Saturday, June 9, 2007

$5 Million A Year, Selling ‘Ice Towels’


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Mike Fanning And Bill Sammon Story

http://www.himaicetowels.com

There's nothing like a hot product--or, in this case, a cold product with hot sales. Just ask Mike Fanning and Bill Sammon, founders of the Hima Ice Towel Corp., which sells prepackaged cotton towels soaked with refreshing mixtures of essential plant oils that promote evaporation and cooling.

Sammon got the idea after a trip to Asia, where he noticed mothers wiping down their babies with towels dipped in isopropyl alcohol to cool them off. With the help of another partner, Koy Thummaskra, Fanning and Sammon developed their own version of the towels, which come in different sizes and colors. Says Sammon, "It gives your average person an affordable luxury in hot climates."

Fanning and Sammon marketed the towels, which need to be frozen for 12 hours prior to use, to amusement parks and sporting events. The towels sell from $1.29 to $4 each, depending on the venue. The pair also markets to corporate clients. Now that sales are expected to hit $3.5 million to $5 million, it's clear these entrepreneurs have cornered the market on cold relief.
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Does Copywriting End After The First Sale Is Closed? Here Are Some Interesting Success Stories To Suggest It Keeps Right On Goin


MIke Epps [Def Comedy Jam]

Listen. Your customers are trying to tell you something.

If you hear what they say, your business will thrive.

This news is as old as the hills, but there are a couple of recent developments that underline these longstanding truths.

These developments could also have major implications for how you use copy in your business.

This week Jim Burt of The Car Connection Web site reported on a J.D. Power study that says Toyota, for the first time, is getting more repeat buyers than any other car company. Toyota has become increasingly profitable and is doing better than any of the Detroit-based automakers.

What is it about Toyota that makes people want to buy another one?

Quality and reliability, for sure. Offering the customer a lot of choices, too, according to Neal Oddes, an analyst with J.D. Power, the survey company.

I'll go further. You can't measure this one quantitatively, because we haven't come up with convenient measures for it. It's a qualitative factor: Listening.

Toyota gives the impression it listens while others don't. Detroit has gone its merry way with bigger and badder SUVs. Toyota comes out with hybrids. Which purport to help the environment.

Do they really? I'm not convinced. I've heard reports that it takes a lot of resources and generates thermal and yucky pollution to create the clean fuels the hybrids run on. More, mile per mile, than old-fashioned gasoline cars.

Maybe, maybe not. No matter for the point of this post. It's what a lot of customers want. Toyota listened. Customers bought. Then they bought again. Then the Japanese company busted to the top, right past the old school tie network that controlled the U.S. car market for years.

Interesting.

Another interesting note:

One of the most perplexing, and I would imagine, annoying, businesses to pop on the scene is Craigslist, headquartered three blocks from where I had breakfast yesterday in San Francisco.

Craigslist is diverting millions of dollars away from the classified ad departments at newspapers around the country. Craiglist doesn't have 19th century marches written about it (like the Washington Post), time-honored nicknames (like the New York Times does) or a worker who leads a second life as a superhero (like the Daily Planet is rumoured to).

But Craigslist has eyeballs - over 9 million unique visitors a month, according to estimates by quantcast.com.

Craiglist gives away a lot for free.

Craigslist also makes money. Enough to have convinced eBay to buy a significant minority stake in it.

But... money is not the top factor in decisions made at Craigslist, according to a recent public statement. Its customers are.

Listen.

"Well, this week, the CEO of Craigslist, Jim Buckmaster, gave a talk at the UBS Global Media and Communications conference. His message was clear: the company listens to its users.

"For example, the company could easily make a fortune from text ads. However, since users have not requested such things, Craigslist won't do it (how's that for a simple corporate philosophy?)."

That, from a very thoughtful and provocative post by Tom Taulli on bloggingstocks.com.

So what does this mean as far as copywriting is concerned?

It's simple. People - smart people, successful entrepreneurs - spend inordinate amounts of money, time and energy on the copy up front. The copy to get customers.

As well they should. Because the nickels turn into 10 dollar bills. They make profits more than most people could even imagine or hope for.

But do they put time, money, effort, creative thought and urgency into post-sale communications? You know, copywriting for existing customers?

They should. Because the real money is in the Toyota and Craigslist world. The world of customer loyalty, where they keep coming back for more.

