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Don Alm
November 16, 2006, 07:17 PM
With a program where ONE Sale PAYS FOR THE PROGRAM....you do NOT have to be a "Pro" salesperson....the "Low-Entry Cost" allows...even neophytes... to go out and "stumble around" until they get the necessary sales....AFTER the 1st one to stuff cash in their pockets.

When I entered a town with my "Hotel Lobby Menu Books"....all I had was a sample book and the OK from 10 Hotels. The FIRST restaurant I sold for $790 PAID FOR THE ENTIRE PROGRAM!....ANY SALES & MONIES AFTER THAT WERE PURE GRAVY!....AND WENT RIGHT INTO MY BANK ACCOUNT!

So...because of the "Low-Cost Entry" into programs I've done....ONE account paid for the deal. If I couldn't get 1 paying customer....I dropped the deal.

However.... years ago....when I was first venturing out into this "vast gravyland" of businesses "HUNGRY" for NEW IDEAS & PROGRAMS to help their businesses....I chose some "HIGH COST" deals where it would take 7 or 8 participants to pay the costs....BEFORE I made 1 dinero profit.

And....once you accept ONE DINERO from your 1st Paying customer....you have to decide....after you've gotten turned down from a few potential customers... whether you are going to continue with the program OR...return the money you've gotten thus far.

In my entire career of putting together "Group Deals" where I needed 5 or more participants to make the deal profitable....I've only had to return money ONCE.

This was a program where I got the OK from the local Visitor Center to place an "Ad Board WITH a Phone" ....mounted on the outside of the Visitor Center....where visitors could phone and make reservations with local hotels. or restaurants....even after hours.

My "Visitor Center Board" had spaces for 30 Sponsors....and....I would need 7 sponsors to pay my costs. However (this was Springtime April of 2002...right after Sept 11 of 2001 when the Travel Industry went into the toilet)

I got 6 sponsors BUT....got turned down by twice that and...after looking around at the remaining group of potential prospects...decided to "back outa the deal" and refund the monies I had already collected cause...NO WAY was I gonna sell anywhere near 30 sponsors on THIS deal at THIS time.

So...my advice is...if your program needs 3 to 5 sponsors to pay your COSTS....you better have a LARGE POOL of prospects to draw from...otherwise...you'd better be a "Super-Sales Whiz" to get the greater percentage of potential clients.

That's why....I've stayed away from programs that cost more that what 1 to 3 customers are willing to pay.

Don Alm

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