Hit rate

[teabenny]

Hi all,

just a quick question. If I were to, say, mass mail 1000 - nice round number - potential customers (small to mid-sized retail businesses to be exact), what would the typical hit rate (as in, what percentage of them would be receptive and contact me about what I'm offering) be? Let's assume that I'm not offering anything earthshaking or revolutionary, just a good product at a reasonable price, and that there are competitors out there doing the same thing.

I've heard tell it's 3-5%, but I'm wondering if anyone has had any experience and could confirm or tell me different.

[radreality]

It depends on how well targeted the demographic is and also how commonly used the service/product you are offering is.

I would say not to expect more than 1% as a general rule. With only doing one mailing. To increase the rate, all you would need to do is hit the same people over and over again; but only if they are truly potential customers.

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[dreamer4ever]

Yeah less then 1% is probably what your going to get, bank on other methods

[jasaunders]

I would say, be lucky with 0.1% to .. 0.3%... 1-3 people that actually respond. And by respond, I don't mean responses such as "take me off your list."

[teabenny]

Okay. Good responses.

Let's just look at a few hypotheticals:

1. The product is MP3 players, and I'm a wholesaler. Therefore, the retailers aimed at would be electronics retailers - the more specialised ones, rather than the whitegoods retailers.

2. What are some other methods to get customers (retail stores)? Do you mean methods from which I can demonstrate a demand for the product? Or other forms of advertising?

3. Are there any other methods to determine potential customers apart from the goods they normally retail?

[jasaunders]

Well you question is basically, what methods of sales are there?

The best way is to pick up the phone and call them. Tell them about your product(s) and why they should stock it. Call other related potential customers and ask them if they are interested. Hit the pavement and go door to door. Talk to people you know who may have connections with people who retail electronics.

Sales don't come easy. I wouldn't expect much results with a mass e-mail. Spend the time and frustration (cold calling can be draining) talking to your customers or potential customers directly. If they don't want to buy from you, find out why. This will help you improve you offering to other retailers and improve your pitch. If you send out an email and get no response, you won't know what you did wrong.

[teabenny]

Thanks jasaunders. Great advice.

Actually, I meant an proper mail-out, by snail mail. A catalogue, fact sheet about the company, contact details, that kind of package.

But your other suggestions have a lot of merit... much as the thought of cold-calling chills me to the bone (I worked as a telemarketer briefly).

I'm also planning to establish a presence at trade fairs. I (suppliers actually) have a number of prototype devices in mind that I'd like to test out at these shows. It's a good chance to meet retailers and demonstrate concrete examples of what I'm selling.

[deep_impression777]

What about reinforcing our mails and catalogue with a follow-up call? This will make your potential client more infrmed of what you have to offer, as well as checking up if they have received the mail.

Cold calling si atough way, but remember hat it is still an option where you have nothing to lose (well, maybe a little sanity). Th trade fairs are your best spots.

[jasaunders]

It is actually better to call before mailing. This way the person will be familiar with what you are trying to sell and won't throw away your mail as junk when they first see it.

If you call afterwards, there is a good chance they don't remember your mail because they tossed it when it first came. Then it really is a cold call again.

[Cole Taylor]

Pound the phones, pound the pavment, grease some palms w/ product samples or hookers and blow if they're into that sort of thing.

[jasaunders]

I agree with Cole.

[teabenny]

Ah yes, palm-greasing. Well, fun for everyone I guess. But giving out samples is one thing I'm going to do.

Thanks for the advice everyone.

[SincereProgram]

Ah yes, palm-greasing. Well, fun for everyone I guess. But giving out samples is one thing I'm going to do.

Thanks for the advice everyone.

Hi TeaBenny,

I was in electronics distribution before. Some of the my ideas as follows when you hit the streets:

1) Package some small electronic gadget (in your case, maybe memory card or something) with your MP3 player for the field salesperson selling your MP3. A great booster for them when they sell your MP3 player and get to keep the small gift. Remember, sell it and sell out.

2) Work out some annual sales prize for all your retailing salesperson and promote your draw (we used to do plasma TV). The top salesguy gets it plus recognition. Word of mouth gets around fast and it's up to your creativity on planning your sales prize strategy.

3) If budget allows, plan some incentive trip for the top 5 retailers and "sell more" during the holiday trip.

In this trade, you not only get into the good books of the Management but more importantly, the actual salesperson selling your MP3. It's a chain cycle effect. It's only when your product moves out of the shelves, then you get repeated orders from the Management.

Good luck and have fun!

[NeeJam]

If you've built the opt-in list yourself then your looking at 3-5% however, if its someone elses list expect below 1%

Your opt-in list should be seperated into buyers, and people who just join for the freebies. The actual buyers = should be targetted constantly as they will give you a better chance, you can do this by offering a product for even $1 after joining a free opt-in list for a ebbok say, if they pay the $1 you know they are prepared to buy more off you. :P