The intelligent person's 7 figure sales plan

14 replies
The intelligent person's 7 figure sales plan

Inspired by this thread:
http://www.warriorforum.com/offline-...0-dollars.html

Target £1,000,000.00 (I work in GBP, even though many of my clients are abroad, feel free to substitute your own currency)
Average Profit per Sale £50 one off. (I tend to work with profit, defined as (Selling price - fulfilment costs). This is usually the minimum profit level I would work with).
Number of Sales to hit the target 20,000
Assuming a conversion rate of 10% (IMHO low for a targeted endorsed mailing)
Number of phone calls required – 1 maybe :-)

In my experience an endorsed offer to a mailing list of known buyers will give a response of at least 10%. This means you need a total list of 200,000 potential buyers. This could be one list or it could be several. I frequently offer the same product to multiple lists. A few weeks ago I made just such an offer to 4 lists resulting in close to £4.7 million profit in around 4 weeks - of which I get 20% - £935,000 - $1.4 million. And I do this regularly without breaking a sweat - or spending all day on the phone...

Establish a good relationship with the list owner and you can rinse and repeat pretty much as often as you like...

Is this just hot air?
Here's an example of a million dollars in sales in two days:
Debbie Mayo Smith: One million dollars from an email - Small Business - NZ Herald News

Do you think if you sold, say, quality luggage, that if you approached Bob and Beth that you might sell a few to their customer list? How about sun tan lotion? Seasick pills :-) What else can you think of that people taking cruises might require?

Why would anyone advocate cold calling for a living...?
#figure #intelligent #person #plan #sales
  • Profile picture of the author Claude Whitacre
    Originally Posted by animal44 View Post

    Why would anyone advocate cold calling for a living...?
    I get the business you are in. And it has possibly the most money made per phone call ratio I've ever seen. Many of the high end consultants and marketers rely on joint ventures exclusively.

    But you asked, "Why would anyone advocate cold calling for a living...?"

    It's because that's a different business. Why would anyone advertise on TV, when they could do joint ventures? Why would anyone do joint ventures when they could just get a government contract? Why sell homes, when you can sell islands?

    Because it's a different business.
    First, (and take this as a compliment) you are highly skilled in the area of joint ventures. But you also have to be highly skilled on selecting partners, with untapped resources, responsive lists, and you need to find a very applicable offer to show that list. You are an experienced business man. Did you start out making these high dollar joint ventures?

    Cold calling is just another method. It's a different business. Like selling in someone's home VS selling out of a retail store. Which is better? Who knows. They are different businesses.

    Why would I advocate mastering sales skills instead of management skills? Management skills are probably more profitable for most. But I don't have the qualities of a great manager, and I do have the qualities of a great salesman. But I don't say people in management are wrong.

    Your skills and temperament are very applicable to doing joint ventures. But not everyone is like you. And not everyone is like me. And we can't all be in the same business.

    Personally, I appreciate your sharing how you make money. That's why we are here. But you seem to have a real attitude toward the people who make money on the phone cold calling. And there are people here making a great living, doing just that.

    Not everyone wants to do, what you do.

    Although, I admit, the principles involved in joint ventures have made me some of the best money I've ever made.
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    • Profile picture of the author mak25
      Originally Posted by Claude Whitacre View Post

      I get the business you are in. And it has possibly the most money made per phone call ratio I've ever seen. Many of the high end consultants and marketers rely on joint ventures exclusively.

      But you asked, "Why would anyone advocate cold calling for a living...?"

      It's because that's a different business. Why would anyone advertise on TV, when they could do joint ventures? Why would anyone do joint ventures when they could just get a government contract? Why sell homes, when you can sell islands?

      Because it's a different business.
      First, (and take this as a compliment) you are highly skilled in the area of joint ventures. But you also have to be highly skilled on selecting partners, with untapped resources, responsive lists, and you need to find a very applicable offer to show that list. You are an experienced business man. Did you start out making these high dollar joint ventures?

      Cold calling is just another method. It's a different business. Like selling in someone's home VS selling out of a retail store. Which is better? Who knows. They are different businesses.

      Why would I advocate mastering sales skills instead of management skills? Management skills are probably more profitable for most. But I don't have the qualities of a great manager, and I do have the qualities of a great salesman. But I don't say people in management are wrong.

      Your skills and temperament are very applicable to doing joint ventures. But not everyone is like you. And not everyone is like me. And we can't all be in the same business.

      Personally, I appreciate your sharing how you make money. That's why we are here. But you seem to have a real attitude toward the people who make money on the phone cold calling. And there are people here making a great living, doing just that.

      Not everyone wants to do, what you do.

      Although, I admit, the principles involved in joint ventures have made me some of the best money I've ever made.
      Very well put Claude. Thoughtful and sensible. There are different strokes for different folks, and everyone has their own way to make a buck.

      I never understood why anyone would bash someone because they weren't doing what the poster is doing. And to belittle them and insult them is just so unprofessional. There's many ways to skin a cat, and we all choose the path that works for us.

