Chapter Two How To Make HUGE Profits in Direct Marketing

Document Sample
Chapter Two How To Make HUGE Profits in Direct Marketing Powered By Docstoc
					                       Chapter Two:

How To Make HUGE Profits in Direct
 Learn from the Legend Himself....Melvin Powers!

            In this part of the book you’ll hear from a mammoth in
    American business. He’s the author of one of the greatest books ever
    written for marketing and mail-order. The book is called, ‘How To
    Get Rich In Mail-Order’. He’s a mail-order legend named, Melvin
    powers. He’s also written the books:

                •   ‘How To Self-Publish Your Own Book’.
                •   How to make a full-time income in Direct
                •   How To Make Money With Classified Ads,
                    Display Ads, Writing headlines
                •   How To Make Money On The Internet

    If you’ve ever been to a bookstore and looked up and down the isles,
    you’ve seen the books that his company, Wilshire Publishing, has
    put in the bookstores.

    Let’s get right into it.

        Welcome, Melvin.

                Thank you Mike, pleasure to be here.

        It's an honor for me to speak to you. I've learned so

                                                   - 21 -
much from you. Let's jump right in, before we get to
classified and display ads, let's start here. How did Melvin
Powers get involved in mail order?

           I got involved in mail order when I was 16 years
       old. I was interested in chess, it was my hobby, and
       I read an ad in Popular Science that was a, classified
       ad that said, "Secrets at winning at chess." That's
       exactly what I wanted to do, so I sent away $2.00 for
       the book, and when I got it there was a circular
       inside the book with other books advertised, and I
       said to myself, "Gee, that would be an interesting
       business. I'd like to do the same thing." So I found
       out where the book came from. It came from a book
       publisher in New York, and I called the book
       publisher and told them who I was and that I'd like to
       sell your book, and he said fine and we'll give you
       50% off. And that was it, I start running around the
       same ad, in the same publication, and in other
       publications. And at the age of 16 years old, I was
       making a $1,000 a month profit and had the whole
       family helping me. It was all done on the kitchen
       table, and I've been doing it ever since.

    Wow, that's fantastic. I want to get into classified and
display ads in a second, but let’s get into some other great
information you can share. What are some of the biggest
mistakes that people make in mail order? What are some of
these mistakes that most people make?

            Oh, spending a lot of money on a campaign
       before you know if it's going to work. If you're going
       to start with a classified ad, run in one magazine,
       you're going to run a display ad, run in one magazine
       first to see if it pulls. If you’re going to use direct
       mail, don't send out 10,000 pieces of direct mail, or
       3,000, try it with 1,000 pieces. So you can try it with
            So start small and see what happens. Do your
       research, see if it's pulling or not pulling, and then do

                                               - 22 -
       something accordingly. If it's making money, then
       you double up on the ad, if it's not then you have to
       say, "I wonder what's wrong with this."

   Okay, so testing is critical?

           Well testing certainly, if you’re on the Internet,
       well that's a great place to go. Test your ad on the
       Internet, see if it's pulling in orders or not pulling in
       orders. And that costs you virtually nothing.

     Okay, we are going to get to the Internet in a few
minutes. A book that you wrote, Making Money with
Classified Ads, many of us see stuff on late night TV, we see
all types of people out there trying to sell us stuff. You are
truly someone who has used classified successfully. Maybe
you can share with us a few tips or techniques on how to go
about putting together a successful classified. What makes a
successful classified ad?

            Okay, you have to go, and, by the way I've been
       running classified ads for 50 years and some have
       been running for that length of time, so you know
       that something is working with it. How you put
       together a good classified ad is this: usually you can't
       sell anything off the classified ad, and the reason for
       that is it takes too many words and you're spending
       money, you're paying for every word. So, the best
       thing to do is to, no matter what you're selling, to say
       free advise. I run a classified ad that says, "Mail
       order millionaire reveals his money-making secrets.
       Send for free details." And it gives my address as
       well as my Internet address. So, for the free details
       always makes it, and then you send them a four-
       page circular, a two-page circular why they should
       buy your product. And that's what makes the ad.
       And also you should look in various publications and
       look who is selling something that you want to sell
       and send away for that individual, that company's
       literature, and then you do the same thing. In other

