Business Lyceum

e-Letter
Practical Instruction in the Arts and Sciences of Making Money


Editor/Publisher:  J.F. (Jim) Straw

JULY 2004


Greetings & Salutations:

Just because it's new to you, doesn't mean it's "new."

At least once ... sometimes two or three times ... a year, I am approached by someone with a "revolutionary" idea.  He, or she, absolutely "knows for a fact" that at least ten-jillion people are just dying to get their grubby-little-paws on this thingamajig (product, service, whatever). -- In all too many cases, the "revolutionary" idea they have is already on the market, or it has been tried, and failed, a dozen times before.

Like the time I invested $30,000 in a "new" company that was going to make me rich(er) by selling retrofit mechanisms for casino slot machines. -- According to their proposal, every casino in Nevada had hundreds of 'old' slot machines in storage because the casino couldn't find replacement parts for the old machines. -- They had designed a computerized mechanism; using small servo-motors, that would fit into any make or model slot machine ... replacing the old mechanical mechanism ... making the machine usable again.

Hey ... I checked ... there were hundreds of 'old' slot machines in storage at the casinos.  So, I bought into the company.

What the promoter ... a 'computer' designer ... didn't know, and I didn't find out, was that there were already a wide variety of retrofit mechanisms on the market - and - the 'old' slot machines were in storage because the casino's   customers had quit playing those older models ... opting for the newer models with more bells and whistles.

So, before you pursue a "new" product or service, check it out to be sure it really is "new." -- Just because you've never seen it offered, doesn't mean that someone else isn't making it, selling it, or providing it.

Then again ...

Just because it's not new, doesn't mean it can't be made "new."

If your research reveals that your "revolutionary" idea isn't "new," you still might be able to make it "new," by changing its design, improving its  quality, or adapting its uses. -- Then, it might really be "revolutionary."

Back when I was in the Women's Wig Business, many of our customers had   complained about the effects of static electricity on synthetic-fiber wigs. -- Since the synthetic-fiber used to make wigs is only slightly different from nylon, the "hair" on the wigs would collect static electricity and either stand out in an uncontrollable frizz, or attract dust, bits of paper, and other light debris from the air.

When I received the first flyer offering "Anti-Static Wig Spray," I called and ordered a case ... even though no one in the industry had ever heard of the company offering this "revolutionary" new product. -- Later, talking with the  "inventor," I learned that his wife had told him about the static electricity problem she was having with her wigs.

At first, he had tried to find a way to "ground" the wigs, so they wouldn't collect static electricity. -- That didn't work. -- Then, he noticed a can of an anti-cling spray ... used to eliminate static-cling from clothing ... on the shelf at the store.  He took it home and sprayed it on his wife's wigs.  Voila ... no more static electricity problems.  So, he contacted the manufacturer and had the  anti-cling product private labeled as "Anti-Static Wig Spray."

The rest is history.  He made his fortune before everyone else in the   business discovered anti-cling spray, and began having it private labeled to reduce static electricity on synthetic-fiber wigs.

By the way, his "Anti-Static Wig Spray" ... in the same can as the anti-cling product but with his label ... sold for almost four times the price of the same product sold to eliminate static-cling from clothing.

Not a new product - but - a "new" idea.

New is only new because it hasn't been seen before.


Now, let's do some ...

Questions & Answers, Comments & Other Good Stuff!

Vinodhsen Ethirajulu was in a quandary ...

"I  have bought your finder fees book. -- The content seems to be really terrific.  I say it is terrific because the case studies reflect the real life finder fees situations I met, like bottleneckers, daisy chains, etc. -- Now I have a question. -- Can I use the same tactics to arrange a deal between a Chinese foundry (they supply machine castings to companies like Caterpillar, Cummins, Honeywell in USA) and potential buyers in USA ,though I am in India.  I am particularly fearful about Chinese companies as I heard that they are not bothered about written commitments. --  Is that true? -- I am asking about the commission if the deal goes thru and I follow the rules in your book religiously; not being a bottlenecker or daisy chainer."

