Business Lyceum
e-Letter
Practical
Instruction in the Arts and Sciences of Making Money
NOVEMBER 2000
Greetings & Salutations:
Hey ... I just thunk this one up:
Business, business, quite capricious,
How do you make it grow?
One sale at a time, with constant purpose,
And duplicates all in a row.
That says it all. -- There ain't any more. -- That's all there
is.
It doesn't matter whether you're talking about the "Fortune
500," or a work-at-home Mom, that little ditty is the
foundation of ALL business success.
Every business only makes "one sale at a time."
-- There may be a thousand customers line up to buy your product,
or service, but each customer represents only "one sale;"
whether that sale is one unit or a thousand units ... it is still
just "one sale."
The first requisite to business success is to find one (just
"one") product, or service, that sells, and Sells,
and SELLS. Then, just keep on selling it ... that's where
the constancy of purpose comes in.
Benjamin Disraeli said, "The secret of success is
constancy of purpose."
Once you have "one" (just "one") product,
or service you can sell profitably ... no matter what it is,
or how small the profit ... you are on a solid road to success.
But ...
As Mark Twain once said, "The problem with success
is it goes around disguised as hard work."
Unfortunately, most people do not "fail" at business.
In the vast majority of cases, they just quit. In some
cases, they don't find just "one" product, or service,
they can sell profitably, consistently - but - in most cases,
even when they have "one" product that sells, they
just don't keep-on keeping-on.
Why? -- Simply because they honestly believe the "business
fairy tales" about making millions upon millions of dollars
selling "one" product to a gazillion people, overnight.
Therefore, when the "one" product they are selling
doesn't make them great-gobs of money ... immediately ... they
quit and begin looking for something else to sell that will.
Over the past 30+ years in mailorder, I have seen it happen
time and time again. -- I have had dealers for some of my products
who started earning good commissions ... $200 to $500 per month
... almost immediately. Then, they just stop.
When I have asked those dealers why they quit, I invariably
get the same answer, "It wasn't making enough money.
I want something that will pay me thousands of dollars each month;
not a few measly hundreds." -- Then, I have watched them
chase that same rainbow for years, and years, and years.
Here's a little illustration:
Let's pretend that I mail 1,000 flyers and make a "real"
profit ... after all expenses ... of $100. -- Not much money,
is it? -- But, if 1,000 flyers make me $100; 10,000 flyers will
(statistically) make me $1,000; 100,000 flyers will make me $10,000;
and 1,000,000 flyers will make me $100,000. (By the way,
that's the "real" way it works in the "real"
mailorder business.)
The problem arises with the seeming "hard work"
that comes with mailing 1,000,000 pieces.
Unfortunately, novices in the mailorder ... or any other ...
business look at the added "hard work" involved in
duplicating their efforts as though they would continue doing
everything the same way they did it on the smaller scale. --
They envision themselves sitting at the kitchen table trying
to address, stuff and stamp 1,000,000 envelopes. Or, they
envision hiring a hundred people to address, stuff and stamp
1,000,000 envelopes. (Where will they ever get the money
to pay those people?)
With those visions in their head ... I call it "kitchen
table thinking" ... they decide ...
"It ain't worth it. I'll just keep looking for
something to sell that makes a ton of money with less effort,
just like the big-boys told me they do."
Hey! -- When I started in mailorder, I had more than a few
shekels in my jeans - but - I was unsure of myself and didn't
know whether or not mailorder was a way to go. So, instead
of dumping a big bundle of long-green on mass mailings I was
unsure of, I decided to just put 100 pieces in the mail each
day ... until I knew what I was doing would work. -- I actually
addressed, stuffed and stamped 100 envelopes each evening for
the next day's mailings.
As the money began coming in ... every so slowly at first
... I computed my costs and, thankfully, showed a profit.
It wasn't anything to brag about - but - it was a "profit."
Since I was making a (very) small profit on my 100 piece per
day mailings, I increased my mailings to 200 pieces per day ...
still addressing, stuffing and stamping the envelopes myself
each evening.
When my 200 pieces per day mailings maintained about the same
"profit per envelope mailed," I began mailing 500 pieces
per day; then 1,000 pieces per day. -- I bought an addressing
machine first (one of those smelly mimeograph kind); then a postage
meter, to reduce my personal labor.
Even with the addressing machine, and postage meter, at the
1,000 pieces per day level, I was really working my tail off
to get my mailing out each day. Then, it happened ...
On a visit to my printer; to get some more mailers printed,
I told him how hard I was working to get my mailings out each
day. He told me about a typing service ... right in my
home town ... that would do all that work for me; on a per-piece
basis.
