Believe it or not, in this digital age of email and the Internet, everyone still has a real mailbox.

According to “Direct Marketing” magazine, over $36 billion was spent last year on direct mail, beating both print and broadcast hands down.

However, the majority of small businesses still do not use direct mail as effectively as their larger counterparts. Nothing provides a better return on investment than direct mail. And it does not matter what product or service you are selling.

A sales letter is the most powerful employee you could ever hire. For about the price of a cup of coffee, it will persistently go out and deliver your message perfectly, every time. It will never call in sick. It will never complain. And it will never quit on you. Simply put, a powerful sales letter is like having a little automatic, money-making robot working for you, day and night.

What is the secret for getting people into a mad rush to do business with you?

The answer? Your list is the first and foremost.

If you think “junk-mail” does not work, then you are absolutely right! However, using highly targeted direct mail always work.

The most common story you will hear from other people is how they mail out thousands of glossy, beautiful brochures with pretty pictures, flowery text, and everything looking absolutely gorgeous. But they get zero response. Therefore, they assume direct mail does not work.

What could be the problem?

Direct mail when done wrong is almost always a huge waste of money. But when it is done right, you can expect tremendous results and profits. Doing it right only means one thing – getting results.

Your mailing list is essential to your success. You cannot just pick a random resident list of nearby Zip codes to your office. What you need to do is consider who your ideal customer would be and then find a way to target your message directly to them.

With direct mail, you are given the opportunity to use laser-beam, pinpoint accuracy to specifically target your message. And thanks to the growing direct marketing industry, privacy is dead in America.

There are two major types of lists available:

1. The first kind of list is simply compiled information; taken from directories, phone books, motor vehicle records, etc.

The most common compiled list is probably a geographic list. This usually will not yield the greatest results. Another way to segment a compiled list is by demographics. This is a little better way to target. For example, you could specify you only want females, age 50-65, who earn $75k and above.

But there is an even better way and that’s to combine the two methods. You can pick certain geographic areas and certain demographic characteristics that you desire. Think of your ideal prospect; the more you know about them, the better-targeted lists you can purchase.

2. The second type is called a direct response list. These are lists of people who have bought or responded to direct marketing.

In some cases, it will make more sense for you to buy a mail-order list. The people on this list have bought something from direct response methods.

What you want is a “starving crowd,” somebody who has expressed an interest in looking better. Somebody who has paid money. And that is exactly who you can find using direct response lists.

There is one more list that almost everyone forgets. It is literally a gold mine just lying there at your feet. And that is your own list.

You are overlooking an incredible source of added business if you have not put all your customers’ names and addresses into a database. This list will be the most powerful and responsive list you can use for any offers because these people already trust you and like doing business with you.

This is critically important. Especially if you are in a business that typically does not keep their customers’ names and addresses because you are missing an incredible amount of money.

Maybe you are a retailer or a restaurant owner — make it a habit for your staff to collect customer names. It is absolutely critical. It will serve a valuable role once you start sending out direct mails.

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