Casual Articles - Business

Compensation Resources, Inc. Releases Its 2004 Year-End Compensation Survey
Upper Saddle River, N.J. - December 2004 - Compensation Resources, Inc. has released the results of its 2004 Year-End Compensation Survey. The purpose of this study was to obtain compensation data used for trending and planning purposes at companies of all sizes and shapes. Data was compiled from survey questions that were developed by CRI and distributed to companies in over 14 industrial classifications, in addition to Not-for-Profit organizations. The survey sampled year-end compensation data from a variety of organizations, collected in October and November 2004.Results indicated that the average merit/salary increase for all employee functional groups was 3.9% in 2004, and 3.8% is the average projected merit/salary increase for all groups in 2005. Companies that have more than 10,000 employees showed the lowest merit/salary increases in 2004 and projected 2005 among all other company sizes. Among all survey participants, the number of layoffs, hiring freezes, and salary freezes are expected to decrease from 2004 to 2005. Results indicated that target awards for Short-Term Incentive Plans are much higher in Publicly-Traded companies as opposed to Privately-Held companies and Not-for-Profit companies. Results also revealed that target awards as a percentage of base salary increase as revenues increase. Overall, in terms of Long-Term Incentive Plans, Non-Qualified Stock Options are the most commonly provided plans, which are closely followed by cash bonuses. Stock Appreciation Rights are the least commonly used Long-Term Incentive Plans. Results also indicated that companies with higher revenues provide many more Long-Term Incentive Plans than companies with lower revenues. Overall, in terms of the Compensation Package Mix, base salary makes up the largest percentage of the mix, followed by Long-Term Incentives and then Annual Bonus/Incentives. During the months of November and December 2004, CRI surveyed 104 companies online to inquire about their year-end 2004 bonuses. 43.3% of the companies indicated that their bonuses would be higher than they were in 2003. In a similar survey CRI conducted in year-end 2003, only 25.6% of the companies indicated that their bonuses would be higher than they were in 2002.Determining pay strategies can be a very difficult and tedious task; therefore, CRI recommends companies take the following approaches:? understand your employees’ perceptions about the total compensation package;? measure the distinct value of the reward to employee commitment and the organization; and? communicate to your employees about the business and the financial impacts of their rewards.It is also important to remember that the total compensation package is not just about pay; it is also about the work culture, hours, benefits, career development, and promotional increases.

onal flier, or mini-brochure, a sales letter, an order form (the order form can be part of the circular), a return envelope, and other appropriate information, such as a fact sheet, a free report, etc.
* In general, circulars should be limited to one 8 1/2 x 11 page.
* A sales letter, on the other hand, can be as long as it takes to say everything you need to say to a prospective customer in order to sell him the product.
* Sales letters should have an attention getting opening. The idea of the opening is to get him to read the rest of the letter.

POSTAGE AND SHIPPING COST

* Answer inquiries to your advertising immediately and via First Class Mail. Use Bulk Mail for future mailings.
* You can save a great deal of money by getting a Bulk Mail permit. Mail must be sorted by zip code. Get more specific information from your Post

Office.
* Keep your mailing lists clean - updated.
* Utilize all of the various mail classes, such as Printed Mail and Book rate.
* Compare costs of shippers other than the Post Office.
* Guarantee return postage.
* Watch your shipping weight. A fraction of an ounce can make a big difference in a large mailing.

PRINTING COST

* Very large printers will not be interested in your business. Very small ones, quick printers and instant printers although convenient, are generally too expensive. Their equipment is not large enough to be competitive.
* There are many medium sized printers that will give you good pricing and quality printing. Often they have the capability to help you with layout and design.
* Don't hesitate to use out of town printers. If you live in a high cost-of -living area, you can probably save a substantial amount of money. Many of these printers advertise in mail order publications.
* Utilize the promotional material available from your supplier.
* Until you know what sells, print small quantities, even if it is more expensive.
* Use colored paper for your promotional flyers to spice up your offer. Use white paper, blue or black ink for everything else.

