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Authors: Inc The Staff of Entrepreneur Media

Start Your Own Business (84 page)

BOOK: Start Your Own Business
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Of course, the real key to catalog success doesn’t lie exclusively in technology—it’s understanding your customers. Show them why they should buy from you and no one else. Target them with the right mailing lists. And remember, the more you do yourself, the more you save.
Need more help? The Direct Marketing Association can refer you to catalog consultants in your area.
DIRECT HITS
 
T
ry these attention-getting direct-mail ideas to power up your business:

Reactivation voucher
. Mail a $20 no-strings-attached voucher to any customer you haven’t seen in six months or longer. Few can turn it down ... and even fewer will spend only $20.

Magalog
. If you have a catalog, give it more value by enhancing it with problem-solving editorial content. This creates a combination magazine and catalog.

We’ve missed you
. Send a card to clients you haven’t seen in a year telling them they’re missed. Include a discount coupon.

Birthday call
. Record all customers’ birth dates, and make sure that they get a special call or card from you.
 
Newsletters
 
Publishing a company newsletter is a great way to get the word out about your business ... and keep past customers coming back. While many small-business owners have changed from printed newsletters to e-newsletters, which are sent via e-mail, there are still some target audiences, such as seniors, that respond best to old-fashioned snail mail. If your newsletter becomes well-known for valuable content, your readers will spend time with it rather than pitch it into the trash as junk mail.
“The primary benefit of a customer newsletter is keeping your existing customers informed about what you’re doing,” says Elaine Floyd, author of
Marketing with Newsletters
. Newsletters are also a good way to reach new customers because, if done correctly, they come off as more informative and with less sales hype than most items consumers receive in the mail. In addition to telling readers about your product or service, newsletters inform them about developments in your industry or theirs and share information that affects them. “People might not think they need your product or service,” says Floyd. “Reading an informative newsletter helps convince them they do.”
 
TIP
 
Although newsletters give you room for lengthier articles, keep the bulk of your newsletter limited to short pieces, so they are very scannable. You want lots of different items in the hope of providing something interesting to every reader.
The businesses that benefit most from newsletters are those that have to educate customers about the advantages of using their product or service. If you own a candy shop, for example, you might not have enough pertinent information for customers to justify a newsletter. On the other hand, a computer consultant could do a real service by publishing a newsletter about the latest software and hardware.
Your newsletter doesn’t have to be all information. Including a coupon, a special offer or other call to action helps get people to buy. Also, always give upcoming sales or promotions a prominent place in your newsletter. “The promotional aspects of your newsletter should be woven in with the informational,” advises Floyd. If you’re reporting on your industry, talk about your company’s place within the industry. If you’re talking about a trend in the economy—the rising gas prices, let’s say—then tie in the fact that using your company’s service helps customers save money.
PREMIUM PROSPECTS
 
W
hether you call them premiums or advertising specialties, gifts are a marketing tool that works with all demographic groups. Studies show that 40 percent of people remember an advertiser’s name up to six months after receiving a promotional product as a gift.
 
 
Premiums carrying your company name, logo or message can be used to generate leads, build name awareness, thank customers, increase store traffic, introduce new products, motivate customers and create an unconscious obligation to buy. Premiums can be used at trade shows, open houses, special events and grand openings and in direct mail.
 
Classic premiums include T-shirts, baseball caps, jackets, headbands, writing instruments, desk and office accessories, scratch pads and mugs. Mouse pads and high-tech devices, such as USB memory drives, are some of the more recent premiums gaining popularity.
 
How to make a premium work for you? Research it first. Make sure the item is matched with your target audience. Also make sure the item is good quality. A cheap premium that breaks or doesn’t work in the first place makes a negative impression—just the opposite of what you want.
 
When choosing a premium, ask five questions:
1. How many people do I want to reach?
2. How much money do I have to spend?
3. What message do I want to print?
4. What gift will be most useful to my prospects?
5. Is this gift unique and desirable? Would I want it?
You can find specialty advertising firms listed in the Yellow Pages. Ask to see their catalogs; compare sample quality and prices.
 
