Most
entrepreneurs have, at some point, considered mail order and,
indeed,
it can be very lucrative.
But
there is a way of making it even more lucrative by restricting
your
operations to one of the most lucrative parts ever.
Mailing
out mail shots can be big business.
A
big business that can be yours if you decide to sell through the
post
in this fascinating way!
A
mailing business couldn't be simpler.
All
you do is select a suitable product - you can start with just
one.
Then
produce an effective, high impact mailing to sell it.
Post
off the mailings and just wait for the orders to flood it!
All
the best of mail order without the frustration and difficulty
of
preparing press ads that general mail order dealers have.
The
sheer success of mailing is based on a simple unwritten law.
Basically,
you can find a minimum response rate for your product -
in
other words, a guarantee that so many mailings will produce so
many
orders.
This
way you can be virtually sure that if you mail so many
circulars,
you will make a set and firm amount of sheer profit!
Mail
order at it's best!
The
attraction of this branch of mail order is that you can often
set
your own income.
Make
so many mailings - get so much back!
Mail
order traders usually rate their response on a per thousand
basis
for comparison. Some good products sold by mailing have been
known
to sell 200 out of 1,000 - i.e. out of 1,000 circulars sent,
200
orders resulted.
A
huge profit!
By
comparison, a poor mailing might only make 10 sales per 1,000 -
probably
a loss.
So,
you are probably safe to best on 50 orders per 1,000 mailings.
It
may well be higher, but work on a mere 5% return, and you're
sure
to profit.
Knowing
what sort of response to expect can enable you to plan for
profit.
The
amount you sell must cover all your costs - and profit - so
set
price levels accordingly.
Usually
higher priced products are best.
Just
imagine you have prepared a 1,000 mailing at an inclusive
cost
of about 3250.
From
that you obtained 50 orders for a product at $30.
That's
a take of $1,500 - ample to cover your costs and with
plenty
of profit left over!
Next,
assume you could repeat your example over hundreds of
thousands
of mailings.
The
sheer profit potential, almost guaranteed, is easy to assess.
For
success with mailings, it is vital to choose the right
product.
It
is usual in the trade to "test" several before homing in on the
most
successful.
Products
should be those that are frequently sold by mail order.
Don't
try to be too different.
They
should be attractive, and exciting, and just "begging" to be
bought.
You
should also be able to obtain stocks, handle them - and pack
and
post easily.
The
most important criteria in product selection is the eventual
selling
price.
This
should usually be high, though this does not mean sales will
be
low.
If
you are only making 3%, 4% or 5% sales, it should probably sell
at
no less than $20 per item. Larger
amount, perhaps up to $100,
would
be ideal.
Also
make sure your product offers a good profit margin.
Anything
less than 60% would be unsuitable - up to 99% is not
unknown!
If
you can't meet these standards with a single item, try "lumping
together"
several in one mailing.
Do
remember there is no "right" or "wrong" things to sell.
There
are thousands of possibilities - and people do buy by mail
order
running into hundreds of pounds each order.
Just
do be sure to inexpensively test products until you find one
that
really works.
Your
mail shot is, of course, vital, and you may want to
experiment
with different approaches.
A
mailing expert or writer could be used for this, but you can
prepare
it yourself.
All
the best mail shots centre around a brochure.
This
should be on coloured paper, and, ideally, illustrated and
worded
attractively.
Support
this with a sales letter (always on white paper).
This
should introduce and explain your product as well as
convincing
the reader to buy it.
Use
high impact wording to make them want - and make them order -
immediately.
Each
mailing should include a return order form to make buying
really
easy and a return envelope which is prepaid through the
Post
Office Business Reply Service.
The
cost is usually repaid several times over. It is best to put
the
printing of your mailing in the hands of a high quality
printer.
Obtain
several quotes first.
Poor
quality literature is definitely a false economy.
Some
printers will print all your requirements and also pack and
seal
it into envelopes to save you a lot of time and trouble.
For
best results use good envelopes.
These
should be printed with an eye catching slogan to really grab
attention.
Your
next job is to post your mail shots - and this can be quite a
technical
operation.
For
a start, you can't just mail anywhere.
You
must mail to recognised mail order buyers.
The
names and addresses of such people can be bought from list
brokers.
There
are many firms, but try several to find those with the best
lists.
Purchased
buyers names can usually only be used once for one
payment,
but most brokers will supply their names printed onto
address
labels.
This
makes your job really easy.
Before
mailing circulars contact your local post office.
Sometimes
there are special introductory postage discounts and
bulk
mailing of several thousand envelopes qualifies for some free
postage.
It's
probably best to release your mailings in batches to produce
a
steady flow of orders.
Experiment
with the actual day of posting, which hence effects the
day
of receipt.
Mailings
received on a Monday are often less successful - but
those
received on other days can either do well or extremely well.
Test
and see!
People
who do best in mailing give little regard to order
handling.
Yes
- it should be prompt and careful, but you should give most
time
to preparing and mailing circulars.
If
you can, take payments on trust and post orders by return -
within
7/14 days at least.
Always
enclose details of additional products when fulfilling
orders.
Past
customers are highly likely to buy again.
Also
keep addresses of past customers - mail new offers to them as
they
are launched.
Again,
they are likely buyers.
Nothing
is better for business than a delighted customer, but if
you
do receive complaints, it's best to make a full refund.
That
customer may well remain loyal!
The
whole future success of circular mailing sits behind giving
good
service and getting repeat orders.
If
you can attain this you won't need to spend much on advertising
in
future.
Studying
your market and results obtained as crucial to the
success
of mailing.
Basically,
the idea is to maximise successes for a huge overall
gain.
If
you send enough mailings, you are sure to be able to tell which
are
most successful.
The
business is really a continual testing process.
Try
with different approaches and different methods. Try
different
products - different prices - different wording.
All
these things can combine to make either a disappointing result
-
or an outstanding success.
This
is just the same procedure used by the "millionaire" type
mail
order venture. Some mailings you make
are bound to be less
than
satisfactory, but the trick is to monitor and record results
carefully
so that you can spot such mailings.
Then
- cut your losses.
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