surgeon's income manual

How To Make A Surgeon’s Income By Jeff Paul and Jim Fleck

How To Make A

Surgeon’s Income As A Part-Time

Home Based Business Consultant (After All, It’s Not Brain Surgery!)

By Jeff Paul and Jim Fleck

©2004 Jeff Paul and Jim Fleck


How To Make A

Surgeon’s Income As A Part-Time

Home Based Business Consultant (After All, It’s Not Brain Surgery!)

By Jeff Paul and Jim Fleck

©2004 Jeff Paul and Jim Fleck


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ALL RIGHTS RESERVED. No part of this book may be reproduced or transmitted for resale or use by any party other than the individual purchaser who is the sole authorized user of this information. Purchaser is authorized to use any of the information in this publication for his or her own use only. All other reproduction or transmission, or any form or by any means, electronic or mechanical, including photocopying, recording or by any informational storage or retrieval system, is prohibited without express written permission from the publisher. LEGAL NOTICES: While all attempts have been made to provide effective, verifiable information in this Book, neither the Author nor Publisher assumes any responsibility for errors, inaccuracies, or omissions. Any slights of people or organizations are unintentional. If advice concerning tax, legal, compliance, or related matters is needed, the services of a qualified professional should be sought. This Book is not a source of legal, regulatory compliance, or accounting information, and it should not be regarded as such. This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting or other professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. Due to the nature of direct response marketing and varying rules regulating business activities in many fields, some practices proposed in this Book may be deemed unlawful in certain circumstances and locations. Since federal and local laws differ widely, as do codes of conduct for members of professional organizations and agencies, Licensee must accept full responsibility for determining the legality and/or ethical character of any and all business transactions and/or practices adopted and enacted in his or her particular field and geographic location, whether or not those transactions and/or practices are suggested, either directly or indirectly, in this Book. As with any business advice, the reader is strongly encouraged to seek professional counsel before taking action. NOTE: No guarantees of income or profits are intended by this book. Many variables affect each individual's results. Your results will vary from the examples given. Hidden Profits Advertising, Inc. cannot and will not promise your personal success. Hidden Profits Advertising, Inc. has no control over what you may do or not do with this mail-order success program, and therefore cannot accept the responsibility for your results. You are the only one who can initiate the action, in order to reap your own rewards! Any and all references to persons or businesses, whether living or dead, existing or defunct, are purely coincidental. Published by: Instant Profits Marketing, Inc. PRINTED IN THE UNITED STATES OF AMERICA DISTRIBUTED WORLDWIDE. First Printing © 2002-2004 Jeff Paul and Jim Fleck


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ALL RIGHTS RESERVED. No part of this book may be reproduced or transmitted for resale or use by any party other than the individual purchaser who is the sole authorized user of this information. Purchaser is authorized to use any of the information in this publication for his or her own use only. All other reproduction or transmission, or any form or by any means, electronic or mechanical, including photocopying, recording or by any informational storage or retrieval system, is prohibited without express written permission from the publisher. LEGAL NOTICES: While all attempts have been made to provide effective, verifiable information in this Book, neither the Author nor Publisher assumes any responsibility for errors, inaccuracies, or omissions. Any slights of people or organizations are unintentional. If advice concerning tax, legal, compliance, or related matters is needed, the services of a qualified professional should be sought. This Book is not a source of legal, regulatory compliance, or accounting information, and it should not be regarded as such. This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting or other professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. Due to the nature of direct response marketing and varying rules regulating business activities in many fields, some practices proposed in this Book may be deemed unlawful in certain circumstances and locations. Since federal and local laws differ widely, as do codes of conduct for members of professional organizations and agencies, Licensee must accept full responsibility for determining the legality and/or ethical character of any and all business transactions and/or practices adopted and enacted in his or her particular field and geographic location, whether or not those transactions and/or practices are suggested, either directly or indirectly, in this Book. As with any business advice, the reader is strongly encouraged to seek professional counsel before taking action. NOTE: No guarantees of income or profits are intended by this book. Many variables affect each individual's results. Your results will vary from the examples given. Hidden Profits Advertising, Inc. cannot and will not promise your personal success. Hidden Profits Advertising, Inc. has no control over what you may do or not do with this mail-order success program, and therefore cannot accept the responsibility for your results. You are the only one who can initiate the action, in order to reap your own rewards! Any and all references to persons or businesses, whether living or dead, existing or defunct, are purely coincidental. Published by: Instant Profits Marketing, Inc. PRINTED IN THE UNITED STATES OF AMERICA DISTRIBUTED WORLDWIDE. First Printing © 2002-2004 Jeff Paul and Jim Fleck


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Table of Contents

Introduction to Marketing Checkups An Easy Way To Make Up To $2,000 Per Hour................................5 Why You Should Perform A Marketing Checkup Before You Agree To Take On A New Client ...............7 What Equipment And Supplies You’ll Need To Do $2,000 Marketing Checkups .......................................9 How To ‘Set Up’ A Marketing Checkup .....................................................................................................11 Example #1 How To Get More Customers And Increase The Effectiveness Of All Your Ads, Letters, Promotions And Brochures. .........................................................................................................................13 Example #2 Would You Like Some Powerful Marketing Strategies To Get New Customers And Increase Your Cash-Flow? .........................................................................................................................................21 How To Double Or Triple The Response To Your Sales Letters ................................................................23 Example #3 Phone Script For Following UP The “Dollar Bill” letter........................................................25 How To Customize Marketing Checkups To Specific Industry Groups. ....................................................27 Example #4 How to get new clients and referrals for your Accountancy Practice – even if your fees are higher than your competitors. ......................................................................................................................29 How To “Close The Sale” When Following Up Your Initial Letter............................................................33 How to Handle The Fact Finding Questionnaire .........................................................................................35 Example #5 Marketing Checkup PRE-DIAGNOSTIC INTERVIEW CHECKLIST ................................37 How To “Confirm” the Time for Your $2,000 Marketing Checkup ...........................................................47 Example #6 Here’s how to prepare for your Marketing Checkup and audio-tape recording... ..................49 The Marketing Checkup Outline..................................................................................................................51 Example 7: Thank You Letter......................................................................................................................53 How to Turn Your Checkups into a Money Machine..................................................................................55 Appendix ......................................................................................................................................................57 Lead Generation Ad .....................................................................................................................................61 Special Report 1 13 Costly Direct Marketing Mistakes...............................................................................65 Special Report 2 9 Remarkable Ways to Increase Your Sales and Profits ..................................................77 Yellow Page Ads Consultation ....................................................................................................................89 Marketing Consultant’s Small Business Marketing Magic Checklist .........................................................95 Marketing Consultant’s Sample Advanced Consultation ............................................................................99 Consciousness” in the fitness marketplace! (Meaning that your company and products become.............108 SYNONYMOUS with fitness! Which is many magnitudes of success higher than simple “name ..........108


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Table of Contents

Introduction to Marketing Checkups An Easy Way To Make Up To $2,000 Per Hour................................5 Why You Should Perform A Marketing Checkup Before You Agree To Take On A New Client ...............7 What Equipment And Supplies You’ll Need To Do $2,000 Marketing Checkups .......................................9 How To ‘Set Up’ A Marketing Checkup .....................................................................................................11 Example #1 How To Get More Customers And Increase The Effectiveness Of All Your Ads, Letters, Promotions And Brochures. .........................................................................................................................13 Example #2 Would You Like Some Powerful Marketing Strategies To Get New Customers And Increase Your Cash-Flow? .........................................................................................................................................21 How To Double Or Triple The Response To Your Sales Letters ................................................................23 Example #3 Phone Script For Following UP The “Dollar Bill” letter........................................................25 How To Customize Marketing Checkups To Specific Industry Groups. ....................................................27 Example #4 How to get new clients and referrals for your Accountancy Practice – even if your fees are higher than your competitors. ......................................................................................................................29 How To “Close The Sale” When Following Up Your Initial Letter............................................................33 How to Handle The Fact Finding Questionnaire .........................................................................................35 Example #5 Marketing Checkup PRE-DIAGNOSTIC INTERVIEW CHECKLIST ................................37 How To “Confirm” the Time for Your $2,000 Marketing Checkup ...........................................................47 Example #6 Here’s how to prepare for your Marketing Checkup and audio-tape recording... ..................49 The Marketing Checkup Outline..................................................................................................................51 Example 7: Thank You Letter......................................................................................................................53 How to Turn Your Checkups into a Money Machine..................................................................................55 Appendix ......................................................................................................................................................57 Lead Generation Ad .....................................................................................................................................61 Special Report 1 13 Costly Direct Marketing Mistakes...............................................................................65 Special Report 2 9 Remarkable Ways to Increase Your Sales and Profits ..................................................77 Yellow Page Ads Consultation ....................................................................................................................89 Marketing Consultant’s Small Business Marketing Magic Checklist .........................................................95 Marketing Consultant’s Sample Advanced Consultation ............................................................................99 Consciousness” in the fitness marketplace! (Meaning that your company and products become.............108 SYNONYMOUS with fitness! Which is many magnitudes of success higher than simple “name ..........108


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This Page Intentionally Left Blank


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Page 5

Introduction to Marketing Checkups An Easy Way To Make Up To $2,000 Per Hour

The “Marketing Checkup” (or consultation) can actually be adapted to virtually any professional

service. For example... Sales Checkup Engineering Checkup Customer Service Checkup Insurance Checkup Accounting Checkup Factory Procedures Checkup Financial Checkup Computer System Checkup Plumbing Checkup Electrical Checkup Telephone Checkup Mortgage Checkup

and so on.

It’s simply a way of putting a value on your knowledge. And by putting a real value on your time

from the word ‘go’ your services will become much more valuable to your prospective (and existing) clients.

The fee you’ll ultimately charge is up to you. You can start at $200, $500 or $1,000... it’s up to you. However, it should reflect the amount of measurable value your client will get from your advice. As a general rule.

The Better The Advice - The More You Should Charge.

I know that an hour of good marketing advice can easily make a business owner an extra million

dollars (or more) in the next 12 months. I’ve seen it happen on a number of occasions when the client actually followed through on the recommendations.

Warning: Don’t sell yourself cheap. If you don’t feel your advice is worth a lot of money, go and invest in educating yourself with some of our programs so that it will be worth the money!!


Page 5

Introduction to Marketing Checkups An Easy Way To Make Up To $2,000 Per Hour

The “Marketing Checkup” (or consultation) can actually be adapted to virtually any professional

service. For example... Sales Checkup Engineering Checkup Customer Service Checkup Insurance Checkup Accounting Checkup Factory Procedures Checkup Financial Checkup Computer System Checkup Plumbing Checkup Electrical Checkup Telephone Checkup Mortgage Checkup

and so on.

It’s simply a way of putting a value on your knowledge. And by putting a real value on your time

from the word ‘go’ your services will become much more valuable to your prospective (and existing) clients.

The fee you’ll ultimately charge is up to you. You can start at $200, $500 or $1,000... it’s up to you. However, it should reflect the amount of measurable value your client will get from your advice. As a general rule.

The Better The Advice - The More You Should Charge.

I know that an hour of good marketing advice can easily make a business owner an extra million

dollars (or more) in the next 12 months. I’ve seen it happen on a number of occasions when the client actually followed through on the recommendations.

Warning: Don’t sell yourself cheap. If you don’t feel your advice is worth a lot of money, go and invest in educating yourself with some of our programs so that it will be worth the money!!


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Page 7

Why You Should Perform A Marketing Checkup Before You Agree To Take On A New Client

As a consultant, you’ll find a lot of your time is wasted by people wanting your valuable advice -

but not necessarily wanting (or able) to pay for it.

You’ll often find yourself spending 30 minutes or more on the phone, (or in front of a person) having your brain ‘sucked dry’ for no fee or commitment on their part.

The “Marketing Checkup’ is a simple way to.

1. Find those people that are serious.

2. Get paid for the time you initially spend with a new, potential client.

3. Develop an on-going source for potential ongoing clients who need your other (more extensive) services.

And most importantly, a ‘Marketing Checkup’ can...

4. Create a product you can re-sell over and over again. This will give your consulting business

great leverage. It also builds credibility for you in the marketplace.

From a consultant’s point of view, a Checkup is a great profit center if done correctly. It also gives you greater exposure in the marketplace and adds a new level of market awareness for your business.

Important Note: As a consultant you’ll come across a lot of people who want to get your advice for free. Checkups are an ideal way to weed them out before you waste your time and energy.


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Why You Should Perform A Marketing Checkup Before You Agree To Take On A New Client

As a consultant, you’ll find a lot of your time is wasted by people wanting your valuable advice -

but not necessarily wanting (or able) to pay for it.

You’ll often find yourself spending 30 minutes or more on the phone, (or in front of a person) having your brain ‘sucked dry’ for no fee or commitment on their part.

The “Marketing Checkup’ is a simple way to.

1. Find those people that are serious.

2. Get paid for the time you initially spend with a new, potential client.

3. Develop an on-going source for potential ongoing clients who need your other (more extensive) services.

And most importantly, a ‘Marketing Checkup’ can...

4. Create a product you can re-sell over and over again. This will give your consulting business

great leverage. It also builds credibility for you in the marketplace.

From a consultant’s point of view, a Checkup is a great profit center if done correctly. It also gives you greater exposure in the marketplace and adds a new level of market awareness for your business.

Important Note: As a consultant you’ll come across a lot of people who want to get your advice for free. Checkups are an ideal way to weed them out before you waste your time and energy.


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Page 9

What Equipment And Supplies You’ll Need To Do $2,000 Marketing Checkups

All you’ll need to be able to perform a Checkup is a way to record your consultations. The

consultations can be done face to face, or by the telephone. Often I do Marketing Checkups on the telephone. To do consultations on the phone you will need the following equipment: A cassette deck A microphone to hookup it up to the phone

There’s a few ways to set up the facility to record telephone conservations.

1. The inexpensive method. All you need is a pick-up with a suction cup, which you can get from Radio Shack for less than $10.

2. The professional option. You will have the convenience of keeping your hands free by using a

headset which you can also get from Radio Shack (I use the Plantronics brand) and getting a tape recorder that will let you plug the phone right into it, or insert a Tie-Clip Microphone (available from Radio Shack also) into the earpiece, and plug it into you stereo cassette deck.

Presentation Packaging: To present the 1 Hour Marketing Checkup audio cassette, you can use the

nice little plastic folders from your local office supply store.

Transcription: All you need then is to get a local secretarial service to transcribe it for you, and bind it into a nice little booklet. Look in the Yellow Pages under “Secretarial Services” or check your classified ad section of the local newspaper. Or if you feel inclined, go online to http://elance.com and you’ll find tons of transcriptionists.


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What Equipment And Supplies You’ll Need To Do $2,000 Marketing Checkups

All you’ll need to be able to perform a Checkup is a way to record your consultations. The

consultations can be done face to face, or by the telephone. Often I do Marketing Checkups on the telephone. To do consultations on the phone you will need the following equipment: A cassette deck A microphone to hookup it up to the phone

There’s a few ways to set up the facility to record telephone conservations.

1. The inexpensive method. All you need is a pick-up with a suction cup, which you can get from Radio Shack for less than $10.

2. The professional option. You will have the convenience of keeping your hands free by using a

headset which you can also get from Radio Shack (I use the Plantronics brand) and getting a tape recorder that will let you plug the phone right into it, or insert a Tie-Clip Microphone (available from Radio Shack also) into the earpiece, and plug it into you stereo cassette deck.

Presentation Packaging: To present the 1 Hour Marketing Checkup audio cassette, you can use the

nice little plastic folders from your local office supply store.

Transcription: All you need then is to get a local secretarial service to transcribe it for you, and bind it into a nice little booklet. Look in the Yellow Pages under “Secretarial Services” or check your classified ad section of the local newspaper. Or if you feel inclined, go online to http://elance.com and you’ll find tons of transcriptionists.


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Page 11

How To ‘Set Up’ A Marketing Checkup

Like everything you do, correct execution is the key to getting prospective clients to use your Marketing Checkup Service.

The first step is to ask the caller...

1. “What sort of business do you own?”

2. “What areas of marketing do you need help with the most?”

3. “What result would you like to achieve if I could help you?”

Then you simply pre-sell the Marketing Checkup by saying...

“From what you tell me _(firstname)_____ , I feel the best way to go initially would be to conduct a Marketing Checkup. The first step of which is to get you to send me all your marketing materials and answer about 40 questions about the way you promote and market your business.”

“Now, I’d like to book you in for the initial fact-finding questions. I am currently booked 8 days in advance on the Checkups, so would the 10th or 11th suit you? How about the morning of April 10? Great. Please call me if you have any questions beforehand.”

“Where can I fax you an outline of my proposal?” “Great. I’ll call you tomorrow after you’ve read it. Next, you fax or mail the letter as shown in Example #1 or Example #2 selling the Marketing

Checkup with the accompanying testimonials, or any other articles or other credibility-enhancing materials you accumulate.

Then simply wait a few days for a response and follow up with a phone call. Important: You should always be booking people 7 to 10 days in advance. Being ‘booked out’

enhances your credibility. Ever hear of a doctor who’s booked out 3 months in advance or the nightclub that always has a line outside? They are the ones everyone wants to get to see. Do the same in your consultancy.


Page 11

How To ‘Set Up’ A Marketing Checkup

Like everything you do, correct execution is the key to getting prospective clients to use your Marketing Checkup Service.

The first step is to ask the caller...

1. “What sort of business do you own?”

2. “What areas of marketing do you need help with the most?”

3. “What result would you like to achieve if I could help you?”

Then you simply pre-sell the Marketing Checkup by saying...

“From what you tell me _(firstname)_____ , I feel the best way to go initially would be to conduct a Marketing Checkup. The first step of which is to get you to send me all your marketing materials and answer about 40 questions about the way you promote and market your business.”

“Now, I’d like to book you in for the initial fact-finding questions. I am currently booked 8 days in advance on the Checkups, so would the 10th or 11th suit you? How about the morning of April 10? Great. Please call me if you have any questions beforehand.”

“Where can I fax you an outline of my proposal?” “Great. I’ll call you tomorrow after you’ve read it. Next, you fax or mail the letter as shown in Example #1 or Example #2 selling the Marketing

Checkup with the accompanying testimonials, or any other articles or other credibility-enhancing materials you accumulate.

Then simply wait a few days for a response and follow up with a phone call. Important: You should always be booking people 7 to 10 days in advance. Being ‘booked out’

enhances your credibility. Ever hear of a doctor who’s booked out 3 months in advance or the nightclub that always has a line outside? They are the ones everyone wants to get to see. Do the same in your consultancy.


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Example #1

How To Get More Customers And Increase The Effectiveness Of All Your Ads, Letters,

Promotions And Brochures. Dear John,

Thanks for wanting to know more about how I can help you increase your business.

At this point I would suggest that my “Marketing Checkup with a Profit Improvement Plan” consultation would be the best way for you to go. This service gives you practical, step-by-step tools you need to immediately increase your sales and profits. It’s a complete analysis and review of your marketing and advertising strategies and is designed for fast, measurable results. After all, this is what other companies in this industry hire me to do . . .

99% Of The Success Or Failure Comes Directly From Your Ability To Attract And Keep Customers And From Your Ability To Market Yourself To Them.

It is not always the business that has the best quality products or service that makes the most money.

The businesses that make the most money simply know how to sell their products or services better than their competitors.

The key to getting more income and working less in any business is...

Having Effective Systems For Developing Good Relationships With Your Customers, And Business Contacts.

PLUS Maximizing The Effectiveness Of All Your Ads, Letters, Brochures And Other Promotions.

Having marketing systems is the “secret ingredient” behind all successful businesses. All of the

successful franchise chains use these tested systems of ads, letters and promotions to gain customers quickly in new locations. They know that having a system for getting new customers, and for keeping them, is vital. Once they have this system they simply keep duplicating it.

The advantages of having these systems in your business are many, including . . .

You control the amount of business you have each week. Having effective systems for getting new customers, keeping your existing ones and for generating extra business from them, means you are no longer at the mercy of the economy or fickle word-of-mouth promotion.

Your staff morale and productivity increases. The systems make everyone accountable for what

has to be done. Having a business that’s making good money makes everyone feel good. Your staff is happier because their jobs are secure.


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Example #1

How To Get More Customers And Increase The Effectiveness Of All Your Ads, Letters,

Promotions And Brochures. Dear John,

Thanks for wanting to know more about how I can help you increase your business.

At this point I would suggest that my “Marketing Checkup with a Profit Improvement Plan” consultation would be the best way for you to go. This service gives you practical, step-by-step tools you need to immediately increase your sales and profits. It’s a complete analysis and review of your marketing and advertising strategies and is designed for fast, measurable results. After all, this is what other companies in this industry hire me to do . . .

99% Of The Success Or Failure Comes Directly From Your Ability To Attract And Keep Customers And From Your Ability To Market Yourself To Them.

It is not always the business that has the best quality products or service that makes the most money.

The businesses that make the most money simply know how to sell their products or services better than their competitors.

The key to getting more income and working less in any business is...

Having Effective Systems For Developing Good Relationships With Your Customers, And Business Contacts.

PLUS Maximizing The Effectiveness Of All Your Ads, Letters, Brochures And Other Promotions.

Having marketing systems is the “secret ingredient” behind all successful businesses. All of the

successful franchise chains use these tested systems of ads, letters and promotions to gain customers quickly in new locations. They know that having a system for getting new customers, and for keeping them, is vital. Once they have this system they simply keep duplicating it.

The advantages of having these systems in your business are many, including . . .

You control the amount of business you have each week. Having effective systems for getting new customers, keeping your existing ones and for generating extra business from them, means you are no longer at the mercy of the economy or fickle word-of-mouth promotion.

Your staff morale and productivity increases. The systems make everyone accountable for what

has to be done. Having a business that’s making good money makes everyone feel good. Your staff is happier because their jobs are secure.


Page 14

There’s no upper limit to the income you make if you have effective systems in your business. A good ad or letter can bring you ten times the sales of a bad one. What you need is effective ads, letters and promotions and systems. Once you’ve tested them and proved that they bring results, you simply decide how often you have to use them to achieve the income you want.

And, best of all, having a marketing system means your whole operation can be put on autopilot.

Once you find the ads, letters and promotions that work, you are no longer tied to your business. You can afford to hire others to do the tedious work for you. Of course, to develop all this for your business is not so easy.

Let’s face it, we all have our strengths and weaknesses. Sometimes, because you are too close to your

business, it’s hard to see how to improve your results – without working harder or longer – and that’s where I may be able to help you.

By analyzing what you are doing now I’ll be able to see what over-looked windows of opportunities you have, and you’ll get strategies to take advantage of these opportunities.

Let me explain what I do for you. Firstly, you send me copies of all of your newspaper, magazine and/or Yellow Page ads. Copies of brochures, quotes, sales scripts, letters, etc. In fact, any promotion you have ever done. Then I’ll fill out an extensive questionnaire with you over the phone, to help me understand your business better. I then analyze your information and the materials you send us, and if I can't help you there’s no charge.

If I can help, we’ll set a time for either a day of consulting or a 90-minute consultation that I’ll audiotape over the phone, or in our office. It’s from this consultation that you’ll get a marketing plan to follow. During this consultation . . .

You’ll get specific strategies on how to best market your business. Plus you’ll learn what promotions and costly marketing mistakes to avoid.

The three areas we look at are . . .

#1. How to generate customer inquiries and get new customers.

#2. How to get your existing customers to come back more often.

#3. How to increase the value and profit of each sale you make.

Here are some of the specific strategies you may get in this hour:

• Promotions to build your image in the marketplace and keep your name in front of your customers and prospects – while making profitable sales.

• Strategies for getting new customers and systems to keep them coming back and buying more

from you.

• Advice on how to get the most out of your existing brochures, Yellow Pages ads, letters, press releases and any other promotional material you may have.


Page 14

There’s no upper limit to the income you make if you have effective systems in your business. A good ad or letter can bring you ten times the sales of a bad one. What you need is effective ads, letters and promotions and systems. Once you’ve tested them and proved that they bring results, you simply decide how often you have to use them to achieve the income you want.

And, best of all, having a marketing system means your whole operation can be put on autopilot.

Once you find the ads, letters and promotions that work, you are no longer tied to your business. You can afford to hire others to do the tedious work for you. Of course, to develop all this for your business is not so easy.

Let’s face it, we all have our strengths and weaknesses. Sometimes, because you are too close to your

business, it’s hard to see how to improve your results – without working harder or longer – and that’s where I may be able to help you.

By analyzing what you are doing now I’ll be able to see what over-looked windows of opportunities you have, and you’ll get strategies to take advantage of these opportunities.

Let me explain what I do for you. Firstly, you send me copies of all of your newspaper, magazine and/or Yellow Page ads. Copies of brochures, quotes, sales scripts, letters, etc. In fact, any promotion you have ever done. Then I’ll fill out an extensive questionnaire with you over the phone, to help me understand your business better. I then analyze your information and the materials you send us, and if I can't help you there’s no charge.

If I can help, we’ll set a time for either a day of consulting or a 90-minute consultation that I’ll audiotape over the phone, or in our office. It’s from this consultation that you’ll get a marketing plan to follow. During this consultation . . .


The three areas we look at are . . .

#1. How to generate customer inquiries and get new customers.

#2. How to get your existing customers to come back more often.

#3. How to increase the value and profit of each sale you make.

Here are some of the specific strategies you may get in this hour:

• Promotions to build your image in the marketplace and keep your name in front of your customers and prospects – while making profitable sales.

• Strategies for getting new customers and systems to keep them coming back and buying more

from you.

• Advice on how to get the most out of your existing brochures, Yellow Pages ads, letters, press releases and any other promotional material you may have.


Page 15

• Techniques for handling telephone inquiries, converting them into profitable sales, without discounting your prices.

Plus more . . .

As we speak I’ll tape headlines and opening paragraphs for ads you can use, telephone scripts for you

and your staff to use, sales presentations for your staff, outlines of Thank You and sales letters you can send, plus more – all aimed at increasing your business. It may take you 12 months to apply it all.

Following the consultation you get a prioritized action plan. It contains the most important things you should do to immediately start increasing your business. You also get a copy of the audiotape. By listening to it several times you’ll come up with your own ideas, sparked from our consultation.

Meanwhile, I will have the audiotape transcribed into a 20-24 page written report that you will receive within 14-21 days of our consultation. This will become the basis of your marketing plan and future promotional strategies!

Your investment for this consultation, the audiotape and the printed marketing strategy transcript, is $2,000. You also will get a copy of a past consulting report, another exciting $295 marketing nugget for your reference.

After you get the transcript with the marketing strategies, you may want me to help you implement the ideas, write the ads and letters and design monitoring and telephone inquiry systems I recommended and gave examples of in the consultation.

For this on-going support, total ad creation and copy-writing, you will get a separate proposal. I will do this after I see your materials and go through the analysis of your business. Your investment would depend on the amount of work required. However, in most cases you will not need me, you’ll have most of the answers in the tape transcript of the consultation. And to put you mind at ease about the whole process . . .

Everything Is Covered By My Money-Back Guarantee.

If you are not happy with the information given to you during the consultation, simply tell me before we start the second part. I will stop and you don’t owe me a cent – plus you’ll get to keep what I have already given you.

Please let me know today if you want to take me up on this offer. I’ll make a time to do the questionnaire with you right away.

By the way, in case you like this offer but are a little apprehensive about doing all of this over the telephone, let me address that. You can actually gain more through a telephone consultation than a face-to-face one.

Here’s Why A Telephone Consultation Can Be Infinitely More Productive For You . . .

First, and most obvious, is the saving in unnecessary travel costs and wasted time. But more important, studies have shown that people hear and retain more by phone than they do in person.


Page 15

• Techniques for handling telephone inquiries, converting them into profitable sales, without discounting your prices.

Plus more . . .

As we speak I’ll tape headlines and opening paragraphs for ads you can use, telephone scripts for you

and your staff to use, sales presentations for your staff, outlines of Thank You and sales letters you can send, plus more – all aimed at increasing your business. It may take you 12 months to apply it all.

Following the consultation you get a prioritized action plan. It contains the most important things you should do to immediately start increasing your business. You also get a copy of the audiotape. By listening to it several times you’ll come up with your own ideas, sparked from our consultation.

Meanwhile, I will have the audiotape transcribed into a 20-24 page written report that you will receive within 14-21 days of our consultation. This will become the basis of your marketing plan and future promotional strategies!

Your investment for this consultation, the audiotape and the printed marketing strategy transcript, is $2,000. You also will get a copy of a past consulting report, another exciting $295 marketing nugget for your reference.

After you get the transcript with the marketing strategies, you may want me to help you implement the ideas, write the ads and letters and design monitoring and telephone inquiry systems I recommended and gave examples of in the consultation.

For this on-going support, total ad creation and copy-writing, you will get a separate proposal. I will do this after I see your materials and go through the analysis of your business. Your investment would depend on the amount of work required. However, in most cases you will not need me, you’ll have most of the answers in the tape transcript of the consultation. And to put you mind at ease about the whole process . . .

Everything Is Covered By My Money-Back Guarantee.

If you are not happy with the information given to you during the consultation, simply tell me before we start the second part. I will stop and you don’t owe me a cent – plus you’ll get to keep what I have already given you.


By the way, in case you like this offer but are a little apprehensive about doing all of this over the telephone, let me address that. You can actually gain more through a telephone consultation than a face-to-face one.

Here’s Why A Telephone Consultation Can Be Infinitely More Productive For You . . .

First, and most obvious, is the saving in unnecessary travel costs and wasted time. But more important, studies have shown that people hear and retain more by phone than they do in person.


Page 16

In face-to-face meetings our eyes wander, sizing up the person, exchanging introductions and wondering what impression we are making. Plus we can be distracted by the pictures on the wall, the view out the window, items of furniture in the room and so on. All these tend to distract our concentration.

Telephone consultations eliminate all these distractions.

You can focus directly on what you hear. You listen better, comprehend faster and retain more of what you hear. That’s why for total concentration on your marketing needs I prefer to consult over the phone.

I will not hold back in what I advise you.

You will get a complete run-down of useful, hands-on and “how to” marketing strategies for your business. Plus specific wording, headlines, telephone scripts and other templates you’ll be able to use word for word – Enough to keep you busy and profitable for a long, long time.

If you still need to see me in person you will have to come to me. I do not go to you unless you are prepared to pay me my full day (6 hours) consulting rate, which is $4,500 plus expenses. So, let’s get on with the first step right now – me researching your material and how you market and promote your business, as I mentioned before.

If, after seeing your material and analyzing your questionnaire, I don’t feel I can help you, we will not proceed with the audiotaped consultation, and you owe nothing.

So act now. Pick up the phone and call me on (XXX) XXX-XXXX or fax me the form enclosed today on (XXX) XXX-XXXX. You’ll be glad you did.

Regards,

Your Name President Your Company

P.P.S. I do not keep accounts for this service. I must have your full investment at my office prior to

the consultation. However, I will not bank it until we have finished the consultation. If we do not proceed as arranged with you, you will get your original check or credit card slip returned to you.


Page 16

In face-to-face meetings our eyes wander, sizing up the person, exchanging introductions and wondering what impression we are making. Plus we can be distracted by the pictures on the wall, the view out the window, items of furniture in the room and so on. All these tend to distract our concentration.

Telephone consultations eliminate all these distractions.

You can focus directly on what you hear. You listen better, comprehend faster and retain more of what you hear. That’s why for total concentration on your marketing needs I prefer to consult over the phone.

I will not hold back in what I advise you.

You will get a complete run-down of useful, hands-on and “how to” marketing strategies for your business. Plus specific wording, headlines, telephone scripts and other templates you’ll be able to use word for word – Enough to keep you busy and profitable for a long, long time.

If you still need to see me in person you will have to come to me. I do not go to you unless you are prepared to pay me my full day (6 hours) consulting rate, which is $4,500 plus expenses. So, let’s get on with the first step right now – me researching your material and how you market and promote your business, as I mentioned before.

If, after seeing your material and analyzing your questionnaire, I don’t feel I can help you, we will not proceed with the audiotaped consultation, and you owe nothing.

So act now. Pick up the phone and call me on (XXX) XXX-XXXX or fax me the form enclosed today on (XXX) XXX-XXXX. You’ll be glad you did.

Regards,

Your Name President Your Company

P.P.S. I do not keep accounts for this service. I must have your full investment at my office prior to

the consultation. However, I will not bank it until we have finished the consultation. If we do not proceed as arranged with you, you will get your original check or credit card slip returned to you.


Page 17

FAX, MAIL OR PHONE TODAY! Yes, I want to take you up on your offer to analyze my business and come up with ideas for increasing my profits. I understand you will:

Carefully analyze all the promotional and sales materials I will send you, to see how they can be improved.

Go through an in-depth questionnaire to understand how I do things in my business. This alone

may get me thinking along a fresh marketing perspective.

Come up with ideas to get new customers, improve my existing promotions and tell me not only what to do, but also how to do it.

Supply me with a prioritized action plan for implementing the above.

Send me a copy of the audiotape and the 20-24 page transcript of this tape. This will become

my marketing plan for the future.

Offer a money-back guarantee that I will get everything that you described to me. If I am not satisfied I can stop the Checkup before the second half of the consultation and owe nothing.

Enclosed is my check for $2,000 (payable to “Your Company”).

Please bill my credit card.

Card Number:__________________________________ Expiry Date:________________ Signature:________________________________________________________________ First Name:___________________________ Last Name:___________________________ Business Name:____________________________________________________________ Address:___________________________________________________________________ City__________________________________________IL_________Zip Code:___________ Ph: ___________________________ Fax: ______________________________ Email: ______________________________ Website: _________________________________

Please fax this coupon to (XXX) XXX-XXXX or mail to [Your Company Name and Address] with your details.


Page 17

FAX, MAIL OR PHONE TODAY! Yes, I want to take you up on your offer to analyze my business and come up with ideas for increasing my profits. I understand you will:

Carefully analyze all the promotional and sales materials I will send you, to see how they can be improved.

Go through an in-depth questionnaire to understand how I do things in my business. This alone

may get me thinking along a fresh marketing perspective.

Come up with ideas to get new customers, improve my existing promotions and tell me not only what to do, but also how to do it.

Supply me with a prioritized action plan for implementing the above.

Send me a copy of the audiotape and the 20-24 page transcript of this tape. This will become

my marketing plan for the future.

Offer a money-back guarantee that I will get everything that you described to me. If I am not satisfied I can stop the Checkup before the second half of the consultation and owe nothing.

Enclosed is my check for $2,000 (payable to “Your Company”).

Please bill my credit card.

Card Number:__________________________________ Expiry Date:________________ Signature:________________________________________________________________ First Name:___________________________ Last Name:___________________________ Business Name:____________________________________________________________ Address:___________________________________________________________________ City__________________________________________IL_________Zip Code:___________ Ph: ___________________________ Fax: ______________________________ Email: ______________________________ Website: _________________________________

Please fax this coupon to (XXX) XXX-XXXX or mail to [Your Company Name and Address] with your details.


Page 18

Most Common Questions and Answers Our Marketing Checkups With

Profit Improvement Plans Here’s what others have asked about our methods before they increased their profits and became satisfied clients. Question: “ Will I get value for what I invest?” Answer: Most of my prospective clients thought exactly the same thing. They thought my fee for marketing strategies was quite high. When they became clients they realized that in many cases there would never be any marketing fee paid by them to me. In fact, depending on your goals and objectives and the nature of your business, it is quite probable that your investment for my services will be returned many times over from the profits that my strategies, ads and letters produce for your business. Question: “What do you know about my business or profession?” Answer: I have produced significant increases in profits for many businesses, ranging from a tiny corner store to large corporations. I will never claim to know as much about your business as you do. What I do know, without question, is why customers buy, why they choose one business over a competing business, why they continue to buy from a business and why they stop. I know what kind of advertising and marketing strategies catches their eye, attract them and motivates them to be a continuous, repeat and long-term customer or client. Question: “How do I know you can help me?” Answer: Wondering whether any consultant can help you makes good sense. The answer is quite simply “You don’t know!” It would be foolhardy for me to say you do know. I understand your concern and that is why I take most of the risk on my shoulders. At my own expense, I will go through a detailed questionnaire that will provide me with marketing information about your business. After you have sent me your promotional material and given me the answers to the questions I ask you, I will study them, analyze and dissect them, seeking to create marketing strategies that will make your business much more profitable. This initial fact-finding is free of cost and “no obligation.” If I don’t feel that I can help you, you owe me nothing and would have probably learned a lot in the process. Question: “You will probably suggest advertising methods that will be too costly and much too expensive for my business.” Answer: Any good businessperson is concerned about whether advertising will be cost-effective. I understand the potential high cost of advertising. I always work within the budgetary constraints that are established for you. Very often I redesign, redirect and refocus your present advertising methods, turning them into profit producing tools with very little additional cost to you.


Page 18

Most Common Questions and Answers Our Marketing Checkups With

Profit Improvement Plans Here’s what others have asked about our methods before they increased their profits and became satisfied clients. Question: “ Will I get value for what I invest?” Answer: Most of my prospective clients thought exactly the same thing. They thought my fee for marketing strategies was quite high. When they became clients they realized that in many cases there would never be any marketing fee paid by them to me. In fact, depending on your goals and objectives and the nature of your business, it is quite probable that your investment for my services will be returned many times over from the profits that my strategies, ads and letters produce for your business. Question: “What do you know about my business or profession?” Answer: I have produced significant increases in profits for many businesses, ranging from a tiny corner store to large corporations. I will never claim to know as much about your business as you do. What I do know, without question, is why customers buy, why they choose one business over a competing business, why they continue to buy from a business and why they stop. I know what kind of advertising and marketing strategies catches their eye, attract them and motivates them to be a continuous, repeat and long-term customer or client. Question: “How do I know you can help me?” Answer: Wondering whether any consultant can help you makes good sense. The answer is quite simply “You don’t know!” It would be foolhardy for me to say you do know. I understand your concern and that is why I take most of the risk on my shoulders. At my own expense, I will go through a detailed questionnaire that will provide me with marketing information about your business. After you have sent me your promotional material and given me the answers to the questions I ask you, I will study them, analyze and dissect them, seeking to create marketing strategies that will make your business much more profitable. This initial fact-finding is free of cost and “no obligation.” If I don’t feel that I can help you, you owe me nothing and would have probably learned a lot in the process. Question: “You will probably suggest advertising methods that will be too costly and much too expensive for my business.” Answer: Any good businessperson is concerned about whether advertising will be cost-effective. I understand the potential high cost of advertising. I always work within the budgetary constraints that are established for you. Very often I redesign, redirect and refocus your present advertising methods, turning them into profit producing tools with very little additional cost to you.


Page 19

Question: “I’ve tried all that before and nothing ever worked.” Answer: Many of my prospects, before they became profitable and satisfied clients said the very same thing. That is until they began to realize that much of the advertising and marketing that they did was all about what they were selling, not about what customers were buying. Their past advertising was not effective because it was not client-centered. It was not about prospects problems and how their business solves those problems. It was wasteful. Their advertising now generates leads, converts prospects into customers and substantially increases profits. Because their advertising is now about their clients and customers. Question: “I definitely could use effective and profit-producing marketing strategies. Unfortunately, I have no time during my business day to put them to work.” Answer: Being in business is demanding and time-consuming. It is a 24-hour commitment. The beauty of my profitable marketing strategies is that I make them systematic and easy to execute. They are implemented and used in step-by-step fashion. Other employees can do them because they are so easy to follow. It will most definitely not take you away from the pressing matters of your day-to-day business activities. The objectives above are reasonable and very understandable. They are the very same questions that most satisfied customers asked me before we worked together to make their business more profitable. Call me now at (XXX) XXX-XXXX with any questions you might have about how I can help make your business or profession more profitable through effective marketing strategies.


Page 19

Question: “I’ve tried all that before and nothing ever worked.” Answer: Many of my prospects, before they became profitable and satisfied clients said the very same thing. That is until they began to realize that much of the advertising and marketing that they did was all about what they were selling, not about what customers were buying. Their past advertising was not effective because it was not client-centered. It was not about prospects problems and how their business solves those problems. It was wasteful. Their advertising now generates leads, converts prospects into customers and substantially increases profits. Because their advertising is now about their clients and customers. Question: “I definitely could use effective and profit-producing marketing strategies. Unfortunately, I have no time during my business day to put them to work.” Answer: Being in business is demanding and time-consuming. It is a 24-hour commitment. The beauty of my profitable marketing strategies is that I make them systematic and easy to execute. They are implemented and used in step-by-step fashion. Other employees can do them because they are so easy to follow. It will most definitely not take you away from the pressing matters of your day-to-day business activities. The objectives above are reasonable and very understandable. They are the very same questions that most satisfied customers asked me before we worked together to make their business more profitable. Call me now at (XXX) XXX-XXXX with any questions you might have about how I can help make your business or profession more profitable through effective marketing strategies.


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Example #2

Would You Like Some Powerful Marketing Strategies To Get New Customers And Increase Your Cash-Flow?

Hello ________

Since you invested in my Small Business Marketing Magic manual I wanted to let you in on an exclusive service I offer to clients.

Now I’ve attached a real $1 bill coin to this letter.

Have I finally gone crazy? Or am I simply some crazy ‘marketing nut’ who throws away his money?

Absolutely NOT.

So why have I done this? Actually, it’s all for a very good reason. I am so sure that what I have to say in this letter is going to make you money…

…that I am willing to invest $1 of my money to “buy” five minutes of your time to make sure you read it.

Just recently, a number of clients who have my Small Business Marketing Magic manual have

considerably increased the effectiveness of their promotions by having me do a “Marketing Checkup” for their business. In fact, one person made $4,000 in the next day. Another person makes $2,975 each time he runs the ad I modified for him

By now you may be wondering what is a ‘Marketing Checkup?’ Well, it’s simply a complete analysis and overhaul of your marketing and advertising strategies.

Here’s a quick outline of how it works… We’ll fill out a questionnaire with you, to help us understand your business better. You send us copies of all your newspaper, magazine and Yellow Pages ads, plus copies of letters, radio and TV ads --in fact, any promotions you’ve ever done.

We analyze your information and the materials you send us. If we can help you we’ll set a time for a 1-hour consultation, which we audio-tape, either over the phone or in our office. In that consultation…


Over a period of time this will make and save you thousands of dollars. Here are some of the

specific strategies you’ll get in this hour… How you can improve your existing promotions and ads.


Page 21

Example #2

Would You Like Some Powerful Marketing Strategies To Get New Customers And Increase Your Cash-Flow?

Hello ________

Since you invested in my Small Business Marketing Magic manual I wanted to let you in on an exclusive service I offer to clients.

Now I’ve attached a real $1 bill coin to this letter.

Have I finally gone crazy? Or am I simply some crazy ‘marketing nut’ who throws away his money?

Absolutely NOT.

So why have I done this? Actually, it’s all for a very good reason. I am so sure that what I have to say in this letter is going to make you money…

…that I am willing to invest $1 of my money to “buy” five minutes of your time to make sure you read it.

Just recently, a number of clients who have my Small Business Marketing Magic manual have

considerably increased the effectiveness of their promotions by having me do a “Marketing Checkup” for their business. In fact, one person made $4,000 in the next day. Another person makes $2,975 each time he runs the ad I modified for him

By now you may be wondering what is a ‘Marketing Checkup?’ Well, it’s simply a complete analysis and overhaul of your marketing and advertising strategies.

Here’s a quick outline of how it works… We’ll fill out a questionnaire with you, to help us understand your business better. You send us copies of all your newspaper, magazine and Yellow Pages ads, plus copies of letters, radio and TV ads --in fact, any promotions you’ve ever done.

We analyze your information and the materials you send us. If we can help you we’ll set a time for a 1-hour consultation, which we audio-tape, either over the phone or in our office. In that consultation…


Over a period of time this will make and save you thousands of dollars. Here are some of the

specific strategies you’ll get in this hour… How you can improve your existing promotions and ads.


Page 22

New ways to promote your business and increase sales at low cost. How you can increase the effectiveness of every advertising and marketing dollar you spend while

reducing your expenses. Different ways to get new customers and leads.

Advice on how to get the most of your brochures, Yellow Pages ads, letters and any other

questions you may have. Different ways to network with other businesses and get referrals from your customers. Plus

more...

You will also get a prioritized action plan and a copy of the audio-tape. As we speak I’ll tape headlines you could use, actual wording of letters and ads you can use, telephone scripts for your staff to follow, plus more ... all aimed at increasing your business. It may take you 12 months to apply it all!

Normally your investment is $2,000 for this service.

However, if you agree to let me use your consultation (with your name changed) as a template for developing a new product for my business, your investment will only be $1,495. All I ask is that you also agree to give me a written testimonial after you’ve made extra profits with my strategies. Which I’ll use to sell my new product. Of course, the Marketing Checklist is still covered by my guarantee.

If You Don’t Feel That You’ll Get Ten Times Your Investment Back - You Can Stop Before We Get Into The 2nd Half Of The

Consultation And I’ll Return Your Money In Full.

I am currently booked 10 days in advance for these Marketing Checkups, so please let me know now today if you want me to increase the effectiveness of all your ads, letters and promotions.

Pick up the phone and call me now on XXX-XXXX. Otherwise, I will be calling you next week to answer any questions you may have. Regards, [Your Name] PS: I have attached some testimonials with the sort of results you can expect after a Marketing Checkup of your business.


Page 22

New ways to promote your business and increase sales at low cost. How you can increase the effectiveness of every advertising and marketing dollar you spend while

reducing your expenses. Different ways to get new customers and leads.

Advice on how to get the most of your brochures, Yellow Pages ads, letters and any other

questions you may have. Different ways to network with other businesses and get referrals from your customers. Plus

more...

You will also get a prioritized action plan and a copy of the audio-tape. As we speak I’ll tape headlines you could use, actual wording of letters and ads you can use, telephone scripts for your staff to follow, plus more ... all aimed at increasing your business. It may take you 12 months to apply it all!

Normally your investment is $2,000 for this service.

However, if you agree to let me use your consultation (with your name changed) as a template for developing a new product for my business, your investment will only be $1,495. All I ask is that you also agree to give me a written testimonial after you’ve made extra profits with my strategies. Which I’ll use to sell my new product. Of course, the Marketing Checklist is still covered by my guarantee.

If You Don’t Feel That You’ll Get Ten Times Your Investment Back - You Can Stop Before We Get Into The 2nd Half Of The

Consultation And I’ll Return Your Money In Full.

I am currently booked 10 days in advance for these Marketing Checkups, so please let me know now today if you want me to increase the effectiveness of all your ads, letters and promotions.

Pick up the phone and call me now on XXX-XXXX. Otherwise, I will be calling you next week to answer any questions you may have. Regards, [Your Name] PS: I have attached some testimonials with the sort of results you can expect after a Marketing Checkup of your business.


Page 23

How To Double Or Triple The Response To Your Sales Letters

There is an easy way to increase the response to your direct mail. You should follow up your

letters with a phone call. A call will usually get a response from all the people who...

1. Were very interested in your offer, but got busy and simply forgot to call you at the time of getting the letter. (In most cases they may never get to call you since the letter get lost on their desk)

2. Were ‘sort of” interested, but still had a few question they wanted answered before making the final commitment.

3. Did not get the letter at all. (Yes that happens often). Simply send out another one and call them back in a week.

4. Were not interested in this offer but your letter sparked interest in something else they may want from you. Your call will prompt action from them to get what they want.

It is not uncommon to get thousands of dollars extra with a phone follow up. Business you would never have got otherwise. So follow up all your mailings for the Checkup. When we did this we were getting 5 to 6 Checkups a week! Admittedly at the time I was still doing them at the cheap rate of $750. But what the heck, it was still a great response.

On the following page you’ll see Example #3. It’s a telephone script you can use for your follow up. Use it or develop your own using mine as a starter.


Page 23

How To Double Or Triple The Response To Your Sales Letters

There is an easy way to increase the response to your direct mail. You should follow up your

letters with a phone call. A call will usually get a response from all the people who...

1. Were very interested in your offer, but got busy and simply forgot to call you at the time of getting the letter. (In most cases they may never get to call you since the letter get lost on their desk)

2. Were ‘sort of” interested, but still had a few question they wanted answered before making the final commitment.

3. Did not get the letter at all. (Yes that happens often). Simply send out another one and call them back in a week.

4. Were not interested in this offer but your letter sparked interest in something else they may want from you. Your call will prompt action from them to get what they want.

It is not uncommon to get thousands of dollars extra with a phone follow up. Business you would never have got otherwise. So follow up all your mailings for the Checkup. When we did this we were getting 5 to 6 Checkups a week! Admittedly at the time I was still doing them at the cheap rate of $750. But what the heck, it was still a great response.

On the following page you’ll see Example #3. It’s a telephone script you can use for your follow up. Use it or develop your own using mine as a starter.


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Page 25

Example #3

Phone Script For Following UP The “Dollar Bill” letter.

You: Good morning, could I speak to ___________ Receptionist: Yes, may I ask what it is in regard to? You: Yes. My name is _________ and I’m calling in regard to a letter we sent recently. __________ is one of our clients. Client: Hello. You: Is this ________ Client: Yes. You: _______ ________ [full name] Client: Yes. You: Thank you. _______, my name is _______ . I am [Your name]’s personal assistant. He/She asked me to call you regarding a letter he sent you recently. You’ll remember it because it had a dollar bill attached to it... Client: [You ‘11 get comments here. If not, just carry on...] You: Great. As you may be aware, [your name] has recently developed a system for helping businesses such as yours to get new - customers and maximize the effectiveness of all your ads, letters and promotions. Would you like [your name] to have a look at your marketing materials and analyze the way you promote your business, to see if he can help you? IF ‘YES’ Great! What you have to do now is send me everything you’ve done to promote yourself and your three greatest challenges in your business. As soon as I’ve received this I’ll book you in with [your name] for an initial analysis of your marketing strategies and ads. IF ‘NO’ Well fine, _______ . Is there a reason for that? and then... Is there any other areas in your business that we could help you? (and try to find out other areas you can get their business in)


Page 25

Example #3

Phone Script For Following UP The “Dollar Bill” letter.

You: Good morning, could I speak to ___________ Receptionist: Yes, may I ask what it is in regard to? You: Yes. My name is _________ and I’m calling in regard to a letter we sent recently. __________ is one of our clients. Client: Hello. You: Is this ________ Client: Yes. You: _______ ________ [full name] Client: Yes. You: Thank you. _______, my name is _______ . I am [Your name]’s personal assistant. He/She asked me to call you regarding a letter he sent you recently. You’ll remember it because it had a dollar bill attached to it... Client: [You ‘11 get comments here. If not, just carry on...] You: Great. As you may be aware, [your name] has recently developed a system for helping businesses such as yours to get new - customers and maximize the effectiveness of all your ads, letters and promotions. Would you like [your name] to have a look at your marketing materials and analyze the way you promote your business, to see if he can help you? IF ‘YES’ Great! What you have to do now is send me everything you’ve done to promote yourself and your three greatest challenges in your business. As soon as I’ve received this I’ll book you in with [your name] for an initial analysis of your marketing strategies and ads. IF ‘NO’ Well fine, _______ . Is there a reason for that? and then... Is there any other areas in your business that we could help you? (and try to find out other areas you can get their business in)


Page 26



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Page 27

How To Customize Marketing Checkups To Specific Industry Groups.

You may find that marketing to certain industry groups will be easier if you customize your sales letter with their jargon and their industry or business type.

You should customize the headline and, where possible, some of the contents of the letter itself. In most cases it’ll simply be a few words on each page you’ll have to change.

For example if you are targeting Accountants you’d use the letter as per Example #4 on the following page. However, if you were targeting restaurants you’d substitute the word restaurants instead of ‘accountants.’ In the body copy of the letter you’d say ‘customers or patrons’ instead of clients.

This ‘customization’ will increase your response greatly in most cases.

On the following page you’ll see Example #4. It’s a letter that demonstrates the ‘customization principle. It works. We used it to sell a number of Checkups for accountancy practices.

Try it. It may work for you as well!!


Page 27

How To Customize Marketing Checkups To Specific Industry Groups.

You may find that marketing to certain industry groups will be easier if you customize your sales letter with their jargon and their industry or business type.

You should customize the headline and, where possible, some of the contents of the letter itself. In most cases it’ll simply be a few words on each page you’ll have to change.

For example if you are targeting Accountants you’d use the letter as per Example #4 on the following page. However, if you were targeting restaurants you’d substitute the word restaurants instead of ‘accountants.’ In the body copy of the letter you’d say ‘customers or patrons’ instead of clients.

This ‘customization’ will increase your response greatly in most cases.

On the following page you’ll see Example #4. It’s a letter that demonstrates the ‘customization principle. It works. We used it to sell a number of Checkups for accountancy practices.