CUSTOMER PAYMENTS, REFUNDS AND COMPLAINTS

Industrial Name Plates
Industrial name plates are usually manufactured in materials like aluminum, brass, plastic or zinc. These name plates are used for warnings, information, nomenclature, working instruction, manufacturers’ information, date of manufacture, voltage usage, trade names, etc. Not only do name plates give an impression about the class of the manufactured goods, they also give minutiae about the product.There are different techniques applied to produce industrial name plates. The metal photo process creates the icon conserved in anodized aluminum. It could not be spoiled or wiped off even with the use of chemicals. This is an excellent solution for the naming of machines. There are also engraved aluminum, brass, stainless steel and zinc plates for similar purposes.Besides metals, plastic name plates can also provide a three-dimensional look. Plastic industrial name plates are complex. It is always advisable to use textured backgrounds because of their aesthetic superiority over non-textured backgrounds. For that extra flare, add a high-gloss finish.Depending on design, the best aesthetic and cost-effective method of decorating technologies are silk screening and chrome plating. These processes allow the product to withstand the harshest of environments.Name plates can have different designs and different bonding agents, from mechanical to adhesive. Industrial name plates are available both in screw or sticker designs.The pricing varies depending on the material, size, mounting method, and other factors. You can shop around on the Internet to find the best price for the best quality, in the style and material that you need for your purposes. If you need customization, that always costs a bit extra.

No claim is made that the steps outlined would be successful for someone else. Each individual should obtain whatever professional advice may be
necessary for his particular operation.

INTRODUCTION

The following is designed to provide a check list for new entrants into the mail order field. Each mail order business is different, but there are common elements that apply to most mail order businesses, as well as some specific characteristics that may vary from business to business. The following suggestions were developed to assist you in avoiding costly mistakes. Apply the various points as they relate to your specific business.

COMPANY NAME

* Select a short, easily remembered name.
* Unless you are using your own name, it is required in most jurisdictions that a trade name is either registered with the county or the state.
* Before you spend money for printing material, make sure that the name you choose is not already registered to another company. You can usually conduct a name search with an office of the appropriate jurisdiction by telephone.
* You may consider using a name that describes your product.

COMPANY ADDRESS

* Most newly established mail order businesses will operate out of their home until the volume of the business requires larger space.
* Most mail order businesses prefer not to use their home address as their company address. If you do, you will advertise your home address in regional and national publications. You have two other choices, a Post Office Box(POB) or a postal box located in a commercial enterprise which rents out mail boxes.
* A POB is generally the least expensive, both to rent and for advertising purposes. (See below) Some mail order operators claim that it reduces business because people do not trust a POB address. Yet there are just as many mail order operators who disprove this notion. The decision is yours.
* If you rent a mail box in a commercial enterprise, your box number usually becomes a suite number in the address.
* Almost all publications will charge you a full word charge for each component of your address, except the Zip Code and State which is counted as one word, Example:
Information Books, 300 Main Street, Suite 611, Centerville,
Md 20910 Or:
Information Books, Box 1000, Centerville, Md 20910.

* The first address is counted as 9 words, the second one as 6 words. Since advertising costs anywhere from 50 cents to $10.00 per word (classified advertising) you could save a substantial amount of money at the end of the year if you use a post office box.

TELEPHONE

* Some mail order companies do not show their phone numbers on their stationery, others do. It gives the customer some comfort to see a telephone number, although he may never use it.
* You can show your residence phone number in the appropriate printed material, or you can obtain a business listing for your home.
* The residence phone is fine, for starters, if it is answered in a professional manner at all times.
* If you plan to sell higher priced ticket items, however,
(over $15.00) a business listing would be advantageous since a prospective customer may pick up the phone and check with the information operator whether "Company X" is listed.

BASIC SUPPLIES

* Be conservative and frugal in your acquisition of items that you feel are needed. It's always wise to start small, and as inexpensively as possible, and as you build profits, you can
buy more and better items.
* The basics are a good quality computer, Business stationery, business envelopes (#10's), and return envelopes, either #6 or #9 is fine. All items should have your business name and address
imprinted on them.
* You will also need some mailing labels and some miscellaneous office supplies.