Vinodhsen:

Yes ... you can do deals between companies in any country.  If you follow the exact procedure I have outlined in my course, you won't have much trouble.  Just remember, to approach the Chinese company the same way you would any other company and ASK for the commission.  If they don't want to pay  a commission, move  on  to another company that will.

It makes no matter where the company is located ... business is business the world around; when you are dealing with "real" businesses.


Fred Dowell wanted to know ...

"I recently bought your book 'Free and Clear' for $10 and thought it was a good deal.  I had a question about Mail Order. -- Is mail order still viable today or is it beginning to lose out to the internet? -- I noticed I got one flyer from your company, but you seem to be more active on the internet.   Also, I received a lot of material recently about mail order from Melvin Powers.  Some of the testimonials were pretty hard to believe.  I wonder if this is a few years back before the prevalence of the internet.  He or his successors, also promote SMC for their product line. That stuff is flooded on EBay and most of it seems to be kind of 'knick knack' stuff anyway. -- I've come to believe you are a basically honest marketer and wondered if you would critique the other main  Mail 0rder programs (especially M. Powers) with your own."

Fred:

Mailorder ... direct mail  marketing ... is even better today than it has been in years.  Since most of the wannabees and gross amateurs are trying to make their fortunes on the Internet, there is less and less competition in the mail.

Mel Powers has been around longer than I have ... he is one of the real "masters" of the art - and - SMC products are viable, but most of those selling the products don't know what they are doing so they usually don't make much money.  Those who will not learn must face the
consequences of their ignorance.


Tim Hamm was looking for direction ...

"Knowing what you know and from an unbiased opinion, which program among the Power Tools, if you were to start as a business today, has the best profit potential and longevity. -- I'm picking your brain here."

Tim:

Who is the most beautiful woman in the world?? -- Depends upon who's looking, doesn't it?

The same holds true in choosing a business.  The choice depends upon what advantages you seek and what disadvantages you will accept.

It's all in the eye of the beholder.

There are very, very few opportunities that couldn't be the "best" for some one.Ý It is all a matter of persistence.

Look around you. There are millionaires in every field of business endeavor. There are millionaire garbage collectors ... millionaire bankers ... millionaire shop keepers ... millionaire day-care operators ... millionaire internet marketers ... etc., etc., etc.

As Albert Einstein said, "Anyone can be a genius, if they pick just one specific subject and study it diligently just 15 minutes each day."

The same holds true in business. -- Just pick one specific business. Do it every day until you do it successfully.

Most people don't fail, they just fail to stick with any ONE thing until they have mastered it.

As Benjamin Disraeli said, "The secret to success is the constancy of purpose."

What would be "best" for me ... since I have a very high risk threshold ... wouldn't be the "best" for anyone seeking any kind of security; or privacy.

To succeed in business, you must leave your comfort zone and tread into untried waters ... willing to take the risks.

It will have to be a decision you make.


Lateef Olajide said ...

"I just finish packaging my new free ebook titled "Zero To Hero." -- Your Subscribers can download a FREE copy."

"Zero To Hero"

Exclusive interview with 7 top Net Marketers Spilling their Guts, revealing absolute truth about doing business on Internet. -- Plus Success Stories and super marketing tips.

Get your personal copy FREE, at:

http://www.lateefolajide.com/zerotohero.html


David Maleney was looking for a way to market his services ...

"As someone who produces quality products and has tons of experience, I thought you would be the ideal person to ask for advice. -- I run a bathroom suite repair business.  I don't re enamel the baths but I can remove any stain, repair chips and restore the gloss level.  I thought it would be a good idea to approach local shopkeepers and suggest leaving leaflets on a 10% commission basis.  I've got an A4 size ad for the shopkeeper to place in the window.  This describes my services and tells the reader to ask inside the shop for details, where the shopkeeper can hand out a leaflet to the reader. -- I don't know what it's like in America, but here in England, local shopkeepers don't like a hard sell, so I am trying to find a way to approach them without putting them off. -- I have paid to put postcard ads in shop windows which have given me a very poor response. -- I also supply materials to Bath Refinishers, but they are slow to order and I need to find a way to get them to order on a regular basis. -- I would be grateful for any advice or resources that could help me.  I don't want to send out my 5 year old daughter and 3 year old son to work!"