      I always appreciate your views and insight Claude. Always very helpful.
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  • Profile picture of the author sooWoo
    So I'm guessing that this was a stealth cold-calling bashing thread huh?
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  • Profile picture of the author Peter Lessard
    To be fair to the OP I think we often have an undertone in our posts that is based on the larger experience that we have on this forum and what irks us.

    Often when I see a particular username I can tell what they are going to say before I even read their post lol and I am sure the same can often be said about me. There are the "your all fakes and not making any money" "you must cold call or you"ll die broke" "you must charge $2,000/month per client or your wasting your time" and the list goes on. At the end of the day you can't fault people for being passionate about works for them and it is few people on here that step back and try not to beat one approach to death with the realization that different things work for different people.

    I have often been tempted to write posts putting down one thing or another and when I stopped and thought about why I was motivated to do so it was because there was this huge tide of information on the flip side of the argument that really pissed me off lol I think this post is a fair reminder there are other ways to make money and yes for sure it has undertones of why in gods name are you cold calling.

    On the subject of cold calling there are a gazillion threads that are pro cold calling telling people that are scared shit less of cold calling that they must do it, they must get over it etc.. etc.. and until they do they will always be broke and their children will starve because they are cowards... Now obviously though it may be good for them to tackle this fear it's certainly not true that they MUST do it to make money. They can have others do it or they can have prospects come to them using a variety of methods that we all know about so I won't get into it.

    I guess my reply is a long winded way of saying what Claude already said "different strokes for different folks". I believe you should do what works for you. No method is dead or stupid if YOU can make it work.

    For the next few days I may just save my typing fingers, wait for Claude to reply and then simply reply "what he said". ;-)
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    • Profile picture of the author Claude Whitacre
      Originally Posted by Peter Lessard View Post

      For the next few days I may just save my typing fingers, wait for Claude to reply and then simply reply "what he said". ;-)
      Actually, I'm still embarrassed by what I posted a couple of days ago on this thread.

      http://www.warriorforum.com/offline-...0-dollars.html

      I made the incredibly stupid mistake of commenting before I had all the facts. I'm just thankful the OP has thick skin, and others gave more information.

      I left my post there, as a visual reminder to myself, to comment on what I know...not on what I think I know.


      You were talking about other ways to make a buck. I had an acquaintance that drove a huge truck around the country, buying and selling used vacuum cleaners. He had a route, and I was on that route.

      His trailer was filthy. He traveled six months a year.

      One day he showed me a photo of his home in North Carolina. It was a mansion. He had a beautiful home on a magnificent farm. I asked how he could afford all of that. He told me that he averaged $200,000 a year, hauling vacuum cleaners, working half a year.

      In a moment of candor, he said, "You want to know how I make money? Those six vacuums you just gave me $300 each for? I paid $30 each. And you are one of eight stops I make today."

      His secret is; he knew where to buy, and he knew where to sell. Not the business for me, but there are so many ways to make a buck. And there is no best business.
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      • Profile picture of the author John Durham
        Originally Posted by Claude Whitacre View Post


        In a moment of candor, he said, "You want to know how I make money? Those six vacuums you just gave me $300 each for? I paid $30 each. And you are one of eight stops I make today."

        His secret is; he knew where to buy, and he knew where to sell. Not the business for me, but there are so many ways to make a buck. And there is no best business.
        My ex father in law (recently passed) had a 7 figure business that his kids still run today. Repairing high pressure steam leaks for paper mills (even though he could have applied it to many other types of mills,factories etc... He chose that niche).

        His clients call him when they have a leak occur (which is frequently),and because of his specialized (basic) knowledge of steam leaks (There isnt much to know about them), he designs a simple clamp for their leak, has it made at a local metal fabrication place (costing him a few hundred dollars) ,and then charges them 20 grand for a custom designed clamp to fix their emergency, and another grand for labor.

        His business only has about six clients but gets calls a few times per week due to the enormity of their operations and all the potential leaks that can spring from week to week.

        It started out with cold calling face to face, but now its all these same six clients always calling for leak repairs.

        There are alot of ways to make money... I dont want to do leak repair for whatever reason, or roofing, or Carpet Cleaning... but there are alot of successful business models that people choose out there for whatever reason, some of which are way easier to break into than offline marketing...There are many niches where the need is much greater,and sense of desperation...
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        • Profile picture of the author sandalwood
          I thought I'd put my 2¢ in given the posts were so good. I especially liked the thought that says there are a lot of ways to make money. I want to add: if you are willing to do them.

          Here's one I haven't seen on this forum. The entrepreneur is in my home town. He didn't actually create it, he copied it from someone doing it.

          A fund raiser that is a huge Mattress and Furniture Liquidation sale with zero cost to the organization. I never would have thought of doing this and I would expect not too many people on this forum would have thought of it either. Don't know that with certainty just thinking out loud.

          He and his crew set up the displays, collect the money and deliver the furniture to the purchaser. They give the organization 50% of gross sales. He did one on the East Coast for a Lacrosse team. They netted 6K. There were only 15 people in their organization. Imagine if they had 150 and actually followed his promotion methods.

