Friday, September 15, 2006

Salesmanship, Repetition and Direct Mail

Aug 2, 2006 8:58 AM , By Ernest Nicastro

In a classic business-to-business print ad from the late 1950s for McGraw-Hill Magazines, an imposing-looking executive sits in his chair. He has both feet planted firmly on the ground, a scowl on his face. His hands are folded together in front of him and his elbows rest on the chair; he leans ever so slightly forward. To his right run these eight lines of copy:

“I don’t know who you are.

I don’t know your company.

I don’t know your company’s product.

I don’t know what your company stands for.

I don’t know your company’s customers.

I don’t know your company’s record.

I don’t know your company’s reputation.

Now—what was it you wanted to sell me?”

Across the bottom, a single line of copy drives home the selling proposition:

Moral: Sales start before your salesman calls—with business publication advertising.”

This ad amplifies and expands on what many, including David Ogilvy, consider to be the single best definition of advertising ever given. “Advertising,” said copywriter John E. Kennedy nearly 80 years ago, “is salesmanship in print.” And any salesperson worth his or her commission check will tell you that landing worthwhile new business takes a repeated and concerted effort—and lots of contact with the decision-maker. This is all the more true with salesmanship in print (or across the airwaves, phone lines and other forms of modern communication).

Repetition is, of course, fundamental to the success of any advertising program.

Important note: Do not assume that your prospects will see, hear or otherwise experience your advertising every time you expose them to it. Ample evidence exists that in the din and clutter of today’s over-communicated world your prospects will miss or ignore your marketing message two out of every three times you communicate it.

That’s why, in print advertising, if you have the budget to run either six full-page ads or 12 half-page ads it’s almost always better to go for the 12 exposures. Another approach is to run a full-page ad in the publication’s biggest, most popular issue(s) and smaller ads in other months.

Two cost-effective ways to use direct mail to communicate your marketing message to customers and prospects:

  1. Repeatedly mail the same letter or direct mail package to the same people. If your sales letter or direct mail package is generating an acceptable number of orders or leads, don’t hesitate to mail it again and again to the same list. The basic premise for recommending this strategy can best be summed up in five words: “People quickly forget” and “Things change.”

Consider this: The average person is exposed to well over 500 sales, marketing and advertising messages every day. Most of these messages do not even so much as register a blip on the mental radar screen. Of the handful that do register, most are forgotten within two weeks.

Another reason this strategy works is change. Your prospects’ lives are constantly evolving. For example, you’re an insurance agent mailing to a list of new homeowners. Three months ago Mr. and Mrs. Jankowski had all the life insurance they needed. So they tossed your envelope without even opening it. But three weeks ago Mrs. Jankowski found out she’s pregnant—with twins. Based on this life-changing event, it’s a good bet they’ll be a bit more receptive to your next mailing.

Many highly successful direct marketing organizations such as Dow Jones & Co. and Geico routinely practice this strategy of repeatedly mailing the same message to the same people. Speaking from my own experience, I know that every year I get several identical mailings from The Wall Street Journal, and likewise Geico.

One prominent example of a company whose regular mailings of the same “package” helped make it a huge success is AOL. How frequently should you do your mailings? Quarterly is probably a good idea for starters. But, as with everything else, test to determine the optimum frequency.

  1. Send a series of mailings to the same people. To quote consultant Richard Brock, “Sales is a process of communication, not an event.” That’s why, especially if your sales process involves a long lead time, it’s a smart move to plan and budget for a series of mailings to the decision-maker and key decision-influencers.

Particularly in business-to-business direct marketing and big-ticket consumer purchases a follow-up mailing to prospects gained through your lead-generation efforts will help you convert substantially more sales.

Before starting a program like this, give careful thought to what you want to say and how you want your campaign to unfold. For example:

    • In your first letter highlight the three biggest benefits of your product or service.
    • In letter two, take just one of these benefits and amplify and expand on it; focus most of your copy on this one benefit
    • In letter three take another key benefit and do the same. And so on.

