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Local SMS Marketing Questions

by jtlucas2511
2 replies
Well, I decided that this is going to be my business model, and my plan is to get 10 clients by myself paying about $200 a month and then once I reach that, I am going to hire sales people to bring me in business.

I live in a small town, it's a college town though with about 12k people, and I made a list of about 10 restaurants around town that I thought could benefit from SMS marketing, and I don't even plan to cold call these guys, I'm just going to barge in and get them to sit down with me.

Now my question is, what is everyone else charging for this kind of service? I read about someone charging $235, which is about what I would like to charge, but for that I would also want to help these owners to start out building their lists.

So, I am just looking for any advice on this subject, because 48 hours ago I had never even looked into this aspect of marketing, but tomorrow I plan on going out and selling my ass off, so any and all advice would be greatly appreciated

Thanks guys
#local #marketing #questions #sms
  • Profile picture of the author Seantrepreneur
    I can tell you from my experience only. Not from the ppl who claim they are selling SMS services for $500 a month with a $1,000 set up fee.

    Fact: Restaurants and bars are getting SLAMMED with emails and calls from SMS companies. Because the entry barrier is so low for SMS everyone is doing it and they keep cutting the price. What's starting to happen is the companies are choking themselves out. For instance, we just heard from a company that was willing to charge restaurant $15 a month for 500 texts. Say their cost is AT LEAST $5 a month, that means they are going to make $10 a month from that customer. Think about how many restaurants you are going to need in order to make any kind of money.

    We even get our own clients looking negotiation their monthly fee down because they got 5 emails that day for lower priced service. Not to burst your bubble but I think you might find it difficult to sell this service for $200 a month. Of course I don't know how many text messages that includes, but regardless $200 is way to high unless you're looking at 5,000+. Sure you might be able to get a few customers that the price, but the second they look into it at all they'll find someone else that charges 90% less than you are and confront you about it.

    I don't mean to sound cynical, but I've been in the biz now for a few months and this is what I'm seeing all over the place.

    My advice would be to get a good product and service going then work your best on upsells. Use text marketing as a foot in the door.

    Feel free to PM if you have a specific questions.

    Sean
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    -------->Started with $500 on Amazon and building it from there. Week #1 income report is live ($593.78 in revenue)<----------
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  • Profile picture of the author TycoonRob
    Wow, those numbers are scary. As a reseller I know I can't afford to sell 500 texts for $15, so if this is the way this is going, I could be out of business soon. But...if my and other SMS providers are losing resellers, then they will probably be lowering their monthly fees (for me) and maybe offering more just to keep me as a reseller. Hopefully.
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    Doubt everything you believe.

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