                                                 - 23 -
       words, see what they’re doing. There are many
       million-dollar companies that are still running
       classified ads, those little classified ads. So you
       know that they are working. So that's an excellent
       place to begin. And the key to running classified ads
       is to see what other people are doing, you do the
       same thing. Track to see that the ads continue to
       run, and when they do, send away for the literature,
       get on their mailing list. Buy their product so you can
       see how many times you are being sent literature,
       also key every ad. That is you put down for yourself
       apartment or suite 102, or 103, 104 and keep track
       of all the mail that comes to that suite number.
       Because they are renting the names and that's a
       great part of the mail order business, and you want
       to know exactly what they are doing. So, if you want
       to see, if you want to run a good classified ad, see
       what other people are doing, you do the same thing
       and see how many responses you get. Let's assume
       you got a thousand people that sent for the free
       details, and let's assume the worst happened, that
       you didn't get many orders. Well, you have to know
       there's something wrong with the literature that
       you’re sending out. Don't throw away those
       thousand names, rewrite the literature and send
       them something else, because those names
       represent a gold mine for you. So, you have to look
       at all the literature. Now, assume that you getting a
       great response, now you have to say to yourself, "Oh
       boy this is great. How can I make it better." So you
       are always looking into your ads and the responses,
       and there is always a reason that it's making it, or not
       making it.

    Fantastic. Let's go over here. I know a lot of us go onto
the Internet and spend time on the Internet. Your website is We’ll get to the Internet in a second. But, in
How To Get Rich In Mail Order, the bible of mail order, you
talk about ways that people can go about finding products. If

                                               - 24 -
someone wants to get involved in mail order, but doesn't
know what to sell. What would you say to that person?

           Well I like selling information because it doesn't
       get stale. You can sell products as well, there are
       lots of trade shows. So, let's assume that you want
       to sell products. You simply type in any city. If it's
       New York, you simply type in "New York Trade
       Shows", or you can type in the "Jabats Trade
       Center" and what you get there is a whole list of the
       trade shows that are coming up. Assuming you want
       to go into jewelry, you can type in with your search
       engine, and the best one that I like is called Alta
       Vista, you could type in "jewelry trade shows," "golf
       trade shows" and up on the screen you'll get all the
       trade shows around the country. So the thing that
       you do is that you go to the trade shows, and you
       walk around to the various booths, and you look
       around for a product that you would like to sell. So it
       starts off with one product, it may be imprinted golf
       balls, and then your selling golf clubs, and golf bags,
       and all kinds of things. So the mail order business
       starts with one product and then you go on from

   Fantastic. We mentioned, an awesome
website with a great discussion board. On your site people
can post questions to you and other individuals. Melvin,
what are your thoughts on the Internet as a way to make

               Well, you’re talking to the right person
       because I love it! I've only been on let's say about
       three years now, something like that, three years,
       four years, and it's a source for making a bundle of
       money. We're selling thousands of dollars of product
       every single week. And what happens in my
       classified ads, I refer the people to my website. I put
       that right at the end of my website. It's
       http:\\ And what happens with

                                              - 25 -
       an ad that's let's say in Entrepreneur magazine, the
       person goes to my website and on my website is all
       the things that I have to sell, my books and my
       courses. So the person goes to the website, and
       orders my course for say $102, and I haven't sent
       out any literature at all. In other words, there's an
       order form and he simply e-mails it to me, and his
       order goes out the next day. So it is a wonderful way
       of doing business. You don't have to send out
       literature. You don't have to have someone typing
       up envelopes. There's no cost to the literature, I call
       it literature, that you are sending out because it's all
       there on my site - I do have 100 pages of all kinds of
       things to sell. And that's great for everybody. So it
       works the same way whether you’re selling a product
       or whether you’re selling information. So it's called
       the Information Highway because there is all kinds of
       information. It's a wonderful way of doing business
       and everybody can learn how to do it. There are free
       sites, Mike, where you don't even have to pay $.50 to
       have your website.

    Yeah, that's another thing. I've been to your website, it's
fantastic. But I know people who don't
have the access of an Entrepreneur magazine ad or
something like that. What are one or two or a few keys to
get started on the Internet for somebody that wants to start
selling information products or a service? How do you get
started to get your message out on the Internet? What kind
of advice can you give them?

           Okay, they can resell if they want to. They can
       resell my products or other products or other people's
       products, and they have to get just a little bit of
       technical help. They can download some of my ads,
       put it up on their own website, and they could be
       selling books that next day.