Dave:

Sorry to tell  you this - but ...

The method you are using ...   having shopkeepers hand out flyers (even at a 10% commission) ... is highly ineffective unless the "shop" relates directly to bathroom fixtures.  Otherwise, the potential customer has no immediate need for; or interest in,  having their bathroom repaired.  You'll just waste the expense of having the flyers printed.

Suggest you use much the same flyers - but - distribute those flyers door-to-door in older neighborhoods; where the bathrooms probably haven't been touched in years.  Receiving the flyer at home, the home owner will walk into their bathroom and see for themselves that it needs repair ... creating their own "immediate interest" in your services.  (Same expense ... more productive.)

Another way, would be to pay the 10% commission to the Girl Scouts (Girl Guides in England, I think).  Have them distribute the flyers in the older neighborhoods and give them the commission  on any resulting orders. -- You might  do the same with other non-profit organizations that may be looking for fund raising programs.

Then again ... send your 5 years old daughter out door-to-door with your flyers.  Have her knock on the door and tell the person who answers the door,  "My Daddy wanted me to give this to you."  (Just kidding ... but, it would be highly effective.)

Hope that gives you some ideas.


Arthur Abel needed some advice ...

"I have went through the course "Finder Fees". -- I am a little bit confused on something.  I realize that the best way to make money in this field is through sales people. -- My confusion lies with where and how to find the buyers for these salespeople??"


Arthur:

Going  through sales people is just ONE way to increase your catalog of "suppliers" who will  pay you a fee for sending them a customer. -- Not necessarily the best way - but - one way it can be done.

If you want to use sales people as your primary suppliers, here's how I  did  it  ...

At one time, I had about 25 sales people who sold various kinds of retail merchandise for display in various retail stores.

The companies for which those sales people worked provided them with leads generated by their advertising to specific categories of stores.

I simply figured out unusual places where they could establish displays of the merchandise they were selling.

As an example:  One of the sales  people had racks  of "sunglasses" that they placed in retail clothing stores and drug stores.  I figured the sunglasses  would sell well in "automotive stores" to drivers.  So, I wrote a letter to all of the automotive stores asking them if they would  consider selling sunglasses in their store.  I turned the responses over to the sales person and he established accounts with those stores  and paid my fee.

Figure out where the sales person "isn't" selling their products or services.  Then, approach those places.


Ed Williams asked ...

"I wanted to ask you if there were any Good Gifting Programs that were worthy of participating.  Please use your contacts to find out what ever you can and share it with us. -- I constantly receive stuff like this every day in the mail. The only program I thought was credible was called THE LAST PROGRAM. It really explained the CASH GIFTING PROGRAM IN GREAT DETAIL."

Ed:

No matter what they say, "Gifting" programs are nothing more than glorified chain letters.

They can't put them out of business as fast as they start up.


Cathy Qazalbash was ready to get started ...

"I have just completed your mail order book and really enjoyed it.  I am very keen to start but I have just a couple of questions. -- Firstly how much money would I need to make a realistic start with mail order marketing?  I have $500 put aside for this purpose right now. -- Secondly would it be possible to sell digital products with this kind of marketing, or should I stick to hard goods? -- Thirdly I am planning on starting a subscription letter.  Is this a viable form of marketing for this product and what would be the best subject to build a subscription letter around? -- Making Money is quite a large subject. -- I currently publish 2 free newsletters online one about marketing and the other on starting home businesses. -- Could I get really targeted subscribers for my newsletters by  mail order marketing.  If so how would I do this? -- Lastly how easy would it be for me to do copywriting for mail order companies?  I currently write Ad Copy and Articles for online business promotion. -- Is it really very different?  I understand I would need to partner with a graphics expert. -- I am sorry for all these questions but I am cautious by nature in business and would like to start right."

