Coming to Terms with Fast Cash Advance Rates

Filed under:Money Making — posted on January 10, 2008 @ 8:56 pm

Definitely the most common recrimination by observers of the no fax no credit check cash advance industry is fixated on the annual interest rate normally demanded for a short term payday loan which can compound to a staggering 2-300%.

This annual percentage rate or “APR” is a well accepted indicator to formalize the total amount of interest a borrowing customer will have to pay as brought forward to one full year. The Annual Percentage Rate (”APR”) provides an accepted groundwork to realistically figure out which device shows a higher versus a lower ultimate cost to the borrowing customer, incorporating extra costs that might apply.Clearly the annual percentage rate may be seen as a very powerful gauging technique relating to financing traversing a span of at least twelve months .Unfortunately, in respect to two weeks investments APRs are unquestionably considerably less useful.

Rather, I prefer to compare a payday loan to getting a taxi home from the office meeting. Likely it will cost you 40 dollars to drive home by taxi. Indeed, 40 dollars qualifies for quite a bit of money to fork out for merely getting home still lots of people do it simply because it’s a sensible thing to do and caters to a must. Right, we all know that we could also rent a car for an entire day for 40 dollars including as many miles as we wish.

Alright, let’s just say we do that— to wit, hire this car and drive it for 400 miles during that one day we’ve hired it. Subscribers of APR would assert that we need to annualize this quote to attain to sensible comparisons! So to check this out, we’ll take this taxi price (to wit: $2 per mile times 400 miles) resulting in eighthundred dollars. The annualized counterpart of the car rental option vis-a-vis the ride by taxi gives $40 contra $800. Now, you and I should realize that car hiring we opted for was not the optimal solution for us, no matter how much more expensive the APR was in this specific case.

And it’s exactly the same with payday advance loans. Remember that short term payday advance loans are limited to two weeks, not annual loan agreements. The high APR is no reliable tool for comparison owing to the fact that this specific breed of loan does not bridge one year. The absolute interest rate charge equates to roughly 15 - 25% for the loan. That fast cash loan advance is an expensive decision nobody should adopt without prior inspection of any and all feasible alternatives.

Doubtlessly they can help people when trying to survive a financial squeeze. But they are not meant as a competitor to mid- or long-term financing instruments. Get more info about the payday advance online here.

The Next Step: A Homebased Marketing Plan

Filed under:Money Making — posted on January 1, 2008 @ 4:40 am

Many people include their marketing plan as a section in their business plan for small business. Really, though, marketing is important enough that it deserves a plan of its own, separate from the technical details of the business. Here’s what your homebased marketing plan should include.

Your Marketing Strategy.

It might sound silly, but it’s good to get the online core of your small business marketing plan written down, just so people can see what the rest of your plan is aiming at. Keeping your strategy in mind can also be good when you receive offers to place ads online, offline, and everywhere - you can ask yourself whether it really fits in with your overall strategy.

Your Competitors.

You should have a list of everyone in your area who could be considered to be a competitor, followed by how you plan to differentiate yourself from them.

Advertising.

Your homebased marketing plan should contain a comprehensive list of all the advertising you plan to undertake. This includes a website, advertising in newspapers, leaflets, and so on. For each method of advertising you should list an estimated cost, and the number of customers you expect the advertising to bring in. This allows you to work out your ‘cost of acquisition’, which is how much you need to spend on advertising to bring in a customer. The market works out so that this will be more for higher-end customers, and less for lower-end ones.

Pricing.

Your marketing plan should also list all of the pricing policies you plan to have, as well as any special offers that you think will be good. That doesn’t mean that you can’t make up new offers later, but it’s still good to have some on the plan for the long-term.

An Example.

The Catering & Cake Co.: Marketing Plan.

Strategy: Our marketing strategy will be to advertise sufficiently that we will be the first company coming to mind when catering is needed in the Anytown/Othertown area. Marketing will be especially targeted towards people arranging weddings and people planning corporate events, so we will always be looking out for new ways to reach these customers. We will not repeat any marketing effort where the COA proves to be more than 20% of the profit those customers provide.