How do you use copy to start a dialogue and develop a relationship?

Does this blog post give you any ideas?

Not the content, but the fact that I'm writing it, and you're reading it, and if you choose to place a comment below, then we're having a conversation.

I'd love to hear what you think.

David Garfinkel, http://world-copywriting-institute.typepad.com/


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Reinventing the Inventor


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While creativity's essential to developing inventive ideas, those who wish to turn inventing into more than just a hobby must shift their mind-sets. That’s because the role of serious inventor isn't limited to simply creating the newest gadget or gizmo.

It’s easy to understand why many inventors feel that once the patent is filed, their product design is complete and their invention goes into production, they’re almost home free in terms of getting their product to market. After all, it’s taken a lot of time and effort to reach this point. In reality, though, the final element--sales--still weighs heavily on the invention’s success and shouldn’t be underestimated. To be successful, inventors have to look at their inventions as marketable products and have a clear sales strategy.

To launch a successful product, it's critical to approach the process from a business perspective. Fortunately, that doesn’t mean you need an MBA or even specific experience in the business world. It simply means being as smart about running a business as you were about developing your idea. You already have an inventive mind and a creative spirit. You simply need to transfer those qualities to managing the business end of things.

To help you out, here are some tips to help you avoid some of the more common mistakes inventors make when managing a business:

1. Hang onto your cash, and research your product’s marketability. I can’t tell you how often I’ve talked with inventors who’ve spent thousands of dollars--in some cases, their life savings--on developing products that already exist or, even worse, products people just won’t buy. Remember, to sell your product, there needs to be demand. How can you know this for sure? Do your research before investing too much time and money in your project. A quick online search can turn up similar or competing ideas and can inform you whether the competition's selling.

If you move forward in developing your idea, maintain an open dialogue with your target market so you know what’s working and what isn’t. Initially talk to friends and family members, but move on to ask for unbiased feedback from more objective, informal groups. You could host a gathering at your house and invite friends of friends. Or conduct informal surveys by speaking to people at your grocery store, park, place of worship, kids’ soccer tournaments, etc. These are informal examples that can be a fantastic way to gather essential data while staying within a tight budget. If you do have extra capital, however, you can also hire a marketing company to assist you. Just do whatever it takes to ensure there's a need for your product idea.

You should also develop a sales plan. In other words, know which distribution channels you intend to use (direct sales, catalogs, online, retail stores, etc.) and/or which stores you expect to carry your product. View the feedback you get from industry professionals (store owners, buyers and managers) in this early stage as a gift. If you incorporate their feedback into your product and packaging design early on, you may save thousands of dollars in the long run.

2. Understand the value of a patent. Many inventors rush to file for patents before doing anything else. While a patent can be a valuable tool to protect your product, it’s not a requirement and isn’t necessarily the first step you should take. Be sure to closely evaluate whether you actually need a patent right away or if your money might be better spent on developing and manufacturing your product and getting a leg up on potential competitors in your marketplace. For more information, read "To Patent or Not to Patent?"

3. Use smart business practices. Every day, you make purchases, decisions about investments and insurance, and pursue many other activities that keep your household running. Use the same common-sense perspective when creating a business to support your product. This means shopping around for the right manufacturer, presenting yourself professionally when selling your product to potential retailers or distributors (whether in writing or in person), and keeping a close eye on your financials. A basic understanding of profit margins and markups is essential, and tracking every dollar of your income and expenses is critical. For more on managing your business's finances, read "Demystifying Profit Margins and Markups."

4. Get the word out. If you create it, they will not necessarily come. That’s because the general public doesn’t know about it. And with retailers controlling shelf space--where your product must compete with the store's own branded products--they're reluctant to give up that space unless there's strong evidence of consumer demand. You need to create awareness about your product so consumers will seek it out and buy it. That requires some marketing savvy.

Thankfully, there are many ways to get the word out that won’t require a huge advertising budget. E-mail blasts, PR and word-of-mouth are just a few low-cost ideas. Also, plan on attending relevant trade shows to present your product to potential retailers, sales reps and distributors.

5. Educate yourself. A good businessperson never stops learning. Even if you don’t have a business background, there are many resources available that'll help you teach yourself smart business practices. Do your research, read relevant business books, and keep up with business-related publications. You’ll be amazed at how much you'll learn about all aspects of running a business--from product development to finances to marketing to sales and so much more.