At that time, I was making about 30¢ profit on every
envelope I put in the mail. The typing service only wanted
6¢ apiece to do the work for me. So, using their service,
I was still making 24¢ per envelope ... without doing all
the work myself.
Later, I bought my own printing presses, sophisticated addressing
machines, postage metering machines, inserters, etc., and hired
people to run that machinery for me.
I simply found ways to "duplicate" my efforts; rather
than trying to multiply myself. But, if I had envisioned
doing it ALL by myself, I might well have done as most novices
do and quit before I ever succeeded.
Okay! Let's talk about ...
Duplicating Your Efforts!
(Not Multiplying Yourself)
Sometimes I daydream about having six men exactly like me.
I wouldn't have to teach them anything; or oversee their work,
just turn'em loose and let'em go. -- Wouldn't that be loverly?
But, it ain't gonna happen.
No matter how hard you try, you can "duplicate your efforts,"
but you cannot "multiply yourself."
For example, what if Henry Ford had decided to "multiply"
his company. He would have had to put a "Ford"
manufacturing plant in every city in the U.S.; selling "Ford"
automobiles right off each production line. -- Instead, he kept
the manufacturing plant in Michigan and "duplicated"
the "sales effort," by putting a "sales agency"
in every U.S. city. -- See the difference?
The same holds true in most businesses. That's why we
have franchises, chain stores, agents, dealers, distributors,
associates, affiliates, and sales people of all kinds. -- Why
try to "multiply," when you can "duplicate?"
No matter what business you have, in order achieve the ultimate
success, you must find a way to duplicate your efforts.
Since most of you are involved in either Mailorder or Internet
Marketing, that means the only way you have of duplicating your
efforts is by employing ...
Dealers & Distributors!
Dealers and distributors who will ultimately take your products,
or services, into the homes and offices of your potential customers
across the country. But ...
Where & How Do You Find Them?
Until just a couple weeks ago, my answer would have been,
very simply, "Advertise" for them - but - one of my
dealers inadvertently gave me the "key" to getting
more dealers and distributors.
For the past 15 years, I have had mailorder dealers selling
subscriptions to my paper & ink newsletter; "WorldWide
Business Exchange." -- In order to become a dealer,
they must be a paid subscriber themselves.
When they sign up for a dealership, I send then a packet of
master copies of flyers they can use to sell subscriptions. --
One of those flyers is entitled, "Wanted - Mailorder
Dealers." It sells subscriptions to my newsletter and
lets the respondent sign-up for a dealership at the same time
... with the dealer who sold them the subscription earning the
commission. (NO, it's not MLM. The dealer
only gets paid for the subscriptions they sell.)
A couple weeks ago, I got a harsh note from one of my dealers.
-- He had been selling a few subscriptions ... earning a few
commissions ... but decided to change to the dealers wanted flyers;
instead of the straight subscription flyers he had been using.
-- His complaint was that he had mailed 2,000 of the dealers
wanted flyers and not received one (not even one) new subscription
from that mailing.
It was a puzzlement. -- I thunk and I thunk. What could
have caused it? Then it dawned on me.
When I called the dealer back, I asked him only one question,
"What list did you mail the flyer to?" -- He answered
that it was the same list that had been buying subscriptions
all along. -- That was his mistake.
Since the flyer he was using was headed, "Wanted -
Mailorder Dealers," if the list he was mailing was directed
to people who weren't interested in "mailorder," or
in becoming "dealers," the mailing was wasted. -- So
...
When you are trying to enlist dealers, or distributors, for
your product, or service, make sure you ...
Market to People Who Want to be
Dealers!
Don't try to market your dealerships ... even if the dealership
is free ... to people who have not shown an interest in becoming
dealers, or Internet marketing, or Mailorder marketing. -- Don't
waste your money advertising to people who are interested in
any of the other thousands of business opportunities. If
they are not interested in Internet or Mailorder marketing; or
dealerships in general, they are not candidates for your dealership
offers.
Of course, you can used either ...
Direct or Indirect Advertising!
Direct advertising is just what you might imagine ... like
my "Wanted - Mailorder Dealers" flyer ... directly
soliciting people to become dealers to sell subscriptions to
my newsletter. -- That flyer indirectly sells subscriptions
to the newsletter.
On the other hand, we put a similar "Wanted - Mailorder
Dealers" flyer in with the newsletter circulation 2
or 3 times a year. That flyer works to indirectly sign-up
dealers from those people who were already reading the newsletter.
-- In the parlance, that indirect recruiting is called ...
Retail Recruiting!
As a matter of fact, 20 years ago I made a ton of money using
"Retail Recruiting" in some Multi-Level Marketing (MLM)
programs.