   What if they have their own product? And they are

                                                - 26 -
saying, "How do I get the word out? How do I get people to
my site?" Any tips there?

           There are places that are free, and I talk about
       the Alta Vista. There are thousands of places where
       you can run free classified ads. And you simply go
       to the search engine it may be Yahoo, but I like Alta
       Vista, and you type in "free classified ads" and it will
       bring up thousands of places where you can
       advertise free of charge.

    Okay, fantastic. I want to touch on what you talk about
in your book, How To Get Rich In Mail Order. You talk
about what you call the "copycat" technique. And it's been
very valuable to you. Can you expand briefly on that

            Ok, see who is selling something that you would
       like to sell. Say it's golf equipment. Go to their
       website, or ads that they are running in the gold
       magazine, and you do the same thing and you add
       your personality to it. So you have to see what is
       working, go to it, and say, "Gee, how can I change
       this. How can I add my little creativity to it?" And
       then do it. So it is an easy thing to do. The fact that
       you see something for a long time means that it is
       working. The other thing that everybody has to do in
       mail order, which I continue to do, is that if it's a
       question of going on-line, there are books at your
       library that are free called On-Line Marketing
       Handbooks. You have to read the literature and
       become knowledgeable and use the literature as a
       guide, as a syllabus. And you can go to the library,
       there are dozens of books to read on mail order.
       They are good, every author has a point of view. So,
       what I'm saying is it's all free, it's all there. And the
       fact that people are out there for a long time. The
       fact that you are hearing someone right now who has
       been in mail order for a lifetime, you certainly must
       adopt the attitude’ if one person can do it, I can do it’,

                                                - 27 -
       and learn how. Don't look at it as overwhelming,
       look at it that you are starting with step one, and you
       are going to read the literature and take the
       viewpoint that you are going to be at it for some time.
       Just don't run one ad and say, "Well, it doesn't work.
       I quit." Anybody can do that. But, it takes some
       fortitude to stay with it and if you stay with it, you will
       make it, and I can tell you, Mike, I have students of
       mine that have read my books, taken my classes,
       and courses, and they have become multi-
       millionaires because they followed the techniques of
       making money in the mail order business.

     Fantastic! Let me jump in here. I have to tell you that
you’ve done an incredible job with, How To Get Rich In
Mail Order. It’s the bible of mail order, or the bible of
making money with classifieds and display ads. You also did
incredible with the book, Making Money With Classified
Ads. For anyone reading this right now, if you’re serious
about making money in marketing or mail-order, you can
reach Melvin Powers at, or his office at
818-765-8575. Melvin, I'm going to do my famous two-
minute warning. We'll go through a bunch of questions, let's
try to keep the answers a short and concise 20-30 seconds if
possible. Sound good?


    Alright, we've got about eight minutes to go. One or two
steps, Melvin, on writing a successful sales letter?

            You have to give benefits in the headlines.
       That's the key. What is in it for the reader of the

     Okay, fantastic. You write many books on self help and
on winning. One book you wrote, Dynamic Thinking, I think
is a very interesting book. You read about the power of the

                                                 - 28 -
subconscious, and about how we can use that to be
successful. Can you expand on that for the listeners of this?

            Yes, when you go into anything, whether it's a
       marriage or a business, you need a positive attitude
       about it. And don't listen to people who say “oh, it's
       difficult, it's hard”, or “you can't do it”. So, you must
       think like a winner. And if you think like a winner in
       life, then you're going to make it. And even if there
       have been some bumps along the way, get going
       again, start rethinking like a winner. And when you
       do that, you're going to make money.

   So what does it take to be winner though?

            It is an attitude. It's simply an attitude of life that
       says other people are doing well, I'm gonna do it.
       And that thing has been my attitude, and look at the
       things that you want to do as a challenge in life. And
       it's a creative challenge, and it's a challenge that
       makes you high. So if you have the attitude of think
       and grow rich. Napoleon Hill's book is a great book,
       and he talks about think and grow rich. And that is
       what it's all about, if you think like a winner, you will
       be a winner. Follow what I'm saying? Before the
       four- minute mile was run by Roger Bannister, no
       one ever thought that the four-minute mile could be
       run in four minutes. But as soon as he did it, do you
       know what happened?

