities vary with the terms of the agreements and
orders. Check with your freight forwarder to be clear about your
responsibilities.
A bill of lading is a receipt for goods shipped. It is signed by
the agent of a ship or common carrier and assures the buyer that
the goods were unloaded in the same condition as they were
accepted. These are the documents you'll need to produce for your
banker to release the letter of credit.
FOB means free on board. The seller delivers the goods to a
certain destination with no additional charges. The seller
insures and takes the responsibility until that point. The buyer
takes the responsibility and pays the charges after that. For
example, FOB New York means the seller's price quotation includes
full responsibility and shipping to New York.
FAS means free alongside. The seller delivers the goods to the
ship that will carry the merchandise. The buyer pays to load onto
the ship and takes responsibility from there. FAS New York, for
example, means that the seller will deliver and store the goods
until they are ready for loading onto the ship.
C & F means cost and freight. The seller pays the freight
charges. The buyer insures the merchandise and takes full
responsibility after the destination.
CIF means cost, insurance, freight. The seller is responsible for
the value and condition of the goods, and pays both insurance and
freight charges to a certain point.. The buyer is responsible
from there.
THE FREIGHT FORWARDER
A freight forwarder is a person who takes care of the important
steps of shipping the merchandise. This person quotes shipping
rates, provides routing information, and books cargo space.
Freight forwarders prepare documentation, contract shipping
insurance, route cargo with the lowest customs charges, and
arrange storage. They are valuable to you as an import/export
agent, and they are important in handling the steps from factory
to final destination.
They can be found by looking in the yellow pages or by personal
referrals. Find someone who can do a good job for you. You'll
need someone you can work with, since this may become a long term
business relationship.
You'll need the help of a freight forwarder when you make up the
total price quotation to the distributor. Not only do you
include the manufacturer's price and your commission-usually
added together, but you need to include dock and cartage fees,
the forwarders fees, ocean freight costs, marine insurance, duty
charges, and any consular invoice fees, packing charges, or other
hidden costs.
Be especially careful when you prepare this quotation It
certainly isn't professional to come back to the distributor with
a higher quote including fees you forgot... You might go over the
price quotation with your freight forwarder to be sure nothing is
overlooked.
Usually the quotation is itemized into three main categories of
cost of goods, which includes your commission, freight charges
from destination to destination, and insurance fees.
Give a date the quotation is valid to, which should be the same
as the date given on your quotes. You may also include
information about the products, including any new sales
literature.
A formal letter that accompanies the price quotation should push
for the sale. You can inform the distributor of the shipping date
as soon as the order is received and confirmed by a letter of
credit. Send the letter and price quotation by registered mail to
be certain of its delivery.
THE LETTER OF CREDIT
A letter of credit eliminates financial risks for you, the
manufacturer, and the distributor. When your distributor confirms
the order, a letter of credit is drawn from that company's bank
to a branch in the United States or to your bank.
This letter of credit confirms that funds are available from the
distributor to cover the same costs you quoted. An irrevocable
letter of credit assures you the order will not be cancelled at
any time... When that letter of credit is likewise confirmed by
your bank to deliver the goods, the distributor is assured of
delivery. Once the letter of credit is confirmed, so you don't
have to worry about the fluctuation in currency.
Basically, the bank holds the money until all shipping documents
are presented. The letter of credit states the terms and
conditions to make it legal and negotiable into money, usually
holding for proof of shipment of the goods. Your freight
forwarder helps you attain all those documents. When you hand
them to the banker, the letter of credit is turned into liquid
assets for you to pay the manufacturer and all other invoices
from the transaction.
Never work on promises. Not only do you take a gigantic risk, but
you create bad risks for everyone you are involved with. A letter
of credit is the only sure way to transfer these payments.
DELIVERING THE GOODS
There are many combinations of people and methods you can use to
deliver the goods that were ordered. When you produced a price
quotation for the goods, you had to go through all the steps the
merchandise will follow. Now, before you proceed, check again.
Do you have a confirmed order signed by the authorized
representatives of the distributing company?? Has your banker
approved the letter of credit from the company?
Compare the amount of the letter of credit to the amount quoted
for the goods. Be sure they match exactly. Or, if the distributor
chose a certain quantity of several offers, check the prices
again and confirm the quantity.
Confirm the quotation and sale with the manufacturer, and do the
same with the freight forwarder and any marine insurance agents
you are working with. Then follow through.
I order to assure the quality of merchandise, some manufacturers
prefer to handle freight to the loading docks,, which makes it
easier for you. If you handle overland shipping, follow through
to be sure the merchandise is picked up and arrives safely at its
destination.
Be informed of the date the goods are loaded onto the ship. The
factory should have them freighted in time to avoid costly dock
storage charges.
Since all conditions of the sale must be met to comply with the
terms of the letter of credit, you need all the signed documents.
Have your freight forwarder or other contacts get authorized
bills of lading for the merchandise each step of the way--from
destination to destination..
Once you have all the signed documents, present them to your
banker. If all the terms are met, the funds will be released.
Since your commission is part of the quoted price of the
merchandise, you'll usually collect your fees from the
manufacturer.
When it is totally complete, you collect your money--and make a
sizeable profit for simply making connections. Consider the
commissions when you have dozens of orders coming and going.
IMPORTING
Take a look at the household items and equipment you have in your
home. Made in West Germany, made in Japan, made in Korea. You may
have clothing from India, shoes from Brazil,,, a leather wallet
from Italy.. Your car may be an import; your stereo equipment may
be manufacturer elsewhere. There are hundreds and hundreds of
items manufactured all over the world, now being used by the
American consumer.
The market is huge. And there are many American firms looking for
foreign made merchandise to distribute. Some items are less
expensive;some are better made; some are imported because they
are made in a country now fashionable with the designers.
What can you tap into? Maybe you have contacts in the Unites
States, distributors looking for certain goods. And you've
already made contacts in the foreign countries that produce these
goods.. Follow through and get yourself an exclusive distribution
agreement with those manufacturers.
Importing requires the same diligence and follow up as exporting
does. You'll need a signed contract with the manufacturer to be a
sole agent
distributor to North America, or even the world.
You'll also need to obtain firm price quotes from the
manufacturer in the quantities your distributor requests. These
quotes should be converted into the appropriate dollar figures
representing the currency exchange.
Investigate the reputation of the manufacturer and the
reliability of the goods. If you import something like electronic
components, check into other distribution market the manufacturer
has to assure the quality of merchandise.
Your commission will come through from the foreign manufacturer.
Have your bank investigate the solvency of that company and the
reputation of living up to agreements. Since it's on foreign
territory you'd have more trouble in any legal suits, even in
light of many international laws.
Prepare the price quotation. It is easiest if you request terms
of delivery to the port of that country. Your freight forwarder
can help you move the merchandise from port, overseas, and
through domestic customs.
Follow through with all the details of shipment. Be sure to
include any insurance, dock fees, storage rates, and shipping
overland. Overlook nothing so your price quotation to the
American distributor is accurate,
Itemize the quotation and give it to the American distributor..
Upon receipt of an authorized order, double check prices and
follow through on delivery.
