Transcript for:
Dan Kennedy's Insights on Direct Marketing

hey everyone I want to welcome you back to the magnetic marketing podcast with Dan Kennedy um I'm excited for this episode um we found a gem in all the archives of all the Dan Kennedy files and the videos and the audios and everything we actually found one of the original presentations of Dan Kennedy himself speaking at a Peter L event selling magnetic marketing which is so cool now um unfortunately the last seven minutes Dan will start transitioning over he says I got 7 minutes left he starts transitioning into his pitch which is the part I was the most excited to hear but unfortunately the the old owners of these audio files had actually edited out Dan's pitch and put in a new pitch um that they recorded over so I'm not going to include that I'll I'll pull that out but we have a chance to hear Dan's actual stage presentation you've heard about him speaking from stage and selling from stage and um this is where I learned originally how to sell from stage was from Dan and I always wanted to hear him like um I've seen Dan speak a lot over the years but more as an educator not as a salesperson selling from the stage and so it was so much fun for me to hear him in his element when he was at his Peak selling from stage at the Peter L events in front of tens of thousands of people um I heard him tell stories all the time about they'd bring in all the celebrities and they'd all speak and he'd be at the very end in there as the one who was making the money who was selling the products and the services and so it was just fun because a lot of the stories I've heard before many of them you probably heard on this podcast or other places but never heard him how he weaved them into his actual presentation to set up his cell and so for me this was like a gem uh someone who studies stage presenters and studies how to close from the stage to actually hear Dan in his prime doing his stage pitch uh was amazing so even though we missed the last seven minutes you don't get to hear him actually calling people to run the back of the room um you do have a chance to hear the rest of the presentation which was amazing which uh had all the elements that he needed to set up the Cale to persuade people to move them and to help them to understand why they needed his new opportunity so I hope with that uh you guys can enjoy this episode as much as I did um it's amazing to hear Dan it is prime um speaking for from stage and selling and with that said I hope you enjoyed this episode of the magnetic marketing podcast I don't think there's anybody that has had a bigger impact in the field of direct response than Dan Kennedy the legend of Dan Kennedy should be ignored at your own Peril they're not really lessons they're kind of laws that you live by Dan opened my eyes to what small business marketing looks like Dan teaches strategic direct response that is timeless his ripple effect tou is people who don't even know his name the world as we know it was changed because Dan Kennedy became obsessed with marketing welcome to the magnetic marketing podcast with your host Dan Kennedy I'm going to send you out of here with specific usable one two three marketing strategies that apply to any product service business or sales career that you will see results in your bank account within 21 days or less I'm going to give you one complete strategy you can use exactly as I describe it to you at the end of our time together that you you will be able to go and apply and I can make a virtual certain bet that none of you in here are using it exactly as I will describe it to you but that most of you can and again most of you will be able to see results in your bank account in 21 days or less as a result so we're going to do some real practical stuff I am here to make you money uh there's there's a couple things I like folks to know about me before we uh get rolling uh one is if you're at this seminar good bet you go to a bunch of them and at many seminars uh what you encounter is what I call the uh pretend experts the folks who uh uh sell only in their memories run businesses only in their nightmares and now Traverse the globe telling people how to do what it is that either they never have done uh a whole lot easier to write a book than it is to do it uh or uh that they did so long ago that it just no longer matters uh I do this 50 60 times a year it's only onethird of my life though 2third of my life is like yours it's in the real world uh dealing with customers and clients who eat their young every Monday morning real marketing problems and everything we talk about here this afternoon will be reality based uh not Theory based I have two hate lists for you that uh pretty much uh summarize where we're going to go this afternoon if you run a business and uh you uh sign your name on the dotted line on all the checks uh then one of the key things on your list of things that you hate should be being what I call an advertising victim and when I say that you should get a mental picture when you get the big black checkbook out and you sign one of those checks for some kind of advertising expense and you hand it to some kind of advertising salesperson and you have no earthly idea whether you made a good decision bad decision when you'll know how you'll know if you'll know I detest that kind of uncertainty when I spend my money bet you do too going to show you how to eliminate it how to make every dollar you spend promoting your business trackable accountable measurable and come back to you quickly in multiples for those of you that sell for a living number one on your hate list should be cold call prospecting grunt work um my friend zigg would call that warm approaching and uh if he and I agreed on everything one of us would be unnecessary I just don't see anything warm friendly fuzzy happy Pleasant about this process of trying to talk to people uh who at least emotionally if not physically are backing away from you as fast as you are moving towards them um I grew up in the midwest where we have coal mining and to me coal prospecting is like coal mining it's dirty filthy ugly smelly sweaty work uh best left to people who are in minimum wage with Brawn not maximum wage with brain and so regardless of what you have done before this afternoon um as a result of what we do this afternoon uh you should never cold Prospect again as long as you live I'm going to show you how to eliminate it from your existence and change the way uh you attract your customers or clients one quick story set the stage for where we're going to go then we'll roll up our sleeves and get to work um story gets us acquainted and uh sets our Direction uh I live in Phoenix and uh I guess you have heat kind of like ours um you know our license plate slogan is but it's a dry heat and uh it is um just like a microwave four months out of the year and it's important to this story Phoenix just if you haven't been just take my word for it there is no hotter place in North America than Phoenix in July and August uh I travel a great deal 200,000 air miles or so a year but I do have an office I do have a staff even when I'm home though I tend not to go to the office I find it disturbs the staff and so generally when I'm home I I stay at home and one of the things I do is I catch up on Consulting calls with my clients on the phone and so several jues ago um I'm home alone weekday afternoon everybody's out of the house I've got the house to myself I'm at the kitchen counter I've got a picture of IC tea I've got a client on the speaker phone I'm intensely involved in a conversation with my client when someone Uninvited unexpected and in fact unknown to me begins to ring the doorbell and bang on the front doors of my my home with earthquake intensity uh you all work for a real living you're not home during the day but if you stop and think about it the options of who can be at your home on a weekday afternoon Uninvited banging on the doors