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ThereÆs More to Marketing ROI (Return On Investment) than Meets the Eye Word Count: 517 Summary: The Real Way to Determine Your Marketing Return on Investment Keywords: Direct mail postcards,direct mail,marketing,direct mail marketing,postcards,ROI,business marketing,joy gendusa Article Body: All too often people look at marketing ROI in terms of response rate: in other words, ôI sent out 10,000 pieces of direct mail and only got 39 responses which is terrible.ö This is wrong think. When it comes to marketing ROI, you have to realize that the term means Return On Investment and the return is measured in dollars (or your local currency). LetÆs say you spend $2,000 to get out a bulk mailing of 5,000 pieces and you get 10 calls as a result. DoesnÆt look like much. But of these 10 calls you close 6 and get immediate sales of $12,000. ThatÆs marketing ROI! And thatÆs not even taking into account the future sales to those 6 new customers. It could add up to hundreds of thousands of dollars. The same simple mathematics apply to any other marketing efforts: radio ads, press releases or articles in magazines, print ads, yellow pages, web site, etc. Obviously you need to keep track of response from each marketing campaign you do so that you can weed out unsuccessful campaigns and strengthen successful ones. Case in point: Jeff Lee, CFO of a very successful consulting company, Measurable Solutions, has adopted a successful small business marketing strategy based on direct mail marketing. Key elements are mailing out a newspaper and full color postcards. The design is done in house and the printing and mailing is done by a specialized postcard printing company. In his own words... ôWe get our best response from mailing out a newspaper and back it up with postcards. Depends on the postcards. Some postcards have pulled better than others. ôThe professionalism of the postcards is something that is effective: it gets attention, it keeps the image that we want to keep, it creates the reach, it creates the response and keeps our leads in a very high range. ôWe probably average around 7,500 post cards per week. Out of 7,500 post cards weÆll get in an average of 15-20 leads. Of the 15-20 leads at least a third of them come to our introductory seminar. So say 5 or 7 people show up and they pay $1,700 a piece. Off of that we close a further $30-40,000 for services. ôThe money we have put into the postcards is like a drop in a bucket compared to what we get back. We
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