The letter of credit will go from the American distributor to the
bank of the manufacturer. All terms and agreements regarding
prices, freight and insurance will be defined. The manufacturer's
representative will confirm receipt of the letter of credit,
which will release the goods for shipment.
Have your freight forwarder follow up on the shipment of goods.
They may have to be freighted from the factory to the docks..
Arrangements for shipping need to be carried out.. Customs duties
and unloading need to be followed through from the American port.
Then the goods may need to be freighted overland to the final
destination...
As soon as the goods have arrived at the proper assigned
destination, papers have to be documented and presented to the
bank that holds the letter of credit. Then, all carriers and
agents need to be paid, and you collect your commission.
PROMOTION
After you have completed a few sales transactions to establish
yourself, you'll need to promote your import/export business to
get more clients. The first transactions give you the experience
to learn the ropes of the business, and to establish contacts and
agents both here and abroad.
Join organizations of commerce and foreign trade associations to
develop more contracts and extend your territory. Talk to
everybody you contact about importing and exporting, learning
from their mistakes and successes.
Advertise in the print media for distributors and for goods.
Manufacturers don't know how to make the contacts for foreign
distributions. Show them your credentials and pick them up on
exclusive contracts. With a little experience, you can market
almost anything anywhere.
EXPANDING THE BUSINESS
THe profit of the import/export business is in the quantity of
the goods traded. The higher the cost of the merchandise, the
higher the profit from your percentage. Since you need to go
through all the steps for each transaction, having more sales on
a continual basis simply adds to profit.
Send constant mailings to your original list of contacts and
follow-up leads. You might develop a sales approach. As you
develop more clients, you can convince the bigger companies of
your reputation.
Contact as many manufacturers and distributors as you can on both
side of the ocean. And solidify these contacts. You may be able
to work out an arrangement with someone to work in certain
country for a commission. Or, you might want to take a business
trip there to personally meet with the various companies.
get in-depth information on the products now selling.. Why are
certain products successful?? Maybe you can get into the same
market with more competitive product. Investigate ways to sell
more.. Do the products need to be better made? Do they sell
better at a reduced price? Know what sells and where to get it.
MAKING IT WORK
The import/export is a high profit enterprise. Because of the low
overhead, most of the money you make on commission is yours.. But
building a truly profitable business requires dedication and a
good knowledge of the business.
You need numerous contacts who know you, respect you,, and can
recommend your work. You need to have good agents both here and
abroad to help follow through on the delivery of the goods... You
need a good working relationship with your own bank and possibly
the others that letters of credit come into as branch transfers
from foreign offices.
Don't be hasty for orders. Investigate the manufacturers and
distributors to be sure the products and sales methods are
reputable.. Check out the particulars of shipping and
manufacturers from the foreign country. Each culture works in a
specific manner... Get to know how to work with those people..
The import/export business is not for everyone.. But it is a
personal operation that you can run yourself-- you don't have to
answer to anybody. The rewards of negotiating in a foreign
country are excitement, a touch of the exotic and the great
profit potentials.
When you make the proper contacts and follow through completely
with reputable manufacturers, reliable shipping companies, and
responsible distributors, you have it made.
If you are ready to put in the time, sell yourself. Start making
inquiries and contacts. Try it on for size.. Does it feel good?
Then MAKE IT SUCCEED,
If you need specialized LEGAL advice or assistance on this
subject, the services of a professional person are recommended.
HOW TO START & OPERATE YOUR OWN PROFITABLE MAIL ORDER BUSINESS AT
HOME
How much money do you want to make? Do you need a steady second
income? Do you want to have your own business, be your own boss,
and make your own decisions?
Are you ready to make a commitment to be successful--both
financially and personally? The mail order business is the way to
succeed in always.
Whether you're prepared to commit a small amount of time or all
your time... Whether you want satisfaction of position, financial
security--even social respect.. Then mail order business is for
you.
Today there are hundreds of opportunities to get into the
profitable mail order business. And, you don't have to be
creative or clever,, or have invented something new. You only
need the desire and determination to achieve your goals.
What do you want from life? Are you tired of struggling to make
ends meet? Maybe you're fed-up with commuting to work and living
under a time clock. If you like independence, can make simple
decisions easily and are prepared to devote energy to your
project, YOU WILL SUCCEED.
The mail order business is not get-rich-quick scheme. It won't
make you a millionaire overnight.. But it can build into a
steady, profitable business at home--as big or as small as you
want it to be.
Some of the mail order companies that gross millions of dollars a
year got started in small ways.. Not only the well-known
distributors such as Sears or Montgomery Wards, but dozens of
smaller catalog houses and monthly mail order clubs began slowly,
testing ads, testing prices, acquiring customers that buy again
and again as each year passes.
Think big and think with confidence. The only way to truly make a
mail order business work is to MAKE IT WORK FOR YOU. This is a
low-risk low-investment business that can make you HIGH PROFITS.
ACTING ON OPPORTUNITY
It is a proven fact that dozens of small and large companies make
great profits from the mail order business. And, although there
are some who profit illegally--and get caught--the federal
government promotes mail order enterprises..
Think about what you receive in the mail. Almost every day you
get flyers and brochures from all sorts of companies selling
magazines, books, clothing, household items---- even vacation
packages. Some of them you may toss away without even looking at;
some of them you may read and some of them you may buy from,
especially if you know the company and bought before.
An honest mail order business is something to fell proud about.
Just as valid as opening a storefront, this business needs so
little investment that, with perseverance, you almost can't help
but win..
As in any other money-making enterprise, from working for someone
else to owning and operating your own company, the mail order
business requires energy... But it doesn't take away enthusiasm
or confidence, As a matter of fact, the more positive thought you
put in,, the more rewards can be reaped.
Decide on how much you want to earn, how much energy you can
devote to this business, and what you want out of it. You can
operate a successful mail order business in your spare time with
a very low financial investment, but it's up to you to make it
work.
WHAT DO YOU NEED?
You can run a small mail order business out of your home from the
kitchen table.. All you really need is a mailing address, a few
dollars for a classified ad, and a PRODUCT THAT SELLS.
If you're just starting in this business, you don't need to
invest in elaborate equipment or expensive manufacturing. In
fact, you may find several products to sell that require minimum
investment and bring in a maximum profit.
Once you get going, you'll need the usual stationery suppliers
such as a stapler, cellophane tape,, mailing envelopes, address
labels, and file folders. You may invest in a file cabinet and a
desk. And, you'll need to use a typewriter or have somebody do
all the typing for you.
Eventually you may need a postal meter, good quality postal
scales, and storage for the products you sell. But even when you
establish a high profit business, you can still operate it from
home with limited resources.
HOW TO FIND WHAT SELLS
The basic secret to success in the mail order business is to
follow the leader. Especially when you're beginning, why should
you spend the money and time to test products, prices, and places
to advertise?
Start at your newsstand or library. Study every copy of each
magazine that advertises mail order products. Take a good look at
the classifieds section. Then write dozens of these
offers---especially any offer for something free. Take a look at
the sales literature you get back. You may even purchase a few
products to see what is sold for the money asked.