Let’s say, for instance, you market software that sells for $20,000 but the payback time for your product is typically six months. One of your follow-up letters would focus exclusively on this benefit. You’d give your prospect lots of details and explain how your product is able to generate such a fast payback.

Plus you’d include several very credible testimonials. And the offer in your letter would be an eight-page case study detailing exactly how a current user achieved payback in half the normal time and is now enjoying a highly profitable return on investment.

And don’t stop with just four letters. Depending on your sales cycle you may want to send six letters, four postcards, three cover letters attached to product reviews or magazine articles and eight e-mails (assuming your prospect has given you express permission to send e-mail). In every mailing, always give a reason and a method for responding. Always ask for some kind of action.

When it comes to large-ticket, long-lead-time sales, it really is a process of communication. And the program just outlined is an ideal way to carry out the communication process while gaining top-of-mind awareness and building relationships that lead to increased sales.

Another effective approach is to:


Mail a series of postcards. For example, copywriter Rein Nomm of Rein Nomm & Associates created a series of five postcards for an environmental engineering firm.

Here’s a brief synopsis of how the program unfolded:

Card One—A full-color photograph shows a thickly gloved hand moving a forlorn looking chess piece (queen, I believe). The headline reads “Wasted Move?” And the subhead states, “With waste, a wrong move can be costly.” The body copy goes on to tout, among other things, the benefits of the environmental firm’s Corrective Action Group and its waste assessment and remediation services.

Card Two—This time the postcard shows heated action from a Little League baseball game. It’s a close call at home plate and the ump is giving the “You’re out!” sign. The headline reads, “Are The Calls Going Against You?” with the body copy singing the benefits of working with the firm’s Industrial Compliance Group.

The postcards continue in this vein until we get to card five, last in the series. This time the photograph is of a man-eating great white shark. Its giant head is breaching the water and its menacing jaws are open wide, revealing an even more menacing set of teeth. The headline? “FISH OR CUT BAIT!”

The cards were mailed to prospects and former clients at the rate of one every 10 days over a period of two months. And the campaign’s compacted and concentrated series of informative contacts generated substantial top-of-mind awareness and, most importantly, several new projects.

The bottom line, as any successful salesperson or marketer knows, is this: You’ve got to stay in front of your prospects through repeated contact—whether that’s in the mail, by phone, via permission-based e-mail, in person or, as is most likely, a combination of activities.

(Not just any contact, mind you, but meaningful, informative, educational, persuasive contact that address the issues and concerns of the crotchety executive in our ad.) Direct mail is one of the most effective and profitable tools any business has at its disposal to achieve this repeated contact.


Tuesday, September 12, 2006

Back to the Well

Going back to an old customer can be awkward. Get over it. Former clients offer your best chances of all for making a sale. Here are a few tips to rejuvenate that old business relationship — the right way.

1. Never let relationships lapse
Even if they haven't bought anything in a year, maintain occasional contact through letters and personal calls. When their economic situation turns for the better, you'll appear as the one who stood by them.

2. Keep databases current
Your customer relationship management software is only as good as the salespeople using it. Make sure contact information and account status is always up-to-date, so it'll actually be helpful when you need it the most.

3. It's all in the timing
If you're able to lure a customer back immediately from your competitor, great. If not, figure out when to strike again — perhaps when the next contract is coming up for renewal, even if that's a year or two down the line.

4. In with the new
In the time that's passed, odds are your company has introduced new products and services to its repertoire. But does your old client know that? Figure out what the customer's needs are now, and shape the pitch accordingly.

5. Be careful with price breaks
If you offer discounts only to those who've left, you're setting a tricky precedent. Consider offering additional, personalized services to clients instead, to lure them back into the fold without sacrificing your own profits.