PRODUCT

* If possible, choose a product or products that people need
on an ongoing basis.
* Be sure the product is of acceptable quality. Know the
product before you sell it.
* If feasible, choose an item that is not widely available
from retailers.
* Develop a line of merchandise. It is rarely possible to make money with just one or two items. The availability of a line of related products is paramount to mail order success.
* The more specialized your products are, the easier your marketing becomes.
* If you are selling books, for example, it would be impossible, except for a very large company, to sell all types of books. You may decide to specialize in books pertaining to sports, and may want to go even further by zeroing in on football or baseball.

SUPPLIERS

* Your suppliers should provide you with reliable, quality,
and reasonable pricing.
* Since you probably should provide some type of a money back
guarantee (30 days is standard) you should expect the same guarantee from your suppliers.
* When buying from out of town suppliers, be sure to include the shipping charge in comparing prices to local suppliers.

DROP-SHIPMENTS

* Under a drop-ship agreement which is available from many suppliers for a variety of products, the supplier ships your customers' orders directly under your shipping label.
(Suggested reading: "American-Drop-Shippers Directory".)
* It is customary that the supplier guarantees not to include any of his promotional materials with the shipment; or to use your customer's name for any future mailings.
* Drop-shipping arrangements are suitable for people just getting started. It allows you not to have to carry a costly inventory.
* As your business increases and you develop a sense of what sells well, you can stock limited supplies of certain fast selling items, and continue utilizing drop-shipments for slower products. Eventually, as your business flourishes, you can carry an inventory of everything you sell.
* Handling your own shipments is advantageous for the following reasons: It cuts down on your shipping expenses, it decreases the shipping time, and it allows you to include promotional material directly with the shipment.
* When you do utilize drop-shipments, be sure to send your customer a note that his order is being processed and he can expect it by, or around a certain date.
* It is unnecessary to make your customer aware of the fact that the item is being drop-shipped. Include some promotional material with your letter or note.

PRICING

* Buy at a price that allows you an adequate mark-up. In setting your prices, allow for all costs:
* Cost of product, shipping cost and postage, bank charges including credit card charges, wrapping, bad debts, rejects, refunds, etc. In addition, the other normal overhead costs need to be considered,. Lastly, there is the substantial marketing cost for advertising, and for printing of
promotional items. (See following paragraphs)
* Your prices of course, have to be fair and in line with your competition.
* It is not necessary that you make a big profit on each and every item. the real profit in mail order comes from follow-up orders.
* THE 3 BIGGEST EXPENSE CATEGORIES IN MAIL ORDER ARE:
ADVERTISING, PRINTING COST, AND POSTAGE. Over 80% of your total expenses are in this area. Watch these expenses very carefully.

ADVERTISING EXPENSE

* Start with classified ads. As you test them and know what
is successful, you can switch to display ads.
* To test an offering and a specific ad, run it once in a specific publication and you should get a reading that could be very positive or very negative. It might also be inconclusive. If that is the case, simply run it again.
* It is best to test an ad by running it in different publications.
* Advertise in publications that advertise similar products.
* If you have a sure seller, buy larger space.
* Special interest products should be advertised in special interest publications.
* Keep on changing the ad and offering until you are satisfied
it is right.
* Examples of changes you can make are: size of ad, copy,appeal, special gimmicks such as discounts, free gifts or reports, etc.
* Remember that a given ad can be 20 or 30 times more successful than another ad advertising the same product. It pays, therefore, to continue testing until it is just right.
* Repeat a successful ad until you no longer get a satisfactory return.
* The conventional advertising cost is 15% of sales or more in
mail order.
* To evaluate your advertising cost, think in terms of cost per inquiry. This is calculated by dividing the number of inquiries into the cost of the ad. that cost may vary from about $$0.80 to $2.00 or more.
* Be careful when you allocate advertising funds to small mail order publications. The ad may appear to be very inexpensive. However, a $15.00 ad that gets no response is a lot more expensive than a $150.00 ad that gets over 100 inquiries.
* Stay away from those publications that have no news or editorial content, and also those that have poor printing quality.
* There are a number of quality mail order publications, but it takes time to find the right publication for your product.

