© 2013 Copyright MT2 Ltd Speed Marketing re produced or ALL RIGHTS RESERVED. No part of this report may be reproduced transmitted in any form whatsoever, electronic, or mechanical, including photocopying, photocopying , recording, or by any informational info rmational storage or retrieval re trieval system without express written, dated and signed permission from the author. DISCLAIMER AND/OR LEGAL NOTICES: The information presented herein represents the view of the author as of the date of the publication. Because of the rate with which conditions change, the author reserves the right to alter and update his opinion based on the new conditions. The report is for informational purposes only. While every attempt has been made to verify the information provided in this report, neither the author nor his affiliates/partners assume any responsibility for errors, inaccuracies or omissions. Any slights of people or organizations are unintentional. If advice concerning legal or related matters is needed, the services of a fully qualified professional should be sought. This report is not intended for use as a source of legal or accounting advice. You should be aware of any laws which govern business transactions or other business practices in your country. Any reference to any person or business whether living or dead is purely coincidental.
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Foreword "This Changes Everything” This book is like having a treasure map that says ‘dig here’ directly directly over a king’s ransom in gold. I first studied with Richard Petrie back in 2007 and I can directly attribute the success of my company, MedRecruit, to applying what I learned from him. Since then we have been featured in the Deloitte Fast 50 for the past four consecutive years, after entering in 2009 as the Fastest Growing Business Services Business and the second fastest growing business in New Zealand, and last year I was named the Ernst & Young – young Entrepreneur of the Year. Richard is one of the smartest marketers I have ever come across and this book is the distillation of his very best work. If you are sick of getting just average results in your business, or if you’re getting good results but want outstanding results, then you are reading the right book. But don’t just read; act. This book will not do the digging for you; you will have to apply what you learn. But this book does give you the best marketing formula I have ever seen to literally guarantee exceptional results. Enjoy applying this and joining the 1% of business owners who are getting 99% of the rewards. If you actually do what is written in this book, you WILL crank up your businesses.
Dr. Sam Hazledine, Medrecruit Ernst & Young – Young Entrepreneur of the Year
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Inside You’ll Discover 6 Silver Bullets…
Bullet #1 The Dirty Little Secret (Ad Agencies Don’t Want You To Know): Why traditional marketing no longer works. Page 10 Bullet #2 Magic Numbers Page 15 Bullet #3 Buying Clients: How to buy growth at speed Page 19
Bullet #4 The Starving Crowd How to identify the best types of clients to target Page 22
Bullet #5 The Irresistible Offer How sell your product or service in 5 seconds or less Page 25 Bullet #6 The Secret Of The Monkey’s Fist How to get the your ideal prospects calling requesting your help Page 28
Bullet #7 Zen And The Art Of Pricing How to charge higher prices than any of your competitors Page 33
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"What does money like? Money likes speed. That's the secret few know about money. Money comes to those who act fast. If you think, wonder, question, doubt, plan, meet, discuss, or in any other way drag your feet, money goes to the next person in line." < Joe Vitale
“30 days from now you will either be 30 days older or you will be well on the way to earning the income you deserve” < Richard Petrie
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Let's say there is a huge treasure hidden on a small Island somewhere at sea. That means, there are millions of possible places to look but only one holds the treasure. Then, let's say I spend 10 years day and night searching every single island until one day we hit the right one. Then, suppose I write the correct directions on a piece of paper and give it to you. There it is. In less than 3 seconds, you have reaped the benefits of 10 years of my hard work. All you have to do is follow the map and DIG … And the treasure is yours.
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Welcome To A ‘Treasure Map’ My mother taught me, with the threat of a long handled hairbrush, that when a doctor prescribes the medicine that you better darn well take it. In the forward to this book the good Dr Sam Hazledine prescribes ‘This book is like having a treasure map that says ‘dig here’ directly over a king’s ransom in gold…. If you actually do what is written in this book, you WILL crank up your businesses.’
If this book is the treasure map, then the Action Sheets are the shovel. Sadly the map and the shovel won’t get you to the gold coins. I hate to say this but you are going to have to dig. Yes, sweat a little, feel uncomfortable at times, lose some skin but the reward will be extra ordinary. WARNING The good news for you is that 90% of people who buy a book don’t get past the first chapter. Isn’t that amazing? I am not talking about implementing – I am talking about finishing reading the book. This book is designed for action-takers ready to make their competition cry. If you have the ability to follow the map all the way to the treasure, you will receive riches far beyond any effort exerted. Any lost skin along the way will feel like a badge of success. As Gary Halbert once said ‘Movement beats meditation’. Intentions, discussions, re - planning, waiting for things to be perfect does NOT work. Implementation of these strategies does. My first Speed Marketer Of The Year Sam Hazledine’s strategy was…. “I am going to take whatever you give me and implement it and see what happens”. In other words ‘Tell me where to dig and I will dig’. Other marketer of the year winners like Andreas Becker, Steve and Carol Strain, Prue Hamill, Graham Wilkinson and Mandy Lacy, Isobel Wilson, Eryn Cutler and Jonothan Beckingsale, Grant Moir, Ron Vink, Richard, Claire and Chrissy Hutchinson all taught me that the world belongs to those who take rapid action. Reading this book will make you the smartest marketer in the room but firing the bullets will make you the richest. Don’t delay and remember…
‘Money likes speed’
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What If Everything You Have Been Taught About Selling Was Wrong? This book won’t just change your business – it will change your life.