pretty slim it's a pest not sure who it is back in their Rec session years we knew cuz all the Jehovah Witnesses and car and Avon ladies car pulled but now it can be all sorts of people but it's a pest and so I did what you do with pests I ignore it confident that if sufficiently ignored it'll go away didn't um I'm ignoring continuing my conversation he's ringing and banging ringing and banging ringing and banging but finally I'm right after ignoring him for a sufficient length of time he gives up and leaves ever so briefly he goes around to the rear of my property he climbs over an 8 and 1/2t high masonry wall with shards of glass embedded on the top to discourage this method of Entry comes down past the cactuses the shrubs the pool and the spa and he is now on the patio deck immediately behind me he can see my back to him through the panes of Glass on the doors on which he is now banging with Incredible violence this is by far the most annoying pest ever but I'm like the most stubborn guy ever so I keep my back to him raise my voice to carry on my conversation we have the contest of Wills that seems to last an eternity finally he wins I can't handle it anymore I turn around to deal with the most annoying pest ever it turns out the reason he's there is my entire backyard is in Flames we uh we set a record that year 15 straet 120° days and everything a little dry brittle my guess is some imbecile driving through the community flipped a cigarette butt into orbit it picked my yard to Lim but I'll never know but literally everything but the water in the pool is on fire and this um this Good Samaritan who thinks I'm an idiot which is arguable by now is um is there trying to save my house now here's what's instructive here's what's useful at that precise moment in time he went from being the most annoying pest to the most welcome guest ever to visit the Kennedy household in 15 years because he was there with just the right message at just the right moment in time in this case call 911 stupid I'll work the host now the reason it's instructive is because know it or not acknowledge it or not like hearing it or not the the vast majority of the time that you try and communicate with your Marketplace present past or future prospects clients or customers you are categorized as a pet not has the most welcome guest of the day week month or year and I'm here to tell you that if you discover how to change that I call it addressing the first Square on the marketing game board if you change that you automatically change everything everything else suddenly gets easy if you become what we call a welcome guest marketer I give you two quick examples real I have two friends in this business you would know one or both of them maybe I won't tell you their names but the one is a sales trainer and if you've ever had the joy of being locked in a three or four or five Day sales training boot camp then you'll appreciate this he teaches 365 different ways to close a sale presumably for people who would like to improve their effectiveness of doing so and whenever I see him the first thing I always ask him is whether or not he's found one yet that works because it would seem to make the other 364 so purple but you it's less tapes in the box but other than that but here's my contention if you want to increase your conversion percentage if you want to close more sales you don't do it with a new magic seven-word manipulate to phrase you pop out of the box at the end of the process you do it from the beginning of the process and if you become a welcome guest marketer is we're going to talk about then your closing percentage goes up without improving any of your sales skills whatsoever my other buddy is in a time management business and uh he sells some of you have them probably under your seats or out in your cars the really big honk and time management systems that if you got a small car you got to strap it on a roof when you drive around and which is why they come with solar calculators they recharge while they're up there uh these things usually have 56 colored tabs and 86 colored pens and it takes an hour and a half to learn how to use it that comes with a videotape and uh as dear as I can tell it takes an hour and a half a day to use the system to manage the time that saves you an hour a day but if you like those things that's fine by contention though is if you want to improve your personal productivity you don't necessarily need to new leather binder instead what you do is become a welcome guest marketer so you spend all your face-to-face time only dealing with people who have sought you out and are predisposed to do business with you in a competitive vacuum and so that's what I'm all about that's what I do for companies and organizations people every time we do it we build a new Marketing System we cover three main issues we deal with three steps going to run you through them very quickly here this afternoon and here they are we'll talk a little bit about each one of them as we go along gentlemen in the back of the room thank you the first one is write message what do you you say message marketing message what do you say to your Marketplace to your past present and future prospects clients and customers that is compelling that is magnetic that cannot be ignored that must be responded to that draws them to you like a light on a dark night draws Ms do you have a great marketing message we're going to ask some questions and find out secondly who do you say it to and by deliberate strategy who do you not say it to being efficient in your marketing are you efficient are you smart about this are you throwing mud against the wall we're going to ask some questions and find out and third the media how you deliver the message to the market do you do that effectively do you do that affordably do you do that efficiently do you do that in a way that involves little or no manual labor and magnetically attracts people to you we're going to take a look at that so in each of these three things I'm going to give you one or two key ideas to take with you and for starters under message I want to send you home with the single most important question anybody's going to ask you about your product service business or sales career as long as you're in it uh Master this one question you take a Quantum Leap in ability to create income as a salesperson business owner or marketer this is the single most important question because the right answer to it as I'll demonstrate is the key to the marketing Vault it doesn't just marginally increase things it multiplies them far beyond the ability of most people to even conceive it is that important and I'll give you a model a demonstration now the technical term for those of you taking notes for the answer to this question is USP it stands for Unique selling proposition that which differentiates you from all competition direct and indirect and here's the question why should I your prospect choose to do business with you versus any and every other option available to me in your category why should I choose to do business with you versus any and every other option available to me in your category and when you have a great answer to that question you can turn things upside down example model I'm going to give you a model to take home a model of one of the best unique selling propositions invented in maybe the last two decades and so what you want to do with this model is you want to take it home and lay it down next to your unique selling proposition and see how they compare and if they don't compare very well then this one's a good place to start to build a great answer to this question this particular model this unique selling proposition um was invented by a college kid two kids um orphans no family resources no athletic ability no scholarships determined to go to College uh here's the plan they hatch the plan they hatch is they find a crummy miserable stinking little retail business that's on the edge of