The Essence of Direct Mail

Your mailing list is more important than anything else in direct marketing. You can write the best direct mail letter in the world, but if it doesn’t go to the right people, you’re going to lose money. The list is absolutely crucial to your success. So in this article, let’s take a look at the best mailing lists you can use, starting with the very best: your existing best customers.

These are the people you can mail to and count on getting a response. Now, if you mail a new offer to your best customers and get a poor response, you definitely don’t want to mail that offer to anybody else without making some significant changes — because it won’t work. The people who have done business with you for the longest period of time and have spent the most money with you will tell you quickly whether a new service or product is what they want. These things determine how seriously people consider what you’re selling.

Your best customers always want new and interesting things from you. They trust you and feel strongly about your company — but if something doesn’t work with them, then it’s not going to work with anybody else. Even if it does work with them, you have to note the degree to which it worked, because there’s going to be a decline in response as you move to on to other lists. The response must be strong enough to bother continuing.

The next best list consists of occasional customers and past customers who haven’t done much business with you recently. At the very least, they’ve bought from you once. These occasional people are still a prime list to mail to, though nowhere near as good as your best customers.

The next best list would be referrals from happy customers. These people will probably pay attention to your direct mail when they receive it. They’ve shown some interest in the past, but have never become customers. They may have contacted you and asked for information about your services or your products, even if they never bought anything. While nowhere near as good as the previous lists, these are often people you can make a nice profit with.

Beyond that, the next best list to use would be a response list — people who have bought a product or service similar to yours, though not from you. A good response list from a reputable mailing house can make you a lot of money. In some ways, that response list could be as good as or better than the occasional or past customer, or the people who just inquired with you — although, for the most part, anyone who has contacted you will usually give you a better response.

At the very bottom would be a compiled list — a list of people who not only haven’t spent money with you, but for whom you have no information concerning how much they’ve spent with others. They’ve obviously done some business with other companies, but otherwise there’s little information on them. Realtors, insurance salesman, senior citizens in a given area, homeowners — these are all compiled lists. There are thousands of them. Now, don’t misunderstand me here, because a good compiled list can work very well for some things.

For example, the owner of a shop that sold surfboards in Pacific Beach, whom a colleague of mine got to know many years ago, simply mailed to people who lived on or near the ocean in San Diego. He got all kinds of business from mailing to Ocean Beach, Pacific Beach, and La Jolla. He didn’t design surfboards, but had a friend who did, so he sold both commercial boards and these very special boards from a real artist. He made a ton of money just by mailing to that compiled list.

Recently, my colleague also spoke with a gentleman who was selling a newsletter on making money with blue-chip stocks. He tried the same approach as the surfboard dealer, but began with a list of people who lived in rich areas like Palm Beach, Beverly Hills, Rancho Santa Fe in La Jolla, and some very exclusive areas in Boston and New York City. He broke even with this approach. Now, if you break even with a newsletter, you’ve done pretty well — because when it’s time for them to re-subscribe, that’s when you start making money. So he was willing to lose money on the front end in an attempt to acquire customers, since he makes all his money on renewals. That’s a hard thing to do, but it works with wealthy customers.

Here’s another example where this approach worked: my colleague worked with a man who wrote a book and later turned it into a cassette tape program up in Seattle, Washington, based on how to make money by becoming a real estate agent. His topics included how agents can make the most money, and things you’re not told in school. He was able to get the names of new real estate agents who had passed their tests in the states of Washington, Oregon, and California. Every month there were tens of thousands of names coming in from those three states, with California leading the way.

He originally sold the program for $99.95, before raising the price a little later on. This gentleman became a multi-millionaire — just by selling information to new real estate agents, showing them a few selling tips and then helping them invest their income in real estate for themselves. That worked very well.

The bottom line is that compiled lists are the bottom of the barrel for most of us in direct response marketing. While they usually don’t work well, for certain types of services and products, they can work very well indeed.

What I’ve discussed here is the blueprint for how to run an entire business model with direct mail. It all starts with your preferred list of best customers. Whenever you create a new promotion, the first thing to do is let all your very best customers know about it. These are people who have done business with you recently and have spent a certain threshold amount with you; say, at least $100.

If they get excited about it and you get a good response, make that offer available to your next best list: people who have spent less with you, or who might have not bought anything within the last year. You have a relationship with them, but don’t consider them preferred customers. If those people respond well, you can move on to your next best list and make an offer available to the marketplace in general, people you have no relationships with. If it works there, you can use it for new customer acquisition.

The key is to always test this way. It would be a mistake to take a brand new offer straight to people you have no relationship with, though you may have to try that if you don’t already have a customer list. You have to start somewhere. You may want to start by joint venturing with someone. Find someone who has a list and can endorse your offer for a split of the proceeds. You can also do this if you’re already established and want to tap a list you have no relationship with. It’s much better than just renting a list in your marketplace with which you have no connection to at all. A third-party endorsement can sometimes make all the difference in the world.

Before I wrap this up, let me re-emphasize that most small business people are NOT doing enough to resell to their current customers. Start doing so now, and you can easily double your profits very quickly. It’s a simple, reasonable step. That’s what my mentor taught me when I started working with him to add direct mail to my business in 1988, and the $2,500 a weekend I paid him — which would be worth about $10,000 dollars now — was worth every penny. Following his advice, my company generated millions of dollars in five years, just from offering new products and services to existing customers, items that were related to what they’d bought before. It was so simple! He wrote the sales copy, we had it typed and sent out, and we raked in the money.