Competitors: In the Anytown area, the established catering companies are Cathy’s Catering and Funfoods. Cathy’s Catering mainly cater for low-end corporate events, while Funfoods specialise in food for children’s parties. Our position in the middle-market means that we would be unlikely to provide children’s birthday cakes, and could provide a higher-quality alternative to Cathy’s Catering for corporate customers.

The company that we believe would be our main competitor is Luxury Food and Cakes, based in the Othertown area. They serve the same kinds of food we plan to, and to similar events. However, we differentiate ourselves from them by offering our food at far lower prices. While they use more expensive ingredients, our taste tests have shown that most consumers are unable to tell in blind taste tests which food cost more. Offering mostly indistinguishable quality at a lower price gives us a powerful way to move in on Luxury’s customers.

Advertising (in order of decreasing cost-effectiveness):

Leafleting. $0.01 printing per leaflet, 10,000 leaflets, plus delivery at $100 = $200. Projected 50 customers. COA $4.

Local newspaper. $500 per half page, run once monthly. Projected 100 customers, COA $5.

Corporate mailshots. $0.10 printing per mail, 100 mails, plus delivery at $20 = $30. Projected 3 customers, COA $10 (however, customers are high-value).

‘Weddings’ magazine. $200 quarter page, quarterly. Projected 20 customers, COA $10.

Pricing:

Basic catering: cost + 50%.

Deluxe catering: cost + 70%.

Cake: cost + 100%.

Large cake: cost + 80%.

Personalised cake (large only): cost + 120%.

Special Offers: Business is slower in winter than in summer, so there are special winter deals. For example, we plan to offer ‘every third person free’ on basic catering to give extra value for corporate functions in the winter months (November, December, January, February). There will also be a ‘free champagne’ offer with the deluxe catering in these months.

Reprint Permission: You have permission to publish this article electronically, in print, in your ebook or on your website, as long as the author biography is included, unaltered, and with live hyperlinks intact.

ABOUT THE AUTHOR:

Thomas Choo is the self-styled Internet Entrepreneur specializing in Internet Home Based Business Opportunity. He owns several popular websites in various niche markets. His flagship web site http://www.officialhomebusiness.biz also features quick steps to building niche web sites, as well as a special article series on work from home businesses.

For more information about starting home-based businesses, home business ideas, and work from home businesses in general, check the other articles at the work from home businesses index page.

Can you imagine yourself owning an empire of high-quality, content-rich niche websites, generating passive income for you automatically? Care to explore an opportunity in Internet based home business? Find out how at our home page of Internet Home Based Busines Opportunity.

How To Communicate Value Proposition and Return on Investment

Filed under:Money Making — posted on December 17, 2007 @ 8:11 am

As part of my continuing series on Value and Pricing, the following article shows you how to position your company’s value contribution to support the highest value-for-value exchange.


Too many business owners, when asked about the value or ROI of their product or service, shrug their shoulders and say, “I can’t really put a value on it.”
If you can’t put a value on it, think how hard it is for your prospects and customers! And if they can’t put a value on it, how likely is it for them to buy it?

We’re going to give you a simple way to identify all the value elements of your product or service and articulate it in such a way that your customers will absolutely know in quantifiable terms what your value is to them. They will see so much ROI they’ll be foolish not to want to buy from you.

The key idea here is that you communicate Return on Investment by looking at your value proposition through your customers’ eyes. In other words, why should they spend their scarce money with you, versus using the funds in some other way?

Your customers want to know how long it will take them to get back their investment or make a profit. Many will want to see a recurring return.

There’s an old marketing saying: “Make your product free”. People will pay more when they think that “it doesn’t cost them anything.” You do this by building so much intrinsic value into your offering that it far exceeds the cost to the customer; do this correctly and in their perception, it’s free.

Creating Value with Your Product or Service:

First, list all the ways that you create value for your customers.