By taking all the ACTIONS outlined in this book you will increase your income by at least 400% this year That is a bold statement. How can I be so confident? Because everything else you have tried has been based on lies or misinformation. Yes, everything you have been taught about selling and marketing is wrong. Everything you see big companies do will not work for you. Your competitors are all doing slight variations of the same wrong thing. If you follow the crowd you will end up getting slaughtered because people are following people who are following people who are lost. Since I have helped hundreds of clients make millions of dollars, please refer to the statement above and IF ACTED ON you WILL experience income growth faster and easier than you ever imagined. If you want the testimonial proof, go to www.speedmarketing.co.nz @A* &3*)2& *)35 B3C*2 C$3D2 )2&2E F2*GC (2* C*&3'()* *# *)2 H23*I You are about to receive an education that few will ever get, even if they paid tens of thousands of dollars to an ‘expert’. Upon completion of this course, here are some things that will happen. 1. You will change the way you get your clients 2. You will change the way you communicate your value to your marketplace 3. You will change your current advertising and marketing and never go back to the old traditional way 4. You will be able to charge higher prices than your competition 5. You will be able to generate more leads in a week than you attracted last year 6. You will be smarter than anyone else in your industry about what really works. In fact you will chuckle when you see competitors waste money on branding and any non-measurable image based advertising. 7. You will never go back to the old way of selling.
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Bullet #1 The Dirty Little Secret (Ad Agencies Don’t Want You To Know)
‘I know fifty percent of my marketing works. If only I knew which fifty percent I would be rich’
PT Barnum
The advertising fat cats choked when my article was published in InBusiness magazine. Why? Because it exposed their dirty little secret. Three agencies submitted counter articles the following month to the editor. Frankly I don’t mind because every word is true. Why am I telling you this? Because I am embarrassed by the marketing industry. Daily I see business owners who have wasted thousands of dollars on ineffective advertising or marketing in unsuitable publications because so called “experts” have agendas other than your financial success. Once you have inoculated yourself against the misinformation and industry B.S. by reading the article below, we can get started. Here is the article that caused the stink. There is the dirty little secret in advertising ***Traditional advertising does not work anymore*** Yip, “does-not-work” , you read right! OK here are the two main reasons why…. 1. Congestion Just 10 years ago the average consumer received 1,000 commercial messages per day.
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Today the average consumer receives over 3,000 commercial messages per day. Business spends three times more money on marketing today than it did 10 years ago. Yet customer penetration has been reduced by 50%. 2. Inoculation to marketing messages First, you must understand why some of what you have been taught about marketing is wrong, or at least outdated and incomplete. Most of the few great books on advertising were written more than a generation ago by legends such as John Caples, David Ogilvy, Claude Hopkins and one or two others. Most of their response-boosting secrets remain valid. However their main teaching is that promoting big benefits are the key to success. But here’s the problem. These giants wrote this advice long ago when, compared with today, prospects were under-marketed to. So, yes, back then, flat-out big promises and words like FREE and NEW got people excited. In the 1950s if your company was advertised on TV, you had instant credibility and became a famous brand. The rich could get richer and life was simple. But today, more often than not, super-sized claims instantly trigger rejection. These days words like FREE and NEW and the big-claim style of advertising have been so overused that they have become bright red f lags that instantly scream to your prospects, ‘throw me away’! Just ask yourself, do you get overly excited when you encounter an email trumpeting some fantastic claim to make you rich, change your life overnight or grow body parts bigger than you ever dreamed? Of course not. You have heard such claims too many times. Your own exquisitely sensitive mental spam filter rejects all such messages instantly.
90% Of Ads Are Losers For the reasons above, when you go to the local newspaper, realise that 90% of the ads you see are losers, meaning the advertiser do not cover their cost. What makes matters worse is that advertisers do not even know how ineffective their ad was because using traditional advertising methods they have no way to measure how it performed.
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As PT Barnham said once “I know 50% of my marketing works… if only I knew which 50% I’d be rich”. Marketing agencies and media reps will have told you ‘you just need to get your name out there’ or ‘you need to build your brand first and build your image’, and until today you may have nodded your head like an obedient puppy. Listen bucko, the only thing you NEED to do is to make a profit from each ad, building an image is secondary to getting a sale or generating a lead. Do I mean branding is not useful at all? No, it is useful when you have millions of dollars to invest in building the image of your business in the mind of your buyers and can afford to get no measurable results in the short term. Running that strategy is for the big boys who pump millions into looking good instead of getting an immediate dollar return. Think of the great brands like Apple, Coke or Nike. How much do you think they have to spend to look good? As a business owner you are being conned into adopting branding strategies that require VERY deep pockets to pull off successfully.