See the patterns?
If you review past issues of these magazines in the library,
you'll notice the ads that repeat month after month. Advertisers
who continue to place ads have PRODUCTS THAT SELL. What are these
products? Which are these products? Which ones would you like to
promote?
Consider the trends in the various magazines. You may notice
several similar ads for the same products listed one after
another.. THEY ALL SELL. And that is where you should begin.
WHAT TO SELL
What products grab you? Which ones would you like to sell --as a
one-shot, and later as a product line. Maybe you already have a
sound interest in specific products that are solid mail order
products, such as stamps and coins, jewelry or books.
Plans and kits are great to sell to decorating and handicraft
publications. You may already make something at home that you can
easily write into instructions and manufacture into an
inexpensive kit for do-it-yourselfers.
Mail order is an excellent way to distribute stock from a retail
enterprises. If you have a store or manufacturing plant,, you
don't need to invest in stock. A simple brochure or catalog to
follow up inquiries is a profitable way to build business.
Specialized information is one of the most profitable products in
the mail order business. Whether you sell pre-recorded cassettes
or small folios or booklets, you can keep overhead down and
profits high. Mass producing specialized information can be
surprisingly inexpensive--and there's a high demand.
If you want to develop a product line, carefully research what
already sells by mail order ads. Don't take the chance to be
innovative.. Others have tried before you. Take the tried and
true path and sell a competitive product at competitive prices in
the same publications as everyone else.
There are a few rules to follow when choosing what to sell. First
the profit margin. Don't work with anything that won't bear a
high mark-up per item. Calculating the advertising costs,
products costs and mailing, you have to make a good profit for
each order,
Consider the weight of the product and the mail-ability. Can you
place it in a manilla envelope and mail it? Padded mailers or
small boxes are also easy to mail/ Think twice about large or
heavy items that are expensive to send.
Is the product a regular in the publication? Do the other mail
order businesses carry this product? And does it sell profitably?
Get some samples from competitors, then contact the manufacturers
and find out about the profit margin.
Don't try to distribute novelties, gadgets or low cost items
through mail order. The catalog houses and other larger mail
order enterprises have that market covered,
Can the product be sold in retail stores, and is it? Unless the
product is special, it won't maintain a high mail order trade if
it is readily available at the local stores.
Do outside salespeople sell the product? Even if they are not
sold in retail stores, steer away from items that are solicited
for by telephone or personal sales calls.. Also avoid any items
that are distributed by persons from the manufacturing plants to
small retail outlets.
Your product must be easy to advertise. In order to get inquiries
through classifieds or display ads,, you must be able to describe
the product effectively with a few words.. New inventions rarely
sell well by mail order.
Finally, consider the potential of the product. If you begin with
monogrammed bags,,, do you want to continue with an entire line
of luggage, bags and cases? Where can you go after you have
success with your first product? If you are producing and
distributing information, what is the potential for more products
in the same subject matter?
A basic element of the mail order business is building repeat
business. If you keep within a similar line of products, you can
sell to the same customers time and again.
Eventually you'll distributed many similar products through mail
order. You may find one products through mail order. You may find
one product to be a seller year after year. And you may be
content with that. Or, you may substitute your stock to improve
the potential sales and actual profit.
Think carefully about what type of product line you want to get
into. You'll be living with it for a while, and you must have
enthusiasm. Because it is through your product that your desires
will be fulfilled and from which YOU WILL MAKE MONEY.
DON'T CHEAT
You don't need a special permit or license to sell products by
mail order. In some states, you will need a special tax
identification number and will be required to collect sales
taxes.
The mail order business is changing. There was a time when some
of the advertisements were come-on for other products, fell short
of their promises, or were just plain frauds.
The federal government and the postal authorities are especially
strict with mail order businesses today. Primarily because irate
buyers have no other recourse, but also to clean up the industry,
any enterprises even slightly suspect is investigated.
If you are serious about operating a mail order business for a
long time, don't fall short of the law. The authorities can shut
down an operation immediately, and fraudulence is prosecuted.
It is against the law to operate a lottery or chain letter scheme
by mail. Both the advertisements and the sales literature for
imported products must say that the product was imported.
And, you must ship within thirty days to receiving an order or
offer a refund.. You then have an additional thirty day grace
period, but then you must refund the customer's money or ship the
product.
Aside from the fundamental laws, the authorities will judge on
willful misrepresentation. Almost all advertising points out
benefits rather than drawbacks, but your product, but your
product must reasonably do what is advertised, or be the quality
it is purported to be.
Naturally there are shades of gray in all these areas, but if
your product lives up to the ads and sales literature, and you do
not gyp the customers in any manner, you'll never have trouble.
YOUR PRODUCT
What's the least expensive way to produce your product and
fulfill orders to make a high profit? If you are selling
information, first test the market potential with photocopies of
the report or booklet. Or,, you may be able to revive an out of
print publication.
If you want to distribute a product, contact several
manufacturers that can make the merchandise and get competitive
price quotations.. Investigate ways to make the product with less
expensive materials without losing quality. And check on the
reputation of the firm. Is their merchandise known for quality?
How soon can they deliver the goods once you have ordered?
For the first few months of testing, you may have to pay higher
prices for the products in small quantities. Don't invest in
large quantities until you are sure there is a demand.
You might try to sell a few handmade items first. Keep an
adequate stock to fulfill orders, and consider mass production
once the orders show the demand.
Or, you can work on consignment with somebody's product that is
perhaps sold elsewhere. You try the product and make sales. You
get a percentage and the other people get a percentage.. Then you
work out a viable business relationship.
WHAT PRICE?
When you investigate the products you want to sell, consider the
price you can get for them. Is there an adequate profit margin?
How many times might a customer purchase your line of products in
a one-year period? Your profit line is the guide for deciding not
only what price your product at, but also the manufacturing costs
and the feasibility of the product itself.
The only way to know how to price the product is to test the
highest prices the market will hold.. To test prices, you send
sales literature with two prices. The results of the sales will
tell you which is best. For example, if you get twice as many
orders of a product at a lesser price, it will be a high profit
over a long run to keep it at the smaller price.. However, if
there is no big difference in the number of orders received, go
for the higher price.
Consider the potential of your product and the product line.
You'll want to expand into similar products and you'll want to
make a tidy profit from the time you invest.
WHERE TO ADVERTISE
Advertise where the competition is. If there is another
classified with the same or similar product, place you ad in the
same publication. Just as you followed the leaders in the choice
and pricing of your product, follow the leaders in advertising.
Even though some publications cost more to place ads than others,
don't try to save money in less expensive places to advertise.
Inn a long run, your ad will pull the best responses where it's
been tested and proven before.
Don't be tempted to place an ad in a magazine that does not have
products similar to yours--even if you have a hunch or think it
may bring in stay requests. For a beginner, follow the
professionals and list where they do.
There are two types of advertising for publications. Classified
ads. Which are run together in a section at the back of the
publication are only for words, and usually are reasonably
inexpensive to place.
Display ads, or space ads, are the advertisements that run
throughout the publication. They are best use if you need to show
a drawing of your product.. Although they are more expensive than
classifieds,, your product response may do better with the extra
investment.
