When you select a product, your choice
should be based upon your
knowledge of how and to whom you're
going to sell it. You may
have the greatest bargain in the
world, but it will be of no value
to you if you don't know who's going
to buy it, or how you are
going to get the word out about it.
The first rule to achievement of a
fortune is to produce or buy
your product for pennies and sell for
pounds. So after
preliminary market research to
determine who'll buy your product,
the next question to answer is: How much will the majority of
this market be willing to pay for your
product?
For the sake of our discussion, let's
say you have written a "How
To" manual on how to make
£100,000 a year compiling and selling
mailing lists. You check with a number of printers and get a
product cost of £1.50 per book in lots
of 1,000. You figure that
with sharp advertising, you can
"sell a million" of these books at
£10 a copy, but that advertising will
cost you £1.50 per book.
Thus far, the basic cost of your book
is £3 per copy.
Even though you will probably be the
one selling most of your
books, you must realise that it will
take you an awfully long time
to move out a million copies of this
book. It will keep you busy
25 hours a day, 8 days a week to do it
all by yourself. So the
thing to do is recruit as many other
people as you can to help do
the selling. This means setting up a dealer distributor
network.
To do this, you must make it
worthwhile for other people to sell
your product. You offer a percentage of the sales price on
each
book they sell for you. Generally, this is about 50% for each
single copy sold; 60% when purchased
in quantity lots of 25 to 99
copies; and 75% when purchased in lots
of 100 copies or more. The
important thing is to shave your
profits to a minimum when you
have other people doing the work for
you.
Let's use, then, our example of a £10
book that costs you £1.50 to
produce in lots of 1000. For people who buy from you in lots of
100 copies, you could cut your profit
to £1 per book, sell it to
them for £2.50 per book, and let them
do all the advertising, as
well as the selling. Don't offer more than 50% on single copy
dropship sales, because you'll have to
furnish this type of dealer
with selling materials, and continue
to do most of the advertising
yourself.
Setting up your distributor programme
will require advertising and
a sales kit for the sellers. Thus, you should make up a series of
"Dealers Wanted" ads and
place them in as many different
publications as you can.
The national "opportunity"
magazines are the best place to place
your advertising for dealers. Remember, the ad should be a call
for dealers, distributors and
independent extra income seekers.
Do not try to sell your product in
this ad. Use it only to enlist
or recruit people to sell for
you. Remember too, the more you run
your dealers wanted ad, and the more
different publications you
run it in, the more people you'll get
to sell your product for
you.
The easiest way to go is with "Dealers Wanted"
advertisements in as many worldwide
publications as possible.
You'll lose your shirt attempting to
recruit people via direct
mail, and you'll never make any
headway with just a "Dealers
Wanted insert" for each book you
sell. If you want sales people,
you must advertise for them.
To actually get these interested
opportunity seekers to sell your
product for you, you'll need a dynamic
sales letter and seller's
kit to send out in response to the
replies to your advertising.
This kind of sales letter is usually
four pages in length, printed
on A4 paper, and then folded in
half. But if it takes 10 or more
pages to sell the prospect on the idea
of selling for you, use the
amount of space and paper that's
necessary.
In addition to your sales letter, you
should have at least three
camera ready ads the opportunity
seeker can use to advertise your
product. These should include a classified ad, a one
inch display
ad, and a larger ad with blank spaces
for him to insert his own
name and address. You should also include at least one full
page
camera ready circular he can use as an
"original" in ordering
printing of his own direct mail
circulars.
If you've written your sales letter
properly, that's all there is
to it.
Some people charge an "up-front" dealers' registration
fee.
We don't recommend this, for a number of reasons - mainly
because it immediately eliminates a
great many people who might
want to at least try to sell the
product for you, but are not
willing to "pay" to sell for
you.
Some sellers charge £1 to £5 for
details and complete dealership
set-up to offset the cost of the
initial seller's kit and postage.
This is what we recommend at the
start. If you offer your program
for nothing, you'll get as many
responses from curiosity seekers
and opportunity collectors as from
bona fida prospects.
If you charge for the dealership set
up, you should include a
sample of your product. For the more elaborate sales kits and
expensive products, most people ask
for a deposit, which is
refunded after a certain number of
sales are made by the dealer.
Any charges more than £5 should not be
mentioned in your "Dealers
Wanted" advertisements, but held
over and fully explained in your
sales letter.
This is how you set up a
dealer/distributor network: Get other
people to sell your product for
you! You can, and should be
prepared from the start, before you
place your first dealers
wanted ad, and proceed only as you can
afford the advertising
costs from the profits of sales of
your product.
It's simple, and it's easy, and it can
make you rich! You had to
have real interest to have ordered
this report. We hope that it
has motivated you with the
entrepreneurial spirit, and that you
act on it!
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