Why Advertising Agencies Don’t Advertise Advertising agencies are very keen to spend your money on advertising but consider this, how many ads do you see in the paper or TV for advertising agencies? Not many if any, right? Don’t you think that’s a little strange that they don’t eat their own dog food? Well how do advertising agencies get their clients if not by advertising? The answer may surprise you… because it is predominantly cold calling, referrals, schmoozing and responding to tenders. Go to the Wellington yellow pages and see how many advertising agencies there are. I count about 60 listed with phone numbers only. How many ads do you think they use? Three. That’s right, three, and they are pretty small. Check it out for yourself. What do you think they know about advertising that they are not telling you? Like I said, they have a dirty little secret.
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Most agency creative’s are young, straight out of university and have never done a days real selling in their life. When they tell you they want to start the ad with a catchy jingle, ask yourself “If I walked into an office to sell face to face, would I sit down across from my prospect and sing a catchy song?” Unlikely! When they tell you that you need plenty of white space so you must limit the word count to no more than a hundred words in the ad, ask yourself “If I sent a salesperson out to a prospect would I tell her she had to stop what she was saying once she reached a hundred words?” Unlikely, you say what you need to say to get the job done.
***Traditional advertising does not work anymore***
What Is The Solution? Good advertising is nothing more than “salesmanship in print”. The best creators of money producing ads are almost always ex salespeople because to sell using only paper and ink requires an outstanding understanding of buyer psychology, NOT creativity! You only get that experience by running thousands of tests with live customers under battle conditions… this is what sales people do everyday. The job of your ad is to sell, not be clever or make people laugh but to get the prospect to put their hand into their wallet and pull out their credit card. Always make an offer that can be measured because there is a clear call to action. For example, ‘buy one get one free’ or ‘bring in this coupon to redeem your special deal.’
As you can imagine, for most ad agencies tracking branding or creative work back to sales is like shining a light on a vampire. Creative agencies prefer to hide in the shadows.
Brand Marketing vs. Measurable Marketing There are two types of marketing …the traditional ‘get your name out there’ Branding. This is almost impossible to measure and any results are based on
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anecdotes and guesswork. And secondly the less promoted direct response marketing, which is 100% measurable.
Why do you think they prefer branding a business or using image based ads? Here are some reasons. 1) 2) 3) 4) 5)
Branding by and large cannot be measured Branding takes a lot of time and creative hours to produce Branding makes you look pretty Branding allows people to talk a lot, workshops, surveys, focus groups Branding allows an ad agency or creative team to win industry awards without the client needing to actually sell anything. 6) Because branding is creative and not measurable it allows creative people to turn up to work unshaven wearing jeans
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Bullet #2 Magic Numbers
‘You cannot control what you do not measure’
Imagine you are driving to an important meeting 5 minutes early. Then all of a sudden the car starts to splutter. You coast to the side of the road as the car loses power. Confused you call a mechanic to come and fix your car. ‘Do you know why the car lost power? ’ The mechanic asks. ‘No idea’ you respond. ‘Good news sir’, he says. ‘You are just out of petrol – I can give you enough to get to a petrol pump’.
Now 10 minutes late for your big meeting you detour your journey at speed towards a petrol station when a police car pulls you over. ‘Do you know how fast you were going? The officer asks. ‘No idea’ you respond. ‘Well you were going 75 in a 50kph zone. That will be a $200 fine and 100 demerit points on your license, and I see you already have 200 demerit points so that will probably cost you your license too’.
Now you are 30 minutes late for the big meeting with a big fine and a big date in court. You drive off slowly this time to fill the tank and the car starts to splutter again! As you call the mechanic again you know petrol cannot be the problem. The mechanic arrives and immediately asks 'Do you know why the car stopped this time?' ‘No idea’ you respond.
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'The car is overheating because you don’t have enough oil or water in the engine. Didn’t the indicators tell you the car was getting hot?’ He enquires as if you are stupid. ‘What indicators?’ you respond.
All Your Problems Come Down To ONE Thing You are not stupid. It is just that your car does NOT have any indicators. No speedometer, no temperature gauge, no fuel gauge. No feedback of the key performance indicators of your car. No indicators means no warning signals as you run out of petrol. No indicators mean no warning that the car was over heating. No indicators mean you have no idea of you speed and so you drive too fast. You have now missed your big meeting and a potentially huge sale but that is just the start of your problems. You decide to sell this car with no indicators. But all prospective buyers want to know is ‘How many kilometers does the car have on the clock?’ ‘No idea’ you respond.
Vital Feedback Now let’s imagine you install a dashboard that showed your speed, petrol levels, engine temperature and mileage. Instantly the car has become a safe asset and does not need to be sold. Of course this is just a story to exaggerate my point. No-one would have a car with no indicators. That is just silly. But remember your sales and marketing is also a vehicle that drives revenue and profits. This is also an area that MUST be measured and tracked meticulously. ...Because you cannot control what you cannot measure. A business without sales and marketing indicators can run into trouble as quickly as a car without a dashboard of indicators. If I were to ask you what your current performance indicators were telling you this week and your answer is 'No idea' then we both know why you are having so many problems.
