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The Value of Your Multi-Buyers
The mailings to your clients who have bought something from you more than once is at least threefold more productive than mailings to those who have only bought something from you once.
If someone bought some sport equipment, you need to be selling more sport equipment to him/her. If you know this buyer is a golfer, keep selling him golf stuff. Your multi-buyers are your regular faithful customers. In addition, you have stopped mailing regular offers and promotions to most of those who have not bought anything for you in 18 or 24 months, which slashes the cost of your marketing...read more
The Unwritten Law of Marketing
An unwritten marketing law is that people are creatures of habit. It usually takes great efforts to persuade somebody to switch to another product. The companies are spending billions of dollars to persuade people to use their product instead of another brand. But many of them fail, mainly because people are used to the brands they use.
People who have chosen to contribute to your organization or buy your product instead of your competitor’s would prefer to stick with you. To switch their allegiance to another organization or comparable product is to admit that they had made a wrong decision—in effect, to admit failure. It’s very difficult to change people’s buying patterns, because this means moving people out of their comfort zone... read more
The Fastest Way to Improve Your Profitability
You probably know a so-called “80/20 rule. It sounds like this:
- 80% of sales come from 20% of customers.
- 80% of your revenue is generated by 20% of your clients.
- 80% of donations are made by 20% of the donors.
- 80% of sales are generated by 20% of the businesses.
- 80% of your income is produced by 20% of your activities.
The reason for this is rather obvious... read more