PLACING CLASSIFIED ADS
Classified ads are the bread and butter winners for the mail
order business. Your dollar investment per word in a classified
will pull many dollars in responses.
The best way to use classifieds is with a two-part approach.
First you place a small ad that describes your product or
service. You give a full address and information, but mention
free details, or free information. Don't ask for money or give a
price.
From the inquiries in response to the ad, send out a direct mail
piece describing your product more fully--giving a full sales
pitch and a coupon. It is this sales pitch that is most effective
in generating orders.
Writing classified ads is easy. But again, do what the others do.
REad the classified ads.
First there is a lead-in,, or headline -- a word or two that
grabs the reader's attention.. This followed by a promise--some
benefit the product offers. Then comes the description of the
product itself. Finally offer a guarantee and push for action...
Place the classified ad in the publications you choose under the
categories that seem most effective for your product. Give it at
least three months to test it.. Then watch those inquiries turn
into orders, and the orders turn into money.
RUNNING DISPLAY ADS
If your product will sell better with a visual representation
such as a line drawing or photograph, then you'll do best with a
display ad.
Display ads come in all sizes--from one inch to a full two-page
spread. And choosing the size to run your ad will be a matter of
testing the responses.
You should use a space large enough to include a coupon.. It has
been proven that people respond faster if there is a space to
fill out their name and address and place the order. Whether it
is convenience or the simple indication of the type of
information to include, mail order businesses find that
three-fourths of the orders from display ads will respond with
the coupon.
As with a classified, use a catchy heading with the display ad to
grab the reader's attention. Along with the illustration and
coupon, describe the product and point out some of the benefits
of owning it.. And be sure to mention a guarantee.
The rule of thumb for deciding how big to make the display ads is
to test the responses. Increase the size of the ad until it costs
more than the profit it brings in.. Some products don't sell any
better with a larger ad; others do.
OFFER A REFUND
An important element in all advertising, and especially in mail
order, is to offer a refund if the customer is not satisfied. The
reason is simple. More people will respond to an ad that backs up
its claims with a guarantee.
If a buyer can return the product for a refund, then the order is
a low risk. Since your product will fulfill the promises in the
ad, you will have a low refund rate. For those returns you do
have, fulfill the requests promptly. Just because that specific
product was returned does not mean you lost a potential customer.
USE AN ADDRESS CODE
Whenever you place an advertisement, whether classified or
display, you need to code the address so you know which ad the
inquiry came from.
This coding system is called keying the address. Take a look at
the classified ads you've been studying. See those codes?
Department WD-5, Division 9A; Drawer 4B. These are all address
keys to use in recording and tabulating responses. They are most
important in testing the pull of your ads.
You can use any combination of letters and numbers to code the
address. Most businesses use the words department, suite number,
room number, division or drawer. A simple key is the initials of
the name of the publication and the number indicating the month
of issue. But you can use any code that's easy to keep track of.
DIRECT MAIL
Once you receive inquiries from classifieds ads,, and start
fulfilling orders from display ads, follow through with direct
mail pieces that sparkle with inviting offers. The purpose of the
two-step approach in classifieds is to get lists of potential
buyers to sell to. Just as a salesperson gives a pitch with the
product, you should also sell your offer with effective sales
literature.
Most maill pieces consist of sales letter, a brochure or
circular, and a reply card or coupon to cut out of the circular.
Many people will respond directly to the product alone and order
regardless of the sales literature. But for those thousands of
others who want to know more about what they're buying, you have
to make the difference between throwing it away and sending in
the coupon and a check.
The sales letter should be personal and direct. Talk to the
potential buyer honestly, telling that person the virtues and
benefits of the product. Point out the features and uses. And
underscore the appeal for action.
Testimonials are effective ways of selling, especially if you
need to convince the potential buyer of the actual results of the
product. But be sure these can be backed up by real people who
can make these claims.
Writing effective ways of selling, especially if you need to
convince the potential buyer of the actual results of the
product. But be sure these can be backed up by real people who
can make these claims.
Start small. Use colored paper to print up several hundred
one-piece circulars that describe your product and include a
coupon.. You don't have to create an elaborate four-color
photograph of the product; simply describe and illustrate the
benefits and features of the offer.
Whether you use a one-piece circular, a full color brochure, or a
forty-page catalog, INCLUDE AN ORDER COUPON. The coupon is the
most important piece in the direct mail literature. It makes it
easy to place an order. In a few simple words, the buyer knows
what the product is, understands that it is refundable, and
expects to receive what is advertised.
Direct mail pieces are the best way to follow up on your customer
lists. Any inquiry you receive is a potential buyer regardless of
any orders made. If your first mailing didn't prove a response,
follow up with subsequent mailings.
You'll have to test to see how often these follow ups are
effective. Some mail order enterprises mail offers several times
a year; others only yearly catalogs.
TESTING RESULTS
How do you know which ads pulled best? Which magazines gives you
the best dollar-for-dollar response? What price is the most
profitable to sell the product at? Which sales pitch works best?
Keep a complete record of all the inquiries and orders, and make
comparisons to determine the best roads to take.
Testing is the hidden feature in mail order that determines
success.. And testing doesn't need to be costly or draining to
your profits. The best attitude towards testing is as a game..
Draw the limits of your risks and make different turns in the
road when it isn't profitable.. If you consider testing for mail
order like a maze, you'll be the one to find the success.
One of the best features of the mail order business is that it
doesn't require a large financial investment. So, each step of
the way that you test, going ahead with high responses and
discarding low responses, you have little to lose and EVERYTHING
TO GAIN.
One of the elements you need to test is the pull of the magazine
ad. Compare each publication with the next. Which ones are the
most profitable? Of course you'll need to test the price.. How
high a price can you ask for a product without getting a
tremendous drop-off in orders?
If you are using display ads, you may be testing for which size
pulls the best response for the money you invested.
Another element that is tested is the ad copy--especially the
headings. You may want to test a few different headlines to see
which is the most effective.
The obvious thing that is tested is the product itself. The most
clever ad at the most appealing price will do nothing if the
product won't sell. And if your product is not successful, drop
it and try something else. It's not worthwhile to put in so much
effort for something that will never make it.
KEEPING RECORDS
The way to determine test results with a record sheet.. Use a
separate sheet for each address key you used. At the top of the
paper. include the vital information such as the publication the
ad was placed in;; what type and size of ad was used; how much
the ad cost; which ad copy was used; the name of the product; the
price of the product.
Separate the tabulations into two main categories: inquiries and
orders. If you use a display ad, you should have fewer inquiries
than directly from a classified, but you need to keep track of
all responses.
Along the left-hand column, vertically, write numbers
consecutively. These will correspond directly to the days you
received responses, starting with the first day you received an
inquiry or order.
The inquiries section should be divided into three columns of
date received, number received and a running total to keep track
of how many to date.
The orders section should be divided into date received, daily
number of orders, total number of orders;daily number of sales;
and total cash sales.. The totals will give you an up-too-date
indication of how well your ad is doing.
