The 1% Factor
We have been talking about my favorite type of marketing, which of course is direct response. If you have understood what I have said so far, you should hopefully embrace the idea of thinking,
talking and only investing in measurable results marketing.
But I did mention in an earlier email that there is a 1% added benefit factor inherent in direct marketing. It applies to those who do not respond to a given mailing or other direct marketing effort still will be positively exposed to your company.
In fact, there is a cumulative effect of such exposure that creates additional customers over a long period of time and you will benefit from this.
However, I am opposed to counting it to attributing cash value to it to offset marketing costs. Your marketing should pay its way with current, measurable results. An example is this marketing tip of the week. I can't measure the value of it, but for those of you who read it continuously, I'm sure there is a 1% factor
Most direct marketers will cheerfully tell you that he is not very well liked by certain folks in the ad agency, media and consulting businesses for his strong criticism of non-measurable marketing. However, we insist that any business not devoting at least 90% of its total advertising, marketing, and promotion budget to direct marketing is mismanaged and he would never buy stock in a company not putting over 90% of its marketing money into direct marketing. I encourage you to be very tough minded in your marketing investments.
Ask the tough questions like, "How will we know how many dollars were derived from this media or method?" If there is no good answer there's only one good decision.
By the way do you know what the single most valuable asset you have in your business? Is it your inventory, your accounts receivable, your unique products, your personnel, your building and equipment?
I will tell you what the single most valuable asset any business in a future Marketing Tip.
Please join Dan Kennedy, Bill Glazer and me for a FR*EE Tele-seminar "How to Use Magnetic Marketing to Solve All of Your Advertising, Marketing and Sales Problems Once and for All!"
You can register at http://www.LeeMarketingGroup.com/kennedy.html