"The Lightning Speed Internet Sales Success Course"
          
                                  LESSON #16
          
                             © 1997 B.S.A. / F.M.
                    http://web.idirect.com/~bsa/index.htm
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                                  THE TOPIC:
          
          Why the best way to make money from a product may be to 
          give it away.
          
                                 THE ANSWER:
          
          My good friend Jonathan Mizel once declared: 
          
             "A product should either be very expensive or else 
             incredibly cheap ... or even FREE." 
          
          There's wisdom in that.  
          
          The worst thing you can do in an information marketing 
          business is to have a line of 30 disks, let's say, and 
          try to run a business that sells them for $5 apiece. Good 
          luck EVER making a profit from a venture like that! It 
          won't happen!  
          
          Putting a high price on your products and services gives 
          them the perceived value that they deserve to have ... 
          and allows you to generate profits and stay in business,
          which allows you to KEEP serving your market.
          
          But if that's the case, then how do you give things away 
          and still keep your high perceived value? Here are some 
          tips to remember ...  
          
          a) always remind the market that what you are giving away 
          is but a small fraction of what you have to offer 
          
          b) always remind the market that this is a getting 
          acquainted offer or a gesture of appreciation for the 
          business they have given you ... or a moving sale, or an 
          inventory clearance ... or whatever. Have a REASON! Or 
          use the Bill Myers tactic (see below).
          
          c) always use the inexpensive lead-generator simply as a 
          tool to upsell them to something expensive 
          
          You know what Bill Myers used to do when he was selling 
          the duplication rights to his videos? He (or his staff) 
          would guage your interest over the phone and if you fit 
          the bill, he would surprise you be mailing the complete 
          retail package to you, from which it was a very short 
          leap to closing the duplication license ($695) sale. You 
          start off paying $0 for the videos and then paying $695 
          all of a sudden. That's further validation of the concept 
          of making your offers either free or expensive.

          If somebody will go to the simple effort of at least
          picking up a phone or sending an email asking for something
          free, it's a good sign. You could offer a free Rolls Royce
          to most people and they wouldn't bother to follow up.