Why You Have to Spend More Money to Make More Money

Stop fishing with minnows if you want to catch whales; that's just not going to work. You need to spend significantly more money to close your sales and guarantee a greater income, not just in terms of absolute numbers but in terms of percentages as well. First of all, you have to pitch only to…

Stop fishing with minnows if you want to catch whales; that's just not going to work. You need to spend significantly more money to close your sales and guarantee a greater income, not just in terms of absolute numbers but in terms of percentages as well.

First of all, you have to pitch only to super-qualified prospects. It's all about doing everything you can to pre-qualify your prospects. You have to get people to go through a process that proves, by the actions that they're taking, that they really do want what you're offering. Second, you have to sell products and services with good profit margins; the larger the profit margin, the better. The offer still has to be competitively priced, but if the margins are not there, forget it.

Thirdly, follow up relentlessly and aggressively. As long as you've done a great job of pre-qualifying the prospect, “no” does not always mean “no.” It may mean, “I do not know enough” or “I do not know why I must buy right now.” You can not just take no for an answer with pre-qualified prospects. If they're not taking the steps you want them to take, do not assume they're not interested until you do a whole lot of very aggressive marketing. You have to follow up like crazy. You have to be relentless. You can not let go of them.

Here's an example of an effective campaign. You can run a short classified ad in hundreds of newspapers across the country. If it works, you can roll out in thousands of newspapers. In the campaign, let's say you include two calls to action. The first one is in the ad that says, “Call our recorded hotline.” That leads to a fairly long recorded message. If you're not a serious prospect, there's no way you'll sit there and listen to it, no matter how exciting it is.

During the recorded message, can try to tell them everything that they need to know to take advantage of your opportunity. You can assure them that what you have for them is legitimate in every way, and explain the basics so you can ease their doubts, fears, and concerns. Then get them to take the next step, which is to go to your website and fill out a 15-20 minute application.

They do not have to listen to the recording, and they do not have to fill out that application. But if they do, their actions tell you how serious they are. You're doing everything you can to filter out the insincere, uninterested, and lazy, so you end up with hardcore pre-qualified prospects. Anyone else is useless to you; you should be happy you filtered them out. Those willing to jump through these hoops are serious.

From this point forward, they can be worth a lot of money to you, so now you'd better follow up in the most aggressive way possible. Send them daily e-mails. Reach them on social media (you collected their social media URLs and other avenues of communication in the application, right?). You'll have all kinds of ways to contact them, and of course you'll put stuff in the mail to them.

Do everything you can to build a solid relationship with them, because when you get right down to it, no matter what we sell, all of us are really in the relationship business. It's all about getting people to trust you and feel they can count on you, because you're distinct from and better than all the other companies they're looking at. Nowadays people have many options available to them. As long as you're pre-fulfilling them enough, though, you can follow up in the most aggressive way possible, and it's all money well spent.

In this scenario, make your daily e-mails as exciting and stimulating as possible. People are bombarded with e-mails; the first thing most do is look at the headers and start deleting as fast as they can. So make yours compelling. In a campaign like this you can create and send emails to prospects for the first few hundred days, and then it take it to an auto-responder sequence to all the new prospects who answer your future ads, assuming you're able to roll out this campaign. You might have written those e-mails 6-8 months before, but they'll be brand-new to the new prospects. They'll follow a sequence designed to slowly but surely win their hearts, to get them to the point where you can do a large amount of business with them by showing them that you can benefit them in the greatest possible way.

If it's not focused on them, then it's not going to work. It's not what you want that matters; forget what you want. These people can be worth a huge amount of money to you, but all they care about is themselves. So all your messages should reek of altruism, because it's all about giving them more of what you know they want the most, because you pre-qualified them thoroughly.

There's no question that this formula works well; my company has proven it hundreds of times, and plenty of our friends and competitors have done the same. Sure, we want their money, but we do not just come out and say it. They know it anyway. What they want to hear is what we have to offer, and that's completely fair. So that's what we stress. There have been times when we have not followed up enough, and we've suffered the costs.

I do not will not have to deal with that, so I urge you to beat this into your head: you have to follow-up as long as it's profitable to do so. When you do follow-up, you may use very similar versions in the first and second mailings, but you should make changes once you get into the third and fourth follow-ups. What you originally thought was the best approach may not be as far as the prospect is concerned. So mix it up a little.

For example, my mentor was recently working with a wonderful lady who's offering health and wealth benefits to her customers. Although they originally thought people would be most interested in making more money, they're finding that many customers value health over wealth. They're glad they learned that, because it shows them what people really care about. And while people are interested in making money, there are also many people who are more interested in preserving the money they already have. It's good to know such things, so you can vary your follow-ups accordingly.

There's no reason not to keep following up aggressively if you have a live prospect who got in touch with you, raised his hand, and showed that he was interested in what you had. You did not force him to respond; in fact, you encouraged him not to by making it difficult to do so. When that's the case, you can follow-up many, many times – as long as it's still profitable. Just change the approach occasionally. Change the headlines or a few of the benefits, or add new benefits, and you'll see great results.

Again, where most marketers go wrong is that they do not spend enough money. When you can afford to, you must consistently remind pre-qualified people that they still need to do business with you. If you do not, you're missing out on sales. If you have a super-qualified prospect and your profit margins are good enough, you're only hurting yourself by not continuing to follow up. The premise here, of course, is based on the assumption that you're really delivering on the benefits you've promised them. If that's true, then it's in your best interest, and theirs, that you do not give up on them.

How do you know if you've followed up too much? Well, usually the answer is that you're never going to reach that point – but if you do, it's when it's no longer profitable to follow up. In other words, you're not making enough money to cover your costs and leave you with some leftover earnings. If you're still making a profit every time, then do not stop! Keep reminding them they have not done business with you. Sometimes people put it off. Sometimes they forget. If you need to, remind them that your offer is still valid but time has almost run out, or sweeten the pot with a bonus.

At some point, response rates may drop so low they no longer pay for the cost of the follow-up and earn you a profit. Stop following up then. But let me reemphasize: Most marketers never make it that far. They give up far too early, and simply miss out on money that could be their. You have to continue remind people that they still need to do business with you, which usually means spending more money to keep your message in front of them, not less. As long as the profits are good, and you're keeping an eye on your numbers, you can keep doing it indefinitely and still make a profit.

Think very carefully about all of this. Pre-qualify heavy, sell products and services with high profit margins, and then follow-up in the most relentless way possible – and you'll be light years ahead of all your competitors.