Try it. It may work for you as well!!


Page 28



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Page 29

Example #4

How to get new clients and referrals for your Accountancy Practice – even

if your fees are higher than your competitors. Hi there! Thanks for wanting to know more. The Profit Improvement Plan with a Marketing Checkup will give you practical, step-by-step tools you need to immediately increase your income. It’s a complete analysis and review of your marketing and advertising strategies and is designed for fast, measurable results. Let’s face it, we all have our strengths and weaknesses. Sometimes, because you are too close to your Accountancy Practice it’s hard to see how to improve your results -- without working harder or longer. And that’s where I may be able to help you. By analyzing what you are doing now, I’ll be able to see what overlooked windows of opportunities you have, and you’ll get strategies to take advantage of these opportunities. Let me explain what we do for you. Firstly, you send us copies of all your newspaper, magazine and Yellow Pages ads. Copies of brochures, quotes, letters, radio and T.V ads (if any). In fact any promotion you have ever done. Then we’ll fill out an extensive questionnaire with you over the phone, to help us understand your Practice better. We then analyze your information and the materials you send us. If we can help you, we’ll set a time for a one hour consultation, which we audio-tape over the phone or in our office. In this hour…

You’ll get specific strategies on how to best market your Accountancy Practice. PLUS you’ll learn what promotions

and costly marketing mistakes to avoid. Over a period of time this can save you thousands of dollars. Here are some of the specific strategies you may get in this hour… How to get more business from your existing clients and how to increase the value of each service

you provide. New ways to promote your Practice and increase fee income using low cost strategies.

What you should do to increase the effectiveness of every advertising and marketing dollar you

spend and produce two, three or four times the sales results for as little as half little as half your current marketing cost

Innovative ways to get new client inquiries and how to convert more of them into on-going,


Page 29

Example #4

How to get new clients and referrals for your Accountancy Practice – even

if your fees are higher than your competitors. Hi there! Thanks for wanting to know more. The Profit Improvement Plan with a Marketing Checkup will give you practical, step-by-step tools you need to immediately increase your income. It’s a complete analysis and review of your marketing and advertising strategies and is designed for fast, measurable results. Let’s face it, we all have our strengths and weaknesses. Sometimes, because you are too close to your Accountancy Practice it’s hard to see how to improve your results -- without working harder or longer. And that’s where I may be able to help you. By analyzing what you are doing now, I’ll be able to see what overlooked windows of opportunities you have, and you’ll get strategies to take advantage of these opportunities. Let me explain what we do for you. Firstly, you send us copies of all your newspaper, magazine and Yellow Pages ads. Copies of brochures, quotes, letters, radio and T.V ads (if any). In fact any promotion you have ever done. Then we’ll fill out an extensive questionnaire with you over the phone, to help us understand your Practice better. We then analyze your information and the materials you send us. If we can help you, we’ll set a time for a one hour consultation, which we audio-tape over the phone or in our office. In this hour…

You’ll get specific strategies on how to best market your Accountancy Practice. PLUS you’ll learn what promotions

and costly marketing mistakes to avoid. Over a period of time this can save you thousands of dollars. Here are some of the specific strategies you may get in this hour… How to get more business from your existing clients and how to increase the value of each service

you provide. New ways to promote your Practice and increase fee income using low cost strategies.

What you should do to increase the effectiveness of every advertising and marketing dollar you

spend and produce two, three or four times the sales results for as little as half little as half your current marketing cost

Innovative ways to get new client inquiries and how to convert more of them into on-going,


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loyal clients. Advice on how to get the most out of your existing brochures, Yellow Pages ads, letters, press

releases and any other promotional materials you may have. Different ways to network with other businesses and get more referrals from your clients.

How to develop systems to increase your conversions from potential client inquiries to regular

clients and at higher fees than you are presently getting. How to handle telephone inquiries for increased sales and how to qualify your callers to

avoid the price shoppers. The single most common mistake in getting new clients and how to avoid it before you waste

thousands of dollars and your valuable time. Plus more... As we speak, I’ll tape headlines and opening paragraphs for ads you can use, telephone scripts for you and your staff to use, sales presentations for your staff, outlines of Thank You and business generating letters you can send, plus more -- all aimed at increasing your Practice. It may take you 12 months to apply it all. Following the consultation, you get a prioritized action plan. It contains the most important things you should do to immediately start increasing your profits. You also get a copy of the audio tape. By listening to it several times, you’ll come up with your own ideas sparked from our consultation. Meanwhile, I will have the audio-tape transcribed into a 20-24 page written report which you will receive within 10- 14 days of our consultation. This will become the basis of your marketing plan and future promotional strategies! Your investment for this consultation, the audio-tape and the printed marketing strategy transcript is $2,000. You also get a copy of my $495 Small Business Marketing Magic Manual audio cassette package for your reference. After you get the transcript with the marketing strategies, you may want me to help you implement the ideas, write the ads and letters and design monitoring and telephone inquiry systems I recommended and gave examples of in the consultation. For this on-going support, total ad creation, and copy writing, you will get a separate proposal. I will do this after I see your materials and go through the analysis of your business. Your investment would depend on the amount of work required. However, in most cases you will not need me, you’ll have most of the answers in the tape transcript of the consultation. And of course...

Everything is covered by my money-back guarantee. If you don’t get what I’ve described, you don’t pay.



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loyal clients. Advice on how to get the most out of your existing brochures, Yellow Pages ads, letters, press

releases and any other promotional materials you may have. Different ways to network with other businesses and get more referrals from your clients.

How to develop systems to increase your conversions from potential client inquiries to regular

clients and at higher fees than you are presently getting. How to handle telephone inquiries for increased sales and how to qualify your callers to

avoid the price shoppers. The single most common mistake in getting new clients and how to avoid it before you waste

thousands of dollars and your valuable time. Plus more... As we speak, I’ll tape headlines and opening paragraphs for ads you can use, telephone scripts for you and your staff to use, sales presentations for your staff, outlines of Thank You and business generating letters you can send, plus more -- all aimed at increasing your Practice. It may take you 12 months to apply it all. Following the consultation, you get a prioritized action plan. It contains the most important things you should do to immediately start increasing your profits. You also get a copy of the audio tape. By listening to it several times, you’ll come up with your own ideas sparked from our consultation. Meanwhile, I will have the audio-tape transcribed into a 20-24 page written report which you will receive within 10- 14 days of our consultation. This will become the basis of your marketing plan and future promotional strategies! Your investment for this consultation, the audio-tape and the printed marketing strategy transcript is $2,000. You also get a copy of my $495 Small Business Marketing Magic Manual audio cassette package for your reference. After you get the transcript with the marketing strategies, you may want me to help you implement the ideas, write the ads and letters and design monitoring and telephone inquiry systems I recommended and gave examples of in the consultation. For this on-going support, total ad creation, and copy writing, you will get a separate proposal. I will do this after I see your materials and go through the analysis of your business. Your investment would depend on the amount of work required. However, in most cases you will not need me, you’ll have most of the answers in the tape transcript of the consultation. And of course...

Everything is covered by my money-back guarantee. If you don’t get what I’ve described, you don’t pay.



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By the way, in case you like this offer but are a little apprehensive about doing all of this over the telephone, let me address that. You can actually gain more through a telephone consultation than a face-to-face one. Here’s why a telephone consultation can be infinitely more productive for you. First, and most obvious, is the saving in unnecessary travel costs and wasted time. But more importantly, studies have shown that people hear and retain more by phone, than they do in person. In face-to-face meetings our eyes wander, sizing up the person, exchanging introductions and wondering what impression we are making. Plus we can be distracted by the pictures on the wall, the view out of the window, items and furniture in the room and so on. All these tend to distract our concentration. Telephone consultations eliminate all these distractions. You can focus directly on what you hear. You listen better, comprehend faster, and retain more of what you hear. That’s why for total concentration on your marketing needs I prefer to consult over the phone. I will not hold back in what I advise you. You will get a complete run-down of useful, hand-on, “How-to” marketing strategies for your Accountancy Practice. Enough to keep you busy, and profitable, for a long time. So let’s get on with the first step. Me researching your materials and how you market and promote your practice right now. Incidentally, if after seeing your materials and analyzing your questionnaire I don’t feel I can help you, we will not proceed with the audio-taped consultation. In that case I’ll refund any investment you’ve made immediately and you owe nothing else. Call me on (XXX) XXX-XXXX or fax the form enclosed to (XXX) XXX-XXXX. Regards, [Your name] P.S. I am enclosing some recent testimonials with results that other professionals and business owners have got with the strategies I recommended.


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By the way, in case you like this offer but are a little apprehensive about doing all of this over the telephone, let me address that. You can actually gain more through a telephone consultation than a face-to-face one. Here’s why a telephone consultation can be infinitely more productive for you. First, and most obvious, is the saving in unnecessary travel costs and wasted time. But more importantly, studies have shown that people hear and retain more by phone, than they do in person. In face-to-face meetings our eyes wander, sizing up the person, exchanging introductions and wondering what impression we are making. Plus we can be distracted by the pictures on the wall, the view out of the window, items and furniture in the room and so on. All these tend to distract our concentration. Telephone consultations eliminate all these distractions. You can focus directly on what you hear. You listen better, comprehend faster, and retain more of what you hear. That’s why for total concentration on your marketing needs I prefer to consult over the phone. I will not hold back in what I advise you. You will get a complete run-down of useful, hand-on, “How-to” marketing strategies for your Accountancy Practice. Enough to keep you busy, and profitable, for a long time. So let’s get on with the first step. Me researching your materials and how you market and promote your practice right now. Incidentally, if after seeing your materials and analyzing your questionnaire I don’t feel I can help you, we will not proceed with the audio-taped consultation. In that case I’ll refund any investment you’ve made immediately and you owe nothing else. Call me on (XXX) XXX-XXXX or fax the form enclosed to (XXX) XXX-XXXX. Regards, [Your name] P.S. I am enclosing some recent testimonials with results that other professionals and business owners have got with the strategies I recommended.


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How To “Close The Sale” When Following Up Your Initial Letter.

Once you’ve faxed or sent the letter you simply call the business owner and book a time for the initial questionnaire.

If they are hesitant, you must stress that...

“There is no charge for doing this initial fact-finding. All I want to do is find out if I can help you.” OR “If I can’t help, for whatever reason, we don’t proceed to the next stage. That’s fair isn’t it’?”

“Great. So can we schedule you for…”

“Now what I’ll need before we do the analysis is all your ads, letters, brochures and other promotional material.”

This is a non-threatening way to get a commitment. Once they commit to the questionnaire you’ll find that up to 95% will go all the way (depending on your skill in handling the process). Important: If they don’t send the material you don’t do the questionnaire. Postpone it by another week (you are very busy. remember?). Facts are, if they haven’t taken the time to send you their materials, they are not committed to going through with it.


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How To “Close The Sale” When Following Up Your Initial Letter.

Once you’ve faxed or sent the letter you simply call the business owner and book a time for the initial questionnaire.

If they are hesitant, you must stress that...

“There is no charge for doing this initial fact-finding. All I want to do is find out if I can help you.” OR “If I can’t help, for whatever reason, we don’t proceed to the next stage. That’s fair isn’t it’?”

“Great. So can we schedule you for…”

“Now what I’ll need before we do the analysis is all your ads, letters, brochures and other promotional material.”

This is a non-threatening way to get a commitment. Once they commit to the questionnaire you’ll find that up to 95% will go all the way (depending on your skill in handling the process). Important: If they don’t send the material you don’t do the questionnaire. Postpone it by another week (you are very busy. remember?). Facts are, if they haven’t taken the time to send you their materials, they are not committed to going through with it.


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How to Handle The Fact Finding Questionnaire

This is a critical part of the Checkup process. The idea of this questionnaire is to get a clear picture of where they are at and what you can do to help. The questions are designed to give you most of the answers you’ll need to give them truly valuable advice.

They are questions that most people in business should be asking themselves - but rarely do. It may be a wise move for you to ask yourself the same questions for your consulting business. It’ll help focus your efforts in the most profitable areas.

You must audio-tape this session as well, since you may get ideas of how you can help as you replay it. (Make sure you ask for their permission to do this)

You should also make notes whenever the answers you get during the questionnaire spark an idea in your mind. Jot down brief notes. You can always expand on the ideas later. (You can tell your client you’ll be taking notes as you go)

Once you have the basic ideas, you will then expand on them during the actual One-hour Marketing Checkup consultation. Finish the questionnaire off by telling your client you’ll call them in a couple of days -- After you’ve analyzed their answers to see if you could really help them. Important Note: You should always wait two days before confirming the final Checkup. (Even if you are certain you already have a lot of million dollar ideas for your client) This will increase the perceived value of the advice you are offering. Don’t short-cut this process. You’ll be sorry if you do.


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How to Handle The Fact Finding Questionnaire

This is a critical part of the Checkup process. The idea of this questionnaire is to get a clear picture of where they are at and what you can do to help. The questions are designed to give you most of the answers you’ll need to give them truly valuable advice.

They are questions that most people in business should be asking themselves - but rarely do. It may be a wise move for you to ask yourself the same questions for your consulting business. It’ll help focus your efforts in the most profitable areas.

You must audio-tape this session as well, since you may get ideas of how you can help as you replay it. (Make sure you ask for their permission to do this)

You should also make notes whenever the answers you get during the questionnaire spark an idea in your mind. Jot down brief notes. You can always expand on the ideas later. (You can tell your client you’ll be taking notes as you go)

Once you have the basic ideas, you will then expand on them during the actual One-hour Marketing Checkup consultation. Finish the questionnaire off by telling your client you’ll call them in a couple of days -- After you’ve analyzed their answers to see if you could really help them. Important Note: You should always wait two days before confirming the final Checkup. (Even if you are certain you already have a lot of million dollar ideas for your client) This will increase the perceived value of the advice you are offering. Don’t short-cut this process. You’ll be sorry if you do.


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Example #5

Marketing Checkup PRE-DIAGNOSTIC INTERVIEW CHECKLIST

Name of Client: ________________________________________________ Date: ____________

1. Name of company(s)?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

2. Years in business?

____________________________________________________________________________________

3. Positions and responsibilities of executives being interviewed? Final decision maker(s).

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

4. Number of non-sales employees by category? (Top executives, managers, staff, line workers, etc.)

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

5. Number of sales reps? (Inside, outside, etc.)

________________________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________

6. Financial Statements. (Last couple of years and any year to date info.)

________________________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________

7. Provide any of the following you have or use:


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Example #5

Marketing Checkup PRE-DIAGNOSTIC INTERVIEW CHECKLIST

Name of Client: ________________________________________________ Date: ____________

1. Name of company(s)?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

2. Years in business?

____________________________________________________________________________________

3. Positions and responsibilities of executives being interviewed? Final decision maker(s).

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

4. Number of non-sales employees by category? (Top executives, managers, staff, line workers, etc.)

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

5. Number of sales reps? (Inside, outside, etc.)

________________________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________

6. Financial Statements. (Last couple of years and any year to date info.)

________________________________________________________________________________________________________________________________________________________________________

____________________________________________________________________________________

7. Provide any of the following you have or use:


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A. Marketing Plans

B. Marketing Budgets

C. Product Line Information –Front and Back End, Prices, Costs, JV Splits, Advertising, etc.

D. Compliance Information

E. Current Marketing/Advertising Materials

F. Marketing/Advertising Statistics (Cost of marketing/advertising, cost per lead, cost per sale, response rates, campaign tracking results, number of leads, number of presentations, closing/conversion rates, repeat sales, lifetime value of a customer, test results, current controls, refunds/cancellations, up-selling, cross-selling, etc.?)

*Plus, any or all other financial/statistical information or data you think we should be reviewing.

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

8. What are the major problems facing this organization, whether sales/marketing related or not?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

9. What problems are you facing that are shared by the rest of your industry?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

10. Are there any unique geographic issues?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

11. What governmental or regulatory issues are present?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

12. How does this company rank in terms of sales, etc. with competitors or others in the industry?

__________________________________________________________________________________________________________________________________________________________________________


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A. Marketing Plans

B. Marketing Budgets

C. Product Line Information –Front and Back End, Prices, Costs, JV Splits, Advertising, etc.

D. Compliance Information

E. Current Marketing/Advertising Materials

F. Marketing/Advertising Statistics (Cost of marketing/advertising, cost per lead, cost per sale, response rates, campaign tracking results, number of leads, number of presentations, closing/conversion rates, repeat sales, lifetime value of a customer, test results, current controls, refunds/cancellations, up-selling, cross-selling, etc.?)

*Plus, any or all other financial/statistical information or data you think we should be reviewing.

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

8. What are the major problems facing this organization, whether sales/marketing related or not?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

9. What problems are you facing that are shared by the rest of your industry?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

10. Are there any unique geographic issues?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

11. What governmental or regulatory issues are present?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

12. How does this company rank in terms of sales, etc. with competitors or others in the industry?

__________________________________________________________________________________________________________________________________________________________________________


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__________________________________________________________________________________

13. What kind of staff/rep turnover have you experienced?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

14. Do you assess employees before hiring? During employment?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

15. What sales/marketing tools, systems and practices are employed? ____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

16. What are the greatest areas of potential growth which did not materialize in the last couple of years?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

17. How are communications handled within the organization?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

18. Are there breakdowns in communication?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

19. What is the biggest time bomb ticking in the organization?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

20. What is the current and desired growth rate of the company?

_____________________________________________________________________________________


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__________________________________________________________________________________

13. What kind of staff/rep turnover have you experienced?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

14. Do you assess employees before hiring? During employment?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

15. What sales/marketing tools, systems and practices are employed? ____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

16. What are the greatest areas of potential growth which did not materialize in the last couple of years?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

17. How are communications handled within the organization?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

18. Are there breakdowns in communication?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

19. What is the biggest time bomb ticking in the organization?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

20. What is the current and desired growth rate of the company?

_____________________________________________________________________________________


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_______________________________________________________________________________________________________________________________________________________________________

21. What new products or services do you see as vital in the next few years for the company to continue

to grow at the rate it has or better?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

22. What is the marketing/sales problem(s)/issue(s) as defined by client?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

23. What solutions would the client deem acceptable and desired?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

24. How are marketing/advertising/sales results currently quantified and measured?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

25. What responsibilities/assistance are you looking for from us?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

26. Are there any solutions that would be totally unacceptable?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

27. What's been done so far to address the problems?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


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_______________________________________________________________________________________________________________________________________________________________________

21. What new products or services do you see as vital in the next few years for the company to continue

to grow at the rate it has or better?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

22. What is the marketing/sales problem(s)/issue(s) as defined by client?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

23. What solutions would the client deem acceptable and desired?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

24. How are marketing/advertising/sales results currently quantified and measured?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

25. What responsibilities/assistance are you looking for from us?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

26. Are there any solutions that would be totally unacceptable?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

27. What's been done so far to address the problems?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


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28. Are there any angles or perspectives that you feel need to be explored?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

29. Are there any potential resistance barriers we need to be aware of? (Internal and external.)

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

30. What are the goals of the people responsible for growth and improvement?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

31. What are the time frames they are looking for?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

32. Are there other problems that underlay the surface problems?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

33. Are there any sensitive issues we need to know about?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

34. Have you done any studies or market research?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

35. What are your targeting methods?

__________________________________________________________________________________________________________________________________________________________________________


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28. Are there any angles or perspectives that you feel need to be explored?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

29. Are there any potential resistance barriers we need to be aware of? (Internal and external.)

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

30. What are the goals of the people responsible for growth and improvement?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

31. What are the time frames they are looking for?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

32. Are there other problems that underlay the surface problems?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

33. Are there any sensitive issues we need to know about?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

34. Have you done any studies or market research?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

35. What are your targeting methods?

__________________________________________________________________________________________________________________________________________________________________________


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__________________________________________________________________________________

36. What marketing processes are in place for existing customers/clients?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

37. Are there any formal customer/client referral strategies in place?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

38. Do you have or collect testimonials?

____________________________________________________________________________________

39. What joint venture, strategic alliances, sponsorships, etc., has the company entered into and/or contemplated but not yet accomplished?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

40. What other consultants are currently employed by firm?

a. Name of consultants

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

b. Assignments given to consultants

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

c. Results obtained by consultants

__________________________________________________________________________________________________________________________________________________________________________


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__________________________________________________________________________________

36. What marketing processes are in place for existing customers/clients?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

37. Are there any formal customer/client referral strategies in place?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

38. Do you have or collect testimonials?

____________________________________________________________________________________

39. What joint venture, strategic alliances, sponsorships, etc., has the company entered into and/or contemplated but not yet accomplished?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

40. What other consultants are currently employed by firm?

a. Name of consultants

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

b. Assignments given to consultants

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

c. Results obtained by consultants

__________________________________________________________________________________________________________________________________________________________________________


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__________________________________________________________________________________

41. What do you like about past or existing consulting relationships?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

42. What do you not like about past or existing consulting relationships?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

43. Do you have SOP's (Standard Operating Procedures) in place regarding any functions including but not limited to marketing, sales, order taking, customer service, results analysis, new customer acquisition, communications, dissemination of information, new product/service introduction, etc.?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

44. Have you ever used celebrities or paid or unpaid endorsements from third parties?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

45. What are your personal goals in relation to the business? What aspects do you not like about the business as it now runs that you would like to change due to the effect they have on your personal life?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

46. Describe the highest and best use of your time as you see it, and that fits into what you really like doing.


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__________________________________________________________________________________

41. What do you like about past or existing consulting relationships?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

42. What do you not like about past or existing consulting relationships?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

43. Do you have SOP's (Standard Operating Procedures) in place regarding any functions including but not limited to marketing, sales, order taking, customer service, results analysis, new customer acquisition, communications, dissemination of information, new product/service introduction, etc.?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

44. Have you ever used celebrities or paid or unpaid endorsements from third parties?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

45. What are your personal goals in relation to the business? What aspects do you not like about the business as it now runs that you would like to change due to the effect they have on your personal life?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

46. Describe the highest and best use of your time as you see it, and that fits into what you really like doing.


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________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

47. Do you have any specific but out of the ordinary goals for the business, such as a public offering, expansion overseas, selling out, taking in partners, etc.?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

48. What Unique Selling Propositions do you use for each product/service you offer and promote that answer the question of why people should do business with you over any other options available to them including doing nothing? What benefits do customers derive from using your products and services?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

49. What products/services do you think you should be offering that would enhance and improve the usage of your existing products/services and create a higher lifetime value of a customer?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


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________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

47. Do you have any specific but out of the ordinary goals for the business, such as a public offering, expansion overseas, selling out, taking in partners, etc.?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

48. What Unique Selling Propositions do you use for each product/service you offer and promote that answer the question of why people should do business with you over any other options available to them including doing nothing? What benefits do customers derive from using your products and services?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

49. What products/services do you think you should be offering that would enhance and improve the usage of your existing products/services and create a higher lifetime value of a customer?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


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50. Are there any stories about how your business got started or grown that are unusual or interesting?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

51. Any other information about your business activities related to marketing/selling/training that we haven't discussed that you feel is important to have us understand?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


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50. Are there any stories about how your business got started or grown that are unusual or interesting?

________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

51. Any other information about your business activities related to marketing/selling/training that we haven't discussed that you feel is important to have us understand?

____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________


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Important:

Please send us copies of the following to the address below, together with a short explanation of how and where it was used

and the results it gets you. 1) Sales Letters 2) Advertisements - Newspaper. Magazine etc. 3) Editorial write ups 4) Yellow Pages ad 5) Sample of quotes you send to customers 6) Follow up letters to your customers 7) Brochures 8) Any other promotional materials that’d give us an idea of what you are doing to promote your products or services. The names and phone numbers of two of your best sales people (if applicable) First Name:_____________________________ Surname:_______________________ Telephone:_____________________________ Mobile:_____________________ First Name:_____________________________ Surname:_______________________ Telephone:_____________________________ Mobile:_____________________

[Your Company] Your address

Phone fax


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Important:

Please send us copies of the following to the address below, together with a short explanation of how and where it was used

and the results it gets you. 1) Sales Letters 2) Advertisements - Newspaper. Magazine etc. 3) Editorial write ups 4) Yellow Pages ad 5) Sample of quotes you send to customers 6) Follow up letters to your customers 7) Brochures 8) Any other promotional materials that’d give us an idea of what you are doing to promote your products or services. The names and phone numbers of two of your best sales people (if applicable) First Name:_____________________________ Surname:_______________________ Telephone:_____________________________ Mobile:_____________________ First Name:_____________________________ Surname:_______________________ Telephone:_____________________________ Mobile:_____________________

[Your Company] Your address

Phone fax


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How To “Confirm” the Time for Your $2,000 Marketing Checkup

Now comes the moment of truth. The time has come to book the final Checkup. Two days after the questionnaire call your client and say something like...

“________ , I’ve had a good look at what you’ve sent me and I feel I can help you in the following areas: 1. Increase the response to your Newspaper ads and sales letters 2. Help you sell your products for higher margins 3. Take care of your low-sale periods... by increasing customer inquiries during those times. 4. Give you a system to follow for training your staff to handle the phone in a more effective way. 5. Increase the conversions to sales, from phone calls you get. 6. Give you a template for a better way to quote so that you’ll get more jobs at better prices.

(These should be the ones they said were most important at the end of your question session).

When would be the best time to book the Checkup with you? How about _______________ ?“ (And book the time). Next, you send or fax them the confirmation letter as in Example #6 and the Reservation Form for payment if they haven’t already paid you. (Yes, sometimes you will get paid as soon as they get the first letter) Important: You must be paid before you do the Checkup. Once you “spill the beans” the information you give loses its value at a rapid rate and you may not be paid at all. No matter how good the advice you give is!! You’ve been warned!!


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How To “Confirm” the Time for Your $2,000 Marketing Checkup

Now comes the moment of truth. The time has come to book the final Checkup. Two days after the questionnaire call your client and say something like...

“________ , I’ve had a good look at what you’ve sent me and I feel I can help you in the following areas: 1. Increase the response to your Newspaper ads and sales letters 2. Help you sell your products for higher margins 3. Take care of your low-sale periods... by increasing customer inquiries during those times. 4. Give you a system to follow for training your staff to handle the phone in a more effective way. 5. Increase the conversions to sales, from phone calls you get. 6. Give you a template for a better way to quote so that you’ll get more jobs at better prices.

(These should be the ones they said were most important at the end of your question session).

When would be the best time to book the Checkup with you? How about _______________ ?“ (And book the time). Next, you send or fax them the confirmation letter as in Example #6 and the Reservation Form for payment if they haven’t already paid you. (Yes, sometimes you will get paid as soon as they get the first letter) Important: You must be paid before you do the Checkup. Once you “spill the beans” the information you give loses its value at a rapid rate and you may not be paid at all. No matter how good the advice you give is!! You’ve been warned!!


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Example #6

Here’s how to prepare for your Marketing Checkup and audio-tape recording...

Hello Argus,

The purpose of the Marketing Checkup is to give you what I consider to be the most effective ways to increase your (insert type of business here) business. I will audio-tape this consultation, and it will be transcribed into a 20-24 page report so that you can refer to it over and over again.

It is important that you listen with an open mind. Some of the things that you’ll hear may be

unlike anything you’ve ever done before and some you may already be thinking of doing. Please do not discount my ideas until you’ve tested them in your business.

Everything I’ll tell you works. I do not deal with theory, only practical and proven marketing

principles that work, no matter what business you are in. However, you have to test how well it’ll works for you. The implementation is vital. The first time you try something new, you wilt not execute it until it’s absolute best. It is up to you to test the new ideas and see how well they will work for you.

For the consultation, please have specific questions ready,

together with a short description of what you do and how you do it from a marketing standpoint.

You’ll get my comments on improving the materials you sent me. You’ll hear new ways to attract

customers and keeping your existing customers coming back and bringing friends more often. Plus we’ll look at other ways to market your business.

You may be cut off in the middle of something you are saying during your consultation. Please do

not be offended by that. Given the limited time we have, if I have an idea arising from what you are saying I want to give it to you then and there. This will maximize the value you get from your investment.

Your investment includes the Small Business Marketing Magic Manual and audio-tapes. This is

your reference for a more thorough explanation on how and why some of the concepts and strategies work.

You’ll get a Priorities and Action list. It’s up to you to put the new profit ideas and suggestions

into action. Without action your investment in time and money will have been wasted. Please don’t call me unless you are prepared to follow through on what I tell you.

After this consultation you can work on developing the ideas and strategies. You can also have me fully create all the materials that I talk about in the Checkup. We can make

a separate agreement for this work.


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Example #6

Here’s how to prepare for your Marketing Checkup and audio-tape recording...

Hello Argus,

The purpose of the Marketing Checkup is to give you what I consider to be the most effective ways to increase your (insert type of business here) business. I will audio-tape this consultation, and it will be transcribed into a 20-24 page report so that you can refer to it over and over again.

It is important that you listen with an open mind. Some of the things that you’ll hear may be

unlike anything you’ve ever done before and some you may already be thinking of doing. Please do not discount my ideas until you’ve tested them in your business.

Everything I’ll tell you works. I do not deal with theory, only practical and proven marketing

principles that work, no matter what business you are in. However, you have to test how well it’ll works for you. The implementation is vital. The first time you try something new, you wilt not execute it until it’s absolute best. It is up to you to test the new ideas and see how well they will work for you.

For the consultation, please have specific questions ready,

together with a short description of what you do and how you do it from a marketing standpoint.

You’ll get my comments on improving the materials you sent me. You’ll hear new ways to attract

customers and keeping your existing customers coming back and bringing friends more often. Plus we’ll look at other ways to market your business.

You may be cut off in the middle of something you are saying during your consultation. Please do

not be offended by that. Given the limited time we have, if I have an idea arising from what you are saying I want to give it to you then and there. This will maximize the value you get from your investment.

Your investment includes the Small Business Marketing Magic Manual and audio-tapes. This is

your reference for a more thorough explanation on how and why some of the concepts and strategies work.

You’ll get a Priorities and Action list. It’s up to you to put the new profit ideas and suggestions

into action. Without action your investment in time and money will have been wasted. Please don’t call me unless you are prepared to follow through on what I tell you.

After this consultation you can work on developing the ideas and strategies. You can also have me fully create all the materials that I talk about in the Checkup. We can make

a separate agreement for this work.


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I have spent time researching your business and going over the questionnaire and your materials. However, if you decide to use my assistance to help you with implementing the ideas we come up with, I may need to spend more time with you, your salespeople and with your customers. This would allow me to fine-tune the ideas you’ll get in this consultation for maximum effect.

However, you may not need any further assistance. You’ll probably find that you’ll get all the

wording to the ads, letters and other promotional materials in the transcript, making it real easy to implement. Everything will be outlined in the audio-cassette you’ll get after the consultation and in the 20-24 page transcript of the consultation. (The transcript will take 10 working days to finish and sent to you).

Please be prepared for a ‘best reason’ analysis of your business and it’s potential for increase. I am

going to give you the facts as I see them. My only goal is to increase your business and your profits. I do not plan to mince-words and tell you what you want to hear. I’ll just give you the facts as I

see them and recommendations that I see as being the most effective for your business. Sometime I can be brutally honest, but I will always have your best interest at heart.

I look forward to helping you and your business achieve the full potential you’d always wanted. Regards. Your Name P.S. Make sure you have the list of questions you may want me to answer, time permitting. The

time for you to call me is 10:30 am on February 26th at XXX-XXXX. I’ll have all my recording gear ready on that number waiting for your call.


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I have spent time researching your business and going over the questionnaire and your materials. However, if you decide to use my assistance to help you with implementing the ideas we come up with, I may need to spend more time with you, your salespeople and with your customers. This would allow me to fine-tune the ideas you’ll get in this consultation for maximum effect.

However, you may not need any further assistance. You’ll probably find that you’ll get all the

wording to the ads, letters and other promotional materials in the transcript, making it real easy to implement. Everything will be outlined in the audio-cassette you’ll get after the consultation and in the 20-24 page transcript of the consultation. (The transcript will take 10 working days to finish and sent to you).

Please be prepared for a ‘best reason’ analysis of your business and it’s potential for increase. I am

going to give you the facts as I see them. My only goal is to increase your business and your profits. I do not plan to mince-words and tell you what you want to hear. I’ll just give you the facts as I

see them and recommendations that I see as being the most effective for your business. Sometime I can be brutally honest, but I will always have your best interest at heart.

I look forward to helping you and your business achieve the full potential you’d always wanted. Regards. Your Name P.S. Make sure you have the list of questions you may want me to answer, time permitting. The

time for you to call me is 10:30 am on February 26th at XXX-XXXX. I’ll have all my recording gear ready on that number waiting for your call.


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The Marketing Checkup Outline Part 1. Before the Checkup.

It is vital that you check all your recording equipment well before the Checkup. The last thing you want to do is to do the Checkup and find out that you have an hour of blank tape. (Yes. I have done it)

Preferably check the recording just as you start the consultation and have a back-up handy just in

case. It’ll save you a lot of frustration later. Make sure you prepare what you are going to say, especially during your first few Checkups. I

even used to write out the ads and letters I was going to give them during the audio session. Then I simply read them into the tape!

Ready now. Lets go and do the Checkup.

Part 2. How to do the Checkup. The 5 steps you should follow for good results.

The moment of truth has arrived. You have followed all the steps, prepared your materials and are on the phone to the client. Here’s how you should approach it for best results...

Step #1. Open Checkup by asking, “let’s review what are the 3 most important things you want to get out of this Checkup?” This focuses your client on what they want to achieve in the consultation.

Step #2. Start by critiquing their ads, letters, brochures and other materials. This is easy to get going for you since you have them in front of you and had time to make notes.

Step #3. Next you will go into the strategies you developed for them. The best way to start is to ask them questions to clarify their marketing for you, and record it on tape for their record. Such as… “What has been the most effective ad/marketing campaign? What did you say or do to get the best sales? Tell me how you sell your products again?”

Once you’ve asked them to clarify their marketing, they may also come up with some good phrases that they can then use to train their staff with. Tell them to train their sales staff in that way. They’ll think you are a genius.

Step #4. Half way through, tell them you are going to turn the tape. Once you do that, continue the consultation. Your client is obviously happy and wants to pay you to keep going. You have already earned your fee at this point.

Step #5. End the Checkup by asking them what are the two ideas they will implement first and when. This forces them to make a commitment. End Of Tape.


Page 51

The Marketing Checkup Outline Part 1. Before the Checkup.

It is vital that you check all your recording equipment well before the Checkup. The last thing you want to do is to do the Checkup and find out that you have an hour of blank tape. (Yes. I have done it)

Preferably check the recording just as you start the consultation and have a back-up handy just in

case. It’ll save you a lot of frustration later. Make sure you prepare what you are going to say, especially during your first few Checkups. I

even used to write out the ads and letters I was going to give them during the audio session. Then I simply read them into the tape!

Ready now. Lets go and do the Checkup.

Part 2. How to do the Checkup. The 5 steps you should follow for good results.

The moment of truth has arrived. You have followed all the steps, prepared your materials and are on the phone to the client. Here’s how you should approach it for best results...

Step #1. Open Checkup by asking, “let’s review what are the 3 most important things you want to get out of this Checkup?” This focuses your client on what they want to achieve in the consultation.

Step #2. Start by critiquing their ads, letters, brochures and other materials. This is easy to get going for you since you have them in front of you and had time to make notes.

Step #3. Next you will go into the strategies you developed for them. The best way to start is to ask them questions to clarify their marketing for you, and record it on tape for their record. Such as… “What has been the most effective ad/marketing campaign? What did you say or do to get the best sales? Tell me how you sell your products again?”

Once you’ve asked them to clarify their marketing, they may also come up with some good phrases that they can then use to train their staff with. Tell them to train their sales staff in that way. They’ll think you are a genius.

Step #4. Half way through, tell them you are going to turn the tape. Once you do that, continue the consultation. Your client is obviously happy and wants to pay you to keep going. You have already earned your fee at this point.

Step #5. End the Checkup by asking them what are the two ideas they will implement first and when. This forces them to make a commitment. End Of Tape.


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Once the tape is off, ask them if they want the audio now or will they wait for the transcript to be finished. Tell them to expect the audio in 2-3 days and the transcript in about 10 days. Make sure you present the package well. Add a report or another bonus with it as a nice touch. Important Note: Send the thank you letter as in Example #7 with audios and transcript. On this letter you should summarize the 5 or 6 of the most important strategies you’ve given them in the Checkup.


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Once the tape is off, ask them if they want the audio now or will they wait for the transcript to be finished. Tell them to expect the audio in 2-3 days and the transcript in about 10 days. Make sure you present the package well. Add a report or another bonus with it as a nice touch. Important Note: Send the thank you letter as in Example #7 with audios and transcript. On this letter you should summarize the 5 or 6 of the most important strategies you’ve given them in the Checkup.


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Example 7: Thank You Letter

Thank You Argus! Chicago, IL March 1, 1998 Hello Argus,

Thanks for having the Marketing Checkup done with me. I’m sure you’ll find lots of good information on the enclosed tape. Please listen to it at least 4 times.

Based on what we talked about, here’s an overview of the most important things for you to do and ideas to apply...

Test different headlines and offers in your newspaper ads. Keep running the ads every month or even every week if they are profitable.

Test a contest in the paper - “Win A Free $2000 Roof Restoration” or “Win A Free $500 Roof Repair”. Follow up the entrants with a letter or call.

Test direct mail in older areas. Attach a dummy check for $300 to the letter. Personalize it and laser print it.

Set up a sheet with space for three referrals - include with all your subsequent communications.

Send a thank you letter and ‘1 Year Birthday’ letter to customers.

Test a strong Money Back Guarantee in your ads.

For details on how to implement some of the above ideas listen to the tape. You’ll get some of the wording and openings I used on the tape for your headlines, letters, ads, etc.

All the best and thanks again for letting me help your business.

Regards,

[Your Name] P.S. In the tape you’ll find a lot of the wording to use in your letters, ads, testimonials and sales approaches. Read the transcript at least three times, highlight the relevant sections and use them as a start to create all the above. P.P.S. Make sure you send me a copy of what you are doing. I’ll give you a free critique and ideas on how


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Example 7: Thank You Letter

Thank You Argus! Chicago, IL March 1, 1998 Hello Argus,

Thanks for having the Marketing Checkup done with me. I’m sure you’ll find lots of good information on the enclosed tape. Please listen to it at least 4 times.

Based on what we talked about, here’s an overview of the most important things for you to do and ideas to apply...

Test different headlines and offers in your newspaper ads. Keep running the ads every month or even every week if they are profitable.

Test a contest in the paper - “Win A Free $2000 Roof Restoration” or “Win A Free $500 Roof Repair”. Follow up the entrants with a letter or call.

Test direct mail in older areas. Attach a dummy check for $300 to the letter. Personalize it and laser print it.

Set up a sheet with space for three referrals - include with all your subsequent communications.

Send a thank you letter and ‘1 Year Birthday’ letter to customers.

Test a strong Money Back Guarantee in your ads.

For details on how to implement some of the above ideas listen to the tape. You’ll get some of the wording and openings I used on the tape for your headlines, letters, ads, etc.

All the best and thanks again for letting me help your business.

Regards,

[Your Name] P.S. In the tape you’ll find a lot of the wording to use in your letters, ads, testimonials and sales approaches. Read the transcript at least three times, highlight the relevant sections and use them as a start to create all the above. P.P.S. Make sure you send me a copy of what you are doing. I’ll give you a free critique and ideas on how


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to re-fine it if necessary. How To Make A Surgeon’s Income By Jeff Paul and Jim Fleck

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to re-fine it if necessary.


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How to Turn Your Checkups into a Money Machine

The best way to supercharge your income and get credibility in the marketplace is to create a product from the Checkup. You can take parts of the Checkup and make a Special Report you advertise to get leads for your consulting business. Or you can add some audios and polish up the Checkup transcript to create a industry specific product.

Package this with some general marketing material such as your Small Business Marketing Magic

Manual to give it more value and sell the whole package for $395 to $1,495. Important: Make sure you change the names of people and company in the transcripts. Only sell

the transcript - never the audio itself. (unless your client agrees).


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How to Turn Your Checkups into a Money Machine

The best way to supercharge your income and get credibility in the marketplace is to create a product from the Checkup. You can take parts of the Checkup and make a Special Report you advertise to get leads for your consulting business. Or you can add some audios and polish up the Checkup transcript to create a industry specific product.

Package this with some general marketing material such as your Small Business Marketing Magic

Manual to give it more value and sell the whole package for $395 to $1,495. Important: Make sure you change the names of people and company in the transcripts. Only sell

the transcript - never the audio itself. (unless your client agrees).


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Page 57

Appendix


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Appendix


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Page 59

Ads and Free Reports A great way to make your consulting business low risk is to generate only qualified leads for your

marketing checkups. You can then send them free marketing reports along with the sales letter that sells the Marketing

Checkup. We’ve included a couple lead generation ads as well as some Special Reports you can use in your

business. You can also provide these reports for them to read after they sign up and are awaiting their

consultation or after their consultation is done, you can use them as an added value item when you send them the audio tape and transcription.

Yellow Pages Consultation This is a consultation on Yellow Pages that should be useful as a resource. Even if you don’t

understand all of it, there is plenty to get you started.

Marketing Consultant’s Small Business Marketing Magic Checklist This is simply something you should print off and keep posted above your phone or computer to

use as a memory jogger of all the things you can do to improve your client’s business. They will be amazed when mention two quick ways to increase customers, 1 to increase retention, a couple to increase the amount they spend, etc.

No successful marketing consultant works without a checklist like this.

Marketing Consultant’s Advanced Sample Consultation This is a consultation Jeff Paul did for a client. It is the report that he provided to them. It is much

more advanced than just a checkup, however, that is where it started. With the questionnaire you have in this course. (the names and product have been changed for privacy reasons.)


Page 59

Ads and Free Reports A great way to make your consulting business low risk is to generate only qualified leads for your

marketing checkups. You can then send them free marketing reports along with the sales letter that sells the Marketing

Checkup. We’ve included a couple lead generation ads as well as some Special Reports you can use in your

business. You can also provide these reports for them to read after they sign up and are awaiting their

consultation or after their consultation is done, you can use them as an added value item when you send them the audio tape and transcription.

Yellow Pages Consultation This is a consultation on Yellow Pages that should be useful as a resource. Even if you don’t

understand all of it, there is plenty to get you started.

Marketing Consultant’s Small Business Marketing Magic Checklist This is simply something you should print off and keep posted above your phone or computer to

use as a memory jogger of all the things you can do to improve your client’s business. They will be amazed when mention two quick ways to increase customers, 1 to increase retention, a couple to increase the amount they spend, etc.

No successful marketing consultant works without a checklist like this.

Marketing Consultant’s Advanced Sample Consultation This is a consultation Jeff Paul did for a client. It is the report that he provided to them. It is much

more advanced than just a checkup, however, that is where it started. With the questionnaire you have in this course. (the names and product have been changed for privacy reasons.)


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Lead Generation Ad


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Lead Generation Ad


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Page 63

Attention: Business Owners

How To Get More Customers And Increase The Effectiveness of All Your

Ads, Letters, Promotions and Brochures.

No matter what business you’re in, a professional, retailer or tradesman, 99% of the success or failure comes directly from your ability to attract and keep customers and from your ability to market yourself to them.

It’s not always the business that has the best quality

products or service that makes the most money. The businesses that make the most money simply know how to sell their products or services better than their competitors.

The key to getting more income and working less in any

business is having effective systems for developing good relationships with your customers, and business contacts. PLUS, maximizing the effectiveness of all your ads, letters, Yellow Pages and other promotions.

FREE Report Boosts Response. My FREE Report shows 9 remarkable ways to increase your sales and profits. Call 1-800-278-4046 ext. 100 for a 24 hr free recorded message that reveals how to get yours! No obligation whatsoever. CALL NOW!


Page 63

Attention: Business Owners

How To Get More Customers And Increase The Effectiveness of All Your

Ads, Letters, Promotions and Brochures.

No matter what business you’re in, a professional, retailer or tradesman, 99% of the success or failure comes directly from your ability to attract and keep customers and from your ability to market yourself to them.

It’s not always the business that has the best quality

products or service that makes the most money. The businesses that make the most money simply know how to sell their products or services better than their competitors.

The key to getting more income and working less in any

business is having effective systems for developing good relationships with your customers, and business contacts. PLUS, maximizing the effectiveness of all your ads, letters, Yellow Pages and other promotions.

FREE Report Boosts Response. My FREE Report shows 9 remarkable ways to increase your sales and profits. Call 1-800-278-4046 ext. 100 for a 24 hr free recorded message that reveals how to get yours! No obligation whatsoever. CALL NOW!


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Special Report 1 13 Costly Direct

Marketing Mistakes


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Special Report 1 13 Costly Direct

Marketing Mistakes


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The 13 Most Costly Direct Marketing Mistakes How Many Are Killing Your Profits Right Now?

Without a doubt, the questions that my clients ask most frequently all center on how to get better

results with their direct marketing. I'd say that at least 85% of the calls I take are from people who are disappointed with their results and frustrated with their attempts to correct this costly problem.

You're probably in the same boat. Because your mailings and ads are drawing minimal leads. Or

making very few sales. And they're not generating the kind of profits you need to keep your business healthy.

Are you ready to turn that around completely? Are you ready to put an end to the costly mistakes that

flatten your sales and profits? Great because I'm going to show you precisely how to do just that right now!

In this report, I'm going to show you which mistakes are killing your profits. And precisely what to do

to correct them. Once you've completed this report, you'll have a powerful new set of weapons to make sure all of your direct marketing efforts are cash generators.

The 13 Most Costly Direct Marketing Mistakes -

And What to Do to Make Sure You Conquer Them! Mistake #1: Marketing To The Wrong Audience If you go wrong here, your entire campaign is doomed. It doesn't matter how exceptional a product

you have, how convincing your copy is, or what incredible price you're offering. If you try to sell this amazing widget to the wrong people, I guarantee you that you'll flop. On the other hand, if you offer an average product promoted by pedestrian copy and bearing a median

price, but offered to precisely the right people, it will always pull in some orders. Not that this is your goal. I'm only mentioning this to show you the difference caused by properly defining your audience.

What can you do to make sure you've selected the right market? You have to start by defining

precisely who your product appeals to. Your objective is to find the largest possible market who wants and can afford your product.

At the same time, you want to make sure that your focus is tight enough that you aren't trying to

appeal to too broad a range of interests at once. If you do, your marketing can easily become so watered down, it won't really appeal to anyone. If you're fortunate enough to have a product that appeals to multiple markets, you'll need to develop distinct variations of your sales pieces for each specific market.

Here's how this works. A client recently contacted me to help him determine what was “wrong" with

his direct response advertising. His product was a small container of tear gas that could be carried in a purse or glove compartment.


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The 13 Most Costly Direct Marketing Mistakes How Many Are Killing Your Profits Right Now?

Without a doubt, the questions that my clients ask most frequently all center on how to get better

results with their direct marketing. I'd say that at least 85% of the calls I take are from people who are disappointed with their results and frustrated with their attempts to correct this costly problem.

You're probably in the same boat. Because your mailings and ads are drawing minimal leads. Or

making very few sales. And they're not generating the kind of profits you need to keep your business healthy.

Are you ready to turn that around completely? Are you ready to put an end to the costly mistakes that

flatten your sales and profits? Great because I'm going to show you precisely how to do just that right now!

In this report, I'm going to show you which mistakes are killing your profits. And precisely what to do

to correct them. Once you've completed this report, you'll have a powerful new set of weapons to make sure all of your direct marketing efforts are cash generators.

The 13 Most Costly Direct Marketing Mistakes -

And What to Do to Make Sure You Conquer Them! Mistake #1: Marketing To The Wrong Audience If you go wrong here, your entire campaign is doomed. It doesn't matter how exceptional a product

you have, how convincing your copy is, or what incredible price you're offering. If you try to sell this amazing widget to the wrong people, I guarantee you that you'll flop. On the other hand, if you offer an average product promoted by pedestrian copy and bearing a median

price, but offered to precisely the right people, it will always pull in some orders. Not that this is your goal. I'm only mentioning this to show you the difference caused by properly defining your audience.

What can you do to make sure you've selected the right market? You have to start by defining

precisely who your product appeals to. Your objective is to find the largest possible market who wants and can afford your product.

At the same time, you want to make sure that your focus is tight enough that you aren't trying to

appeal to too broad a range of interests at once. If you do, your marketing can easily become so watered down, it won't really appeal to anyone. If you're fortunate enough to have a product that appeals to multiple markets, you'll need to develop distinct variations of your sales pieces for each specific market.

Here's how this works. A client recently contacted me to help him determine what was “wrong" with

his direct response advertising. His product was a small container of tear gas that could be carried in a purse or glove compartment.


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The first question I asked was who he was trying to market to. His answer was female college students who were concerned about the rising crime rate on our nation's campuses. His initial campaign pulled a dismal response.

What was wrong here? My client had made a fatal error. He had picked a market that had only a

minor interest in his product and very little discretionary income. Think about it. College students have very little money to spend, and what they do have goes toward

clothes and entertainment. And despite the rise in crime, college students are at the age when they generally feel invincible. They don't believe that they will personally be affected by anything negative. You can't change this. And trying to market against these known facts is suicidal.

A little research would have revealed that my client's actual market was senior citizens. These folks

are truly concerned about their personal safety and would be willing to spend $20 or so to gain some peace of mind. He could then market to senior citizen groups, neighborhood watch program members, and other similar markets.

One more thing. If he did decide to pursue the colleges as a secondary market, a more accurate target

audience would be the parents of college students. They are the ones who are truly concerned about the problems on campus. This campaign would make use of much of the same marketing information used to sell to seniors, but it would require focusing on those problems and benefits that distinctly appeal to this very different group.

Mistake #2: Assuming You Know What Products Your Customers Want The Most This is one of the most costly errors you can possibly make. And one of the most common errors

made by companies of all sizes. Although smaller companies and start-ups are more prone to this type of critical error, the big guys still make this mistake with regularity.

Look at the "New Coke" of a few years back. I doubt that little, if any, test marketing was done. It was

more a reaction to the competition than a true desire in the marketplace. And the results were a swift, spectacular flop.

If you're going to be successful in direct marketing, it's absolutely essential that you have a product

that your customers need. And it's even better if they need to replenish their supply regularly. How do you come up with such a product? There are two key ingredients. The first is to develop only those products that your market demands.

This is so simple, you'd think it was obvious, but based on the problems my clients present me with on a daily basis, I can assure you there are very few market-driven products being developed today.

Here's what you must do to make sure your products are of real value to your market. And, as a

logical consequence, produce the kind of profits you really want. You must connect with your typical customers and find out from them exactly what kind of problems plague them or what vital goals they're burning to achieve.

There are many ways to do this. Call up some of the people you do business with on a regular basis.

Go visit a few more, and get to know exactly what their needs are. Mother excellent technique, and one


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The first question I asked was who he was trying to market to. His answer was female college students who were concerned about the rising crime rate on our nation's campuses. His initial campaign pulled a dismal response.

What was wrong here? My client had made a fatal error. He had picked a market that had only a

minor interest in his product and very little discretionary income. Think about it. College students have very little money to spend, and what they do have goes toward

clothes and entertainment. And despite the rise in crime, college students are at the age when they generally feel invincible. They don't believe that they will personally be affected by anything negative. You can't change this. And trying to market against these known facts is suicidal.

A little research would have revealed that my client's actual market was senior citizens. These folks

are truly concerned about their personal safety and would be willing to spend $20 or so to gain some peace of mind. He could then market to senior citizen groups, neighborhood watch program members, and other similar markets.

One more thing. If he did decide to pursue the colleges as a secondary market, a more accurate target

audience would be the parents of college students. They are the ones who are truly concerned about the problems on campus. This campaign would make use of much of the same marketing information used to sell to seniors, but it would require focusing on those problems and benefits that distinctly appeal to this very different group.

Mistake #2: Assuming You Know What Products Your Customers Want The Most This is one of the most costly errors you can possibly make. And one of the most common errors

made by companies of all sizes. Although smaller companies and start-ups are more prone to this type of critical error, the big guys still make this mistake with regularity.

Look at the "New Coke" of a few years back. I doubt that little, if any, test marketing was done. It was

more a reaction to the competition than a true desire in the marketplace. And the results were a swift, spectacular flop.

If you're going to be successful in direct marketing, it's absolutely essential that you have a product

that your customers need. And it's even better if they need to replenish their supply regularly. How do you come up with such a product? There are two key ingredients. The first is to develop only those products that your market demands.

This is so simple, you'd think it was obvious, but based on the problems my clients present me with on a daily basis, I can assure you there are very few market-driven products being developed today.

