Simon Payn's Effective Customer Newsletters

Print newsletters and Canada's second currency

OK, let me get the wisecracks about the title of this post over with right away - in case I lose my residency in Ontario.

No, Canada's second currency isn't the US dollar.

And it's not the euro either, as an earnest store associate suggested to a friend last week in upstate New York. "Would you like to pay with euros?"

Hmmm.

No, Canada's second currency is Canadian Tire Money.

For those of you not in the know, Canadian Tire is an iconic retailer up here - it sells everything from auto parts to barbecues, passing through tools and housewares on the way.

Some people hate it (you can never find an associate) but more, I think, love it.

Canadian Tire is piled to the roof with cool stuff you can mess around with on weekends.

And it gives you money.

Spend enough at the cash and you get Canadian Tire money back, in "real" bills you can use at the retailer. Now, these bills are measured in cents, not dollars (for the most part) but it's like...real...money.

***

There's been talk recently about Canadian Tire doing away with the bills. Indeed, there's an announcement on the reward program's future today. Maybe they'll replace it with electronic rewards - like most other retailers - but there's also talk of introducing a Canadian Tire dollar coin.

We shall see.

But doing away with the paper money would be a big mistake. And not only for the ebay folks who collect the stuff.

You see, there's something special about paper. You can touch it - feel it crinkle. And you can carry it around with you - it pokes out at you from between the real money and frayed receipts.

And when you keep seeing it there, you remember to go back to Canadian Tire and spend it. Hey - I've got $2 in money I can use towards that $400 drill press I've been lusting after. Betta spend that quick!

I think that's super-powerful.

***

So - you can see how it relates to newsletters, can't you?

Now, I'm not one of these guys who says print newsletters are the only way to go. Or, for that matter, email only.

I'm platform flexible.

For the newsletters I send to my own clients, I started out with print, then switched to email. And next year I'll be sending print newsletters again to select people in my database.

After all, it's about what works - what brings the best return on investment.  Email is cheap...but print can work better.

Why? Because it's physical. You can't just hit the delete button on it.

Print newsletters stick around. Articles get clipped and pasted on the refrigerator. (I know this happens with the newsletters I make for members.)

You can read them in the bathroom.

So I urge you - and Canadian Tire, because of course they are reading - to keep the faith in print. By all means use electronic methods too, but don't forget the power of "real" money reminding you that it's there to be spent.

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A Newsletter for Every Business:
http://www.anewsletterforeverybusiness.com

Sign up to receive these message by email: http://www.tinyurl.com/30Emails

Newsletters: the bar is pretty low. Really.

I got a call on Tuesday from someone who is thinking of joining my newsletter service for real estate agents.

She's been receiving emails from me (not these, but others you can sign up for on my websites.)

But she said something that disconcerted me.

"The information is great, but it's kind of putting me off doing a newsletter."

Hmmm, I thought...that's not how it's supposed to work.

The reason, she said, was that she felt she could never do the kind of things I suggest to make her newsletter really sing - elements such as personalization, local content, and must-read headlines.

The whole thing sounded like too much of an elephant to eat. So maybe she should not do a newsletter at all.

SO WHAT DID I TELL HER?

Simply that the elements I suggest will make her newsletter soar, but the most important thing is to do a newsletter in the first place. Period.

After all, so very, very few people bother to keep in touch with prospects and clients that if you do, it's easy as pie to stand
out.

The barrier is so low that even a chipmunk can jump it.

Think about this.

How many stores do you happily buy from...and then never hear a peep out of again?

How many people come to do vital work in your home...and then just sit silently waiting for you to call again?

How many restaurants do you enjoy visiting...yet never hear from?

I'D BE WILLING TO WAGER that 99% of businesses don't bother to keep in touch with even the people who love what they do.

Sometimes after I leave a store I get so mad at their lack of marketing savvy that I pledge to set up a store right next door, doing exactly  the same thing... just to punish them for being so dumb.

This isn't meant to sound like bragging, but I think I could go head-to-head with 99% of businesses out there and crush them simply by building a solid database of clients and prospects and then keeping in touch with them regularly

Like I say, it really doesn't take much. Just a matter of collecting names. The tools are there to do the rest.

THIS IS WHAT GETS ME UP IN THE MORNING. The big mission of my company is that every business (even funeral homes) should have a newsletter.