Sales and Marketing Management

Wednesday, September 06, 2006

How to Improve/Create Response from your Direct Mail Advertisement

There are four simple steps in creating response from your direct mail advertisement. If you follow these steps you will increase your profits.

50% of your response comes from who you mail to. An outrageous example would be a hardwood floor installer mailing his direct mail piece to apartment dwellers. I see restaurants, home improvement, and service companies complain or stop their marketing because they are mailing to residences that do not have the income or more importantly the disposable income to buy their products and or services. If you are not mailing to the right people they will not buy from you.

20% of your response comes from your offer. Another outrageous example is a pizza restaurant offering a free pizza vs. another pizzeria offering a dollar off a supreme pizza; or a painter offering free pressure washing with a purchase of an outside paint job vs. another painter who is offering a hundred dollar discount. Consumers want something FREE or something of VALUE for less. Every company is in the business to generate and keep customers. If they can do this profits will follow. Think about your industry and what you can offer to get that new customer. If you have to give something away for free or at a considerable discount do it. The client will buy from you and if you deliver a good product or service they will continue to buy from you and tell their friends to buy from you.

20% of your response comes from words and pictures. So many times I see a company with good products and or services that have good offers but horrible pictures and text. When mailing to consumers you do not have the ability to speak to them or to overcome their objections. You must use words and text to communicate what you are selling and why the consumer should buy from you instead of your competition. Give the consumer a reason to buy and they will if your pricing is competitive. Give them benefits and use pictures to show them your product. If you are selling a service that will help protect their family show pictures of families. If you are selling food that looks and tastes good show them your food. If you can clearly tell them why to buy they will.

10% of your response comes from the overall look of the advertisement. Once you have taken the time and followed the steps above make the overall advertisement look good. Choose colors that pop, make the text easy to read and not all bunched together. Remember, you only have a few seconds to grab the consumer’s attention or the piece is going right in the trash can.

Lastly and just as important as all the steps above make it easy for the consumer to buy from you, if you have a phone number on your advertisement make sure that you have some one answering the phone with a great attitude who will make the consumer happy that they called. If you do not or can not have someone answering the phones make sure you have an easy way to capture the calls and then return them as soon as possible. Operate with the sun down rule; return all your calls before the sun goes down. If you have a retail establishment make sure your place is clean and appealing. When ever some one walks into the store greet them with a friendly hello and ask them how you can help them. Time and time again I see restaurants that are dirty and have poor service. Their food may be excellent but their client retention is horrible. The same goes for the service industry. Rude or pushy people answering the phones and messages not returned is not a way to attract and keep new clients.

If you have any questions or concerns with your current direct mail piece or if you have never created one and are interested call our office at 770-924-8526 or visit www.MoneyMailerOfAtlanta.com

Wednesday, August 30, 2006

Quick & Easy Marketing Tip:

First and fore most keep in front of your current and former clients! These are the people that are currently buying from you or have purchased from you. They know your product or service works! There may be other products or services that they need from you but do not know you offer.

Second and almost as important; ask your current clients for referrals. Again, your current clients are purchasing from you for a reason. They are happy with your customer service and they know your products and or services work. These people are walking testimonials; ask them if they know of any other people who would benefit from your service/products. Then reward your clients for giving you a lead that turns into a new client. Give them cash, a girt certificate, something that has monetary value that they can go out and use for themselves and then continue doing this every time they give you a lead that turns into a client.

How to do all this? That is the easy part. It can be as easily as a phone call or a direct mail campaign. Visit www.moneymailerofatlanta.com/marketing.htm for more details.

Tuesday, August 22, 2006

A Competitive Edge

Are you looking for a way to increase your competitive advantage? Would strong community presence help your bottom line? Let's consider some interesting statistics from a recent survey.