Campus on the brink of failure its owner is only too happy to lease it to them with no money down just to get out from under the ongoing bills the plan is the two kids are going to run this business one of them's going to go to school during the day while the other one works the business and they're going to flipflop the other one's going to go to school at night they're going to do everything in the business are even going to sleep on cots in the back room keep all the money this is how they'll get through school shortly end this plan the business is continuing to Hemorrhage money one partner bails out on the other the one who stayed behind dropped out of school determined to honor his commitments and make this work shortly thereafter invented a unique selling proposition I think it's eight words long and on the strength of his unique selling proposition he that only almost immediately turned a failing business into a successful business but he multiplied it pretty soon he had multiple Outlets he dominated his City he dominated his State he dominated North America and in under 5 years according to Fortune mag he became one of the 1,000 wealthiest citizens on the planet all thanks to his eight-word unique selling proposition his unique selling proposition was so powerful think about this that for a decade we could go out anywhere in North America stop 100 people at random on the street play word association with them what's the first thing that comes into your mind when we say blank give them the generic equivalent of his business and 80 or more of the 100 the first thing on the tip of their mind first thing on the tip of their tongue was the proprietary brand name of his business and what a good job he did if we go out in Salt Lake City tomorrow we stop 100 people at random on the street and we give them the generic equivalent of whatever it is that you do real estate Insurance stocks bonds computers automobiles pet grooming doesn't make any difference and 80 of the 100 instantly respond by telling us about you by name and what a great job you do what's your market share going to look like that's called Marketplace dominance that's what this kid got he turned his entire industry upside down he had everybody chasing him for 10 years trying to catch up you can do it too with the lever of a great answer to this question a powerful unique selling proposition now if you guessed what his was that's all well and good but what I've said should hopefully motivate you not just to guess and shrug but to want to microscopically analyze his and others like his to find clues that you can use to strengthen your own his was fresh hot pizza delivered in 30 minutes or less comma guaranteed and on the strength of that unique selling proposition Tom Mahan took a crummy little Corner Pizza Joint and built an Empire when you analyze it there's a number of things to spot I'll point out three one how narrowly he defined his position in the marketplace Tom didn't try and be all things to all people there's no mention of Mama's recipe from the old country there's no mention only using sundried Tomatoes gathered on the east side of the mountain on Tuesday there's not even any mention of good pizza there's um there there's truth in advertising after all there there's 52 ways that I teach to build a USP the one Tom used there is called opportunity Gap exploitation he identified the one thing in his industry that everybody did badly that annoyed the consumers the most focused on it fixed it and made it the core of his marketing message uh secondly uh what we teach is Meaningful specifics rather than vague generalities Tom Mahan did the say I'll get you a pizza soon fast quick quicker than the other guy faster than a speeding bullet Tom said set you a watch it'll be there in precisely 30 minutes or less we call that gutsy accountable marketing very few marketers very few business owners are ever willing to do it for obvious reasons those who do gain incredible leverage in the marketplace and there's case history after case history after case history to support it third a guarantee Tom took all three of those things and a number of other things we don't have time to analyze and knit them together in this tight concise little statement called a unique selling proposition the foundation of his entire marketing message and it gave him the leverage to turn one little business into a global Empire you may not want a global Empire but you may like The Leverage so the first thing to take home the first little homework assignment is to go home and think about why should I do business with you versus any and every other option available to me in your category how's your answer how's your marketing message now second let's assume we figure all that out let's assume we got a great marketing message at its cor is a great unique selling proposition we're excited about getting it out to the marketplace it's so good we're ready to spend money getting it out to the marketplace here's the next challenge world's greatest marketing message is no better than the world's worst Market message if it's shouted at deaf ears we do this a lot most people are not any more sophisticated about marketing their businesses products or Services than they were two decades ago in fact here's the level of sophistication that most of us unfortunately settle for print up brochures a lot of them stuff them in a big burlap sack rent a plane fly low lean out Shake sack hope we can do better and here's why we can do better for good or bad and it's a debate that has nothing to do with us marketers privacy in America is dead it's gone buried forget it the database world the world of lists the world of demographic cych Graphics the world of Target marketing knows more about you than your mother and so if you say to me here's what Target marketing is all about Target marketing is all about leveraging resources great marketing message now we want to leverage our resources it's matching the message with only high probability prospects and here's why and how it can be done if you say to me my perfect Prospect is a one-legged with an industrial engineering degree between the ages of 35 and 52 he's got uh three kids two dogs one television set he bowls in a league on Wednesday night and he drives a uh Chevy Impala that's between four and 6 years old that has primer paint on the left front fence we can get a list of them in your ZIP code not going to be a very big list but we can get a list and it begs the issue of high probability prospecting Target marketing using your resources only to reach the people who are perfectly matched with what it is that you have to offer so when we start to talk about Target marketing we spent about 5 minutes and if you know nothing else about Target marketing you'll understand that you'll instantly understand the first thing on the list there's about 15 ways to do Target marketing if you're a businessto business marketer you do it Technic Ally different than if you're a consumer marketer but conceptually it's the same here are the top five ways to Target Market if you're a consumer marketer and you'll understand the first one if you understand nothing else about Target marketing the first one on the list is basic Geographic Target marketing and just about everybody gets it and pretty much just about everybody does it that's where you get a map take kids crayon Styrofoam cup put the cup over your house your store your factory your place of business take the crayon draw circle around the cup take the cup away that's my target market that's valid but it is dangerous and wasteful in its Simplicity and so what I want to do with these five six seven minutes I want to I want to at least get you intrigued enough with Target marketing that you'll go do the research necessary which 90% of it can be done for free and 90% of it's a do-it-yourself project take you less than a day in order to become a much more sophisticated precise Target marketer in