Here's what you must do to make sure your products are of real value to your market. And, as a

logical consequence, produce the kind of profits you really want. You must connect with your typical customers and find out from them exactly what kind of problems plague them or what vital goals they're burning to achieve.

There are many ways to do this. Call up some of the people you do business with on a regular basis.

Go visit a few more, and get to know exactly what their needs are. Mother excellent technique, and one


Page 69

I'm particularly partial to, is the short questionnaire. Here's what you need to make sure your customer questionnaire succeeds in gathering the critical

information you need. Create 5-8 simple questions. True/false or multiple choice where you provide specific choices are the most effective.

Mail this questionnaire out to a couple hundred of your customers. Offer them a special discount, free

booklet, or some other incentive for responding. Then listen to what your market has to say. Develop new products based on the common themes that

are revealed by your customers' answers. Create products that solve their problems or help them achieve important goals. This is the critical first step to ensure that your products generate sizable sales.

The second key ingredient is to test carefully and prudently. I'll never cease to be amazed by how

many companies bypass the testing phase and go straight to full-blown production. This makes no sense at all - and it can be dangerous to your financial health.

Once you've developed your product based on your market's most critical needs, the next step is to

invest as little as possible in developing as few pieces as necessary to test market. Forget about the money that might be saved by producing in volume at this stage. You're testing your product's marketability. No amount of savings on 5000 units can possibly be justified if you only sell 100 of them.

Savvy direct marketers get rich by starting with small tests and increasing volume in stages. Here's a

working rule of thumb:

Never increase your next stage quantity by more than 5 times. This means if your starting quantity is 500, your next production run shouldn't exceed 2500 - - unless

you have signed orders to support a larger quantity. Mistake #3: Focusing Your Copy On You, Your Company, Or Your Product This is a mistake that's made by companies of all sizes, but larger corporations are frequent offenders.

Look, everyone likes to see their name in print. I'm sure that you're rightfully proud of your company and the products you sell. But I urge you to resist the temptation to stroke your ego in your marketing.

Here's why. Customers don't care. They don't care about you, your company, or your product. That

may sound cruel, but it's a fact of business life. Customers care about themselves, their problems, important goals they'd like to achieve, and the

things that will make their lives easier or better. That's just human nature. I'm sure that the last time you bought a book through the mail on reducing your taxes, you didn't

think, "Oh boy, here's the perfect opportunity for me to give McGraw-Hill more money and to help Sally Author get on the best seller list!" Instead, you were thinking something along the lines of, "Alright! Here's something I can use to hang onto a few more of my hard-earned dollars!"

In order to get someone to dip into their wallet and part with their hard-earned currency, you're going

to prove that what you have to offer is worth so much to them, that parting with the money is


Page 69

I'm particularly partial to, is the short questionnaire. Here's what you need to make sure your customer questionnaire succeeds in gathering the critical

information you need. Create 5-8 simple questions. True/false or multiple choice where you provide specific choices are the most effective.

Mail this questionnaire out to a couple hundred of your customers. Offer them a special discount, free

booklet, or some other incentive for responding. Then listen to what your market has to say. Develop new products based on the common themes that

are revealed by your customers' answers. Create products that solve their problems or help them achieve important goals. This is the critical first step to ensure that your products generate sizable sales.

The second key ingredient is to test carefully and prudently. I'll never cease to be amazed by how

many companies bypass the testing phase and go straight to full-blown production. This makes no sense at all - and it can be dangerous to your financial health.

Once you've developed your product based on your market's most critical needs, the next step is to

invest as little as possible in developing as few pieces as necessary to test market. Forget about the money that might be saved by producing in volume at this stage. You're testing your product's marketability. No amount of savings on 5000 units can possibly be justified if you only sell 100 of them.

Savvy direct marketers get rich by starting with small tests and increasing volume in stages. Here's a

working rule of thumb:

Never increase your next stage quantity by more than 5 times. This means if your starting quantity is 500, your next production run shouldn't exceed 2500 - - unless

you have signed orders to support a larger quantity. Mistake #3: Focusing Your Copy On You, Your Company, Or Your Product This is a mistake that's made by companies of all sizes, but larger corporations are frequent offenders.

Look, everyone likes to see their name in print. I'm sure that you're rightfully proud of your company and the products you sell. But I urge you to resist the temptation to stroke your ego in your marketing.

Here's why. Customers don't care. They don't care about you, your company, or your product. That

may sound cruel, but it's a fact of business life. Customers care about themselves, their problems, important goals they'd like to achieve, and the

things that will make their lives easier or better. That's just human nature. I'm sure that the last time you bought a book through the mail on reducing your taxes, you didn't

think, "Oh boy, here's the perfect opportunity for me to give McGraw-Hill more money and to help Sally Author get on the best seller list!" Instead, you were thinking something along the lines of, "Alright! Here's something I can use to hang onto a few more of my hard-earned dollars!"

In order to get someone to dip into their wallet and part with their hard-earned currency, you're going

to prove that what you have to offer is worth so much to them, that parting with the money is


Page 70

insignificant. And that, my friend, is a tall order. To accomplish this, you must talk directly to their needs, wants, desires, problems, and goals.

This means you've got to drop down and get personal. Use a lot of “you” language. Kill all of the

technical babble. Get rid of anything that makes you sound like a pompous, marble encrusted institution. What's that? You say you re selling securities, gemstones, or some other high-ticket, upper echelon

item and you need to sound sophisticated? Sorry, but you're disillusioned - and you stand to compromise your potential profits. Even the upper-crust are people and respond (quite strongly, I'm happy to report) to being treated personally.

Successful marketers understand this. They consistently use it to build their fortunes.

Mistake #4: Assuming You Know What Benefits Your Customers Value The Most Here's another presumptuous error that can cost you dearly. Too often, companies think that since they

created a product, they are the ultimate authority on that product and its benefits. This gets them into trouble.

While your market may remain the same, its needs are volatile and prone to change during the life of a

product. When a product is new, its very newness may be the most appealing factor. As it becomes more

common and other competitors enter the market, price, quality, and additional features take on more importance. Also, the problems that your market faces today may be solved tomorrow. Then you're faced with having to reposition your product to offer solutions to other problems.

Now, where you may ask, do you get all of this crucial marketing data? You go to the source: your

customers. You must constantly poll your customers to find out what their most critical needs, aspirations, problems, and objectives are. Once you've found out, you seize the opportunity and adjust the benefits in your copy accordingly.

Mistake #5: You Think That Your Ad Or Your Product Are Important

Well maybe they are, but not to your customers. It's important to you, your family, your friends, and

your employees. But that's as far as it goes. Customers don't care. They don't wait eagerly to get your sales pitch in the mail. Chances are they'll

pass right by your ad in a newspaper or magazine. They might have a mild interest in your product, but you'd better be able to seize their attention, to reach out and grab them by the throat in order to make your case.

You accomplish this by featuring a benefit in your headline that is so potent, it can't be passed over. This benefit headline should be as subtle as a jackhammer. Look, you have only a few seconds to stop

someone and pull them into the detail of your ad or sales letter. If you can't grab them here and now, you've lost them forever. The page gets turned or your letter hits the trash.

To avoid this, you've got to roll out your biggest, loudest gun right away. Feature it as prominently as


Page 70

insignificant. And that, my friend, is a tall order. To accomplish this, you must talk directly to their needs, wants, desires, problems, and goals.

This means you've got to drop down and get personal. Use a lot of “you” language. Kill all of the

technical babble. Get rid of anything that makes you sound like a pompous, marble encrusted institution. What's that? You say you re selling securities, gemstones, or some other high-ticket, upper echelon

item and you need to sound sophisticated? Sorry, but you're disillusioned - and you stand to compromise your potential profits. Even the upper-crust are people and respond (quite strongly, I'm happy to report) to being treated personally.

Successful marketers understand this. They consistently use it to build their fortunes.

Mistake #4: Assuming You Know What Benefits Your Customers Value The Most Here's another presumptuous error that can cost you dearly. Too often, companies think that since they

created a product, they are the ultimate authority on that product and its benefits. This gets them into trouble.

While your market may remain the same, its needs are volatile and prone to change during the life of a

product. When a product is new, its very newness may be the most appealing factor. As it becomes more

common and other competitors enter the market, price, quality, and additional features take on more importance. Also, the problems that your market faces today may be solved tomorrow. Then you're faced with having to reposition your product to offer solutions to other problems.

Now, where you may ask, do you get all of this crucial marketing data? You go to the source: your

customers. You must constantly poll your customers to find out what their most critical needs, aspirations, problems, and objectives are. Once you've found out, you seize the opportunity and adjust the benefits in your copy accordingly.

Mistake #5: You Think That Your Ad Or Your Product Are Important

Well maybe they are, but not to your customers. It's important to you, your family, your friends, and

your employees. But that's as far as it goes. Customers don't care. They don't wait eagerly to get your sales pitch in the mail. Chances are they'll

pass right by your ad in a newspaper or magazine. They might have a mild interest in your product, but you'd better be able to seize their attention, to reach out and grab them by the throat in order to make your case.

You accomplish this by featuring a benefit in your headline that is so potent, it can't be passed over. This benefit headline should be as subtle as a jackhammer. Look, you have only a few seconds to stop

someone and pull them into the detail of your ad or sales letter. If you can't grab them here and now, you've lost them forever. The page gets turned or your letter hits the trash.

To avoid this, you've got to roll out your biggest, loudest gun right away. Feature it as prominently as


Page 71

you can. Make it so irresistible that only an idiot would pass it by. This is a radically different approach than most ads take. They focus on a clever, catchy headline or

eye-popping visuals. To the detriment of the people who use them, these techniques don't work. They're pure window dressing.

If you want to win more leads and sales, forget about your ad and its fancy layout. Forget about being

clever or creative. Concentrate instead on hitting your customers right between the eyes with the most potent benefit you

have to offer.

Mistake #6: Blindly Accepting That Your Mail Will Actually Reach Its Destination There's bad news on the mail front. Studies by both the Direct Marketing Association and the United

States Postal Service reveal that huge quantities of mail are being dumped in trash bins instead of being delivered. Estimates run as high as 30 percent of all third class mail in some regions of the country.

flut that isn't the only place you can take a direct hit to the pocketbook. Their are some lazy and

unscrupulous employees working in mailing houses. Even in the best of them, and that could easily include the mailing house you're using right now. These people are dumping your precious mailings and gefling false receipts from the post office. That's right, from the same dolts who are already dumping your mail.

Airight, so we both agree that the picture is bleak. But ygij don't have to be a victim of these sleazy,

fraudulent practices. Here's what you do to protect your investment. First off; you stop mailing third class. The studies that were conducted revealed that the object of the

vast majority of this fraud is third class mail. Nearly all first class mail was delivered. Of the first class mail that didn't get delivered, much of that was due to incorrect addressing by its mailers.

You can't afford to risk having your mail dumped in the trash in exchange for the savings that third

class offers. It isn't a justifiable risk. Instead, do everything you can to cut creative and production costs. But don't mail third class.

As for the mailing houses, the answer is simple. Don't let them deliver your mail to the post office.

Deliver it yourself And exarnine every tray or bag for accurate counts before you leave the mailing house. This is the only way you can be sure that you get a full count and your mail gets to the post office.

One more thing. If you're mailing 5000 or more pieces, it's a good idea to drop your mail at 2 or 3

different post offices. This helps reduce the odds of your mail getting durnped, even for first class. Remember, if your mail doesn't reach its destination, you can't sell your products!

Mistake #7: Blindly Accepting That Your Mail Will Get Opened Once It's Been Delivered If you think this way, once again you're a victim of your own ego. Don't get me wrong, I'm not saying

that you're a raging egomaniac with no interests other than yourself. But I am saying that your pride is distorting your view of reality. You falsely believe that your customers are wildly enthusiastic about


Page 71

you can. Make it so irresistible that only an idiot would pass it by. This is a radically different approach than most ads take. They focus on a clever, catchy headline or

eye-popping visuals. To the detriment of the people who use them, these techniques don't work. They're pure window dressing.

If you want to win more leads and sales, forget about your ad and its fancy layout. Forget about being

clever or creative. Concentrate instead on hitting your customers right between the eyes with the most potent benefit you

have to offer.

Mistake #6: Blindly Accepting That Your Mail Will Actually Reach Its Destination There's bad news on the mail front. Studies by both the Direct Marketing Association and the United

States Postal Service reveal that huge quantities of mail are being dumped in trash bins instead of being delivered. Estimates run as high as 30 percent of all third class mail in some regions of the country.

flut that isn't the only place you can take a direct hit to the pocketbook. Their are some lazy and

unscrupulous employees working in mailing houses. Even in the best of them, and that could easily include the mailing house you're using right now. These people are dumping your precious mailings and gefling false receipts from the post office. That's right, from the same dolts who are already dumping your mail.

Airight, so we both agree that the picture is bleak. But ygij don't have to be a victim of these sleazy,

fraudulent practices. Here's what you do to protect your investment. First off; you stop mailing third class. The studies that were conducted revealed that the object of the

vast majority of this fraud is third class mail. Nearly all first class mail was delivered. Of the first class mail that didn't get delivered, much of that was due to incorrect addressing by its mailers.

You can't afford to risk having your mail dumped in the trash in exchange for the savings that third

class offers. It isn't a justifiable risk. Instead, do everything you can to cut creative and production costs. But don't mail third class.

As for the mailing houses, the answer is simple. Don't let them deliver your mail to the post office.

Deliver it yourself And exarnine every tray or bag for accurate counts before you leave the mailing house. This is the only way you can be sure that you get a full count and your mail gets to the post office.

One more thing. If you're mailing 5000 or more pieces, it's a good idea to drop your mail at 2 or 3

different post offices. This helps reduce the odds of your mail getting durnped, even for first class. Remember, if your mail doesn't reach its destination, you can't sell your products!

Mistake #7: Blindly Accepting That Your Mail Will Get Opened Once It's Been Delivered If you think this way, once again you're a victim of your own ego. Don't get me wrong, I'm not saying

that you're a raging egomaniac with no interests other than yourself. But I am saying that your pride is distorting your view of reality. You falsely believe that your customers are wildly enthusiastic about


Page 72

hearing from you. To prove my point, I'm going to use a very important person as my example. You. Think about how

you open your mail. You sort it into piles. Personal letters in this pile, bills in that pile, some junk mail to review in another pile, and the rest of the junk mail straight to the trash! That's reality, folks.

So what words of wisdom can I offer you to make sure that your mail gets opened even though it may

not seem to be of much interest to your customer? Precisely this: Make sure that your mail gets put in a pile that isn't predestined to the trash. Here's how you achieve this most desirable of goals. Remember, you just proved that the mail you

value the most is (1) personal mail; and (2) bills. Then, if it piques your interest, you may look at some of your junk mail.

Your path, then, is clear. To make sure your mail gets opened, make it look as much like personal

mail or a bill as possible. To make it look like personal mail, follow these steps: 1. Avoid mailing labels. 2. Always use a first class stamp - avoid postage meters. 3. No teaser copy. 4 Use your first initial, last name, and address for the return address not a company name or logo. To make your letter look like a bill: 1. Use a window envelope. 2. Use a stamp or postage meter. 3. Use just a return address without company name or logo. 4. Make it look as official as possible. The third - and riskiest - way of striving to get your mail opened is to offer a power-packed benefit on

the envelope, which is called a teaser. "New Fall Catalog Inside" doesn't cut it. You must be able to offer an extremely powerful benefit. A benefit that nobody in their right mind would pass up. Something like, "Here's 3 Simple Ways to Save $246 On Your Heating Bills This Winter". If you can't offer a powerful, hit-them-between-the-eyes benefit, don't even think about using teaser copy.

Mistake #8: Assuming You Have Your Prospect's Undivided Attention The truth is you have very little, if any, of your prospect's attention. You must remember that people

are bombarded by hundreds, even thousands of ads daily. Ads in their mail, on radio, on TV, on


Page 72

hearing from you. To prove my point, I'm going to use a very important person as my example. You. Think about how

you open your mail. You sort it into piles. Personal letters in this pile, bills in that pile, some junk mail to review in another pile, and the rest of the junk mail straight to the trash! That's reality, folks.

So what words of wisdom can I offer you to make sure that your mail gets opened even though it may

not seem to be of much interest to your customer? Precisely this: Make sure that your mail gets put in a pile that isn't predestined to the trash. Here's how you achieve this most desirable of goals. Remember, you just proved that the mail you

value the most is (1) personal mail; and (2) bills. Then, if it piques your interest, you may look at some of your junk mail.

Your path, then, is clear. To make sure your mail gets opened, make it look as much like personal

mail or a bill as possible. To make it look like personal mail, follow these steps: 1. Avoid mailing labels. 2. Always use a first class stamp - avoid postage meters. 3. No teaser copy. 4 Use your first initial, last name, and address for the return address not a company name or logo. To make your letter look like a bill: 1. Use a window envelope. 2. Use a stamp or postage meter. 3. Use just a return address without company name or logo. 4. Make it look as official as possible. The third - and riskiest - way of striving to get your mail opened is to offer a power-packed benefit on

the envelope, which is called a teaser. "New Fall Catalog Inside" doesn't cut it. You must be able to offer an extremely powerful benefit. A benefit that nobody in their right mind would pass up. Something like, "Here's 3 Simple Ways to Save $246 On Your Heating Bills This Winter". If you can't offer a powerful, hit-them-between-the-eyes benefit, don't even think about using teaser copy.

Mistake #8: Assuming You Have Your Prospect's Undivided Attention The truth is you have very little, if any, of your prospect's attention. You must remember that people

are bombarded by hundreds, even thousands of ads daily. Ads in their mail, on radio, on TV, on


Page 73

billboards, in movie theatres, in magazines, in newspapers, being hauled across the sky, on benches, on the back of buses and taxicabs, on shopping carts, even in restroom stalls. All of this is your competition.

Don't kid yourself. You aren't just competing against other companies within your market. You're

competing against everything that vies for your prospect's attention - including nonadvertising interests like work, family, and hobbies.

You must be clear about this going in. Only then can you hone your sights and get serious about the

job you really have to do. The job of creating hard-hitting marketing that will succeed in winning your prospect's precious time.

To do this, you have to create the kind of marketing pieces I've already emphasized. Hard-driving,

persuasive pieces packed with so many benefits, your customer can't help but be interested.

Mistake #9: Lying, Being Deceitful, Or "Standing Too Close To The Shade" I sincerely hope this mistake doesn't include you in its ranks. Unfortunately, some marketers get swept

away by their own greed and wind up stretching the truth beyond its natural range of flexibility. Lying and being deceitful are not only immoral, they're bad business. You can't build a long lasting,

profitable business by cheating people. Successful business depends on repeat customers. If you start cheating people, they won't continue to do business with you. And if there's any justice, you'll go to prison.

Now let's talk about "standing too close to the shade". Many years ago, I took a real estate investment

class. At a certain point in the class, the instructor winked and announced that he was now going to teach some very creative ways of getting people to sign their property over to you. He went on to declare that these methods weren't necessarily shady, but from where you stood you could definitely see the shade.

I can't give you any hard and fast rule on this kind of approach to advertising. All I can do is make a

heartfelt recommendation. If you feel like what you're selling or how you're selling it is getting too close to the shade, I urge you to reconsider.

I just don't believe that it's right. I can also assure you that if you get caught, it can ruin your business.

There's far more consistent money to be made by solving your customers' problems, helping them achieve vital goals, and delivering more than you promised.

And, as an added benefit, you'll sleep well at night!

Mistake #10: Failing To Track Your Results And Use What You've Learned To Compound Your Profits

If you really want to cash in on direct response, this is one mistake you should correct as soon as

possible. One of the greatest advantages of direct marketing is that it's completely measurable. By keying your ads and sales letters (with a unique department number, suite number, person's name, or other identifier), you track precisely what kind of response you get from every ad, list, or advertising medium you use.


Page 73

billboards, in movie theatres, in magazines, in newspapers, being hauled across the sky, on benches, on the back of buses and taxicabs, on shopping carts, even in restroom stalls. All of this is your competition.

Don't kid yourself. You aren't just competing against other companies within your market. You're

competing against everything that vies for your prospect's attention - including nonadvertising interests like work, family, and hobbies.

You must be clear about this going in. Only then can you hone your sights and get serious about the

job you really have to do. The job of creating hard-hitting marketing that will succeed in winning your prospect's precious time.

To do this, you have to create the kind of marketing pieces I've already emphasized. Hard-driving,

persuasive pieces packed with so many benefits, your customer can't help but be interested.

Mistake #9: Lying, Being Deceitful, Or "Standing Too Close To The Shade" I sincerely hope this mistake doesn't include you in its ranks. Unfortunately, some marketers get swept

away by their own greed and wind up stretching the truth beyond its natural range of flexibility. Lying and being deceitful are not only immoral, they're bad business. You can't build a long lasting,

profitable business by cheating people. Successful business depends on repeat customers. If you start cheating people, they won't continue to do business with you. And if there's any justice, you'll go to prison.

Now let's talk about "standing too close to the shade". Many years ago, I took a real estate investment

class. At a certain point in the class, the instructor winked and announced that he was now going to teach some very creative ways of getting people to sign their property over to you. He went on to declare that these methods weren't necessarily shady, but from where you stood you could definitely see the shade.

I can't give you any hard and fast rule on this kind of approach to advertising. All I can do is make a

heartfelt recommendation. If you feel like what you're selling or how you're selling it is getting too close to the shade, I urge you to reconsider.

I just don't believe that it's right. I can also assure you that if you get caught, it can ruin your business.

There's far more consistent money to be made by solving your customers' problems, helping them achieve vital goals, and delivering more than you promised.

And, as an added benefit, you'll sleep well at night!

Mistake #10: Failing To Track Your Results And Use What You've Learned To Compound Your Profits

If you really want to cash in on direct response, this is one mistake you should correct as soon as

possible. One of the greatest advantages of direct marketing is that it's completely measurable. By keying your ads and sales letters (with a unique department number, suite number, person's name, or other identifier), you track precisely what kind of response you get from every ad, list, or advertising medium you use.


Page 74

Being able to track your results gives you a strategic benefit: CONTROL. Your results tell you what's working and what isn't. And exactly how well things are

working. This let's you know which marketing efforts to stick with and which to modify or abandon. It also tells you which product lines are effective, what geographical areas to hit harder, and which media and lists outperform others.

With all of the advantages to be gained from proper tracking, you'd think that everyone would do it

routinely. Not so. Just watch your mail for the next week. when you see how many of the letters you get aren't keyed, and therefore not traceable, you'll be shocked.

Here's my own personal rule on this critical issue: Every marketing piece you create should be keyed for tracking. Everything. All ads, all sales letters, all news releases. You name it, it should be keyed. If not, you're

unnecessarily limiting your income.

Mistake #11: You Don't Have A Profitably Planned Follow-up Campaign This is a crucial point to consider. Why? Because when run properly, an effective follow-up campaign

can double or triple your profits. The fact is that it's much easier and less costly to sell to someone who's already bought from you than

it is to bring in new business. This means that the greatest rewards can be gained from working your house list.

But think about it. When was the last time you bought something and then received a follow-up

offering from that same company? I'd wager that you can't even recall the last time. The companies that are consistently making big profits in direct response have well-oiled follow-up

programs in place. Get your name on the mailing lists of American Express and the American Management Association. These companies run follow-up programs as well as any I've ever seen.

Here are a couple of hints on how to get the most out of your follow-up program. Always include a

follow-up offer with every order you send out. Offer a discount on 3 or 4 recommended items. Strike while the iron is hot. It's the best and easiest time to make another sale.

Send follow-up mailings at least every quarter. Every other month is even better. Keep your products

in the forefront of your customers' awareness. The more you sell to someone, the more trust they build in you. And the more inclined they'll be to buy again. It's a wonderfully perpetuating cycle.

Mistake #12: You're Trying To Sell Unrelated Products This is closely related to the previous point. You can't followup effectively with unrelated products. Direct response is very different than general retail marketing. Unless you are Sears, it's virtually

impossible to offer a wide selection of products that aren't related. Smart marketers realize that the big


Page 74

Being able to track your results gives you a strategic benefit: CONTROL. Your results tell you what's working and what isn't. And exactly how well things are

working. This let's you know which marketing efforts to stick with and which to modify or abandon. It also tells you which product lines are effective, what geographical areas to hit harder, and which media and lists outperform others.

With all of the advantages to be gained from proper tracking, you'd think that everyone would do it

routinely. Not so. Just watch your mail for the next week. when you see how many of the letters you get aren't keyed, and therefore not traceable, you'll be shocked.

Here's my own personal rule on this critical issue: Every marketing piece you create should be keyed for tracking. Everything. All ads, all sales letters, all news releases. You name it, it should be keyed. If not, you're

unnecessarily limiting your income.

Mistake #11: You Don't Have A Profitably Planned Follow-up Campaign This is a crucial point to consider. Why? Because when run properly, an effective follow-up campaign

can double or triple your profits. The fact is that it's much easier and less costly to sell to someone who's already bought from you than

it is to bring in new business. This means that the greatest rewards can be gained from working your house list.

But think about it. When was the last time you bought something and then received a follow-up

offering from that same company? I'd wager that you can't even recall the last time. The companies that are consistently making big profits in direct response have well-oiled follow-up

programs in place. Get your name on the mailing lists of American Express and the American Management Association. These companies run follow-up programs as well as any I've ever seen.

Here are a couple of hints on how to get the most out of your follow-up program. Always include a

follow-up offer with every order you send out. Offer a discount on 3 or 4 recommended items. Strike while the iron is hot. It's the best and easiest time to make another sale.

Send follow-up mailings at least every quarter. Every other month is even better. Keep your products

in the forefront of your customers' awareness. The more you sell to someone, the more trust they build in you. And the more inclined they'll be to buy again. It's a wonderfully perpetuating cycle.

Mistake #12: You're Trying To Sell Unrelated Products This is closely related to the previous point. You can't followup effectively with unrelated products. Direct response is very different than general retail marketing. Unless you are Sears, it's virtually

impossible to offer a wide selection of products that aren't related. Smart marketers realize that the big


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money is made by offering closely related products. For example: a catalog that specializes in computer books is more likely to be successful than a

catalog that offers computer books, cookbooks, general fiction, and diet books. By specializing, you eventually become known as an expert, reliable source in your market area. People place their trust in you because they know you'll deliver what they need. And trust generates sales.

Also, if you focus on and carry a wide variety of computer books, you know precisely who your

audience is and what to feature in your follow-ups. So you can concentrate your efforts on marketing to a single, large audience rather than spreading yourself thin over a variety of markets.

To cash in on direct response, pick an area to specialize in and offer the best group of related products

that you can.

Mistake #13: Changing Your Marketing Out Of Boredom Eventually, you're going to get tired of any marketing piece you use. Either you'll get bored with it,

your family or friends will, or your employees will get sick of seeing the same old thing. And you'll want to change it - to give it a fresh new look or perspective.

I have one word of advice for you. Don't! Don't change any of your marketing because you're sick of seeing it. Don't change any marketing

piece to give it a fresh new look or a little more pizzazz. The only time you should ever change a marketing piece is when it starts to lose its effectiveness.

Then you should carefully test alternatives and see if they up your response. If you can increase your response and profits, then by all means, change your marketing.

But if the market continues to respond to your promotions, you'd be a fool to change. I don't care how

sick you, your friends, your family, or your employees are of seeing the same old marketing. Don't change it!

The only person who should ever dictate a change in your marketing is your bookkeeper. When your

bookkeeper tells you that sales are starting to drop off then you have a valid reason to change your marketing.

Conclusion You've just taken a giant step toward getting the most out of your direct marketing. You've seen which

mistakes can have the most disastrous effects on your marketing. And you now know precisely what to do to keep these mistakes from killing your hard-earned profits.

But just knowing what to do isn't enough. You have to take action to remedy the errors that are

hurting you. If you don't, you'll continue to put your business at risk.


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money is made by offering closely related products. For example: a catalog that specializes in computer books is more likely to be successful than a

catalog that offers computer books, cookbooks, general fiction, and diet books. By specializing, you eventually become known as an expert, reliable source in your market area. People place their trust in you because they know you'll deliver what they need. And trust generates sales.

Also, if you focus on and carry a wide variety of computer books, you know precisely who your

audience is and what to feature in your follow-ups. So you can concentrate your efforts on marketing to a single, large audience rather than spreading yourself thin over a variety of markets.

To cash in on direct response, pick an area to specialize in and offer the best group of related products

that you can.

Mistake #13: Changing Your Marketing Out Of Boredom Eventually, you're going to get tired of any marketing piece you use. Either you'll get bored with it,

your family or friends will, or your employees will get sick of seeing the same old thing. And you'll want to change it - to give it a fresh new look or perspective.

I have one word of advice for you. Don't! Don't change any of your marketing because you're sick of seeing it. Don't change any marketing

piece to give it a fresh new look or a little more pizzazz. The only time you should ever change a marketing piece is when it starts to lose its effectiveness.

Then you should carefully test alternatives and see if they up your response. If you can increase your response and profits, then by all means, change your marketing.

But if the market continues to respond to your promotions, you'd be a fool to change. I don't care how

sick you, your friends, your family, or your employees are of seeing the same old marketing. Don't change it!

The only person who should ever dictate a change in your marketing is your bookkeeper. When your

bookkeeper tells you that sales are starting to drop off then you have a valid reason to change your marketing.

Conclusion You've just taken a giant step toward getting the most out of your direct marketing. You've seen which

mistakes can have the most disastrous effects on your marketing. And you now know precisely what to do to keep these mistakes from killing your hard-earned profits.

But just knowing what to do isn't enough. You have to take action to remedy the errors that are

hurting you. If you don't, you'll continue to put your business at risk.


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Fortunately, none of these mistakes are particularly difficult to correct. All it takes is a little diligence to make sure you carry out these solutions. And there's good reason to. Once you rid yourself of these debilitating mistakes, your sales and profits can grow like crazy!


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Fortunately, none of these mistakes are particularly difficult to correct. All it takes is a little diligence to make sure you carry out these solutions. And there's good reason to. Once you rid yourself of these debilitating mistakes, your sales and profits can grow like crazy!


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Special Report 2 9 Remarkable Ways to

Increase Your Sales and Profits


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Special Report 2 9 Remarkable Ways to

Increase Your Sales and Profits


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9 Remarkable Ways to Increase Your Sales and Profits!

Everyone wants to make more money. Everyone wants to make their marketing more effective....to

get better results....to convert more leads.…to make more sales....to increase their profits as much as possible.

But few people know how. Few people really understand how to force every marketing dollar to work harder - to do the job of 2 or 3 or 5 or 10 dollars. In fact, of all the clients I’ve worked with in the past year, and all those who time wouldn’t permit me to work with, only one came even close to achieving their full marketing and profit potential.

Even this client, as admirable as his efforts and results were, only realized 70% of the profits he could be reaping. Most of my clients, which includes some very savvy marketers, are only realizing 50% or less of their full profit potential!

You’re probably in the same boat. That’s what motivated you to call for this report. Because your marketing is getting lukewarm results. You aren’t getting the number of qualified leads you need. You aren’t increasing your customer base. Sales are in a holding pattern. And you know you aren’t generating the kind of profits you really need to keep your business healthy.

Well, that’s all about to change. Right here, and fight now!

I mean it. It’s far easier to do than you ever imagined. In this report, I’m going to show you exactly which factors are limiting your profits. Then I’ll give you 9 simple, inexpensive, powerful steps you can take to leverage your marketing. I’ll show you everything you need to know to make each of your marketing dollars work as hard as they possibly can to increase your effectiveness, boost your profits, and cut your expenses.

By the time you’ve completed this report, you’ll have a comprehensive set of powerful new tools you can use to make sure your marketing is firing on all cylinders and doing what you really need it to: generating more leads, winning more sales, and shooting your profits through the roof!

What Marketing Leverage Is And How It Can Make Your Business Much More Profitable!

What exactly is leverage? For our purposes, it’s the ability to improve a component part of your

marketing resulting in the increase of your sales and profits many times. Now, that might sound a bit technical or complicated, but in actual use, it couldn’t be simpler. Leverage is merely the ability to make more money for exactly the same amount of time, effort, and expense.

Here are a few real life examples. The most widely understood use of leverage is in real estate. In most real estate transactions, you can get 100% of the use and financial benefit of a property for just 20% down. So you’ve leveraged your investment by 80%.


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9 Remarkable Ways to Increase Your Sales and Profits!

Everyone wants to make more money. Everyone wants to make their marketing more effective....to

get better results....to convert more leads.…to make more sales....to increase their profits as much as possible.

But few people know how. Few people really understand how to force every marketing dollar to work harder - to do the job of 2 or 3 or 5 or 10 dollars. In fact, of all the clients I’ve worked with in the past year, and all those who time wouldn’t permit me to work with, only one came even close to achieving their full marketing and profit potential.

Even this client, as admirable as his efforts and results were, only realized 70% of the profits he could be reaping. Most of my clients, which includes some very savvy marketers, are only realizing 50% or less of their full profit potential!

You’re probably in the same boat. That’s what motivated you to call for this report. Because your marketing is getting lukewarm results. You aren’t getting the number of qualified leads you need. You aren’t increasing your customer base. Sales are in a holding pattern. And you know you aren’t generating the kind of profits you really need to keep your business healthy.

Well, that’s all about to change. Right here, and fight now!

I mean it. It’s far easier to do than you ever imagined. In this report, I’m going to show you exactly which factors are limiting your profits. Then I’ll give you 9 simple, inexpensive, powerful steps you can take to leverage your marketing. I’ll show you everything you need to know to make each of your marketing dollars work as hard as they possibly can to increase your effectiveness, boost your profits, and cut your expenses.

By the time you’ve completed this report, you’ll have a comprehensive set of powerful new tools you can use to make sure your marketing is firing on all cylinders and doing what you really need it to: generating more leads, winning more sales, and shooting your profits through the roof!

What Marketing Leverage Is And How It Can Make Your Business Much More Profitable!

What exactly is leverage? For our purposes, it’s the ability to improve a component part of your

marketing resulting in the increase of your sales and profits many times. Now, that might sound a bit technical or complicated, but in actual use, it couldn’t be simpler. Leverage is merely the ability to make more money for exactly the same amount of time, effort, and expense.

Here are a few real life examples. The most widely understood use of leverage is in real estate. In most real estate transactions, you can get 100% of the use and financial benefit of a property for just 20% down. So you’ve leveraged your investment by 80%.


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Now, let’s look at how leverage applies to your marketing. If I can show you a simple sales technique

to get your customers to increase their average purchase amount by 20% with no additional cost or effort on your part, I’ve just leveraged your sales staff. I’ve increased their productivity and your profits by 20%.

Here’s another example. If we change your copy and the new ad outpulls your old ad by 35%, that’s 35% more profit in your pocket for exactly the same cost and effort. In actual application, I’ve seen slight changes in copy increase profits by as much as 300% to 400%. And in his classic book, Tested Advertising Methods, John Caples documents examples of simple copy changes that improved response by as much as 2100%!

There’s one more concept you should understand about increasing your marketing leverage. There are so many areas of your marketing that can be leveraged, the results can be phenomenal. These include ads, headlines, mailing lists, media, prices, offers, publicity, in-store sales, field sales, average purchase amount, repeat sales, referrals, new customer leads, lead conversion and on and on. Taken alone, each of these components may increase your sales and profits just a few percentage points. But get them all working together, and they can shoot your profits through the roof!

9 Fast Ways To Leverage Your Marketing Success!

Now that you understand what marketing leverage is, let’s look at the nine fastest, easiest ways to use it to boost your sales and profits.

1. Leverage Your Mailing Lists And Advertising Media

I’m going to cover this point first because lists and media are the most critical components of any campaign. I don’t care how great your product is, how powerful your offer is, how low your price is, how well written your copy may be, or how striking a layout you’ve used. Mail to the wrong list or advertise in inappropriate media and all of your time, effort, and money is completely wasted.

Here’s the hard, cold truth. A mediocre piece mailed to precisely the right people or run in the right media will get significantly better results than the most powerful piece sent to the wrong list or run in the wrong media.

Leveraging your list and media usage isn’t difficult. Here’s how to do it. For mailing lists, always use a list broker. In fact, use 3 to 5 list brokers. Once you have your package together, send it to 3 to 5 list brokers and ask them to recommend lists they think will respond well. To start, test those lists that are recommended by more than one broker. Once you’ve had good results with a broker or brokers, test other lists they recommend.

Always ask your brokers what fields they specialize in and try to find brokers with experience in your type of business. By the way, it won’t cost you anything to use as many brokers as you’d like, since the list owner, not you, pays their fees.

For advertising, always use media brokers exactly the same way I’ve advised you to use list brokers. Just keep in mind that media brokers usually specialize by the type of media rather than by type of business. Print, radio, and television are usually represented most effectively by different media brokers. But I’ve also seen good brokers who handle more than one type of media. As with list brokers, media


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Now, let’s look at how leverage applies to your marketing. If I can show you a simple sales technique

to get your customers to increase their average purchase amount by 20% with no additional cost or effort on your part, I’ve just leveraged your sales staff. I’ve increased their productivity and your profits by 20%.

Here’s another example. If we change your copy and the new ad outpulls your old ad by 35%, that’s 35% more profit in your pocket for exactly the same cost and effort. In actual application, I’ve seen slight changes in copy increase profits by as much as 300% to 400%. And in his classic book, Tested Advertising Methods, John Caples documents examples of simple copy changes that improved response by as much as 2100%!

There’s one more concept you should understand about increasing your marketing leverage. There are so many areas of your marketing that can be leveraged, the results can be phenomenal. These include ads, headlines, mailing lists, media, prices, offers, publicity, in-store sales, field sales, average purchase amount, repeat sales, referrals, new customer leads, lead conversion and on and on. Taken alone, each of these components may increase your sales and profits just a few percentage points. But get them all working together, and they can shoot your profits through the roof!

9 Fast Ways To Leverage Your Marketing Success!

Now that you understand what marketing leverage is, let’s look at the nine fastest, easiest ways to use it to boost your sales and profits.

1. Leverage Your Mailing Lists And Advertising Media

I’m going to cover this point first because lists and media are the most critical components of any campaign. I don’t care how great your product is, how powerful your offer is, how low your price is, how well written your copy may be, or how striking a layout you’ve used. Mail to the wrong list or advertise in inappropriate media and all of your time, effort, and money is completely wasted.

Here’s the hard, cold truth. A mediocre piece mailed to precisely the right people or run in the right media will get significantly better results than the most powerful piece sent to the wrong list or run in the wrong media.

Leveraging your list and media usage isn’t difficult. Here’s how to do it. For mailing lists, always use a list broker. In fact, use 3 to 5 list brokers. Once you have your package together, send it to 3 to 5 list brokers and ask them to recommend lists they think will respond well. To start, test those lists that are recommended by more than one broker. Once you’ve had good results with a broker or brokers, test other lists they recommend.

Always ask your brokers what fields they specialize in and try to find brokers with experience in your type of business. By the way, it won’t cost you anything to use as many brokers as you’d like, since the list owner, not you, pays their fees.

For advertising, always use media brokers exactly the same way I’ve advised you to use list brokers. Just keep in mind that media brokers usually specialize by the type of media rather than by type of business. Print, radio, and television are usually represented most effectively by different media brokers. But I’ve also seen good brokers who handle more than one type of media. As with list brokers, media


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brokers’ fees are paid by the media, so they cost you nothing.

List and media selection are time-consuming, sophisticated activities. A good broker keeps a finger on the pulse of what’s working. Take advantage of list and media brokers’ expertise to amplify the results of your ads and mailings.

2. Leverage Your Credibility - The Key To Making More And More Sales

After the right list and media, credibility is the next most significant factor in selling more of your products or services. If your prospective customers have never heard of your company or your product, you face a tough, uphill climb.

You see, people are generally creatures of habit. Once they’ve found a product and become comfortable with it, it’s difficult to budge them out of their comfort zone.

Think about it. How many different restaurants do you go to on a regular basis? How many different brands of cars have you bought? How often do you change your brand of toothpaste? If you’re like most people, you tend to stick to a fairly limited range of products.

Secondly, most customers are naturally skeptical. Everyone has been burned more than once by products or services that didn’t perform as promised. When neither your company or product have any credibility with your prospects, the amount of education and persuasion it takes to get them to buy can kill you.

So one of your major tasks as a marketer is to increase your company and product credibility By the way, of the two, company credibility is more important to have than product credibility. If people know and trust you, they’ll usually take a chance on a new product that you’re offering. But you’ll encounter much more buyer reluctance if people know about your product but have no basis for trusting your company.

Here’s how you get the credibility that’s vital to your business:

Offer a powerful, money-back guarantee. Make it unconditional and make it cover a long period of time. Six months minimum, but preferably a year. The longer your guarantee period, the more serious you appear to be about your products. Also, tests have conclusively proven that the longer a customer has your product, the less likely they are to return it. So a short guarantee period can actually increase your returns!

Give your prospective customers testimonials from other people just like them. Get specific

testimonials from your satisfied customers that tell what benefits they’ve gotten or what problems were solved. “We cut our taxes by 13% annually using your advice”, is much more believable and effective than, “We saved a lot of money on our taxes”. Also, get permission to use a satisfied customer’s full name, job title, and company name whenever possible. Specifics compound your credibility. If you don’t have any testimonials of this type, drop a short note to some of your better customers. Tell them exactly what you want. Ask them to give you a specific testimonial and permission to use it in your marketing. A great way to increase the number of testimonials you get is to offer


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brokers’ fees are paid by the media, so they cost you nothing.

List and media selection are time-consuming, sophisticated activities. A good broker keeps a finger on the pulse of what’s working. Take advantage of list and media brokers’ expertise to amplify the results of your ads and mailings.

2. Leverage Your Credibility - The Key To Making More And More Sales

After the right list and media, credibility is the next most significant factor in selling more of your products or services. If your prospective customers have never heard of your company or your product, you face a tough, uphill climb.

You see, people are generally creatures of habit. Once they’ve found a product and become comfortable with it, it’s difficult to budge them out of their comfort zone.

Think about it. How many different restaurants do you go to on a regular basis? How many different brands of cars have you bought? How often do you change your brand of toothpaste? If you’re like most people, you tend to stick to a fairly limited range of products.

Secondly, most customers are naturally skeptical. Everyone has been burned more than once by products or services that didn’t perform as promised. When neither your company or product have any credibility with your prospects, the amount of education and persuasion it takes to get them to buy can kill you.

So one of your major tasks as a marketer is to increase your company and product credibility By the way, of the two, company credibility is more important to have than product credibility. If people know and trust you, they’ll usually take a chance on a new product that you’re offering. But you’ll encounter much more buyer reluctance if people know about your product but have no basis for trusting your company.

Here’s how you get the credibility that’s vital to your business:

Offer a powerful, money-back guarantee. Make it unconditional and make it cover a long period of time. Six months minimum, but preferably a year. The longer your guarantee period, the more serious you appear to be about your products. Also, tests have conclusively proven that the longer a customer has your product, the less likely they are to return it. So a short guarantee period can actually increase your returns!

Give your prospective customers testimonials from other people just like them. Get specific

testimonials from your satisfied customers that tell what benefits they’ve gotten or what problems were solved. “We cut our taxes by 13% annually using your advice”, is much more believable and effective than, “We saved a lot of money on our taxes”. Also, get permission to use a satisfied customer’s full name, job title, and company name whenever possible. Specifics compound your credibility. If you don’t have any testimonials of this type, drop a short note to some of your better customers. Tell them exactly what you want. Ask them to give you a specific testimonial and permission to use it in your marketing. A great way to increase the number of testimonials you get is to offer


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some type of reward. A discount off their next order, a copy of a special report, or extending a warranty period are all effective ways of showing your appreciation.

“Borrow” another company’s credibility and use it to sell your products. This is a tremendous way

to eliminate much of the risk of launching a new product or a new company. If you don’t have much credibility, go to a business that sells related products to your market and strike a deal to sell to their customers. Here’s how this works. Let’s say you sell hand-made gourmet chocolates by direct mail. A great way to increase your sales and profits would be to contact a business that sells fine wines by mail and suggest a joint venture. In return for a percentage of the profits, the wine seller would send a letter to his customer list endorsing your chocolates and offering a special deal to try your product. Because his customers know and trust him, the likelihood of them accepting his endorsed offer is high. You would “borrow” the wine seller’s company credibility to make far more sales than you could by mailing to outside lists. The percentage of profits you’d offer would vary depending on how much you make on each sale. Usually, it would be from 15% to 30%. The key is to make the deal very attractive for your joint-venture partner. Your increased sales will more than compensate for the costs of the profit sharing. Plus, you gain a lot of new customers who you can turn into steady, repeat buyers. Also, I recommend that you pay all costs for the mailing. You’d have to pay to mail to an outside list anyway, so there’s really no additional expense. Actually, your expenses will probably be reduced. Mailing an endorsed offer to 20,000 house customers is nearly always more profitable than mailing cold to an outside list of 100,000 prospects.

3. Leverage Your Headlines

Of all the components of your ad or sales letter that you can change to improve your results, the

headline carries the most weight. The headline is the most crucial component of your copy. It bears the responsibility of pulling people into your ad or sales letter. If you can’t attract peoples’ attention and convince them to read further, you won’t make any sales.

Here’s how to leverage your headlines to get maximum results:

Always test different headlines. Testing is the key to consistently improving your results. I’ve seen one headline outperform another by as much as 4 to 1 with differences of that magnitude, you’d have to be incredibly foolish not to test multiple headlines.

Be sure to change only the headline when you’re headline testing. This same logic applies to any

kind of test. If you change more than one component of your ad or sales letter when you test, you won’t be able to tell which change caused the difference in results.

Keep a swipe file of powerful headlines. Whenever you see a headline that really makes you want

to read an ad or sales letter, be sure to clip it or write it down. Review your swipe file whenever you need to write headlines. You may be able to alter a great headline to suit your needs. Or at very least, great work has a way of stimulating your creative juices.


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some type of reward. A discount off their next order, a copy of a special report, or extending a warranty period are all effective ways of showing your appreciation.

“Borrow” another company’s credibility and use it to sell your products. This is a tremendous way

to eliminate much of the risk of launching a new product or a new company. If you don’t have much credibility, go to a business that sells related products to your market and strike a deal to sell to their customers. Here’s how this works. Let’s say you sell hand-made gourmet chocolates by direct mail. A great way to increase your sales and profits would be to contact a business that sells fine wines by mail and suggest a joint venture. In return for a percentage of the profits, the wine seller would send a letter to his customer list endorsing your chocolates and offering a special deal to try your product. Because his customers know and trust him, the likelihood of them accepting his endorsed offer is high. You would “borrow” the wine seller’s company credibility to make far more sales than you could by mailing to outside lists. The percentage of profits you’d offer would vary depending on how much you make on each sale. Usually, it would be from 15% to 30%. The key is to make the deal very attractive for your joint-venture partner. Your increased sales will more than compensate for the costs of the profit sharing. Plus, you gain a lot of new customers who you can turn into steady, repeat buyers. Also, I recommend that you pay all costs for the mailing. You’d have to pay to mail to an outside list anyway, so there’s really no additional expense. Actually, your expenses will probably be reduced. Mailing an endorsed offer to 20,000 house customers is nearly always more profitable than mailing cold to an outside list of 100,000 prospects.

3. Leverage Your Headlines

Of all the components of your ad or sales letter that you can change to improve your results, the

headline carries the most weight. The headline is the most crucial component of your copy. It bears the responsibility of pulling people into your ad or sales letter. If you can’t attract peoples’ attention and convince them to read further, you won’t make any sales.

Here’s how to leverage your headlines to get maximum results:

Always test different headlines. Testing is the key to consistently improving your results. I’ve seen one headline outperform another by as much as 4 to 1 with differences of that magnitude, you’d have to be incredibly foolish not to test multiple headlines.

Be sure to change only the headline when you’re headline testing. This same logic applies to any

kind of test. If you change more than one component of your ad or sales letter when you test, you won’t be able to tell which change caused the difference in results.

Keep a swipe file of powerful headlines. Whenever you see a headline that really makes you want

to read an ad or sales letter, be sure to clip it or write it down. Review your swipe file whenever you need to write headlines. You may be able to alter a great headline to suit your needs. Or at very least, great work has a way of stimulating your creative juices.


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A headline should have all the subtlety of a hand-grenade. Look, you have only one brief chance to capture your reader’s attention. Don’t waste it. If you’re clever, cute, or vague, you’ll probably lose the reader.

The type of headline that gets the best results focuses on the most relevant benefit your customers

get by doing business with you. A powerful, meaningful advantage, clearly stated, will always win you a strong share of qualified prospects.

4. Leverage Your Offer

Your headline and your offer are closely connected. In fact, many times you’re best headline is a

compelling statement of your offer. “Cashmere Sweaters At 30% Below Our Lowest Prices” is a powerful example.

In order to leverage your offer, first you must create a powerful offer. This might sound obvious, but think about it for a minute. How many ads and sales letters do you see that carry a lukewarm offer? Or worse yet, no offer at all? Take a look at your newspaper today or your mail, You’ll see that very few marketers have even the foggiest notion of how to craft and present a powerful offer.

Here’s the secret to formulating an irresistible offer. Use your offer to shift the risk from your customer to your own shoulders. If you can assure your customers that they have absolutely nothing to risk, and a whole lot to gain by purchasing your product, you greatly increase your odds of making the sale.

“Now you can get the finest Cashmere Sweaters at 30% below our lowest prices. You have to feel this exquisite material to fully appreciate it. So here’s what we’re going to do. Wear one of our luxurious sweaters for 30 days for FREE. Postdate your check until a month from now. If you aren’t in sweater heaven after wearing one of these remarkable garments, just send it back and we’ll return your check. No questions asked.” Now that’s an offer few sane buyers could refuse!

The next thing you need to do is feature your offer right up front. Unless you’re an extremely experienced and sophisticated copywriter, burying your offer in your sales piece severely weakens your chance of making the sale. Place your offer within the headline or first couple of paragraphs of your piece. Then watch your orders soar!

5. Leverage The Price Of Your Product

When it comes to pricing, testing is the name of the game. What’s the best price for your product or service? It’s impossible to know without testing.

Sometimes raising the price of a product can actually increase your sales. Or increase your gross revenue even if the number of sales drops off. Here’s an example. Let’s say you sell a newsletter for $79. And you get a response rate of 3%, which means you sell 30 subscriptions for every 1000 letters you mail. Your gross sales are then $2370.

Now, if you raise your price to $169 and your response rate drops to 2%, you’re only making 20 sales for every 1000 letters mailed. But your gross revenue increases to $3380. Also, you’re fulfillment costs are reduced. And, you may experience a lower rate of cancellations when your perceived value is greater.


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A headline should have all the subtlety of a hand-grenade. Look, you have only one brief chance to capture your reader’s attention. Don’t waste it. If you’re clever, cute, or vague, you’ll probably lose the reader.

The type of headline that gets the best results focuses on the most relevant benefit your customers

get by doing business with you. A powerful, meaningful advantage, clearly stated, will always win you a strong share of qualified prospects.

4. Leverage Your Offer

Your headline and your offer are closely connected. In fact, many times you’re best headline is a

compelling statement of your offer. “Cashmere Sweaters At 30% Below Our Lowest Prices” is a powerful example.

In order to leverage your offer, first you must create a powerful offer. This might sound obvious, but think about it for a minute. How many ads and sales letters do you see that carry a lukewarm offer? Or worse yet, no offer at all? Take a look at your newspaper today or your mail, You’ll see that very few marketers have even the foggiest notion of how to craft and present a powerful offer.

Here’s the secret to formulating an irresistible offer. Use your offer to shift the risk from your customer to your own shoulders. If you can assure your customers that they have absolutely nothing to risk, and a whole lot to gain by purchasing your product, you greatly increase your odds of making the sale.

“Now you can get the finest Cashmere Sweaters at 30% below our lowest prices. You have to feel this exquisite material to fully appreciate it. So here’s what we’re going to do. Wear one of our luxurious sweaters for 30 days for FREE. Postdate your check until a month from now. If you aren’t in sweater heaven after wearing one of these remarkable garments, just send it back and we’ll return your check. No questions asked.” Now that’s an offer few sane buyers could refuse!

The next thing you need to do is feature your offer right up front. Unless you’re an extremely experienced and sophisticated copywriter, burying your offer in your sales piece severely weakens your chance of making the sale. Place your offer within the headline or first couple of paragraphs of your piece. Then watch your orders soar!

5. Leverage The Price Of Your Product

When it comes to pricing, testing is the name of the game. What’s the best price for your product or service? It’s impossible to know without testing.

Sometimes raising the price of a product can actually increase your sales. Or increase your gross revenue even if the number of sales drops off. Here’s an example. Let’s say you sell a newsletter for $79. And you get a response rate of 3%, which means you sell 30 subscriptions for every 1000 letters you mail. Your gross sales are then $2370.