Your record sheets will give you enough information to decide if
you advertising investments are paying off. To figure profit,
merely subtract the cost of the products and the ad from the
total cash sales. How does this compare with your cash
investment? How well does this ad work?
By comparing the number of inquiries to the number of orders, you
can find out how effective your sales package is.. What
percentage of people order from the sales literature? How can you
increase it?
FULFILLING
Sending out the orders is the fun part. Depending on the type of
product you have, you may pre-package a quantity to keep on hand.
As you receive mail,,, record the inquiries and orders
immediately. An easy way to do this is to sort the mail by
address keys and pile it with your record sheet. As you open the
mail,,, you might staple the orders with the envelopes so you
know where the response came from.
Many mail order businesses have their own small computer services
for labeling.. Now that home computers are getting less
expensive, it may be a good investment once you have a sizeable
number of incoming mail pieces.
You can type the labels out with carbon copies to be made for
future follow-up mailings. Or you can photocopy sheets of labels
if you have that many each day.
If your customer doesn't include a zip code, be sure to look it
up and send your package back with an accurate and compete
address.
different mail order companies have different methods of filing
customers. You can create separate lists of known buyers; lists
of people who respond to specific ads in certain publications;
lists of people who ordered specific items from display ads.
Or you can keep 3 x 5 card system that includes all the pertinent
information for follow up.
EXPANDING
You have a good product; you've placed a successful ad; you are
making a nice profit. Now what? don't be too eager to expand the
business into untried areas or products. The only way to build
your mail order business is slowly, with thought and careful
testing.
The first place to expand would be with another product. You can
send out sales literature to the people who brought the first
product and to the people who sent in inquiries but did not buy.
Or you can expand your advertising. Place the same ad in several
known publications. Perhaps you are ready to try a larger display
ad rather than a classified.
What about the product itself? If you've had a heavy response,
mass producing is the only way to profitably meet the demand. If
you have a product, go back to the manufacturer and renegotiated
on larger quantities.
You might have been selling photocopied information that you
originated. Although typesetting and printing can be expensive
endeavors, they can be worth it if you know you can sell five or
ten thousand copies.
As your product line gets bigger--even half a dozen items--you
can produce a small brochure or catalog. Special books are often
sold by mail order form a folded sheet that serves as a catalog..
There are pictures of the books and a description beneath each
picture.
Your products are also a natural for a catalog. Perhaps you are
selling special handmade items and have successfully expanded
into dozen. You can get a designer to draw wonderful line art
that highlights the best of your products and makes them
appealing to your customers.
The mail order business is a unique opportunity because it is
specially tailored to your sensibilities. You can sell the
products that appeal to you and that you feel are worthwhile. And
you can have a one-to-one relationship with the people who order
the products.
You choose products to add to your line and you choose ho much
time and money you want to invest. It is through your own desires
that it becomes successful.
THE PROFIT MARGIN
The final word in the mail order business i how much profit is
made from your efforts. You are not in this business to break
even or have your address printed in a magazine. You are in it to
distribute good quality products at fair prices to a hungry
market.
Thousands of items are successfully sold by mail, and many by
small home businesses run by one person. When you can choose a
product with a high mark-up, place low cost ads that produce high
response, and turn curious inquiries into solid orders, YOU HAVE
IT MADE.
Go ahead--test it. Start with a small classified ad for a few
months. See what the inquiries bring in. Mail back some sales
literature from the orders. You'd be surprised just how easy it
is.
If you need specialized LEGAL advice or assistance on this
subject, the services of a professional person is recommended.
HOW TO MAKE A FORTUNE WITH CLASSIFIED ADS
Are you ready to make money--lots of it? Can you spare a little
time and just a few dollars? If you are prepared to fulfill your
dreams and realize your goals, mail order classified ads are your
ticket to success.
You have what it takes--right now. Classifieds are the best
dollar-for-dollar return in advertising, and you can earn a high
profit on your product investment.
Classified ads are the easiest to write, the easiest to place,
and cost the least. They require only a simple follow-up, and
bring in hundreds of dollars of sales.
People read classified ads for a purpose. They are specifically
looking for products, services and information that appeal to
them. A well-placed classified ad will bring hundreds, even
thousands, of replies month after month, year after year.
You don't have to have a special background to make money with
mail order classifieds. Any beginner can realize a steady second
income or develop a stable, full-time business through classified
ads.
But you have to be persistent.. You must WANT TO MAKE MONEY, and
be willing to stick with it... If you do, you will find that
being successfully is easy--just follow the steps, one by one,
climbing the ladder to the top.
WHAT SHOULD I SELL?
Take a look at the classified ads in the magazines and tabloids
you read. They are filled with offers for services, products and
information... And they sound good. The ads show enthusiasm about
the materials being offered..
What gets you going? There are many things you find of special
interest constantly. Could you offer those for sale? Do you have
a special trade or service that can be conducted by mail?
Maybe you have a product to distribute, such as stamps or coins,
a time-saving gadget, or a do-it-yourself kit. Or perhaps you can
tap into wholesale or surplus goods that you can sell at a good
profit. Bargains are always in demand.
The most successful type of mail order product is INFORMATION.
Specialized information in the form of ideas, money-savers or
self-improvement can be easily produced on a low budget and
readily SOLD AT A HUGE PROFIT.
Information in the form of how to make or do something is a
constant best seller. People are always looking for simpler, or
cheaper, or better ways to improve their lives. What can you
offer?
THE 2-STEP APPROACH
THe proven method of selling mail order items or information is
called the two-step approach. Basically, you place a short
classified ad in the back of a magazine or tabloid.. The ad does
not mention price, but tells the reader to write for free
details. Once you have an inquiry, you then send information
concerning what you have to offer, and watch those orders pile
in.
Essentially, a mail order classified ad buys a name and potential
business. It may just break even with the actual orders placed.
The real money comes from subsequent sales. Profit begins at the
second sale and gets bigger and bigger as the sales continue.
WHY NOT CHARGE IN THE CLASSIFIED?
You'll get far more responses from an ad for free information
than you will for goods, at any price. And, since you want a
POTENTIAL BUYER, you'll have more inquiries for materials you
want to sell later.
Charging a small fee to cover postage or the cost of the inquiry
will never make you break even--people won't be bothered. And a
small fee doesn't necessarily weed out non-buyers. If you find
your classified is pulling people who aren't interested in your
offer, you can change the advertisement to be more specific as to
what you really have for sale.
WHERE TO PLACE CLASSIFIEDS
The best advice in placing classifieds is to follow the leader.
Find where other goods in your category are being sold and do the
same. The mail order business is not a place to be real
different, especially as a beginner. Although your product must
have an appeal different from the others, stay with the pack and
advertise in the same publications.
Look for repeat business. You can review back issues of
publications at your library or buy some copies of the
publications you might advertise in. If a certain ad has appeared
time after time, you can be it's winner.
Write for the details of some of the offers similar to the one
you have. You might even purchase a sample product or two so you
can get a good feeling for what is being offered, how the ads
run,,, and what kind of prices are successful
If you have a specific product or information that is appropriate
to a specialized type of magazine, check out all the magazines of
the topic... Which publication carries most of the ads? what is
the circulation of the publication?? A magazine with a higher
circulation may cost more to place a classified, but bargain rate
publications won't be the best investment if they don't bring the
inquiries.
