This was probably most exemplified in the tactics of legendary “business maximizer” (as he likes to be called and rightfully so), Jay Abraham. The means to this are to give up a little initially just to get customers/clients to do business with you in order to make a profit on the back end. This is most recognizable in the Mail Order Business. Tapes, Books, CD’s, you’ll remember the “send a $1 for these 12 CD’s”…why do you suppose they do that? Not because they get the CD’s for a penny and make .82 cents on every order, but because they don’t mind losing a little. They know if you order once, you’ll order again – - – and then they’ll reap their reward!

This method of luring clients is prevalent in other industries as well–very applicable to ongoing service businesses or to businesses that supply other businesses with products they will buy multiple times. The suppliers will go overboard to get the first order at a loss, because they know the new customer will later have to reorder many times.

FREE or highly discounted initiation programs

What better way to get people to so something than to say, you’ve got nothing to lose . It’s the “this one’s on us” philosophy. All of these methods work in a similar fashion. This one is readily seen when you buy something and get something else FREE or discounted. Again, the idea is, get them in the door, give them a push, and follow up like crazy – typically before they are finished with their transaction, you’ve 1) scheduled a follow-up appointment (progress check, satisfaction survey, etc.) or 2) you’ve signed them up on a continuity program (recurring monthly or according to some other interval program) that they would need to cancel to avoid service.

This method can easily be applied to any industry. Most known in the subscription business for magazines or products, many infomercials and companies offer this at the initial inquiry with a FREE report or offer the initial transaction to create a perceived necessity to utilize the product or service.

Pre-approved or acceptance into “special” programs – Well, what comes to mind here – CREDIT CARDS – you bet! Let me ask you something, do you think they’d keep doing this because it doesn’t work? Make people feel special, tell them they just can’t miss this chance, they deserve it…but only for a limited time , of course. In any industry, especially if you follow my methods throughout your entire business, you can utilize the concept of “you’re special” and “pre-approved” to do business with us to maximize the volume and conversion of qualified prospects to actual viable clients.

BONUSES by getting started, NOW

Typically the BONUS methods are used to add Value beyond belief–so many extras that it just doesn’t make sense to even consider putting off the purchase of the product or service. Many industries use this concept by partnering or building alliances (we’ll cover this as well) and offering a variety of services that would not usually come with their own.

More often, this method is known in the Marketing world as a give-a-way, a gift, a premium, some extra that entices the future client. Many end consumer products or services use premiums that clients would not typically go out and buy but would find of great value in combination with or in addition to the purchased product or service. Maybe some examples will help; lawn care service, giving a lawn chair (because now, all they need to do is sit around), a hair salon giving a balloon to the kids or a coupon for an ice cream parlor next door. Here’s another example: car dealers, giving car washes, sun shields, or a cleaning kit. Get the idea!

Now, in the business or information area, businesses give free reports, special access, cou-pons for future service, etc. The important rule of to do or not do in the give-a-way method is that you DO give something that catalysts future purchasing. You DON’T give away items they would ordinarily purchase from your company – a car dealer doesn’t give away a year long oil change program (they make money doing that) but they might give a coupon or discount for such a service.

TRIAL programs, giving them a taste

This one is pretty self-explanatory. Let them try your service either without commitment, with the privilege of cancellation or with some sort of a guarantee. Using this method puts the future client at ease and gives you a chance to prove yourself – remember we’re about long term relation-ships. You didn’t ask your significant other to marry you on the first date – this is the same idea.

With this method, follow-up is vitally important and of course over servicing. Your intention AND theirs should be that they desire to continue and plan on continuing doing business with your company – this just makes them feel more comfortable. Refer back to “FREE or highly discounted” method.

Please take note –

You must be able to fulfill your promise; really you must be able to exceed their expectations. Leave them no doubt that YOURS is the place – WOW them with your service, quality, and thoughtfulness of them and their needs; and you’ll be amazed at your success with this concept and the results it will bring.

Follow these easy-to-implement steps for an overnight increase to your bottom-line

1. Review ways you are already using to entice clients to do business with you.

2. Strategically align this concept with your marketing and sales process.

3. Prepare and Execute effective follow-up and servicing systems.

4. Implement your improved “way of doing business.”

Track results and see which method gives you the best return.

This entry was posted on Monday, December 29th, 2008 and is filed under Expert Columns, Scott Manning. You can follow any responses to this entry through the RSS 2.0 feed. Join the discussion, or trackback from your own site.
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