your particular business so let me tell you why you want to be more sophis phisticated than Geographic I'm in my office one day and I get a phone call now you should know I'm never in my office and when I'm there I never take incoming calls for reasons that'll become obvious in a second but somehow this day this guy gets through to me on the phone he says look I've been to three of your seminars I got your complete Marketing System most recently we've been doing a marketing campaign for our company we followed the examples in your system we've been doing Direct Mail we followed your examples perfectly and we are getting zero response this is not a good call this is why I don't take incoming calls but um somehow I'm on the phone so you got to ask questions turns out this guy owns the largest Carpet Cleaning Company in Phoenix where I live I said okay where did you send all the mail that didn't get results he said we picked a few neighborhoods real close to the plant so it' be easy for the guys in the trucks to take care of the customers Geographic marketing I said okay what can you tell me about the people who live there he said they live close to the plan I had that I was moving on to what's called demographics and psychographics big words simple Concepts fascinating when you know how to use them demographics are statistical information about groups of people because birds of a feather really do flock together demographics are like head of household occupation income do they have kids not have kids that sort of thing psychographics are even more interesting excuse me because they're predictive of buying Behavior psychographics have to do with what interest people what magazines do they subscribe to what books do they buy what products do they buy what have they spent money on how much money have they spent how frequently do they spend money and as I said all of that information is readily available if you know where to look for it and how to get it so you can precisely match yourself with only the high probability prospects and you can omit others to prove to him the owner of this Carpet Cleaning company the incredible importance of all this we did free research for him I got in his car with him at 5:00 in the afternoon and we drove up and down the streets in these neighborhoods where he'd been sending all his unsuccessful mail and by the way if you do consumer marketing and you haven't gone out looked at them lately venture out take a look you got to go into their own habitat late in the day 5 6:00 is a good time it's when all the ordinary folks rush home to the caves but they don't put the rocks and the holes right away so you check them out so we're driving up and down the streets the carpet cleaning president and I and here's what we find real small Lots chain link fence around just about every lot small cheapest block construction house on a slab you can build almost every front yard driveway or boat there's one old broken down car or truck up on blocks par laying around it's happy hour Papa's out on the porch the concrete slab extension of the foundation enjoying the Ambiance of the evening he's got on an old greasy undershirt with holes in it uh droopy plied shorts beer bottle tucked in one pocket and he's sitting in one of them lawn chairs the green and white plastic crisscross straps two straps missing Papas hanging a little low next to him on most of the porches Mama's out there enjoying the Ambiance of the evening with him she's got on a matching undershirt her says his his says hers greasy holes Dr droopy quad shorts the baby wearing nothing but a diap no shoes or socks is out playing under the car on blocks in the car parts the mud and the grease being supervised by the old mangy flea bitten three-legged oneeyed dog I say to the carpet cleaner do these look to you slow down look close if they clean them at all once a year before the poor relatives come for vacation they run down to Target they get a gallon of blue go for a buck 98 they rent a then they move the furniture around doesn't make them bad people makes some terrible prospects for a carpet cleaner service second big question to take home in your own way are you making the same dumb mistake Wasting Bullets on targets that even if you hit them it doesn't count the biggest leverage you are going to find in taking small amounts of money and getting big results small amounts of effort and getting big results is learning understanding and using Target marketing let's assume for the sake of our conversation we figured that out we got two of the three things we got a powerful marketing message at its core great unique selling proposition and in our sites we have exactly who we want to deliver the message to and we have excluded a whole bunch of people we do not want to waste time or money delivering the message to so we got a great message we got a great Market here's the next challenge how do you take the message you've so lovingly crafted and birthed and deliver it over here to these people you've carefully selected in a way that is effective efficient affordable involves little or no manual labor I'm philosophically opposed to manual labor and will magnetically attract back to you the perfect prospects who are ready able and eager to buy and buy only from you so you get to sell in a competitive vacuum how do you do that well if you make a list and if you stop to think about it whatever business you're in whatever sales career you're in you can make a long list of media things that you can spend money on to deliver marketing messages depending upon your business you can advertise in the newspaper in consumer magazines or in trade and industrial journals you could advertise in consumer or industrial directories you can go exhibit at home and consumer shows or trade shows uh you can advertise to the Yellow Pages you can go on radio and television you can put telemarketers on the phone the L on and on and on on on here's a couple things you need to know first of all all that stuff works and it all can be made to work better with good direct response methods but only a handful a handful of all those things that you can do can be converted into a system and system is one of my favorite words system means reliable consistent predictable results you get it working once and then it keeps working on its own for a long long long long long time before you have to tweak with it again we need Marketing Systems and the example I'm going to show you of a marketing system is so predictable so reliable so consistent that you go to bed at night when you have this working for you knowing not hoping wishing not even praying but knowing within a small acceptable range of variants how many good prospects customers or clients are going to come to you by noon the next day every single day for as long as you use a system and it's like a thermometer you can even turn it up or down to get more or less anytime of the week month or year that you want them it's that scientific so I'm going to show you one example of one Marketing System this example does several things it demonstrates to you what a system ought to look like versus just catches catch can media it shows you how to take a message deliver it to a market in a way that's effective efficient and affordable and this one has a bonus to it this one shows you how to enter a new target market and dominate it in 45 days or less for three bucks a prospect or less you become the dominant presence in any target market you can Define if you can define a target market for me and it doesn't have to be geographically precise necessarily but if you can define a target market then this particular system in 45 days or less three bucks a prospect or less makes you the dominant presence in your category of business in that Target Market everybody knows who you are what you do why they ought to do business with you what your USP is and a significant percentage have responded to you there's a couple of caveats