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The only time I really like math is when I am counting my money. But in 10 years of working with clients, I get to see that the rich ones know and play the numbers like a sport. Like picking winners at the track, many marketing questions I get asked cannot be answered without knowing the historical form. For example: “My newspaper ad works pretty good. The media rep is urging me to increase from quarter page to half page. Should I?” My questions have to do with what ‘pretty good’ really is. 1. What is the cost per lead ( CPL) from the ad? (Total cost divided by the number of leads your ad generated)
This is the money spent to get the prospect to raise his/her hand. So if you spend $100 a month and get 10 people call you or go to your website, then your CPL is $10 from that media. 2. What is the cost per sale ( CPS) from the ad? (Total cost divided by the number of clients your marketing exercise generated)
This is a truly critical number that tells you the cost of acquiring each new customer. 3. What is the lifetime customer value ( LCV) from the ad?
This allows you to measure the total value of each new client you acquire. This number also helps you get real about the cost of losing each client and helps you determine what you are willing to invest to acquire and keep them. 4. How do these values compare with other CPL, CPS and LCV from the other means you use to get customers?
That’s just the beginning, but if you can’t at least tell me those, I cannot tell you whether to increase, decrease of eliminate your ad all together. Once you know these numbers you then have a MA-CPS, a maximum allowable CPS and you work at getting as many new ways of bringing in customers as possible to perform at or below that number. Hardly any business owner knows these numbers, although many think they do. Just as a car with no indicators is trouble waiting to happen, so too is a business. If you are buying ad media or investing in marketing without tracking the numbers on a dashboard then you aren’t managing your business. You are guessing your business.
Would you spend $5,000 on a sales person each month and never track his sales?
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Would you invest with an advisor who cannot tell you her current return on her funds invested? Why do people except anything less from their marketing investment? We need to make any marketing we do from now on 100% measurable.
Then we can start to make objective decisions about how to spend money. We can start to back the horses that keep winning rather than the one with the catchy name.
Power is unleashed from ACTION not knowledge. Complete Action Sheet #2 NOW. Money likes speed.
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On day #1 you learned that marketing can be 100% measurable and held accountable for a return on investment when you include and offer with a call to action. Now let’s learn how to buy speed.
Bullet #3 Buying Clients
“Its one thing to get a good looking girlfriend, another to keep her”
You can be either a transaction marketer and sell something to a customer just once… or you can be a relationship marketer and sell them something over and over again. The real money is always on the “back-end”, which is everything you sell after you've made the first sale. Notice how much more profitable Michael’s ‘relationship’ is compared to Bruce’s transactional ‘Hit and Run’.
Sales made
First Second Third Fourth Fifth Lifetime PROFIT
Cost of sale
$10 $2 $2 $2 $2
Bruce’s lifetime sales to Sally (Transactional) $12
$2
Michael’s lifetime sales to Sally (Relationship) $12 $12 $12 $12 $12 $42
It Costs 500% More To Win A New Client Than It Does To Re-Sell To An Existing Client With that in mind, if you can make your first sale (aka front-end) profitable or simply break-even, then you're in the perfect position to start taking on multiples of “new clients” who will, if handled properly, result in an ongoing influx of continual income that will make your bank account explode! Until I learned this simple concept, I was always focused on just making a onetime sale. Even today, with as many marketers that have written about lifetime
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value of a customer, and how much it's been put out there, most companies just simply do not focus on re-selling or retaining the client. The problem is that winning a new client is always more rewarding for the ego. No-one claps when you re-sell an existing client. Transactional marketers spend all their time chasing new customers!!! New customers!!! New customers!!! While they neglect the ones they already have. You need to realise that the most profitable lead is the one that has already given you money!
Broaden What You Sell Okay, let’s say for example that you own a car dealership. To get an idea of how much the average customer will be worth to you over a lifetime of owning your business, let’s take a look at the following diagram. Remember the transactional marketer will only focus on the first sale. But the relationship marketer sees the first sale as the starting point only. Let’s say we realise there are three areas we can generate sales from…
Holy smokes $60,000! Do you know what that means? It means you can afford to spend a lot of $$$ trying to acquire a new customer for your business. Shheeeesh with that level of profit waiting in the wings for you from each customer, would you be willing to spend $1,000 to obtain a new client/customer? I sure would.
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If your competitor only makes $10,000 from each new client and you make $60,000 because you have an organised ‘back end’ that means you can completely outspend him to win new clients. While your competitor can only advertise in one publication, you can afford to be everywhere. Your growth in clients and profit will be exponentially faster than your competitors. If your competitor is only profitable until they spend $1,000 on marketing, then they have to stop well before you. If you can spend $2,000, $3,000, $5,000 to win a new client, then that is an unfair battle. Just how we like it.
Get This Right. And Your Life Will Change! Taking time to complete and understand the ACTION sheet below is very important. Firing this bullet will give you a better car to drive, a better house to live in and give you better holidays. And members of the opposite sex will find you more attractive. It’s true. Sure, money won’t make you happier but if you are going to be sad you might as well be rich and sad.
Power is unleashed from ACTION not knowledge. Complete Action Sheet #3 NOW. Money likes speed
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Bullet #2 was about stopping any marketing that could not be measured and proven to deliver a return on every dollar you spend. Bullet #3 revealed the concept of buying clients, but who should we be buying?
