ProBizTips Newsletter
** ISSUE #232 **

March 3rd, 2003

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What Happened? Troubleshooting Poor Response from Ad Campaigns
by Diane Hughes

Too many small business owners today run ad campaigns that get little to no results, and they have no idea why. When you have the knowledge to troubleshoot the poor responses, you also have the knowledge to make the needed changes so that - next time - your sales improve! Let’s take a look at the breakdown of an ad campaign, and how to determine what went wrong.

Response vs. Results

It’s important to understand the difference between response rate and results. When a customer takes the action you want him/her to take (i.e., clicking to your site, calling your 800 number, etc.), then you’ve achieved "response." This does NOT mean you’ve made a sale. The response rate of your ad campaign can be high without ever selling one product or service.

"Results," on the other hand, are the sales you make in conjunction with the response rate. When a customer takes the action you want him/her to take AND buys your product/service, then you’ve achieved results.

No Response

When you get little to no response, chances are that one of two things happened. One - your ad was poorly written and didn’t generate enough interest to excite the customer to take action; or two - the ad didn’t reach your preferred target customer.

How do you determine which one is the culprit? Test! Use the same ad, but place it in a different ezine or on a different Web site. If response rate improves, you know the ad is most likely fine, but the audience exposure was off. If the response rate does not improve, it’s probably best to rewrite the headline, the ad, or both.

Response But No Results

If you run an ezine ad, banner ad, etc., and get responses without making any sales, the most probable theory is that your supporting ad copy or offer is not doing its job. Ezine ads, banner ads, and the like will never make a sale on their own. The customer is almost always going to be directed to click back to your Web site. If the copy/design of your ad is working, but no sales are being made, take a good look at the copy or design of your site. Chances are that *it* could be costing you sales.

Again, testing is the key. Change a headline, add links that direct to "more information" pages, and so on. Run the ad again, and see if your results improve.

You’ll notice that in either case, testing is the recommended course of action. So many small business owners get in a hurry and neglect to test their ads. While it may seem costly to run an ad, change an ad, and run it again - the truth is that running unproven ads all across the ‘Net without gaining any return on investment (ROI) is a huge waste of money.

Yes, it does take a good deal of time. Yes, it can cost additional money. However, once you’ve taken the time to test an ad, and the copy on the supporting Web site that customers will be directed to, you’ll be in a much better position to ensure consistent sales from your campaigns.

---------------------------------------------------------

Diane Hughes is an accomplished internet entrepreneur and
editor of the popular ProBizTips Newsletter. Subscribe to
her newsletter for more tips, tricks, and secrets of the
trade -- plus get HUNDREDS of eBooks, software and tools
just for subscribing! http://www.marketersdream.com/diane

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When to Use Classified Advertising

Classified advertising can be one of the simplest and cheapest forms of advertising. Here are some times you should consider using a classified ad:

* Classified ads are very effective when you are beginning an advertising campaign. This is the time when you want to test whether a particular publication will work for you before you invest more money into bigger ads.

* It can be very expensive to continuously place large ads in a publication. When you need to consistently advertise, classified ads can be just the thing to use.

* Classified ads can be especially beneficial if you want to compare the response from a variety of publications before you start your major advertising campaign.

Look for these powerful small ads in lots of places. Many major national magazines feature classified ads near the back (and 60 percent of people read a magazine from back to front). Email newsletters offer a real bargain in reaching many thousands of people for cents per person. And don't miss out on trade journals and magazines that cover your industry. Folks in your industry will often be the first to buy from you.

------------------------------

Kevin WRITES your professional copy--web site copy, sales
letters, ads, press release and more! See http://DrNunley.com.
Reach Kevin at kevin@drnunley.com or 801-253-4536.

What Response Should You Expect From An Ezine Ad?
by Steve O'Connor

You've all heard it before, countless times no doubt - "Ezines are by far the best place to advertise online" - and it's true. There is no better place to reach a targeted audience and the proof is in the results - visitors from eZine ads are more likely to convert to sales at your website.

That is fact.

But what sort of response should you expect from an eZine ad? How do you know whether your advertising results are good, bad or indifferent?

These are basic questions that very few people actually know the answer to. In fact, because of all the hype aimed at prospective advertisers, I would guess that most advertisers expect far too much from an eZine ad.

Ezine advertising is not quite as powerful as it used to be because of the natural effects of email overload etc., but it's still good. But just how good?....

Well, I'm gonna tell you.

I advertise in eZines, a lot! That's basically what I do. I advertise in hundreds of eZines on a regular basis and as such, that allows me to compile some good statistics.

Here's the kind of response that I believe you should expect from eZine advertising today...

Regular Classified Ad:-
Average response rate (0.05% - 1 in every 2,000)
Response range (0.01% - 0.5%)

Middle Sponsor Ad:-
Average response rate (0.25% - 1 in every 400)
Response range (0.1% - 0.5%)

Top Sponsor Ad:-
Average response rate (0.5% - 1 in every 200)
Response range (0.25% - 1%)

Solo Ad
Average response rate (1.25% - 1 in every 80)
Response range (1% - 3%)

I bet that's less than you were expecting, right? Well, they are pure facts from our endless stream of advertising results. Sure, there are a lot of variables that can affect these results but I'm trying to provide you with a benchmark on which to base your own results.

If you're achieving results at the bottom of these response ranges then I can assure you that you can do better. Sure, it may be due to your ad and not the eZine that you're advertising in but once you hit an eZine that gives you the results near the top of these ranges, then you know that it's time to get choosy.

I've advertised in eZines and gotten absolutely zero response, plenty of times. There are a lot of eZines out there with poor subscribers - subscribers that simply don't react to advertising. But there are still plenty of good eZines out there - eZines that will bring you results.

Don't give up on what is still the best advertising medium on the web but be realistic. There really is no better place to invest your advertising dollar.

---------------------------------

Steve is the founder of World Wide Ezines - a unique online
resource providing advertisers with a continuous stream of
Ezine Advertising Results every month. Check it out at:
http://www.world-wide-money.com/ezine-results100.htm

Testing Your Ideas and Digital Products
by InfoProductLab

Creating a digital product is the fastest way to making money I know of.

The investment is small, the payoff is potentially HUGE.

I say 'potentially' because there are certain factors you need to keep in mind as you develop your product.

One of the most important factors is making sure there's a MARKET for your digital information product BEFORE you spend hours, days, weeks or even months developing it.

How do you know if there's a MARKET for it?

Your idea needs to be put into some sort of 'container': An ebook; a CD; a pc-video, etc...

You don't have to create the entire product, just a miniature version of it with, of course, good information in it.

I have used eBay for years to test new products. Once I know they will sell on eBay for a few dollars I'll develop the full product and raise the price.

But, I couldn't be sure if it would sell unless I tested it first.

It's cheap to test new products on eBay. For .35 cents you can put just about anything you can come up with on eBay and see if it sells.

Try a 'Special Report' and price it at $9.99 or $5.00 or whatever. If it doesn't sell, you might want to tweak your listing a little and try it again.

After a few tweaks, and you have done the best you can describing the product and it's benefits, and it still doesn't sell, forget it!

If it does sell and you get lots of people emailing you with questions about it, then develop the full product and sell more of them. Create a web site to sell them, advertise in ezines, etc.

That is one way to begin building an automatic money machine and develop products that will sell online.

It's simple, do-able and fast.

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© Copyright 2003 by InfoProductLab

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