That's why I make ready-made print and email newsletters that businesses can send. As the bar is so low, you can send them without any customization and they'll still work. Or make them really yours and you'll be the #1 person in your business in your
town.

I guarantee it.

Now, it seems like a big job - a gigantic elephant to eat. But take it a bite at a time. Even a chipmunk can feast.

[Picture credit]

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A Newsletter for Every Business:
http://www.anewsletterforeverybusiness.com

Sign up to receive these message by email: http://www.tinyurl.com/30Emails

The Perils of Newsletter Personalization

Yesterday I received a Facebook "be my friend" request. It went like this:

"$Name$$, Facebook considered you as a friend. I enjoy meeting like minded people, hope you feel the same."

Personalization is a wonderful thing. And so is technology. Mix them and you have a powerful cocktail - or a recipe for disaster.

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It's proven that personalization can boost response to your marketing efforts.

That's why I use it myself. You'll see this email has your name at the top.

Like our Facebook "friend", you've got to be careful. Use it too much or make a mistake with the technology and you look an idiot.

SO HOW DO I USE PERSONALIZATION?

I use it (sparingly) in text emails like this because they have a kind of intimidate nature. The fact that they are text (not pretty HTML) makes them more personal - more like a real email. I've noticed I get more response from "text" newsletters than HTML ones.

I don't, however, use personalization in my monthly HTML email newsletter. There's something about the nature of the design and the content that make it more like a publication, not a personal note. It just seems wrong.

HERE'S WHAT I THINK. Personalization can make someone notice you.

But you want to go beyond that.

If you've succeeded in building a strong relationship with your clients, focus on being authentically you in your communications - not faking intimacy with technology.

(By the way, what many people don't know is that you can include personalization in your printed marketing. It costs you more, of course, but I'd be willing to bet your return on investment is higher, if the price of the product justifies it. Disclosure: I haven't tested print personalization myself yet.

The Day of the Dead

The cemeteries of Spain will be busy today.

I've always found Iberian graveyards curious places.

I never visited one when I was living there, but I saw many from the outside.

You see, in Spanish cemeteries, many graves are set in high walls. The dead are stacked on top of each other, with stones marking their positions.

Reminds me of giant filing cabinets that will never be opened.

Today, November 1, those cemeteries will be busy. Because today is Todos Santos - All Saints' Day - when traditionally Spanish families visit the graves of their dead and leave offerings of flowers. It's a tradition common in many Catholic countries.

While deceased relatives are no longer living, they are with us in some way. A simple annual ritual helps us connect with them - if not physically then at least in our thoughts and our memories.

I often call - perhaps rather crudely - lists of prospects and clients you haven't contacted for a while "dead".

Without out a regular ritual of remembrance, they may as well be. They're gone and forgotten.

And unfortunately, they've probably forgotten you too. Or at least you're not at the top of their minds.

But that doesn't mean that connection has to be broken forever. It can be repaired.

New members of my newsletters service often ask me what to do about old lists of prospects they haven't contacted for a while. Can they contact them again?

I tell them yes, but they have to be careful - and they shouldn't expect miraculous results.

A message of atonement is required.

I suggest they send a friendly email, apologizing for their lack of contact but promising to do better in future.

They then should offer a new way to subscribe to their regular newsletter.

To encourage these past clients to continue to agree messages, I advise they describe how useful and entertaining their future emails will be...and perhaps offer a something extra - a downloadable bonus - in return for agreeing to receive further emails.

It's a difficult maneuver to make, but there's nothing to be lost by doing it.

And once that connection is made again, a ritual of regular contact will help ensure it never dies.

[Picture by Cayetano]

30 Days in November, 30 Interesting Messages

Want to take part in an interesting experiment?

Want to see me potentially humiliate myself in front of thousands?

I've been challenged by copywriter John Fancher to hone my email writing skills.

He has pledged to create one auto-responder message each day.

What is an autoresponder? It's computer software that automatically sends emails to your prospects and clients. You pre-load the content, which could be months' worth of newsletters and email messages, and the system does the rest. If you want to try one, go to my website and complete the box there.)

Why is this challenge worthwhile? Auto-responder email sequences are a great way to build relationships  with prospects and customers without you having to do a lot of manual work - and the best way to get good at writing them is to practice.

So...to get my own practice (to get ready for a new product I'm launching early next year) I too am pledging to write one interesting email message a day for 30 days in November.