Bullet #4 The ‘Starving Crowd’
‘Sure there is a lot of fish in the sea …but most of ‘em don’t taste too good’
Knowing how to buy clients is a huge advantage. Knowing which clients to buy is so powerful that alone could quadruple your profits. I am going to teach you how to sell a hamburger for $1,000,000.Impossible? No it is simple. Simple but not easy. First you need to learn to think like the God Father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
Have you worked out the God Father secret to selling a million dollar burger yet? No. Let me give you another passage from the book. !"# (")*+"#+ ,-. ?+#'*+8 7-'&+#'9 "#$% &' %'( )*+, -' ./0* %'(, )/,1+22*./+34* -' 5*67 0+ .-&49 "8'( .' -' -$* 2+9 4'(,-1 +3& 9+/- )', 5'3-$1: 8'( 1;*3& 5'3*% '3 2+9%*,1 9$' <3'9 )(22 9*22 %'( +,* -' =* 5+&* + )''2 '): 8'( +44*;- >(&.5*3- ),'5 + >(&.* 9$' 1*221 $/51*2) 2/<* -$* 9',19$',* /3 -$* 1-,**-1: 8*+,1 .'3* =%? 9$*3 %'( 3**&*& 5'3*%? %'( 9*3- -' -$* =+3<1 +3& ;+/& ,(/3'(1 /3-*,*1-? 9+/-*& $+- /3 $+3& 2/<* + =*..+, 9$/2*
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
Now, I realise this is just a book, but take a second and put this into context for your business.
Let’s get back to the $1,000,000 burger. When I ask how to sell a burger for a inflated price in seminars, the answers normally go like this… 1. Make it ORGANIC! (note to reader – raise the QUALITY) New price = Eight Bucks 2. Add fancy toppings and a bucket of fries. OK, Twelve Bucks – (Raising the amount of STUFF and Add-Ons – know anyone who does this?) 3. Ok what about selling in a swanky restaurant with White Linen napkins and someone to scrape the crumbs off the table-cloth every five minutes while Hayley Westerna sings the World Cup song? Ninety Five Bucks? (Hmm, fancy Packaging of Exotic Locations for your burger – smart!) I can go ON and ON – and I have done so in the seminars. What usually happens is that- somewhere between fifty and a hundred bucks – all the ‘marketing’ and ‘branding’ ideas stop and we’re at a stand-still on selling this Big Ticket Burger!
Or are we… ? Imagine – your client is in the desert! Three days away from food… knowing he has two days without food to live! And this burger is his lifeline! What’s the value THEN? Would you pay a million dollars if eating the burger would save your life? Of course. The Don was a problem solver of BIG problems. Problems where people were prepared to accept huge obligation. That’s how you make the big bucks. Ask yourself this simple question… “Who in my market has a major motivation and few perceived options where price is NOT a factor?”
Be creative because the problem might not be as easy as life or death.
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It may be a need to avoid DEATH Or it could be to remove FEAR. How about the need for STATUS or PRESTIGE. The winner of eBay's most expensive charity auction ever, who asked to remain anonymous, paid $2.6 million in 2010 for a lunch date with Berkshire Hathaway (BRK) CEO Warren Buffett, also known as the third-richest person in the world. Who knows they probably ate burgers.
‘There Are Riches In Niches’ •
20% of clients will typically provide 80% of your sales
•
20% of clients will typically produce 80% of your problems
•
20% of the buyers will typically spend 80% of the money
Most buyers have little impact on your results; a vital few could make you rich. The best buyers in your market would ideally have the following 1. NEED: Have a problem 2. MONEY: They have money and prepared to spend it to solve the problem. Ideally they are already spending money 3. DECISION MAKER: You can reach the decision maker economically 4. TIME: They are ready to take action now if presented with the right offer 5. SIZE: The niche is large enough to justify being a specialist provider 6. ADVANTAGE: Ideally you have a rare ability to solve the problem Nice to have
1. *LIMITED SUPPLY: The service you can provide is not ‘perceived’ to be widely available 2. *PROACTIVELY LOOKING: The buyer is already searching for a solution
As soon as you have identified the best buyers, you need some bait. Power is unleashed from ACTION not knowledge. Complete Action Sheet #4 NOW. Money likes speed.
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Bullet #5 The Irresistible Offer
"Make your offer so great that only a lunatic would refuse to buy" —Claude Hopkins.
The Trojan Horse is a tale from the Trojan War about the strategy that the Greeks used to enter the city of Troy. For ten years the Greeks tried to storm the city of Troy unsuccessfully using traditional warefare. The results were fruitless. Then the Greeks constructed a huge wooden horse and hid a select force of men inside. The Greeks pretended to sail away, and the Trojans pulled the horse into their city as a victory trophy. That night the Greek force crept out of the horse and opened the gates for the rest of the Greek army, which had sailed back under cover of night. The Greeks entered and destroyed the city of Troy, decisively ending the war. A "Trojan Horse" has come to mean any trick or strategy that causes a target to invite a foe into a securely protected bastion or space. This strategy works just as well in marketing as it did in war. As we know most people are told ‘You need to get your name out there’. This is called ‘branding’ and as we discussed in bullet #1 NOW is a good time to stop playing the foolish game of shouting louder than the competition. You dont have the budget of Nike or Apple so it is best not to try to play their game. You need a marketing Tojan Horse. Here’s why. Just yesterday I dropped my daughter off to school in the city. The school is near a very big Thorndon supermarket. Ok, so I decide I will just get some soya milk for my shakes. By the time I reach the checkout counter my grocery bill is over $70! All I wanted was the soya milk. This happens all the time to me, and apparently happens to everyone else too.