Consider your dollar-for-dollar inquiry. How many people may read
your advertisement for the cost it takes to place the ad?
Many products have special seasons, and classified ads are no
different. december generally returns varied responses because of
the holiday season, and is not a good month to include in your
testing. The summer months are generally slower for classified
responses and mail order packages. The best time to try your ads
are the fall, winter and spring months.
WHAT IS TESTING?
The most important element in mail order advertising is testing..
Not only do you need to find out if your product will sell, buy
you have to find out what the best price is.
You have to test the magazines. One may not draw as many
responses as another.. Or, after three months, it may not seem to
pull at all. Then switch to another publication. You may try
several publications at the same time with the same ad to be able
to judge which has the best dollar-to-dollar response.
Don't be too hasty in dropping a publication,,, however.
Sometimes it takes the repeat insertions three or four months to
get the proper percentage of responses. People become more secure
with a repeat ad, or they may pass it by the first or second time
until they get around to writing for information..
Other things you will be testing are the type of inquiry and the
response package that contains a sales letter and brochure.
You'll also need to test the frequency and number of times to
continue mailings after you have a good customer list.
Testing is the name of the game, and this is where you need
perseverance.. Don't get discouraged. GIVE IT A TRY. Because of
the low cost of placing classifieds, it's worth it to keep going.
YOU CAN PROFIT.
TYPES OF ADS
THere are three types of classified ads;qualified, partially
qualified, and blind.
The qualified ad is specific. It includes several details to
inform the reader about what you are selling... The people who
respond to highly qualified ads usually are specifically
interested, and produce the best quality prospects with the
highest percentage of sales. Since the ad may be a few words
longer, it is most expensive to place.
The partially qualified ad offers a special benefit, such as
money or self-improvement. The readers have some idea of what you
are offering, but don't know the specifics.
Blind ads offer only a few details, are inexpensive to run
because they are short, and bring in the largest response.
However, blind ads produce the lowest percentage of actual orders
because they are often answered just out of curiosity.
The best place to start is---you guessed it--the middle. A
partially qualified ad is a good test ad.. It doesn't need to be
specific about your product, so it brings in inquiries that can
be used over and over for related items. You can rewrite it with
more details or trim it down later.
What's the best guideline? PROFIT. If you compare the actual
orders received from the number of inquiries for each of your
ads, you have the rate of conversion. Aim for the ads which pull
best for you.
KEYING THE ADDRESS
How do you determine what inquiry response came from which ad?
You code the company name or street address so you can determine
what ad pulled the response. This is calling keying the address,
it's one of the most important tips in mail order classified
advertising.
The simple key is two-part letter and number code. The letter
stands for the name of the publication, and the number represents
the month the ad appeared. You can make up any code as long as
you keep track of what publication it appeared in.
You can add the key to the address by hyphenating the street
address to include the code. Or you can key the company name by
adding specific initials.
The surest way to key is to add the code to the address in the
form of department, division, or suite number. Be careful it
doesn't conflict with any other addresses nearby.
WRITING CLASSIFIEDS
Writing you won copy for a classified ad is easy. There are so
few words you need to use that you don't have to worry about
being a writer or a professional in advertising. You are your own
expert in selling your product.
The selection of words is the most important aspect of
classified ad copy. You need to choose precisely, but don't skimp
on words to save the cost in the ad.
The best way to prepare copy is to first write about your product
or service at length. Go ahead-list all the benefits. Scrutinize
the features and write them down.. What sticks out? What is so
great about your product? What can it do for the reader who will
take the time to write for more information?
How can your product help? Will it show how to earn money, does
it offer self-improvement, can it help accomplish something
appealing and significant?
Choose a heading that points out the most significant aspect or
feature of your product. Follow up with a few words or details,
and finish with a request to write for more information... The
best word in a classified is "free," but you must follow up with
something free.
SAVE MONEY PLACING ADS
Most classified ads are billed a certain charge per word, so you
want to keep your words important and precise. Once you have
written your ad, take a closer look at it. Can you eliminate
extra words without changing the meaning?
You might be able to delete conjunctions such as "and,' articles
like "the," "a," and "an," or prepositions like "for," "with," or
"form." Perhaps you can contract your company name into initials
or use just one word.
Each part of your address counts as one word: the number, the
street name, the street aspect (boulevard, avenue), the key (if
separate), the city, and the state. Many publishers let you
include the zip code free of charge.
Use figures rather than words for numbers, but don't use
contractions or abbreviate. You have to pay for each word in
full, so spell them out completely. That way you'll get no
confusion when people place orders.
RESPONDING TO INQUIRIES
ONce you start getting responses from the classified ads, you
should send out your sales literature immediately, definitely
within one week. The goal is to convert the inquiry into a sale
and convert the sale into PURE PROFIT.
Your sales literature can be a one page pitch for your product..
It doesn't have to be an expensive color catalog. As you get
going, you may prepare a sales package and a series of follow-up
offers.
You can't tell from the type of inquiry whether the person is a
buyer or not. Postcards or letters are potential profit-makers
for you. What;s important is to MAKE A SALE.
Type the person's name and address on a label and make at least
there carbon copies of these labels to use for subsequent
mailings. Your second sales packet should be mailed a month after
the inquiry was received, and another a month after that.
Follow-up sales are where you are going to MAKE YOUR FORTUNE.
YOur classified draws the inquiries, the first order establishes
a good customer, and the rest of the orders are pure gold.
Testing is the only way to find which plan works best for you in
getting orders. You'll need to find out which sales packet works
best, and how often to make mailings.
THE RESPONSE PACKAGE
A typical mail order response package, (called a conversion),
consists of a personal letter, a brochures, and order form,, and
return envelope... How elaborate you want to make your conversion
depends on how successful your product seems to be selling and
how much money you want to invest.
Always start small. A simple one-page offer can works as well as
a fancy catalog. After you've built up a few good-selling
products, you might print up a single page brochure or catalog.
Even at that, you don't have to go to color unless your product
warrants it.
you don't need an advertising agency to put together your sales
packet, but you can use one if you want. Be sure to investigate
the type of agency and what it can do for you. You should have an
agency with a proven background in mail advertising, and you must
take a good look at what has already been produced. Talk with
clients and see if the agency pulled through for them.
Why don't you need an ad agency? Because you can produce all the
sales literature you need. You are the best sales person for your
product because YOU KNOW IT. If you have done the proper
research, you have already found out what the competition is, how
much their product cost, and what sales appeals they are sending
out.
As in placing and writing classified ads, do what the competition
is doing.. Although you shouldn't (and can't legally) take
directly from them, You certainly can copy the format and general
ideas they project.
If somebody has been selling something successfully for years, do
the same thing. Adapt your product to fit.. Of course, you can't
convert a sales pitch for surplus goods to an appeal for
self-improvement book, but take notice of WHAT SELLS PRODUCTS.
