The Power of Leverage!

One of the most under appreciated principles in marketing is the power of marketing leverage.  In my estimation there is no where else you can create as much leverage than in your marketing.

For example, when you purchase a piece of real estate you can use leverage.  You can put a small amount of your own money down, borrow the rest and create a reasonably good return on investment.

Let's say, for example, you put $5,000 down and sell the property a year later for a $10,000 profit.  That's a 200% return on investment.

Not bad.

But let's take a look at the leverage we can create with marketing.  Let's say you are running an advertisement every month that is costing you $400 per month resulting in 12 leads a month which turns into one closed loan with the average income of $2000.  That's a 4X or 400% return on investment in a matter of a month or two.

But here is where the real leverage can occur...

By simply testing different copy you should be able to improve the results of that ad over time.  That means, you can get more leads and more closed loans without spending a single extra dollar.

So for instance, with better copy or a better offer let's say you increase the response rate of your ad to 18 leads and 1.5 closed loans per month.  You are still spending the same $400 per month but now your income is $3000 or a 650% return on investment.  (Really, that's an extra $1000 at no cost which is an ROI of infinity.)

Now, let's assume that you have a great follow up program and you are working the leads you get for referrals.  Imagine if you could get an additional six prospects from your 18 leads and you close the same ratio.  That now translates to 24 leads and $4,000 in income, resulting in a return on investment of 900% WITHOUT SPENDING ONE ADDITIONAL DOLLAR IN MARKETING!

Where else can you get that kind of leverage on your money?  By following this simple principle, you can put your business on automatic and create exponential growth.

As far as I'm concerned, good marketing is the best investment of them all.

Just thought you should know.

Have a profitable day,

Steven