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Creating Your Massive Action Marketing Plan – Part 1

It’s long been said that “if you cannot measure it-you cannot manage it.” Nowhere is this more true than with direct and internet marketing campaigns, where the necessity of examining what works and what doesn’t directly influences the bottom-line.

In today’s competitive marketplace-it’s critical that you make the most of your marketing efforts. A great way to accomplish this is with a solid marketing plan, combined with a marketing calendar. It sounds like common sense, but some things that are simple aren’t always easy-however, they can be with the right strategy.

If you’re like most of the businesses we work with you want to grow your business? Maybe you want to introduce a new product or service? Or differentiate yourself from the competition… or maybe you just want to sell more to your current and new customers…

Well, you’re watching the right show. Grab your note pad and pen and let’s get started!

I’ve used a four-step system to measure performance & generate millions of dollars sales. It starts with a basic understanding of these four questions.

Second question: 2. How many of these prospects get converted into customers?

The third question is: 3. “What’s the up-front profit on the first sale?

And the forth question is 4. “What’s the long-term value of the customer/client?”

Can you answer those questions about your business? Take them into consideration as you implement new marketing strategies.

To apply this system, select a specific promotion and then track your results!

For example, if you send a postcard mailing to 2,500 prospects and the mailing cost is $ .65 each, then the answer to question #1 is $1,625 dollars. That’s (2,500 x .65).

If you get 50 new customers from the mailing, then you know how many leads were converted and have the answer to question #2. Take the 50 Customers divided by the 2500 prospects and you get a conversion rate of 2% percent. That’s (50 / 2500 = .02 or 2%)

If you earn $100 on the first transaction-you raised $5,000, that’s (50 customers x 100 each=5,000) and you have the answer to question #3. This also let’s you calculate gross profit on that mailing. Take the $5,000 revenue MINUS the expense of $1,625 and that leaves you with a profit of $ 3,375 dollars.

Next, consider the long-term value of gaining a new 50 customers. Question #4 is the most important question. Sometimes you may lose money or just break-even on the actual promotion, but in the long-run with referrals and repeat sales, you can be very profitable.

Sure there are other considerations too, like the overlap of other promotions, different time frames and the synergistic effect of your other marketing efforts. Don’t let the math scare you. The point is to make sure that your marketing efforts are producing profitable results.

“No one plans to fail… but many fail to plan” Face it. Having a marketing plan saves you money, saves you time, keeps you focused, and says that you’re serious about your business. “Planning without action is futile… Action without planning is FATAL”

Is your business acting without a marketing plan? Do you feel overwhelmed, over-worked, or frustrated trying to get it all done? Well, a marketing plan won’t solve ALL of your problems, but it will help your organization increase the chances of success.

A marketing plan is a road map detailing the route you’ll take to get your business noticed by potential clients. By following a properly crafted plan, you’ll know what to do and why you re doing it, while avoiding some of the mistakes that can cost you money and future growth.

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Author Byline: Ford Saeks, Business Growth Specialist, Keynote Speaker, Author and Consultant. Helping you find, attract, and keep your customers.

January 2, 2009 Posted By : Ford Saeks


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