Now, if you raise your price to $169 and your response rate drops to 2%, you’re only making 20 sales for every 1000 letters mailed. But your gross revenue increases to $3380. Also, you’re fulfillment costs are reduced. And, you may experience a lower rate of cancellations when your perceived value is greater.


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Here’s another tip for making more sales when you increase your price. The additional revenue allows you to offer other bonus items as an incentive to get your customers to buy. These bonuses can increase the perceived value of your package and result in many more sales.

Now don’t get me wrong. I’m not saying that the only way to adjust your price is up. Sometimes lowering your prices can result in a significant increase in sales. It’s been my experience though, that most companies tend to under price their goods.

Bottom line, the only way to determine your optimum price is to test and test some more.

6. Leverage Your Copy

Copywriting is a very broad topic and I can’t possibly cover it all here, but I’ll give you a number of solid techniques to leverage your copy for maximum sales.

Test different focus points. Strong copy tends to have one major focus and a couple of minor focal points. When you clearly define the main point to focus on, the task of writing persuasive copy becomes much easier. Focus points that can have a significant impact on your sales include your offer, your strongest benefits, your price, and your credibility. For example, you may try to sell the same product with two different letters - one that focuses on your benefits and the other that focuses on your credibility. The credibility copy would open with powerful testimonials and be written in a testimonial style. It could be in the form of a personalized case history of one customer’s success caused by using your product. The second piece would focus on a powerful benefit tied to an iron-clad guarantee. Either focal point could prove to be much more effective than the other. The only way to know for sure is to test.

Always write from the customer’s point of interest. Customers don’t care much about you, your

company or your product. All they really care about is what they get from using your product. If you fail to show them a distinct, powerful advantage, you can’t expect strong sales. Show your customers beyond a shadow of a doubt exactly how their lives will be better or easier by trading a sum of money that’s insignificant compared to what your product gives them.

Use benefit-rich sub-headers to break up your copy. There are two reasons for this. First, it makes

your copy easier to look at and to read, which ought to help your sales. But more importantly, a lot of people don’t just start reading your letter. They browse it first. Benefit laden sub-headers give your readers a stunning overview of what to expect. By keying on special hot points, you can lure a great number of browsers into the body of your ad or sales letter.

Always tell your customers precisely what you want them to do. Or, stated another way, if you

don’t tell people what to do, most of them will probably do nothing. Get right to the point. Tell your prospective customers to call you, to send in their order right away, to write for more information now, or whatever it is you want them to do. Tell them more than once. And offer them an incentive to do it now.


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Here’s another tip for making more sales when you increase your price. The additional revenue allows you to offer other bonus items as an incentive to get your customers to buy. These bonuses can increase the perceived value of your package and result in many more sales.

Now don’t get me wrong. I’m not saying that the only way to adjust your price is up. Sometimes lowering your prices can result in a significant increase in sales. It’s been my experience though, that most companies tend to under price their goods.

Bottom line, the only way to determine your optimum price is to test and test some more.

6. Leverage Your Copy

Copywriting is a very broad topic and I can’t possibly cover it all here, but I’ll give you a number of solid techniques to leverage your copy for maximum sales.

Test different focus points. Strong copy tends to have one major focus and a couple of minor focal points. When you clearly define the main point to focus on, the task of writing persuasive copy becomes much easier. Focus points that can have a significant impact on your sales include your offer, your strongest benefits, your price, and your credibility. For example, you may try to sell the same product with two different letters - one that focuses on your benefits and the other that focuses on your credibility. The credibility copy would open with powerful testimonials and be written in a testimonial style. It could be in the form of a personalized case history of one customer’s success caused by using your product. The second piece would focus on a powerful benefit tied to an iron-clad guarantee. Either focal point could prove to be much more effective than the other. The only way to know for sure is to test.

Always write from the customer’s point of interest. Customers don’t care much about you, your

company or your product. All they really care about is what they get from using your product. If you fail to show them a distinct, powerful advantage, you can’t expect strong sales. Show your customers beyond a shadow of a doubt exactly how their lives will be better or easier by trading a sum of money that’s insignificant compared to what your product gives them.

Use benefit-rich sub-headers to break up your copy. There are two reasons for this. First, it makes

your copy easier to look at and to read, which ought to help your sales. But more importantly, a lot of people don’t just start reading your letter. They browse it first. Benefit laden sub-headers give your readers a stunning overview of what to expect. By keying on special hot points, you can lure a great number of browsers into the body of your ad or sales letter.

Always tell your customers precisely what you want them to do. Or, stated another way, if you

don’t tell people what to do, most of them will probably do nothing. Get right to the point. Tell your prospective customers to call you, to send in their order right away, to write for more information now, or whatever it is you want them to do. Tell them more than once. And offer them an incentive to do it now.


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The majority of results are won at the point of initial reading. If your readers put your ad or sales letter down, the chances strongly increase that they won’t pick it up later and won’t take any action. To avoid this, tell them clearly and directly what you want them to do. And that you want them to do it now.

7. Leverage Your Repeat Sales

I’m going to let you in on a major secret. If you want to increase your profits by 25% to 75% quickly

and easily, concentrate on repeat sales. Concentrate on selling more products to your existing customers.

I’m going to show you why you should concentrate on repeat sales and how to generate the maximum volume of repeat sales. But first, I need a minute to mount my soapbox. Accept for a moment that what I’ve just told you is true - that you actually can increase your profits substantially by putting more effort into repeat sales. My question then, is why don’t more companies do just this?

I have to tell you, it absolutely baffles me that very few, if any, companies reap the easy profits available from repeat sales. In the last year, of all the clients I’ve consulted with and all the others who wanted to hire me, only one of them was doing what they should to collect these windfall profits! O.K., enough of my lecturing. Here’s what you need to do to get your fair share.

First, it’s important to understand why repeat sales are so easy to make and so profitable. It gets back to the issue of credibility. Once you’ve made a sale and you’ve delivered the benefits you promised, you control a tremendous amount of credibility. Your customers now believe in you.

Offering them other products that you stand behind completely is the easiest way possible to make more sales. You can even offer the same product you’ve already sold them. They now know how good it is and may want another. They probably want more for their family and friends too.

You don’t have to spend a cent convincing your existing customers to take a chance on you. You’ve already cleared that hurdle. And you don’t have to spend the kind of money it takes to find new customers, because you have all the information you need.

You couldn’t come any closer to a sure thing!

How do you go about consistently making repeat sales? It’s simple. All you do is systematically

contact your existing customers at least once every month. Offer them great prices, special selection, stronger guarantees, or bonuses to do more business with you.

You’ll be amazed at the response you get. Customers love to do business with someone they can trust. They’ve been taken advantage of so many times, all you have to do is treat them fairly and deliver what you promise and you can sell them over and over again for years.

Without exception, businesses today spend far too much time looking for new customers and neglect the gold that’s buried in their existing customer list.

Try this out. It isn’t unusual to make more profit off repeat sales than from any other area of your business.


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The majority of results are won at the point of initial reading. If your readers put your ad or sales letter down, the chances strongly increase that they won’t pick it up later and won’t take any action. To avoid this, tell them clearly and directly what you want them to do. And that you want them to do it now.

7. Leverage Your Repeat Sales

I’m going to let you in on a major secret. If you want to increase your profits by 25% to 75% quickly

and easily, concentrate on repeat sales. Concentrate on selling more products to your existing customers.

I’m going to show you why you should concentrate on repeat sales and how to generate the maximum volume of repeat sales. But first, I need a minute to mount my soapbox. Accept for a moment that what I’ve just told you is true - that you actually can increase your profits substantially by putting more effort into repeat sales. My question then, is why don’t more companies do just this?

I have to tell you, it absolutely baffles me that very few, if any, companies reap the easy profits available from repeat sales. In the last year, of all the clients I’ve consulted with and all the others who wanted to hire me, only one of them was doing what they should to collect these windfall profits! O.K., enough of my lecturing. Here’s what you need to do to get your fair share.

First, it’s important to understand why repeat sales are so easy to make and so profitable. It gets back to the issue of credibility. Once you’ve made a sale and you’ve delivered the benefits you promised, you control a tremendous amount of credibility. Your customers now believe in you.

Offering them other products that you stand behind completely is the easiest way possible to make more sales. You can even offer the same product you’ve already sold them. They now know how good it is and may want another. They probably want more for their family and friends too.

You don’t have to spend a cent convincing your existing customers to take a chance on you. You’ve already cleared that hurdle. And you don’t have to spend the kind of money it takes to find new customers, because you have all the information you need.

You couldn’t come any closer to a sure thing!

How do you go about consistently making repeat sales? It’s simple. All you do is systematically

contact your existing customers at least once every month. Offer them great prices, special selection, stronger guarantees, or bonuses to do more business with you.

You’ll be amazed at the response you get. Customers love to do business with someone they can trust. They’ve been taken advantage of so many times, all you have to do is treat them fairly and deliver what you promise and you can sell them over and over again for years.

Without exception, businesses today spend far too much time looking for new customers and neglect the gold that’s buried in their existing customer list.

Try this out. It isn’t unusual to make more profit off repeat sales than from any other area of your business.


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8. Leverage The Average Dollar Amount Of Every Sale You Make

Another tremendous way to generate more profit is to increase the average dollar amount that your customers spend whenever they do business with you. You’d be surprised how easy it is to increase your profits by 15% to 40% just by making a minor change or two to the way you do business.

Here’s how it’s done. First, it’s important to remember that the easiest person to sell more of your products to is an existing customer. But to extend this concept one step further, you can really make some serious money when you realize that the easiest and most convenient time to sell more to your current customers is right at the time that they’re buying from you.

Look, you already have the person in your store or ordering from you if you’re selling by mail or phone. They’ll never be more willing to dig a little deeper into their wallets than at this point of sale. All you need to do to capitalize on the situation is offer your customer a strong incentive to buy more right now.

Getting your customers to spend a little more at the point of sale is a snap. The way you do this is by using a technique called the upsell. Here’s how the upsell works. Essentially, you offer your customers the opportunity to buy even more of what you sell at an attractive discount once they’ve made the commitment to buy something else at the regular price.

If you own a retail store, you set up a special selection of items close by your cash register. Whenever your staff rings up a sale, they tell the customer that because they’ve purchased X dollars worth of goods, they’re entitled to certain items in the special section at a discount of 15% (or whatever figure you choose).

Now the items you feature in your special section should be very popular, quick moving items. They should also be items that have a fairly high profit margin so you can give a liberal discount and still make a decent profit.

Successful upselling is a function of numbers. You’ll find that 15% to 40% of your customers will take advantage of your special offer. But in order to reach these levels of additional sales, your sales people must present the upsell opportunity to every customer at the point of sale.

Using the upsell in direct mail or telephone selling is done in a similar way, but it’s usually limited to just one upsell item. Offering people too many choices by mail or phone can backfire and actually dilute your sales. Also, when upselling by mail or phone, the upsell item should be related to the original item.

For example, if you sell cookware by mail, a good upsell item would be a cookbook. Another would be a set of kitchen utensils. Again, the upsell item is offered at an attractive discount, but only when the customer buys the original item you’re offering.

Upsells are simple, they require almost no additional effort or expense, and they work like wildfire! 9. Leverage Your Profits By Participating In Joint Ventures

Joint ventures are an exceptional way of adding sizable profits to your bottom line. You can use joint

ventures to sell your products to the customers of other businesses. By doing this you’ll not only profit immediately, you’ll also add new customers to your list. This is called a Host Endorsed Joint Venture.


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8. Leverage The Average Dollar Amount Of Every Sale You Make

Another tremendous way to generate more profit is to increase the average dollar amount that your customers spend whenever they do business with you. You’d be surprised how easy it is to increase your profits by 15% to 40% just by making a minor change or two to the way you do business.

Here’s how it’s done. First, it’s important to remember that the easiest person to sell more of your products to is an existing customer. But to extend this concept one step further, you can really make some serious money when you realize that the easiest and most convenient time to sell more to your current customers is right at the time that they’re buying from you.

Look, you already have the person in your store or ordering from you if you’re selling by mail or phone. They’ll never be more willing to dig a little deeper into their wallets than at this point of sale. All you need to do to capitalize on the situation is offer your customer a strong incentive to buy more right now.

Getting your customers to spend a little more at the point of sale is a snap. The way you do this is by using a technique called the upsell. Here’s how the upsell works. Essentially, you offer your customers the opportunity to buy even more of what you sell at an attractive discount once they’ve made the commitment to buy something else at the regular price.

If you own a retail store, you set up a special selection of items close by your cash register. Whenever your staff rings up a sale, they tell the customer that because they’ve purchased X dollars worth of goods, they’re entitled to certain items in the special section at a discount of 15% (or whatever figure you choose).

Now the items you feature in your special section should be very popular, quick moving items. They should also be items that have a fairly high profit margin so you can give a liberal discount and still make a decent profit.

Successful upselling is a function of numbers. You’ll find that 15% to 40% of your customers will take advantage of your special offer. But in order to reach these levels of additional sales, your sales people must present the upsell opportunity to every customer at the point of sale.

Using the upsell in direct mail or telephone selling is done in a similar way, but it’s usually limited to just one upsell item. Offering people too many choices by mail or phone can backfire and actually dilute your sales. Also, when upselling by mail or phone, the upsell item should be related to the original item.

For example, if you sell cookware by mail, a good upsell item would be a cookbook. Another would be a set of kitchen utensils. Again, the upsell item is offered at an attractive discount, but only when the customer buys the original item you’re offering.

Upsells are simple, they require almost no additional effort or expense, and they work like wildfire! 9. Leverage Your Profits By Participating In Joint Ventures

Joint ventures are an exceptional way of adding sizable profits to your bottom line. You can use joint

ventures to sell your products to the customers of other businesses. By doing this you’ll not only profit immediately, you’ll also add new customers to your list. This is called a Host Endorsed Joint Venture.


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Or you can use joint ventures to sell other companies’ products to your own customers and virtually

add or test additional product lines without risking a cent of your own money. This type of deal is called a Guest Endorsed Joint Venture.

For a Host Endorsed Joint Venture, you need to connect with another business that sells products that appeal to the same type of customers who buy from you. This host company will be sending a letter endorsing your product to their customers. You’ll create the mailing and pay all the costs of sending out this offer. In fact, your host incurs no expense whatsoever. In exchange, the host receives 15% to 30% of the net profit. It’s up to you and the host to determine what’s fair to both of you.

By endorsing your offer and playing off of his credibility, the host can easily generate response rates of 10% to 40%. The money you make can be tremendous, plus you get to add these new customers to your list for many more years of repeat sales.

All orders are received by the host and forwarded to you for fulfillment. There are two reasons for this. First, it’s essential to make the offer appear as if it’s being made by the host. It’s the host’s credibility that carries the weight here. Second, this allows the host to accurately track the number of orders generated.

Considering what you’re getting, trading a percentage of profits to play off all of the time, effort, and money it took to build the host’s customer list is an exceptional deal. You can use deals like this to build a substantial list of your own in a fraction of the time it would normally take.

A Guest Endorsed Joint Venture is similar, but here you act as the host to endorse your guest’s

product to your own house list. The guest should pay all expenses and reap the lion’s share of the profits.

In a Guest Endorsed Joint Venture, you’re gaining ancillary profits with very little effort and no cost on your part. It’s purely found money. At the same time, it gives you a risk-free way to test other products you might want to consider adding to your business.

Conclusion

Congratulations! You’re now on the road to becoming a direct marketing leverage expert. You’re now ready to start compounding the results of every marketing dollar you invest.

I’m sure you’re pleasantly surprised by the broad selection of marketing areas you can leverage significantly. Ads, headlines, prices, publicity, mailing lists, advertising media, new customer sales, average purchase amount, repeat sales, upsells, lead generation and conversion, referrals, offers, copy and more! The opportunities for improving your profits are nearly endless.

But there’s one thing I must warn you about. Don’t let yourself get confused when considering the wide variety of areas you could possibly leverage. Don’t get bogged down by all the possibilities and all the details of each. Start small. Pick one area to get started on. Pick the one that looks like it will provide the most return for the least effort. Then kick it into gear.

The important thing is to get started. Once you’ve seen the results you’ll get by actually leveraging a single area you’ll be highly motivated to take on a few more.


Page 87

Or you can use joint ventures to sell other companies’ products to your own customers and virtually

add or test additional product lines without risking a cent of your own money. This type of deal is called a Guest Endorsed Joint Venture.

For a Host Endorsed Joint Venture, you need to connect with another business that sells products that appeal to the same type of customers who buy from you. This host company will be sending a letter endorsing your product to their customers. You’ll create the mailing and pay all the costs of sending out this offer. In fact, your host incurs no expense whatsoever. In exchange, the host receives 15% to 30% of the net profit. It’s up to you and the host to determine what’s fair to both of you.

By endorsing your offer and playing off of his credibility, the host can easily generate response rates of 10% to 40%. The money you make can be tremendous, plus you get to add these new customers to your list for many more years of repeat sales.

All orders are received by the host and forwarded to you for fulfillment. There are two reasons for this. First, it’s essential to make the offer appear as if it’s being made by the host. It’s the host’s credibility that carries the weight here. Second, this allows the host to accurately track the number of orders generated.

Considering what you’re getting, trading a percentage of profits to play off all of the time, effort, and money it took to build the host’s customer list is an exceptional deal. You can use deals like this to build a substantial list of your own in a fraction of the time it would normally take.

A Guest Endorsed Joint Venture is similar, but here you act as the host to endorse your guest’s

product to your own house list. The guest should pay all expenses and reap the lion’s share of the profits.

In a Guest Endorsed Joint Venture, you’re gaining ancillary profits with very little effort and no cost on your part. It’s purely found money. At the same time, it gives you a risk-free way to test other products you might want to consider adding to your business.

Conclusion

Congratulations! You’re now on the road to becoming a direct marketing leverage expert. You’re now ready to start compounding the results of every marketing dollar you invest.

I’m sure you’re pleasantly surprised by the broad selection of marketing areas you can leverage significantly. Ads, headlines, prices, publicity, mailing lists, advertising media, new customer sales, average purchase amount, repeat sales, upsells, lead generation and conversion, referrals, offers, copy and more! The opportunities for improving your profits are nearly endless.

But there’s one thing I must warn you about. Don’t let yourself get confused when considering the wide variety of areas you could possibly leverage. Don’t get bogged down by all the possibilities and all the details of each. Start small. Pick one area to get started on. Pick the one that looks like it will provide the most return for the least effort. Then kick it into gear.

The important thing is to get started. Once you’ve seen the results you’ll get by actually leveraging a single area you’ll be highly motivated to take on a few more.


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One final point. Leverage can have a profound affect on your business. If you increase the response to your ads and boost your average sales amount, and increase the number of times each customer buys from you annually, and extend the number of years each customer stays with you, the leveraged affect is exponential. It can easily double or triple your profits and increase both the size and value of your business!


Page 88

One final point. Leverage can have a profound affect on your business. If you increase the response to your ads and boost your average sales amount, and increase the number of times each customer buys from you annually, and extend the number of years each customer stays with you, the leveraged affect is exponential. It can easily double or triple your profits and increase both the size and value of your business!


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Yellow Page Ads Consultation


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Yellow Page Ads Consultation


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Designing a good ad – get a professional to do the layout. With today’s technology your ad can be alive and jump out and grab the prospect by the ears and drag them in to read your ad. You need the best ad possible if you’re going to pay these prices today. Don’t let the Yellow Page ad people design it either. They have no idea what their doing. Make your ad read left to right.

ALWAYS USE A TRACKING NUMBER IN YOUR ADS. You must be able to track the response of your ad. Put it in the top left or top right of your ad. Keep it small, don’t ever use it again. Use a different number for each ad. How do you assign them? It’s easy. Just create a spreadsheet with numbers and write next to the number what ad it was assigned to. Open your ad with a headline. It’s the ad for the ad. It’s a big benefit. Why do people want to use a service company, or what do they want to know? When can you get there and how much is it going to cost? You start out with You Save Money – We Charge by The Job Not The Hour or indicate time with a clock or a guarantee of being on time. If you use a logo in the ad, make sure it’s the same as your trucks and uniforms. Use a unique font for your company name so it stands out. Personalize the ad with a picture. Use the owner of the company. And under it put a caption. You also can use a family or the staff or a child. Put it upper left where the ad starts. And since pictures attract people’s eye, you must have a caption. Studies show that the eye focuses on a picture before text. Make sure your picture will show up. Consider a line drawing or have the photographer keep the picture light. People expect to see your phone numbers at the bottom. They know they’ll see the ad, read about you, then they’ll find the number. Don’t be tricky here. Put different numbers for different areas. People will believe they are getting a better rate by calling a number in their area. Have call forwarding for those numbers to a central place. What kind of number do you want? Get the oldest prefix in that area. In my area, everyone knows 529 and 894. But just recently there are 352. Noone is familiar with these. They know they are new. I’ve started to prefer that you don’t offer free estimates in your yellow pages. You may find yourself going all over town doing these for free. What you say can say is diagnostic fee is xxx and is waived if we do the work. And of course you want this in teeny tiny print. This should be a small charge to be confused with your hourly rate. Only put color in your ad if you need to in order to complete with the competition’s ads. Test it. The YP ad reps make tons of money off of color. Studies show its better if you take the money that you spend on color and spend it on bigger or more ads. Don’t list every single service you do. People won’t read them all. And then, if there’s something not listed they won’t call because they’ll think you have everything listed.


Page 91

Designing a good ad – get a professional to do the layout. With today’s technology your ad can be alive and jump out and grab the prospect by the ears and drag them in to read your ad. You need the best ad possible if you’re going to pay these prices today. Don’t let the Yellow Page ad people design it either. They have no idea what their doing. Make your ad read left to right.

ALWAYS USE A TRACKING NUMBER IN YOUR ADS. You must be able to track the response of your ad. Put it in the top left or top right of your ad. Keep it small, don’t ever use it again. Use a different number for each ad. How do you assign them? It’s easy. Just create a spreadsheet with numbers and write next to the number what ad it was assigned to. Open your ad with a headline. It’s the ad for the ad. It’s a big benefit. Why do people want to use a service company, or what do they want to know? When can you get there and how much is it going to cost? You start out with You Save Money – We Charge by The Job Not The Hour or indicate time with a clock or a guarantee of being on time. If you use a logo in the ad, make sure it’s the same as your trucks and uniforms. Use a unique font for your company name so it stands out. Personalize the ad with a picture. Use the owner of the company. And under it put a caption. You also can use a family or the staff or a child. Put it upper left where the ad starts. And since pictures attract people’s eye, you must have a caption. Studies show that the eye focuses on a picture before text. Make sure your picture will show up. Consider a line drawing or have the photographer keep the picture light. People expect to see your phone numbers at the bottom. They know they’ll see the ad, read about you, then they’ll find the number. Don’t be tricky here. Put different numbers for different areas. People will believe they are getting a better rate by calling a number in their area. Have call forwarding for those numbers to a central place. What kind of number do you want? Get the oldest prefix in that area. In my area, everyone knows 529 and 894. But just recently there are 352. Noone is familiar with these. They know they are new. I’ve started to prefer that you don’t offer free estimates in your yellow pages. You may find yourself going all over town doing these for free. What you say can say is diagnostic fee is xxx and is waived if we do the work. And of course you want this in teeny tiny print. This should be a small charge to be confused with your hourly rate. Only put color in your ad if you need to in order to complete with the competition’s ads. Test it. The YP ad reps make tons of money off of color. Studies show its better if you take the money that you spend on color and spend it on bigger or more ads. Don’t list every single service you do. People won’t read them all. And then, if there’s something not listed they won’t call because they’ll think you have everything listed.


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Don’t put other’s logos in your yellow pages just because they pay for some of the ad. You need all the room there is to spare. Coop advertising shouldn’t be used here either. It’s too expensive. Use all the space for yourself. You must have financing. Many people will buy more than they have the money for if they can finance it. Show them the per day cost vs. the full cost. Just like the car salesman does. Split full page ad into 2 half page ads. Design differently to hit different people. Research has shown that ½ page ads can outpull full page ads. The problem is the full page ads are first. A half page ad allows you to have the right amount of info from left to right. You may have to put “under same ownership” in the second ad in real small type… “who cares.”

Ad Positioning The better the position, the more you have to spend. It’s just like getting a good seat at a game. The better the seat the more expensive. First, check the book. See how big the book is. In big books, it’s been shown that people flip the book over and paging from the back. Some people won’t go with the big buy in the front because they want a local neighborhood guy. So buy the ad to get in the front and put whatever ad is needed to get in the back also. Have two ads. You’ll have to wait your turn for the front. Or buy the company that has position #1. If the book still goes alphabetical, register a name with enough A’s to get you at the front. You do business as your name but register the one with the A’s. it’s worth the investment to get in front and back. The back ones will pull less and lower invoices because they are bargain hunters. It’s not as much but as you get better at selling you’ll get the money out of them anyway. They might not buy the whole enchilada but you’ll get them anyway.

Spreadsheet: Create a spreadsheet with the following: Columns: ad number, publisher, area published, section, size, publication date (make sure contract stipulates 12 months only Read fine print., per month price, times 12 price, how much money as a result ytd, how many service calls, average invoice, ad cost per call ($’s paid to date/service calls, Some books might have a $25 ad cost per call, some will have a $300. The $300 doesn’t work. Use this form to negotiate with the YP rep. Show them it doesn’t work at these numbers. Show them the ROI. When they ask what they can do to get your business? Negotiate down to an acceptable ROI. Their data doesn’t do anything. Get the first ad for 50% off, make them a partner with you for the test ad. If it works, keep going then negotiate an ROI price. IF YOU DON’T ASK YOU DON’T GET Use an advertising checklist for every ad. Create your own insertion order with the following: Ad #, location, size, position, etc. staple the form to the contract, the reps business card, price sheet and any notes all together. When book is published, compare it to the last book and make sure it was put


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Don’t put other’s logos in your yellow pages just because they pay for some of the ad. You need all the room there is to spare. Coop advertising shouldn’t be used here either. It’s too expensive. Use all the space for yourself. You must have financing. Many people will buy more than they have the money for if they can finance it. Show them the per day cost vs. the full cost. Just like the car salesman does. Split full page ad into 2 half page ads. Design differently to hit different people. Research has shown that ½ page ads can outpull full page ads. The problem is the full page ads are first. A half page ad allows you to have the right amount of info from left to right. You may have to put “under same ownership” in the second ad in real small type… “who cares.”

Ad Positioning The better the position, the more you have to spend. It’s just like getting a good seat at a game. The better the seat the more expensive. First, check the book. See how big the book is. In big books, it’s been shown that people flip the book over and paging from the back. Some people won’t go with the big buy in the front because they want a local neighborhood guy. So buy the ad to get in the front and put whatever ad is needed to get in the back also. Have two ads. You’ll have to wait your turn for the front. Or buy the company that has position #1. If the book still goes alphabetical, register a name with enough A’s to get you at the front. You do business as your name but register the one with the A’s. it’s worth the investment to get in front and back. The back ones will pull less and lower invoices because they are bargain hunters. It’s not as much but as you get better at selling you’ll get the money out of them anyway. They might not buy the whole enchilada but you’ll get them anyway.

Spreadsheet: Create a spreadsheet with the following: Columns: ad number, publisher, area published, section, size, publication date (make sure contract stipulates 12 months only Read fine print., per month price, times 12 price, how much money as a result ytd, how many service calls, average invoice, ad cost per call ($’s paid to date/service calls, Some books might have a $25 ad cost per call, some will have a $300. The $300 doesn’t work. Use this form to negotiate with the YP rep. Show them it doesn’t work at these numbers. Show them the ROI. When they ask what they can do to get your business? Negotiate down to an acceptable ROI. Their data doesn’t do anything. Get the first ad for 50% off, make them a partner with you for the test ad. If it works, keep going then negotiate an ROI price. IF YOU DON’T ASK YOU DON’T GET Use an advertising checklist for every ad. Create your own insertion order with the following: Ad #, location, size, position, etc. staple the form to the contract, the reps business card, price sheet and any notes all together. When book is published, compare it to the last book and make sure it was put


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where it was supposed to be. If there is any problem, you don’t have to pay for it. They can’t sue you, disconnect the phone, for their mistake, etc. if they threaten any of these things, YOU’VE won. They might threaten to not put you in the book or take your position away, they can’t do that either.

DON’T PAY FOR MISTAKES! If you do have a problem don’t call the normal 800 customer support line, they won’t be any help. They’ll have a list of responses for problems in the ad. First you start with “I’m not paying for any of it, and I want to know what you’re going to do for me next year since you made a mistake?” talk to your sales rep. He’ll try and take care of things so he can keep getting your business. There’s always a lot of turnover because they get tired of people coming back and showing them the results aren’t there. When taking a service call tell the customer to circle your ad and you’ll take $10 off the bill. Think it’s worth it? The next time they go looking yours will stand out. Books work between 3-5 years that’s why you should demand more than just the year’s price. You’re losing more then the 12 months. They’ll say you got value out of it. Who cares. Of course you did. But it’s wrong. So don’t pay for it. Just because it says you can’t sue for any amount more than the value in the book it’s not true. If they try and leave you out, that’s serious business. They’re taking your livelihood away. This would be a VERY VERY serious thing and you should contact your lawyer immediately about it. Negotiate the price of your ad based on it’s results. Don’t pay additional. Don’t sign contract until closing week. That’s when their contest results count. The cruises etc. that’s when they’ll do anything to earn it. Ask the sales rep if the guys in front are renewing. They may tell you, maybe not. Look at the book and try and see how it’s going to be set up. Don’t buy a full page, if a half will do. What position do you want to be in? 1st, 2nd, or 3rd ? 3rd. Why? Most people won’t buy from first ad, they want to shop. Two isn’t enough either so get the 3rd if possible. People get 2 or 3 estimates, they’ll look at 2 or 3 ads. If you have the 3rd position and a great ad, you’ll get better results. The top right corner is a good position, but it’s sometimes hard to get there, depending on how the book is put together. By the way, it’s against the law for them to tell someone what you’re going to be buying. If you find out they did, wait until it’s published and then don’t pay for it. Put copyright’s in all your ads. They will steal it. It will give you ammunition to dispute and get people to stop. Get talent releases for anyone that’s in pictures in your ads also, just to protect yourself. Do small neighborhood books work. Definitely. The ad cost per call is lower, the average invoice is often higher. Track them like I taught you. Negotiating with publishers. Rate card is their creation. Not the law’s. ask for discounts. Some won’t discount, so get something in trade. Lunches, tickets, sponsorships.


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where it was supposed to be. If there is any problem, you don’t have to pay for it. They can’t sue you, disconnect the phone, for their mistake, etc. if they threaten any of these things, YOU’VE won. They might threaten to not put you in the book or take your position away, they can’t do that either.

DON’T PAY FOR MISTAKES! If you do have a problem don’t call the normal 800 customer support line, they won’t be any help. They’ll have a list of responses for problems in the ad. First you start with “I’m not paying for any of it, and I want to know what you’re going to do for me next year since you made a mistake?” talk to your sales rep. He’ll try and take care of things so he can keep getting your business. There’s always a lot of turnover because they get tired of people coming back and showing them the results aren’t there. When taking a service call tell the customer to circle your ad and you’ll take $10 off the bill. Think it’s worth it? The next time they go looking yours will stand out. Books work between 3-5 years that’s why you should demand more than just the year’s price. You’re losing more then the 12 months. They’ll say you got value out of it. Who cares. Of course you did. But it’s wrong. So don’t pay for it. Just because it says you can’t sue for any amount more than the value in the book it’s not true. If they try and leave you out, that’s serious business. They’re taking your livelihood away. This would be a VERY VERY serious thing and you should contact your lawyer immediately about it. Negotiate the price of your ad based on it’s results. Don’t pay additional. Don’t sign contract until closing week. That’s when their contest results count. The cruises etc. that’s when they’ll do anything to earn it. Ask the sales rep if the guys in front are renewing. They may tell you, maybe not. Look at the book and try and see how it’s going to be set up. Don’t buy a full page, if a half will do. What position do you want to be in? 1st, 2nd, or 3rd ? 3rd. Why? Most people won’t buy from first ad, they want to shop. Two isn’t enough either so get the 3rd if possible. People get 2 or 3 estimates, they’ll look at 2 or 3 ads. If you have the 3rd position and a great ad, you’ll get better results. The top right corner is a good position, but it’s sometimes hard to get there, depending on how the book is put together. By the way, it’s against the law for them to tell someone what you’re going to be buying. If you find out they did, wait until it’s published and then don’t pay for it. Put copyright’s in all your ads. They will steal it. It will give you ammunition to dispute and get people to stop. Get talent releases for anyone that’s in pictures in your ads also, just to protect yourself. Do small neighborhood books work. Definitely. The ad cost per call is lower, the average invoice is often higher. Track them like I taught you. Negotiating with publishers. Rate card is their creation. Not the law’s. ask for discounts. Some won’t discount, so get something in trade. Lunches, tickets, sponsorships.


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Marketing Consultant’s

Small Business Marketing Magic

Checklist


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Small Business Marketing Magic

Checklist


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Increase the number of customers 1. Referral Systems 2. Acquire new customers at break even or slight loss 3. Guarantee purchases through risk reversal 4. Use host/beneficiary relationships 5. Advertising 6. Direct Mail 7. Telemarketing 8. Run Special Events 9. Use qualified mailing lists 10. Create and emphasize your Unique Selling Position 11. Increase perceived value through customer education 12. Use public relations Increase customer retention 1. Contact inactive customers 2. Communicate frequently to keep your business in their thoughts Increase inquiry to sale conversion 1. Increase selling skills of your staff 2. Qualify leads better up front 3. Educate your customers on the value you provide 4. Use strong offers that also qualify Increase the Frequency of purchases 1. Ask yourself what products or services could you offer that would complement those you already sell? 2. Communicate frequently with customers offering ideas and information that benefit them 3. Endorse other people’s products or services to your client list 4. Run special events 5. Help clients utilize your product or services better 6. Use special price inducements (i.e. frequent flyer point, pre-pub offer) Increase Amount of purchases 1. Upsell and cross sell 2. Point-of-sale promotions 3. Package complementary products together 4. Raise prices 5. Change the profile of your product or service to be more up-market 6. Offer larger units of purchase Increase your effectiveness 1. Test every new marketing concept one variable at a time


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Increase the number of customers 1. Referral Systems 2. Acquire new customers at break even or slight loss 3. Guarantee purchases through risk reversal 4. Use host/beneficiary relationships 5. Advertising 6. Direct Mail 7. Telemarketing 8. Run Special Events 9. Use qualified mailing lists 10. Create and emphasize your Unique Selling Position 11. Increase perceived value through customer education 12. Use public relations Increase customer retention 1. Contact inactive customers 2. Communicate frequently to keep your business in their thoughts Increase inquiry to sale conversion 1. Increase selling skills of your staff 2. Qualify leads better up front 3. Educate your customers on the value you provide 4. Use strong offers that also qualify Increase the Frequency of purchases 1. Ask yourself what products or services could you offer that would complement those you already sell? 2. Communicate frequently with customers offering ideas and information that benefit them 3. Endorse other people’s products or services to your client list 4. Run special events 5. Help clients utilize your product or services better 6. Use special price inducements (i.e. frequent flyer point, pre-pub offer) Increase Amount of purchases 1. Upsell and cross sell 2. Point-of-sale promotions 3. Package complementary products together 4. Raise prices 5. Change the profile of your product or service to be more up-market 6. Offer larger units of purchase Increase your effectiveness 1. Test every new marketing concept one variable at a time


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Sample Advanced

Consultation


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Sample Advanced

Consultation


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PPS Advertising, Inc. 123 Jefferson Street, Anytown IL 60130 312-555-1122 Fax-312-555-3344 [email protected]

April 22, 2002

Here’s How To Easily & Systematically Bend Over To Pick Up The Pieces Of Gold Laying All Around You!

Bill Smith/John Harris, c/o 5-STAR/Health Rejuvenator Bill and John: The following reports will explain how we suggest you can literally increase the profitability of your business by factors of 100% or more...as well as add a dramatically higher measure of safety and permanence in the consumer market! If you guys implement testing the strategies recommended, and roll out the successful programs and efforts, you will see a business that up until now has left millions of dollars on the ground...picking up the amazing amount of gold hidden in plain sight for as long as you own the business! We have covered a tremendous amount of ground here, so we suggest you take the time to think our suggestions through, and have a phone conference in the immediate future to see if we are on track with what you guys want to accomplish, and see where we go from there. Of course, if you have any questions or comments, or desire clarifications or whatever, please call either of us and we’ll be glad to help you in any way we can. Thanks for having the confidence in us to prepare these analyses, and we look forward to a long-term relationship with you and your business. Take care, and we look forward to talking to you soon. Sincerely, Jeff Paul, Pat Williams


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PPS Advertising, Inc. 123 Jefferson Street, Anytown IL 60130 312-555-1122 Fax-312-555-3344 [email protected]

April 22, 2002

Here’s How To Easily & Systematically Bend Over To Pick Up The Pieces Of Gold Laying All Around You!

Bill Smith/John Harris, c/o 5-STAR/Health Rejuvenator Bill and John: The following reports will explain how we suggest you can literally increase the profitability of your business by factors of 100% or more...as well as add a dramatically higher measure of safety and permanence in the consumer market! If you guys implement testing the strategies recommended, and roll out the successful programs and efforts, you will see a business that up until now has left millions of dollars on the ground...picking up the amazing amount of gold hidden in plain sight for as long as you own the business! We have covered a tremendous amount of ground here, so we suggest you take the time to think our suggestions through, and have a phone conference in the immediate future to see if we are on track with what you guys want to accomplish, and see where we go from there. Of course, if you have any questions or comments, or desire clarifications or whatever, please call either of us and we’ll be glad to help you in any way we can. Thanks for having the confidence in us to prepare these analyses, and we look forward to a long-term relationship with you and your business. Take care, and we look forward to talking to you soon. Sincerely, Jeff Paul, Pat Williams


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Report Of Findings 5-STAR/Health Rejuvenator

I. General Impressions Our general impressions are that you have successfully penetrated the medical/rehabilitation market with a product that is so superior to the competition that 20% of that market thinks you guys walk on water. You’ve also recently clobbered the fitness market with the same incredibly unique and genuinely valuable product (in contrast with the garbage that generally saturates this market), with a very well conceived infomercial that has successfully altered the way a significant segment of the market perceives and understands fitness. You guys have taken a long and laborious road to get where you’re at now, building an impeccable name and reputation along the way. In a world full of quick buck artists and outright liars, your company and products are synonymous with the truth and ethical character. These positive attributes are well deserved and provide the first layer of the foundation of a truly successful business with long-term staying power and security for the owners, staff and customers. You are to be congratulated for all your hard work and tenacity. As a result, you have built and own a variety of valuable assets ranging from obvious things on a balance sheet like cash, accounts receivable, equipment, real estate, etc. (which we refer to as first tier assets)...to not so easily identifiable and quantifiable assets such as your medical customers and their patients, end user customers of your products, distribution channels in direct marketing and retail, and your good name and reputation. (Which we identify as hidden tier assets.) As is the case with all of the clients we work with, it’s this hidden tier of more unformed, under-exploited, or mysterious assets that we specialize in by showing you how to transform them from hypothetical desires...into cold hard assets of the first tier! It will be critical to take either completely or partially neglected hidden assets, or other hidden assets that have been paid attention to, but whose true potential has not yet been fully tapped...and begin digging to extract the gold. This should be accomplished in a scientific, step-by-step focused, yet forward motion oriented analysis and testing process. We will need to establish exactly which hidden assets should be dug into, and how they should be mined for the gold that lies within. This project must be entered into by prioritizing which assets get hit first, with priority being defined as the areas with the most likelihood of success. Then, as time moves on, additional efforts can be added as the results and final tests from initial attempts are turned into full-blown rollouts if successful, or dumped in the can if accurate measurement shows unacceptable results. There are two crucial activities that must be done preceding the attempts at maximization of these hidden assets. First, they have to be identified, which isn’t always easy or obvious, especially from inside the company, or from more traditional advertising/marketing/public relations’ consultants or agencies. The reason these assets are sometimes difficult to spot in the first place is that they often have been


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Report Of Findings 5-STAR/Health Rejuvenator

I. General Impressions Our general impressions are that you have successfully penetrated the medical/rehabilitation market with a product that is so superior to the competition that 20% of that market thinks you guys walk on water. You’ve also recently clobbered the fitness market with the same incredibly unique and genuinely valuable product (in contrast with the garbage that generally saturates this market), with a very well conceived infomercial that has successfully altered the way a significant segment of the market perceives and understands fitness. You guys have taken a long and laborious road to get where you’re at now, building an impeccable name and reputation along the way. In a world full of quick buck artists and outright liars, your company and products are synonymous with the truth and ethical character. These positive attributes are well deserved and provide the first layer of the foundation of a truly successful business with long-term staying power and security for the owners, staff and customers. You are to be congratulated for all your hard work and tenacity. As a result, you have built and own a variety of valuable assets ranging from obvious things on a balance sheet like cash, accounts receivable, equipment, real estate, etc. (which we refer to as first tier assets)...to not so easily identifiable and quantifiable assets such as your medical customers and their patients, end user customers of your products, distribution channels in direct marketing and retail, and your good name and reputation. (Which we identify as hidden tier assets.) As is the case with all of the clients we work with, it’s this hidden tier of more unformed, under-exploited, or mysterious assets that we specialize in by showing you how to transform them from hypothetical desires...into cold hard assets of the first tier! It will be critical to take either completely or partially neglected hidden assets, or other hidden assets that have been paid attention to, but whose true potential has not yet been fully tapped...and begin digging to extract the gold. This should be accomplished in a scientific, step-by-step focused, yet forward motion oriented analysis and testing process. We will need to establish exactly which hidden assets should be dug into, and how they should be mined for the gold that lies within. This project must be entered into by prioritizing which assets get hit first, with priority being defined as the areas with the most likelihood of success. Then, as time moves on, additional efforts can be added as the results and final tests from initial attempts are turned into full-blown rollouts if successful, or dumped in the can if accurate measurement shows unacceptable results. There are two crucial activities that must be done preceding the attempts at maximization of these hidden assets. First, they have to be identified, which isn’t always easy or obvious, especially from inside the company, or from more traditional advertising/marketing/public relations’ consultants or agencies. The reason these assets are sometimes difficult to spot in the first place is that they often have been


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relegated to an inferior position in the hierarchy of notable assets on a balance sheet. Since they aren’t as apparent as cash, or securities, and virtually no advanced business schools (actually none that we’re familiar with) know how to teach this little known science of identifying dormant volcanoes on the balance sheet that need to have the cone removed for controlled eruptions...the advertising/marketing/public relations pros either don’t know they exist, or if they do know of these assets, haven’t a clue how to find the keys necessary to open the locks of the vault. Second, any of these hidden assets that are recognized as being something to consider, aren’t even on a balance sheet either out of a conscious recognition that they don’t “belong” under Generally Accepted Accounting Principles, and/or no one knows how to quantify or exploit them...so they stay off the financial statements, and hence, stay out of the forefront of the minds of top management. It is this hidden layer of assets every business, no matter how mature or brand new, needs to build into tangible results, and create additional first tier assets, if it is to be able to accomplish the goals of maximum safety and stability. An automatic, systematic marketing machine that ethically exploits these hidden gold mines gives you so much more from what you already have, virtually assuring you always being able to weather any storm, to withstand an expected or surprise change to front-end marketing...and realize a more steady, dependable and predictable flow of income and profits. And, if done correctly, will incorporate auto pilot systemization, with a deep understanding of human psychology. These two elements must be incorporated into all these mining activities. If positive results occur from these new efforts, they will be quickly turned into tangible first tier assets...because they were designed with either fully or semi-automatic systems that already flow with human nature from the outset! This sophisticated yet simple design strategy makes the mining process follow the path of least resistance, and allows mining to be as minimally labor intensive as possible to keep it going. Even when you aren’t there, 24 hours a day, 365 days a year, in any kind of economic conditions or competitive pressures! While the more apparent advantages of making more money and additional profits easily without manual labor, are self-evident...the less visible benefits of safety, stability and longevity will be built into your foundations and become a solid bedrock that will be virtually indestructible. This solid and predictable infrastructure is the ultimate one can achieve in business, and very seldom becomes reality. You guys have the opportunity to build such an unshakable business by simply redeploying some energy, capital and knowledge into converting the hidden tier assets into first tier assets! In fact, it is our opinion that it isn’t stretching too far to say that your hidden tier assets could prove to be more profitable than the existing structure’s profits! You truly do have a dormant volcano, waiting to explode! OK. On to some specific comments. In the medical market, your success to date has been accomplished with a conventional (what we


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relegated to an inferior position in the hierarchy of notable assets on a balance sheet. Since they aren’t as apparent as cash, or securities, and virtually no advanced business schools (actually none that we’re familiar with) know how to teach this little known science of identifying dormant volcanoes on the balance sheet that need to have the cone removed for controlled eruptions...the advertising/marketing/public relations pros either don’t know they exist, or if they do know of these assets, haven’t a clue how to find the keys necessary to open the locks of the vault. Second, any of these hidden assets that are recognized as being something to consider, aren’t even on a balance sheet either out of a conscious recognition that they don’t “belong” under Generally Accepted Accounting Principles, and/or no one knows how to quantify or exploit them...so they stay off the financial statements, and hence, stay out of the forefront of the minds of top management. It is this hidden layer of assets every business, no matter how mature or brand new, needs to build into tangible results, and create additional first tier assets, if it is to be able to accomplish the goals of maximum safety and stability. An automatic, systematic marketing machine that ethically exploits these hidden gold mines gives you so much more from what you already have, virtually assuring you always being able to weather any storm, to withstand an expected or surprise change to front-end marketing...and realize a more steady, dependable and predictable flow of income and profits. And, if done correctly, will incorporate auto pilot systemization, with a deep understanding of human psychology. These two elements must be incorporated into all these mining activities. If positive results occur from these new efforts, they will be quickly turned into tangible first tier assets...because they were designed with either fully or semi-automatic systems that already flow with human nature from the outset! This sophisticated yet simple design strategy makes the mining process follow the path of least resistance, and allows mining to be as minimally labor intensive as possible to keep it going. Even when you aren’t there, 24 hours a day, 365 days a year, in any kind of economic conditions or competitive pressures! While the more apparent advantages of making more money and additional profits easily without manual labor, are self-evident...the less visible benefits of safety, stability and longevity will be built into your foundations and become a solid bedrock that will be virtually indestructible. This solid and predictable infrastructure is the ultimate one can achieve in business, and very seldom becomes reality. You guys have the opportunity to build such an unshakable business by simply redeploying some energy, capital and knowledge into converting the hidden tier assets into first tier assets! In fact, it is our opinion that it isn’t stretching too far to say that your hidden tier assets could prove to be more profitable than the existing structure’s profits! You truly do have a dormant volcano, waiting to explode! OK. On to some specific comments. In the medical market, your success to date has been accomplished with a conventional (what we


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call “professional”) orientation to the market and marketing processes. In the consumer market, by contrast, you have succeeded with a pure emotionally driven effort that we would characterize as an Emotional Direct Response Marketing attack. We’re of the opinion that if you expand Emotional Direct Response philosophy and turn it into a system applying it to the medical market, you’ll not only (1) increase your penetration, but you will also, (2) be able to turn existing PT’s who love the Health Rejuvenator into pro-active promoters of the unit. We’ll discuss the problems you’ve had in this regard, and the potential solutions in a bit. We also think that if you enter into a deeper level of psychological connection through an Emotional Direct Response communication system with your consumer market, that you can (1) turn existing Health Rejuvenator clients into lifelong customers who will buy all kinds of health/fitness related products/services from 5-STAR/HR, and (2) turn a significant percentage of the interested callers who have not yet purchased the Health Rejuvenator, into buyers, and eventually lifelong customers who will also buy all kinds of health/fitness related products/services from 5-STAR/HR. (And possibly buy indirectly related items, or totally non-related things as well! You’d be amazed at how a loyal customer base can be utilized to buy things you might not think they would at first blush!) One final general observation is that we think the Health Rejuvenator concept is so far reaching, with so many possibilities for so many different markets...that to capitalize on all its possibilities, systems have to be developed so that each part of the project reaches some semblance of “automatic pilot.” This way, you’ll have the time to efficiently move on to address the next piece of the puzzle. As good as the Heath Rejuvenator concept is, and as dedicated and persistent as you guys are, you’re still both human and you still have only 24 hours in your day to do the things that need doing. With that said, we feel the “How do you eat an elephant” joke applies here. (One bite at a time, of course.) Once choices are made from the options available and presented, a small number of efforts will be identified and prioritized. This priority ranking will allow implementation of the first item, by creating the model and projections, design and finish the materials necessary, testing small, and measuring the test results against projections and determine whether the efforts are excellent, show life - but need tweaking, or are junk. Any positive test results will be further tested by carefully expanding the tests until such a time that a full rollout is indicated and safe. As this process occurs with the first chosen priority, we can subsequently begin the second effort the same way, and so on. This way, we can expand slowly, prudently and intelligently...yet aggressively pursue this mining process without taxing your resources or putting unnecessary pressure on you or your staff! II. Strengths


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call “professional”) orientation to the market and marketing processes. In the consumer market, by contrast, you have succeeded with a pure emotionally driven effort that we would characterize as an Emotional Direct Response Marketing attack. We’re of the opinion that if you expand Emotional Direct Response philosophy and turn it into a system applying it to the medical market, you’ll not only (1) increase your penetration, but you will also, (2) be able to turn existing PT’s who love the Health Rejuvenator into pro-active promoters of the unit. We’ll discuss the problems you’ve had in this regard, and the potential solutions in a bit. We also think that if you enter into a deeper level of psychological connection through an Emotional Direct Response communication system with your consumer market, that you can (1) turn existing Health Rejuvenator clients into lifelong customers who will buy all kinds of health/fitness related products/services from 5-STAR/HR, and (2) turn a significant percentage of the interested callers who have not yet purchased the Health Rejuvenator, into buyers, and eventually lifelong customers who will also buy all kinds of health/fitness related products/services from 5-STAR/HR. (And possibly buy indirectly related items, or totally non-related things as well! You’d be amazed at how a loyal customer base can be utilized to buy things you might not think they would at first blush!) One final general observation is that we think the Health Rejuvenator concept is so far reaching, with so many possibilities for so many different markets...that to capitalize on all its possibilities, systems have to be developed so that each part of the project reaches some semblance of “automatic pilot.” This way, you’ll have the time to efficiently move on to address the next piece of the puzzle. As good as the Heath Rejuvenator concept is, and as dedicated and persistent as you guys are, you’re still both human and you still have only 24 hours in your day to do the things that need doing. With that said, we feel the “How do you eat an elephant” joke applies here. (One bite at a time, of course.) Once choices are made from the options available and presented, a small number of efforts will be identified and prioritized. This priority ranking will allow implementation of the first item, by creating the model and projections, design and finish the materials necessary, testing small, and measuring the test results against projections and determine whether the efforts are excellent, show life - but need tweaking, or are junk. Any positive test results will be further tested by carefully expanding the tests until such a time that a full rollout is indicated and safe. As this process occurs with the first chosen priority, we can subsequently begin the second effort the same way, and so on. This way, we can expand slowly, prudently and intelligently...yet aggressively pursue this mining process without taxing your resources or putting unnecessary pressure on you or your staff! II. Strengths


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You’ve opened the door to the medical and consumer markets with a fitness/rehab concept that is so far superior to any others that it may be impossible to improve it much (kind of like Vern’s putter). As a result, your credibility and integrity is unquestionable in a market that’s overflowing with charlatans and socio-paths. You have a great infomercial (actually 2) with two great celebrities who are now so strongly affiliated with the Health Rejuvenator that in the consumer market, it’s almost impossible to talk about the concept without referring to Arnold and Pamela in the same breath. The bottom line here is of course that despite the currently weak infomercial market, this effort continues to succeed due to the excellent production and use of the celebrities. It’s very apparent that the dedication and persistence of your leadership for over 20 years underscores all of the previously mentioned observations. Without the vision and unwavering efforts of Bill and John and the staff, none of the above would have been possible. With that leadership in place, the future for 5-STAR/Health Rejuvenator is going to be difficult to match by anyone. III. Weaknesses To talk in terms of weaknesses for two unabashed fans of the Health Rejuvenator is difficult. However, there are some places where we think you can improve, and that we can help you, so here goes. From our observations and research into your company, there is a lack of many of the structural, psychological, and customer focus weaknesses we see in most companies we deal with. We think you can improve on developing the “Lifetime Value Of A Customer” concept in both the medical and the consumer markets, or any new markets you enter such as the proposed business opportunity for personal trainers. To date, you’ve been so busy with front-end successes that the back-end potential has been somewhat overlooked in some cases, or attempts made have met with less than satisfactory results. For example, you have attempted to get PT’s to “refer” buyers from their patient bases, but these efforts have not met with unabashed success. We think we know why you have missed the mark, and know what to do about it, as we will explain in the next section. So the question of “how to motivate the PT who loves the Health Rejuvenator, but who doesn’t want to look like a salesperson” has proven to be a mystery so far. This is a hole in your armor that we feel we can help you to patch up very successfully. We think that the lack of incorporating the “Lifetime Value Of A Customer” philosophy as a core and central focus is a big weakness that is fortunately easy to fix. In the following Action Plan, we will suggest many specific ways to change the company from a more front-end entity, to one that squeezes the total juice out of each lemon on the plate!