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That is why the average spend for someone who comes into the supermarket for a single item is over $27. Whoa – did you get that? $27 The supermarkets know this so they know that they can give milk away at cost price because the ‘milk only’ shoppers or the ‘bread only’ shoppers cannot help themselves. Just get ‘em in the shop and their lack of dscipline will take over. Discounted items like this are called a ‘loss leader’ or we might see it as a ‘Trojan Horse’. Here’s another example, Tony’s Tyre repairs do a ‘free puncture repair’. The ‘free’ pucture repair is a classic ‘Trojan Horse’ because most of the repairs turn into a sale of a new tyre. And not just one either. The first sale is ‘come in for a free puncture repair’. That is pretty easy to sell. The second sale is tyre #1, then tyre #2 etc. The research tells us it is 5 times easier to sell an existing client item number 2 than it is to sell item number 1. Here is the secret.
Get the ‘Horse’ into the city first. Make your initial offer so irresistible the buyer would be a fool not to take you up. Traditionally the first sale is hard to make but once the buyer had made the decision the second, third and fourth are exponentially easier. Most people make the first sale too hard. All you need to do is make the first sale irresistibly easy. Then make the second sale only a slightly larger commitment, then the third almost happens itself. Rather than try to get to home base with one hit, a series of small steps will often be far more successful.
OK HOW specifically do we construct our offer? #1: The offer must be clearly stated #2: The offer must be of great value #3: The offer should either involve a discount, a bonus, or both #4: There should be a reason for the offer. Was there a fire at your warehouse and you must liquidate everything? Is the manufacturer running a one-time-only promotion? Is your company's founder retiring and giving his best customers an unprecedented deal as a fond farewell? Are you celebrating a special anniversary or event, introducing a new service, or clearing out overstocked inventory?
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#5: There should be a reason for immediate action - expiration dates, limited availability or a bonus for fast response. These all work well in creating a sense of urgency on the consumer's part. #6: There should be a strong, clear, direct call to action. Tell the person exactly what you want him to do. Do you want him to pick up the phone and call? Go to a website? Come in to a business? When? What will happen when he does? Here's a good call to action, for example. ‘Cut this coupon out of your newspaper. Bring it in to any of our locations any day of this week from 8:00 am to 8:00 pm. Take it to the cashier at the counter; she'll give you your free travel alarm clock, a gift for just coming in while the supply lasts. Then feel free to browse through our unique travel store. Take advantage of the huge mark downs and sale prices and get a second travel clock free with any $50.00 purchase to give to a friend.’ #7: Make your guarantee as strong as you can. For example, I've found that longerterm guarantees reduce refunds! In other words, a one-year, full money-back guarantee not only gives your prospect more confidence when considering an order, triggering higher response, but also results in fewer refunds than a one-, three-, or sixmonth guarantee. A five-year guarantee works better still. These longer terms allow a disappointed customer to feel that he has plenty of time to get around to returning the item. Most of the time, she never does. #8: There should be follow-up offers. In my tests with clients, if you repeat the offer three times, you will double your response rate. #10 Never sell more than one thing at a time, unless you have a catalogue or a group of closely related items (for example, mystery books in a book club offer). #12 In any business, repeat business is where the real money lies. That's why it's usually much smarter to sell an ongoing product or service than a one-shot. Whatever your business, try to figure out how you can market it as a club, a membership, a newsletter, a periodic maintenance service, or some other continuity relationship.
Power is unleashed from ACTION not knowledge. Complete Action Sheet #5 NOW. Money likes speed
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Bullet #6 The Secret Of The Monkey’s Fist
‘You must first sell your prospect on giving you an audience … the sale before the sale’
Gary Bencivenga Selling is like seduction. If you ask a woman to go to bed with you, her answer will largely depend on when you ask her. If you ask her the moment you first meet then your chances of getting a ‘yes’ are slim because she will be too busy slapping your face. Don’t Be A Masochist!
You probably had a friend like I did who used to ask to sleep with every woman he met as soon as he met her. When friends would ask, “don’t you get slapped a lot” he says “sure, but I also get lucky a lot too”. Well in my opinion that guy was far more of a masochist than he needed to be and you don’t have to get slapped repeatedly just to get a little romance. And in selling or marketing, you don’t need to get a high rate of rejections. Successful relationships often start with a flirtatious conversation, then maybe a sharing of phone numbers and a date, then more dates, which lead to an engagement, which leads to a marriage proposal, which leads to a lifelong relationship. If you take the time to warm the prospect up before you ask them to buy, then your closing rate will soar. The Very First Step
Gary Bencivenga explains this concept best. In every sale, either in person or in an advertisement, there are at least two sales that have to be made.