HOW TO PREPARE SALES LITERATURE
The sales letter promotes you as well as your product. It is a
personal appeal to a potential buyer. You want the person to feel
special and have a reason not only to look through the rest of
the literature, but TO BUY YOUR PRODUCT.
The appearance of the sales letter is the most important aspect.
It should be on company letterhead, cleanly printed, and inviting
to read. Although it can be any length, it doesn't have to be
more than one page. But it must be double-spaced and typewritten
in clear, easy-to-read type.
The most effective sales letters are printed in two colors... The
second color offers eye appeal and provides emphasis in selling
the benefits of your products. The most inexpensive way to
produce two color is to print black in two-color letterhead.
You may use the second color in alternate paragraphs, or as
special paragraphs, indented to catch the eye. Blue, red, or
green type is harder to read, so keep the second color areas
short and important to the reader.
Other effective ways to use a second color are as handwritten
remarks in the margins of the sales letter, as underlines, and in
the signatures.
Write the sales letter as though you're writing to a friend; keep
it direct and personal.. Present yourself and your product as
worthwhile, honest and desirable.
The beginning of the letter should have a lead line similar to a
classified ad.. It emphasis the benefits of the product and
points out the strongest appeal.
Don't be tempted to use two or three appeals in a row.. Choose
only one and save the next best ones to try on other sales
letters as you test the results.
Follow through on the appeal, amplifying WHY the product is
desirable.... Emphasize its value to the reader. Build
credibility. Will it make me a better, or richer, or more secure
person? Can it prevent worry, poverty, illness? Why should anyone
want to have it? You might admit what the product won't do, then
present several positive aspects, stating what it will do.
In the next section, mention price and immediately talk about the
money-back guarantee. The reader will be more convinced the
product will do all you claim if you are willing to stand by your
product enough a full refund.
Finally, restate the major benefits or feature of the product and
push for the order. If you are offering a special premium for
ordering immediately, state it here. Include a good reason for
why the person should not wait, but ORDER NOW.
ORDER FORMS
If you have only a one-page pitch, you need to provide space for
an order form.. It should be well-defined by a line or dotted
line around it, and should be large enough for someone to write
out a complete packet with sales letter and brochure, print up
separate order forms.
Mention the benefit, the product name, and the guarantee. You
might want to use the first person in pushing for the order.. For
example, "Yes! Please rush me..." Include the price on the card,
perhaps in a manner such as "I enclose my check for $____."
Provide adequate space for the name and address with long lines
to write on... You may also want to place a key if you are using
more than one sales appeal.
PRINTING A BROCHURE
Preparing a brochure or sales catalog is not as difficult as it
may seem. It doesn't have to be a glossy, four-color fancy
booklet. You can send out even a one-page description of the
product and an appeal for ordering.
The brochure or sales catalog is the visual representation of
your product. It emphasize the features rather than benefits, and
goes into detail about the product. Think about the what you're
selling. What are the best points of size, number of pages,
hard-cover or soft. Is the author a well-known authority?? How is
this a better deal than another of the same subject?
If you're selling a product, maybe you'll need to include the
colors available, sizes, or the type of materials. Or emphasize
the clear, easy to follow instructions that are included. When
you get stuck, just look at all the other catalogs and compare.
What information is included? Follow suit.
The important aspect of a brochure is the use of illustrations.
Again, these don't need to be series of four-color photographs...
Although photos are very good ways to sell goods, don't bother to
use anything that is less than excellent in quality. Be careful
if you want to use a model. Remember, you WANT TO SELL.
An excellent way to illustrate your product is with simple line
drawings.
Even if you cannot prepare the final artwork, you probably can
think of what and how to place it on the page. Local yellow
pages, newspaper ads, typesetters and printers are good places to
find an artist to do the final work a reasonable price.
Once you have a good idea about the size and scope of your
brochure, you're ready for the rough layout.. And this is easy.
Just pretend you're an artist. That's right, you don't have to
draw to do a rough layout.. Pencil in the type for the heading.
You can do a stick figure sketch of a line drawing or indicate
the size of the photograph. Draw lines to indicate the body copy.
Write all the words for the brochure in accurate, clean
typewritten copy. Don't forget anything that will be printed, and
don't misspell anything.
Then take it to a typesetter or printer.
Printers usually can work with you to help to choose the type
style, size, and particulars about the layout. Or, they may know
artists or designers who can help you for a small fee. They
usually work closely with a few typesetters, but you can work
directly with a typesetter to have the type put into final form.
MAILING
YOu can obtain a bulk rate permit at the post office if you send
out at least two hundred identical longer for the mail to be
delivered.
The most important aspect to mailing your sales literature is the
quality of the list of people you are sending to.. A brilliant
sales piece won't work if it is sent to the wrong people. That's
why you must clear when you place your original classified ad,
and that's why you need to test which heading to use and how many
details to include.
Your own mailing list is the best one, because since you keyed
the responses, you know what these people responded to.. You have
already profiled the potential buyer, you have already written a
sales piece aimed at that buyer, and YOU WILL MAKE MONEY from
that buyer.
Although you can buy or rent lists of names and addresses from
list brokers, you can never be sure how well the list will
respond to your sales package. If you need more` names, just
place more classified ads. Test different headings, test
different magazines, and test different products.
KEEPING RECORDS
It is extremely important to keep accurate records in mail order.
It is only through these record sheets that you can determine
which ad pulls the best, which advertising lead is the most
enticing, and how well your product is selling. Good records are
the follow up of good testing.
Keep copies of all ads and conversion material in a three ring
binder
or scrapbook. You may also include in that book, or in a separate
folder, a record of all keys you have used, The separate sheets
of records per key or publication will help you be able to
compare which ads are bringing in the profits.
You can make your own record sheet with a pen and ruler. Then
have a few photocopied. You'll need a separate sheet for each ad
you place.. At the top of the sheet, place the name of the
publication the ad appeared in; the issue number or date; the
date the issue was placed on sale; the address key; the size and
cost of the ad;which ad you used; the price of the product; and
(to be calculated later) the profit.
The body of the record sheet has two main categories: inquiries
and sales. First, the number of days should be listed in a column
at the left. These don't necessarily coincide with the days of
the month, but rather start with the first day responses come
in.. The subheads under "Inquiries" should be: date received,
number received, running total. The subheads under "orders"
should be: number of orders received, running total, cash sales,
and running total for cash sales.
These record sheets will help you to figure out the responses to
classified ads, orders from sales literature, and how much money
you are making.
To calculate the cost per inquiry, divide the cost of mailing the
sales packets to the cost of the ad and divide that by the number
of orders received.
The ratio of conversion is the number of orders compared to the
number of inquiries. For example, if you get twenty orders from
one hundred inquiries, the conversion is twenty percent.
HOW TO CALCULATE PROFIT
Total the amount of cash sales.. That is your gross profit.
Subtract the cost of conversion and the cost of the ad. That is
your net profit, the one that counts.
Just stick with it, and you can WATCH THAT PROFIT GROW bigger and
bigger each ad, each conversion, each sale.
EXPANDING AND GROWING RICHER
Over the years, good buyers purchase many times your initial
investment in classified ad space. A first buyer indicates a
second sale; after that, you have regular customer who purchase
for years.