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You’ve opened the door to the medical and consumer markets with a fitness/rehab concept that is so far superior to any others that it may be impossible to improve it much (kind of like Vern’s putter). As a result, your credibility and integrity is unquestionable in a market that’s overflowing with charlatans and socio-paths. You have a great infomercial (actually 2) with two great celebrities who are now so strongly affiliated with the Health Rejuvenator that in the consumer market, it’s almost impossible to talk about the concept without referring to Arnold and Pamela in the same breath. The bottom line here is of course that despite the currently weak infomercial market, this effort continues to succeed due to the excellent production and use of the celebrities. It’s very apparent that the dedication and persistence of your leadership for over 20 years underscores all of the previously mentioned observations. Without the vision and unwavering efforts of Bill and John and the staff, none of the above would have been possible. With that leadership in place, the future for 5-STAR/Health Rejuvenator is going to be difficult to match by anyone. III. Weaknesses To talk in terms of weaknesses for two unabashed fans of the Health Rejuvenator is difficult. However, there are some places where we think you can improve, and that we can help you, so here goes. From our observations and research into your company, there is a lack of many of the structural, psychological, and customer focus weaknesses we see in most companies we deal with. We think you can improve on developing the “Lifetime Value Of A Customer” concept in both the medical and the consumer markets, or any new markets you enter such as the proposed business opportunity for personal trainers. To date, you’ve been so busy with front-end successes that the back-end potential has been somewhat overlooked in some cases, or attempts made have met with less than satisfactory results. For example, you have attempted to get PT’s to “refer” buyers from their patient bases, but these efforts have not met with unabashed success. We think we know why you have missed the mark, and know what to do about it, as we will explain in the next section. So the question of “how to motivate the PT who loves the Health Rejuvenator, but who doesn’t want to look like a salesperson” has proven to be a mystery so far. This is a hole in your armor that we feel we can help you to patch up very successfully. We think that the lack of incorporating the “Lifetime Value Of A Customer” philosophy as a core and central focus is a big weakness that is fortunately easy to fix. In the following Action Plan, we will suggest many specific ways to change the company from a more front-end entity, to one that squeezes the total juice out of each lemon on the plate!


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We also think one of your strengths can actually be one of your weaknesses. As we’ve said previously, the Health Rejuvenator concept is so versatile and has so many legitimate applications that it’s been somewhat difficult to focus in on specific priorities. And if nothing else, this process can help to generate the creative brainstorming that will help you guys to determine where you should be spending your time and resources to get the most bang for your buck. The Health Rejuvenator concept is so incredibly unique, yet your literature (except the infomercial) is so very conventional, that you come in the door looking and sounding like everyone else in the market. We’re of the opinion that your conventional (“professional”) look can be a big detriment to success, and can be significantly improved upon. Many of your materials are on the clinical (dry to boring) side of the spectrum. What we mean by this is that the copy is typically short, and “to the point”, without much, if any, emotional connection being made. (We won’t go into a long speech about the argument of long copy vs. short copy, but we can tell you that in zillions of trials and tests throughout the 20th Century, all other things being equal, long, non-boring, emotionally laden copy virtually always out-pulls short, sterile and “to the point” copy by magnitudes of as much as 20 times better! Our own experience with this goes back almost 10 years and millions of dollars in sales later, and have never found the shorter, plain copy to ever even come close to true emotional copy being as long as it has to be to get the message and empathy across. Your infomercial is the perfect example of this. If you tried to do that same message in 2 minutes vs. 28-1/2, how many Health Rejuvenators would be sold through TV compared to your astounding success? Not near as many, and that’s not an opinion, it’s a fact. Long copy, when done correctly, always beats short copy!) The language is very feature oriented, and even when expressing benefits is stilted and “clinical”, and headlines are either non-existent, or if present, often the name of the company or product. (For example, “Hyperactive Ab Training” on one of your pieces, is the name of the thing. It doesn’t communicate any benefit, or give me, the prospect, a reason to attract my attention.) Some names and titles are either boring, confusing, or actually negative! Names, titles and headlines are so important that they can often make or break an effort, in and of themselves! We talked about the “Thigh Master”, and then joked about the “Ab Developer.” We thought the “Auto-Cane” was a type of walker or cane for older folks. (On the contrary, the name “Health Rejuvenator” is truly outstanding, and has worked fabulously well! It’s a perfect demonstration of a great name at work.) This whole area needs to be reviewed and explored for changes to be tested. (Yes, you can test names as well as campaigns.) Many pieces have expensive photography and graphic design, and are printed on expensive stock.


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We also think one of your strengths can actually be one of your weaknesses. As we’ve said previously, the Health Rejuvenator concept is so versatile and has so many legitimate applications that it’s been somewhat difficult to focus in on specific priorities. And if nothing else, this process can help to generate the creative brainstorming that will help you guys to determine where you should be spending your time and resources to get the most bang for your buck. The Health Rejuvenator concept is so incredibly unique, yet your literature (except the infomercial) is so very conventional, that you come in the door looking and sounding like everyone else in the market. We’re of the opinion that your conventional (“professional”) look can be a big detriment to success, and can be significantly improved upon. Many of your materials are on the clinical (dry to boring) side of the spectrum. What we mean by this is that the copy is typically short, and “to the point”, without much, if any, emotional connection being made. (We won’t go into a long speech about the argument of long copy vs. short copy, but we can tell you that in zillions of trials and tests throughout the 20th Century, all other things being equal, long, non-boring, emotionally laden copy virtually always out-pulls short, sterile and “to the point” copy by magnitudes of as much as 20 times better! Our own experience with this goes back almost 10 years and millions of dollars in sales later, and have never found the shorter, plain copy to ever even come close to true emotional copy being as long as it has to be to get the message and empathy across. Your infomercial is the perfect example of this. If you tried to do that same message in 2 minutes vs. 28-1/2, how many Health Rejuvenators would be sold through TV compared to your astounding success? Not near as many, and that’s not an opinion, it’s a fact. Long copy, when done correctly, always beats short copy!) The language is very feature oriented, and even when expressing benefits is stilted and “clinical”, and headlines are either non-existent, or if present, often the name of the company or product. (For example, “Hyperactive Ab Training” on one of your pieces, is the name of the thing. It doesn’t communicate any benefit, or give me, the prospect, a reason to attract my attention.) Some names and titles are either boring, confusing, or actually negative! Names, titles and headlines are so important that they can often make or break an effort, in and of themselves! We talked about the “Thigh Master”, and then joked about the “Ab Developer.” We thought the “Auto-Cane” was a type of walker or cane for older folks. (On the contrary, the name “Health Rejuvenator” is truly outstanding, and has worked fabulously well! It’s a perfect demonstration of a great name at work.) This whole area needs to be reviewed and explored for changes to be tested. (Yes, you can test names as well as campaigns.) Many pieces have expensive photography and graphic design, and are printed on expensive stock.


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All this may look and feel right to you guys, because it’s what you’ve always done, and what other stuff in your industry looks and sounds and feels like. Besides being possibly overly expensive to create, produce and deliver...it will not get the kind of results you desire. The real secret to advertising materials that work is simple: If you talk to the prospect about what HE WANTS, in a way that HE RELATES TO, giving him the feeling of deep EMPATHY for his plight, and provide the perception that you have the solution to the problem(s) HE PERCEIVES he has, providing him the BENEFITS he’s looking for...you have a chance. (Please excuse the sexist way this is stated, but we didn’t want to put he/she everywhere, so we chose the male gender at random.) See, the basic fundamental formula for getting maximum response from marketing copy is to: 1. Get their attention. 2. Tell them why they should continue to pay attention. What’s in it for them? 3. Provide reasons why they should want to take action NOW. Many of your materials are more like a menu, a list, without any communication of empathy, the most powerful attracting emotion there is. People are naturally attracted to people (companies) who understand EXACTLY how they perceive their life and problems to be. And empathy can only come from a deep psychological connection being made at a subconscious level. Where the prospect/customer feels that this person (company) knows EXACTLY what he is going through, that you have walked a mile in his shoes, and understand his deepest fears and desires. Now, you cannot say, “I empathize with you”, and expect people to perceive true empathy. Rather, the language, stories, headlines, names, titles, offers, etc. relay empathy by how they communicate. Another aspect of empathy is that people want to do business with a person, as opposed to a company. While Bill, in particular, has made a big splash on TV, the customers don’t feel like they are doing business with Bill, in our opinion. The use of Arnold and Pamela helps in this regard because of their celebrity status, and the fact that everyone knows your product and company as the “one that has Arnold and Pamela” is very good. But, the ongoing relationship in the prospect/customer’s mind doesn’t exist beyond that. Your business will increase dramatically when the customers really perceive they are doing business with either Bill/John and/or Arnold/Pamela! With little to no effort on their part (or yours), a regular relationship between your customers and you guys, or Arnold/Pamela could easily be created that would lead to the development of a strong backend benefiting 5-STAR/HR as well as Arnold and Pamela, not to mention Republic Broadcast! As you’ll see in a minute, we would NEVER recommend anything “unprofessional” if you use the term to mean anything unethical, sleazy, misleading or otherwise objectionable. However, with that said, we will be recommending you incorporate a more down to earth, Emotional Direct Response way of communicating to prospects and customers alike. The advantages of this approach are many, which include but are not limited to:


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All this may look and feel right to you guys, because it’s what you’ve always done, and what other stuff in your industry looks and sounds and feels like. Besides being possibly overly expensive to create, produce and deliver...it will not get the kind of results you desire. The real secret to advertising materials that work is simple: If you talk to the prospect about what HE WANTS, in a way that HE RELATES TO, giving him the feeling of deep EMPATHY for his plight, and provide the perception that you have the solution to the problem(s) HE PERCEIVES he has, providing him the BENEFITS he’s looking for...you have a chance. (Please excuse the sexist way this is stated, but we didn’t want to put he/she everywhere, so we chose the male gender at random.) See, the basic fundamental formula for getting maximum response from marketing copy is to: 1. Get their attention. 2. Tell them why they should continue to pay attention. What’s in it for them? 3. Provide reasons why they should want to take action NOW. Many of your materials are more like a menu, a list, without any communication of empathy, the most powerful attracting emotion there is. People are naturally attracted to people (companies) who understand EXACTLY how they perceive their life and problems to be. And empathy can only come from a deep psychological connection being made at a subconscious level. Where the prospect/customer feels that this person (company) knows EXACTLY what he is going through, that you have walked a mile in his shoes, and understand his deepest fears and desires. Now, you cannot say, “I empathize with you”, and expect people to perceive true empathy. Rather, the language, stories, headlines, names, titles, offers, etc. relay empathy by how they communicate. Another aspect of empathy is that people want to do business with a person, as opposed to a company. While Bill, in particular, has made a big splash on TV, the customers don’t feel like they are doing business with Bill, in our opinion. The use of Arnold and Pamela helps in this regard because of their celebrity status, and the fact that everyone knows your product and company as the “one that has Arnold and Pamela” is very good. But, the ongoing relationship in the prospect/customer’s mind doesn’t exist beyond that. Your business will increase dramatically when the customers really perceive they are doing business with either Bill/John and/or Arnold/Pamela! With little to no effort on their part (or yours), a regular relationship between your customers and you guys, or Arnold/Pamela could easily be created that would lead to the development of a strong backend benefiting 5-STAR/HR as well as Arnold and Pamela, not to mention Republic Broadcast! As you’ll see in a minute, we would NEVER recommend anything “unprofessional” if you use the term to mean anything unethical, sleazy, misleading or otherwise objectionable. However, with that said, we will be recommending you incorporate a more down to earth, Emotional Direct Response way of communicating to prospects and customers alike. The advantages of this approach are many, which include but are not limited to:


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Higher response rates! Lower costs of production! Lower cost of delivery! Establishing a much closer psychological bond with customers, which leads to a much higher Lifetime Customer Value! Better, quicker and more impactful development of the most coveted position of “Top Of

Consciousness” in the fitness marketplace! (Meaning that your company and products become

SYNONYMOUS with fitness! Which is many magnitudes of success higher than simple “name recognition”.) Another problem spot is your database systems. You have your market segmented into the two large categories of medical/PT and consumer divisions. However we think you would benefit significantly from segmenting the consumer portion even further. Women want to know a woman gets fit, feels younger, and looks sexy. And men want to know how a man gets fit, feels younger, and looks sexy. Also baby boomers are likely to respond to a different message than generation X’ers, etc. Income, net worth, and other financial criteria are important elements to understand. So are the purchasing habits of both different groups, as well as those of individual customers. We’ll be discussing this in more detail in a bit. Because of the conventional orientation to the marketing, your sales people aren’t spending anywhere near enough “quality time” with clients who are: Pre-qualified. Pre-interested. Pre-motivated. Already Pre-disposed to buy the Health Rejuvenator or other related products. With the proper dose of emotionally packed, Direct Response marketing, they will be spending virtually all their time with such customers. There is no bigger waste of your staff’s time than to be talking to anyone who doesn’t meet as many of the above-mentioned four characteristics possible (hopefully all four) before they call in! The only way to assure this state of Nirvana can be reached is to implement automated Emotional Direct Response Marketing systems that deliver these types of highly desired prospects into the sales force! Since your business can attract all kinds of prospects, why not set it up so that your automated marketing EXCLUDES those whom you don’t want, and only INCLUDES those you do want! There is a law of the universe that states, “when EVERYONE is your customer...NO


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Higher response rates! Lower costs of production! Lower cost of delivery! Establishing a much closer psychological bond with customers, which leads to a much higher Lifetime Customer Value! Better, quicker and more impactful development of the most coveted position of “Top Of

Consciousness” in the fitness marketplace! (Meaning that your company and products become

SYNONYMOUS with fitness! Which is many magnitudes of success higher than simple “name recognition”.) Another problem spot is your database systems. You have your market segmented into the two large categories of medical/PT and consumer divisions. However we think you would benefit significantly from segmenting the consumer portion even further. Women want to know a woman gets fit, feels younger, and looks sexy. And men want to know how a man gets fit, feels younger, and looks sexy. Also baby boomers are likely to respond to a different message than generation X’ers, etc. Income, net worth, and other financial criteria are important elements to understand. So are the purchasing habits of both different groups, as well as those of individual customers. We’ll be discussing this in more detail in a bit. Because of the conventional orientation to the marketing, your sales people aren’t spending anywhere near enough “quality time” with clients who are: Pre-qualified. Pre-interested. Pre-motivated. Already Pre-disposed to buy the Health Rejuvenator or other related products. With the proper dose of emotionally packed, Direct Response marketing, they will be spending virtually all their time with such customers. There is no bigger waste of your staff’s time than to be talking to anyone who doesn’t meet as many of the above-mentioned four characteristics possible (hopefully all four) before they call in! The only way to assure this state of Nirvana can be reached is to implement automated Emotional Direct Response Marketing systems that deliver these types of highly desired prospects into the sales force! Since your business can attract all kinds of prospects, why not set it up so that your automated marketing EXCLUDES those whom you don’t want, and only INCLUDES those you do want! There is a law of the universe that states, “when EVERYONE is your customer...NO


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ONE is your customer!” It’s much better and more efficient to let the people who ARE high probability candidates raise their hands and express an interest, and to ignore everyone else until they switch from being uninterested to becoming interested for some reason. This target marketing is crucial to assure maximum leverage with your time, talent and money! Another area of trouble is the lack of SEQUENCED Emotional Direct Response Marketing. By this, we mean that once a prospect enters your funnel, or once a customer buys something, or once a PT refers someone in to you, or whatever happens to get someone in the “loop”, it should be a federal crime not to relentlessly follow up with them through any one or more media such as direct mail, tapes, telemarketing, e-mail, or whatever. This follow up should be tested carefully, and measured as to when a step in the sequence no longer pays for itself, which is, by definition, the last step in the sequence. We have seen sequenced systems go into 15 or more “steps” before they stopped paying for themselves. Most businesses, including yours, follow up not at all...or if they do, maybe once or twice, and let it go at that. This plan, in our opinion (which is based on years of experience), leaves half or more of the total available money from prospects and customers in their wallet...instead of yours! (It also prevents you from delivering the highest level of value and benefits you’re capable of!) The basic premise of all of our systems is that once someone has raised their hand, they are expressing an interest, but they are most likely “interested but not ready” for whatever reason. If you accept the philosophy that for marketing to work, an analogy of the formula has to be in place is that you need: The right audience, hearing the right music at the right time! So if you have found the right audience, and you play the right music, the only variable left is the whole key...THE RIGHT TIME! See, you cannot mistake their expressing initial interest for their desire to give you a credit card number. Common sense tells you that people who have interests, even very powerful interests, would act if the TIME IS RIGHT! They may be broke for now, tied up in other things, distracted, doing something else they can’t get out of yet, or any infinite number of reasons/excuses why they aren’t going to convert right at the moment. So, if they are good candidates, but aren’t ready now, how do we know when they switch from “interested but not ready” to “interested and here’s my credit card number”? The answer is, you don’t know. You can never know. But, you can stay in their face with Emotional Direct Response type materials/efforts as opposed to clinical (boring or dry) materials, which are better than doing nothing, but nowhere near as effective as true Emotional Response materials...and hopefully show up right at or very near the time they switch. If you ignore them for any length of time, and are not in their face when they switch modes, whomever they have easiest access to in the fitness category at that time when they are ready, will get the business, not 5-STAR/HR. This is one of the most overlooked and ignored basic marketing fundamentals, yet one that once explained and implemented, always blows people away with its effectiveness, simplicity, accountability and success!


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ONE is your customer!” It’s much better and more efficient to let the people who ARE high probability candidates raise their hands and express an interest, and to ignore everyone else until they switch from being uninterested to becoming interested for some reason. This target marketing is crucial to assure maximum leverage with your time, talent and money! Another area of trouble is the lack of SEQUENCED Emotional Direct Response Marketing. By this, we mean that once a prospect enters your funnel, or once a customer buys something, or once a PT refers someone in to you, or whatever happens to get someone in the “loop”, it should be a federal crime not to relentlessly follow up with them through any one or more media such as direct mail, tapes, telemarketing, e-mail, or whatever. This follow up should be tested carefully, and measured as to when a step in the sequence no longer pays for itself, which is, by definition, the last step in the sequence. We have seen sequenced systems go into 15 or more “steps” before they stopped paying for themselves. Most businesses, including yours, follow up not at all...or if they do, maybe once or twice, and let it go at that. This plan, in our opinion (which is based on years of experience), leaves half or more of the total available money from prospects and customers in their wallet...instead of yours! (It also prevents you from delivering the highest level of value and benefits you’re capable of!) The basic premise of all of our systems is that once someone has raised their hand, they are expressing an interest, but they are most likely “interested but not ready” for whatever reason. If you accept the philosophy that for marketing to work, an analogy of the formula has to be in place is that you need: The right audience, hearing the right music at the right time! So if you have found the right audience, and you play the right music, the only variable left is the whole key...THE RIGHT TIME! See, you cannot mistake their expressing initial interest for their desire to give you a credit card number. Common sense tells you that people who have interests, even very powerful interests, would act if the TIME IS RIGHT! They may be broke for now, tied up in other things, distracted, doing something else they can’t get out of yet, or any infinite number of reasons/excuses why they aren’t going to convert right at the moment. So, if they are good candidates, but aren’t ready now, how do we know when they switch from “interested but not ready” to “interested and here’s my credit card number”? The answer is, you don’t know. You can never know. But, you can stay in their face with Emotional Direct Response type materials/efforts as opposed to clinical (boring or dry) materials, which are better than doing nothing, but nowhere near as effective as true Emotional Response materials...and hopefully show up right at or very near the time they switch. If you ignore them for any length of time, and are not in their face when they switch modes, whomever they have easiest access to in the fitness category at that time when they are ready, will get the business, not 5-STAR/HR. This is one of the most overlooked and ignored basic marketing fundamentals, yet one that once explained and implemented, always blows people away with its effectiveness, simplicity, accountability and success!


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Testimonials, endorsements and “Before/After” examples are very powerful motivators, and while occasionally seen in your promotions, need to be beefed up and displayed lots more. You’ve seen how the endorsements from Arnold/Pamela, and the testimonials on the show have made such an impact on your infomercial. The reason that testimonials, endorsements and before/afters are so powerfully persuasive is that they provide two of the most important elements of human behavior in terms of persuasion: (1) Social proof, and (2) Believability. See, it’s a fact of human nature that people will “follow the leader”, and don’t want to be the only one doing whatever. There’s safety in a crowd. Social proof is incredibly important to overcome skepticism or other barriers to selling. However, merely saying something like, “used in over 3,500 clinics and hospitals”, or “benefiting over 1,000,000 patients per year”, doesn’t mean anything to people, since such big number bragging is so common in all advertising, and so general and vague, that it loses any possible punch to convince people. Also, referring to famous people or organizations like, “Texas Rangers don’t leave home without their Health Rejuvenator”, or the references to the trainer for the White Sox, and Michael Jordan, and so forth, are better than not having them, but still aren’t the same as the actual endorsement like you have on the infomercial with Bonnie Blair. Which leads to the second point, believability. People misunderstand “believability”, and often confuse it with “credibility.” See, credibility can be present, like when you refer to the famous people and all your users, but still not be believable. Credibility is obviously important, but it only establishes that you guys know what you’re talking about. It doesn’t mean that a prospect believes that your knowledge will help him. Being believable means that you have far more power than being credible. People have to believe that you are telling the truth...for him! And gaining believability is best delivered initially from PROOF that the prospect believes. (For example, people see Arnold using the Health Rejuvenator on what appears to be the set of a movie, as he looks them in the eye and says he’s been using it for 17 years, and demonstrates his pumping up before a scene. THAT’S PROOF, and it’s believable the way it’s presented. If Bill just told the viewers about Arnold using the HR on the set of his show, the presentation would have had 1,000 less times the impact of viewers believing Bill!) We’ll be going into detail and provide very specific suggestions and recommendations about how to cure these weaknesses in the upcoming Action Plan. IV. Forecast Of Future If Changes Aren’t Implemented Realistically speaking, at this point you guys are going to win the game. The medical market is 20% in the bag and growing. You’re as solid as you can be with your existing PT’s (except in motivating them to refer) and we expect all that to continue. Furthermore, you’re headed for a record consumer year with the new infomercial and the related retail sales. But as you know, there is a shelf life for all infomercials, although this one appears to have a longer run than most. But if you don’t take advantage of the current feeding frenzy and develop a loyal


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Testimonials, endorsements and “Before/After” examples are very powerful motivators, and while occasionally seen in your promotions, need to be beefed up and displayed lots more. You’ve seen how the endorsements from Arnold/Pamela, and the testimonials on the show have made such an impact on your infomercial. The reason that testimonials, endorsements and before/afters are so powerfully persuasive is that they provide two of the most important elements of human behavior in terms of persuasion: (1) Social proof, and (2) Believability. See, it’s a fact of human nature that people will “follow the leader”, and don’t want to be the only one doing whatever. There’s safety in a crowd. Social proof is incredibly important to overcome skepticism or other barriers to selling. However, merely saying something like, “used in over 3,500 clinics and hospitals”, or “benefiting over 1,000,000 patients per year”, doesn’t mean anything to people, since such big number bragging is so common in all advertising, and so general and vague, that it loses any possible punch to convince people. Also, referring to famous people or organizations like, “Texas Rangers don’t leave home without their Health Rejuvenator”, or the references to the trainer for the White Sox, and Michael Jordan, and so forth, are better than not having them, but still aren’t the same as the actual endorsement like you have on the infomercial with Bonnie Blair. Which leads to the second point, believability. People misunderstand “believability”, and often confuse it with “credibility.” See, credibility can be present, like when you refer to the famous people and all your users, but still not be believable. Credibility is obviously important, but it only establishes that you guys know what you’re talking about. It doesn’t mean that a prospect believes that your knowledge will help him. Being believable means that you have far more power than being credible. People have to believe that you are telling the truth...for him! And gaining believability is best delivered initially from PROOF that the prospect believes. (For example, people see Arnold using the Health Rejuvenator on what appears to be the set of a movie, as he looks them in the eye and says he’s been using it for 17 years, and demonstrates his pumping up before a scene. THAT’S PROOF, and it’s believable the way it’s presented. If Bill just told the viewers about Arnold using the HR on the set of his show, the presentation would have had 1,000 less times the impact of viewers believing Bill!) We’ll be going into detail and provide very specific suggestions and recommendations about how to cure these weaknesses in the upcoming Action Plan. IV. Forecast Of Future If Changes Aren’t Implemented Realistically speaking, at this point you guys are going to win the game. The medical market is 20% in the bag and growing. You’re as solid as you can be with your existing PT’s (except in motivating them to refer) and we expect all that to continue. Furthermore, you’re headed for a record consumer year with the new infomercial and the related retail sales. But as you know, there is a shelf life for all infomercials, although this one appears to have a longer run than most. But if you don’t take advantage of the current feeding frenzy and develop a loyal


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backend consumer client base, the sizzle will eventually wear thin. You’ll have saturated the front-end of the market, and you could end up being last year’s fitness phenomenon...instead of the fastest growing company the fitness market has ever seen (which we all know you can and ought to be). The only real question that’s left in our view is, “how thoroughly are you going to win this game?” How will you maximize the potential of the Health Rejuvenator concept and make sure that you squeeze every drop of juice out of the lemon that we’ve talked about on previous occasions? And as you both so appropriately reminded us recently, that’s precisely why we got together to talk a few weeks back. Finally, if things don’t change marketing wise, you run the risk of not being able to establish a beachhead as the FIRST and INVENTORS of a new category in the larger world of fitness. We want you to be able to take the ball that is rolling NOW, and actually invent the new category and become its forever dominant player. As we’ve discussed, if you can’t climb and claw your way to the top of an existing category...invent a new one that you INSTANTLY become the leader in, letting everyone else take their shots and say they’re as good as or better then 5-STAR/HR! You have the means and time window open to do that now, so we want to emphasize the importance of this position, and how strongly we feel you can do this with the right marketing and psychological positioning!


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backend consumer client base, the sizzle will eventually wear thin. You’ll have saturated the front-end of the market, and you could end up being last year’s fitness phenomenon...instead of the fastest growing company the fitness market has ever seen (which we all know you can and ought to be). The only real question that’s left in our view is, “how thoroughly are you going to win this game?” How will you maximize the potential of the Health Rejuvenator concept and make sure that you squeeze every drop of juice out of the lemon that we’ve talked about on previous occasions? And as you both so appropriately reminded us recently, that’s precisely why we got together to talk a few weeks back. Finally, if things don’t change marketing wise, you run the risk of not being able to establish a beachhead as the FIRST and INVENTORS of a new category in the larger world of fitness. We want you to be able to take the ball that is rolling NOW, and actually invent the new category and become its forever dominant player. As we’ve discussed, if you can’t climb and claw your way to the top of an existing category...invent a new one that you INSTANTLY become the leader in, letting everyone else take their shots and say they’re as good as or better then 5-STAR/HR! You have the means and time window open to do that now, so we want to emphasize the importance of this position, and how strongly we feel you can do this with the right marketing and psychological positioning!


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Action Plan 5-STAR/Health Rejuvenator

I. Goals Of The Suggested Action Plan 1. Cost effectively test several different themes in order to scientifically determine how to best turn existing Physical Therapists, who love the Health Rejuvenator, into enthusiastic, pro-active promoters of the unit to their patients. We think that the 4,000 units per year (an average of 1 per facility) we discussed is the absolute minimum (however still quite profitable) you should expect from this part of the plan. 2. Capture another significant share (10%) of the Physical Therapy facilities that have not yet bought into the Health Rejuvenator concept and, of course, turn a significant percentage of them into active promoters too. 3. Turn existing infomercial clients into “Lifelong Customers” who make regular back-end purchases of various other products from 5-STAR/HR. 4. Convert a significant (profitable) percentage of the infomercial callers who did not buy into buyers, and again, once they’ve bought, turn a significant percentage of them into “Lifelong Customers.” 5. Develop the Personal Trainer’s Business Opportunity program to take advantage of the existing problems in the medical industry due to the managed care dilemma, and the continuing boom for fitness training and equipment. 6. To turn 5-STAR/HR web page into a Direct Response device that will maximize the pulling power of the Internet activities you’re already doing, and get this site more involved in capturing business. 7. To do all this in very prudent, scientifically tested, cost effective ways, adding new activities slowly and carefully...using auto-pilot systematization, leading to increased profits and maximum stability, predictability and dependability, requiring minimal time or effort from you guys. II. Specific Recommendations (Including Costs) Medical Market 1. Develop a sequential (monthly) Direct Response style newsletter pushing the hot buttons of the Physical Therapists who want to avoid being perceived as salespersons. The newsletter will be the main


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Action Plan 5-STAR/Health Rejuvenator

I. Goals Of The Suggested Action Plan 1. Cost effectively test several different themes in order to scientifically determine how to best turn existing Physical Therapists, who love the Health Rejuvenator, into enthusiastic, pro-active promoters of the unit to their patients. We think that the 4,000 units per year (an average of 1 per facility) we discussed is the absolute minimum (however still quite profitable) you should expect from this part of the plan. 2. Capture another significant share (10%) of the Physical Therapy facilities that have not yet bought into the Health Rejuvenator concept and, of course, turn a significant percentage of them into active promoters too. 3. Turn existing infomercial clients into “Lifelong Customers” who make regular back-end purchases of various other products from 5-STAR/HR. 4. Convert a significant (profitable) percentage of the infomercial callers who did not buy into buyers, and again, once they’ve bought, turn a significant percentage of them into “Lifelong Customers.” 5. Develop the Personal Trainer’s Business Opportunity program to take advantage of the existing problems in the medical industry due to the managed care dilemma, and the continuing boom for fitness training and equipment. 6. To turn 5-STAR/HR web page into a Direct Response device that will maximize the pulling power of the Internet activities you’re already doing, and get this site more involved in capturing business. 7. To do all this in very prudent, scientifically tested, cost effective ways, adding new activities slowly and carefully...using auto-pilot systematization, leading to increased profits and maximum stability, predictability and dependability, requiring minimal time or effort from you guys. II. Specific Recommendations (Including Costs) Medical Market 1. Develop a sequential (monthly) Direct Response style newsletter pushing the hot buttons of the Physical Therapists who want to avoid being perceived as salespersons. The newsletter will be the main


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engine to drive the new train that will deliver patients of the PT’s buying your products and/or any new services they want you guys to put together for them. It will sell some additional equipment to existing facilities, but that end won’t be near as profitable as the purchases from patients. Done correctly, (meaning the content will appeal to the PT’s natural tendencies and interests, provide very useful and relevant information and guidance, while arousing curiosity, and will be written in a down to earth, yet professionally perceived style) this will produce phone calls, faxes and e-mail requests for information and/or additional tools you can provide to the PT’s coming into your sales office. The newsletter, if it is to be of maximum effectiveness, must contain: success case studies, anecdotes, emotionally impacting human interest stories, controversial editorial commentary, take strong positions and show them you are on their side and an advocate of their position, name a “PT of the Month”, editorial type cartoons, offer professional challenges like contests and submission of material from readers, offer updates and news they don’t get from more traditional sources, and any other copy that creates an empathetic, mental linkage between the reader and the author/editor. Of course, this piece should either contain or have enclosed materials to get business for 5-STAR/HR, and possibly offer a phone consulting service, or fax-back answer hotline, or other interactive methods of getting the PT’s to contact you guys and perceive you as an objective resource for help and guidance. You could incorporate a recorded message that the PT’s could listen to that gets changed every week or two, as another way for them to bond with you and change the perspective they have of you guys and your company. Being perceived as helpers and facilitators of not only complete and quality rehab...but as a repository of knowledge, where they can get real info and help they can’t get anywhere else. In a short period of time, this type of newsletter/relationship will increase the efficiency of your sales force because they will be inundated with inbound calls from people who want to know more, to place orders and to have other interaction with the company. The sales people should be repositioned into counselors and business consultants, thus taking away more of the stigma of the awful “S” word these PT’s seem to abhor so greatly. The psychological change in sales people trying to sell someone a Health Rejuvenator or other products/services vs. helpful counselors assisting callers to solve problems and offering various products and services you have available as the means, is profound, and will make the department much more efficient. As we discussed, making the phones light up with qualified people calling in, will be more efficient than trying to mix outbound calling in with people who are more suited to taking inbound calls. If you really want an outbound function, you should either set up, or job out, a dedicated outbound function, although when these inbound things are done right, outbound calling may not be indicated or desired. Please note that we have often seen many other products and services arise out of these types of professional educational training newsletter relationships, such as live classes/seminars/bootcamps, continuing education, clearinghouse of research, tape of the month (educational and/or success stories -


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engine to drive the new train that will deliver patients of the PT’s buying your products and/or any new services they want you guys to put together for them. It will sell some additional equipment to existing facilities, but that end won’t be near as profitable as the purchases from patients. Done correctly, (meaning the content will appeal to the PT’s natural tendencies and interests, provide very useful and relevant information and guidance, while arousing curiosity, and will be written in a down to earth, yet professionally perceived style) this will produce phone calls, faxes and e-mail requests for information and/or additional tools you can provide to the PT’s coming into your sales office. The newsletter, if it is to be of maximum effectiveness, must contain: success case studies, anecdotes, emotionally impacting human interest stories, controversial editorial commentary, take strong positions and show them you are on their side and an advocate of their position, name a “PT of the Month”, editorial type cartoons, offer professional challenges like contests and submission of material from readers, offer updates and news they don’t get from more traditional sources, and any other copy that creates an empathetic, mental linkage between the reader and the author/editor. Of course, this piece should either contain or have enclosed materials to get business for 5-STAR/HR, and possibly offer a phone consulting service, or fax-back answer hotline, or other interactive methods of getting the PT’s to contact you guys and perceive you as an objective resource for help and guidance. You could incorporate a recorded message that the PT’s could listen to that gets changed every week or two, as another way for them to bond with you and change the perspective they have of you guys and your company. Being perceived as helpers and facilitators of not only complete and quality rehab...but as a repository of knowledge, where they can get real info and help they can’t get anywhere else. In a short period of time, this type of newsletter/relationship will increase the efficiency of your sales force because they will be inundated with inbound calls from people who want to know more, to place orders and to have other interaction with the company. The sales people should be repositioned into counselors and business consultants, thus taking away more of the stigma of the awful “S” word these PT’s seem to abhor so greatly. The psychological change in sales people trying to sell someone a Health Rejuvenator or other products/services vs. helpful counselors assisting callers to solve problems and offering various products and services you have available as the means, is profound, and will make the department much more efficient. As we discussed, making the phones light up with qualified people calling in, will be more efficient than trying to mix outbound calling in with people who are more suited to taking inbound calls. If you really want an outbound function, you should either set up, or job out, a dedicated outbound function, although when these inbound things are done right, outbound calling may not be indicated or desired. Please note that we have often seen many other products and services arise out of these types of professional educational training newsletter relationships, such as live classes/seminars/bootcamps, continuing education, clearinghouse of research, tape of the month (educational and/or success stories -


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case studies), coaching or motivational programs, referral getting programs, web site set-ups, teleconferencing, etc., etc. There is no way to predict all the things that arise out of this type of personal connection, relationship type Emotional Direct Response Marketing, but all it takes is a little testing, and in a short time, the successful elements will surface, and can be incorporated into the long-term program. It’s important to note that this newsletter should come from Bill and/or John, in our opinion, (although being ghostwritten would work, with copy approval before publication, for example) because as the owners, the PT’s will start to relate to you as their ally, their confidant, trusted advisor...and hopefully become a GURU in the industry that EVERYONE knows and looks at as the ultimate friend and source of all knowledge in the universe! When you reach this status in their subconscious, that’s when the fun begins in regard to sales! (If neither of you wants to become a GURU, then we should find someone to become it, as this positioning is the highest form of connection you can make, and needs to be in place!) The reason you haven’t been able to get much business from the PT’s may lay in the following incongruent situation. It seems to be generally accepted by you guys and your staff that many, if not most, PT’s do not want to be perceived or feel like they are “selling” anything to patients. It appears they feel this type of perception and feeling about themselves is “unprofessional” and beneath their station. However, when reviewing all the materials you provided, we saw much of it oriented towards the “commission” or “referral fee”, or the discount a patient can get passed through, and so on. When talking to your sales people, they told us they generally try to convince the PT that they can make extra bucks, and give the patient a greatly needed product for their health. Here’s where the incongruity lies. See, your customers are telling you they clearly don’t want either to be perceived or feel like they are “selling”...yet the thrust of a number of your sales pitches mostly focus, either directly or indirectly, on trying to persuade them to “sell”, trying to convince them they should be interested in what they have already told you would make them embarrassed and uncomfortable! This cannot work beyond low-level success. Sure, a few of them will do some stuff, but as you’ve experienced, the majority of them will not do much, if anything. If you want a real breakthrough in this under-performing hidden tier asset, you are going to have to completely change the psychology of the message so that it is perceived by the PT’s to not only not be what they detest...but to be what they crave and live for instead! What might this be? Well, it is our belief that their top level of motivation is being perceived by patients and outside doctors as top quality, empathetic, technically competent care givers, miracle workers who succeed in putting a person’s messed up or even shattered life back together. They want and crave recognition and acknowledgment, and desire true gratitude from grateful patients who think they are a hero. They live for the day when a patient tells them, “I gotta’ tell you, you saved my life. If I couldn’t have been able to play golf anymore, which is my only remaining passion after the divorce and the kids being grown and gone, I wouldn’t have felt like I had anything left. When those doctors told me I wouldn’t be able to swing a club ever again, and even if there were a rehab treatment that could help, it would be


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case studies), coaching or motivational programs, referral getting programs, web site set-ups, teleconferencing, etc., etc. There is no way to predict all the things that arise out of this type of personal connection, relationship type Emotional Direct Response Marketing, but all it takes is a little testing, and in a short time, the successful elements will surface, and can be incorporated into the long-term program. It’s important to note that this newsletter should come from Bill and/or John, in our opinion, (although being ghostwritten would work, with copy approval before publication, for example) because as the owners, the PT’s will start to relate to you as their ally, their confidant, trusted advisor...and hopefully become a GURU in the industry that EVERYONE knows and looks at as the ultimate friend and source of all knowledge in the universe! When you reach this status in their subconscious, that’s when the fun begins in regard to sales! (If neither of you wants to become a GURU, then we should find someone to become it, as this positioning is the highest form of connection you can make, and needs to be in place!) The reason you haven’t been able to get much business from the PT’s may lay in the following incongruent situation. It seems to be generally accepted by you guys and your staff that many, if not most, PT’s do not want to be perceived or feel like they are “selling” anything to patients. It appears they feel this type of perception and feeling about themselves is “unprofessional” and beneath their station. However, when reviewing all the materials you provided, we saw much of it oriented towards the “commission” or “referral fee”, or the discount a patient can get passed through, and so on. When talking to your sales people, they told us they generally try to convince the PT that they can make extra bucks, and give the patient a greatly needed product for their health. Here’s where the incongruity lies. See, your customers are telling you they clearly don’t want either to be perceived or feel like they are “selling”...yet the thrust of a number of your sales pitches mostly focus, either directly or indirectly, on trying to persuade them to “sell”, trying to convince them they should be interested in what they have already told you would make them embarrassed and uncomfortable! This cannot work beyond low-level success. Sure, a few of them will do some stuff, but as you’ve experienced, the majority of them will not do much, if anything. If you want a real breakthrough in this under-performing hidden tier asset, you are going to have to completely change the psychology of the message so that it is perceived by the PT’s to not only not be what they detest...but to be what they crave and live for instead! What might this be? Well, it is our belief that their top level of motivation is being perceived by patients and outside doctors as top quality, empathetic, technically competent care givers, miracle workers who succeed in putting a person’s messed up or even shattered life back together. They want and crave recognition and acknowledgment, and desire true gratitude from grateful patients who think they are a hero. They live for the day when a patient tells them, “I gotta’ tell you, you saved my life. If I couldn’t have been able to play golf anymore, which is my only remaining passion after the divorce and the kids being grown and gone, I wouldn’t have felt like I had anything left. When those doctors told me I wouldn’t be able to swing a club ever again, and even if there were a rehab treatment that could help, it would be


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too expensive to experiment with, and my HMO wouldn’t pay for it anyway, I was devastated. But you didn’t listen to them, or get stalled by that damn HMO’s pencil pushers, and went way above and beyond the call of duty to get me back in the game. I’ll never forget what you’ve done for me. Never. I don’t know how I’ll ever be able to repay you for your kindness, or put my true expression of gratitude and thanks into words. I really mean it. You’re the best.” THIS...is what they want. Now think about your messages of commissions, referral fees, and pass-through savings, or your brochure that talks about this idea in a clinical and unemotional, very short copy, brief and “to the point” oriented manner. It is our opinion that you aren’t plugging into the hot wires of the PT’s heart and inner motivations that drive them, and resonate with their perceptions about themselves. These connections will be necessary to get them to see you guys as the resource that gets them what THEY REALLY DO WANT, instead of WHAT YOU WANT THEM TO WANT, OR THINK THEY SHOULD WANT! We did see one small, four color, brochure-like piece titled, “Healthy & Fit System...Patients Can Continue Clinic Learned Skills At Home. Affordable, Post-Rehab Exercise That Duplicates Clinical Procedure. Making Managed Care Manageable.” The piece does discuss the concept of helping patients, and bringing clinical safety home for post rehab conditioning and family fitness. It touches on the managed care disaster, and covers technical descriptions of what the home unit can take care of, and so on. It’s apparent you have long ago realized this problem of rehab care being cut off midstream, and of the PT’s desire to be a helpful caregiver. This piece does discuss these issues, no question. But, the problem is the common one we see: It’s not what’s being said...but how it’s being said! For example, a direct mail piece, or a page on your web site, or whatever, with headlines something like these examples:

“Do You Feel Thwarted When Your Patients Are Forced To Stop Treatment Before They’re Ready?”

“The Diary Of A Frustrated Physical Therapist”

“San Diego Physical Therapist

Discovers Remarkable Method Of


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too expensive to experiment with, and my HMO wouldn’t pay for it anyway, I was devastated. But you didn’t listen to them, or get stalled by that damn HMO’s pencil pushers, and went way above and beyond the call of duty to get me back in the game. I’ll never forget what you’ve done for me. Never. I don’t know how I’ll ever be able to repay you for your kindness, or put my true expression of gratitude and thanks into words. I really mean it. You’re the best.” THIS...is what they want. Now think about your messages of commissions, referral fees, and pass-through savings, or your brochure that talks about this idea in a clinical and unemotional, very short copy, brief and “to the point” oriented manner. It is our opinion that you aren’t plugging into the hot wires of the PT’s heart and inner motivations that drive them, and resonate with their perceptions about themselves. These connections will be necessary to get them to see you guys as the resource that gets them what THEY REALLY DO WANT, instead of WHAT YOU WANT THEM TO WANT, OR THINK THEY SHOULD WANT! We did see one small, four color, brochure-like piece titled, “Healthy & Fit System...Patients Can Continue Clinic Learned Skills At Home. Affordable, Post-Rehab Exercise That Duplicates Clinical Procedure. Making Managed Care Manageable.” The piece does discuss the concept of helping patients, and bringing clinical safety home for post rehab conditioning and family fitness. It touches on the managed care disaster, and covers technical descriptions of what the home unit can take care of, and so on. It’s apparent you have long ago realized this problem of rehab care being cut off midstream, and of the PT’s desire to be a helpful caregiver. This piece does discuss these issues, no question. But, the problem is the common one we see: It’s not what’s being said...but how it’s being said! For example, a direct mail piece, or a page on your web site, or whatever, with headlines something like these examples:

“Do You Feel Thwarted When Your Patients Are Forced To Stop Treatment Before They’re Ready?”

“The Diary Of A Frustrated Physical Therapist”

“San Diego Physical Therapist

Discovers Remarkable Method Of


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Assuring Patients Finish Treatment... Tells HMO’s And Managed Care Where To Go!”

“Cost Containment And Incomplete Treatment Driving You Nuts?”

“How A San Diego Physical Therapist Went From Being A Frustrated Tool Of Managed Care Bureaucrats...To A Hero

In The Eyes Of Her Patients In Only Two Months!”

“Do You Feel Like This When Managed Care Cuts Your Patients Off Before They’re Fully Recovered?”

“AAA Rehabilitation And Management System Solves Disgusting Problem Of Abandoning Patients Too

Soon Because Of Managed Care!” Or something along these lines. As you can see, these headlines and the name, “AAA Rehabilitation And Management System” are examples of Emotional Direct Response type of language. If you agree with this philosophy, the procedure would be to pick at least two headlines and pitches (presented in the form of Confidential Special Reports, much like the golf examples enclosed) and to test them to different small groups of both current PT’s using the Health Rejuvenator and some who are not, and to incorporate into pitches to sign up new PT’s, a separate but related campaign which will be discussed in a minute. A quick side note. A common objection with our clients is that “this type” of copy will not work in their market because their customers are too sophisticated/educated/professional or whatever to “fall for this kind of stuff.” We have heard this in every industry and profession ranging from contractors to surgeons and everything in between. The only comment we can make is that while we cannot say that these suggested headlines, or the sample of a small part of a story you heard a minute ago, or whatever copy/themes we eventually decide to test are the right words...we do know that this formula and methodology will bring more sales and build stronger psychological connections than any other sort. It’s a matter of testing small before making rollout decisions. But as far as “this type” of formula being too unsophisticated or not working on PT’s, doctors they will be marketing to/through, or end users from TV...we do not subscribe to that way of thinking based on years of doing this in all those markets and not


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Assuring Patients Finish Treatment... Tells HMO’s And Managed Care Where To Go!”

“Cost Containment And Incomplete Treatment Driving You Nuts?”

“How A San Diego Physical Therapist Went From Being A Frustrated Tool Of Managed Care Bureaucrats...To A Hero

In The Eyes Of Her Patients In Only Two Months!”

“Do You Feel Like This When Managed Care Cuts Your Patients Off Before They’re Fully Recovered?”

“AAA Rehabilitation And Management System Solves Disgusting Problem Of Abandoning Patients Too

Soon Because Of Managed Care!” Or something along these lines. As you can see, these headlines and the name, “AAA Rehabilitation And Management System” are examples of Emotional Direct Response type of language. If you agree with this philosophy, the procedure would be to pick at least two headlines and pitches (presented in the form of Confidential Special Reports, much like the golf examples enclosed) and to test them to different small groups of both current PT’s using the Health Rejuvenator and some who are not, and to incorporate into pitches to sign up new PT’s, a separate but related campaign which will be discussed in a minute. A quick side note. A common objection with our clients is that “this type” of copy will not work in their market because their customers are too sophisticated/educated/professional or whatever to “fall for this kind of stuff.” We have heard this in every industry and profession ranging from contractors to surgeons and everything in between. The only comment we can make is that while we cannot say that these suggested headlines, or the sample of a small part of a story you heard a minute ago, or whatever copy/themes we eventually decide to test are the right words...we do know that this formula and methodology will bring more sales and build stronger psychological connections than any other sort. It’s a matter of testing small before making rollout decisions. But as far as “this type” of formula being too unsophisticated or not working on PT’s, doctors they will be marketing to/through, or end users from TV...we do not subscribe to that way of thinking based on years of doing this in all those markets and not


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finding one that couldn’t be successfully captured with Emotional Direct Response Marketing! However it works, it must be presented as 5-STAR/HR’s active contribution toward resolving the managed care dilemma in the PT market. It should be promoted in the newsletter. You’ll need to create and provide a variety of Direct Response oriented flyers or other materials for testing that PT’s can hand out to patients which will contain a toll free number for patients to call to listen to a pre-recorded message informing and intriguing them, and asking them to leave their name and address to get further information. When a patient leaves a name and address, he or she will receive a valuable, information packet including a free Direct Response report, maybe audio/videotape(s) explaining/demonstrating how the new program works and how they can take advantage of it in order to complete their rehab and maintain for years to come. Of course, there will have to be a minimum of two or three follow up pieces created and tested to chase the leads down. (Maybe more than three or four steps if we find that these steps all pay, which is very possible.) The report and the tape(s) will both contain 5-STAR/HR’s 800 number where they can reach any one of your counselors who will explain what needs to be done to activate the program. Think about the qualifiers here. The caller has read the flyer and/or whatever else is given out by the PT’s, called an 800 number, listened to a pre-recorded message, left a name and address, received/read a lengthy report, watched/listened to audio/videotape(s) on the same subject, maybe received a number of follow-ups, and then called another 800 number to find out more about the program. You can presume they’re almost ready to buy, and are in three or four of the previously mentioned categories of qualified leads. The counselor can easily carry it the rest of the way without trying to sell anyone anything! When a lead system is constantly bringing in highly qualified and interested leads all day long, your “counselors” will never have to resort to any pressure or “closing” or “objection handling”, because they will only be talking to high probability prospects, and will always have new people calling in and old ones to follow up with who asked them to call back. When the marketing sets up a selling system like this, selling is the simplest part because no one is doing it anymore! Everyone’s a consultant, helping prospects decide which way to go, which package to buy...instead of trying to talk them into buying something, anything! A very important part of this, and other recommendations we’ll be making is to develop “packages” of products and/or services, bundled together in a value-added approach, that are more than just the equipment you have currently packaged on your price list. For example, you could offer a “Silver” package which includes a basic HR package as you now have listed on your price sheet, a specific, home use, protocol tape package targeted towards the type of rehab being done, a gift certificate good for one or two office visits to see the PT after the insurance runs out (and/or brief phone consultation certificates) so the PT can check on the patient’s progress (the certificates are where 5-STAR/HR offers to reimburse the PT for $x per visit or phone call, which of course, is built into your package cost/pricing structure, or instead of or in addition to any “referral commissions” or patient “pass-throughs”, etc. thus


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finding one that couldn’t be successfully captured with Emotional Direct Response Marketing! However it works, it must be presented as 5-STAR/HR’s active contribution toward resolving the managed care dilemma in the PT market. It should be promoted in the newsletter. You’ll need to create and provide a variety of Direct Response oriented flyers or other materials for testing that PT’s can hand out to patients which will contain a toll free number for patients to call to listen to a pre-recorded message informing and intriguing them, and asking them to leave their name and address to get further information. When a patient leaves a name and address, he or she will receive a valuable, information packet including a free Direct Response report, maybe audio/videotape(s) explaining/demonstrating how the new program works and how they can take advantage of it in order to complete their rehab and maintain for years to come. Of course, there will have to be a minimum of two or three follow up pieces created and tested to chase the leads down. (Maybe more than three or four steps if we find that these steps all pay, which is very possible.) The report and the tape(s) will both contain 5-STAR/HR’s 800 number where they can reach any one of your counselors who will explain what needs to be done to activate the program. Think about the qualifiers here. The caller has read the flyer and/or whatever else is given out by the PT’s, called an 800 number, listened to a pre-recorded message, left a name and address, received/read a lengthy report, watched/listened to audio/videotape(s) on the same subject, maybe received a number of follow-ups, and then called another 800 number to find out more about the program. You can presume they’re almost ready to buy, and are in three or four of the previously mentioned categories of qualified leads. The counselor can easily carry it the rest of the way without trying to sell anyone anything! When a lead system is constantly bringing in highly qualified and interested leads all day long, your “counselors” will never have to resort to any pressure or “closing” or “objection handling”, because they will only be talking to high probability prospects, and will always have new people calling in and old ones to follow up with who asked them to call back. When the marketing sets up a selling system like this, selling is the simplest part because no one is doing it anymore! Everyone’s a consultant, helping prospects decide which way to go, which package to buy...instead of trying to talk them into buying something, anything! A very important part of this, and other recommendations we’ll be making is to develop “packages” of products and/or services, bundled together in a value-added approach, that are more than just the equipment you have currently packaged on your price list. For example, you could offer a “Silver” package which includes a basic HR package as you now have listed on your price sheet, a specific, home use, protocol tape package targeted towards the type of rehab being done, a gift certificate good for one or two office visits to see the PT after the insurance runs out (and/or brief phone consultation certificates) so the PT can check on the patient’s progress (the certificates are where 5-STAR/HR offers to reimburse the PT for $x per visit or phone call, which of course, is built into your package cost/pricing structure, or instead of or in addition to any “referral commissions” or patient “pass-throughs”, etc. thus


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adding real value from the PT’s point of view, adding fuel for them to get involved), and a progress report system for the patient to communicate through mail/fax/e-mail how they’re doing, or whatever, a free ticket to patient education classes held by the PT, a free subscription to the PT’s monthly patient newsletter (which you can provide each month and sell to the PT’s to put their own name on, and which they will send out to other professionals like referring doctors, other centers of influence in their community, etc.), a free trial subscription to health supplements/vitamins, and so on. This proven “bundling” idea is going to be perceived by both the PT’s and patients as much more “patient focused” and relationship oriented than what you’re now offering, which is more product oriented. The psychological difference between an Emotional Response copy driven offer of a relationship based on a patient focused psychology vs. the “price list” approach is staggering in its selling power! (Please keep in mind that your infomercial is one of the exceptions to the rule that “piling on bundling”, like the “but wait, that’s not all” type of stuff, usually works better!) Anyway, a “Gold” package could contain everything in the “Silver” but provide a higher quality HR, more free office visits, and/or phone consultation gift certificates, maybe other accessories and/or the accessory holder, information products, or whatever we can come up with to add value and try to steer people into the better package for their own better use and results, and your higher average sale. When done right, the actual “hard cost” of the expensive option vs. the cheapo option can be minimal, but have a huge perceived value difference. (We have one package that is $250 higher in price and the only increase in “hard cost” is a $5 videotape!) This option/bundling pricing strategy can often get a 2 or 3 to 1 ratio of high-priced to low-priced, with incrementally huge profit differences! One segment of this effort will be to provide a Special Referral Generation Kit (audio and/or videotapes, written material, monthly client newsletter, and suggested sequenced follow ups) for the therapy facility that will target doctors or others who are in a position to refer patients to the PT’s. This material will feature the “Customer Care Program” (the gift certificate program), and the “AAA Rehabilitation And Management System”, making sure doctors and others know that rehab is being completed at this particular clinic far more than any other non-participating clinic, despite the accountants at HMO/PPO’s, managed care groups, etc. This part of the package will help PT’s who are active participants in the program to market themselves more effectively, and have to include instructions (probably written and audio and/or videotaped) on how to use the turnkey materials in a way that they will not feel like or perceive themselves as “selling.” We have to position this program as a way of helping the doctors refer patients to the correct rehab facilities that can have the highest chance of a patient finishing rehab, have an ongoing relationship and a permanent maintenance/recurrence prevention program. Some PT’s will love this value-added program, which could be sold separately, or packaged up as a bonus in the “AAA Rehabilitation And Management System” kit, depending on whether or not you decide to sell this program or offer it free as a value-added service.