ADVERTISING COPY

* Write tight copy.
* Write as you speak. You are generally appealing to a mass market.
* Prepare your copy carefully. It must fit your specific medium.
* The emphasis should be on YOU rather than I, the company.
* Be sincere and don't make unreasonable claims, but remember that you are selling.
* Try to convince the reader that you are reliable and
trustworthy.
* Give simple specific instruction.
* Key all ads to test their effectiveness.
* Check and double check, and have someone else check your ad to make sure everything is correct and easy to understand.
* Watch where your competitors are advertising.
* Experiment with new publications.
* It is generally considered impossible to sell something that costs more than $2.00 - $3.00 direct from either a classified ad or a small display ad. This is because there just is not enough space to convince someone to part with $10.00 or $20.00, for example. It takes a full page ad to do that.
* If you use an agency, use one that specializes in mail order, even if it is located out of town.

RESPONDING TO INQUIRIES

* Each inquiry you receive in response to an ad should be answered via First Class, if at all possible, within 24 hours.
* The contents of the envelope going to the prospective customer should contain: a circular, promotional flier, or mini-brochure, a sales letter, an order form (the order form can be part of the circular), a return envelope, and other appropriate information, such as a fact sheet, a free report, etc.
* In general, circulars should be limited to one 8 1/2 x 11 page.
* A sales letter, on the other hand, can be as long as it takes to say everything you need to say to a prospective customer in order to sell him the product.
* Sales letters should have an attention getting opening. The idea of the opening is to get him to read the rest of the letter.

POSTAGE AND SHIPPING COST

PRINTING COST

CUSTOMER PAYMENTS, REFUNDS AND COMPLAINTS

Franchising Overseas
When it comes to expanding your business overseas, franchising has become the Modus Operandi of the day. In Singapore, many businesses including restaurants, caf? chains and fashion chains have shown interest in and considered setting up overseas franchises. It makes sense financially for them in the sense that the franchisor (the business owner that grants the franchise) can charge an initial fee to the overseas franchisee (the person who takes the franchise). Franchising in effect provides an almost cost-free expansion since the original business receives royalties and a constant stream of income from the franchise. But there are pitfalls to avoid. Franchising may not be suitable for all businesses and an overseas operation can fail for a number of reasons.This article sets out briefly some of the challenges a franchisor venturing overseas may face and how to overcome and resolve them.Franchise Systems Companies that wish to enter into a franchise agreement should familiarise themselves with the franchise system. There are three different ways to operate a franchise:Unit franchise: The business owner allows only one franchise outlet, and licenses all trade marks and other proprietary rights to only that one outlet.Area franchise The franchisee is only allowed to operate under the trade mark or brand name in one designated geographical area, such as the province of New South Wales as compared to the whole of Australia.Master franchise The franchisee is entitled to operate in the whole country, sometimes with a right to create sub-franchises and appoint sub-franchisees within the country.Costing would differ for each of the above types of franchises and is also affected by the potential market size and share in the targeted country.Regulations and Other Legal Issues The next things to look out for when considering whether to franchise are the laws and local regulations in the targeted countries, which will impact on the franchisor. In countries such as the USA, the franchisor must comply with stringent disclosure requirements while in countries like Indonesia, the franchisor may be required to register the franchise agreement with the relevant authority before commencing operations. These requirements do not really present too much of a problem to the franchisor, but they have to be complied with nonetheless. The franchisor should also pay particular attention to laws and regulations in various other countries that directly affect the business of the franchise. One example of what we mean here is that, since February 2005, franchising has not been allowed in China for foreign retail brands which do not have a minimum of two shops and more than one year of operations in China. This amendment to the franchise regulations has made it difficult for established local brands to franchise to China.Of course there are perfectly legal solutions to avoid the problems that may be encountered. The rules differ from country to country and, therefore, any prospective franchisor must seek legal advice when venturing into a foreign jurisdiction for the first time to ensure that all such regulations and formalities required under the laws of the targeted country ar

ail order companies do not show their phone numbers on their stationery, others do. It gives the customer some comfort to see a telephone number, although he may never use it.
* You can show your residence phone number in the appropriate printed material, or you can obtain a business listing for your home.
* The residence phone is fine, for starters, if it is answered in a professional manner at all times.
* If you plan to sell higher priced ticket items, however,
(over $15.00) a business listing would be advantageous since a prospective customer may pick up the phone and check with the information operator whether "Company X" is listed.

