The Best Relationship Marketing Method

Where do you think more money is made?

• A sales approach trying to convince a site visitor to buy something by explaining the value of a product which was not targeted to their search. An example would be a person using paid advertising that is totally non-targeted and trying to sell something to everyone who runs across that ad.

Or

• A person needs a solution or desires a product and goes online to find the product and get more information about the product from a sales and information site. An example of this would be people searching Google for how to make candles who arrive at a site about different candle making methods.

• A person who is receiving a spam email about something they may or may not have an interest in. A person seeing an ad which is popping up on their web browser which is interrupting their searching.

Or

• A person who has opted in to an permission email marketing list to receive information about their area of interest.

Obviously more money is made in the second scenario in both cases. The only time the first scenario out pulls the second is if you have a massive media advertising campaign and this is still targeted to niches and categories and other limiters which make it fairly targeted.

Permission marketing is requested and wanted versus interruption marketing; which is purely unrequested distraction to internet users.  Interruption marketing is unanticipated, impersonal, and mostly  not targeted. Permission based marketing on the other hand  is about getting the prospect to agree to receive information about the area of interest before going forward. It is also about giving a market what it wants versus what you think it wants.

There are mainly two types of marketing strategies. In the first strategy you are targeting a list of prospects who are interested in your product and want to know more about the product. In the second marketing strategy you are presenting your product to people regardless of their interest.

The salesman will throw a new product to people hoping some will be in need of that. This strategy is followed by many marketers and you need to convince your prospect that he/she needs your product. You will usually also have to utilize hype tactics to sell your product when it is not targeted.

I recommend following the first strategy where your market is already asking for information about your products. You might think that you can’t create enough leads and sales with so much targeting and focus, but don’t worry with a “lead segmentation” strategy you will have big lists but divided into smaller targeted sections.

Quality prospects are what you want because quantity doesn’t matter if no one is responsive and buying anything. You also need to be patient to build trust if you are emailing or contacting prospects, because it is rare to see sales on the first or second exposure of your product. Quality subscribers will buy if you give them quality information and expose them to it over time.

You may not realize the advantage web marketing gives you. Most people have an off line business sense from working in the non-Internet world they don’t realize that some mechanics of the game have been changed in Internet marketing and more importantly the change is in their favor. So lets see what potential we have on the Internet.

The most important difference in normal business and Internet business is that in normal business you can’t achieve 100% profitability on each cost factor of your product. But on the Internet this is possible. How is this possible?

internet-product-profitability

In a brick and mortar business we can’t imagine anything like 100% profitability on each cost factor of our product and we cant reduce the cost to zero on each cost factor of our product. Lets say we make children’s toys. We will need: raw material, work space, labor, machinery, and storage. Once the product is created we will need: A distributor, whole seller, reseller, shop keeper etc….At every step your cost for the individual item is increasing and your ultimate profit will be calculated by subtracting all the costs from the end price.

In this scenario offering some thing free with your product will add to your cost and decrease your profit. On the Internet it’s quite easy to offer free bonuses. This will help you understand your potential of offering something to your subscribers. Even if you have a physical product (which has cost involved) you can easily offer something free with your product.

On the Internet all it takes is a server to host your information product. You can give away unlimited copies of your digital product without any cost on your end. Your customer will receive a download link for that product. An average server will cost you only $10-$20/month. Don’t worry if you don’t know how to handle servers and setup your product for downloading. I will cover all these steps in detail.

Permission Marketing Can Make Sense

Author: Scott Holden – TrafficEraBlog