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adding real value from the PT’s point of view, adding fuel for them to get involved), and a progress report system for the patient to communicate through mail/fax/e-mail how they’re doing, or whatever, a free ticket to patient education classes held by the PT, a free subscription to the PT’s monthly patient newsletter (which you can provide each month and sell to the PT’s to put their own name on, and which they will send out to other professionals like referring doctors, other centers of influence in their community, etc.), a free trial subscription to health supplements/vitamins, and so on. This proven “bundling” idea is going to be perceived by both the PT’s and patients as much more “patient focused” and relationship oriented than what you’re now offering, which is more product oriented. The psychological difference between an Emotional Response copy driven offer of a relationship based on a patient focused psychology vs. the “price list” approach is staggering in its selling power! (Please keep in mind that your infomercial is one of the exceptions to the rule that “piling on bundling”, like the “but wait, that’s not all” type of stuff, usually works better!) Anyway, a “Gold” package could contain everything in the “Silver” but provide a higher quality HR, more free office visits, and/or phone consultation gift certificates, maybe other accessories and/or the accessory holder, information products, or whatever we can come up with to add value and try to steer people into the better package for their own better use and results, and your higher average sale. When done right, the actual “hard cost” of the expensive option vs. the cheapo option can be minimal, but have a huge perceived value difference. (We have one package that is $250 higher in price and the only increase in “hard cost” is a $5 videotape!) This option/bundling pricing strategy can often get a 2 or 3 to 1 ratio of high-priced to low-priced, with incrementally huge profit differences! One segment of this effort will be to provide a Special Referral Generation Kit (audio and/or videotapes, written material, monthly client newsletter, and suggested sequenced follow ups) for the therapy facility that will target doctors or others who are in a position to refer patients to the PT’s. This material will feature the “Customer Care Program” (the gift certificate program), and the “AAA Rehabilitation And Management System”, making sure doctors and others know that rehab is being completed at this particular clinic far more than any other non-participating clinic, despite the accountants at HMO/PPO’s, managed care groups, etc. This part of the package will help PT’s who are active participants in the program to market themselves more effectively, and have to include instructions (probably written and audio and/or videotaped) on how to use the turnkey materials in a way that they will not feel like or perceive themselves as “selling.” We have to position this program as a way of helping the doctors refer patients to the correct rehab facilities that can have the highest chance of a patient finishing rehab, have an ongoing relationship and a permanent maintenance/recurrence prevention program. Some PT’s will love this value-added program, which could be sold separately, or packaged up as a bonus in the “AAA Rehabilitation And Management System” kit, depending on whether or not you decide to sell this program or offer it free as a value-added service.


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(There are pros and cons of selling or giving away such a program. One sure method to find out what works best is to test one vs. the other. If you offer this as a freebie, you’ll get more PT’s to respond and want to check it out, but they may not be as qualified or motivated as ones who pay for the program. This is a difficult decision for us to give you a specific answer to. You’d have to use your best judgment or, if in doubt, do a split test.) We’d also strongly recommend testing an “endorsed mailing” in the medical market. This is one of the most predictable and profitable ways to take advantage of direct mail. If you could get one of your successful, actively referring (“selling”) PT’s (preferably one who has name recognition) to “write” (have ghostwritten) a letter extolling the virtues of your system and how it’s helped him, etc. Now, this is much more than a testimonial. This approach has the letter “coming” from him and is on his letterhead, etc. When done properly, endorsed mailings can bring response rates up by many magnitudes. We’ve seen direct mail response rates go up by as much as five times by using this method vs. just having the same person included in with the testimonials! In numerical terms, presuming that only 20% of your clinics are privately owned, non-bureaucracy (non-Health South) type operations, and that only 20% of the monthly 200,000 new patents are viable targets (40,000 patients/month), and that only 3% of these can be converted into HR buyers, we would be looking at selling an extra 1,200 units a month, times $600/unit, would add an extra $720,000 gross revenue/month, or $8,640,000/year. If net profit is 17%, (which is about what we gathered from the figures you supplied us, and if the net is higher or lower, we can make the adjustments accordingly) you’re looking at an extra $1,468,800 net profit per year if this process works along these lines. (We feel these are realistic numbers, and maybe a bit on the conservative side.) On a slightly higher note, using a 5% conversion scenario, we’re talking about an added 2,000 units a month, $1,200,000/ month, $14,400,000/year gross revenue, times 17% comes to an added $2,448,000 net profit/year. (If this were to happen, which is more than possible, you could double your profits from current levels!) The cost of generating these numbers is as follows. We figure $1/newsletter/month for postage, printing and mailing. So, if we were to mail all 4,000 clinics, we’d be talking about $4,000 in newsletters, plus 20,000 flyers/month that they would be giving out to patients @$400/month if you supplied the flyers (if that’s the only marketing/education piece we offered to prepare for them about the “AAA Rehabilitation And Management System”.) Add $10,000 in voice mail costs for those who call in to leave their name and address on the recorded message (their phone numbers are captured by caller ID, by the way, and all leads can be transcribed and downloaded directly into a database), and $3 per fulfillment package (including a valuable free gift of some sort, preferably an information product such as a tape


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(There are pros and cons of selling or giving away such a program. One sure method to find out what works best is to test one vs. the other. If you offer this as a freebie, you’ll get more PT’s to respond and want to check it out, but they may not be as qualified or motivated as ones who pay for the program. This is a difficult decision for us to give you a specific answer to. You’d have to use your best judgment or, if in doubt, do a split test.) We’d also strongly recommend testing an “endorsed mailing” in the medical market. This is one of the most predictable and profitable ways to take advantage of direct mail. If you could get one of your successful, actively referring (“selling”) PT’s (preferably one who has name recognition) to “write” (have ghostwritten) a letter extolling the virtues of your system and how it’s helped him, etc. Now, this is much more than a testimonial. This approach has the letter “coming” from him and is on his letterhead, etc. When done properly, endorsed mailings can bring response rates up by many magnitudes. We’ve seen direct mail response rates go up by as much as five times by using this method vs. just having the same person included in with the testimonials! In numerical terms, presuming that only 20% of your clinics are privately owned, non-bureaucracy (non-Health South) type operations, and that only 20% of the monthly 200,000 new patents are viable targets (40,000 patients/month), and that only 3% of these can be converted into HR buyers, we would be looking at selling an extra 1,200 units a month, times $600/unit, would add an extra $720,000 gross revenue/month, or $8,640,000/year. If net profit is 17%, (which is about what we gathered from the figures you supplied us, and if the net is higher or lower, we can make the adjustments accordingly) you’re looking at an extra $1,468,800 net profit per year if this process works along these lines. (We feel these are realistic numbers, and maybe a bit on the conservative side.) On a slightly higher note, using a 5% conversion scenario, we’re talking about an added 2,000 units a month, $1,200,000/ month, $14,400,000/year gross revenue, times 17% comes to an added $2,448,000 net profit/year. (If this were to happen, which is more than possible, you could double your profits from current levels!) The cost of generating these numbers is as follows. We figure $1/newsletter/month for postage, printing and mailing. So, if we were to mail all 4,000 clinics, we’d be talking about $4,000 in newsletters, plus 20,000 flyers/month that they would be giving out to patients @$400/month if you supplied the flyers (if that’s the only marketing/education piece we offered to prepare for them about the “AAA Rehabilitation And Management System”.) Add $10,000 in voice mail costs for those who call in to leave their name and address on the recorded message (their phone numbers are captured by caller ID, by the way, and all leads can be transcribed and downloaded directly into a database), and $3 per fulfillment package (including a valuable free gift of some sort, preferably an information product such as a tape


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and/or written material) or $30,000 for a total of $44,000 expenditure per month, or $528,000 per year, to generate $1,500,000 to $2,500,000 additional annual profits just from the sale of the equipment! (Not counting the Lifetime Value additions to income as a result of acquiring all these new customers! The Lifetime Value of all these additional customers could equal or exceed the profits from the sale of all the extra machines!) Any way you look at it, you win. Even if the low projection turns out to be wrong, your break-even would be about 431 units per month sold to cover the $44,000 estimated cost at full rollout. (Which is about 1 unit per PT clinic.) These figures seem to indicate a high likelihood that this system will produce profits after a short time for testing and tweaking. It’s important to note here that we suggest an initial test run of 20 to 25 clinics before incurring the rolling out costs of the scenarios mentioned above. The test group should be a relatively evenly spread out mix of privately owned clinics with a pre-existing “5-STAR/HR Referral Friendly” history, and who already refer business in, private clinics who don’t do much, and some larger, conglomerate type places, trying to call ahead and identify the current “decision maker of the month.” After three months or so of testing, we can establish if: (1) Any of this is working at all, (2) If so, which clinics are doing better, and (3) What can we derive from the really successful clinics to tweak modestly successful clinics into higher success. After we look at results and tweaking, we can then decide if and how to expand the testing for a short while, and then roll out when the results tell us it’s safe to do so. If none of the testing works at all, which is unlikely but possible, the cost of testing would only be a couple thousand a month for the three months of testing. If you got absolutely no business, the downside of a failed test is very small. We think we might want to reposition the way “commissions” are currently offered. We suggest developing “The Customer Care Program” program as described above, which will appeal to the altruistic side of PT’s. It will put the PT in a position where he/she can: (1) Give patients a significant break on a “AAA Rehabilitation And Management System” Silver or Gold package so they can continue and complete rehab, as well as maintain functional fitness for years to come, (2) Put money into a clinic account for future needs of the clinic if they want that type of reimbursement, or (3) Even pay a commission to the individual if they choose to do so. This is a delicate issue and needs to be explored a bit more before we all agree if the type of name we suggested for these reimbursements is OK, and how to explain them so they are perceived as being as altruistic as possible, and as non-salesy as possible. It will probably take some testing to determine which program appeals to which PT’s and find out if we have to offer multiple choices of reimbursements, or if one is so far better that we just roll with it. 2. Develop Emotional Direct Response Lead Generation Ads to go into Physical Therapy publications, send lead generation postcards or direct mail that will follow up to leads with sequentialized sales letters (reports) and/or tapes that will result in an even deeper penetration into the Physical Therapy market, and eventually turn them into promoters of the “AAA Rehabilitation And Management System”, and the “Customer Care Program” to their patients too. This will be accomplished very cost effectively


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and/or written material) or $30,000 for a total of $44,000 expenditure per month, or $528,000 per year, to generate $1,500,000 to $2,500,000 additional annual profits just from the sale of the equipment! (Not counting the Lifetime Value additions to income as a result of acquiring all these new customers! The Lifetime Value of all these additional customers could equal or exceed the profits from the sale of all the extra machines!) Any way you look at it, you win. Even if the low projection turns out to be wrong, your break-even would be about 431 units per month sold to cover the $44,000 estimated cost at full rollout. (Which is about 1 unit per PT clinic.) These figures seem to indicate a high likelihood that this system will produce profits after a short time for testing and tweaking. It’s important to note here that we suggest an initial test run of 20 to 25 clinics before incurring the rolling out costs of the scenarios mentioned above. The test group should be a relatively evenly spread out mix of privately owned clinics with a pre-existing “5-STAR/HR Referral Friendly” history, and who already refer business in, private clinics who don’t do much, and some larger, conglomerate type places, trying to call ahead and identify the current “decision maker of the month.” After three months or so of testing, we can establish if: (1) Any of this is working at all, (2) If so, which clinics are doing better, and (3) What can we derive from the really successful clinics to tweak modestly successful clinics into higher success. After we look at results and tweaking, we can then decide if and how to expand the testing for a short while, and then roll out when the results tell us it’s safe to do so. If none of the testing works at all, which is unlikely but possible, the cost of testing would only be a couple thousand a month for the three months of testing. If you got absolutely no business, the downside of a failed test is very small. We think we might want to reposition the way “commissions” are currently offered. We suggest developing “The Customer Care Program” program as described above, which will appeal to the altruistic side of PT’s. It will put the PT in a position where he/she can: (1) Give patients a significant break on a “AAA Rehabilitation And Management System” Silver or Gold package so they can continue and complete rehab, as well as maintain functional fitness for years to come, (2) Put money into a clinic account for future needs of the clinic if they want that type of reimbursement, or (3) Even pay a commission to the individual if they choose to do so. This is a delicate issue and needs to be explored a bit more before we all agree if the type of name we suggested for these reimbursements is OK, and how to explain them so they are perceived as being as altruistic as possible, and as non-salesy as possible. It will probably take some testing to determine which program appeals to which PT’s and find out if we have to offer multiple choices of reimbursements, or if one is so far better that we just roll with it. 2. Develop Emotional Direct Response Lead Generation Ads to go into Physical Therapy publications, send lead generation postcards or direct mail that will follow up to leads with sequentialized sales letters (reports) and/or tapes that will result in an even deeper penetration into the Physical Therapy market, and eventually turn them into promoters of the “AAA Rehabilitation And Management System”, and the “Customer Care Program” to their patients too. This will be accomplished very cost effectively


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without using expensive four color brochures and other image related professional style advertising procedures. (Examples of similar successful efforts in other markets are enclosed.) The thrust of this program would contain a great deal of material from the previously discussed marketing system. You can have great leverage of time and resources by finding out the best pitches to your existing clinics, and to make modifications to attract new PT’s with a very similar pitch, but adding information about the HR and your other products that the first 4,000 presumably already know a lot about, but these new people may not have a clue about. (This presumption, by the way, that your 4,000 clinics are knowledgeable, chapter and verse, about 5-STAR/HR is possibly a bad assumption. It’s been our experience that “customers” who don’t have a psychological relationship with a “GURU” and his/her company often don’t know much, if anything, about you even though you may think this impossible from all the contacts made and stuff you’ve sent. We never make the assumption that our client’s customers know much, if anything, and start the marketing copy and info right at the beginning, as if they have never heard of you. This is a fundamental of marketing that often gets left out of the mix, and is a highly dangerous assumption to make!) Direct Response Public Relations could also be utilized to attract new PT’s without spending money. This is different than the PR stuff you’re used to. See, our position is that any advertising, including PR should be direct response oriented and be trackable. General PR, in our experience, is not really as useful as it always feels like it is. When a client tells us they got a big write-up in a publication or appeared on a news show on TV or whatever, we want to know if there is any immediate or long-lasting bump in sales as a result. We know this general PR cannot hurt, but the real question is what did it cost to get...and can you measure any new sales as a result? Often times, in the final analysis, the answer is no, we cannot track sales going up because of the publicity. Our approach is that PR should cost nothing, and be gathered by issuing (mostly faxing) Direct Response PR press releases that are very similar to ads, except they are faxed to editors, producers, reporters, etc., and are only designed to generate an interview with you. Then, the interview would only be considered if the interviewer agrees to give out your 800# (always traceable by using a different 800# or a department # or whatever), so you can track whether or not that media exposure was worth anything or not. This approach is unconventional, but has significant advantages over general PR due to the fact that it doesn’t cost anywhere near as much as traditional PR, and is measurable, and thus tweakable, where general PR isn’t because you usually have no idea exactly what is or isn’t bringing in sales. A sample of this type of press release is attached to give you an idea of the type of release that’s been known to work in all kinds of markets. When interviews get set up, we would use a dedicated voice mail box to track how many leads came from the publicity, and then determine if it is useful. If you get leads and some convert as a result, remember that although the follow-up costs are the same as with leads


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without using expensive four color brochures and other image related professional style advertising procedures. (Examples of similar successful efforts in other markets are enclosed.) The thrust of this program would contain a great deal of material from the previously discussed marketing system. You can have great leverage of time and resources by finding out the best pitches to your existing clinics, and to make modifications to attract new PT’s with a very similar pitch, but adding information about the HR and your other products that the first 4,000 presumably already know a lot about, but these new people may not have a clue about. (This presumption, by the way, that your 4,000 clinics are knowledgeable, chapter and verse, about 5-STAR/HR is possibly a bad assumption. It’s been our experience that “customers” who don’t have a psychological relationship with a “GURU” and his/her company often don’t know much, if anything, about you even though you may think this impossible from all the contacts made and stuff you’ve sent. We never make the assumption that our client’s customers know much, if anything, and start the marketing copy and info right at the beginning, as if they have never heard of you. This is a fundamental of marketing that often gets left out of the mix, and is a highly dangerous assumption to make!) Direct Response Public Relations could also be utilized to attract new PT’s without spending money. This is different than the PR stuff you’re used to. See, our position is that any advertising, including PR should be direct response oriented and be trackable. General PR, in our experience, is not really as useful as it always feels like it is. When a client tells us they got a big write-up in a publication or appeared on a news show on TV or whatever, we want to know if there is any immediate or long-lasting bump in sales as a result. We know this general PR cannot hurt, but the real question is what did it cost to get...and can you measure any new sales as a result? Often times, in the final analysis, the answer is no, we cannot track sales going up because of the publicity. Our approach is that PR should cost nothing, and be gathered by issuing (mostly faxing) Direct Response PR press releases that are very similar to ads, except they are faxed to editors, producers, reporters, etc., and are only designed to generate an interview with you. Then, the interview would only be considered if the interviewer agrees to give out your 800# (always traceable by using a different 800# or a department # or whatever), so you can track whether or not that media exposure was worth anything or not. This approach is unconventional, but has significant advantages over general PR due to the fact that it doesn’t cost anywhere near as much as traditional PR, and is measurable, and thus tweakable, where general PR isn’t because you usually have no idea exactly what is or isn’t bringing in sales. A sample of this type of press release is attached to give you an idea of the type of release that’s been known to work in all kinds of markets. When interviews get set up, we would use a dedicated voice mail box to track how many leads came from the publicity, and then determine if it is useful. If you get leads and some convert as a result, remember that although the follow-up costs are the same as with leads


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from ads, you don’t have the ad cost, which lowers the break-even dramatically! There are two approaches to advertising in trade publications. One would be only designed for lead generation, not to convince anyone to order. It’s too big of a sale and education process to try to make a sale in an ad on this type of project. So, when a lead responds, a sequence of sales materials goes out and the leads are attempted to get converted. The other formula is to sell a real cheap book or tape, like $19.95 or $39.95 or whatever, and have that become the “sales” piece, also followed up by a sequenced campaign. This approach always gets less initial response (leads) because of selling the “initial info”, yet may work better because the leads are much more qualified. We would suggest starting out with the free lead generation approach first, based on our experience with professional educational campaigns, and the fact that it can be started faster because the other approach takes more time to put together. (Not to say that we shouldn’t try the front-end sale approach at a later time.) As you probably have guessed by now, we suggest the same Emotional Direct Response Marketing type of copy and approach to convert sales. The same kind of headlines that we showed you previously would work for this campaign. As we said, the campaign to get patients to buy from your existing PT’s would provide more than half of the material for this campaign, getting double duty out of the existing PT campaign, thus amortizing the cost over two efforts, thus reducing overall costs. For example: Anyway, the ad would drive the response into a recorded message, which would capture the lead’s name and address if they leave it, and caller-ID their phone number without asking. The leads could be downloaded into a database, and then the sequence of mailings can begin. You can use more than one follow-up sequence and track the results over time to discover which sequence works better. The costs of mounting a campaign of attracting new PT’s and/or clinics into your fold will be as follows: We do not yet know the cost of running less than full-size ads in the trade publications, but for discussion’s sake, let’s say an ad costs $1,000. If you get a lead cost of $10 or so (including about $1 - $1.50 per lead for voice mail capture/transcription), you will be doing average for this type of system. Again, we’ll be conservative and say you get a lead cost of $20, or get 50 leads. ($1,000 ad cost divided into $20.) And let’s say you convert only 2% of the leads on the first step, and another 2% over three more sequenced steps. (Again, lower numbers than normal on these types of campaigns, but we’ll stay conservative.) The cost to fulfill the response materials would depend on whether or not it is all written materials, or a combination of tapes with printed stuff. With this type of promotion, a combination would probably be best, although this has to be tested like anything else. Usually, tapes increase conversions, especially if they contain lots of testimonials in addition to the printed testimonials...but we’ve seen situations where tapes depressed response, so split testing would be the right thing to do. Let’s say the initial package costs $10 including postage, and the total combined cost of the three sequenced steps is $6, making a total of $16 per lead spent chasing them. Multiply the 50 leads times $16 and you have spent


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from ads, you don’t have the ad cost, which lowers the break-even dramatically! There are two approaches to advertising in trade publications. One would be only designed for lead generation, not to convince anyone to order. It’s too big of a sale and education process to try to make a sale in an ad on this type of project. So, when a lead responds, a sequence of sales materials goes out and the leads are attempted to get converted. The other formula is to sell a real cheap book or tape, like $19.95 or $39.95 or whatever, and have that become the “sales” piece, also followed up by a sequenced campaign. This approach always gets less initial response (leads) because of selling the “initial info”, yet may work better because the leads are much more qualified. We would suggest starting out with the free lead generation approach first, based on our experience with professional educational campaigns, and the fact that it can be started faster because the other approach takes more time to put together. (Not to say that we shouldn’t try the front-end sale approach at a later time.) As you probably have guessed by now, we suggest the same Emotional Direct Response Marketing type of copy and approach to convert sales. The same kind of headlines that we showed you previously would work for this campaign. As we said, the campaign to get patients to buy from your existing PT’s would provide more than half of the material for this campaign, getting double duty out of the existing PT campaign, thus amortizing the cost over two efforts, thus reducing overall costs. For example: Anyway, the ad would drive the response into a recorded message, which would capture the lead’s name and address if they leave it, and caller-ID their phone number without asking. The leads could be downloaded into a database, and then the sequence of mailings can begin. You can use more than one follow-up sequence and track the results over time to discover which sequence works better. The costs of mounting a campaign of attracting new PT’s and/or clinics into your fold will be as follows: We do not yet know the cost of running less than full-size ads in the trade publications, but for discussion’s sake, let’s say an ad costs $1,000. If you get a lead cost of $10 or so (including about $1 - $1.50 per lead for voice mail capture/transcription), you will be doing average for this type of system. Again, we’ll be conservative and say you get a lead cost of $20, or get 50 leads. ($1,000 ad cost divided into $20.) And let’s say you convert only 2% of the leads on the first step, and another 2% over three more sequenced steps. (Again, lower numbers than normal on these types of campaigns, but we’ll stay conservative.) The cost to fulfill the response materials would depend on whether or not it is all written materials, or a combination of tapes with printed stuff. With this type of promotion, a combination would probably be best, although this has to be tested like anything else. Usually, tapes increase conversions, especially if they contain lots of testimonials in addition to the printed testimonials...but we’ve seen situations where tapes depressed response, so split testing would be the right thing to do. Let’s say the initial package costs $10 including postage, and the total combined cost of the three sequenced steps is $6, making a total of $16 per lead spent chasing them. Multiply the 50 leads times $16 and you have spent


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$800 on follow-up. Your total cost is now $1,800 for the ad, name capture and follow-up. If your average sale of an initial clinical set-up is $1,695 (from your current price list, we would strongly recommend repackaging these into the “bundled” type packages we talked about earlier, in which case, the average sale could be much higher), anyway, if you sold a total of 4% of the leads, or two units, your gross sales of $3,390 would put you at more than break-even. If the total conversion was 6%, gross sales would be $5,085, putting you in the black. (Remember, if the leads come from Direct Response PR, without the advertising cost, then the profits are much larger!) Once this system is showing us it can pay, we would try larger ads to see if the lead cost can be lowered by running ads as big as full-page. Often, if an ad like the sample works at 1/3 of a page, a longer version will work even better. But this rule doesn’t always hold true, so like everything else, this would be on the list of things to test. Of course, we would have to test two or three ads, possibly with different headlines and/or copy, to see if this method will work or not. But if we can’t get leads at a decent cost after one or two or possibly three (at the most) tries, then it’s time to forget it and move on. Cumulative effects of Emotional Direct Response Marketing do not register on any known advertising Richter scale. If they don’t pull right off the bat, they need to be disposed of relatively quickly. This adds to its beauty, because losses are small, and winners are huge! Two things to keep in mind; First, is that these types of campaigns, when working on all cylinders, can do much better than 4-6% conversions, plus with additional follow-up steps, the rates could climb as well. Second, this campaign must be looked at as a door opener, and not necessarily a profit center in and of itself. With a limited universe of clinics that are good candidates for you, and with an existing 20% saturation of the market already, you cannot expect much more than a slight profit to break-even on this effort. But here’s the key: Once we start cranking up the patient referral system with some version of The AAA Rehabilitation And Management System, and you are getting a measurable Lifetime Value Of A PT Customer, then each time you acquire a new PT clinic through this system, you aren’t looking at the first sale as your true measure of the success and value of this marketing system! Even at super low average of only getting an average of one patient a year from the PT’s, each time you add a new PT in through his method, and if you get them at only break-even, they are worth $600 per year, or $3,000 over the next five years, plus whatever else they buy from your regular mailings/newsletters they’ll be getting. More realistically, if we get a few patients per year from each PT, then the five year value of each new PT is $10,000 or more, on just the HR, not counting all the back-end sales they’ll be buying! The exponential effects of all this are staggering! We can try the same process by mailing out postcards that are like the sample ad reproduced on a postcard instead of being run as an ad. Over the years, we’ve had great luck with postcards, both for lead generation and as part of follow-up sequences. Of course, we have to measure the lead cost with the postcards to see how it compares with print ads and with direct mail lead generation letters described


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$800 on follow-up. Your total cost is now $1,800 for the ad, name capture and follow-up. If your average sale of an initial clinical set-up is $1,695 (from your current price list, we would strongly recommend repackaging these into the “bundled” type packages we talked about earlier, in which case, the average sale could be much higher), anyway, if you sold a total of 4% of the leads, or two units, your gross sales of $3,390 would put you at more than break-even. If the total conversion was 6%, gross sales would be $5,085, putting you in the black. (Remember, if the leads come from Direct Response PR, without the advertising cost, then the profits are much larger!) Once this system is showing us it can pay, we would try larger ads to see if the lead cost can be lowered by running ads as big as full-page. Often, if an ad like the sample works at 1/3 of a page, a longer version will work even better. But this rule doesn’t always hold true, so like everything else, this would be on the list of things to test. Of course, we would have to test two or three ads, possibly with different headlines and/or copy, to see if this method will work or not. But if we can’t get leads at a decent cost after one or two or possibly three (at the most) tries, then it’s time to forget it and move on. Cumulative effects of Emotional Direct Response Marketing do not register on any known advertising Richter scale. If they don’t pull right off the bat, they need to be disposed of relatively quickly. This adds to its beauty, because losses are small, and winners are huge! Two things to keep in mind; First, is that these types of campaigns, when working on all cylinders, can do much better than 4-6% conversions, plus with additional follow-up steps, the rates could climb as well. Second, this campaign must be looked at as a door opener, and not necessarily a profit center in and of itself. With a limited universe of clinics that are good candidates for you, and with an existing 20% saturation of the market already, you cannot expect much more than a slight profit to break-even on this effort. But here’s the key: Once we start cranking up the patient referral system with some version of The AAA Rehabilitation And Management System, and you are getting a measurable Lifetime Value Of A PT Customer, then each time you acquire a new PT clinic through this system, you aren’t looking at the first sale as your true measure of the success and value of this marketing system! Even at super low average of only getting an average of one patient a year from the PT’s, each time you add a new PT in through his method, and if you get them at only break-even, they are worth $600 per year, or $3,000 over the next five years, plus whatever else they buy from your regular mailings/newsletters they’ll be getting. More realistically, if we get a few patients per year from each PT, then the five year value of each new PT is $10,000 or more, on just the HR, not counting all the back-end sales they’ll be buying! The exponential effects of all this are staggering! We can try the same process by mailing out postcards that are like the sample ad reproduced on a postcard instead of being run as an ad. Over the years, we’ve had great luck with postcards, both for lead generation and as part of follow-up sequences. Of course, we have to measure the lead cost with the postcards to see how it compares with print ads and with direct mail lead generation letters described


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below. For example, a list of magazine subscribers usually runs about $100 per thousand. So, if you wanted to test 2,000 postcards, you would spend $200 and an additional $60 for printing, $420 for postage and $100 for putting the labels on, for a total of $780. So, to be at $10 per lead, you’d have to get 78 leads out of the 2,000, which is 3.9%. This is possible, and worth testing. If you come in at $20 a lead, get 39 leads, and sell one or two, you’re ahead of the game without you guys going on the road! Another method of using the mail is to send out a longer version of an ad reproduced as a four page letter, for instance, and see if the longer letter format works better than the postcard for getting leads at a decent cost. Sending out 2,000 letters would cost more than postcards, about 50¢ - 60¢ each including first class postage and hand addressing. When we use mail, we either go with plain first class envelopes with a handwritten address and a printed, but handwritten looking return address with no name, and a real stamp. Our tests, and those of many other mailers we know, have shown that direct mail either needs to be first class, hand addressed, stamped, blind and plain...or metered or bulk with teaser copy all over the place, every square inch, front and back, one way or the other. Mixing any of these approaches usually results in disaster. Anyway, if it costs $1,200 to get 2,000 letters out to be at $10 per lead, we’d have to get 120 leads or 6%. Again, it’s possible, and needs to be tested against other lead generation methods. Also, it’s going to be very important to start segmenting buyers by characteristics as we discussed in the introductory part of the report. You’re going to want to set up a database that can segment people and allow you to target very specifically and intelligently. Let’s look at an example. Let’s say you find a large number of patients who buy one of the HR packages are woman between the ages of 45 and 60 who are well educated. And, let’s say one of your vendors has informational products and nutritional supplements that are specifically for woman who are either menopausal or post-menopausal. Now, wouldn’t doing a special mailing to these segmented targeted buyers be more cost efficient than mailing to the entire list or choosing the list by other criteria like geography or income? See, there’s no point in mailing for an offer like this unless the recipients are able to use it in the first place! Another example. Let’s say you find out that many retirees over age 65 are buying the packages. And let’s assume you have a contact that wants to test market a Medicare Supplement policy that has something you like and is unique. So, you’d want your list of buyers who get the test of the pitch to be at least able to be the right age for being on Medicare! Baby Boomers aren’t going to be worth wasting the money to go after with a pitch like this. Targeting and segmenting your lists is going to be very important as you pursue relationship marketing. In the beginning, your lists may not be so segmented, so you will have to work on finding out what you can about as many customers as possible. This can be done by outsourcing marketing research companies who will call or mail your list to find out as much as they can about your current customers. You can also do things on your own like offer free gifts for responding to surveys or questionnaires. No


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below. For example, a list of magazine subscribers usually runs about $100 per thousand. So, if you wanted to test 2,000 postcards, you would spend $200 and an additional $60 for printing, $420 for postage and $100 for putting the labels on, for a total of $780. So, to be at $10 per lead, you’d have to get 78 leads out of the 2,000, which is 3.9%. This is possible, and worth testing. If you come in at $20 a lead, get 39 leads, and sell one or two, you’re ahead of the game without you guys going on the road! Another method of using the mail is to send out a longer version of an ad reproduced as a four page letter, for instance, and see if the longer letter format works better than the postcard for getting leads at a decent cost. Sending out 2,000 letters would cost more than postcards, about 50¢ - 60¢ each including first class postage and hand addressing. When we use mail, we either go with plain first class envelopes with a handwritten address and a printed, but handwritten looking return address with no name, and a real stamp. Our tests, and those of many other mailers we know, have shown that direct mail either needs to be first class, hand addressed, stamped, blind and plain...or metered or bulk with teaser copy all over the place, every square inch, front and back, one way or the other. Mixing any of these approaches usually results in disaster. Anyway, if it costs $1,200 to get 2,000 letters out to be at $10 per lead, we’d have to get 120 leads or 6%. Again, it’s possible, and needs to be tested against other lead generation methods. Also, it’s going to be very important to start segmenting buyers by characteristics as we discussed in the introductory part of the report. You’re going to want to set up a database that can segment people and allow you to target very specifically and intelligently. Let’s look at an example. Let’s say you find a large number of patients who buy one of the HR packages are woman between the ages of 45 and 60 who are well educated. And, let’s say one of your vendors has informational products and nutritional supplements that are specifically for woman who are either menopausal or post-menopausal. Now, wouldn’t doing a special mailing to these segmented targeted buyers be more cost efficient than mailing to the entire list or choosing the list by other criteria like geography or income? See, there’s no point in mailing for an offer like this unless the recipients are able to use it in the first place! Another example. Let’s say you find out that many retirees over age 65 are buying the packages. And let’s assume you have a contact that wants to test market a Medicare Supplement policy that has something you like and is unique. So, you’d want your list of buyers who get the test of the pitch to be at least able to be the right age for being on Medicare! Baby Boomers aren’t going to be worth wasting the money to go after with a pitch like this. Targeting and segmenting your lists is going to be very important as you pursue relationship marketing. In the beginning, your lists may not be so segmented, so you will have to work on finding out what you can about as many customers as possible. This can be done by outsourcing marketing research companies who will call or mail your list to find out as much as they can about your current customers. You can also do things on your own like offer free gifts for responding to surveys or questionnaires. No


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matter what you do now with existing customers, you won’t be able to maximize demographic info because of the fact that many of these people won’t cooperate in answering our questions no matter how much we try to “bribe” them to do so. As you know, the two processes of acquiring PT’s, and then realizing their ongoing Lifetime Value have been and should be linked. You have spent a lot of years, and a lot of miles on your shoes, getting PT’s to move on board. Now’s the time to get them in to your loop without going to trade shows, schlepping machines around, or any other manual labor! It’s time to automate the process and to get them to help their patients as we described, thus helping everyone. One question that often comes up is, “How much should one spend chasing a lead before giving up?” Which is a good question. Let’s answer it by saying the Lifetime Value Of A Customer has a big bearing on this answer. Let’s use numeric examples to illustrate. Let’s say that after redoing your marketing system to PT’s, it’s established that a new PT who converts and becomes a “referral giver”, and is worth on the low end only $600 to you on average for the first sale, and another $2,000 over a year. And, let’s say it costs you $15 to get a good lead from your ads. So, out of leads generated, how much can you spend following up with them each to get only one to convert and break-even? Well, if we spend an additional $5 per lead on sequenced steps, we’d have a total of $20 per lead spent. So, if these numbers were true, you’d have to convert one out of every thirty leads to break-even ($20 lead cost times 30 leads equals the average first sale of $600). So, under this hypothetical situation, the questions are: (1) do we think we’ll be able to convert one out of 30 leads? (2) If I spend $600 on each of the 30 leads and break-even on that group with one front-end sale, is the Lifetime Value worth the investment? The CD clubs, most charities, and other loss leader businesses use this method of analysis. If this makes sense, it is something to decide upon. Do you want to spend up to 100% of the first sale for a group of leads because the average Lifetime Value is high enough, or do you want to stop earlier? We know how we do it, and recommend doing it, but this is something you’d have to consider and evaluate in the beginning, and could change your mind on as testing provides real numbers. Don’t forget that these patients who enroll in the AAA Rehabilitation And Management System will be prospects for everything else you guys either sell now, or will be selling in the future, as we’ll be discussing in the next section regarding the RBC infomercial buyers. Finally, a note with regard to the production and use of video’s for the medical market. We suggest you take a tip from the infomercial format and rescue all videos from the academic/clinical arena. Certainly the PT presentation requires a higher level of conversation than the basic consumer. However, without testimonials from PT’s and patients interspersed throughout the video, as well as other proven Emotional Response copy scripted in, even the academic can get lost and bored in an academic style of


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matter what you do now with existing customers, you won’t be able to maximize demographic info because of the fact that many of these people won’t cooperate in answering our questions no matter how much we try to “bribe” them to do so. As you know, the two processes of acquiring PT’s, and then realizing their ongoing Lifetime Value have been and should be linked. You have spent a lot of years, and a lot of miles on your shoes, getting PT’s to move on board. Now’s the time to get them in to your loop without going to trade shows, schlepping machines around, or any other manual labor! It’s time to automate the process and to get them to help their patients as we described, thus helping everyone. One question that often comes up is, “How much should one spend chasing a lead before giving up?” Which is a good question. Let’s answer it by saying the Lifetime Value Of A Customer has a big bearing on this answer. Let’s use numeric examples to illustrate. Let’s say that after redoing your marketing system to PT’s, it’s established that a new PT who converts and becomes a “referral giver”, and is worth on the low end only $600 to you on average for the first sale, and another $2,000 over a year. And, let’s say it costs you $15 to get a good lead from your ads. So, out of leads generated, how much can you spend following up with them each to get only one to convert and break-even? Well, if we spend an additional $5 per lead on sequenced steps, we’d have a total of $20 per lead spent. So, if these numbers were true, you’d have to convert one out of every thirty leads to break-even ($20 lead cost times 30 leads equals the average first sale of $600). So, under this hypothetical situation, the questions are: (1) do we think we’ll be able to convert one out of 30 leads? (2) If I spend $600 on each of the 30 leads and break-even on that group with one front-end sale, is the Lifetime Value worth the investment? The CD clubs, most charities, and other loss leader businesses use this method of analysis. If this makes sense, it is something to decide upon. Do you want to spend up to 100% of the first sale for a group of leads because the average Lifetime Value is high enough, or do you want to stop earlier? We know how we do it, and recommend doing it, but this is something you’d have to consider and evaluate in the beginning, and could change your mind on as testing provides real numbers. Don’t forget that these patients who enroll in the AAA Rehabilitation And Management System will be prospects for everything else you guys either sell now, or will be selling in the future, as we’ll be discussing in the next section regarding the RBC infomercial buyers. Finally, a note with regard to the production and use of video’s for the medical market. We suggest you take a tip from the infomercial format and rescue all videos from the academic/clinical arena. Certainly the PT presentation requires a higher level of conversation than the basic consumer. However, without testimonials from PT’s and patients interspersed throughout the video, as well as other proven Emotional Response copy scripted in, even the academic can get lost and bored in an academic style of


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presentation. We also feel there should be frequent references to “AAA Rehabilitation And Management System”, and “The Customer Care Program” (or whatever we come up with) throughout the video, and it should be laced with 800 numbers to call, and activities ranging from contests to various professional trivia quizzes or the like to promote interaction between the client and 5-STAR/HR. Furthermore, we suggest that videos be developed to address specific injuries and specific rehab protocols (i.e. a knee injury, hip injury, rotator cuff, or an ankle injury) that a PT can send home with a patient. Videos should be built around a follow the leader (like high energy aerobic instructors) type of format so that when the patient plugs it into a VCR, he can work along with it just like women do with Jane Fonda, but getting the highest level of professional guidance. (The energy level and motivation of a really good talent as an instructor is really important, and can be accompanied by a real PT type if desired, for example.) This will result in a library of videos that can turn into a business in itself for the PT facility. Consumer Market From Infomercial(s) 3. Develop a sequential, Direct Response oriented newsletter (preferably from Arnold and Pamela) for existing infomercial clients aimed at cultivating a Lifetime Value Of A Customer for all kinds of other products/services offered by people they already like and trust, 5-STAR/HR. This will require little to no effort on the part of Arnold and Pamela, Republic Broadcast, or 5-STAR, yet will take full (profitable) advantage of the lifelong customer potential of the clients you are already developing at a rapid rate through the infomercial. This newsletter should be very down to earth and as un-technical or jargony as possible. You’ll want to have monthly before/after testimonial contests, so you can feature customers and encourage submissions of written, taped or photographic proof of how good the HR works. These will have many uses in your marketing materials as well as in products to aid in refund prevention and usage increase. You should have success stories, fun facts, a tip of the month, the HR exercise of the month, possibly guest columnists, controversial topics, info they won’t get in other conventional publications, something legitimate to do with sex/vanity, and so on. If you can get Arnold and Pamela, they can each “write” (ghostwritten) a column with their picture on it. Besides testimonial and before/after photos, other photos that demonstrate a slice of life or story should be used. (A rehab case, or pictures from a seminar/bootcamp, etc.) You might want to put diagrams or drawings in, if they also illustrate a benefit of your product. The worst thing besides not sending them anything is to send them something boring and conventional. Looking at the 16,000 (24% of the 66,000 monthly leads) new buyers each month, we suggest a


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presentation. We also feel there should be frequent references to “AAA Rehabilitation And Management System”, and “The Customer Care Program” (or whatever we come up with) throughout the video, and it should be laced with 800 numbers to call, and activities ranging from contests to various professional trivia quizzes or the like to promote interaction between the client and 5-STAR/HR. Furthermore, we suggest that videos be developed to address specific injuries and specific rehab protocols (i.e. a knee injury, hip injury, rotator cuff, or an ankle injury) that a PT can send home with a patient. Videos should be built around a follow the leader (like high energy aerobic instructors) type of format so that when the patient plugs it into a VCR, he can work along with it just like women do with Jane Fonda, but getting the highest level of professional guidance. (The energy level and motivation of a really good talent as an instructor is really important, and can be accompanied by a real PT type if desired, for example.) This will result in a library of videos that can turn into a business in itself for the PT facility. Consumer Market From Infomercial(s) 3. Develop a sequential, Direct Response oriented newsletter (preferably from Arnold and Pamela) for existing infomercial clients aimed at cultivating a Lifetime Value Of A Customer for all kinds of other products/services offered by people they already like and trust, 5-STAR/HR. This will require little to no effort on the part of Arnold and Pamela, Republic Broadcast, or 5-STAR, yet will take full (profitable) advantage of the lifelong customer potential of the clients you are already developing at a rapid rate through the infomercial. This newsletter should be very down to earth and as un-technical or jargony as possible. You’ll want to have monthly before/after testimonial contests, so you can feature customers and encourage submissions of written, taped or photographic proof of how good the HR works. These will have many uses in your marketing materials as well as in products to aid in refund prevention and usage increase. You should have success stories, fun facts, a tip of the month, the HR exercise of the month, possibly guest columnists, controversial topics, info they won’t get in other conventional publications, something legitimate to do with sex/vanity, and so on. If you can get Arnold and Pamela, they can each “write” (ghostwritten) a column with their picture on it. Besides testimonial and before/after photos, other photos that demonstrate a slice of life or story should be used. (A rehab case, or pictures from a seminar/bootcamp, etc.) You might want to put diagrams or drawings in, if they also illustrate a benefit of your product. The worst thing besides not sending them anything is to send them something boring and conventional. Looking at the 16,000 (24% of the 66,000 monthly leads) new buyers each month, we suggest a


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Arnold and Pamela Newsletter, 100% ghostwritten so they need to do absolutely nothing except look it over once a month and OK whatever is being said in their name. The newsletter must be a Direct Response informational/sales piece that aims to inform clients with regard to fitness and their new Health Rejuvenator, and any unlimited number of related topics. (We understand that there might be either legitimate or totally stupid reasons why either of them or both would not want their pictures and by-lines on a newsletter going out to hundreds of thousands of people each month, and become known as fitness GURUS. Many household names have been built through a correctly done newsletter, so imagine the power of these two household names getting theirs in the marketplace. If it ends up that they or their agents/handlers say no, or make it ridiculously expensive, or if it’s too much hassle to even contemplate, then alternative celebrities and/or Bill/John could do the same thing. Obviously, getting Arnold and Pamela would be the most congruent, and probably carry the most impact with the customers. But, if they aren’t usable, that doesn’t in any way invalidate this marketing system.) Included in each newsletter will be flyers (see enclosed golf examples, etc.) describing back-end products ranging from Vitamins to Bootcamps, Beginning, Intermediate, and Advanced and/or demographic specific workout videos, Tape of the Month continuity product, Ab Developers and Autocanes (with new names of course), medicine balls, upgraded Health Rejuvenators and accessories, software, telephone coaching, Acme Training System (which, as a separate note, we think needs to be done by you guys, since there is a good chance it’s going to be the next wave of fitness fad, and could also be incorporated into your new category you’re going to create, like a better name for “functional”) or whatever else the customers tell you they want or don’t want by testing new offers in each issue, just like testing to strangers. Some stuff will sell well, and others you won’t be able to give away. The beauty of this is that like cold marketing you test and see what the response is. The only thing we know for sure is that both 5-STAR/HR and RBC are leaving MILLIONS OF DOLLARS on the table by not taking advantage of the biggest asset in your possession. (Now, we’d be safe to guess that RBC is renting the list, but that doesn’t matter to you, unless you want to negotiate a piece of the list rental income.) The only way to find out what the customers want is to test for two or three months and see which offers work better and what the potential really is. If you find a really strong back-end, like we did in the golf business, for example, you can be safe in expanding the tests until you know that a full rollout is safe and predictably profitable. If the tests bomb, then since you only mailed a small portion of the list, your loss would be small. Although, we’ve never seen a customer list that didn’t produce a profitable back-end with a properly done newsletter/personal relationship marketing. Keep in mind that some of the most profitable PAID newsletters out there are health/longevity related, so a free one may work very well.


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Arnold and Pamela Newsletter, 100% ghostwritten so they need to do absolutely nothing except look it over once a month and OK whatever is being said in their name. The newsletter must be a Direct Response informational/sales piece that aims to inform clients with regard to fitness and their new Health Rejuvenator, and any unlimited number of related topics. (We understand that there might be either legitimate or totally stupid reasons why either of them or both would not want their pictures and by-lines on a newsletter going out to hundreds of thousands of people each month, and become known as fitness GURUS. Many household names have been built through a correctly done newsletter, so imagine the power of these two household names getting theirs in the marketplace. If it ends up that they or their agents/handlers say no, or make it ridiculously expensive, or if it’s too much hassle to even contemplate, then alternative celebrities and/or Bill/John could do the same thing. Obviously, getting Arnold and Pamela would be the most congruent, and probably carry the most impact with the customers. But, if they aren’t usable, that doesn’t in any way invalidate this marketing system.) Included in each newsletter will be flyers (see enclosed golf examples, etc.) describing back-end products ranging from Vitamins to Bootcamps, Beginning, Intermediate, and Advanced and/or demographic specific workout videos, Tape of the Month continuity product, Ab Developers and Autocanes (with new names of course), medicine balls, upgraded Health Rejuvenators and accessories, software, telephone coaching, Acme Training System (which, as a separate note, we think needs to be done by you guys, since there is a good chance it’s going to be the next wave of fitness fad, and could also be incorporated into your new category you’re going to create, like a better name for “functional”) or whatever else the customers tell you they want or don’t want by testing new offers in each issue, just like testing to strangers. Some stuff will sell well, and others you won’t be able to give away. The beauty of this is that like cold marketing you test and see what the response is. The only thing we know for sure is that both 5-STAR/HR and RBC are leaving MILLIONS OF DOLLARS on the table by not taking advantage of the biggest asset in your possession. (Now, we’d be safe to guess that RBC is renting the list, but that doesn’t matter to you, unless you want to negotiate a piece of the list rental income.) The only way to find out what the customers want is to test for two or three months and see which offers work better and what the potential really is. If you find a really strong back-end, like we did in the golf business, for example, you can be safe in expanding the tests until you know that a full rollout is safe and predictably profitable. If the tests bomb, then since you only mailed a small portion of the list, your loss would be small. Although, we’ve never seen a customer list that didn’t produce a profitable back-end with a properly done newsletter/personal relationship marketing. Keep in mind that some of the most profitable PAID newsletters out there are health/longevity related, so a free one may work very well.