BASIC SUPPLIES

PRODUCT

SUPPLIERS

DROP-SHIPMENTS

PRICING

ADVERTISING EXPENSE

ADVERTISING COPY

RESPONDING TO INQUIRIES

POSTAGE AND SHIPPING COST

PRINTING COST

CUSTOMER PAYMENTS, REFUNDS AND COMPLAINTS

Five Facts You Must Know When Changing Careers
Too often in life, we fail. We fail not because we set our goals to high and miss achieving our aspirations. Instead, we fail because we set our dreams too low and we achieve them. If we achieve what we set out to do then how is this considered to be a failure? Failure occurs when we are not fulfilling our highest aspirations. Theresa Castro, executive career coach and author of The Dark Before the Dawn: 70 Secrets to Self-discovery, provides insight on what anyone can do while they are in the midst of wanting to change careers.ADOPT THE INNONENCE OF A CHILDWe begin our lives as children with lofty goals. For example, a child might decide that they would like to grow up and become an astronaut and travel to the moon. This child doesn’t have the ability to place any limitations on themselves. They don’t think about what degree they need to possess in order to be an astronaut. They don’t become worried about all of the details that are necessary to achieve this dream. Instead, the child just knows that they are passionate about space exploration. When you are in the midst of a career change, think and dream like a child. Let your passions lead you in a direction that is right for you.ELIMINATE ANY LIMITATIONSSociety, friends and/or family members can put a damper on your hopes and tell you that you are incapable of achieving your highest vision. You may be told that you are too old, not smart enough, don’t have enough money, don’t have the right education or experience or just simply are the wrong race or sex. The reality of these limitations exists only in the mind. You have the choice to either believe or doubt the limitations. That’s right, you have a choice. You can choose to be like the great composer, Beethoven, who was once told by his music teacher that as a composer he was hopeless. Beethoven recognized that he would not be stopped by the label that his music teacher placed on him even despite the fact that he was deaf.GET RID OF THE PEOPLE WHO DON’T SUPPORT YOUWhen you are changing careers, you may find that you struggle with your own bouts of self-doubt. The last thing that you need is for other people to tell you what you should and shouldn’t be doing especially when you recognize that they are not fully supporting your efforts. With these people (and we all have them in our lives), you will need to advise them that you love and care for them but you would appreciate if they kept their comments about your ambitions to themselves. If you don’t eliminate outer sources of negativity, you will find your passions getting buried deep inside yourself.RECOGNIZE THAT MONEY IS AS PLENTIFUL AS THE AIRPeople sometimes don’t pursue a particular career path because they believe that they won’t make the same or more money than what they are currently earning. Again, recognize that this belief is a limitation. Work towards eliminating these thought patterns. Instead, realize that with any and every job, you have the potential to make as much money as you desire. That’s right. You can make as much money as you desire. Even though Henry Ford was poor and uneducated, he dreamed of a horseless carriage and his dream became a reality of what we know today as

ry".)
* It is customary that the supplier guarantees not to include any of his promotional materials with the shipment; or to use your customer's name for any future mailings.
* Drop-shipping arrangements are suitable for people just getting started. It allows you not to have to carry a costly inventory.
* As your business increases and you develop a sense of what sells well, you can stock limited supplies of certain fast selling items, and continue utilizing drop-shipments for slower products. Eventually, as your business flourishes, you can carry an inventory of everything you sell.
* Handling your own shipments is advantageous for the following reasons: It cuts down on your shipping expenses, it decreases the shipping time, and it allows you to include promotional material directly with the shipment.
* When you do utilize drop-shipments, be sure to send your customer a note that his order is being processed and he can expect it by, or around a certain date.
* It is unnecessary to make your customer aware of the fact that the item is being drop-shipped. Include some promotional material with your letter or note.