Does your product or service…

–Help client’s increase their revenues? Does your product/service increase their sales? Create more leads? Increase their competitiveness in their market? Shorten the sales cycle? Get more repeat and referral business?

–Allow them to raise prices, or at least hold prices level? Does the value you create allow your customer to charge higher prices for their offering?

–Reduce expenses? Does it reduce initial or ongoing cost? Does it reduce overhead such as utilities and rent or carrying charges? Does it save money on materials, equipment, staff, and outside services? Does it provide a more economical installation or a longer life span? Does it reduce error rate?

–Allow them to replace some existing expense at a lower cost?

–Enable staff headcount reductions? Does it allow your customer to make headcount reductions in staff or support personnel?

–Avoid impending or predicable expenses? Does it help avoid expenses altogether?

–Increase their products’ and services’ perceived value. Does it increase the perceived value of your customer’s offering?

–Increase productivity? Does it increase your customer’s productivity or the productivity of his staff? Does it increase manufacturing production or throughput?

–Give them greater control? Does it offer some way for your customer to track results, lead generation, sales, profitability, productivity, or any other key success factor?

Next, review the list and for each of the ways you create value, figure what each is worth. This could be in terms of absolute amounts of money, some percentage of revenues, or some percentage of expense reduction.

Create proof for each of your value assertions. Proof can be in the form of worksheets, testimonials, case studies, success stories, printed statements, even survey results.

Add up each of the value elements to come up with a total value, combining earnings and savings into one number. Again, the total value can be an absolute money number, such as $645,000, or it can be a percentage of sales.

Lastly, calculate your return on investment by comparing the total value to the cost of your product. You may come up with either an ROI (return on investment) or a “payback period.” Either way, you’ve quantified your product’s value in concrete terms, justified your price, and made it far, far easier for your prospects to make a buying decision.

Success Story

One of our clients sells enterprise software in the $150,000 to $250,000 zone. After 9/11 their sales cycle began to get longer and longer and stretched out as much as eighteen months, with most prospective deals ending in “no decision.” Prospects knew they needed to replace their old software, but they simply couldn’t justify the expense in a no-growth economic climate.

To accelerate the sales process we implemented a return on investment analysis using the exact steps described above.

First we itemized each of the ways the software saved or earned the client money, including replacing old software with a high maintenance cost, reducing the cost of computer leases, reducing materials waste, decreasing the number of customer service staff required, shortening their salesman’s phone time, increasing the accuracy of sales quotes, thereby increasing the prospect’s sales AND increasing overall sales profitability.

By assigning a dollar value to each value element, and offering proof for each one, our client was able to demonstrate a payback period of around 9 months, and a significant positive return on investment thereafter.

The first two prospects who heard this value presentation said the same thing: “We’d be fools not to buy this,” resulting in the two shortest sales cycles, and coincidentally, the two largest individual sales in the company’s history.

Paul Lemberg - EzineArticles Expert Author

Paul Lemberg is the president of Quantum Growth Coaching, the world’s only fully systemized business coaching program guaranteed to help entrepreneurs rapidly create More Profits and More Life for entrepreneurs. Guaranteed.

Learn about our Business Coaching Franchise.

Visit Paul’s Website for help with your Business Development Strategy?

Are you Poor and Ugly ? Look Here !

Filed under:Money Making — posted on December 9, 2007 @ 10:26 am

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Sneaky Little Copywriting Secret Gets People Flocking To Your Ads And Sales Letters In Droves

Filed under:Money Making — posted on November 5, 2007 @ 9:37 am

If you’d like to know an admittedly “sneaky” way to squeeze significantly more sales from your copy, then this article will show you how.

But first, let me give you a “disclaimer.”

Like anything else, there’s a right way and a wrong way to use the tactic you’re about to see.

If you use it the wrong way, you may make more money, but you may also end up turning a lot of people off. Possibly even people who normally would have bought from you.