things I have to tell you about this before I show it to you the first is I stole it I'm a huge believer in Creative theft do you not know if I've ever had an original idea in my life but the older I get less interested I am in encountering those things Pioneers come home full of arrows uh so I'm interested in stuff that works but I get to do something you don't get to do last three years my Consulting practice I've worked with clients in 136 different product service Business and Professional categories so you see today's a weird day for you CU you're sitting with people who do different things but most of your continuing education whatever business you're in here's what you do you belong to a National Association totally made up of people in your business you belong to a state or local Association totally populated by people in your same business you go to its conventions meetings and conferences organized by put on for and put on by and attended by people in your same business if you go to a strange town you look in the Yellow Pages in your section to see what everybody else in your business is doing you read books written by people in your business we have a technical term for this it's called marketing insect because it works just like real incest in a short period of time everybody seems to get dumber and dumber and dumber and dumber until the whole thing just grinds to a creaking halt all great advancements in businesses come from outside the box not inside the Box well I get to do see what I get to do as a consultant I get to go over and work with industry a and because everybody's biopic while I'm over there I notice something they're doing that's phenomenally effective hardly anybody else outside their business is doing it but could be doing it I borrow it from industry a and I take it over and I teach it to Industry B and while I'm over there I noce something they're doing that hardly anybody else is doing but could be doing and so I borrow from industry B and I take it back and I teach it to Industry a it's a disreputable way to make a living but I'm a high school graduate this particular system I'm going to show you as an example I borrowed um 25 26 27 I don't know how many years ago now by observation only from the real estate business realators have a marketing term they use called farming and what they mean they don't mean Gabor sister mule funny hat Pitchfork green ACR song move to the country but the agricultural analogy is there what they mean when if you hear them talking about farming what a real means is getting a small carefully selected manageable target market and setting out to become the dominant presence in their business in that Target Market in as short a period of time as possible now they do it with manual labor I don't like manual labor but conceptually it's the best marketing advice you're going to get as long as you live so let's spend a minute dissecting it what they mean by farming is getting a small carefully selected manageable target market and then nurturing it setting out to become a dominant presence now they mean geographically small I don't necessarily mean geographically small a small target market for you could be all the dentists in Salt Lake City who earn over $100,000 a year but it also could be all the dentists in North America who earn over a quarter of a million a year it's a defined target market small carefully selected manageable set out to become the dominant president so why small because the biggest marketing mistake most marketers make is marketing too big I'll say to somebody what's your target market guy says Salt Lake City terrific if we send one postcard once a year to every adult in Soul like that which can hardly be called an intensive campaign what's our budget have to be quart of a million dollars how much you got 600 bucks problem you want a formula here's a formula somehow preferably by science by strategy by demographics psychographics but if necessary by personal preference or bias but somehow you have to shrink the size of your target market so that whatever resources you're willing to commit allow you to have big impact somehow you have to shrink the size of your target market so whatever resources you're willing to commit allow you to have big impact there is absolutely no point in jumping up and down in the ocean and thinking you've done something you want to jump up and down in a puddle you could move from one puddle to the next but you want to work puddles not oceans small carefully selected we talked about the power of selection of Target marketing carefully selected manageable manageable means either they are all in the same place or they all belong to the same thing or they all weed the same thing or they're all available on a list somehow we can affordably effectively and efficiently reach them small carefully selected manageable target market set out to become the dominant presence in the target market in a shorter period of time as possible we just want to do it by substituting something for the manual labor the realators invented and what we're going to substitute is a very particular type of direct mail the example I'm going to show you is a direct mail example now two quick caveats first of all direct mail is not the only thing I teach not the only thing you should use not the only thing in my system in fact far from it there's all sorts of media and Delivery Systems that can be used but Direct Mail can be and often is one of the best bangs for your buck if you learn to do it right which brings me to the second caveat as soon as I start to talk about it onethird of the years in the room flop right over man we've tried Direct Mail doesn't work in our state city business industry product category it's too expensive it's too complicated a couple things about that first of all you and I go through life only doing the things that work real real well for us very first time we do them less kids with each generation secondly you have not tried Direct Mail the way I'm going to show you how to do Direct Mail in fact yeah almost everybody makes this mistake when they do Tri it they get a list from somewhere maybe not a very good list but they get a list they print up something they send it to the list and almost no matter what happens L bad good they never mail to those same people again or if they do it's 3 6 8 months later by accident they send them the same stuff they sent them the first time save your money never do one shot mail let me explain to you why that can't work here's how people do not live the last thing Harvey says to Marge when he leaves the house in the morning is not Marge I want you to stay home don't go to work don't take the kids to school don't go to the grocery store do not leave this house do not leave the fo stay right here in the foyer with your nose pressed against the window watching for the mailman when the mailman arrives I want you to hustle your buns out to the mailbox and get the mail before somebody gets it a bird snatches it it catches on fire it gets wet get it back in the house guard it until I get home together we will open the mail because today might be the day that a life insurance agent sends us one of those Nifty letters where we can get a free road atlas if we let him come over to our house and beat our brains in for 3 hours and I want a free road atlas this is not how people live their lives and what makes people think they can print up one crummy Golden Rod flyer send it out one time and get some stamped of response it's a mystery to me they thing doesn't even Nick them on the way by they don't even feel the breeze you want secret secret to advertising secret to marketing secret to direct mail and specific secret to both to both impact and response if you want impact if you want response you must have repetition the two are inextricably linked one does not happen without the other but you cannot do Madison Avenue kind of repetition you can't afford the time or the money you