Unlike most of the others who were dealers, I NEVER
tried to recruit dealers or distributors for any of the programs
I was involved with. -- Instead, I sold the product, or service,
without even mentioning the MLM program. Then, after the
product was shipped, the customer was offered the opportunity
to participate as a dealer (or whatever).
One MLM program produced over $20,000 per month in commissions
for me - but - I NEVER got involved in the MLM program.
I NEVER recruited any dealers or distributors. -- I just
sold the service and some of those customers chose to participate
in the program ... to my profit.
That's how you get dealers (distributors, associates, affiliates),
but ...
How Do You Make Them Work For You?
Simple answers ... you don't ... you can't ... and you won't.
-- It is impossible to push a man up a rope.
Have you ever heard it said that 20% of your sales people
will produce 80% of your business. Well, that's wishful
thinking when you are talking about mailorder (or Internet) dealers.
Over the years, I have signed-up tens of thousands of dealers
for my various products and services ... one program had over
100,000 (that's right, One Hundred Thousand) registered dealers
but that was a fluke. -- How many of them have made money? --
Maybe 2% of them; at best.
In the deal that had over 100,000 registered dealers, there
were about 1,500 of them earning commissions ... most of them
earning $10 to $20 per month ... maybe a dozen of them earning
$100 to $500 per month ... and 2 or 3 or them making $5,000 (or
more) per month ... with one of them regularly earning over $10,000
per month. -- My all-time BEST dealer (selling another of my
services) consistently turned from $50,000 to $100,000 per month.
Remember what Mark Twain said, "The problem with success
is it goes around disguised as hard work."
Becoming a drop ship dealer (of any kind; for anything) is
much like religion ... Ever'body wants to go to heaven, but
nobody wants to die.
At one time, I even tried "motivating" my dealers
by offering them incentives and bonuses, and using all of the
other methods of motivation taught by the great gurus of positive
thinking. -- Guess what! -- All of the incentives and bonuses
went to the very same people who were already producing.
So, if you are employing dealers, distributors, associates,
affiliates, or whatever ...
Don't Try to Motivate'em ... Fire'em!
Instead of wasting your time and money trying to get "do-nothings"
to do something, spend your time helping and assisting those
who are already doing what they should be doing. Make it
easier, more profitable, less burdensome, for your productive
people.
Do nothing to encourage the "do-nothings." -- You
may be able to inspire them to "dream bigger dreams"
but you will never inspire them to do what is necessary to their
success. But, when one of them does start producing ...
even on a limited basis ... jump right in with your support and
encouragement.
Now, go back to the beginning and reread the little ditty
I writ ... it will have far more meaning to you now.
Ever'body Asks!
There isn't a month goes by that someone doesn't ask, "Hey,
Jim, what ezines do you read regularly?"
Okay ... here's one of my favorites (I'll tell you
about my other favorites in future issues).
I really like ...
MONDAY MEMO!
Published by IAPO
International Association for
Professionalism Online
ISSN: 1526-9108, Library of Congress
jl scott, ph.d. - Publishing Editor
http://www.IAPOnline.org
http://i-Cop.org
And ... MONDAY MEMO! is no longer free. It is now 'Helpware.'
Each week you must help one person on the web who has less knowledge
than you. Pick a newsgroup posting or an email each week and
help that person even if you have to visit their site to find
the best answer or do a little research and get back to them.
Trust me, this will make you feel better, and will help a lot
of people get their sites running better.
To subscribe, send a blank message.
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
Marketing Genius
Did you watch the Olympic Games in Australia? -- If'n you did,
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Free publicity. -- Contact is looking for Distributors for Australian
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U.S.$40 ... postage & handling included. -- Contact:
GRAEME LANHAM, P.O. Box 288, Greenwood, Western Australia
6024 - AUSTRALIA
Thoughts For The Month!
"You cannot teach a man anything; you can only help
him to find it within himself." -- Galileo
"A prudent question is one-half of wisdom."
-- Francis Bacon
No Paid Advertising!
We DO NOT accept 'paid advertising' in the "Business
Lyceum e-Letter." -- Why? -- Because, when you offer
'paid advertising,' you are obligated to run the ad, or have
a valid excuse for not running it. (An excuse that will
hold-up in court because all too many people like to sue for
any seeming slight.) Therefore ...
Any time you see something offered in the "e-Letter,"
you can bet your bippy I am telling you about it because it is
something I, personally, would recommend to my friends and family.
-- It's here because I like it; not because I am being
paid to tell you about it -- BUT -- that does not mean
that I don't accept payment in the form of commissions (never
in advance) from some of the offers I tell you about.
'Nuff said?
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.
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Copyright - 2000, J.F. (Jim) Straw. All rights reserved.