6. Consider licensing. If you love to develop products but don’t want to deal with running your own business, licensing your idea may be the route to take. But recognize that you'll still need to take a business-wise approach. Companies won't be beating down your door to license your invention. This'll take effort on your part, including the development of a working or presentation prototype, research about potential licensors, and creation of market data and a professional presentation. This way, you’ll be taken more seriously by potential business partners.

Tamara Monosoff is Entrepreneur.com's "Inventions" columnist and the founder and CEO of Mom Inventors Inc., a product development and manufacturing company. She's also the author of The Mom Inventors Handbook: How to Turn Your Great Idea Into the Next Big Thing (McGraw-Hill).


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Web Design Tips For Building A Successful Site


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You probably already know the key to making any kind of income from the net is a well designed web site. What most people don't realize your site doesn't have to look perfect or be professionally designed to be successful.

Not by a long shot!

In the final analysis, any site that makes you money is a successful site. From a marketing perspective, any site which brings in an income can be considered a well designed site. Many people can't get their heads around this fact: some of the most basic/ugly sites can be the most profitable. You don't need a perfect site.

Believe me, I know from first-hand experience.

Your site doesn't have to be a design knock-out to earn you money. My first site www.bizwaremagic.com which I designed from scratch when I didn't have a clue what a perfect site should be or look like but my modest little site now brings in over 50,000 visitors a month and Google just upgraded it to a PR6.


All that is not really important, what is important my site brings in money each and every day! It is a profitable site, it's not pretty but it works. I earn revenue from Google Adsense, I earn revenue from affiliate sales and I have even formed partnerships with other major sites and businesses on the web.

I get more and more companies coming to me each week asking if they can display their products/links on my site. I recently turned down a major fellow Internet marketer who wanted to put a link on the top of my home page and that guy makes millions online each year!

Why are they bothering with me and my site?

Because my site brings in targeted traffic and visitors who buy products and services which those companies are selling. My site is valuable to them. My site can deliver leads, customers and business to those other third parties. My modest little site is not perfect but it sells. It has value.

My Most Important Web Design Tip

Here's the main tip or advice I can give anyone starting a new web business: the only reason my site (any site) has value is because I have targeted certain keywords or keyword phrases with my site. Once these keyword phrases rank high in all the search engines you get targeted traffic to your site. Targeted traffic which companies would like to have a piece of to sell their products.

Actually if you do this one action right (get high rankings for your site's profitable in-demand keywords) then your site will earn you money. For example, if you get a top 10 ranking for 'Cell Phones' you will make money, regardless of how good or bad your site is designed!

Of course, this doesn't mean web design will not play an important role in the success of your site. You should always go for professional graphics, headers and logos if you can afford them, but you must realize other design elements will play a greater role in the success of your site.

You want a site that is easy to navigate with all links clearly visible and linking to your home page. You want a site that is easy on the eyes so keep all fonts and colors even and consistent throughout your site. Organize your content and material in a simple and straightforward manner featuring the one thing most surfers are searching for: information.

Please your visitors and the search engines by covering or discussing only one topic per page. Place a well defined page title at the top and include your main keyword phrase in your title and description. Feed the spiders but never forget you're writing for real human beings; the majority of whom will actually have a heart and a pulse!

Design For The SERPs

Keep your web copy and writing short, informative and witty. Some eye candy is dandy as long as you get your point across in the process. If you're selling from your web site, many professional marketers will suggest you start your marketing strategy not on your site but in the search engines' descriptions listing your site or page. Keep this in mind when you're writing your page descriptions, start to pre-sell to your potential customers in the MSN, Yahoo! or Google SERPs (Search Engine Results Pages).

These search engines, especially Google, will add creditability to your information or offer. This is one design trick or tactic you should be utilizing on your site to increase conversions if your goal with your site is to sell products or services.

Design For The BIG Picture

Along those same lines, I believe very few webmasters have a Big Picture when they're creating or designing their sites. You must look far beyond the actual pages you have uploaded to your web host... mainly because you must extend your site well beyond this limited concept.

You must fully understand your site's real power exists well beyond your web pages. You must extend the reach of your site to all corners of the web. You must build links, partnerships and content into these countless areas of the web. Use articles, blogs, social networks, viral marketing, directories, related sites and most of all you must pay attention to all your site's content in the major search engines.