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Offering the newsletter as a paid subscription is a possibility, but is a totally different business. Here’s why. If your entire customer base were hit to buy a newsletter subscription with a well-done Emotional Direct Response Marketing piece, you’d get some percentage to subscribe, probably in the single digits, or at best, in the low double digits. Then, if you only mailed this smaller group the newsletter and product/service pitches, you’d be missing a lot of potential buyers of other stuff who, for whatever reason. didn’t want to buy the subscription. Now, sometimes making them pay for the newsletter will identify more qualified prospects for buying other stuff. Which may be true. But, it may also not be true. The only real way to find out would be to test. You could also do a paid deal and only send the newsletter out to them, and mail the non-subscribers the product pitches only without the newsletter. We know that this might be a little confusing, but there are a number of options, none of which is right or wrong at the outset. The decisions may be made simply by personality of the owners. You may not want to mess around with a paid newsletter business, for example, or you may want to test different options and see how things go over a few months. Whether free or paid, another option is to offer a one or two year deal to become a member of the “National Healthy & Fit Association” (made up name) and bill the whole thing as a “membership” with benefits like discounts on your stuff, deals with outside vendors in joint venture relationships, gift certificates for seminars, or any other number of benefits. You would get a lot of interest and readership, but we will not know the average value of a customer being enrolled in such a membership until several months of testing have been completed. Of course, you have the option of doing the same thing as a free membership, much like we have done in the golf business. One thing about a free subscription or membership that includes a free newsletter subscription, that is almost always true...is it is very difficult to convert them to paid subscriptions later. If this becomes a goal to get a paid newsletter/membership, you’d pretty much have to start out that way if you want to have a chance to make it work. For simplicity’s sake, let’s talk numerical terms. If a rollout occurred and you had 200,000 customers at that time, assuming that the cost of mailing the newsletter would be under $1 per newsletter (probably around 65¢ - 70¢ each in quantity) sent to the current HR buyers each month (plus the new 1,500 or so a month being generated from the sequential mailing discussed next), you’d be spending approximately $140,000 mailing to customers per month. Keep in mind that the net profit on such back-end newsletter sales is usually substantially higher than your overall net profits because there is only 70¢ cost of making each sale, instead of whatever the cost per sale would be on the front-end. This is important as it means your break-even on this type of promotion is far lower and your net margins, when successful, are way higher. For example, while we don’t know RBC’s figures on their advertising cost per sale, but on an expensive product like the HR, their cost per sale can average $100, $200 or more per unit. A hypothetical example for illustration would be if you tried to do a cold direct mail solicitation to a list for selling the soon to be renamed “Ab


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Offering the newsletter as a paid subscription is a possibility, but is a totally different business. Here’s why. If your entire customer base were hit to buy a newsletter subscription with a well-done Emotional Direct Response Marketing piece, you’d get some percentage to subscribe, probably in the single digits, or at best, in the low double digits. Then, if you only mailed this smaller group the newsletter and product/service pitches, you’d be missing a lot of potential buyers of other stuff who, for whatever reason. didn’t want to buy the subscription. Now, sometimes making them pay for the newsletter will identify more qualified prospects for buying other stuff. Which may be true. But, it may also not be true. The only real way to find out would be to test. You could also do a paid deal and only send the newsletter out to them, and mail the non-subscribers the product pitches only without the newsletter. We know that this might be a little confusing, but there are a number of options, none of which is right or wrong at the outset. The decisions may be made simply by personality of the owners. You may not want to mess around with a paid newsletter business, for example, or you may want to test different options and see how things go over a few months. Whether free or paid, another option is to offer a one or two year deal to become a member of the “National Healthy & Fit Association” (made up name) and bill the whole thing as a “membership” with benefits like discounts on your stuff, deals with outside vendors in joint venture relationships, gift certificates for seminars, or any other number of benefits. You would get a lot of interest and readership, but we will not know the average value of a customer being enrolled in such a membership until several months of testing have been completed. Of course, you have the option of doing the same thing as a free membership, much like we have done in the golf business. One thing about a free subscription or membership that includes a free newsletter subscription, that is almost always true...is it is very difficult to convert them to paid subscriptions later. If this becomes a goal to get a paid newsletter/membership, you’d pretty much have to start out that way if you want to have a chance to make it work. For simplicity’s sake, let’s talk numerical terms. If a rollout occurred and you had 200,000 customers at that time, assuming that the cost of mailing the newsletter would be under $1 per newsletter (probably around 65¢ - 70¢ each in quantity) sent to the current HR buyers each month (plus the new 1,500 or so a month being generated from the sequential mailing discussed next), you’d be spending approximately $140,000 mailing to customers per month. Keep in mind that the net profit on such back-end newsletter sales is usually substantially higher than your overall net profits because there is only 70¢ cost of making each sale, instead of whatever the cost per sale would be on the front-end. This is important as it means your break-even on this type of promotion is far lower and your net margins, when successful, are way higher. For example, while we don’t know RBC’s figures on their advertising cost per sale, but on an expensive product like the HR, their cost per sale can average $100, $200 or more per unit. A hypothetical example for illustration would be if you tried to do a cold direct mail solicitation to a list for selling the soon to be renamed “Ab


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Developer.” If you were successful, your cost per sale could be as high as $50-75 which, after subtracting the “hard costs” and any royalties, shipping, or other direct costs of making the sale, might leave you a net margin of 10% or less. We don’t know the exact hard costs, but if we assume they are $20 per unit, your true net at $95 retail would be $5-$10 per unit sold as a front-end product, after subtracting the advertising and other sales related costs. This is not uncommon, and even the best front-end promotions will have lower net margins directly caused by the advertising/promotional cost per sale. This is virtually absent on the back-end sales! If you sell “Ab Developer” to customers through the back-end mechanism, your net could be $50-60, which is $50-$55 higher than from a front-end sale! Now, if only 3% bought (which is very low), that would mean an extra 6,000 purchases per month. If they averaged $58 per purchase of whatever, that would generate an added $350,000 monthly revenue. Under this low end scenario (again, to be done only after testing, so we’d never be spending this kind of dough until the testing was complete and successful), and the net is 40% after all “hard and direct” costs on average on these sales, we will have generated a break-even scenario, providing a net of the same $140,000 it cost to mail. Now, if this is the break-even scenario, if you sold 4% at an average of $100, your sales are $800,000 per month, with a net of $320,000, over double the cost of mailing! Keep in mind that it’s not unusual to sell 10% or more of the customers something each month, and with your type of products, an average of $100 per sale is not too aggressive, and could even be a little low. Don’t forget what would happen if you started one or more continuity programs (where someone gets the stuff each month and you get to hit their card automatically) where you eventually get only 4% of them spending $30 a month, which would be 8,000 continuity buyers times $30, which is $240,000 a month in gross revenue. If the product was an information product, or a super high margin item like private label supplements or whatever, your net could be $20 per sale, or $160,000 per month...which would cover your mailing costs each month before you ever turn the lights on! Which would mean your net from the other back-end sales each month would fall right to the bottom line, since the back-end is self-liquidating from the continuity programs! We’ve seen this happen many times, so it is not unusual to be in such an amazingly profitable set up! If you remember, we discussed the three concentric rings of customers you’ll dig up on the back-end. The largest circle is the folks who may buy something every now and then, or buy nothing at all. The smaller circle inside that one is people who will buy fairly regularly, sign up for continuity programs, and be pretty dependable repeat buyers. The inner circle will be the smallest percentage, but will buy everything you offer. They will be your biggest source of profits from the back-end. This is another reason why it’s so important to segment your database by people who are frequent/bigger ticket buyers vs. the second group of occasional buyers, and the largest group of low frequency or no frequency buyers. (After giving people in the third category awhile, they can be dropped from the list if they prove to be worthless, which will continue to cull out your deadwood, and improve efficiency and profitability of your follow-ups.


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Developer.” If you were successful, your cost per sale could be as high as $50-75 which, after subtracting the “hard costs” and any royalties, shipping, or other direct costs of making the sale, might leave you a net margin of 10% or less. We don’t know the exact hard costs, but if we assume they are $20 per unit, your true net at $95 retail would be $5-$10 per unit sold as a front-end product, after subtracting the advertising and other sales related costs. This is not uncommon, and even the best front-end promotions will have lower net margins directly caused by the advertising/promotional cost per sale. This is virtually absent on the back-end sales! If you sell “Ab Developer” to customers through the back-end mechanism, your net could be $50-60, which is $50-$55 higher than from a front-end sale! Now, if only 3% bought (which is very low), that would mean an extra 6,000 purchases per month. If they averaged $58 per purchase of whatever, that would generate an added $350,000 monthly revenue. Under this low end scenario (again, to be done only after testing, so we’d never be spending this kind of dough until the testing was complete and successful), and the net is 40% after all “hard and direct” costs on average on these sales, we will have generated a break-even scenario, providing a net of the same $140,000 it cost to mail. Now, if this is the break-even scenario, if you sold 4% at an average of $100, your sales are $800,000 per month, with a net of $320,000, over double the cost of mailing! Keep in mind that it’s not unusual to sell 10% or more of the customers something each month, and with your type of products, an average of $100 per sale is not too aggressive, and could even be a little low. Don’t forget what would happen if you started one or more continuity programs (where someone gets the stuff each month and you get to hit their card automatically) where you eventually get only 4% of them spending $30 a month, which would be 8,000 continuity buyers times $30, which is $240,000 a month in gross revenue. If the product was an information product, or a super high margin item like private label supplements or whatever, your net could be $20 per sale, or $160,000 per month...which would cover your mailing costs each month before you ever turn the lights on! Which would mean your net from the other back-end sales each month would fall right to the bottom line, since the back-end is self-liquidating from the continuity programs! We’ve seen this happen many times, so it is not unusual to be in such an amazingly profitable set up! If you remember, we discussed the three concentric rings of customers you’ll dig up on the back-end. The largest circle is the folks who may buy something every now and then, or buy nothing at all. The smaller circle inside that one is people who will buy fairly regularly, sign up for continuity programs, and be pretty dependable repeat buyers. The inner circle will be the smallest percentage, but will buy everything you offer. They will be your biggest source of profits from the back-end. This is another reason why it’s so important to segment your database by people who are frequent/bigger ticket buyers vs. the second group of occasional buyers, and the largest group of low frequency or no frequency buyers. (After giving people in the third category awhile, they can be dropped from the list if they prove to be worthless, which will continue to cull out your deadwood, and improve efficiency and profitability of your follow-ups.


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(Note - We realize that you’re going to have to cut a deal with RBC about this. With regard to who pays for what, we see two scenarios. (1) 5-STAR/HR incurs the cost and pays Republic Broadcast a royalty on sales. (2) Republic Broadcast incurs the cost and pays 5-STAR/HR a royalty. From your point of view, if the testing proves successful, you’d probably be better off paying the costs yourself, outsourcing the administration, and paying them a royalty. If you or they want them to pay for and administer everything, your take on this would probably be lower. You’d have to decide what you want to do and approach them with a proposal and see what happens. Until RBC is contacted and pitched, there’s nothing that can be done. But, the first step is deciding what you want to test, and calculate the exact costs, which we cannot do until we get to the next step of decision-making. The bottom line...is that your bottom line could be expanded tremendously! And most importantly, you’re building a loyal back-end clientele that other infomercial successes almost never have, and that you may sorely need if and when the front -end from TV starts to slow down, or GOD forbid, stops! This back-end marketing needs to be implemented NOW, so if the inevitable front -end slowdown shows up, it won’t matter! If the front-end stays strong, then all you’ve done is add big numbers to the bottom line...and protect yourself on the downside! 4. The fact that the unconverted leads from TV are either not being followed up with, or are weakly being chased down, makes us cringe. We have to develop sequentialized, Direct Response oriented follow-up sales letters (reports) and/or other materials aimed at the 76% of infomercial callers who are, for whatever reason, not quite ready to buy yet. These will be mailed out every 15-30 days and tracked closely so that we know scientifically when the mailing is profitable or unprofitable. This part of the plan is designed to make sure that we’re harvesting the full potential of the crop of callers who have been generated through the infomercial and, of course, a significant percentage of these subsequent clients will then turn into lifelong customers for 5-STAR/HR as described previously. In numerical terms, presuming 66,000 new leads per month, with 76% or 50,000 callers not buying, mailing out 50,000 pieces in a 3 step, sequenced campaign at $2.50 total for the three steps per (lead) caller, we’d be spending $125,000 per month. Assuming a total of 3% conversion ratio, we’d be selling 1,500 more units per month and generating an added $900,000 per month of new sales, minus $125,000 of expenditure, comes to an added $775,000 of gross profit revenue per month! The follow-up piece we saw that you gave us in your office is, as you’re surely going to know by now, too boring and dry. It’s missing the Emotional Direct Response elements of a “Hit ‘em with a Hammer” headline, no before/afters, no stories, case studies, tear jerkers, etc. We’d suggest something more along the lines of:


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(Note - We realize that you’re going to have to cut a deal with RBC about this. With regard to who pays for what, we see two scenarios. (1) 5-STAR/HR incurs the cost and pays Republic Broadcast a royalty on sales. (2) Republic Broadcast incurs the cost and pays 5-STAR/HR a royalty. From your point of view, if the testing proves successful, you’d probably be better off paying the costs yourself, outsourcing the administration, and paying them a royalty. If you or they want them to pay for and administer everything, your take on this would probably be lower. You’d have to decide what you want to do and approach them with a proposal and see what happens. Until RBC is contacted and pitched, there’s nothing that can be done. But, the first step is deciding what you want to test, and calculate the exact costs, which we cannot do until we get to the next step of decision-making. The bottom line...is that your bottom line could be expanded tremendously! And most importantly, you’re building a loyal back-end clientele that other infomercial successes almost never have, and that you may sorely need if and when the front -end from TV starts to slow down, or GOD forbid, stops! This back-end marketing needs to be implemented NOW, so if the inevitable front -end slowdown shows up, it won’t matter! If the front-end stays strong, then all you’ve done is add big numbers to the bottom line...and protect yourself on the downside! 4. The fact that the unconverted leads from TV are either not being followed up with, or are weakly being chased down, makes us cringe. We have to develop sequentialized, Direct Response oriented follow-up sales letters (reports) and/or other materials aimed at the 76% of infomercial callers who are, for whatever reason, not quite ready to buy yet. These will be mailed out every 15-30 days and tracked closely so that we know scientifically when the mailing is profitable or unprofitable. This part of the plan is designed to make sure that we’re harvesting the full potential of the crop of callers who have been generated through the infomercial and, of course, a significant percentage of these subsequent clients will then turn into lifelong customers for 5-STAR/HR as described previously. In numerical terms, presuming 66,000 new leads per month, with 76% or 50,000 callers not buying, mailing out 50,000 pieces in a 3 step, sequenced campaign at $2.50 total for the three steps per (lead) caller, we’d be spending $125,000 per month. Assuming a total of 3% conversion ratio, we’d be selling 1,500 more units per month and generating an added $900,000 per month of new sales, minus $125,000 of expenditure, comes to an added $775,000 of gross profit revenue per month! The follow-up piece we saw that you gave us in your office is, as you’re surely going to know by now, too boring and dry. It’s missing the Emotional Direct Response elements of a “Hit ‘em with a Hammer” headline, no before/afters, no stories, case studies, tear jerkers, etc. We’d suggest something more along the lines of:


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“48 Year Old Divorced Woman Loses 27 Pounds, Gets Into A Size 8 In Only Five Weeks Using Health Rejuvenator! Ex-Husband So Shocked He Asks Her

Back, And She Tells Him Her New Boyfriend Wouldn’t Like It!”

Or whatever. (We know this is made up, but we know you have tons of just as good real stories to use as follow-ups to the TV show leads!) We suggest a test of 10,000 names (5,000 in two different campaigns) be done in order to establish that there is life to the sequenced effort. Then we test how many steps are viable. If, for example, we make money in the first three steps as we described, we know we can test a fourth step and beyond. If, for instance, in the fourth step we made $75 for every $50 spent, and in the fifth step we made $60 for every $50 spent, and in the sixth step we made only $40 for every $50 spent, we’d know that a five step sequence is the end of the process. When the test is completed and if it justifies itself, we should roll it on out to the entire population of leads starting with the freshest ones, and working backwards slowly testing the older leads in reverse chronological order. (The freshest leads are normally the best, and get worse as they age.) We would find it hard to imagine that we couldn’t quickly come up with positive results that were bringing in more than the cost to chase the leads down. We don’t believe it’s a matter of “if” this will work, only a question of what to say and offer. For example, we could make the same TV offer multiple times, and that could work. Or, we could expand the current step down of a used machine, or less expensive model, or upper body, or whatever. The terms could be changed, offering lower payments for a longer time, or extra free stuff thrown in, or any number of alternatives to boost the capture of these leads. Again, RBC would have to be consulted and offered proposals of different options on the testing and rollout once the right formula has been proven through testing.

Finally, a note with regard to the production and use of videos in the consumer market. We like John’s “do it along with me” assembly section of video very much. We think all 5-STAR/HR videos should also be produced with this user-friendly “do it along with me” mentality, especially the exercise tapes. In the beginner, intermediate and advanced tapes, Jason Andrews moves from one exercise to the other, and explains things in fairly clinical terms, which we don’t believe that the average person can get much benefit from because they won’t remember the different exercises when they’re presented in the


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“48 Year Old Divorced Woman Loses 27 Pounds, Gets Into A Size 8 In Only Five Weeks Using Health Rejuvenator! Ex-Husband So Shocked He Asks Her

Back, And She Tells Him Her New Boyfriend Wouldn’t Like It!”

Or whatever. (We know this is made up, but we know you have tons of just as good real stories to use as follow-ups to the TV show leads!) We suggest a test of 10,000 names (5,000 in two different campaigns) be done in order to establish that there is life to the sequenced effort. Then we test how many steps are viable. If, for example, we make money in the first three steps as we described, we know we can test a fourth step and beyond. If, for instance, in the fourth step we made $75 for every $50 spent, and in the fifth step we made $60 for every $50 spent, and in the sixth step we made only $40 for every $50 spent, we’d know that a five step sequence is the end of the process. When the test is completed and if it justifies itself, we should roll it on out to the entire population of leads starting with the freshest ones, and working backwards slowly testing the older leads in reverse chronological order. (The freshest leads are normally the best, and get worse as they age.) We would find it hard to imagine that we couldn’t quickly come up with positive results that were bringing in more than the cost to chase the leads down. We don’t believe it’s a matter of “if” this will work, only a question of what to say and offer. For example, we could make the same TV offer multiple times, and that could work. Or, we could expand the current step down of a used machine, or less expensive model, or upper body, or whatever. The terms could be changed, offering lower payments for a longer time, or extra free stuff thrown in, or any number of alternatives to boost the capture of these leads. Again, RBC would have to be consulted and offered proposals of different options on the testing and rollout once the right formula has been proven through testing.

Finally, a note with regard to the production and use of videos in the consumer market. We like John’s “do it along with me” assembly section of video very much. We think all 5-STAR/HR videos should also be produced with this user-friendly “do it along with me” mentality, especially the exercise tapes. In the beginner, intermediate and advanced tapes, Jason Andrews moves from one exercise to the other, and explains things in fairly clinical terms, which we don’t believe that the average person can get much benefit from because they won’t remember the different exercises when they’re presented in the


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more academic style of presentation. For example, he does not tell the viewer to “get right on your Health Rejuvenator and workout right with me, rep for rep, set for set.” We feel these “follow the leader” videos should have high-energy aerobic type instructors to captivate, keep attention, and entertain to make it fun! The current tapes are not what one would describe as entertaining, full of energy, and one that a person would repeatedly watch. As with everything else, these tapes should contain before/afters, testimonials, endorsements, contests, recorded message offers, references to and curiosity provoking or greedy reasons to go to your web site (hidden secret type stuff), etc., to reinforce their wise decision to buy, and to stimulate back-end sales! We think that if you segment your database in a variety of ways, there will be the opportunity to custom fit clients with very specific tapes for very specific audiences, depending on age, gender, specific sporting interests, various levels of condition, degree of overweightness, body type, etc. For example, a tape for women over 45 who are more than 20 pounds overweight, or a tape for men under 35 who are already in good shape and into high energy sports, or whatever. The instructors on these specific tapes should be appropriate for the audience. For example, if you had a tape for women over 65, the instructor they are following along with should be an energetic, entertaining woman of similar age and other characteristics of the target audience. This example group would like to see a 60-65 year old woman in good shape with lots of energy that could rap and talk to them in empathetic terms they could relate to, as opposed to seeing the leader being a 27 year old, perfectly built, long haired brunette with a skin tight, two piece bathing suit showing off rock hard abs and perfect bust, thong up their butt workout outfit, ESPN2 type of instructor that these senior women have absolutely nothing in common with, and cannot feel a connection to. The closer we can get to custom fitting a product, the tighter the relationship becomes, and the more successful the business gets. By the way, these tapes could (should) easily replace the wall chart with the different exercises pictured on it, which is similar to everyone else’s wall chart, and one which the typical user does not get much use out of, based on a number of people we asked who have bought some type of multi-purpose home equipment. (By the way, this whole interactive thing can be set up with voice mail, e-mail or other auto-pilot only mechanisms.) As a side note, the monthly newsletter to buyers can also take on a very client specific character to underscore the relationship building efforts here. This can be done with client specific newsletters, or with a general newsletter with client specific inserts that address specific segments of your database. This level of targeting sophistication is being recognized by some companies as being much more profitable, although the number of companies doing this sort of segmenting is still relatively small, which leaves a wide open opportunity gap for you to take advantage of. The end result of having “client specific tapes” will be that 5-STAR/HR has produced a library from which a patient can choose initially and add to their collection as they improve or lose weight or get older or whatever, and which can be used in a myriad of other beneficial ways. For example, in the new


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more academic style of presentation. For example, he does not tell the viewer to “get right on your Health Rejuvenator and workout right with me, rep for rep, set for set.” We feel these “follow the leader” videos should have high-energy aerobic type instructors to captivate, keep attention, and entertain to make it fun! The current tapes are not what one would describe as entertaining, full of energy, and one that a person would repeatedly watch. As with everything else, these tapes should contain before/afters, testimonials, endorsements, contests, recorded message offers, references to and curiosity provoking or greedy reasons to go to your web site (hidden secret type stuff), etc., to reinforce their wise decision to buy, and to stimulate back-end sales! We think that if you segment your database in a variety of ways, there will be the opportunity to custom fit clients with very specific tapes for very specific audiences, depending on age, gender, specific sporting interests, various levels of condition, degree of overweightness, body type, etc. For example, a tape for women over 45 who are more than 20 pounds overweight, or a tape for men under 35 who are already in good shape and into high energy sports, or whatever. The instructors on these specific tapes should be appropriate for the audience. For example, if you had a tape for women over 65, the instructor they are following along with should be an energetic, entertaining woman of similar age and other characteristics of the target audience. This example group would like to see a 60-65 year old woman in good shape with lots of energy that could rap and talk to them in empathetic terms they could relate to, as opposed to seeing the leader being a 27 year old, perfectly built, long haired brunette with a skin tight, two piece bathing suit showing off rock hard abs and perfect bust, thong up their butt workout outfit, ESPN2 type of instructor that these senior women have absolutely nothing in common with, and cannot feel a connection to. The closer we can get to custom fitting a product, the tighter the relationship becomes, and the more successful the business gets. By the way, these tapes could (should) easily replace the wall chart with the different exercises pictured on it, which is similar to everyone else’s wall chart, and one which the typical user does not get much use out of, based on a number of people we asked who have bought some type of multi-purpose home equipment. (By the way, this whole interactive thing can be set up with voice mail, e-mail or other auto-pilot only mechanisms.) As a side note, the monthly newsletter to buyers can also take on a very client specific character to underscore the relationship building efforts here. This can be done with client specific newsletters, or with a general newsletter with client specific inserts that address specific segments of your database. This level of targeting sophistication is being recognized by some companies as being much more profitable, although the number of companies doing this sort of segmenting is still relatively small, which leaves a wide open opportunity gap for you to take advantage of. The end result of having “client specific tapes” will be that 5-STAR/HR has produced a library from which a patient can choose initially and add to their collection as they improve or lose weight or get older or whatever, and which can be used in a myriad of other beneficial ways. For example, in the new


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improved warranty card that prompts a buyer to call and hear Arnold’s secret message, a FREE TAPE OF YOUR CHOICE from 5-STAR/HR’s video library, could be a strong response motivator. They could be used in 5-STAR/HR’s tape of the month club, contests, deals, specials, etc. And once again, all tapes should be laced with testimonials, 800 numbers, offers requiring response, and various things the viewer can do to interact with 5-STAR/HR. 5. The material we reviewed for the Personal Trainers Business Opportunity is missing many elements that are necessary to make a business opportunity (bus. op.) work. The letter, commission structure and Stocking Program are (gosh, we hate repeating this so often, but it has to be said) is way, way, way, way too short and “professional”, and provides no connection, no stimulation of the prospects greed glands to swell, no psychological penetration down into the deepest parts of their souls where their dreams and hopes hide, etc. We have many years experience selling and consulting with bus. ops., and the successful ones all have deeply implanted, long form, Emotional Direct Response Marketing, whether in the form of ads, sales letters, audio/videotapes, etc., and corresponding sequential sales letters (reports)/other materials to fully capitalize on the leads generated.

You have several avenues to get this going. First, if you have any leads or groups of people who might already be affiliated, and/or familiar with 5-STAR/HR, and who have expressed an interest in developing a full or part-time business as a trainer, they should be approached in the initial testing. Second, you can use print ads and direct mail to generate new prospects who will be followed up with. There are two ways you can get new prospects into the loop. You can use a self-liquidating model, where you sell a brief book and/or tape about the business of being a personal trainer. This material, would be a very general description of the business, how it works, how much one might be able to make, what people do wrong, how to get clients/clients, why HR is so important to their success, have testimonials, references, before/afters, proof of what you’re saying is true, etc. Very concise, yet informative. Then, the material can have a pitch for the full blown Basic or Deluxe turnkey systems that have EVERYTHING they were told to do in the book, all done for them, and/or including a purchase of a HR, and/or a system of making money by selling HR’s to their clients, and so forth. This kit would have to include, but not be limited to: finished marketing campaigns, ads, scripts, reports, audio/videotapes for them to duplicate, marketing education and instructions, how to run the business, how to train clients, how to use the HR to train, how to sell the HR to clients, how to chase leads, how to communicate with leads and centers of influence and clients, how to hook up with local fitness centers, technical info on conditioning, working out, etc., etc. You’d have to have humans they could interact with at some level, either by phone, and/or fax, e-mail, etc. It will not work if they can’t get help and questions answered. In other words, in order for a bus. op. to succeed, you have to give them everything. You cannot expect for it to be successful if you only teach them “how to fish.” You have to give them the “fish.” They don’t want to “learn” anything. They want it done for them. As long as you understand this going into it,


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improved warranty card that prompts a buyer to call and hear Arnold’s secret message, a FREE TAPE OF YOUR CHOICE from 5-STAR/HR’s video library, could be a strong response motivator. They could be used in 5-STAR/HR’s tape of the month club, contests, deals, specials, etc. And once again, all tapes should be laced with testimonials, 800 numbers, offers requiring response, and various things the viewer can do to interact with 5-STAR/HR. 5. The material we reviewed for the Personal Trainers Business Opportunity is missing many elements that are necessary to make a business opportunity (bus. op.) work. The letter, commission structure and Stocking Program are (gosh, we hate repeating this so often, but it has to be said) is way, way, way, way too short and “professional”, and provides no connection, no stimulation of the prospects greed glands to swell, no psychological penetration down into the deepest parts of their souls where their dreams and hopes hide, etc. We have many years experience selling and consulting with bus. ops., and the successful ones all have deeply implanted, long form, Emotional Direct Response Marketing, whether in the form of ads, sales letters, audio/videotapes, etc., and corresponding sequential sales letters (reports)/other materials to fully capitalize on the leads generated.

You have several avenues to get this going. First, if you have any leads or groups of people who might already be affiliated, and/or familiar with 5-STAR/HR, and who have expressed an interest in developing a full or part-time business as a trainer, they should be approached in the initial testing. Second, you can use print ads and direct mail to generate new prospects who will be followed up with. There are two ways you can get new prospects into the loop. You can use a self-liquidating model, where you sell a brief book and/or tape about the business of being a personal trainer. This material, would be a very general description of the business, how it works, how much one might be able to make, what people do wrong, how to get clients/clients, why HR is so important to their success, have testimonials, references, before/afters, proof of what you’re saying is true, etc. Very concise, yet informative. Then, the material can have a pitch for the full blown Basic or Deluxe turnkey systems that have EVERYTHING they were told to do in the book, all done for them, and/or including a purchase of a HR, and/or a system of making money by selling HR’s to their clients, and so forth. This kit would have to include, but not be limited to: finished marketing campaigns, ads, scripts, reports, audio/videotapes for them to duplicate, marketing education and instructions, how to run the business, how to train clients, how to use the HR to train, how to sell the HR to clients, how to chase leads, how to communicate with leads and centers of influence and clients, how to hook up with local fitness centers, technical info on conditioning, working out, etc., etc. You’d have to have humans they could interact with at some level, either by phone, and/or fax, e-mail, etc. It will not work if they can’t get help and questions answered. In other words, in order for a bus. op. to succeed, you have to give them everything. You cannot expect for it to be successful if you only teach them “how to fish.” You have to give them the “fish.” They don’t want to “learn” anything. They want it done for them. As long as you understand this going into it,


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you’ll be fine. But applying your natural entrepreneurial personalities on others who claim to want to be in business is a big mistake. Most people are naturally lazy, and bus. op. providers often misunderstand the role that must be played if the effort is to pay and be worth doing. Anyway, the self-liquidating model weeds out the tire kickers and gets a much higher quality lead. Even though they have bought something, we still refer to them as “leads” because the stuff they bought is really a way to cover all the advertising costs of lead generation, and to sift out the people who want info but won’t spend a penny. The other model is to use pure free info lead generation, and offer basically (if not exactly) the same info that’s in the sold materials. Then you make the same pitches as in the sold info. Doing comparative testing is important, as we have seen the winning model vary from market to market. Sometimes you get too many leads offering free info, and the conversion rates after sequenced attacks are too low to make the deal work, even taking the Lifetime Value into account. Sometimes, this free lead method works super! Other times, we’ve seen the “selling the free info”, self-liquidating model work better. There’s no way to tell without doing side-by-side testing, and see what happens. Either way, if you build up a stable of bus. op. trainers, you’ll need to do all the same stuff with them as you’re probably sick of hearing by now. Monthly newsletters to them with accompanying pitches for HR sales and accessories/related items, bootcamps, tapes, software, client newsletter masters for them to send out to their clients, more books, more tapes, continuity products, etc., etc. The best back-end products are consumables that have to be re-bought over and over, like supplements, which can be bought individually, and/or as part of a continuity program. (Are you seeing the pattern here?) The back-end on a bus. op. is often where all the money is, as is true with virtually everything else. You can run a few test ads and see what happens, spending small money as the testing is going on. You might want to consider getting a celebrity as a “spokesperson”, to be featured in the marketing materials, videos, or whatever. See, in general, getting a celeb (Arnold or Pamela?) to be seen and heard, along with real testimonials makes a big difference. The same “Arnold and Pamela” theory applies to bus. ops. If you had a celeb explaining the deal in the tapes, and if the sales letter was ostensibly written by him or her with their picture all over everything, sales will go up. This is particularly true, if you want to charge a lot (more than $600-$700 for the initial enrollment fee). You have to charge for the “turnkey business in a box type kit”, and have them be “allowed” to sell HR’s and related equipment to their clients. If you give them all this, they will value it as much as they paid for it. Squat. It must be a multi-step screening out process so you get people who have a vested interest in their success because they spent money to be allowed to sell your machines.


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you’ll be fine. But applying your natural entrepreneurial personalities on others who claim to want to be in business is a big mistake. Most people are naturally lazy, and bus. op. providers often misunderstand the role that must be played if the effort is to pay and be worth doing. Anyway, the self-liquidating model weeds out the tire kickers and gets a much higher quality lead. Even though they have bought something, we still refer to them as “leads” because the stuff they bought is really a way to cover all the advertising costs of lead generation, and to sift out the people who want info but won’t spend a penny. The other model is to use pure free info lead generation, and offer basically (if not exactly) the same info that’s in the sold materials. Then you make the same pitches as in the sold info. Doing comparative testing is important, as we have seen the winning model vary from market to market. Sometimes you get too many leads offering free info, and the conversion rates after sequenced attacks are too low to make the deal work, even taking the Lifetime Value into account. Sometimes, this free lead method works super! Other times, we’ve seen the “selling the free info”, self-liquidating model work better. There’s no way to tell without doing side-by-side testing, and see what happens. Either way, if you build up a stable of bus. op. trainers, you’ll need to do all the same stuff with them as you’re probably sick of hearing by now. Monthly newsletters to them with accompanying pitches for HR sales and accessories/related items, bootcamps, tapes, software, client newsletter masters for them to send out to their clients, more books, more tapes, continuity products, etc., etc. The best back-end products are consumables that have to be re-bought over and over, like supplements, which can be bought individually, and/or as part of a continuity program. (Are you seeing the pattern here?) The back-end on a bus. op. is often where all the money is, as is true with virtually everything else. You can run a few test ads and see what happens, spending small money as the testing is going on. You might want to consider getting a celebrity as a “spokesperson”, to be featured in the marketing materials, videos, or whatever. See, in general, getting a celeb (Arnold or Pamela?) to be seen and heard, along with real testimonials makes a big difference. The same “Arnold and Pamela” theory applies to bus. ops. If you had a celeb explaining the deal in the tapes, and if the sales letter was ostensibly written by him or her with their picture all over everything, sales will go up. This is particularly true, if you want to charge a lot (more than $600-$700 for the initial enrollment fee). You have to charge for the “turnkey business in a box type kit”, and have them be “allowed” to sell HR’s and related equipment to their clients. If you give them all this, they will value it as much as they paid for it. Squat. It must be a multi-step screening out process so you get people who have a vested interest in their success because they spent money to be allowed to sell your machines.


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By the way, we cannot give you legal advice, but we would want you to review the issues of not being considered a franchise, and the bus. op. regulations at the federal and state levels. This stuff isn’t too bad, especially if you’re offering a quality program, but you cannot get involved without proper legal guidance. We don’t know what the potential universe is for people who want to start, or expand a personal training business. We’d need some guidance from you on where you think they may be found. We would want to test the general bus. op. rags to see if they wouldn’t be too wasteful to advertise in, as there may not be enough people who want to get into business who are specifically interested in getting into the personal training business. Again, quick testing will give us our answer. We would guess TV would be too wasteful, being unable to screen out highly probable prospects. The only bus. ops. that work on TV are very general, that anyone can do like “no money down real estate”, or “home-based money-making.” Personal trainers don’t strike us as being in that same general bus. op. category. 6. So, in order to maximize the profit potential, all these activities must be complimented by a retooling of the mentality of the sales (name change?) department. They must view themselves as counselors instead of sales persons. They must ask tons of questions, develop tons of empathy, and an incredibly strong relationship with customers who turn immediately to 5-STAR/HR when it comes to problems they need solved, because we have real answers to real problems that nobody else has. The result of this part of the action plan is profound and will turn lots more sales without selling anything at all. We’re just solving lots of problems for lots of clients! All this activity will result in a flood of phone calls coming into 5-STAR/HR from people who are looking to buy something from us (we’re not chasing them down in order to sell them). Done right, the sales people will have no time to make outbound calls because they will be inundated with inbound calls. 7. We think there needs to be some serious examining of what happens when someone gets one of your products. Obviously, if we improve all your marketing materials, the new, more effective Emotional Response pieces should be included with anything and everything that goes out, as opposed to the matter of fact throw ins that go in the packages now. One of the problems we experienced, or more correctly put, didn’t experience, was a WOW experience when we opened the boxes. A WOW experience is one that literally makes someone say “WOW” when they open up the package. Let’s think of the psychology of someone opening up a new HR, as an example. They’re looking forward to getting it, and when the box comes, it’s so big and heavy it looks intimidating from the outset. If we remember correctly, there’s nothing on the box that says something like:

ATTENTION! “You’re Only 24 Minutes From Getting Your First, Incomparable,


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By the way, we cannot give you legal advice, but we would want you to review the issues of not being considered a franchise, and the bus. op. regulations at the federal and state levels. This stuff isn’t too bad, especially if you’re offering a quality program, but you cannot get involved without proper legal guidance. We don’t know what the potential universe is for people who want to start, or expand a personal training business. We’d need some guidance from you on where you think they may be found. We would want to test the general bus. op. rags to see if they wouldn’t be too wasteful to advertise in, as there may not be enough people who want to get into business who are specifically interested in getting into the personal training business. Again, quick testing will give us our answer. We would guess TV would be too wasteful, being unable to screen out highly probable prospects. The only bus. ops. that work on TV are very general, that anyone can do like “no money down real estate”, or “home-based money-making.” Personal trainers don’t strike us as being in that same general bus. op. category. 6. So, in order to maximize the profit potential, all these activities must be complimented by a retooling of the mentality of the sales (name change?) department. They must view themselves as counselors instead of sales persons. They must ask tons of questions, develop tons of empathy, and an incredibly strong relationship with customers who turn immediately to 5-STAR/HR when it comes to problems they need solved, because we have real answers to real problems that nobody else has. The result of this part of the action plan is profound and will turn lots more sales without selling anything at all. We’re just solving lots of problems for lots of clients! All this activity will result in a flood of phone calls coming into 5-STAR/HR from people who are looking to buy something from us (we’re not chasing them down in order to sell them). Done right, the sales people will have no time to make outbound calls because they will be inundated with inbound calls. 7. We think there needs to be some serious examining of what happens when someone gets one of your products. Obviously, if we improve all your marketing materials, the new, more effective Emotional Response pieces should be included with anything and everything that goes out, as opposed to the matter of fact throw ins that go in the packages now. One of the problems we experienced, or more correctly put, didn’t experience, was a WOW experience when we opened the boxes. A WOW experience is one that literally makes someone say “WOW” when they open up the package. Let’s think of the psychology of someone opening up a new HR, as an example. They’re looking forward to getting it, and when the box comes, it’s so big and heavy it looks intimidating from the outset. If we remember correctly, there’s nothing on the box that says something like:

ATTENTION! “You’re Only 24 Minutes From Getting Your First, Incomparable,


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Healthy & Fit, Health Rejuvenator Stretch-Out! Don’t Be Intimidated By This Box! Putting Together This ‘One Of A Kind’ Piece of Equipment Is So Easy, Anyone Can Do It! Plus, You’ll Discover How To Get Your

Amazing FREE GIFT Inside, And A Special Message From Arnold, So Don’t Delay And Open Me Up NOW!

Or whatever. The idea is to get people in a less intimidated frame of mind when the box comes! We know of people who have left the HR and other equipment they ordered lay around for months before trying to open it! So we have to get them to open it, and entice them with the promise of a free gift, and reassure them that it’s easy to put together. Obviously, our own PPS Advertising’s graphic skills are limited, if not useless, but we need some combination of graphics and copy that make it seem easy while still offering some greedy reason to open it up. (Maybe put the new illustrations we’ll be talking about in a minute on the box itself, so they can see how easy it is with the directions printed on the outside. We feel if they appeared outside, many people would be much more encouraged to open it up right away. We also know no one else does this, but where’s the rule that says instructional graphics can’t be on the outside?) Along these lines, there are other things that can be implemented to increase the WOW experience, which will decrease refunds, increase repeat purchasing, and assist in capturing demographic data! Here’s what we mean. The instructions that come with the machines are typical instructions. First off, they may seem easy to people familiar with the machine, but they are still too technical and dry. We had a hard time figuring out what some of the diagrams were showing, and the instructions left many things unsaid, assuming that they are so obvious that the owner wouldn’t need any clarification or explanation. These are big assumptions. Many things aren’t obvious to really direction following impaired people (like advertising guys), and we assure you that if the instructions were written in an advertising style of clear and unmistakable copy, accompanied by cartoonish, fourth grade level diagrams, you’d reduce customer service and frustration, as well as refunds. Just as important is the fact that ANYTHING you print up or duplicate must be selling for you. If you go through the trouble of printing up directions for assembly, then you should make sure there’s a sales message stronger than merely offering replacement parts or accessories on a price list. For example, we need to capture the names and demographic data from retail and TV customers. A warranty card that currently comes with the machines is very basic, and offers little reason for someone to fill it out, or to send it back. We don’t know for sure, but would risk an educated guess that not many of these cards come back, and if they do, they don’t give you anything else besides the customers name and address. We don’t know anything about the people who do send it in, nor what is being done with the names that are collected from the retail buyers. Here’s our suggestion for how to improve this process. If you offer a free gift on the outside of the box to instill more urgency to get people to open up the box and get the machine built, you obviously need a gift to give them. Here’s how to kill two birds with one


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Healthy & Fit, Health Rejuvenator Stretch-Out! Don’t Be Intimidated By This Box! Putting Together This ‘One Of A Kind’ Piece of Equipment Is So Easy, Anyone Can Do It! Plus, You’ll Discover How To Get Your

Amazing FREE GIFT Inside, And A Special Message From Arnold, So Don’t Delay And Open Me Up NOW!

Or whatever. The idea is to get people in a less intimidated frame of mind when the box comes! We know of people who have left the HR and other equipment they ordered lay around for months before trying to open it! So we have to get them to open it, and entice them with the promise of a free gift, and reassure them that it’s easy to put together. Obviously, our own PPS Advertising’s graphic skills are limited, if not useless, but we need some combination of graphics and copy that make it seem easy while still offering some greedy reason to open it up. (Maybe put the new illustrations we’ll be talking about in a minute on the box itself, so they can see how easy it is with the directions printed on the outside. We feel if they appeared outside, many people would be much more encouraged to open it up right away. We also know no one else does this, but where’s the rule that says instructional graphics can’t be on the outside?) Along these lines, there are other things that can be implemented to increase the WOW experience, which will decrease refunds, increase repeat purchasing, and assist in capturing demographic data! Here’s what we mean. The instructions that come with the machines are typical instructions. First off, they may seem easy to people familiar with the machine, but they are still too technical and dry. We had a hard time figuring out what some of the diagrams were showing, and the instructions left many things unsaid, assuming that they are so obvious that the owner wouldn’t need any clarification or explanation. These are big assumptions. Many things aren’t obvious to really direction following impaired people (like advertising guys), and we assure you that if the instructions were written in an advertising style of clear and unmistakable copy, accompanied by cartoonish, fourth grade level diagrams, you’d reduce customer service and frustration, as well as refunds. Just as important is the fact that ANYTHING you print up or duplicate must be selling for you. If you go through the trouble of printing up directions for assembly, then you should make sure there’s a sales message stronger than merely offering replacement parts or accessories on a price list. For example, we need to capture the names and demographic data from retail and TV customers. A warranty card that currently comes with the machines is very basic, and offers little reason for someone to fill it out, or to send it back. We don’t know for sure, but would risk an educated guess that not many of these cards come back, and if they do, they don’t give you anything else besides the customers name and address. We don’t know anything about the people who do send it in, nor what is being done with the names that are collected from the retail buyers. Here’s our suggestion for how to improve this process. If you offer a free gift on the outside of the box to instill more urgency to get people to open up the box and get the machine built, you obviously need a gift to give them. Here’s how to kill two birds with one


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stone. Have a brightly colored flyer taped onto the machine, or as the cover sheet for the instructions (with a picture of Arnold or Pamela, if that’s how this goes), or any way to make sure it gets their attention. It should be a really obnoxious color like flaming orange, or chartreuse, or the like. It should have a huge headline that says something like:

Amazing FREE Gift!!

Call Our 24-Hour Toll-Free Recorded Message Hotline To Hear Arnold Reveal The Strangest Fitness Success Secret That You Won’t Hear About

Anywhere Else...And To Get Your FREE Gift When You Activate Your FREE Membership In The Healthy & Fit Association! Call 1-888-555-1234, Anytime To

Hear A Shocking 3-1/2 Minute Message From Arnold, To Get Your Membership Activated, Your Warranty

Registered, And Your FREE Gift Explained And On Its Way To You! This Is A Limited Time Offer, Only Good

Within 17 Days Of The Date Of Shipping, So Don’t Delay! The Call And Info Are Free, The Gift Is Free,

And You Can Call Anytime, 24-hours! CALL NOW!

Or something like that. The point is that this will enable you to get people to give you what you want. The recorded message can be set up to be totally automated, so the buyer will be prompted to give information wanted, and to handle this whole process without any human intervention. Other options for the buyers could be to fax in a form and/or to register online at your web site. The point is that you have to “bribe” them to get them to do this, and if you can give them something they would really like and that wouldn’t cost you too much, you’d have the highest possible capture of names and data. On the retail side, you said that many of the retailers do not want package inserts in the machine with the box. Would they object to a free recorded message and a free gift being offered to help stop refunds? (Which, of course, hopefully taking proactive steps like this will accomplish as an important benefit. We’ll be discussing “stick” or refund prevention strategies more specifically in a few minutes.) We understand that this exact copy and idea may need to be modified for any number of reasons (Arnold or Pamela saying


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stone. Have a brightly colored flyer taped onto the machine, or as the cover sheet for the instructions (with a picture of Arnold or Pamela, if that’s how this goes), or any way to make sure it gets their attention. It should be a really obnoxious color like flaming orange, or chartreuse, or the like. It should have a huge headline that says something like:

Amazing FREE Gift!!

Call Our 24-Hour Toll-Free Recorded Message Hotline To Hear Arnold Reveal The Strangest Fitness Success Secret That You Won’t Hear About

Anywhere Else...And To Get Your FREE Gift When You Activate Your FREE Membership In The Healthy & Fit Association! Call 1-888-555-1234, Anytime To

Hear A Shocking 3-1/2 Minute Message From Arnold, To Get Your Membership Activated, Your Warranty

Registered, And Your FREE Gift Explained And On Its Way To You! This Is A Limited Time Offer, Only Good

Within 17 Days Of The Date Of Shipping, So Don’t Delay! The Call And Info Are Free, The Gift Is Free,

And You Can Call Anytime, 24-hours! CALL NOW!

Or something like that. The point is that this will enable you to get people to give you what you want. The recorded message can be set up to be totally automated, so the buyer will be prompted to give information wanted, and to handle this whole process without any human intervention. Other options for the buyers could be to fax in a form and/or to register online at your web site. The point is that you have to “bribe” them to get them to do this, and if you can give them something they would really like and that wouldn’t cost you too much, you’d have the highest possible capture of names and data. On the retail side, you said that many of the retailers do not want package inserts in the machine with the box. Would they object to a free recorded message and a free gift being offered to help stop refunds? (Which, of course, hopefully taking proactive steps like this will accomplish as an important benefit. We’ll be discussing “stick” or refund prevention strategies more specifically in a few minutes.) We understand that this exact copy and idea may need to be modified for any number of reasons (Arnold or Pamela saying


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no), and that a free gift would have to be acquired or invented (could modified versions of Jason’s book be the gift and/or used as a bonus for certain offers like the PT Silver package, and/or sold as a front-end piece, or heir choice of a situation specific video, or enrollment in the ‘Video Of The Month Club’?), but the details aren’t what’s most important at this stage. It’s the concept of getting those names and characteristics that’s important. Let’s discuss costs of something like this for a second. We know that of the total number of retail buyers, no matter if we offered nude photos as the gift, not everyone’s going to call, but once we get the right pitch down, some percentage will call and leave their name and address with the caller-ID captured phone number, and the written or recorded survey completed to get the demographic data. A percentage that will be less than 100%, but far more than with the more conventional warranty card concept. The phone numbers called should be traced to the retail outlet if possible. If there’s no way to tell which store chain sold the units, then hopefully we can find out how many units were sold with the capturing materials in them, and see how many completed calls or faxes or e-mails came in to determine the conversion percentage. For the sake of discussion, let’s say 50% of the buyers called in. If you’re selling 20,000 units a month, that would be 10,000 registrations. If it cost you $5 per name captured, you would spend $50,000 in that month to capture the names. Now, let’s see what could happen as a result of getting these names. First, you would rent the names out through a list manager, and could average $1-$4 per name per year, depending on the deal you cut with the list broker/manager, and how often the list gets used and repeated by users who find it works for them. (By the way, the more demographic data you have on the names, and having good phone numbers, and so on, will increase the price the list rents for, and increase your revenue!) Let’s take the low end, and say you average $1 per name, per year. If that’s true, you’ll get back $10,000 of the $50,000 expense that way. It is possible that the list rental revenue could cover your entire cost, but let’s not use that in our discussion. (Note - Some businesses make 100% of their profits from acquiring customers and renting the lists as their only profit center, since list rental income goes on for a long time, and has ZERO cost attached to it!) Let’s go back to the newsletter mailings that would go out to these folks, and use the same conversion figures we discussed for the same function with the TV buyers. If you sold 4% at an average of $100, your sales are 400 somethings @ $100 average, total gross per month would be $40,000, with a profit of $16,000 for that month. So, on a low-end scenario, it would take 3-4 months of selling each month’s new folks stuff, and renting their names out before you’d cover the $50,000 cost of acquisition, from which point, anything they buy and any list rental income will be gravy for the rest of the customer’s Lifetime Value. Again, keep in mind that your cost of acquisition in this case is only a few bucks per customer, since there is no additional advertising cost beyond the cost of name capture. This is far below the previously referred to cost of acquisition on TV, for example, and should be extremely profitable after the short time to recapture the cost of name capture! Of course, this process too must be tested in a small way at first, and only expanded if the tests work well enough to


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no), and that a free gift would have to be acquired or invented (could modified versions of Jason’s book be the gift and/or used as a bonus for certain offers like the PT Silver package, and/or sold as a front-end piece, or heir choice of a situation specific video, or enrollment in the ‘Video Of The Month Club’?), but the details aren’t what’s most important at this stage. It’s the concept of getting those names and characteristics that’s important. Let’s discuss costs of something like this for a second. We know that of the total number of retail buyers, no matter if we offered nude photos as the gift, not everyone’s going to call, but once we get the right pitch down, some percentage will call and leave their name and address with the caller-ID captured phone number, and the written or recorded survey completed to get the demographic data. A percentage that will be less than 100%, but far more than with the more conventional warranty card concept. The phone numbers called should be traced to the retail outlet if possible. If there’s no way to tell which store chain sold the units, then hopefully we can find out how many units were sold with the capturing materials in them, and see how many completed calls or faxes or e-mails came in to determine the conversion percentage. For the sake of discussion, let’s say 50% of the buyers called in. If you’re selling 20,000 units a month, that would be 10,000 registrations. If it cost you $5 per name captured, you would spend $50,000 in that month to capture the names. Now, let’s see what could happen as a result of getting these names. First, you would rent the names out through a list manager, and could average $1-$4 per name per year, depending on the deal you cut with the list broker/manager, and how often the list gets used and repeated by users who find it works for them. (By the way, the more demographic data you have on the names, and having good phone numbers, and so on, will increase the price the list rents for, and increase your revenue!) Let’s take the low end, and say you average $1 per name, per year. If that’s true, you’ll get back $10,000 of the $50,000 expense that way. It is possible that the list rental revenue could cover your entire cost, but let’s not use that in our discussion. (Note - Some businesses make 100% of their profits from acquiring customers and renting the lists as their only profit center, since list rental income goes on for a long time, and has ZERO cost attached to it!) Let’s go back to the newsletter mailings that would go out to these folks, and use the same conversion figures we discussed for the same function with the TV buyers. If you sold 4% at an average of $100, your sales are 400 somethings @ $100 average, total gross per month would be $40,000, with a profit of $16,000 for that month. So, on a low-end scenario, it would take 3-4 months of selling each month’s new folks stuff, and renting their names out before you’d cover the $50,000 cost of acquisition, from which point, anything they buy and any list rental income will be gravy for the rest of the customer’s Lifetime Value. Again, keep in mind that your cost of acquisition in this case is only a few bucks per customer, since there is no additional advertising cost beyond the cost of name capture. This is far below the previously referred to cost of acquisition on TV, for example, and should be extremely profitable after the short time to recapture the cost of name capture! Of course, this process too must be tested in a small way at first, and only expanded if the tests work well enough to


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warrant expansion. 8. Names. We suggest that you consider naming the category that you are the leader in which you call functional fitness, somatatrophic or body weight exercise, etc. It would be best if the name of the category would enable you to have your products/services fit into this name as well, so the name of the category and your company become intertwined in the public’s perception and collective consciousness. Another aspect of names is the concept of the USP (Unique Selling Proposition). If all of this can be connected through a unified theme and message of why your products are so different that they become known by everyone. Your TV exposure has done a tremendous amount to build a conscious awareness of your products, but much of that is attached to Arnold and Pamela. We asked a number of people we know from all walks of life if they were familiar with the Health Rejuvenator. Most, initially said no, but when reminded it was the infomercial with Arnold and Pamela, virtually everyone said, “Oh yeah, I’ve seen that thing!” While this is certainly helping you sell machines on TV, other direct response medium and in retail, we feel the long-term security would be enhanced if we can “Vaseline” you. (Not literally. What we mean is that everyone calls a petroleum jelly “Vaseline”, and the category of petroleum jellies is known as “Vaseline.” That is very good.) Lots of promotions, products, services, and other things can be developed around this central theme. Another smaller example, not nearly in the same league as Vaseline, is in golf. We consider our company to be the leader in teaching golfers to “hit the ball straight.” We’ve invented a new category called, Straight Shootin’ Golf. Everything we do and communicate centers around this identity and USP. Our headlines, for example, state our USP, which tie directly into this theme. Hit The Ball As Straight As You Can Point...Guaranteed, Or This Lesson Is FREE And We’ll Send You $25 More For Wasting Your Time! (We have attached several samples from some of our own businesses to show you live, successful samples of the type of copy/materials that work, and to illustrate all the points we’ve been making.) Anyway, we feel that the term “functional” and the like may work fine in the PT market, although we feel if your goal is for the PT’s to get patients to buy equipment, the title/name/USP should be something that everyone would get. See, if the PT’s get the term “functional” and have to translate that to patients, you’re going to make the job even harder than it needs to be. We came up with the concept of “Healthy & Fit” somehow getting the message of “Instant Results” or “Immediate Fitness” or whatever. It’s our opinion that people want to get fit with no work, no dieting, no discipline, etc. Everyone wants the “magic pill” they can take at night and wake up looking like Arnold or Pamela when they wake up! Now, understand that we aren’t suggesting to misrepresent anything, but rather, we want you to see that the closer your category and USP get to the “magic pill”, the better the results will be. We considered the concepts of “Healthy” and “Instant or Immediate” because: A. We haven’t seen any fitness equipment or system tagged as “Healthy.” B. “Healthy” has nothing but positive imagery and connotations. We’re not aware of anything negative attached to the concept of “Healthy.” It conjures messages of safety, being congruent with the way we’re


