How many times do you receive a marketing piece in the mail more than once? That’s usually because its working. How often have you gotten a decent prospect and only mailed, emailed or faxed to them only once?
A rule of thumb in direct mail says that if you send a letter three times it will double response.
For instance if you mail the first time and get a 2% response, you’ll get 4% out of 3 mailings. So if you don’t mail the 2nd or 3rd time you’re leaving half of your response (and profits) on the table.
One business we know gets most of his response on his 5th mailing. In fact he gets over 50% of his response on his 5th mailing. And this system makes him over a half million dollars a year just from that response. If he were to stop after one mailing, he’d be leaving $500,000.00 behind…ouch!
You want to start by doing 3 mailings. There’s no magic about 3 mailings though. If all 3 mailings are profitable, you can mail a 4th, 5th and so on, as long as THEY KEEP RESPONDING.
Here’s what you should do:
1. Calculate the cost of the mailing including printing, postage, envelopes, labor, etc.
2. Calculate how much you made from the mailing.
If you made a profit from the mailing, then mail it again to whoever didn’t buy the first time on that list.
Now, lets say when you mail a fourth time you break even, in other words the cost of the mailing pretty much equals what you made.
A lot of people actually stop at letter 1. Well, I’ve given you the key to doubling your response.
Another set of people would stop after letter 3 because letter 4 broke even. Well, think about it. If you can get customers into your database at a break even, shouldn’t you? Remember, you’ll be mailing them over and over again and getting REFERRALS FROM THEM and profiting from them for years.
So, anytime you have a marketing method that breaks even, keep doing it.
If you break even the first time, then every time that client uses your services again or refers someone to you - this is all pure profit. Remember the Lifetime Value Of A Client will bring you profits for years to come.
There is a 3-Letter sequence example to follow. Use it like it is, its worked like that, modify and test different aspects. And if step two doesn’t make any money stop. If step 3 does make money, add a fourth notice and mail it again.
This sequence of letters should be mailed to for sale by owners in a market where you or your company already has a presence for the best profit. But you’ll have to pick whatever markets you have available to you. If you wanted to do it real cheaply you could put the first letter in a white envelope with nothing on the cover, maybe your return address and first and last name (no company name). Seal it and hire some kids to place it on the doorsteps or wedged in the doors. This will insure that your letter gets delivered (if you can trust the kids) and opened because people will think that this is from a friend or neighbor.
You could also make it look like personal mail by laser imprinting their address on the envelope and just using a return address, first and last name and then mailing it with a first class stamp or you can even use bulk mail, but I’d get the stamp that makes it look like first class.
You don’t want to identify it as bulk mail and have them throw it away before opening it.
They’ll open it and the headline will get their attention, get them to start reading it. Deliver or mail 20-50 to test them in a neighborhood. Keep track of where they were delivered. You should receive some calls from the first batch. From these calls you should make appointments for Free Home Evaluation Audits.
Out of those, you should get a few listings.
Don’t stop there. You’re leaving 50% of your profits behind.
7-15 days after you send the first letter, mail or deliver the second letter to those who did NOT respond to the first letter. Then 7-15 days after that deliver the third letter to everyone who did not respond to the first and second letters. Keep going as long as each mailing makes money and generates leads.
From these multiple letters (the second, third, etc.) you will generally double the number of calls that you got from letter 1. Leading to more appointments and referrals. That’s extra profit.
With this sequence of letters it helps to mail to a neighborhood where you (or your company) has sold several homes because they are a sort of testimonial letter. Read them and you’ll see what I mean. Ask the client if they wouldn’t mind helping you out. Then tell them about the letters, show the letter to them, let them read them and make sure they’re ‘OK’ with it.
Just tell them you’re trying not to waste your money in the newspapers and yellow pages because they’re a big rip-off and this is cheaper and keeps your rates down.
When they say ‘OK’ plug in their name and you’re ready to go!
This system can be modified to fit any target group you want to go after. Just use the FSBO letters that follow as a model and write your own. Some other target groups that respond well to sequenced mailings are: Expired listings, sellers, first time home buyers, tradeup buyers, human resource departments, banks, and the list goes on and on.
Attention Homeowners………….
A Powerful New Special Report Is Yours FREE For The Asking!
Dear _____________ ,
I noticed that you were selling your home on your own, and I wanted to tell you about a new FREE Special Report that can save you a fortune! The report is titled:
“Sell Your Own Home”
The report explains in detail how to avoid the common mistakes that cost home sellers thousands of dollars, and how to sell your home fast and for the highest possible price… and do it yourself without hiring a real estate agent!
The 10 Tips covered in the report will explain everything you need to know – from understanding the market conditions to closing and moving!
This report is available to you at absolutely no cost or obligation!
Yes, I am a real estate agent, but I am not like most of them that you’ll run into. My business is based on helping people and providing valuable information, NOT pressure and sales pitches.
To get your FREE copy of this informative report mailed to you at no cost or obligation, simply call toll-free 24 hours (800) XXX-XXXX for a free recorded message.
Good Luck,
Joe Realtor
P.S. Don’t sign a binding sales agreement until you read this report first!!
(SECOND NOTICE)
Your FREE Report Is Still Sitting On My Desk!
Dear _____________ ,
I wrote you about a week or so ago about a free report that is reserved for you. Since I haven’t heard from you, I am writing you again, because you may have misplaced my last letter or simply got busy and forgot to call. The report is titled:
“Sell Your Own Home”
It is packed with valuable information and can save you thousands of dollars, and show you how to sell your home fast and for the highest possible price… and do it yourself without hiring a real estate agent!
The 10 Tips covered in the report will explain everything you need to know – from understanding the market conditions to closing and moving!
This report is available to you at absolutely no cost or obligation!
Yes, I am a real estate agent, but I am not like most of them that you’ll run into. My business is based on helping people and providing valuable information, NOT pressure and sales pitches.
To get your FREE copy of this informative report mailed to you at no cost or obligation, simply call toll-free 24 hours (800) XXX-XXXX for a free recorded message.
Good Luck,
Joe Realtor
P.S. Don’t call another real estate company or even sell before you read this report!
(FINAL NOTICE)
Last Chance For You To Get The Valuable FREE Special Report!
Dear _____________ ,
I contacted you a couple of times to offer you a FREE copy of the valuable, informative report titled:
“Sell Your Own Home”
Perhaps you missed my earlier letters or have just been busy, so I thought I would contact you one final time.
The report explains in detail how to avoid the common mistakes that cost home sellers thousands of dollars, and how to sell your home fast and for the highest possible price… and do it yourself without hiring a real estate agent!
The 10 Tips covered in the report will explain everything you need to know – from understanding the market conditions to closing and moving!
This report is available to you at absolutely no cost or obligation!
Yes, I am a real estate agent, but I am not like most of them that you’ll run into. My business is based on helping people and providing valuable information, NOT pressure and sales pitches.
Good Luck,
Joe Realtor
P.S. To get your FREE copy of this informative report mailed to you at no cost or obligation, simply call toll-free 24 hours (800) XXX-XXXX for a free recorded message.