What will I write about? Well, it will be roughly related to the content of this blog. But we'll see...

Will I succeed?

Will I have anything interesting to write about?

Will I be able to add value to the lives of people who read them?

It's up to you to decide.

Just complete the form below and you'll get signed up to receive them. You can of course unsubscribe the moment you get bored or the moment I annoy you too much (although I hope that doesn't happen.)

Contact Information
First Name *
Email *

So what's that new project you're talking about?

Well, it's related to my 30 days of emails. I'm not ready to give you details yet, but I can tell you that anyone who signs up will be eligible for a discount or some other kind of bonus.

[Picture by Lincolnian]

Why Your 'Bonus Document' Is at the Heart of Your Newsletters

Members of my real estate newsletter service know that they get at least one bonus document as part of the program.

Don't take the power of this document too lightly. It's at the heart of any successful newsletter.

Here's why.

The terrible truth is that people don't want to sign up for your newsletter.

They're thinking, "not another useless newsletter to fill up my inbox or mailbox!"

"No thanks!"

(That's because most newsletters are self-promotional garbage. Of course, you know better than to send one out like that.)

So you have to go the extra yard.

You can't just say "sign up for my newsletter". You have to give them something that's extra valuable. Something that they feel they have to own.

It's a reason why the bonus documents I offer have enticing titles, such as "How to Survive the Recession ...Stronger Than Before" and "50 Essential Tips to Prepare Your Home for a Speedy, Top-Price Sale."

Don't you just have to read those...at least if you're in the right target market?

It sure is a lot better than just "sign up for my newsletter."

So what you do is promote the document in ALL your marketing materials. Everywhere. Every time.

And when they sign up to receive it, let them know that you will be sending them your newsletter too (and that they can quit receiving it any time they want).

If you do this, you'll get hot leads from people who are really interested in what you have to say.

If the idea of a document or report isn't for you, check out the ideas for other "bait" offers in this article and this article.

Attention Real Estate Agents!

A great way to use your bonus document is to mention it on postcards.

Postcards are an effective (and cheap) way to contact lots of prospects and to entice them to sign up to get your bonus document and your newsletter.

So that's why I've put together some postcards that make the fullest use of your bonus documents.

At risk of bragging, I think they're quite beautiful. Jae, my designer, did a fantastic job.

Find out more here.

Will Your Newsletter Pester People?

 I had an interesting chat earlier this week with someone who is thinking of joining my newsletter service.

He was pondering sending a newsletter only every quarter instead of monthly.

Why only every quarter? Because he didn't want to "pester" his readers.

It's at that point that I said, "Hang on just a minute...."

Here's the thing.

If you are in danger of "pestering" your readers, you shouldn't send a newsletter monthly.

You shouldn't even send it quarterly...or annually.

You should send it never.

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Fears of "pestering" come down to an anachronistic way of looking at the relationship with your clients and prospects.

My caller was doing business the old way. In the past, marketers interrupted people with their message.

They said "buy my stuff," and "hire me today".

And ... this is the worst sin of all ... "I'm really great, you know."

"Me, me, me!"

Sure....that's pestering - like the child who can't pass a Baskin-Robbins without tugging on his hapless parent's arm.

That kind of newsletter deserves to go straight in the trash.

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But that's not the best way to communicate with your prospects and customers.

Instead, your aim with your newsletter is to make your prospects' and customers' lives better.

To help them do their jobs better, to make their days easier.

That's why instead of putting out a newsletter that's overflowing with self-promotion, you publish something that's packed with useful information.

Content that has value.

If you do that, people will start reading your newsletter. They'll even start looking forward to it.

Not only do you avoid pestering your readers, but you become in their minds a trusted advisor.

And they're much more likely to do business with a trusted advisor ... who is thinking of their needs ... than someone who interested only in themselves.

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PS. If, despite all this, you are still seen as pestering your reader, then you don't want them to continue receive it; clearly, the two of you are not on the same page. It's better to spend your resources on someone who appreciates your newsletter content.

PPS. If you see this newsletter as "pestering" you, please unsubscribe. The link's at the bottom!

[Picture by Gordana Adamovic-Mladenovic]

Real Estate Agents: How to Make 4x as Much Commission

Here's another of my little charts. This one applies to real estate agents and mortgage brokers in particular - but the general idea applies to any business.

It makes a compelling economic case for keeping in touch with clients over the long term.