          Regardless, there are a lot of ways to make money, if you are willing to do them.
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          • Profile picture of the author mojo1
            Originally Posted by sandalwood View Post

            I thought I'd put my 2¢ in given the posts were so good. I especially liked the thought that says there are a lot of ways to make money. I want to add: if you are willing to do them.

            Here's one I haven't seen on this forum. The entrepreneur is in my home town. He didn't actually create it, he copied it from someone doing it.

            A fund raiser that is a huge Mattress and Furniture Liquidation sale with zero cost to the organization. I never would have thought of doing this and I would expect not too many people on this forum would have thought of it either. Don't know that with certainty just thinking out loud.

            He and his crew set up the displays, collect the money and deliver the furniture to the purchaser. They give the organization 50% of gross sales. He did one on the East Coast for a Lacrosse team. They netted 6K. There were only 15 people in their organization. Imagine if they had 150 and actually followed his promotion methods.

            Regardless, there are a lot of ways to make money, if you are willing to do them.
            Are you in North Georgia by chance?
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            • Profile picture of the author sandalwood
              Originally Posted by mojo1 View Post

              Are you in North Georgia by chance?
              No, I'm in Northern Nevada.
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              • Profile picture of the author mojo1
                Originally Posted by sandalwood View Post

                No, I'm in Northern Nevada.
                A local North ga. high school near me has held a mattress fundraiser for the past several years.

                It must be that time of year again because I noticed their mattress fundraising signs went up around the neighborhood just a few days ago, lol.
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  • Profile picture of the author np2014
    Banned
    I like the plan. How do you go about finding a list of 200,000 buyers? Is this a digital product or a physical product? Do you outsource the product creation or is it something you create yourself? How do you ensure you get paid from the list owner(s) do you need to set up an affiliate program/tracking links?
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  • Profile picture of the author SirThomas
    People actually buy used mattresses from a fundraiser?
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    • Profile picture of the author animal44
      Originally Posted by np2014 View Post

      I like the plan.
      The plan is theoretical based on my experience and intended to offset what I see as a cold calling bias in this forum (and I'll answer Claude's post #2 separately later). The plan's flawed, in that if I did it as a JV, I'd only get 20% of the £50 profit, so the list needs to be 10x bigger, or more profit, or 10 lists of 200,000... :-) What's important is to demonstrate how making a million isn't really that difficult.

      Originally Posted by np2014 View Post

      How do you go about finding a list of 200,000 buyers?
      Anyone who sells anything has a list of buyers. Some work the list, some don't. Both are opportunities.
      Check out the websites of any advertising you receive and sign up for any newsletters. You'll quickly see if those people are working their list well or not.
      Groupon might also be a good source (I've not tried this). You can do a better deal for people on Groupon and still make loadsa cash.
      Search on Google for a product and look to those that are well down the listings. Chances are they're good products, poorly marketed. Plenty of opportunity there...
      Otherwise it's really a matter of getting out there and talking. As part of an initial consultation or even when networking, you simply ask questions:
      "Do you maintain a list of customers".
      "Do you communicate with your existing customers?"
      "How many customers do you have on your list?"
      "What's their average spend?"
      "What are you doing to encourage your past customers back to buy more?"

      I'd start with customer reactivations. Do this well and you build trust, then you can find partners to offer complimentary products to the same list... Each time you find a new product, you have the opportunity to promote previous products to a new list. I posted a Jay Abraham video a while back that explains how one of his students did this and made $1.2 Million in six months from scratch.

      Originally Posted by np2014 View Post

      Is this a digital product or a physical product?
      We only deal with physical products, and occasionally seminars/workshops, though we have sometimes offered a digital bonus. It would still work with digital products.

      Originally Posted by np2014 View Post

      Do you outsource the product creation or is it something you create yourself?
      I would mostly JV (Joint Venture) with a product owner and sometimes I might license a product. Making a physical product requires large investment and consequent risk - best avoided.

      Originally Posted by np2014 View Post

      How do you ensure you get paid from the list owner(s) do you need to set up an affiliate program/tracking links?
      You only work with people of integrity :-) Most people are honest and in my experience they won't cheat you. Especially if there's always a promise of more to come. I always include audit rights in our agreement. And we always run a small test first, so when we roll out a campaign, we'd have a good idea of the expected response.

      Some alternatives:
      You can control the website where people buy, separated from the client site.
      You can offer a bonus which people have to obtain from someone else (and compare numbers).
      You could set up some affiliate software.
      Many ways you can verify, however, the best way is to simply deal with honest people. I've never been ripped off, or at least I haven't discovered if I have been! :-)
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  • Profile picture of the author np2014
    Banned
    Thanks for the answers to my questions.

    I'm starting on this right now. I've located owners of very large "consumer" email lists on Nextmark. Instead of paying $500 to email a list of 5,000 I'm going to see if I can arrange a small test mailing to see how the product (downloadable course) converts and then if it produces good results then I'd ask if they would be interested in emailing their entire list splitting the profits 80/20.
    Many of the buyer lists are in the hundreds of thousands so doing a JV with owners of lists that size should be enough to make very good profits.
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