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The main sale, of course, is the product or service you ultimately want to sell. But before you can even get a chance to sell your main product, you must first sell your prospect on giving you an audience. He calls this the ‘sale before the sale’. Two years ago my uncle (a tour operator) invited my wife and I on board a large cruise ship docked in Wellington. While standing on the deck of a ship I noticed that the ropes needed to moor a ship to the dock were huge. I wondered how any seamancould ever lift such a thick rope, let alone hurl it so that it would reach the pier.
So We Waited We discovered that the crew doesn't even try to throw the heavy rope, known as a "hawser." Instead a solitary crewman hurled a little iron ball, called a "monkey's fist," which was attached to a thin rope about the size of a clothes line to a longshoreman standing on the pier, waiting to receive it. The longshoreman then collects the monkey’s fist and starts to haul the line in until he grabs the hawser and then pulls the hawser onshore. Throwing a hawser is too big a first step for any sailor, just as it's too big a first step for any marketer to approach ice-cold prospects and instantly persuade them to buy. The first step in the relationship between buyer and seller has to be easy. Unlike my friend, you don’t start off asking for the ‘full Monty’ until trust and mutual attraction have been well established. Small steps, like a series of dates are more likely to lead to a ‘yes’. How many sales people are trying to get a ‘shag’ on the first date? th
Gary Bencivenga, tells a story how coffee salesmen in the early 20 century would sell door to door. The selling rate was around 4% of every door knocked on. Imagine what a tough job that would be with doors constantly being slammed in your face. The coffee marketers tried many different approaches but they ultimately came up with a very effective strategy. They threw the ‘monkey's fist’ and made the first step in the sales process irresistibly easy. It was so simple... The coffee salesman would knock on the door. But rather than launching
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into a pitch the salesman would hold back and instead say, "Good afternoon, madam. Today I bring you a special gift, a free half-pound of our finest coffee. Please accept it with my compliments. In about a week, I'll return to see what you think about it. Fair enough?" How could she refuse? The following week he would return with another gift if she placed her first order. What happened by design was that the salesman had bypassed the automatic rejection he would surely get if he tried a hyped-up sales pitch. This made the sale so easy, because the salesman made the first step easy. As Hopkins put it, "Any apparent effort to sell creates corresponding resistance." The conversion rate went to over 40% using this new approach. You could offer a free audit or a trial period or a test drive. These steps are easier to ‘sell’ but from that initial step, you know your conversion rates will be high. An IT company I used to work for found it easier to sell a $1500 “Requirements Analysis” on a potential project rather than pitch for the whole job. The buyers felt safer with a diagnostic exercise first. Of course 90% of people who paid for the “Requirements Analysis” went on to hire us to complete the project.
How To Apply This Concept Offering free problem solving information is often the most successful strategy. It works so well because it not only makes it much easier to open the sale with your best prospects, but also sets you up perfectly to close it because you become a trusted educator. The irony is we naturally use this strategy in developing our personal relationships.
How To Write a Monkey’s Fist Ad
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In its purest form the Monkey’s Fist ad works just like a personals ad: it describes 1. Who you want to respond 2. AND who you don’t want to respond 3. AND gets them to respond So your perfect prospects step out of the crowd and identify themselves to you. Fortunately this can often be done with small low cost ads, enabling you to put the majority of your marketing budget into the follow-up process to super well qualified prospects. A personals ad might read like this:
“SWM, 38 seeks SWF or DWF, 25-35, into golf, travel, fine dining, U2, Dire Straits. No pets bigger than a bread box. Write to …” Notes •
•
•
•
For those of you who don’t read the personals column SWM = single white male, SWF (female) and DWF = divorced white female. As you can see the advertiser has described who he wants and who he does NOT want. The tighter the description the more likely you’ll get the respondents you want. The looser the greater the quantity but lower the quality
“Attention: Are You A Corporate Executive With At Least 10 Years Career Experience, A Good Income, Successful – But Worried You Are Not Turning That Income In To Wealth And Financial Security Quickly And Systematically Enough?” If you have 10 years+ career experience, own your own home, and are so busy with the demands of your job that you have little time or effort to deal with your finances, my video: ‘Breakthrough wealth building strategies for busy executives’ will be of interest to you. Please do not respond if you are completely satisfied with the amount of taxes you pay, the return on your investments and the pace of your personal wealth accumulation OR if you are closed minded to new ideas. If you qualify as described above you should read my report BEFORE you bank your next pay cheque! For details and free report sent by mail, confidentially, to home or office, call free recorded message 0800 999999 anytime.
Last we add the bait to stimulate response (free report). So let’s say that the perfect prospect for you is an experienced, successful corporate executive frustrated and
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concerned with his lack of personal and financial security and wealth. Your ad might look something like this… The success depends on the right mix of getting the right message to the right people using the right media, but make no mistake this strategy can be applied to almost any business or sales career.
How Animal Nutrition Products Used A Monkey’s Fist Nigel had a team of sales people around the country selling nutritional supplements to dairy farmers. But getting appointments with dairy farmers who were motivated to buy was tough. Everyone is trying to sell to them. Richard Petrie said to Nigel ‘let’s see if we can write an ad and get the motivated farmers to call us!’ The ad immediately generated 240 incoming calls, easy appointments and over $65,000 in ongoing yearly sales as a direct result of ONE ad.