While the gift is being offered, focus your marketing and advertising efforts on it. There’s no more powerful word in advertising than “free,” so put the power of freebies to work for you.
Floyd recommends using the following formula, which she calls RISE, to be sure your newsletter covers all the bases:

Recognition.
Your newsletter should tell people who you are, what you do and where they can find you. If consumers have to read through two pages of text to find the name of your company, you’re not increasing your name recognition. Use your company logo on the newsletter.

Image.
Your newsletter is an important branding tool that can enhance your company’s image. If it’s interesting and professional-looking, customers will think well of your business. If it’s not, they may doubt your credibility. Floyd says most people can create their own professional-looking newsletter with desktop publishing programs or have it done affordably by a freelancer.

Specifics.
Give your readers specific reasons why they should choose your product or service. Vague assertions like “We’re the best” don’t work nearly as well as matter-of-fact details about exactly what you can do for them.

Enactment.
Make the reader take action—whether by picking up the phone, mailing in a reply card or coming down to your store.
Strapped for things to write about—or don’t have time to write it yourself? Try asking your industry trade association for news services that provide copy in return for a monthly subscription fee. This also ensures the articles are professionally written.
PACKAGE DEAL
 
W
hile direct mail can mean everything from a postcard to a catalog, many business owners get the best response from sending out a direct-mail “package.” In addition to the sales letter and brochure (see the “Sales Letters” and “Brochures” sections earlier in this chapter), this typically includes three other elements:
1.
The outside envelope
. There are two schools of thought on this. One school swears that “teaser” copy on the envelope can get recipients to open it. On the other hand, some people throw away anything that looks like junk mail. The opposite strategy is to trick readers into opening your mail by sending direct mail that looks like personal letters. Software programs can print addresses so they look like handwriting. Put only your address, not your company name, on the return address to arouse the recipient’s curiosity.
2.
A response form
. The form should be easy to fill out. Be sure to include your phone number in case the prospect wants to ask a question or order by phone.
3.
A reply envelope
. Enclosing postage-paid reply envelopes helps get orders. Even if you can’t afford postage-paid envelopes, include a pre-addressed reply envelope. If the prospect has to put the mailing down and search for an envelope, they may have second thoughts.
 
If you can’t find a news service, use a clippings service to get story ideas. Though clippings from other publications can’t be reprinted without the writer’s permission, they can give you ideas for articles of your own and keep you updated on hot industry topics.
Tap clients for copy by featuring a “Client of the Month,” showing how your product or service solved a problem they were facing. Or you can team with related businesses; for example, an interior designer could have guest columns written by florists or furniture store owners.
Easy ways to get clients to contribute? Conduct a survey—and print the results. Start a “Letters to the Editor” column. Add a “Q&A” column, where customers can pose their problems and other customers can write in with solutions.
 
e-FYI
 
Some things never change—and your direct mail can benefit from lessons of the past. At the National Mail Order Association’s site (
nmoa.org
), you’ll find all sorts of information, but don’t miss the exhibits in the site’s “Museum” section, including award-winning direct marketing letters from 1942.
Keep your writing style simple, and make sure you get help proofreading if your skills aren’t up to snuff. A newsletter full of typos or grammatical errors shows clients you’re a careless amateur.
Newsletters can be monthly, semimonthly or quarterly, depending on what your budget is, how much time you have and how fast-paced your industry is. Quarterly publications are generally sufficient to get your name in front of customers; then increase frequency if needed. The key is to be consistent, so don’t take on more than you can handle.
Renting a mailing list isn’t generally a good idea for newsletters, says Floyd. “Your newsletter will be better received if the reader knows about you or needs your product,” she says. Floyd recommends sending newsletters only to current customers, qualified leads and referrals. When someone gives you a business card, send him or her a newsletter. Then you or a salesperson can call the person later, using the newsletter as a starting point to ask about products or services they might need.
Classified Ads
 
Classified ads are a smart way to reach prospects who are looking for—and are prepared to buy—what you sell. And since they demand neither the eye-catching design of a display ad nor the clever wording of a direct-mail campaign, almost anyone can write them.
BOOK: Start Your Own Business
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