Repeat business is the name of the game
Monday, May 5, 2008 | | |In the division of your budget available to spend on advertising for the quarter or year, you should consider research in four
levels. Here is an approach for using your money wisely and efficiently:
A level:
The existing customers - you're already making money from them and it is easier and more likely they will spend more or purchase
new products. The keep abreast of all the changes and innovations. Repeat business is the name of the game Spend 40% - 50%
your budget on them.
Level Two:
Graves prospects - these people have not purchased, but still came close. They have made several enquiries, browsed your
store or a Web site or received a citation and a need to push for a buyer / client. Spend 25% on your budget.
Level Three:
Casual prospects - these people have done an investigation, sent a postcard back and requested literature, but you've never heard
again - they need more prodding. Take 15% -20% of your budget on them.
Level Four:
The rest of the world - these are people selling in your world that you've never heard and are not sure if they ever
be a customer. Spend 10% -12% of your budget on them.
The part of the budget that you are spending at each level of two to four attempts to move people for the greatest
level until they become customers. The part of your budget you are spending on one level, your customers, is to maintain
and try to sell more. Keep a list computer for each level and move the perspective of the scale, we hope
the list of customers. Be sure to remove from the list lower level or you will you be duplication and waste of precious
advertising dollars.
levels. Here is an approach for using your money wisely and efficiently:
A level:
The existing customers - you're already making money from them and it is easier and more likely they will spend more or purchase
new products. The keep abreast of all the changes and innovations. Repeat business is the name of the game Spend 40% - 50%
your budget on them.
Level Two:
Graves prospects - these people have not purchased, but still came close. They have made several enquiries, browsed your
store or a Web site or received a citation and a need to push for a buyer / client. Spend 25% on your budget.
Level Three:
Casual prospects - these people have done an investigation, sent a postcard back and requested literature, but you've never heard
again - they need more prodding. Take 15% -20% of your budget on them.
Level Four:
The rest of the world - these are people selling in your world that you've never heard and are not sure if they ever
be a customer. Spend 10% -12% of your budget on them.
The part of the budget that you are spending at each level of two to four attempts to move people for the greatest
level until they become customers. The part of your budget you are spending on one level, your customers, is to maintain
and try to sell more. Keep a list computer for each level and move the perspective of the scale, we hope
the list of customers. Be sure to remove from the list lower level or you will you be duplication and waste of precious
advertising dollars.