PRICING

ADVERTISING EXPENSE

ADVERTISING COPY

RESPONDING TO INQUIRIES

POSTAGE AND SHIPPING COST

PRINTING COST

CUSTOMER PAYMENTS, REFUNDS AND COMPLAINTS

Oh No--Were They Trying To Be FUNNY?
The person you're interviewing with just made a joke. You think, are they trying to trick me into breaking my cool exterior-only so they can shout "AH HA-THEY were UNPROFESSIONAL" as soon as I walk out the door? Are they testing to see if I'll kiss up enough to laugh at everything they say?Especially if it just wasn't funny.The fact is that in most cases (the exceptions being where the humor is off color or offensive), the interviewer is simply trying to see what you're personality is like. They're trying to establish rapport with you. They ARE trying to break you down a little bit because no matter how qualified you are for a job, nobody wants to work with anyone who is as dull as white paint.So what should you do? You don't have to respond with a knee-slapping guffaw at everything they say, but if it's funny, then it's fine to laugh. It will probably help you and them relax. If it's not particularly funny, you can put on a nice smile (I don't like the phrase "polite smile" because that can look to patronizing). How would you respond if your friend or spouse said something that was vaguely amusing but not hysterical? The interviewer-just like all other normal human beings-would like to be acknowledged for the attempt. If something funnier is said later in the interview, it is perfectly fine to laugh at that. The point being that you want to appear relaxed and fun to work with.Think of it this way-imagine how Julia Roberts or Brad Pitt conduct themselves in an interview. They're not laughing like hyenas on the interview couch, but manage to appear friendly and personable. People that you wouldn't mind chatting with on a Monday morning or going on a 4 day business trip with.The exception to this rule is in the case of off-color humor that causes you to blush. Yes, everyone in the working world should know better by now-and no, not all of them do. In this case you don't need to look like you go along with what they are saying, or that you are enjoying the joke. You can give them a sense of your level of discomfort by averting your eyes to the floor, or by taking charge of the interview and quickly changing the subject. They'll get the point. You should make a note to notice their reaction. Do they appear embarrassed at the gaffe, or do they look pleased with themselves that they made you uncomfortable. That's your clue as to the type of environment you're interviewing for, and can actually be more telling than anything else you notice that day.But in general-just be friendly. If you find something funny-laugh. If not, then give them a warm smile and project an approachable attitude in other ways throughout the interview.© Red Inc. Melanie Szlucha. You can republish this information as long as the below paragraph is included exactly as it appears.

ions.
* Keep on changing the ad and offering until you are satisfied
it is right.
* Examples of changes you can make are: size of ad, copy,appeal, special gimmicks such as discounts, free gifts or reports, etc.
* Remember that a given ad can be 20 or 30 times more successful than another ad advertising the same product. It pays, therefore, to continue testing until it is just right.
* Repeat a successful ad until you no longer get a satisfactory return.
* The conventional advertising cost is 15% of sales or more in
mail order.
* To evaluate your advertising cost, think in terms of cost per inquiry. This is calculated by dividing the number of inquiries into the cost of the ad. that cost may vary from about $$0.80 to $2.00 or more.
* Be careful when you allocate advertising funds to small mail order publications. The ad may appear to be very inexpensive. However, a $15.00 ad that gets no response is a lot more expensive than a $150.00 ad that gets over 100 inquiries.
* Stay away from those publications that have no news or editorial content, and also those that have poor printing quality.
* There are a number of quality mail order publications, but it takes time to find the right publication for your product.