On the other hand, if you use this secret the right way — the honest and ethical way — then I think you will find your sales going through the roof. You’ll have to test it, of course. But just about everyone I know who uses this (including myself) sees a dramatic bump in response.

Okay, enough build up. Here’s the secret:

What you do is purposely send your sales letters and ads (whether online or offline) with a mistake in the offer, the guarantee or anywhere else that makes sense.

And that then gives you an “excuse” to mail/email people again to bring their attention back to your offer and pique their interest.

Now, again, there is a wrong way and a right way of doing this.

The wrong way is to do it blatantly and obviously. Especially if you are selling to people who are already savvy marketers. They’ll see right through it. It may not hurt your response, but it might if people feel insulted.

On the other hand, if you do this strategically — even if it goes out to people who might normally be aware of a tactic like this — then your sales can multiply. Sometimes two or three fold.

What do I mean by strategically?

Well, for example, if your offer says something like this:

“And if it’s not everything I say, I’ll not only refund your money…but give you $10 just for your trouble!”

You could then send out another announcement to your list and say something about how you made an error. How you promised to refund their money and give them ten dollars just for their trouble. But what you really meant was you will give them $100 just for their trouble.

That way, you bring their attention back to your offer (and you can do this with any aspect of your ad, I just use the offer as one example) and — since you enlarged it and made it even better than what they thought — you instantly capture the interest of people who ignored your ad the first time.

Again, I can’t stress how important it is to do this the right way. If it’s a blatant and obvious “trick” it could backfire (depending on who you’re selling to). But if you do it strategically, with some purpose behind it, it can as much as double your response.

Ben Settle - EzineArticles Expert Author

Ben Settle is an expert copywriter and direct marketer. If you liked this article then check out Ben’s website at http://bensettle.com — and get your hands on over 500 pages of advertising ideas, strategies and tactics just like this one — as well as rare swipe file ads and hot marketing information not easily found anywhere else.

Work At Home Tips

Filed under:Money Making — posted on October 31, 2007 @ 8:55 pm

Working out of the home often means juggling multiple tasks and
wearing many hats. But look out. When there is so much to do
that there is little time left over for sales and marketing
activity, sales can dry up and often do. Here are some ways to
avoid that.

1. Monthly Focus - Each month, grab your calendar and see which
holidays are coming up. Then focus some type of activity around
them. At least minimally, setup a direct mail campaign through
the U.S. Post Office site (usps.com) in these quick steps:

Choose one of their postcards.

With their online tools, edit the back with a quick note, sale
of some type & referral request.

Load an Excel document of addresses, pay and send.

2. Ad Campaign - Plan ahead with advertising representatives by
gathering their media kits and asking about special deals or
rates they may have for you. Then follow up and plan a 12- to
16-month campaign, even if it’s just a small classified that
runs regularly. That way you’ll always be covered whether you’re
too busy to care or not. You can always supplement with
cross-promotional pieces. But at least, set up a foundation to
get you through the year.

For inexpensive ads to run throughout the year, check out
neighborhood newspapers and free or cheap magazines and papers
that are placed inside public libraries, large grocery stores
and country-type restaurants. PennySavers and Thrifty Ads are
other sources.

3. Regular Income Stream - Don’t just have all large projects.
Set up a few (or several, depending upon your budget needs)
smaller, regular income-producing projects to generate weekly /
monthly income. And maintain a steady flow as much as possible.
In other words, if five regular, smaller jobs pay the day-to-day
bills, once one of them quits or runs out of work for you,
replace it as soon as possible so that you maintain your steady
‘five’ as much as possible.

Some people setup affiliate programs in this manner; selling
something for someone else and earning a percentage or profit
for selling. They target so much income from one source of
revenue stream to cover a certain portion of expenses. And if
this runs out of steam, they beef up promotions or switch to
another affiliate program. Learn more about affiliate options
from a place like Commission Junction (cj.com). Or in your
favorite search engine, type in ‘affiliate programs’ and see
which ones are popular.