Grasp the Big Picture of your site's design and keep it in mind at all times as you expand your site and watch it grow. Always have a clear picture of what you want to accomplish with your site's design and point it in that direction. Never forget your site doesn't have to be perfectly designed to be successful; you just have to get your information across in a frank and friendly manner. Just give your visitors what they're looking for and your site will be successful.


About the Author: Titus Hoskins is a full time Internet Marketer, his main site is Internet Marketing Tools If you need further web design tips - one great resource is Marlon Sanders. He has a helpful Free PDF download here: Top 10 Design Mistakes.


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Entrepreneurship Booming in Emerging Economies


Internet Scams or Internet Fools

Start-up activity grew in China and India in 2006, but fell slightly in the U.S., according to a new study.

Developing countries have experienced a boom in entrepreneurial activity over the last year, while entrepreneurs in the United States have created most of the 6.8 million new jobs added here since 2003. Those are among the key findings of new research released this month by Global Entrepreneurship Monitor (GEM).

The eighth annual GEM report measures entrepreneurial activity in 42 countries by surveying more than 2,000 people in each country. The 2006 data show a systematic relationship between a nation’s economic development and its level of entrepreneurial activity. Countries with the lowest Gross Domestic Product have seen a rise in start-up activity, according to the report. In the United States, on the other hand, early-stage entrepreneurial activity among people 18 to 64 years old fell to 10 percent from 12.4 percent in 2005. Among the countries in the survey, entrepreneurial activity is highest in Peru at 40.2 percent and lowest in Belgium at 2.7 percent, according to the report.

GEM researchers explain that the percentage of start-up businesses is higher in the poorest countries because there are fewer alternatives available for making a living in those places. Developing countries tend to foster innovation, creating room for entrepreneurs to replicate something locally that has been produced elsewhere, according to Maria Minniti, Research Director for the GEM Consortium and professor of economics and entrepreneurship at Babson College in Wellesley, Mass.

New business start-ups also rose significantly in China and India this year. Entrepreneurial activity in China is up to 16.2 percent from 13.7 percent last year. In India, meanwhile, one in every ten people is engaged in entrepreneurial activity, the report shows. But India also has the highest level of failed start-ups--at 15 percent--among the nations studied. Governmental bureaucracy and the presence of large companies in India make it more difficult for start-up companies to establish themselves, GEM researchers note.

For high-income countries such as Japan and the core nations of the European Union, early-stage entrepreneurial activity remains low, at 10 percent or less. While the proportion of people starting businesses in the U.S. dropped slightly in 2006, the level of entrepreneurship remains high compared to European countries such as the United Kingdom, where it hovers just above five percent.

Even in low-income countries, entrepreneurs are often driven by passion and opportunity, the study found. A majority of entrepreneurs across the world claim they are starting a business to capitalize on an opportunity, according to the report. Reasons for choosing the entrepreneurial lifestyle include the desire to be independent and to be passionate about work, Minniti said. "Satisfaction is a big motivation for productivity," she added. In high-income countries, this translates into high percentages of entrepreneurs forsaking other career options to pursue an entrepreneurial opportunity. In Denmark, Norway and the Netherlands, that type of opportunity-driven entrepreneurship accounted for more than 90 percent of new start-ups.

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How to Start a 501c3 Nonprofit Organization


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Have you always wanted to leave the world a better place than you found it by starting a nonprofit corporation? Here's a simple, straightforward guide on how to successfully establish a 501(c)(3) nonprofit corporation.

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The new retirement: staying busy making money


Comedian/Actor Jack Black on Millionaire Comedy Edition

More boomers are putting the golf clubs and big trips on hold and using their age and experience to launch successful small businesses.

Retirement used to mean entry into a golden era of endless leisure. But more boomers are putting the golf clubs and big trips on hold and using their age and experience to launch successful small businesses.

In fact, a recent survey by Harris Interactive for Yahoo! Small Business found that 72 percent of the people over the age of 55 agreed with the statement, "I will never be too old to start my own business."

Only three per cent of survey participants said that "getting rich" was the main reason they wanted to start a business. The same survey in 2005 put that number at six per cent. And nearly a third of the respondents said that doing work they really love was the primary motivation for launching a business.