ADVERTISING COPY

RESPONDING TO INQUIRIES

POSTAGE AND SHIPPING COST

PRINTING COST

CUSTOMER PAYMENTS, REFUNDS AND COMPLAINTS

Get Help to Update Your Resume
Even if you are not looking for a new job it is a good idea to keep your resume updated because you never know when the right opportunity will come up. By getting some help writing your resume, you can dramatically improve the quality of your resume. It doesn’t matter if it is a friend or a professional service that helps you write your resume because the advantages of having someone take a glance and quick pens to your resume on your behalf are amazing. It is particularly difficult for most people to really evaluate themselves fairly and accurately, which is why another set of eyeballs on your finished product can often set you straight.Resume writing is an area of deep expertise for those people that choose to do it. Many different services will specifically hire people and professionals to assist you in the creation of a stellar resume for you. These services are often writers and editors who have studied the art of writing a resume and who know what companies and universities are looking for in a resume. Some services even hire Ivy League graduates from Yale and Harvard just so that they can give resume writing help to people looking for assistance.If you plan to use a service for getting help writing a resume, it is important to know who is helping you. Be sure to check their credentials and background so that you can make sure you're getting resume writing help from someone who knows what he or she is talking about. Most of these services charge a fee, and it is obviously stupid for you to pay money to someone who doesn't know what he's talking about.No matter whether or not you hire someone to give you help writing your resume, you are going to want to be sure to share it with someone before you actually submit it to companies. It is very easy to overlook errors on a resume, particularly because you are likely to stare at it and edit it many, many times before you actually think of making it a submission. It is even possible for you to spell your own name wrong if you are not paying attention so hiring a professional can really be a good service to you. If you are in need of resume writing help, you can always look online for help or in your local classifieds. Just be sure to check the testimonials of clients and look for a good reputation. That will help you out very much.

POSTAGE AND SHIPPING COST

PRINTING COST

CUSTOMER PAYMENTS, REFUNDS AND COMPLAINTS

* Accept money orders and checks.
* Some mail order companies state in their material that they will not ship for 10 days to 2 weeks when payment is made with an out of town check. This may be an unwise practice because, it can create ill feelings with your customers. NSF checks are rare.
* An increasing number of mail order companies accept credit cards - Visa and MasterCard - for payment. It is generally felt that it does increase sales.
* If you cannot obtain a credit card merchant agreement with your bank work through a credit card clearing house. A number of these companies advertise in mail order publications. Since these companies generally charge between 6-9%, it may be wise to set a minimum amount such as $15.00 for credit card orders.
* Remember, "the customer" is always right. An argument won,is usually a customer lost.
* If you receive an order with an underpayment, ship the order and bill the customer for the difference.
* Make refunds on overpayments quickly.
* Most mail order companies offer a 30 day money back guarantee. Some offer 90 days and even more.
* It is unwise to offer money back guarantees on items priced very inexpensively, for example, a $3.00 report.

RECORD KEEPING

* As in any business, it is important to keep records.
* You need records to tell you what is going on in your business; to evaluate both your revenues and your expenses.
* It is also required by law that you keep certain records.
* Keep especially good records of your advertising expenses so you can evaluate your advertising on an ongoing basis.

MAILING LISTS

* It is recommended that you do no direct mailings, except to your own list of customers and inquirers, until you have
thoroughly tested a specific product through advertising.
* Stay away from inexpensive mailing lists, under $40.00 -$50.00 per 1000.
* Avoid mailing lists whose owners make unrealistic claims.
* Work with a list broker who wants to see your product before he will rent you a list. Lists are rented for one time use.
* Lists from professional list brokers rent from $60.00 and
up, per thousand names.
* The general consensus is that you need to mail a minimum of 1000 names to get a fair reading. 5000 names would give you a more accurate test.
* Buyer' names are better than names of inquiries.
* The best mailing list is your own list of buyers. Second best is your own list of inquirers.

FOLLOW UP

* The most important factor in mail order is FOLLOW-UP
Substantial profits can be generated from this segment, if it is properly handled.
* You can generate a lot of sales by including promotional material when filling orders for customers. Other orders are generated from mailings that are made to former customers, as well as individuals who inquired about an offer in the past.
* Send out regular mailings to your customers. At a minimum,
four times per year. However, you can send out mailings as often as every 6 weeks or so, if you have a new product to offer.
* As you build your mailing lists and you send out regular
mailings, your orders will start flowing in.

RESEARCH AND EDUCATION

* Whether you are new to this field or not, to stay on top, you must continue your education by reading books and reports on mail order and subscribing to mail order publications.
* Always be on the lookout for new products you can offer your customers.
* Study the advertising of your competitors. Request their
material and study it.
* Study all mailings you receive.

Continue to learn about mail order by reading, experimenting, and talking with other mail order operators. Have patience. Success will not come overnight. It takes time to build a successful business. Start slowly and expand your business from your profits.

Good Luck!

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Article Submitted On: September 29, 2004

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Casual Articles - The Beginner's Mail Order Business Guide