So when you juggle, remember to mix in SOME type of regular
sales and income generating opportunities. You don’t drop the
ball!

Love What You Do

Filed under:Money Making — posted on October 20, 2007 @ 9:41 pm

“Do what you love and love what you do.”


That is a pretty simple philosophy but one that not many people follow. If they did they would not only be happier but more successful too.


I recently wrote an article that was dedicated to my Dad who passed away after 70 years in his own business.


I wrote that one of the reasons for his longevity and success was his passion for what he was doing. Obviously to continue working well into your 80s you have to love what you are doing!


I am not the only one who thinks that passion for what you do in business is essential.


If you have been watching “The Donald” in his hit TV show “The Apprentice”, he states, in more than one episode, that you have to have a passion for what you are doing.


If you go back through history, you can see that passion has played a part in the achievements of all great people.


Whether they were conquerors like Genghis Khan or Alexander the Great. Great leaders like George Washington or Abraham Lincoln. Great artists like Michelangelo. Or great business tycoons like Carnegie, Ford, Morgan and Trump. They all had a passion for what they did. A devotion that went beyond the job itself.


A passion for what you are doing will help you get through the rough times. It allows you to overcome obstacles and separates the quitters from the succeed ers.


Don’t believe that passion is critical to success?


Then ask yourself this question.


Why do people invest so much time, effort and expense into a hobby?


Because they love what they are doing!


If you love what you are doing; time, effort and expense are not the motivating factors. Achievement and satisfaction are.


If you “do what you love and love what you do” you can’t help but be successful.


Why?


Because if you enjoy what you are doing, it will spark that inner drive that all successful people have. The desire to succeed at all costs and not give up when facing a difficult road ahead.


What I am saying here is very important to someone who wants to own a small home based business.


In a small home based business, you will have many obstacles to overcome, some of which are:



  • Lack of funds.
  • Working long hours.
  • Working alone.
  • Learning the business through trial and error.
  • Getting discouraged when things aren’t going as planned.

It takes time, effort and knowledge to make a small business successful. The passion you have for your business will be the difference between giving up on your dream and achieving your goal of a profitable and satisfying business.


How many times have you heard actors, professional athletes and other successful people say that not only do they do what they love but get paid for it?


Wow! Isn’t that the ultimate achievement?


Get paid to do what you love to do!


This is all possible with your own business.


Let’s face it. If you work for someone else, you may like your job and you may be good at it; but no matter how passionate you are, your boss still reaps the rewards of your passion and dedication.


It is still his or her business, not yours.


So take some advice from someone who, now and for most of my business life, got paid for doing what I loved to do.


Find something you love. A hobby perhaps. Turn it into a home based business. Devote the same time, effort and expense into it.


Become passionate about it. And you will succeed!


I guarantee it!


Then when all is said and done, you too can boast…(like the song says): “I did it My Way”

EzineArticles Expert Author Jim Capobianco

About the Author —- Jim Capobianco, the author of “10 Steps to Your Own Home-Based Business”, has been self-employed for over 25 years, both on and off line. At his web site, Cap-Tech.com and in his newsletter, The Cap-Tech Times, he shares his experience and expertise when it comes to owning your own business. Come pay a visit at: http://www.cap-tech.com

How Using A Drop Capital Increased My Ebook Sales By 40%

Filed under:Money Making — posted on October 15, 2007 @ 3:55 pm

You will often find me with my head in a book, studying the marketing and copywriting experts from the past.

It was whilst reading one such book, that I discovered how using a drop capital, can increase readership of advertising.

The book was: ‘Ogilvy On Advertising’ - by David Ogilvy

In the book, Ogilvy, an advertising and marketing legend, discussed the merits of using a drop capital (also known as a drop initial).

Ogilvy was renowned for producing advertising which got results, having helped to build some of the most recognizable brands in the world including: American Express, Sears, Ford, Shell, Barbie, Pond’s, Dove, and Maxwell House among them, and more recently, IBM and Kodak.