·92% have a stronger positive image of companies who support a cause they care about

·78% agree that cause marketing should be standard business practice

·66% report having greater rust in those companies aligned with a social issue

·84% report they would likely switch brands, retailer, or service providers to one associated with a good cause when price and quality are equal

These findings strongly support the idea that your business can prosper by doing 'good' in the community you serve.

2004 Cone Corporate Citizenship Study

Monday, August 21, 2006

New Census Data Details Major Changes in Language Landscape

By Bradley Johnson

LOS ANGELES (AdAge.com) -- If you want to communicate with California, you may need to try a language other than English or even Spanish. A full 42% of Californians speak a language other than English at home, with two-thirds of that group (28%) speaking Spanish and the rest speaking some other tongue. Not coincidentally, 27% of Californians are foreign-born, the highest in the nation.

Flip side
On the flip side, West Virginia has the lowest percentage of foreign-born residents (1%) and highest share of English speakers (99%). Some 95% of West Virginia residents are white and non-Hispanic (vs. 43% in California). But West Virginia has the lowest share of college graduates: Just 17% of residents have a degree, vs. 30% in California.

These are among the findings from the first major release of the American Community Survey, a Census Bureau program that each year will provide a demographic portrait of the nation based on a survey of 3 million households. The survey replaces the old "long form" version of the every-10-year census.

New data released
The Census Bureau last week released survey data on demographics, with results on economics, housing and other details to follow in coming months. Among the new data:

Ancestry: 17% of Americans say their roots are German, the largest ancestral group; 12% say their background is Irish; English (10%) ranks third. The fourth-largest group: 7% of the population says its ancestral background is "American."

Immigrants: One in eight residents (12.4%) are immigrants (legal or illegal), up from 11% in 2000. Latin America accounts for more than half (53%) of the immigrant population; 27% came from Asia/Pacific. Nearly one-third (31%) of immigrants are from Mexico; there are an estimated 11 million Mexican-born residents in the U.S., greater than the population of all but seven states.

Age and household
Age and household: Utah has the nation's youngest median age (28.5), highest percentage of households with children (44%) and largest families (average 3.1 people). The oldest state? Maine (median age 41.2). In Florida, 29% of households have residents age 65-plus, the highest in the nation, but the Sunshine State ranks sixth in median age (39.5). Nation's median age: 36.4.

Education: 27% of U.S. adults (age 25+) have a bachelor's degree; 10% have an advanced degree. Massachusetts scores first among states in percentage of residents with a bachelor's (37%) or advanced degree (16%). Among large cities, San Francisco is by far the most educated: 50% of residents are college graduates.

They love New York: 21% of the state's residents are foreign-born, second highest after California. But native New Yorkers stay home (or come home); 82% of New York's U.S.-born residents were born in the state, the highest percentage in the nation.

Friday, August 18, 2006

New Residents Can Make Up for Local Customer Turnover

Targeting new residents is the most effective way to replace the 20 percent to 40 percent annual customer turnover rate that typical small retail operations face.

According to research cited in a new study by Moving Targets (via DMNews), movers go through five stages of transition during a move: Separation, as people say goodbye to their old connections; Transformation, the physical aspect of the move; Early Integration, encompassing the first six months in the new community; Later Integration, the subsequent period of adjustment; and Maintenance, the indefinite period once the resident is finally settled in.

It is during the Transformation, Early Integration and Later Integration stages that new residents represent the immense opportunity for local retailers. According to the U.S. Postal Service, this period represents a time of "hyperspending" as movers buy everything from new drapes to Chinese carryout. On average, new residents spend $7,100 for goods directly attributable to their relocation. During the first 24 months after a move, an estimated 80 percent of new residents will try new products and services from local businesses.

The Moving Targets study reports the following facts about new movers: 62 percent eat pizza; 65percent of female new residents are anxious about finding a good hairstylist; 67 percent say it's difficult to find an honest auto repair shop; 80 percent redeem gift certificates offered by local merchants; and 98 percent appreciate gifts or offers from local merchants.