need a gorilla Warfare kind of repetition and that's what I'm going to show you here with this example an example of one type of marketing system but certainly a very good one that in any target market you can Define in 45 days or less for three bucks a prospect or less with no manual labor penetrates that market makes you the dominant presence in that market using a particular type of direct mail now I'm going to show you one example from one business got to quickly convince you you can move the example to any business and it doesn't matter it doesn't matter whether you sell Big Ticket items small ticket items doesn't matter whether you sell to the corporate CEO in the boardroom or Mom and Pop at home in the kitchen doesn't matter whether you go to them they come to you doesn't matter whether you sell tangibles intangibles consumable products or Services uh none of that matters let me quickly try and prove it to you these are a few letters about what I'm going to show you across my desk recently this is from an insurance agent he says I targeted 500 business owner prospects 174 of them call called us to set up appointments this is the only way I'm prospecting now I would think so this is a computer software company they sell only to the fortune 1000 your system is the most profitable thing we've done to get new business in 12 years this is an automobile salesman I'm amazed I sold 11 cars last month the referrals brought into an event by past customers all thanks to your mailing system and we sent to only about a 100 customers 100 customers 11 cars this is a certified financial planner I went from $133,000 a month to $42,000 a month in fees and commissions all in a one Monon jump thanks to your system this is a children's clothing store owner we doubled business last year even though a big Factory closed in our town this is an Amway Diamond Direct we never thought Direct Mail would work for us but in one month we've dominated a neighborhood etc etc etc I got hundreds of them I could read you so whatever business you're in the model moves the example I'm going to show you comes from the restaurant industry I use it in all my seminars for two reasons uh one if you had an arena full of restaurant owners it all swear it won't work restaurant owners don't do built seven restaurants that I know of but restaurant owners pretty much don't do direct mail and if they do anything they do vpac you know the thing you go through find Basket in a robin store everything else out secondly uh I got into a speaker said I got to read you just a couple paragraphs of what I'm going to show you but since I'm going to read you we might as well have a little fun this is kind of an infun example but don't miss the serious point of how this can take your marketing message deliver it to a chosen Market effectively efficiently and affordably and magnetically bring you ready to buy customers or clients dominate a market 45 days or less so this is letter number one to a geod demographically selected list for an Italian restaurant uh in real life where the square is there's a photograph of the owner of the restaurant the headline says a confidential letter to the husband of the house from Georgio the romance director of Georgio's Italian Grotto I'll read you just two paragraphs dear husband women are different than we are your loving wife needs wants and deserves special attention maybe more often than you think to give it to her you are busy preoccupied with work aggravated with that dum dum you have to deal with every day at the office tired who has the time where the an energ to even think about Romance 2third of all marriages end in divorce and the number one reason given by divorcing Women quote he just didn't pay enough attention to me anymore I wrote this while I was watching Oprah restaurant uh goes on to present a solution to the problem which in this case is a prepackaged evening of romance One Price table in a special section five course meal strolling violinist Rose in a Bud vase heart-shaped box of candy to take home souvenir photograph that's called an offer by the way and it's useful to know how to do one of those although it's not our point my point is what happens to everybody that gets this letter and does not respond 15 days later they get a second one this one too has a picture of giorio in real life where the circles are there are three pennies glued to the letter the headline says three coins in the fountain sake of time I'll just cut to the chase a second paragraph says you see this is your second notice your romance Wake Up Call from me yio the romance director myel tolls does it toll for thee this letter goes on to restate the problem restate the solution remake the offer and it works and gets response that's not what's important to our conversation what's important is what happens everybody gets letter number one letter number two does not respond 10 days later they get letter number three letter number three has a picture of youro the headline says hear that lonesome whipper will he sounds too blue to cry dear husband this is youro too blue to cry disappointed attached are copies of the two letters I previously sent you and the real stubborn ones that don't respond to that soon get a post card that looks like this and it says can this marriage be saved now here here's what you have to ask yourself seriously for just a second do you have any doubt that any household that gets the three letters and if necessary the postcard he's not the topic a conversation it doesn't matter who opens a mail they're showing it to each other they're showing it to their neighbors or you get this guy's mail which some are some aren't Georgio walks into a 7-Eleven dry cleaners in the community people gather around them tell them how much they enjoy getting his mail when they got reservations at the restaurant and ask for his autograph for the price of three letters and a postcard he is the dominant presence in his category of business in 45 days or less in his chosen and target market you can't do it more efficiently than that now few people are saying wait a minute I saw very sophisticated stuff to very sophisticated people never do anything like that it's unprofessional well you can separate style from structure I want you to know this works even better in businesso business that it does in consumer because everything else they get in businesses to business mail is deadly dull institutional and boring but if you like you can separate style from structure what's most important is the structure let me show you now this is a business to business Market or almost doesn't matter what they sell but they were in a seminar just like you went home and applied this idea we used the three-letter system to sell our coupon books they have to get to the business owner he buys in bulk our response was letter number 1 7% letter number two 8% letter number three 3% total response 18% now there's two things you got to know number one nobody gets 18% response from Direct Mail 1.8 maybe but it not 18 my people but nobody else does but what's more important if they stopped where everybody stops with letter number one in their case they leave 11% behind they don't get it they don't know it was there to get maybe they have an unsuccessful instead of a successful experience there's magic in the structure itself I stole that too almost 30 years ago in one year I I managed to have uh two cars repossessed and go personally and corporately bankrupt all in the same year um during that year I got over with it once during that year I became intimately familiar with the collection industry and I noticed a pattern that probably none of you have ever seen so I'll describe it to you it looks like this first notice second notice third notice they're roughly 15 days apart there's no mystery they're writing to you repeatedly it's technically called linkage each letter refers to the previous letter generally the last one is copies of everything they