In ‘Ogilvy On Advertising’, Ogilvy is quoted as saying “The drop capital increases readership of your body copy by an average of 13%”.

How Does The Drop Capital Increase Readership?

Drop capitals seem to work in the same way that images do. In that they catch the readers eye as they scan the page.

The big capital letter drops down inside the first paragraph. Because we read from left to right, our eyes move naturally away from the image and into the text to the right.

The first paragraph is very important, and has to capture the reader’s attention and interest, so that they continue to read down the page.

The key point is: ‘The more people you can get to read the text on your web pages, the more sales you are going to make.’ Period!

What I really like about the drop capital as a sales tool, is its subtelty. It doesn’t shout: ‘Hey! I’m trying to trick you into reading!’ I like to refer to it as a ’stealth copywriting’ technique. It’s extremely effective, but without flying above the radar.

Does This Offline Copywriter’s Trick Increase Sales On The Internet?

After reading about how effective drop capitals can be offline; I decided to see if they could boost my sales conversion rate, on a website selling an ebook.

My first big hurdle was learning how to create a drop cap effect on a web page.

I spent a considerable amount of time trying to create a graphic of a capital letter, which would fit just right in the paragraph. I quickly discovered that it’s very easy to create an image that is either too big, or too small.

I didn’t want the whole effect to look amateurish, as I felt that it would make my site look unprofessional, and almost certainly ‘hurt’ my conversion rates.

After much perserverance and trial and error, I managed to get everything looking just right.

I Set Up A Split Test To Track My Sales Conversion Rate

Using some state of the art ’split test tracking software’, I set up two different versions of my sales page. The software split all incoming traffic to my website. Half the visitors viewed a page WITHOUT a drop capital, and the other half saw the same page, but this time WITH a drop capital.

A piece of tracking code was placed on my ‘thank you’ page, so that I could track which version of my sales page was viewed, whenever a sale was made. This scientific method of testing, would prove to me over time which version of my sales page made more sales.

I decided to let the test run for at least 100 sales, so that the results wouldn’t be a fluke. I eventually stopped the split test at 135 sales.

My Test Results Revealed That My Sales Were Up By A Huge 40%!

The results from the test were pretty amazing. Not only did it prove that drop capitals work online, but it also suggested that they are even more effective on web pages, than they are in offline advertising.

Here are my test result statisitics from a website where I am selling an ebook…

Page WITHOUT a drop capital image:
3796 unique visitors, 57 new sales, 1.5% conversion rate

Page WITH a drop capital image:
3702 unique visitors, 78 new sales, 2.1% conversion rate

Even though the page WITH a drop capital received slightly less unique visitors, it still managed to sell 21 more ebooks for me. Overall, the page WITH the drop capital made 40% more sales, than the exact same page WITHOUT a drop capital.

I’m sure you will agree that the increase in sales is very significant; and all after changing just one single letter on my web page! If you don’t currently use drop capital images on your website, you really are leaving money on the table.

Instead of spending all your time and money, trying to get more and more visitors to your website, you really should look at how you can increase your sales, from the existing traffic you are already getting.

This is the easiest way I have found to increase my profits, and I didn’t have to spend an extra dime on advertising to get it!

About the Author

Jason Lewis has developed an easy ‘cut and paste’ solution for creating a drop capital effect on a web page. For details, and to see video proof of how drop capitals have increased online sales, please visit: http://www.dropcapitals.com

Website Promotion: 10 Secret Motivational Triggers That Make People Buy

Filed under:Money Making — posted on October 10, 2007 @ 1:33 am

Unless you know the secret motivational secrets
that make people buy, your efforts in website
promotion may not be fruitful.

Here are some website promotion triggers to help you:

1. People want to make more money. They may
want to start their own business, get a higher paying
job or invest in the stock market. This will make
them feel successful.

2. People want to save money. They may want to
invest for the future or save for a big purchase.
This will make them feel more secure.

3. People want to save time. They may want to
work less and spend time enjoying life’s pleasures.
This will make them feel more relaxed.