Spend more time with your existing customers. That is the most powerful thing you can do with direct mail. Your house mailing list is everything. You’ve got to keep testing and trying different things with them, and direct mail is the ultimate way to do that. None of your direct mail strategies are worth anything if you’re mailing your offers to the wrong lists — no matter how perfect everything may be.

Direct Marketing: The Business of the 21st Century

Direct marketing is truly the preferred business of the 21st century. Why? We are quickly discovering that we cannot rely on the standard of working for someone else, so it only makes sense that we would look to other resources to change our life. I am going to share with you more about direct marketing, how it works, and why people are turning to it for their livelihood.

What is it?

So, what is direct marketing? This type of marketing is no doubt different from what you are used to. The reality is that direct sales are what make a difference in the lives of others, from the perspective that you can sell to folks directly. People love being served and they like knowing that if there is a challenge with something they have purchased, that they can come to you directly for help.

Direct marketing is simply marketing something directly to an individual, and in some cases it can be a business. It doesn’t matter what the product is as long as it’s something that is needed by whomever you are marketing to. Over the years, this has been referred to as network marketing and even MLM, or multi-level marketing, which receives criticism from many people due to how it works, and how folks get paid.

The reality is that there isn’t anything wrong with direct marketing, and the truth is that if you are marketing a real, viable product that people need, then you have a business. Those who are encouraging you to recruit others without a product or service of value, are involved in pyramid schemes and should be avoided.

How it Works

Now that you know more about what direct marketing is, how does it really work? This type of marketing is actually rather simple, in that it includes a personal decision to sign up, get training for the product and service you are providing, make sales and also recruit other people to do the same. The more sales you make and the more people you recruit, the more you will get paid.

Direct marketing means that you yourself are marketing to the public. This can be done by traditional methods such as advertisement via radio, newspaper, or television. In these current times these advertising strategies are known as offline methods. Now that we are in the 21st century, marketing is changing, meaning that most of it is now online. This not only makes it easier to market to those you already know and have as customers, but you are also going to be able to market to those you don’t know more effectively by using the internet.

Imagine that now you have all of the opportunity in the world before you, and you don’t do anything with it. Shame on you, because this is why most folks who get involved in direct marketing DON’T make any money. Because you can now use the internet to make yourself known, you will be able to market to billions of people versus only a handful.

What’s Next?

Now that you know how you can make direct marketing work for you, are you ready to get involved? You can make good money in direct marketing, and it’s very satisfying.

Now that you know what direct marketing is and how to make it work effectively, you can get involved. It gives you the opportunity to earn money which is proportional to your efforts and build a rewarding and profitable business.

Sample Social Media Marketing Plan

Need a sample social media marketing plan? This is a quick and dirty sample plan without any BS. This plan will assume that you already have accounts with Twitter, Facebook, MySpace, and YouTube. This sample social media marketing plan also assumes that you have already made your accounts personalized and interesting so we can focus right in on the activities you need to execute.

1. Twitter Make it a daily habit to follow 90 to 110 new people every single day. You can do this manually or use a program like Twitter Friend Adder to accomplish this. Make sure you filter out other marketers and only follow real people who have an interest in the niche that you are marketing. How do you quickly and easily find these people? Use the search bar at the Twitter home page, type in your topic, and then type “-http” and “-www” to only find Tweets that are not promoting an external link. These people are laser targeted.

Start using a service to automate your Tweets like SocialOomph. Twitter no longer allows duplicate Tweets but you can use the recurring Tweet feature to schedule recurring Tweets with spin-able text so that each recurring Tweet is different. You will need to go in daily or every other day to make a slight change to each Tweet in the spinning text but you can make a change as subtle as including that days date. You just have to do something minor to make each Tweet unique so it won’t be rejected by Twitter. You would probably want to put in about 24 different Tweets that include your marketing message and set up the recurring Tweet for once every hour. Make sure you always answer the question, “What are you doing?” For example, if you are selling an e-book about how to be a better bass fishermen, don’t send out a Tweet like, “attention all bass fishermen, go to this link to improve your fishing results”. Instead, send a Tweet like, “I’m reading this book to learn new bass fishing tricks to embarrass my buddy when we go fishing next week.”

2. Facebook. You should basically be doing the same thing with Facebook except that you probably wouldn’t want to add more than about 20 new friends per day to avoid getting your account deleted. Use the search function to find people who list your topic as and interest and who are part of a Facebook group centered around the topic. Broadcast your marketing message through status updates, similar to how you would using Twitter. Search for some applications within Facebook to link your Twitter account to your Facebook account so that all those automated marketing Tweets come through as status updates on Facebook. Stay away from using direct messages to Facebook friends for marketing. Make your direct messages as personal and “non-salesy” as you possible can to establish a relationship and let the status updates do the selling.

3. YouTube. Use a friend adder program like Tube Blaster Pro to automatically add 25 to 40 friends a day who have videos up about your topic. Whatever you do, do not try to sell to these friends through direct messages, video comments, or channel comments. Use the friend adding program to gather friends and make content-rich videos and then share these videos with your YouTube friends. Make sure these videos offer rich content and that they are 90% content and only 10% sales pitch. You can also link your Facebook and Twitter accounts to your YouTube account so these videos you make will be shared with your Facebook friends and Twitter followers as well. Create and share at least 1 video per week this way but no more than

4. MySpace. Use your MySpace page to combine all of these tactics. Write a long bio about yourself, your marketing niche, and what you’re all about. Make it interesting. Embed as many of your YouTube videos as you feel like on your MySpace page. Search within MySpace for applications that will link your Twitter account to your MySpace. Use a program called MySpace Friend Blaster Pro to add 90 to 110 new friends a day.