Cathy:

You can start with $500  ... it  will just take you a little longer to build  your  customer base.  More money might be spent unwisely anyway.

Really, you can sell any kind  of products by mailorder ... as I have.  As  a matter of fact, email marketing is only mailorder with  a few
differences.

You can learn all about publishing a newsletter in the January, 2003, issue of my e-Letter, at:

Jan03.html

The subject of your newsletter should be something you know about  and for  which you can find other  people who have the same interest.

To get subscribers to your  online newsletters by mail, simply do a mailing offering the newsletter... just  as you  would for any other product.

Copywriting is a good field - BUT  -  it is one of  the hardest fields to get into  profitably.   Most successful ad copywriters start out by doing  ad copy for free.  Then, when they have built a reputation, they can use what they have done to  prove their ability.


Joe Bridges sent me a review copy of ...

"Tips & Tricks of the Trade for Profiting in Futures"

I read it. -- It's pretty straightforward ... provides methods, techniques and strategies that you can use in the Stock, Futures and Forex markets right now! -- These methods work in any market and any time frame.

Check it out, at:

http://www.trade2bfree.com


Deitrick Barr has something to share with  you ...

"I have been a reader of your newsletter every since I purchased your "How to Get Filthy Rich Selling Real Estate You Don't Own" a few years ago. -- Thanks to you I got into real estate using your great information.   I'm still doing it and making money. -- I have something I would like to pass on to your subscribers that would like to make money in real estate. -- With this program all you have to do is find property for an Investor real estate group and they will pay you $1,000 to $25,000 if they purchase the property that you located for them.  It does not cost anything to join this program to make money in real estate helping this company out.  All they ask is if you would not send them bogus information about the property.  They will even teach you if you don't know anything about Real estate. -- Thanks once again for your great information that changed my life!"


Okay, Gang ... you check it out at:

http://www.A-Legit-Business.com


Well ... that's it for this month. -- In order to make every issue responsive to YOUR needs, please send me your questions; or tell me what sources or resources you need to build your business; or give me any thoughts you want to share with your fellow members.

Believe it or don't ... I ain't a mind-reader. -- If'n you doesn't tell me what you need, I may never touch upon the information, sources or resources you need.

This is your publication for you to use to your benefit ... I am just your moderator.

 Until next month, keep well ...

J.F. (Jim) STRAW
Grande Panjandrum


Thoughts For The Month!

"There is a great difference between knowing and understanding: you can know a lot about something and not really understand it." --Charles F. Kettering


"To live a creative life, we must lose our fear of being wrong." -- Joseph Chilton Pearce


Can you stump the old master? -- Betcha can't!

Over the past 40 years (man and boy), I have made bundles of money in direct selling, service contracting, wholesale merchandising, entertainment (I was a professional Trumpet player, vocalist & Radio Announcer), freight forwarding, import/export, retail merchandising, warehousing, real estate, electronics manufacturing, finder's fees, closeout merchandising, financial brokerage, business consulting, steel fabrication, gold and coal mining, offshore banking, mailorder, writing, and publishing. -- That being the case ...

No matter what business you're in ... whether you're just starting, well on your way, or at the top of the heap ... I've probably been where you are, done what you are doing. -- So ...

Anytime you have a question about 'how' to do something in your business - or - if you have any comments about anything I've said in issues of this e-Letter; or if you want to add your 2 cents worth ... just "ask" me or "tell" me.

Send your Questions, Comments or 2 Cents Worth to ...

with "Question" - "Comment" - or, "2 Cents Worth" in the SUBJECT.

If I, personally, don't have an answer to any question you may ask, I will contact some of the professionals in your field of endeavor (I will probably know one or more personally) to get the real 'skinny' for you.

Note: If you want to ask a question anonymously just tell me so when you send in the question. -- Nobody but you and I will know who asked the question.


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