sent you before with Final Notice rubber stamped all over it stuffed in the envelope I saw it over and over and over again I said if this will get money from people who haven't got any offering them nothing I wonder what would happen if we tried it on people who got some and offered them something since become one of my most reliable magnetic marketing models of the 49 that I teach and I commend it to you uh highly for you to try now I'm going to tell you a closing story this story uh keeps promises I made you at the beginning of the time together this story is a real important story here's everything it does first of all it takes everything we talked about this afternoon the few things we didn't and stitches them together in chronological application order so you see how they work secondly it does it in a real life business this is a true life example third it does it in a business most of you would never expect to find good marketing thereby demonstrating if this guy can do it you can do it too fourth it gives you a complete as I promised you at the beginning of our time together a marketing strategy a system step by step that you can walk out of here and use exactly as it is described to you in this story and see results of your bank account 21 days or less and as a bonus it gives you a new market a farm a group of prospects perfect for you which you already have access to but are not currently harvesting for it to do all of those things every little Nuance is important I only have time to tell it once uh and so here we go in the mail one day I get an envelope the envelope is addressed to me Dan Kennedy it has a real live stamp on it and in the return address corner is the name of someone I know in this case not a buddy not a relative not a friend not a family member not a golfing partner in this case it happens to be a peer another colleague in our business who also lives in Phoenix it doesn't matter really that that's the case there are 300 of us by the way professional speakers who live in Phoenix I don't know why that is I wish 299 of them had get out of town but that's that's none of that's the point the point is the envelope is from someone whose name I recognize it's addressed to me and it's got a stamp on it so I open it see look here's a direct mail mistake people send out mail with the Assumption it'll be open because they sent it doesn't work that way America sorts its mail over a waist basket if you don't make the cut nothing else counts you can have inside your envelope one of those beautiful full color brochures the home office loves for you to use it's gold embossed in the chairman of the board's head it's got the logo diecut the upper corner when you open it up and fold it out things pop up and music plays doesn't make any difference if they don't open the envelope what I've just describe to you is on one almost certain way to get an envelope open it's not the only way sometimes it's not the best way in a given situation but it is a very good way so I got the envelope it's addressed to me it's from someone I know I open it the letter I take out the headline across the top of the letter says I suppose you're wondering why I'm writing to you about a plumber I say to myself yep we don't even get a Christmas card from this guy now I see him at airports you know now he's writing to me about a plumber what is this all about so I read the letter second important phrase if you want to make Direct Mail work write down got to get them to read it got to get them to open it got to get him to read it and you got about 10 seconds from flap to trash to compel readership this curiosity is one way to do it not necessarily the best but it's the way that was used now so I go ahead and read the rest of the letter the letter goes on to tell a story about how he was having a social function at his home on a Friday evening to which I had not been invited and about 9:00 at night a pipe and a Dan under the bar began to spew water everywhere horrible mess had to find a plumber who would come out on a Friday night at 9:00 made calls out of the phone book finally found this guy Al the plumber who rushed out gooped this tighten that didn't have to sell them any parts had the whole mess cleaned up in under 20 minutes only charged them a small amount of money in order to say thank you to this plumber for this extraordinary service he my speaking colleague who lives in Phoenix decided to send this letter to all of us his speaking colleagues who live in Phoenix and let us all know if we ever need a plumber Al's the guy we got to call now think about this for a second because two money-making things just happened there's more to the owl story there's more you have to know about the owl story but two moneymaking things just happened let's see if you caught them the first is called a champion circle of influence see everybody has a circle of influence in which you could do business if you were properly introduced but you haven't been so the pl the plumber goes back to the customer he says you know when I was here the other night you were very appreciative and I appreciate that what you probably don't know is we get very little of our new business the way we got you from advertising we get most of our new customers through people like you cuz you probably belong to something you belong to Rotary no Kanas no neighborhood watch your no well everybody belongs to something I confesses he says well there is this Speakers Association I belong to Great how many of those are there in Phoenix 300 plumber says terrific here's what i' like to do and here's the second thing plumber says here's what I'd like to do I wrote up what you said to me as I left now as a letter from you to those 300 people we can change anything you want to change but then I want to take it and I want to put it on your stationary not mine yours I want to put it in your envelope not mine yours and I want to send it to those 300 people who know you by name but do not yet know me may I do that that's called an endorsed mailing to a champion circle of influence it's the only piece of mail on the planet 100% get open and 100% get red so I got the envelope I opened the envelope I read the whole letter and when I got all done with it I didn't call Al the plumber why didn't I call Al of plumber yeah I didn't need a plumber sure so all that's wasted isn't it how many think it's not wasted you're all wrong if he stops there it's a giant epic waste think of what has to happen now for it to turn into business for the plumber I got the letter I read it Al sounds like a pretty good guy I don't need a plumber I got to go down to the coffee shop Kinkos wherever I got to get 18 copies made of this letter I got to get 18 ziplock sandwich bags and 18 pieces of duct tape cuz I got 18 pipes I got to put a letter in each bag I got to go around and stick one to every pipe so someday when I need a plumber I can find this guy this is no way to get a flood of business that's why about 10 days later I get what I would call letter number one from Al the plumber hi I'm Al the plumber you'll remember me I'm the guy your friend wrote to you about who had the party you weren't invited to had the leak I rushed out and took care of now the reason I'm writing to you now is we have this very important free thing we do only for people referred to us by our VIP customers that free thing is a free home plumbing problem prevention audit and the reason why it's so important for you to have a free home Plumbing problem prevention audit his every home 10 years old or older has at least a 100 horrible plumbing problems that can occur at a moment's notice we come out and make sure none of those things are about to happen to you for free I still don't call Al plumber I'm hearing drips in the night I wasn't hear him before but I don't call Al that's why 10 days later I get from Al plumber uh second notice hi I'm Al the plumber you'll remember me I'm the guy your friend wrote to you about head