   What happened? Like a hundred other people started doing it?

            That's correct. A hundred other people did it. So
       it doesn't matter what we are talking about, whether
       it's sports or anything else. If that king has the
       winning attitude, hopefully they are going to win, and
       that's the same thing about business. If you have a
       winning attitude in anything that you do, you’re going
       to make it. And keep the long range viewpoint. In
       other words don't say, "Well, if I don't make it

                                                  - 29 -
       overnight." There is no such thing as making a
       bundle of money overnight. There's always a
       learning curve, and you can get the help. Where's
       the help? People can call me, and I'll be happy to
       talk to them, and give them some tips. That's my
       enjoyment in life. They can read my books. Other
       authors books. Take some seminars at the local
       colleges. So there is the information all around us.
       And that's what they have to do.

    Let's go here. You mention in How To Get Rich in Mail
Order, the power of free publicity, free display ads. Can you
take 30 seconds, a minute, and expand on that concept?

            Yes. There are places where you can run the
       free ads. If you have a product, you can send a
       picture, a 4x5 black and white picture, to the ‘What's
       New Editor’ of hundreds of newspapers, of hundreds
       of magazines, and perhaps they will run that free
       publicity for you, and as a result you will get orders
       for it. I've done that for a long time, and so have my
            So send them to the What's New Editor of the
       appropriate magazine. It so happens that I have a
       list of 70 horse books, and when I first brought them
       out, I would take a picture, a 4x5 picture of it, and a
       write up on it, and I send it out to the 100 horse
       magazines that there are. As a result they wrote it
       up and I got the orders for it, and it was all free.
       Because you can say its $10.00 post paid. I had a
       series of bridge books, I send it out to the bridge
       magazines. I have golf books and bowling books.
       So you do the same thing no matter what you are
       doing, and no matter what the product is, you send it
       out to the appropriate magazines, and you can get
       that help at the library. There are books called
       Standard Rate and Data Service, and if you ask your
       librarian about it, they can help you.

                                              - 30 -
     Perfect. I definitely agree that people need to go to your
website, or call 818-765-8579 and
demand How To Get Rich In Mail Order, Make Your Money
With Classified Ads, Dynamic Thinking, The Magic of
Thinking Success. If someone ever wanted to improve their
life, mail order, some positive thinking, your company
Wilshire Publishing, has the answer! In reality, it could help
your hobbies, it can help you moving forward in your life.
We've got about three rocket fuel minutes left and an
awesome time with the great Melvin Powers. Let's move
here for a second, Melvin, what book was your most fun?
What book did you have the most fun in publishing? Out of
all the hundreds of books that you have done? What did you
have most fun with?

            Think And Grow Rich by Napoleon Hill. I've sold
       over seven million copies of that book. Also Psycho
       Cybernetics by Maxwell Matz. I've sold about five
       million copies of that book.

   How many books have you sold all together?

           Oh, I don't know the count on that. But,millions.

   So you thought and grew rich?

            Well, I read that book at the age of 16, and it
       changed my life, because it said I could do anything
       that I want to do. You had said something about
       songwriting. A fellow named Tommy Boyce of
       Boyce and Hart came to me some time ago with an
       idea for a book on ‘How to write a hit song and sell
       it’. I said, "Tommy, do you think I can do this?" He
       said it's all there. And I took that as a challenge.
       Can I write a hit song? I've never written a song. I
       said, "Can I write a hit song and get in on the
       charts?" And I did, and I wrote some country
       western songs that got on the charts. I also got
       some awards, and I was invited to Nashville. But the
       point is, how did I do it? By taking the attitude that I

                                               - 31 -
       can do it, and I went to UCLA and took some
       courses in lyrics and composition and read all the
       books I could find about songwriting. So, it's the
       same thing. And I've been in lots of businesses. But
       I always adopt the attitude that I can do it, and when
       you do that, you then get the Midas touch. And no
       matter what you do, its begins to work for you.

   Is there a correlation between songwriting and mail order

           I wouldn't say that. But I did sell my songs by
       sending them to Nashville, to everyone in the A&R
       department in Nashville, and in one week I got some
       calls from several of them that wanted to do my
       song. So I even sold my song through the mail.

   Melvin Powers, thank you for speaking with us today.
You and your materials are true winners! Thanks again!

           Thank you, Mike.

                                             - 32 -