 

The chart shows the difference in commission earned by a real estate agent (or mortgage broker) who keeps clients for life compared to one who just does a single transaction with a client.

The difference results in four times as much earned in commissions.

How is it worked out?

Consider that a real estate career lasts 30 years.

The average time a family spends in one house is said to be 7 years.

So, over that 30 years, the family will move 4 times (4x7=28).

Instead of earning one commission over your career from one client, you earn four commissions.

Let's put some numbers on those bones.

If the median home price in the US is $180,000 and commission is 5%, the commission earned would be $9,000. 

So four times that sum is $36,000 - a difference of $27,000.

Of course, this doesn't account for commissions shared, and portions paid to the broker and your costs...but the result is the same. You earn a lot more money by keeping a client for your career.

Of course, keeping in touch with clients through newsletters is the best way to be top of mind so that they call you when they're ready to move.

So how much will it cost to keep in touch with them?

If you do it by email, the cost is practically zero, as emails cost nothing to send.

If you do it by mail, and you send newsletters every month, you are looking at an approximate lifetime spend of $576 per client. (That's made up of $1 per month to print the newsletter for 360 issues, plus 60 cents per month for postage.)

Of course, that doesn't include membership to a newsletter program, running at around $49 per month - but that program can be used for multiple clients. And - of course - results will vary, postage and printing costs will go up, and not everyone will get every client to come back every time.

But still...the economics are pretty compelling:

Commissions earned over lifetime per client: $36,000

Cost to keep in touch with client over lifetime: $576

Total commissions minus cost: $35,424

versus..

Commission earned with one transaction: $9,000

Cost to keep in touch with client over lifetime: $0

Total commission minus cost: $9,000

Difference: $26,424

Now, multiply that by the number of clients you might have, and the math is truly astonishing.

As I say, not everyone will get the same results - you could not do as well. Or, with rising house prices, you could do better.

But when you look at it, the investment in keeping in touch is so low and the benefits are so high that it's something you must consider.

Find out more about newsletters for real estate agents and mortgage brokers.

How Repeat Customers Add Thousands in Income

Here is a chart that every business owner should print out and paste above their desk.

What does this chart show?

The bottom line shows the cumulative income of a business that has zero repeat customers.

The higher line shows the cumulative income of a business that has 20% of its customers returning.

Interesting, isn't it? That top line continues going up and up - like compound interest in a bank account.

Yet here's the funny thing: most businesses do NOTHING to encourage customers to come back. Instead, they're continually going after new customers.

That's why most businesses have incomes that look like the lower line in this chart.

At the least this strategy is shortsighted; at worst it's negligent. What would the investors, partners and spouses of these business owners say if they knew so much money was being left on the table?

What's even more crazy is previous customers are the easiest to sell to. After all, they already know and trust you.

When you look at this chart, there's only one conclusion: can you afford NOT to at least spend a few bucks a month sending a newsletter?

Just sayin'.

Give Before You Take: the Art of Nurturing Leads

So much of business is common sense, it pains me to write about it.

Yet so much that business owners do goes against simple common sense that...well... I guess I just have to point out the obvious.

Here's today's topic: give before you take.

Imagine you meet someone for the first time and they say, "can you lend me a hundred bucks?" or "can you write me a character reference?"

You'd think they were crazy, right? And, frankly, you'd think they were...to say the least... lacking social skills. Lacking finesse.

After all, these kind of favors should only be asked once the two of you have some kind of relationship.

Psychologists have a concept known as the emotional bank account. The idea is to make  deposits into this bank account before you start to make withdrawals.

That means people give first...before they start to take. (After all, we all know where getting into debt leads us...)

So why do so many business owners think they can take BEFORE they give?

Why is the first communication they have with prospects a solicitation asking for business?

Why do so many real estate agents ask for work (that could be maybe $10,000 in commission) without first providing some kind of value to their prospects?

Why do so many insurance brokers expect you are going to trust them to find you good insurance at a reasonable price without first demonstrating that they are willing to do something for you?

The Art of Nurturing Leads

Relationships with prospects need to be cultivated carefully. The emotional bank account needs to be full before you start making withdrawals.

That means you need to offer value before you start selling.

• When, for example, you send a newsletter, make most of it valuable content.
• Provide value in your communications before you start selling.
• When you ask people to sign up for your newsletter, show that you will give them something of value.

Give before you take. 

[Picture by John Nettleship]