Contact me directly if you want assistance with this very profitable strategy by emailing
[email protected]. Be sure to let me know you have read this book. Free online video course on ‘The Secret of the Monkey’s Fist’
http://petrie.kajabi.com/fe/10589-bullet-1 Power is unleashed from ACTION not knowledge. Complete Action Sheet #6 NOW. Money likes speed.
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By now you have two types of offers to fire, you know how to measure the success or failure of every campaign you run and you know the best buyers to target. But there is one more silver bullet I want you to have. Once again this bullet fired correctly is all you need for outstanding results. Combine it with the others and you are unstoppable.
Bullet #7 Zen And The Art Of Pricing
‘In all research conducted price never ranks in the top three buying criteria yet sellers act as if price is #1’ Q: How do you make more money over night? A: Increase your prices.
Research says 10% of buyers in any market will always go for the premium option and about 10% will always go for the cheapest option. That means at least 90% of the market does not use lowest price as their #1 buying criteria. Yet most businesses sell as if price is the ONLY factor. Don’t believe me? Here are some examples to make my point. Let’s say you have a brain tumour; do you tell your personal assistant to look for the cheapest brain surgeon in the yellow pages? No. Let’s say you are in court facing charges for mass murder. Do you look to see who is offering a 20% Christmas sale on legal fees? No. Ok murder, brain tumour… I know what you are thinking - these are extreme examples Richard is using just to prove himself right. That’s ok I don’t mind working a little harder to prove my point so you can make more money (effortlessly). Right then, how about the clothes you are wearing right now? Are you wearing the cheapest shirt, skirt, shoes, jacket you could have found?
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No you bought stuff that makes you feel good or look good right? You paid more than the cheapest alternative because there is a higher emotional cost in wearing cheap clothes. What about your car, house, cell phone? Could have bought a far cheaper version that did the same basic function but maybe was not nearly as cool? Yip – you know it and I know it. Then if you don’t buy on price maybe neither does your market. The research on price is hardly hidden and yet dumb marketers or business owners will compete on lowest price like a Lemming jumping off a cliff. This is because they know no other way. The solution is to sack whoever is telling you to drop your pants as your advisor, even if that advisor is you. Here’s the good news… the competition at the premium end is nowhere near as intense as at the discount end of the market. While the Lemmings are dropping their pants and slitting each other’s throats in an attempt to win the worst clients in the market, you can be servicing the rich end. Bigger margins mean you can provide a better service. Better service means clients get a better result or experience. A better result or experience leads to happier clients and more referrals, and more profits. More profits means you can invest more to win new clients, meaning you can grow faster and get rich. And this means you can outsource the delivery and spend more time on the beach. I can buy a smart cell phone for $100 or $1,000. Apart from my ego they essentially do the same thing. It does not cost Apple 10x more to build an i-phone. Maybe with economies of scale it is possible an i-phone costs less. If you offer a premium service for 50% more, it won’t need to cost you 50% more. In my local paper, the Dominion Post, yesterday there was an article titled 'It's a decadent dogs life at Waglands' where Ben Adams and Arlene Hawkyard set up 'Waglands DogsGrooming and Holiday Retreat'. The article describes a 'luxury 5 star experience with heated pads during winter, gourmet food, sand pits and special areas for afternoon naps are available’. Despite being at the premium priced end of the scale, Waglands have had to turn away 300 dogs for the Christmas period and were booked out months ago. They are using strategies #1 #2 #3 and probably 3 to4 others. This selling at higher prices stuff works but you cannot serve up the same slop as everyone else.
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When looking to sell at higher prices here are some important keys
1. It is best to break the old industry norms of what gets delivered - because the traditional way of delivering the ‘standard’ service triggers traditional price expectations. When no-one else is offering heated dog pads or gourmet food, then it is hard compare against anything else comparable. 2. Create a new service more aligned to an outcome wanted than the process. Rather than selling a dog kennel service, try selling the equivalent of a ‘Grooming And Holiday Retreat' 3. Create a service aligned to exactly what the big spenders want. Stop trying to be all things to all people. There are some people who like John Wayne and others who like Boy George, but creating a service that appeals to both is going to make you poor.
Power is unleashed from ACTION not knowledge. Complete Action Sheet #7 NOW. Money likes speed
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Marketer Of The Month
Competition Results Form Apply at least ONE of the strategies you learned in this book and tell us the results. Each month a winner will be selected to win a $450 coaching voucher for a personal 90minute marketing consultation with Richard Petrie. In that session you can brainstorm with Richard to improve or solve any area of your marketing or selling. Generating leads, conversion strategies, increasing prices or margins or retention are all areas Richard you may want an immediate boost in. You don’t need to have applied ALL six powerful bullets in this book. Chances are you will have made a breakthrough by applying just one. To enter simply use the following four sentence starters to tell us what you achieved. Tip. In questions 1 and 3 use real quantifiable results like number, percentage increases . "# 4# :# <#
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