the party you weren't invited to had the leak I wrote to you about our free home plumbing problem prevention audit I haven't heard from you and I'm very concerned if you'll take a look at the enclosed article reprint you'll see why and you take this article reprint out of the envelope it's from a small community newspaper everybody knows everybody they only publish on once a week here a front page story about this couple elderly couple they went away just for the weekend to visit the grandkids a little drip under the sink when they left they put a little tupperware bowl under there to catch it they come back on Monday There's a photograph in the article of the house in five parts floating in a pond there's another photograph of the family dog clinging to a piece of wood waiting to be rescued you go back to the letter and it says as you can see even small plumbing problems can become big plumbing problems and the most I still don't call out the plumber I'm now looking at pipes I look okay to me in 10 days later I get from Al the plumber Final Notice we've twice offered you our free home plumbing problem prevention audit we haven't heard from you but we sure have heard from a whole lot of other smart folks that's why if you want the free home plumbing problem prevention audit it's very important you call within the next 72 hours otherwise we may have to put you on a waiting list of up to 100 days and in Clos as a list of some of the horrible plumbing problems that might occur I call Al the plumber now I'm going to tell you the rest of the AL Story three or four minutes mostly for fun makes one important point but let's do 30 seconds of analysis Al the plumber did everything we talked about this afternoon brilliantly leveraged so if he can let's analyze his marketing campaign Al the plumber our marketing genius goes and he gets himself a farm a small carefully selected manageable target market his is his Champions circle of influence one of the most productive Farms you'll ever wrong the first the seed he PLS in his farm is the endorsed mailing the only piece of mail 100% get delivered 100% get open 100% get read he then nurtures his farm with a sequence of mailings he creates unique selling proposition he creates an offer that transcends timing he did everything we talked about brilliantly and if a plumber can do it you can do it now for fun R Al arrives at my house virtually no resemblance between he and a plumber he's not weren wearing work clothes he's not carrying a toolbox Al the plumbers in a three-piece base suit white shirt brown and white polka dot tie gold collar bar gold cuff link little wrenches he's carrying a brown eel skin attach a case the only resemblance between he had a plumber is on the breast pocket of his suit coat there's a cloth patch sewn on that says ow he comes into my house he opens up his heel skin aache case takes out a matching clipboard say Mr Kennedy as you can see this is the form I'm going to use to check the 100 possible plumbing problem takes me about 20 minutes to do that while I do that do you have a VCR got a VCR you need to watch this video tape watch the video tape videotape educate about one of the greatest Healthcare crisises in America today I had no idea seems an alarming number of us are fallen and slipping in our bathtubs serious injuries breaking hips they turns out they got this invisible glop replaces bath mats forever onetime application nothing to clean and you'll never slip and fall lifetime warranty the video clicks off at 19 minutes and as it does Al is standing there I say to myself he's done this before Al says Mr Kennedy I have very good news for you you do not have 96 is the most common household plumber P 9600 four the on you do ever very trivial I have everything with me to take care of them today I just need to go out get some work clothes get some tools while I do that did you watch the videotape yeah watch the video notice you have five baths you have one in the master suite then you have these other four while I'm here today shall we just protect the one in the master suite or shall we protect all of them $389 later Al plumber gets at his beige Mercedes and Putt putts down the hill from my house I called him a few days later I said look I didn't want bother you when you're out the house working I know that's rude but I teach magnetic Marketing Systems and you used one of them brilliantly I wonder if you'd mind sharing the numbers not at all Mr Kennedy I'll just have to put you on hold to get the project file I'm now on hold listening to a recorded commercial for his brother's pool cleaning service when that's over he's back what would you like to know how many homes did you mail to about 300 how many of those home plumbing problem prevention audit things have you done so far 72 do the math if you wish assume no one but me gave him money immediately a poor assumption on your part but make it if you wish for the price of 300 letters time 3 he's been in 72 homes where he's put on a show and a half when they need a plumber who they get a call to make sure every place there's a pipe there's a sticker it took us a while to get that off the cat well there are look there are problems with everything we do here together this afternoon even if we had three times as much time with and we don't I want to talk about the problems and how to solve them in the last seven minutes that we have available uh and these 7 minutes are important to you if as you sat here you said one or more times to yourself maybe maybe there's something here maybe there's a way for us to uh to prospect better maybe there's a way to get better quality customers maybe there's a way to spend our ad marketing dollar smarter maybe maybe maybe if you said maybe then you have to be concerned with these problems and I'll summarize all the problems here's the problems Bridging the Gap between new ideas new information new intentions and implementation huge gap it's easy now excited some people think they got it psychologists tell us you don't uh 48 hours from now you will have forgotten everything I said half of what you thought of as a result of what I said 16 days from now you won't even remember having been here let alone anything we talked about this thing works just like Mama always accused you of in one ear and out the other some of you took notes admirable some of you been taking notes since Dawn admirable but I'm a note taker too so let you and I be straight with each other the note takers in the room somewhere you got the place maybe at home maybe at the office probably at home and it's probably in the garage the basement the attic under the kids's bunk bed in the trunk of an old car you don't drive anymore or a aray in the back of a closet but somewhere you got the place the places where all the notes from all the seminars you were at before this one have gone and it's all the notes from this one are going too so who's kidding who okay we're not going to bridge the gap from new ideas new information new intentions to implementation to something actually happening with notes need tools thank you for listening to the magnetic marketing podcast with Dan Kennedy if you love hearing in on these lost Dan kenned talks and speeches and calls then please let someone else know about this podcast that's how you can help it to grow and the more it grows the more free Dan kity we can bring to you also Dan would love to give you the most incredible free gift ever designed to help you make maximum money in minimum time now this free gift comes with almost $220,000 in pure money-making information for free just for saying maybe you can get this gift from Dan right now at nobs letter.com not only we get the $20,000 gift you're also going to get a subscription to two marketing newsletters will be hand delivered by the mailman to your mailbox each and every month one from Dan Kennedy and one from me Russell Brunson to get this gift in your subscription go to nobs letter.com right now