4. People want to look better. They may want to
lose weight, tone their body, or improve their facial
features. This will make them feel more attractive.

5. People want to learn something new. They may
want to learn how to change their car oil or build a
deck. This will make them feel more intelligent.

6. People want to live longer. They may want to
get in shape, eat better or gain extra energy. This
will make them feel healthier.

7. People want to be comfortable. They may want
to relive aches and pains or want to sleep in a more
comfortable bed. This will make them feel
relieved.

8. People want to be loved. They may not want to
be lonely anymore or want to start dating again.
This will make them feel wanted.

9. People want to be popular. They may want to
be a famous celebrity or be more popular in
school. This will make them feel praised and
admired.

10. People want to gain pleasure. They may want
satisfy their appetite or sexual desires. This will
make them feel more fulfilled.

May these website promotion secrets help you to make
a lot of money and succeed.

Warmly,

I-key Benney, CEO

I-key, a Millionaire CEO from New York City is the creator of “Mscsrrr: Millionaire Secret Cash System”, (forex ebook), which has helped thousands of ordinary people from all over the world to attain financial security and shining success during the past 2 yrs.

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The Second Most Important Element of Your Ad… after the Headline

Filed under:Money Making — posted on October 8, 2007 @ 10:37 pm

Hi {FIRSTNAME Friend},

Next time you’re flicking through your local newspaper, take a good hard look at the ads. And notice how many of them give you a compelling reason to pick up the phone and get in touch with them now. You’ll need to look closely because…

FINDING AN AD WITH A POWERFUL, KNOCK-EM DEAD OFFER IS LIKE LOOKING FOR A NEEDLE IN A HAYSTACK

But why is a powerful offer so important?

Listen: People will only give your ad a few seconds. If you’re lucky enough to catch them with a strong headline… then they’ll read your ad… but if they get to the end of it and there’s not a dynamite offer to knock their socks off, they’ll turn over to the next page… and your opportunity is gone… FOREVER.

You need to apply offers differently based on the type of business you operate…

1. A service business with a high value product (solicitor, accountant, real estate agent, consultant, copywriter) could offer a FREE REPORT of some sort. Here’s some examples:

Free Report Reveals How To Make Your Assets As Secure As Fort Knox And Deter Any Scumbag From Taking Everything You’ve Got (solicitor)

Free Report Reveals How To Sell Your Home Faster And For A Higher Price (real estate agent - for generating listings)

Free Report Reveals How To Write Ads And Sales Letters That Practically Make People Line Up And Beg You To Take Their Money (copywriter)

Get the idea?

2. A business which has products which customers keep buying over and over again (e.g. ice cream shop, grocer, restaurant, hairdresser etc) would approach things a little differently. Here’s some examples:

Anyone who says there’s no such thing as a Free Lunch hasn’t read this letter

Free Ice Cream… simply present this offer in our store before (date) to collect yours

Free Haircut to introduce you to our new salon

Now you may well wonder… how can I make any money by giving everything away for FREE. The answer is simple.

You must identify the lifetime value of your customer. That is, how much does the average client invest with you over a lifetime.

To work it out, you need to identify:

a) Your average sale
b) How many times the average client purchases from you in a given year
c) How many years a client stays with you

For instance, if a hairdresser’s average client…

- Gets a haircut from them 10 times a year.
- And stays with them for 3 years
- And spends $40 on each visit

That’s 20 visits at $40 a pop = $1200. At a 50% profit margin, each client is worth $600 to them.

Suddenly a free haircut on a day you’re not busy anyway… doesn’t really seem so much does it?

Warmly,

EzineArticles Expert Author Scott Bywater

Scott Bywater, Copywriting That SELLS

Visit my web site for your complimentary copy of my ebook (valued at $29.95) and free subscription to my valuable ezine “Copywriting Selling Secrets” where you’ll discover how to write ads and sales letters that make people line up and practically beg you to take their money.

Here’s the address: http://www.copywritingthatsells.com.au


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