Promote the field of interest you've selected;; don't expand into
separate areas. Cultivating your prime customer list takes
patience and testing, but you'll find it rewarding.
Perhaps you started with one product to offer and are ready to
try another. You can run new,, separate classified ads in the
magazines and have tested successfully to your other offer. And,
you can use your list to send out sales literature for the new
offer.. Regular mailings depend on the number of items you have,
the size of your list, and your budget. But follow-through is
very important.
May be you are at the stage of printing a small two-page
catalog/brochure that offers five to tenn products. You can mail
this out to the inquiries from classifieds, or you can use any
combination of one-page offers you have used in the past. Always
run with what sells. Drop anything that pulls no response as soon
as you've given it a fair test.
EXTRA APPEALS
ONce you get rolling with your mail order business, you can try
any number of incentive to solicit orders. You can offer a free
gift, or free anything, certificates, coupons fabulous prizes.
You might offers a sample, a trail period, or a special
guarantee. One way to push for an order is to indicate that the
supply is limited or you won'tt stock a certain item for long...
Time limitations will elicit quicker responses. You may offer one
price until a certain time and then indicate an increase after
that.
A successful way to push for large orders is to offer a discount
on the larger orders. That way, it is worthwhile to order two or
three items--for you because it's more business and more profit
in mailing and handling, and for the customer because it is at a
reduced price.
What do the other mail order businesses do?? What kind of
incentives do they use? As always, check with the competition.
What has proven successful to them probably will work for you
too.. What kind of "special" offer can you make to push for
larger, quicker or more frequent orders?
SATISFACTION GUARANTEED
Not only must you print a guarantee in all your ads and sales
literature, but you must honor it. Never send inferior
merchandise; never take a chance on faulty mailers or guess lower
on postage. Deliver a complete product.
It is only through satisfied customers that you will get repeat
business, and it is through repeat business that you MAKE MORE
MONEY.
DOn't try to get away with anything less than you promote and
stand by all claims you make. Honor requests for refunds
promptly and politely. A customer satisfied with your honestly
remains a good buyer and may purchase from you later offers.
MAKING MORE FROM A WINNER
You've got a successful product. The conversion for orders is
high, refunds are low, and the draw from the classified ad is
great. How can you make more money, even if you think you've
saturated your market.
The easiest way to increase your inquiries is to run another as
in the same publication with a different heading.. If the
classified section is large, you might request one be placed at
the beginning, the other towards the end.. Although several
clever readers will notice the same address, it stills draws a
significant number of inquiries in.
This technique is also good for copy testing to see which heading
will draw the most response. Be sure to key each ad separately.
This is a good way to do it without going to other publications.
Again, key the addresses, and be extra careful to respond
properly to the inquiries.
YOU AND THE LAW
You do not need a special federal or state permit to operate a
mail order business. The material you sell must be legitimate
however, and you cannot be deceptive or misleading in claims or
advertising.
If you offer something "free" it must be free, and all claims
concerning money must be honored..
If you use testimonials in advertising, they must be real and
available to investigation. Frauds are discovered and are
prosecuted.
The federal and state governments require you to report all
income, but you certainly can take every legal deduction.. Once
you make a good deal of money, it's often worth every penny to
have an accountant fill in your forms. If your income warrants
it, you will be expected to pay income tax quarterly.
Most states now have sales tax, so you'll have to find out the
regulations concerning the collection and payment of these fees.
An advantage to this however, is that you can get a state resale
number and may not have to pay state sales tax on some of the
items you need for your business.
If you keep accurate records and report the proper information to
the authorities, you'll have no problems.
ACT NOW
Classified ads are the best way to make a high income return from
limited sources. You can buy the extras you've wanted, send
yourself on an exotic vacation--even create a profitable yearly
income.
One of the best aspects of this type of enterprise is that the
number of successes increase as the number of errors decrease.
You learn as you go along and YOU PROFIT CONSTANTLY.
Cultivate positive thought. As you can see, there is nothing
difficult, costly or extremely risky in making good money from
classified ads.. What is the best way to get started?
Thousands of people have earned a comfortable income from
classified ads--with great happiness and contentment in their own
business. You can succeed too,, if you make up your mind that you
want to.. Faith is simply a state of mind,,,, but it has been
proven that state of mind can CHANGE DESIRE INTO REAL MONEY.
There's no time to get started.
HOW TO SELL INFORMATION BY MAIL
Selling information by mail is one of the most profitable
business operations in this country today. And you can start a
small business for yourself--and make it flourish.
You don't have to be a writer or have experience in running a
business. All the steps in setting up a mail order business for
yourself are simple, easy to follow,, and may reap a steady
second income for you, even building up a highly profitable
full-time enterprise.
Tired of reporting to work every day? Frustrated that you can't
afford the extras that you want from life? The advantages of your
own business are endless. but most of all, you have a feeling of
accomplishment and fulfillment, as you help other people acquire
the knowledge they want--AND WILL PAY FOR.
You don't need to give up anything. All the tips given in the
following pages require minimum expense, can be done at home, and
need only a small , but constant, amount of your time.
What you do need is the desire to MAKE IT WORK. If you have
perseverance to follow through, and the disciple to complete each
of the steps, and you're well on your way to creating something
special for yourself.
WHY SELL INFORMATION?
Bookstores nowadays cater only to mass market books and
paperbacks; record stores carry only popular recording artists.
Where can you get information on a specific topic? Even
specialized magazines are limited in their scope and the
information they cover.
You can order items by mail in the safety and privacy of your own
home.. You don't have to shop around at the stores, wasting time
and gasoline. And, you have a direct connection with the seller
of the information, often being able to write specific questions
and getting feedback--especially with newsletters and courses.
Mail order at home provides a HIGH PROFIT MARGIN. Producing
written or recorded information is inexpensive compared to the
price you can receive. You can operate with a low overhead, the
business is simple to run,,, and there is no middle seller. Check
come DIRECTLY TO YOU.
WHAT CAN I SELL?
Successful people achieve because they know something special.
And specialized knowledge and "how to" are the most sought-after
types of information successfully sold by mail order.
There is an endless need for specialized information that you
probably have on hand, or can easily obtain... It offers the
inside knowledge and ideas that many people need, butt you don't
have to be an expert to produce and sell that information.
Specialized information may be anything from a favorite set of
recipes to a list of the fastest horse tracks in the country. It
can include places to visit, such as back roads, country inns or
fine restaurants in an area.. Or it can be reliable sources for
special goods. and tidbits of information about special subject.
"How to" can be anything from making cornhusk dolls to finding a
good place for camping and hiking.. It can be plans, instructions
or tips on how to make something, or find a special place, or
achieve a special goal.. It may pertain to sports, hobbies or
self-improvement. Or it may relate directly to the hundreds of
specialty publications such as skiing, decorating, or writing
songs.
YOU HAVE IMAGINATION
Information is not limited to books and cassettes. It comes in
many forms. Something sold for a little money and only a few
pages might be plans or directions.. A short piece (up to 50
pages) may be a report, manual, folio or pamphlet.
Later, if you get into multiple printing, photo illustratio