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warrant expansion. 8. Names. We suggest that you consider naming the category that you are the leader in which you call functional fitness, somatatrophic or body weight exercise, etc. It would be best if the name of the category would enable you to have your products/services fit into this name as well, so the name of the category and your company become intertwined in the public’s perception and collective consciousness. Another aspect of names is the concept of the USP (Unique Selling Proposition). If all of this can be connected through a unified theme and message of why your products are so different that they become known by everyone. Your TV exposure has done a tremendous amount to build a conscious awareness of your products, but much of that is attached to Arnold and Pamela. We asked a number of people we know from all walks of life if they were familiar with the Health Rejuvenator. Most, initially said no, but when reminded it was the infomercial with Arnold and Pamela, virtually everyone said, “Oh yeah, I’ve seen that thing!” While this is certainly helping you sell machines on TV, other direct response medium and in retail, we feel the long-term security would be enhanced if we can “Vaseline” you. (Not literally. What we mean is that everyone calls a petroleum jelly “Vaseline”, and the category of petroleum jellies is known as “Vaseline.” That is very good.) Lots of promotions, products, services, and other things can be developed around this central theme. Another smaller example, not nearly in the same league as Vaseline, is in golf. We consider our company to be the leader in teaching golfers to “hit the ball straight.” We’ve invented a new category called, Straight Shootin’ Golf. Everything we do and communicate centers around this identity and USP. Our headlines, for example, state our USP, which tie directly into this theme. Hit The Ball As Straight As You Can Point...Guaranteed, Or This Lesson Is FREE And We’ll Send You $25 More For Wasting Your Time! (We have attached several samples from some of our own businesses to show you live, successful samples of the type of copy/materials that work, and to illustrate all the points we’ve been making.) Anyway, we feel that the term “functional” and the like may work fine in the PT market, although we feel if your goal is for the PT’s to get patients to buy equipment, the title/name/USP should be something that everyone would get. See, if the PT’s get the term “functional” and have to translate that to patients, you’re going to make the job even harder than it needs to be. We came up with the concept of “Healthy & Fit” somehow getting the message of “Instant Results” or “Immediate Fitness” or whatever. It’s our opinion that people want to get fit with no work, no dieting, no discipline, etc. Everyone wants the “magic pill” they can take at night and wake up looking like Arnold or Pamela when they wake up! Now, understand that we aren’t suggesting to misrepresent anything, but rather, we want you to see that the closer your category and USP get to the “magic pill”, the better the results will be. We considered the concepts of “Healthy” and “Instant or Immediate” because: A. We haven’t seen any fitness equipment or system tagged as “Healthy.” B. “Healthy” has nothing but positive imagery and connotations. We’re not aware of anything negative attached to the concept of “Healthy.” It conjures messages of safety, being congruent with the way we’re


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made by the creator. C. Your machine works naturally, the way nature intended us to work our body. You never see fat and out of shape indigenous natives, Indians, bushmen, etc. D. All the motion stuff and pulling your own weight stuff can be brought back to the “Healthy” theme. E. Healthy and organic stuff is really a trend that gets stronger each year. F. Please don’t kill us, this is just an idea. Could a product called “Healthy & Fit Gym”, or “Healthy & Fit Rejuvenator” be test marketed? It’s just a thought. Don’t get mad. If you hate the idea, we’ll pretend we never said it. G. There are so many positive ways to play off of “Healthy.” “Healthy” Rehabilitation System sounds infinitely better than “Artificial” Rehabilitation Methods, for example. “Healthy & Fit” is as old as mankind. The cavemen fighting sabre tooth tigers didn’t use computerized resistance equipment to be strong enough to kill those animals. In fact, have you ever seen a pudgy caveman in any photos from the period? See, cavemen just used nature’s.... and so on. Anyway, if this “Healthy & Fit” concept is not acceptable for whatever reason, then we still have to come up with the right name and concept/theme to create as our category to own. A related concept is the problem with some of the product names you either created or have taken as a distributor of someone else’s product. Two notables come to mind in the “Autocane” and “Ab Developer.” We asked a number of people if they wanted to try the “Ab Developer”, and got varying degrees of confusion or the certainty we were telling them some sort of dirty joke. When we asked people if they’d like to try the “Autocane”, and most thought it was a device for seniors to use like a cane or walker or whatever. Anyway, we think the product’s name should describe the BENEFIT or A FEATURE THAT APPEALS TO EVERYONE. As we discussed, the “Thigh Master” didn’t describe a benefit per se, but it had the right “ring” to it. As we also discussed, “Ab Developer” isn’t good, but we have to brainstorm about the benefits and easily understandable features about both of these products in particular, and any and all future products or services. Another powerful aspect of USP’s is guarantees. Sometimes the word itself can be used in names and USP’s, as we did with our own golf project. We know you offer a guarantee on the TV product, when sold on TV. We assume your retail products are guaranteed by the store in their normal return policy. We saw in some of your materials and on your web site that you offer a 30-day guarantee on a couple of models. While these guarantees are good, there isn’t enough made of the guarantees in the content of a USP. Not that you have to do what we did in the golf business, but there we added not only a money back guarantee, but added MORE than their money back on the videos, and a one year guarantee on clubs, which is unheard of in the golf world. (Many people think we’re nuts for offering that strong of guarantees, but we know many people have told us the only reason they came to us was because of our having the balls to offer such bold guarantees. Anyway, you should think through whether or not there are


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made by the creator. C. Your machine works naturally, the way nature intended us to work our body. You never see fat and out of shape indigenous natives, Indians, bushmen, etc. D. All the motion stuff and pulling your own weight stuff can be brought back to the “Healthy” theme. E. Healthy and organic stuff is really a trend that gets stronger each year. F. Please don’t kill us, this is just an idea. Could a product called “Healthy & Fit Gym”, or “Healthy & Fit Rejuvenator” be test marketed? It’s just a thought. Don’t get mad. If you hate the idea, we’ll pretend we never said it. G. There are so many positive ways to play off of “Healthy.” “Healthy” Rehabilitation System sounds infinitely better than “Artificial” Rehabilitation Methods, for example. “Healthy & Fit” is as old as mankind. The cavemen fighting sabre tooth tigers didn’t use computerized resistance equipment to be strong enough to kill those animals. In fact, have you ever seen a pudgy caveman in any photos from the period? See, cavemen just used nature’s.... and so on. Anyway, if this “Healthy & Fit” concept is not acceptable for whatever reason, then we still have to come up with the right name and concept/theme to create as our category to own. A related concept is the problem with some of the product names you either created or have taken as a distributor of someone else’s product. Two notables come to mind in the “Autocane” and “Ab Developer.” We asked a number of people if they wanted to try the “Ab Developer”, and got varying degrees of confusion or the certainty we were telling them some sort of dirty joke. When we asked people if they’d like to try the “Autocane”, and most thought it was a device for seniors to use like a cane or walker or whatever. Anyway, we think the product’s name should describe the BENEFIT or A FEATURE THAT APPEALS TO EVERYONE. As we discussed, the “Thigh Master” didn’t describe a benefit per se, but it had the right “ring” to it. As we also discussed, “Ab Developer” isn’t good, but we have to brainstorm about the benefits and easily understandable features about both of these products in particular, and any and all future products or services. Another powerful aspect of USP’s is guarantees. Sometimes the word itself can be used in names and USP’s, as we did with our own golf project. We know you offer a guarantee on the TV product, when sold on TV. We assume your retail products are guaranteed by the store in their normal return policy. We saw in some of your materials and on your web site that you offer a 30-day guarantee on a couple of models. While these guarantees are good, there isn’t enough made of the guarantees in the content of a USP. Not that you have to do what we did in the golf business, but there we added not only a money back guarantee, but added MORE than their money back on the videos, and a one year guarantee on clubs, which is unheard of in the golf world. (Many people think we’re nuts for offering that strong of guarantees, but we know many people have told us the only reason they came to us was because of our having the balls to offer such bold guarantees. Anyway, you should think through whether or not there are


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ways to either beef up the guarantees or, if not, make a bigger deal about them, like, “If You Don’t See Instant Results Inside X Month(s) With Our Healthy & Fit System, We’ll Give You All Your Money Back With NO Hassles!” Some of the best guarantees use analogies like, “If your friends haven’t accused you of getting liposuction or surgery within one month of following the Healthy & Fit System, we’ll give you all your money back with NO hassles!” Another point about guarantees is that you can often reduce the overall refund rate by lengthening the guarantee period to 60, 90, 180 days, or even a year. This could be tested, but it’s been our experience that if people have more time to try something, without that specter of the 30-day refund period hanging over their head, they take more time, and don’t refund. This is not always true, but should be tested. Finally, we need to talk about instituting a “Stick System.” This is a term for a sequenced series of steps to try to cut down refunds. There are many ways you can do this, but the general idea is to contact buyers before, during, and after their purchase to try to get through the usual buyer’s remorse that customers go through. Let’s look at your current “stick” program. Well, there really isn’t one. Let’s give you an example of different stick system options so you get a better handle on what you might try and test to compare to “unsticked buyers” and see if the “sticked” buyers refund less and/or buy more stuff on the back-end: A welcome letter with some attention grabber like a fake $1,000,000 bill attached to the letter telling them they’re going to feel like a million bucks as soon as they begin the Healthy & Fit System, so you thought a fake million dollar bill would be appropriate as an eye-catcher...blah, blah. Then, you have to do the sales job all over again, in the letter or whatever they get. THIS IS VERY IMPORTANT! You have to work with the human nature and persuasion principle called “consistency.” People like to feel they’re being consistent with how they see themselves. As a marketing principle to use in writing copy, it is crucial to plant this consistency message in the copy. For purposes of the stick letters, we have to remind them that their decision to buy is consistent with their decision to use and not return the equipment. Since they already agreed to buy, we have to reinforce the consistency by having them recall the facts that got them to buy in the first place. This often kills quite a bit of buyer’s remorse as well as giving them an early WOW experience. (Who else does stuff like this?) This letter could be timed to get there a few days before the machine arrives, and get them very excited about the arrival. Then, in the package itself, there should be another similar piece reminding them of all the benefits they’ll see as soon as they get going and use the machine. This could be tied to, or included with the suggested “activation” piece with the recorded message, etc. Then, after they get the machine, they could get a phone call, or


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ways to either beef up the guarantees or, if not, make a bigger deal about them, like, “If You Don’t See Instant Results Inside X Month(s) With Our Healthy & Fit System, We’ll Give You All Your Money Back With NO Hassles!” Some of the best guarantees use analogies like, “If your friends haven’t accused you of getting liposuction or surgery within one month of following the Healthy & Fit System, we’ll give you all your money back with NO hassles!” Another point about guarantees is that you can often reduce the overall refund rate by lengthening the guarantee period to 60, 90, 180 days, or even a year. This could be tested, but it’s been our experience that if people have more time to try something, without that specter of the 30-day refund period hanging over their head, they take more time, and don’t refund. This is not always true, but should be tested. Finally, we need to talk about instituting a “Stick System.” This is a term for a sequenced series of steps to try to cut down refunds. There are many ways you can do this, but the general idea is to contact buyers before, during, and after their purchase to try to get through the usual buyer’s remorse that customers go through. Let’s look at your current “stick” program. Well, there really isn’t one. Let’s give you an example of different stick system options so you get a better handle on what you might try and test to compare to “unsticked buyers” and see if the “sticked” buyers refund less and/or buy more stuff on the back-end: A welcome letter with some attention grabber like a fake $1,000,000 bill attached to the letter telling them they’re going to feel like a million bucks as soon as they begin the Healthy & Fit System, so you thought a fake million dollar bill would be appropriate as an eye-catcher...blah, blah. Then, you have to do the sales job all over again, in the letter or whatever they get. THIS IS VERY IMPORTANT! You have to work with the human nature and persuasion principle called “consistency.” People like to feel they’re being consistent with how they see themselves. As a marketing principle to use in writing copy, it is crucial to plant this consistency message in the copy. For purposes of the stick letters, we have to remind them that their decision to buy is consistent with their decision to use and not return the equipment. Since they already agreed to buy, we have to reinforce the consistency by having them recall the facts that got them to buy in the first place. This often kills quite a bit of buyer’s remorse as well as giving them an early WOW experience. (Who else does stuff like this?) This letter could be timed to get there a few days before the machine arrives, and get them very excited about the arrival. Then, in the package itself, there should be another similar piece reminding them of all the benefits they’ll see as soon as they get going and use the machine. This could be tied to, or included with the suggested “activation” piece with the recorded message, etc. Then, after they get the machine, they could get a phone call, or


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another letter accompanied by the first issue of the newsletter, a membership embossed card, a hotline phone number to listen to recorded messages, other benefits, a promise of another free gift that would coincidentally come only to active members after the refund period expires, etc. There should be more re-selling going on here, with all the same stuff they got in the welcome letter, as there is never enough reinforcement of the sales message. This third stick step could be followed by a postcard reminding them that their free gift will be coming shortly, and telling them to look for the next newsletter with teaser copy about the secrets that will be revealed in the newsletter, etc. Now all this may sound like a lot of work and cost, but it has to be tested on a split basis, and measure the total cost of the stick system for the test group that gets it, and see if the lower refunds more than cover the costs of the stick program when compared to the group who didn’t get the stick system. If the stick system saves more than it costs, it should be incorporated into the overall business. If not, then it should be modified or scrapped. Just think about how much more money you’d have if you knocked the refund rate down by 3% from 17% to 14%. On 16,000 units a month, that would be 480 less refunds a month, or $288,000 extra retained revenue. On this basis, you could afford to spend up to $18 per buyer to break-even, which would much more than would need to be spent. So, if you spent $6 per buyer on the stick system, 16,000 buyers times $6 is $96,000 per month. If it reduced refunds by $288,000 per month, you’d be ahead $192,000 in gross revenue per month! Obviously, this kind of potential needs to be tested. Big note! You want testimonials, before/afters, etc., endorsements, and any other third party proof included in ALL the stick stuff, as well as in all instructions, activation forms, monthly newsletters, or whatever. This is very, very important, as it’s been our experience that adding testimonials and the like help reduce refunds and increase back-end sales dramatically. We don’t know exactly why, but the theory could be that seeing and hearing other people successfully using the product helps reduce buyer’s remorse and make them want to use it and buy more. Whatever the reason is, it has proven to be very successful, and needs to be incorporated. 9. Upsells. We know we discussed this with you, and you indicated that you had talked about doing something with a newsletter or some supplements. We agree that you should institute an upsell testing program immediately. This can be changed literally on a daily basis to see what happens with different offers as upsells. The best upsells are directly linked to the main product and/or an addition that will help the buyer get more from the main product. In your case, it might be accessories that don’t come with the main unit. If described properly, these might be the simplest and easiest upsells to do because you don’t have to create any new product and they fit the criteria of being directly linked and help the buyer get more from his purchase. Other ideas could be a tape of the month subscription or additional video training tapes that we mentioned earlier, for example. We don’t know for sure, but we think the supplements might be harder to


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another letter accompanied by the first issue of the newsletter, a membership embossed card, a hotline phone number to listen to recorded messages, other benefits, a promise of another free gift that would coincidentally come only to active members after the refund period expires, etc. There should be more re-selling going on here, with all the same stuff they got in the welcome letter, as there is never enough reinforcement of the sales message. This third stick step could be followed by a postcard reminding them that their free gift will be coming shortly, and telling them to look for the next newsletter with teaser copy about the secrets that will be revealed in the newsletter, etc. Now all this may sound like a lot of work and cost, but it has to be tested on a split basis, and measure the total cost of the stick system for the test group that gets it, and see if the lower refunds more than cover the costs of the stick program when compared to the group who didn’t get the stick system. If the stick system saves more than it costs, it should be incorporated into the overall business. If not, then it should be modified or scrapped. Just think about how much more money you’d have if you knocked the refund rate down by 3% from 17% to 14%. On 16,000 units a month, that would be 480 less refunds a month, or $288,000 extra retained revenue. On this basis, you could afford to spend up to $18 per buyer to break-even, which would much more than would need to be spent. So, if you spent $6 per buyer on the stick system, 16,000 buyers times $6 is $96,000 per month. If it reduced refunds by $288,000 per month, you’d be ahead $192,000 in gross revenue per month! Obviously, this kind of potential needs to be tested. Big note! You want testimonials, before/afters, etc., endorsements, and any other third party proof included in ALL the stick stuff, as well as in all instructions, activation forms, monthly newsletters, or whatever. This is very, very important, as it’s been our experience that adding testimonials and the like help reduce refunds and increase back-end sales dramatically. We don’t know exactly why, but the theory could be that seeing and hearing other people successfully using the product helps reduce buyer’s remorse and make them want to use it and buy more. Whatever the reason is, it has proven to be very successful, and needs to be incorporated. 9. Upsells. We know we discussed this with you, and you indicated that you had talked about doing something with a newsletter or some supplements. We agree that you should institute an upsell testing program immediately. This can be changed literally on a daily basis to see what happens with different offers as upsells. The best upsells are directly linked to the main product and/or an addition that will help the buyer get more from the main product. In your case, it might be accessories that don’t come with the main unit. If described properly, these might be the simplest and easiest upsells to do because you don’t have to create any new product and they fit the criteria of being directly linked and help the buyer get more from his purchase. Other ideas could be a tape of the month subscription or additional video training tapes that we mentioned earlier, for example. We don’t know for sure, but we think the supplements might be harder to


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do as an immediate upsell to someone who hasn’t been exposed to more marketing and who hasn’t made a connection from a newsletter where he’s read that Arnold or Pamela use some line of vitamins or whatever. Of course, since we don’t know anything, you could test them to see if they fly. Whatever you do, you must get a few different things tested as far as upsells. Think about the numbers for a second. If you only upsold 15% of the buyers, that would be 2,400 upsells per month, and if the average upsell was only $49, that would be an additional $117,600 of gross revenue without adding any real measurable expense, since you have them on the phone already! 10. We suggest that some thought be given to developing new names for clinical customers, fitness customers, and sales reps. This simple change can create a totally different atmosphere and relationship in-house and between buyer and seller. Again, the best example is Disney who calls employees “cast members” and customers “guests.” We suggest you think about “counselors or consultants” for the reps, because it alters their feelings about themselves, and puts them into being helpful explainers, instead of “salespeople.” Customers could be called “clients”, which is a more sophisticated relationship than that with a customer. Other terms for customers we’ve had great luck with over the years are “member”, along with “subscriber.” It’s amazing how much the staff’s attitude changes and improves when the “member” is calling vs. the “customer” calling, and the call is being sent to a “Healthy & Fit Counselor” instead of a “rep” or “sales guy.” While this may not seem real important, we feel it is very important as it adds to that WOW experience your clients will be enveloped in! 11. We think that various new training tapes or target market materials (like golfers, skiers, etc.) should be developed and sold, but we think that you should greatly reduce the academic character that is dominates in the Jason Andrews written and video material we’ve seen. Academicians even bore other academicians. But actual people outside of academia will never stay awake through such a presentation. There’s no emotional connection, no human emotion, no testimonials, success stories, before/afters, etc. For example, while we only saw part of the new golf material in draft form, it looked to both of us as being very clinical and dry. If you really want to get golfers to come on board, you’re going to have to offer info that is of the same Emotional Direct Response variety that hits them in their hearts. The stuff we saw was very professional, but would be unlikely to profitably convert people into clients, in our opinion. 12. The Web Site. We went into your site and have the following observations. You must understand that a web site isn’t supposed to serve as an automated order taker as its primary function. Sure, you will get some orders off the net without talking to, or otherwise interacting with the clients. But, the majority of its usefulness comes from using it as another forum for direct response advertising. It certainly can’t hurt to try to get enough information up to sell people off the web, but our experience with web sites has shown that the biggest success comes from getting surfers to request more info and have it delivered via real


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do as an immediate upsell to someone who hasn’t been exposed to more marketing and who hasn’t made a connection from a newsletter where he’s read that Arnold or Pamela use some line of vitamins or whatever. Of course, since we don’t know anything, you could test them to see if they fly. Whatever you do, you must get a few different things tested as far as upsells. Think about the numbers for a second. If you only upsold 15% of the buyers, that would be 2,400 upsells per month, and if the average upsell was only $49, that would be an additional $117,600 of gross revenue without adding any real measurable expense, since you have them on the phone already! 10. We suggest that some thought be given to developing new names for clinical customers, fitness customers, and sales reps. This simple change can create a totally different atmosphere and relationship in-house and between buyer and seller. Again, the best example is Disney who calls employees “cast members” and customers “guests.” We suggest you think about “counselors or consultants” for the reps, because it alters their feelings about themselves, and puts them into being helpful explainers, instead of “salespeople.” Customers could be called “clients”, which is a more sophisticated relationship than that with a customer. Other terms for customers we’ve had great luck with over the years are “member”, along with “subscriber.” It’s amazing how much the staff’s attitude changes and improves when the “member” is calling vs. the “customer” calling, and the call is being sent to a “Healthy & Fit Counselor” instead of a “rep” or “sales guy.” While this may not seem real important, we feel it is very important as it adds to that WOW experience your clients will be enveloped in! 11. We think that various new training tapes or target market materials (like golfers, skiers, etc.) should be developed and sold, but we think that you should greatly reduce the academic character that is dominates in the Jason Andrews written and video material we’ve seen. Academicians even bore other academicians. But actual people outside of academia will never stay awake through such a presentation. There’s no emotional connection, no human emotion, no testimonials, success stories, before/afters, etc. For example, while we only saw part of the new golf material in draft form, it looked to both of us as being very clinical and dry. If you really want to get golfers to come on board, you’re going to have to offer info that is of the same Emotional Direct Response variety that hits them in their hearts. The stuff we saw was very professional, but would be unlikely to profitably convert people into clients, in our opinion. 12. The Web Site. We went into your site and have the following observations. You must understand that a web site isn’t supposed to serve as an automated order taker as its primary function. Sure, you will get some orders off the net without talking to, or otherwise interacting with the clients. But, the majority of its usefulness comes from using it as another forum for direct response advertising. It certainly can’t hurt to try to get enough information up to sell people off the web, but our experience with web sites has shown that the biggest success comes from getting surfers to request more info and have it delivered via real


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methods like express or priority or even regular mail. Long sales letters, recorded messages, and videos and other proven direct response selling materials just don’t have the same impact yet on-line as they do when they arrive at your home. We’ve seen this be true for all kinds of companies, for the time being. Not to say that as time goes by the net may deliver materials of the same impact as real printing or real tapes in a real envelope...but for now, it still seems to work better as a lead generator in general. Accordingly, we suggest the following to improve the overall effectiveness of the site: A. Get Arnold and Pamela on the home page (every page) if you can. Since they are strongly connected with 5-STAR/HR, their smiling faces and nice bodies would help people remember that your deal is the same one they saw on TV. (Yes, lots of people will come to your site and have recollection that the machine they saw on TV is the same one as being seen on the site. It’s hard to believe, but you cannot go broke underestimating the public’s intelligence or common sense, but you can by overestimating their intelligence!) B. Put teaser copy on the home page, and any other, if not every page. For example, when a person gets into the site, if they saw Arnold and Pamela asking them if they’d, “Like to have Pamela show you the biggest mistake people make when trying to get in shape, and how avoiding this mistake can increase your speed of getting fit 4-1/2 times, and cause you to lose 5-10 pounds in only two weeks? Then click the response box below, and we’ll get you out this shockingly simple secret to getting fit that not one in a thousand fitness experts has a clue about, and if they did know, wouldn’t want you find out because it would put the Health Rejuvenators and the trainers out of business!” This could drive them to register and capture all the contact info, and get them the promised secret along with the right kind of response marketing materials. This type of teaser stuff should be all over the site, and they should be able to plug into it on any page without having to return to the home page. C. The copy describing the products is, well, clinical and professional. It needs to be rewritten as direct response copy. It’s the same copy as in some of your real marketing materials, so any changes made there could be incorporated here. (For example, on one page the headline is, “How Health Rejuvenator Works.” In our opinion, that headline would work a lot better if it was benefit oriented like, “How Health Rejuvenator Got Me In Such Great Shape In Only A Month That My Wife Can’t Keep Her Hands Off Me, And Says It’s Like Having An Affair With Her Husband!” or whatever.) Benefits attract more attention than features or things you think are interesting, but most people don’t like how the machine works. It’s important, but not up front. Similarly, most of the copy on each page begins with clinical and/or feature/technically oriented copy, and any good benefit copy is buried at the end, as if it’s an afterthought. If you don’t grab’em by the throat right up front, most people will never get to the benefit stuff because they will quit way before they get there! D. In general, all the comments about other copy we’ve covered elsewhere apply here as well. Things like


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methods like express or priority or even regular mail. Long sales letters, recorded messages, and videos and other proven direct response selling materials just don’t have the same impact yet on-line as they do when they arrive at your home. We’ve seen this be true for all kinds of companies, for the time being. Not to say that as time goes by the net may deliver materials of the same impact as real printing or real tapes in a real envelope...but for now, it still seems to work better as a lead generator in general. Accordingly, we suggest the following to improve the overall effectiveness of the site: A. Get Arnold and Pamela on the home page (every page) if you can. Since they are strongly connected with 5-STAR/HR, their smiling faces and nice bodies would help people remember that your deal is the same one they saw on TV. (Yes, lots of people will come to your site and have recollection that the machine they saw on TV is the same one as being seen on the site. It’s hard to believe, but you cannot go broke underestimating the public’s intelligence or common sense, but you can by overestimating their intelligence!) B. Put teaser copy on the home page, and any other, if not every page. For example, when a person gets into the site, if they saw Arnold and Pamela asking them if they’d, “Like to have Pamela show you the biggest mistake people make when trying to get in shape, and how avoiding this mistake can increase your speed of getting fit 4-1/2 times, and cause you to lose 5-10 pounds in only two weeks? Then click the response box below, and we’ll get you out this shockingly simple secret to getting fit that not one in a thousand fitness experts has a clue about, and if they did know, wouldn’t want you find out because it would put the Health Rejuvenators and the trainers out of business!” This could drive them to register and capture all the contact info, and get them the promised secret along with the right kind of response marketing materials. This type of teaser stuff should be all over the site, and they should be able to plug into it on any page without having to return to the home page. C. The copy describing the products is, well, clinical and professional. It needs to be rewritten as direct response copy. It’s the same copy as in some of your real marketing materials, so any changes made there could be incorporated here. (For example, on one page the headline is, “How Health Rejuvenator Works.” In our opinion, that headline would work a lot better if it was benefit oriented like, “How Health Rejuvenator Got Me In Such Great Shape In Only A Month That My Wife Can’t Keep Her Hands Off Me, And Says It’s Like Having An Affair With Her Husband!” or whatever.) Benefits attract more attention than features or things you think are interesting, but most people don’t like how the machine works. It’s important, but not up front. Similarly, most of the copy on each page begins with clinical and/or feature/technically oriented copy, and any good benefit copy is buried at the end, as if it’s an afterthought. If you don’t grab’em by the throat right up front, most people will never get to the benefit stuff because they will quit way before they get there! D. In general, all the comments about other copy we’ve covered elsewhere apply here as well. Things like


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before/after pictures would be killer on the site. Testimonials and endorsements, pictures of recognized famous users etc., all need to be on the site. E. How about contests, or other curiosity provoking and involvement devices to keep people interested on the site and requesting more info or registering for a promotion to win something, thus capturing their contact info for follow-up, and so on. This site, as most sites we look at, isn’t much fun. Getting people involved with contests, quizzes, giveaways, etc. give people a reason to come, a reason to stay, and a reason to return! 13. Joint ventures. We won’t spend a lot of time discussing this here, because the concept needs to be developed more in conversations, but there are probably dozens of companies that have customers who would buy HR’s and other stuff you guys offer, and who you should cut deals with to sell their stuff to your customers, or you could swap lists with for free, etc. For example, a golf company may want to offer a “golf specific” version of a HR to their golfing customers. A health newsletter company may want to offer a Healthy & Fit System to its subscribers. A vitamin mail order house may want to do the same. Conversely, there may be all kinds of products/services that you guys really like and agree with, and which your clients might readily buy from you if they could get a deal by going through you instead of buying at a higher price elsewhere, or because they never heard of it until you turned them onto it, and which you have no interest in trying to copy or create or service yourself. You do have a few products like this, but you should really proactively seek as many joint ventures as the leverage they provide can be awesome. (Also selling to/through competitors. Yes, we have recommended and done it ourselves, and sometimes it works great and other times it doesn’t.) There are all kinds of ways to structure joint ventures. So, as you explore this, each one could be looked at individually. 14. Chiropractors. We suggest not spending too much time with this market for now, since if you implement our recommendations over the next year or so, we imagine you’d be busy enough without trying to figure out what’s up with these guys...and so far, they seem to be a tough crowd, so why spend time and money with them when you have so much money that’s infinitely easier to get. III. Review of Action Plan and Checklist The Basic Goals Of The Health Rejuvenator Action Plan Include: Testing for and uncovering ways to successfully motivate PT’s who love the HR to refer patients. Capturing more non-buying PT’s through various Emotional Direct Response marketing activity. Turn existing infomercial customers into “Lifelong Customers” producing a very predictable and very profitable long-term back-end oriented company.


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before/after pictures would be killer on the site. Testimonials and endorsements, pictures of recognized famous users etc., all need to be on the site. E. How about contests, or other curiosity provoking and involvement devices to keep people interested on the site and requesting more info or registering for a promotion to win something, thus capturing their contact info for follow-up, and so on. This site, as most sites we look at, isn’t much fun. Getting people involved with contests, quizzes, giveaways, etc. give people a reason to come, a reason to stay, and a reason to return! 13. Joint ventures. We won’t spend a lot of time discussing this here, because the concept needs to be developed more in conversations, but there are probably dozens of companies that have customers who would buy HR’s and other stuff you guys offer, and who you should cut deals with to sell their stuff to your customers, or you could swap lists with for free, etc. For example, a golf company may want to offer a “golf specific” version of a HR to their golfing customers. A health newsletter company may want to offer a Healthy & Fit System to its subscribers. A vitamin mail order house may want to do the same. Conversely, there may be all kinds of products/services that you guys really like and agree with, and which your clients might readily buy from you if they could get a deal by going through you instead of buying at a higher price elsewhere, or because they never heard of it until you turned them onto it, and which you have no interest in trying to copy or create or service yourself. You do have a few products like this, but you should really proactively seek as many joint ventures as the leverage they provide can be awesome. (Also selling to/through competitors. Yes, we have recommended and done it ourselves, and sometimes it works great and other times it doesn’t.) There are all kinds of ways to structure joint ventures. So, as you explore this, each one could be looked at individually. 14. Chiropractors. We suggest not spending too much time with this market for now, since if you implement our recommendations over the next year or so, we imagine you’d be busy enough without trying to figure out what’s up with these guys...and so far, they seem to be a tough crowd, so why spend time and money with them when you have so much money that’s infinitely easier to get. III. Review of Action Plan and Checklist The Basic Goals Of The Health Rejuvenator Action Plan Include: Testing for and uncovering ways to successfully motivate PT’s who love the HR to refer patients. Capturing more non-buying PT’s through various Emotional Direct Response marketing activity. Turn existing infomercial customers into “Lifelong Customers” producing a very predictable and very profitable long-term back-end oriented company.


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Convert a profitable percentage of infomercial non-buyers into buyers, and eventually turn them into Lifelong Customers as well.

Develop The Personal Trainers BizOp through Emotional Direct Response marketing. Improve on the interactive potential of the HR website through Direct Response Ad copy. Create a new category of fitness that you guys become the first player in. Develop more benefit oriented USP’s. Begin a process of segmenting your database into definable and distinct categories of customers. Implement “stick” systems to decrease refunds and increase back-end sales. Develop more user-friendly ongoing training materials. Do all this very scientifically through careful testing and only expanding winners. These Goals Will Be Achieved Through The Following Specific Recommendations:


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Convert a profitable percentage of infomercial non-buyers into buyers, and eventually turn them into Lifelong Customers as well.

Develop The Personal Trainers BizOp through Emotional Direct Response marketing. Improve on the interactive potential of the HR website through Direct Response Ad copy. Create a new category of fitness that you guys become the first player in. Develop more benefit oriented USP’s. Begin a process of segmenting your database into definable and distinct categories of customers. Implement “stick” systems to decrease refunds and increase back-end sales. Develop more user-friendly ongoing training materials. Do all this very scientifically through careful testing and only expanding winners. These Goals Will Be Achieved Through The Following Specific Recommendations:


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Medical Market

Date Initials Done Accept Reject _______________ 1. Develop a Direct Response oriented newsletter which cultivates a relationship with, and presents emotional, altruistic, caring reasons why the Health Rejuvenator loving PT, might suggest to his patients that they should consider purchasing a HR unit. _______________2. Guru-fy Bill, John, or both, or someone else who can fill the bill, in order to develop a personality with whom your PT clients can really identify with. _______________3. Scientifically break through the psychological log jam that makes PT’s resist referring patients to HR. _______________4. Develop a program along the line of the AAA Rehabilitation And Management System, in order to clearly demonstrate to PT’s that a patient referral is not being encouraged for monetary reasons, but for the honest to goodness, long-term well being of their patients. This program must be understood as 5-STAR’s active contribution to resolving the managed care crisis. Emotional Response copy will need to be developed to make this work. _______________5. Develop emotional, direct response orientated literature to support AAA Rehabilitation And Management System. _______________6. Advantageously bundle products together for improved perception and consumption. _______________7. Develop a Special Referral Generation Kit for PT’s to market themselves to doctors who refer patients and want to be assured that the job is being completed 100%, despite the managed care dilemma. _______________8. With a well-known PT, develop an endorsed mailing program in order to maximize predictability and profitability of a direct mailing. _______________9. Reposition the way commissions are offered, turning them into a “The Customer Care Program” designed to compliment AAA Rehab And Management System. _______________10. Develop emotional, Direct Response lead generation ads to run in PT publications.


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Medical Market

Date Initials Done Accept Reject _______________ 1. Develop a Direct Response oriented newsletter which cultivates a relationship with, and presents emotional, altruistic, caring reasons why the Health Rejuvenator loving PT, might suggest to his patients that they should consider purchasing a HR unit. _______________2. Guru-fy Bill, John, or both, or someone else who can fill the bill, in order to develop a personality with whom your PT clients can really identify with. _______________3. Scientifically break through the psychological log jam that makes PT’s resist referring patients to HR. _______________4. Develop a program along the line of the AAA Rehabilitation And Management System, in order to clearly demonstrate to PT’s that a patient referral is not being encouraged for monetary reasons, but for the honest to goodness, long-term well being of their patients. This program must be understood as 5-STAR’s active contribution to resolving the managed care crisis. Emotional Response copy will need to be developed to make this work. _______________5. Develop emotional, direct response orientated literature to support AAA Rehabilitation And Management System. _______________6. Advantageously bundle products together for improved perception and consumption. _______________7. Develop a Special Referral Generation Kit for PT’s to market themselves to doctors who refer patients and want to be assured that the job is being completed 100%, despite the managed care dilemma. _______________8. With a well-known PT, develop an endorsed mailing program in order to maximize predictability and profitability of a direct mailing. _______________9. Reposition the way commissions are offered, turning them into a “The Customer Care Program” designed to compliment AAA Rehab And Management System. _______________10. Develop emotional, Direct Response lead generation ads to run in PT publications.


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_______________11. Develop emotional, Direct Response oriented sales letters (reports) to compliment and support the ads being placed in PT publications. _______________12. Develop a Direct Response PR program designed to create actual, trackable sales. _______________13. Segment your medical database in order to make maximum use of targeting strategies. _______________14. Cultivate the Lifelong Customer value of all HR loving PT’s.

Consumer Market Date Initials Done Accept Reject _______________1. Develop a sequential, Direct Response newsletter (Arnold and Pamela if possible) in order to begin cultivating the Lifelong Customer potential of your existing infomercial clientele. (See enclosed examples) _______________2. Develop flyers and sales literature to pitch other back-end products that the existing Health Rejuvenator customer will have the opportunity to buy. (See enclosed examples) _______________3. Promote and cultivate membership to the National Healthy And Fit Association in order to help cement the relationship that is in the process of forming. _______________4. Segment the consumer database in order to maximize targeting strategies. _______________5. Develop a series of follow-up sales letters (see enclosed reports) aimed at converting a profitable percentage of the non-buying callers into buying callers. Test to determine profitability of steps.


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_______________11. Develop emotional, Direct Response oriented sales letters (reports) to compliment and support the ads being placed in PT publications. _______________12. Develop a Direct Response PR program designed to create actual, trackable sales. _______________13. Segment your medical database in order to make maximum use of targeting strategies. _______________14. Cultivate the Lifelong Customer value of all HR loving PT’s.

Consumer Market Date Initials Done Accept Reject _______________1. Develop a sequential, Direct Response newsletter (Arnold and Pamela if possible) in order to begin cultivating the Lifelong Customer potential of your existing infomercial clientele. (See enclosed examples) _______________2. Develop flyers and sales literature to pitch other back-end products that the existing Health Rejuvenator customer will have the opportunity to buy. (See enclosed examples) _______________3. Promote and cultivate membership to the National Healthy And Fit Association in order to help cement the relationship that is in the process of forming. _______________4. Segment the consumer database in order to maximize targeting strategies. _______________5. Develop a series of follow-up sales letters (see enclosed reports) aimed at converting a profitable percentage of the non-buying callers into buying callers. Test to determine profitability of steps.


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Personal Trainer’s BizOp Date Initials Done Accept Reject _______________1. Develop Direct Response ads to run in Personal Trainer and or other bus. op. publications. _______________2. Develop a series of sequential sales letters (reports) designed to convert ad responders from interested callers into active clients. _______________3. Develop a “turnkey”, do it all for them program required by any successful BizOp. _______________4. Develop a Monthly, Direct Response newsletter to support the Personal Trainers BizOp. _______________5. Develop complimentary flyers and literature describing other things the trainers have the opportunity to buy while participating in the program.

General Suggestions Date Initials Done Accept Reject _______________1. Recast the sales department as a counseling, and problem solvers department in order to change the mindset of the sales people from selling to helping and to developing relationships. _______________2. Seriously examine what happens when someone gets a 5-STAR/Health Rejuvenator product starting with the WOW experience, and develop ways to improve on it. _______________3. Retool warranty card concept to improve response and to get more information. _______________4. Develop a “category” of fitness (how about Healthy & Fit) in which to be the leader. _______________5. Develop a Unique Selling Proposition (USP) to answer the “why should I do business with you” question that we talked about in San Diego a couple weeks back.


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Personal Trainer’s BizOp Date Initials Done Accept Reject _______________1. Develop Direct Response ads to run in Personal Trainer and or other bus. op. publications. _______________2. Develop a series of sequential sales letters (reports) designed to convert ad responders from interested callers into active clients. _______________3. Develop a “turnkey”, do it all for them program required by any successful BizOp. _______________4. Develop a Monthly, Direct Response newsletter to support the Personal Trainers BizOp. _______________5. Develop complimentary flyers and literature describing other things the trainers have the opportunity to buy while participating in the program.

General Suggestions Date Initials Done Accept Reject _______________1. Recast the sales department as a counseling, and problem solvers department in order to change the mindset of the sales people from selling to helping and to developing relationships. _______________2. Seriously examine what happens when someone gets a 5-STAR/Health Rejuvenator product starting with the WOW experience, and develop ways to improve on it. _______________3. Retool warranty card concept to improve response and to get more information. _______________4. Develop a “category” of fitness (how about Healthy & Fit) in which to be the leader. _______________5. Develop a Unique Selling Proposition (USP) to answer the “why should I do business with you” question that we talked about in San Diego a couple weeks back.


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_______________6. Rename the Ab Developer and the Autocane. _______________7. Develop a “stick program.” _______________8. Make use of more testimonials including “Before and After” photos and stories and third party comments. _______________9. Develop and test a series of Upsells, which may include HR accessories, Tapes of the Month, etc. _______________10. Change names for clinical and fitness customers, as well as employees. _______________11. Develop a series of follow the leader training tapes including ones for particular sports. _______________12. Retool the website with Direct Response orientation. _______________13. Cultivate joint venture possibilities. _______________14. Chiropractors when we get to them.


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_______________6. Rename the Ab Developer and the Autocane. _______________7. Develop a “stick program.” _______________8. Make use of more testimonials including “Before and After” photos and stories and third party comments. _______________9. Develop and test a series of Upsells, which may include HR accessories, Tapes of the Month, etc. _______________10. Change names for clinical and fitness customers, as well as employees. _______________11. Develop a series of follow the leader training tapes including ones for particular sports. _______________12. Retool the website with Direct Response orientation. _______________13. Cultivate joint venture possibilities. _______________14. Chiropractors when we get to them.


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IV. Summary Appendix A. Literature received and our comments on it. 1. The Health Rejuvenator Challenge. We like it lots especially the “compare and contrast” strategy. 2. The Healthy & Fit Video Presentation. All the testimonials come off very strong, and as a general observation, Paul Allen comes across less clinical/academic, more down to earth than Jason Andrews. 3. Chiropractic Presentation. Jason Andrews is clinical. 4. Massage Therapist Presentation. Jason Andrews is clinical. 5. Endorsements Video. It didn’t work in our machine for some reason. 6. Body You’ve Always Wanted. Bill’s video explanation of the assembly procedure is lots easier to follow than the printed variety in the institutional model package. 7. Beginners, Intermediate, and Advanced Workout Tapes (and accompanying literature). Our main reaction to all of these is that the information was excellent, although the presentation was very clinical and often used terminology that will be over the head of the average client (prime movers, stabilizers, etc.) They also make it very hard for a person to use, because of the explanatory nature, as opposed to a “do this” approach. 8. Functional Equipment Video Catalog. Still clinical and academic, although realizing the necessity of this when talking to the PT market. We thought Paul Allen came across more down to earth and more accessible than Jason Andrews. 9. Autocane Brochure. Informative, but conventional presentation. 10. Ab Developer Literature. Informative, but conventional presentation. 11. Follow-Up Literature for those that didn’t buy from the infomercial. It has more kick and is very informative, but we think it needs a Direct Response formulation and treatment to improve the presentation and the results. 12. Medical Follow-Up Package (including 4 color, 10 page fold out brochure, accessories holder flyer, installation notice re: video, warranty card, exercise chart, price list, resistance levels chart, assembly


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IV. Summary Appendix A. Literature received and our comments on it. 1. The Health Rejuvenator Challenge. We like it lots especially the “compare and contrast” strategy. 2. The Healthy & Fit Video Presentation. All the testimonials come off very strong, and as a general observation, Paul Allen comes across less clinical/academic, more down to earth than Jason Andrews. 3. Chiropractic Presentation. Jason Andrews is clinical. 4. Massage Therapist Presentation. Jason Andrews is clinical. 5. Endorsements Video. It didn’t work in our machine for some reason. 6. Body You’ve Always Wanted. Bill’s video explanation of the assembly procedure is lots easier to follow than the printed variety in the institutional model package. 7. Beginners, Intermediate, and Advanced Workout Tapes (and accompanying literature). Our main reaction to all of these is that the information was excellent, although the presentation was very clinical and often used terminology that will be over the head of the average client (prime movers, stabilizers, etc.) They also make it very hard for a person to use, because of the explanatory nature, as opposed to a “do this” approach. 8. Functional Equipment Video Catalog. Still clinical and academic, although realizing the necessity of this when talking to the PT market. We thought Paul Allen came across more down to earth and more accessible than Jason Andrews. 9. Autocane Brochure. Informative, but conventional presentation. 10. Ab Developer Literature. Informative, but conventional presentation. 11. Follow-Up Literature for those that didn’t buy from the infomercial. It has more kick and is very informative, but we think it needs a Direct Response formulation and treatment to improve the presentation and the results. 12. Medical Follow-Up Package (including 4 color, 10 page fold out brochure, accessories holder flyer, installation notice re: video, warranty card, exercise chart, price list, resistance levels chart, assembly


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manual). Full of information, but the presentation looks too much like everyone else (conventional) to convey to readers how truly unique this product really is. 13. Home Packet (including 4 color, 6 page foldout brochure, warranty card, levels chart to calculate resistance, notice to watch tape before assembling, beginners suggested workout, exercise chart for tracking progress, assembly manual, HR exercise chart, circa 1973). Again, it’s very informative, but the conventional presentation does not convey the uniqueness of the Health Rejuvenator Experience. 14. Press Kit (including price list, color slide of HR, 3 black and white photos of Bill, John, and the Health Rejuvenator, 3 models color brochure with testimonials, 6 page, 4 color consumer brochure, agency written press releases, bios of Bill and John, 8 page color brochure, Corporate fact sheet, Company History). Informative and very conventional. 15. Third-Party Endorsement Package. Very impressive and very useful in a variety of ways. 16. Physical Therapist’s Patient Referral Brochure. Conventional presentation. 17. Personal Trainer Biz Op Literature. Needs Direct Response treatment and kick.


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manual). Full of information, but the presentation looks too much like everyone else (conventional) to convey to readers how truly unique this product really is. 13. Home Packet (including 4 color, 6 page foldout brochure, warranty card, levels chart to calculate resistance, notice to watch tape before assembling, beginners suggested workout, exercise chart for tracking progress, assembly manual, HR exercise chart, circa 1973). Again, it’s very informative, but the conventional presentation does not convey the uniqueness of the Health Rejuvenator Experience. 14. Press Kit (including price list, color slide of HR, 3 black and white photos of Bill, John, and the Health Rejuvenator, 3 models color brochure with testimonials, 6 page, 4 color consumer brochure, agency written press releases, bios of Bill and John, 8 page color brochure, Corporate fact sheet, Company History). Informative and very conventional. 15. Third-Party Endorsement Package. Very impressive and very useful in a variety of ways. 16. Physical Therapist’s Patient Referral Brochure. Conventional presentation. 17. Personal Trainer Biz Op Literature. Needs Direct Response treatment and kick.


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***sample of a direct response PR piece***

FOR IMMEDIATE RELEASE FOR FURTHER INFORMATION CALL JOHN SMITH AT 800-555-7890

“San Diego Physical Therapist Discovers Remarkable Method Of Assuring Patients Finish Treatment...

In Spite Of All The Managed Care Pressure!”

When Managed Care slashed funds BEFORE patients fully recovered, PT Paul Allen used to get totally frustrated. Then, last November he implemented a program called “AAA Rehabilitation And Management System.” Since then his patients have been working on routines designed to be finished at home, when Managed Care pulls the financial rug out from under them. As a result, Paul’s patients get completely rehabbed, doctors who refer patients know the rehab job is completed 100%, and instead of being frustrated, Paul’s been able to truly help patients not only to recover, but to stay healthy as well! Allen, a highly respected and decorated 20-year veteran of the PT field confesses, “When Manage Care and Cost Containment became the dominant influences in California health care, my patients were being cut off left and right. Then, several months ago, I initiated AAA Rehabilitation And Management System, which allowed patients to work at home when they got cut off. Now I tell patients not to worry about managed care and show them how to finish up at home despite the Managed Care problem.” Allen gives a powerful and insightful interview. He’ll tell your readers...exactly how he was feeling

before he implemented his completion program, what specific incidents caused him to entertain new ways of beating the system, how what Paul did can be initiated by any PT who wants to do it, which patients benefit the most, which patients benefit the least, how referring doctors have reacted to the program, why Paul has regained the enthusiasm and devotion to PT that had been lost in recent years. To schedule an interview with Paul, or to get more information on AAA Rehabilitation And Management System, call 1-800-555-7890. You and your readers will be thrilled to learn about the innovations being developed in the midst of the current crisis, and how they can find a simple solution to an apparently difficult problem.

###


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***sample of a direct response PR piece***

FOR IMMEDIATE RELEASE FOR FURTHER INFORMATION CALL JOHN SMITH AT 800-555-7890

“San Diego Physical Therapist Discovers Remarkable Method Of Assuring Patients Finish Treatment...

In Spite Of All The Managed Care Pressure!”

When Managed Care slashed funds BEFORE patients fully recovered, PT Paul Allen used to get totally frustrated. Then, last November he implemented a program called “AAA Rehabilitation And Management System.” Since then his patients have been working on routines designed to be finished at home, when Managed Care pulls the financial rug out from under them. As a result, Paul’s patients get completely rehabbed, doctors who refer patients know the rehab job is completed 100%, and instead of being frustrated, Paul’s been able to truly help patients not only to recover, but to stay healthy as well! Allen, a highly respected and decorated 20-year veteran of the PT field confesses, “When Manage Care and Cost Containment became the dominant influences in California health care, my patients were being cut off left and right. Then, several months ago, I initiated AAA Rehabilitation And Management System, which allowed patients to work at home when they got cut off. Now I tell patients not to worry about managed care and show them how to finish up at home despite the Managed Care problem.” Allen gives a powerful and insightful interview. He’ll tell your readers...exactly how he was feeling

before he implemented his completion program, what specific incidents caused him to entertain new ways of beating the system, how what Paul did can be initiated by any PT who wants to do it, which patients benefit the most, which patients benefit the least, how referring doctors have reacted to the program, why Paul has regained the enthusiasm and devotion to PT that had been lost in recent years. To schedule an interview with Paul, or to get more information on AAA Rehabilitation And Management System, call 1-800-555-7890. You and your readers will be thrilled to learn about the innovations being developed in the midst of the current crisis, and how they can find a simple solution to an apparently difficult problem.

###


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“How A San Diego Physical Therapist Went From Being A Frustrated Tool Of Managed Care Bureaucrats...To A Hero In The Eyes Of Her Patients In Only Two Months!” San Diego - Karen has been a PT for nine and a half years, and is getting so that she hated many days in the clinic...as opposed to her pure joy coming into work each day when she first got started. With each passing year, instead of the pride and deep personal reward she got from helping people get their life put back together...she felt more and more like a pawn in managed care’s game of business chess. It tore her up when she had to let a very incomplete rehab protocol end, because some idiot bureaucrat has determined that there’s only x amount of visits and treatment necessary for the average patient.

She Got Sick To Her Stomach Every Time She Was Forced To Cut A Treatment Short

“How did it ever get so these dweebs in suits decide how I treat my patients?” Karen used to say to herself regularly, as she escorted another unfinished patient out the door for good. GOD, how she wished there was something she could do! She can’t afford to finish patients up for free, or even for a reduced fee, because her margins are so thin as it is!

AAA Rehab And Management System

A couple of months ago, Jim, a friend Karen went to school with said he’d never had more fun and had more patients gratitude for a job well done. She was stunned, and asked him how he was getting patient’s protocols completed when most people couldn’t afford to continue once cut off. He told her he had become an affiliate of the AAA Rehabilitation And Management System sponsored by 5-STAR. He said he’d heard about it in a professional journal, and decided he had no reason not to explore it, and requested their FREE Special Confidential Report and Video Info-Pak. He saw how simple it is to beat the managed care accountants, and regain the appreciation of patients who not only can afford to complete their treatment...but can actually get on a long-term, permanent recurrence prevention and maintenance program! Karen was so excited she immediately got the same FREE Info-Pak, and in only a couple of months, had found the spark and true love of PT that attracted her into this amazingly rewarding profession in the first place! You can discover what Karen and Jim found by calling 1-888-333-5546, 24 hours, toll-free, for a FREE recorded message, and to get your FREE Info-Pak sent out to you immediately! CALL NOW, so you can join Karen and Jim, and fall in love with PT and its rewards all over again! Discover what the accountants will never tell you!


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“How A San Diego Physical Therapist Went From Being A Frustrated Tool Of Managed Care Bureaucrats...To A Hero In The Eyes Of Her Patients In Only Two Months!” San Diego - Karen has been a PT for nine and a half years, and is getting so that she hated many days in the clinic...as opposed to her pure joy coming into work each day when she first got started. With each passing year, instead of the pride and deep personal reward she got from helping people get their life put back together...she felt more and more like a pawn in managed care’s game of business chess. It tore her up when she had to let a very incomplete rehab protocol end, because some idiot bureaucrat has determined that there’s only x amount of visits and treatment necessary for the average patient.

She Got Sick To Her Stomach Every Time She Was Forced To Cut A Treatment Short

“How did it ever get so these dweebs in suits decide how I treat my patients?” Karen used to say to herself regularly, as she escorted another unfinished patient out the door for good. GOD, how she wished there was something she could do! She can’t afford to finish patients up for free, or even for a reduced fee, because her margins are so thin as it is!

AAA Rehab And Management System

A couple of months ago, Jim, a friend Karen went to school with said he’d never had more fun and had more patients gratitude for a job well done. She was stunned, and asked him how he was getting patient’s protocols completed when most people couldn’t afford to continue once cut off. He told her he had become an affiliate of the AAA Rehabilitation And Management System sponsored by 5-STAR. He said he’d heard about it in a professional journal, and decided he had no reason not to explore it, and requested their FREE Special Confidential Report and Video Info-Pak. He saw how simple it is to beat the managed care accountants, and regain the appreciation of patients who not only can afford to complete their treatment...but can actually get on a long-term, permanent recurrence prevention and maintenance program! Karen was so excited she immediately got the same FREE Info-Pak, and in only a couple of months, had found the spark and true love of PT that attracted her into this amazingly rewarding profession in the first place! You can discover what Karen and Jim found by calling 1-888-333-5546, 24 hours, toll-free, for a FREE recorded message, and to get your FREE Info-Pak sent out to you immediately! CALL NOW, so you can join Karen and Jim, and fall in love with PT and its rewards all over again! Discover what the accountants will never tell you!


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The End


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The End

surgeon's income manual

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