Making Your First Million.pdf - Association of Net Entrepreneurs and ...

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Making Your First Million survived on the knowledge I am sharing with you. You don't have to get big or get out. But you do have to get smart. Understand your customer. Look after her well. Whenever I travel I take my top 500 customers mail list and in the boring times I write them a postcard. Whenever I send a postcard I get a 35% response within a week and a 70% response within 2 months. I sent a postcard to my top customer purporting the photo to be a view from the farm. He rang and said: "Is that really the view from your farm?" I told him: "No. Poetic license. It's the view near the farm. Why don't you come and see for yourself?" He came for lunch the following week with his family and the week after that spent $27,000 with me. Get close to your customer. Get to know her. I say "her" because 80% of retail customers are women. A man tends not to shop. But he does buy and will often outspend his wife on a single outing so don't neglect him. To get close you will need information. And to get information you will need to ask. I am amazed at what people will tell you when you ask. But you will do better if you reward them. You will need a database and I find if you give people something for nothing or even the chance to win $25,000 (the chance to win a $1 scratch lottery ticket. How miserable can you get?) they will tell you everything you ask them. To build your database you'll need the following information: 1) Her first name. 2) Surname: 3) Address 4) Her birthdate 5) What she wants to buy next. 6) Phone and/or fax #. 7) Email address 8) Partner's first name. 9) Partner's birthdate 10) Wedding anniversary 11) The names and addresses of friends with similar interests etc. Give her a VIP club membership card and number and each time she purchases you build an increasingly useful profile. From this it is easy to send her a letter targeted to her needs and interests. We could send her husband a letter reminding him of her birthday or their wedding anniversary. We could automatically fax or email birthday greetings or discount vouchers. In March a customer rang to thank me for her birthday fax. She was in Ballina and her Canberra staff had rung her to tell her she had received a birthday voucher from my company. I told her that the computer had done it, that I had had no hand in it, and that I send 6000 birthday faxes a year. She's my sister so I thought I'd better come clean. To start thinking outside the square you'll need a computer. One of the fringe benefits of computerizing your business is it makes it more efficient. The computer will control all your stock, payroll and accounts but it will also automate much of your marketing. One of the most successful strategies is the VIP club membership card which automatically prints a small discount voucher on the receipt valid for the next purchase with a 2 month expiry date. Businesses using this technique report a better than 70% response. Powerful, compelling and totally automated. Automation. If it isn't easy you won't do it. It has to be totally automated, transparent and, naturally, computerized. SiteSelling.com 102
Making Your First Million For me, though, the real value of the computer is it helps me snuggle up close to my customer. I can select those customers who haven't been in for 3 months and send them a special offer. I can select people who buy a particular product and tell them about the new season's shipment. I can find husbands whose wives' birthdays are coming up and whisper an offer they can't refuse. And I can save money by no longer feeling obliged to spend it on space advertising. If doubling your turnover in a year sounds like hype, think again. One of our local clubs implemented the birthday promotion to its restaurant and now fully half its bookings are for birthday groups. The same for a local hairdresser. In my computer mail-order company the only form of advertising we do is direct mail. Once you set the system up it works automatically. Every day. SiteSelling.com 103
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