Succeed In Offline Marketing - Part 1
Posted 8th March 2009 at 02:54 PM by TimCastleman
Success Step 1: Having their business model in mind
Do you want to be a fast food restaurant or a fine dining establishment?
I know you don't sell food but you need to figure out quickly do you want to be a jack of all trades and serve anyone or everyone?
Or would you rather be a business that caters to a select few customers and not anyone with a pulse?
If you want to be all things to all people then set your business up as a volume based business. That means more mailings to large numbers of clients. It also means cheaper prices as a result of trying to please anyone and everything. Think McDonalds type prices and service.
Or you could setup your business to serve a select group of customers who paid you more money for a higher level of service.
So if you wanted to be a high volume business you would try to get a majority of the people in your area to be a customers. Instead of sending out 10 mailers, you are looking at thousands of mailers being sent out, thousands of phone calls, or thousands of door to door sales calls (depending who you follow).
The cost would be more expensive (in terms of time, talent, and money) as a result of the number of contacts you need to make to make a living.
Along with the higher cost the level of service would be less. If you have 1,000 customers that means that you couldn't even spend half a day with each client. In addition, god forbid, something catastrophic happens (like your servers go down), that means you have 1,000 people calling, emailing, texting, etc to get an update.
Or you could have a select number of clients that you can service at a higher level. If you have 100 clients total - you could spend 3 days with each customer a year and still have 65 days left over to take off. Also you can go deeper into their business and service them at a much higher level.
Also it would be much easier to target those 100 or less businesses and make contact over and over with less cost.
If you sent 1,000 postcards it would cost you about $350 each time you send it. Say you send it once a month you are talking about $4,200 for the year, $8,400 if you send it twice a year.
But if you have 100 companies you go after and spent $1 per contact you could contact them 42 times a year (almost weekly) for the same amount of money.
Who do you think will remember and use you - someone you talk to once a month OR someone who hears from you almost every week.
In addition to the cheaper contact cost you also get to charge higher prices for the personalized service.
If you charged rock bottom prices of $1500 per site that gives you $150,000 total for 100 customers. Want less customers - charge more money.
50 customers at $2,500 gives you $125,000.
I have a friend who works with 12 companies a year. He charges $10,000 a year each to work with them and gives them his personal cell phone number (that his wife doesn't even have the number to).
So the first step is to decide - jack of all trades or serve your customers on a deeper level?
The choice is yours.
*A side note, my WSO offers are coming to a quick end. Better get them before they go away
Do you want to be a fast food restaurant or a fine dining establishment?
I know you don't sell food but you need to figure out quickly do you want to be a jack of all trades and serve anyone or everyone?
Or would you rather be a business that caters to a select few customers and not anyone with a pulse?
If you want to be all things to all people then set your business up as a volume based business. That means more mailings to large numbers of clients. It also means cheaper prices as a result of trying to please anyone and everything. Think McDonalds type prices and service.
Or you could setup your business to serve a select group of customers who paid you more money for a higher level of service.
So if you wanted to be a high volume business you would try to get a majority of the people in your area to be a customers. Instead of sending out 10 mailers, you are looking at thousands of mailers being sent out, thousands of phone calls, or thousands of door to door sales calls (depending who you follow).
The cost would be more expensive (in terms of time, talent, and money) as a result of the number of contacts you need to make to make a living.
Along with the higher cost the level of service would be less. If you have 1,000 customers that means that you couldn't even spend half a day with each client. In addition, god forbid, something catastrophic happens (like your servers go down), that means you have 1,000 people calling, emailing, texting, etc to get an update.
Or you could have a select number of clients that you can service at a higher level. If you have 100 clients total - you could spend 3 days with each customer a year and still have 65 days left over to take off. Also you can go deeper into their business and service them at a much higher level.
Also it would be much easier to target those 100 or less businesses and make contact over and over with less cost.
If you sent 1,000 postcards it would cost you about $350 each time you send it. Say you send it once a month you are talking about $4,200 for the year, $8,400 if you send it twice a year.
But if you have 100 companies you go after and spent $1 per contact you could contact them 42 times a year (almost weekly) for the same amount of money.
Who do you think will remember and use you - someone you talk to once a month OR someone who hears from you almost every week.
In addition to the cheaper contact cost you also get to charge higher prices for the personalized service.
If you charged rock bottom prices of $1500 per site that gives you $150,000 total for 100 customers. Want less customers - charge more money.
50 customers at $2,500 gives you $125,000.
I have a friend who works with 12 companies a year. He charges $10,000 a year each to work with them and gives them his personal cell phone number (that his wife doesn't even have the number to).
So the first step is to decide - jack of all trades or serve your customers on a deeper level?
The choice is yours.
*A side note, my WSO offers are coming to a quick end. Better get them before they go away
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