"Clearly, these findings suggest there are conditions in the job market and in older workers' desire for autonomy and flexibility that make self-employment an attractive option for those in their late 60s," said Dr. David DeLong, author of a study for the MetLife Mature Market Institute.

As the oldest boomers turn 60 in 2006, their desire for trying new things could portend a significant wave in departures in the next year, says DeLong, suggesting a wave change in the workplace that will be propelled by entrepreneurs.

The perks of being self-employed include being held accountable for their own success, being their own bosses, and not having to live by anyone's rules. Other reasons cited for starting a business include the satisfaction of making money from a good idea as well as the opportunity to create a family business effort.

Management consultant Randall Craig, author of Leaving the Mother Ship, offers these tips for budding boomer entrepreneurs:

1. Do your research. Make sure there is enough demand for your product. Talk to other people in the field to better understand the opportunity in the market and determine what is necessary for success.

2. Invest in yourself. Take a business class to fill in any gaps in your skills, such as accounting or marketing.

3. Take a test-drive. Try to work full or part-time in the business you plan to open. This front line experience can be invaluable as a reality check. Some experts also advise finding a paying client before building your business.

4. Develop a solid business plan. Write a report detailing exactly how your business will operate and make money. A solid business plan should include sections on sales, marketing, operations, finance, human resources and a step-by-step road map for becoming fully operational.

5. Be frugal. Cash is oxygen to a business. Conserve it however possible.

6. Build a buzz. Repeat customers and positive word of mouth are critical to your business success. Negative word of mouth can be equally damaging.

7. Develop your brand A professional logo and effective marketing and advertising materials will help to ensure your budding corporate culture reflects positively on your enterprise.

8. Engage your support network. Talk to family and friends, but alsoto your professional advisors including your lawyer, accountant, banker and others.

9. Don't give up. Be willing to quickly change gears if things are not working out as planned. Being an entrepreneur is hard work.

Despite the obstacles, entrepreneurs are generally optimistic about their success. In fact, 70 per cent of small business owners would recommend to a friend or family member that they go into business for themselves, according to a survey from American Express.

Copyright © 2006 All Rights Reserved - Fifty-Plus.Net International Inc.

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Guerrilla Marketing for Your Retail Business


An eBay for Parking Spots

Guerrilla marketing has been in the news lately. Perhaps you've heard about Cartoon Network's Aqua Teen Hunger Force promotion that drew out bomb squads in Boston and made front-page news across the country. Some say the attempt went awry; some say any press is good press. Whatever the case, it was guerrilla marketing.

Just to refresh your memory, guerrilla marketing is about gaining the maximum exposure for a company, event, product, service or person with the minimum amount of cash. Instead of a big budget, marketers rely on time, energy, information and knowledge to draw a crowd. Does low- or no-cost sound like a welcome relief to your budget? Let’s review some easy-to-implement guerrilla marketing tactics for your retail business.

Many retail entrepreneurs are in a great position to use holidays for promoting their businesses. Every month has a holiday except August. And if you don't find one that fits, make one up: National Haircut Day, Treat-a-Dog Day or Buy Roses for No Reason Day, for instance. These types of themed days can even get you extra media coverage, so be sure to let the media know about your made-up holiday and promotion.

Another way to get press is writing special-interest articles on relevant topics, such as "The History of Valentine's Day" or "How the Poinsettia Became So Popular." Feeding the news community with this information positions your business not only as a resource for information related to holidays, but also as the place to shop for holiday-related gifts.

Other guerrilla ideas for retailers are events or contests. The event could be an open house, or a meet the expert, meet the mayor or meet the press. Contests can be simple, such as guessing the number of roses in a car for a florist or predicting the day a certain milestone will be reached--the thousandth guest or millionth sale, for instance. These suggestions may sound corny, but hopefully they'll get your creativity going.

The most powerful guerrilla suggestion for retailers is to keep track of your customers and prospects. Prospects have already expressed interest in you, so marketing to them should produce sales. Use a guest book in your business or hold a drawing and collect names and contact information from the entries. This pool of prospects will prove more valuable than any mass advertising. And remember, when you get contact information, put it in a database and be sure to get permission from your prospects before e-mailing them.

Guerrilla marketing can--and often will--push boundaries. It’s OK to be on the edge, to test extremes, to get attention and to take calculated risks. Sending seasonal greeting cards falls into this calculated risk category. Imagine getting a greeting card from your favorite retailer wishing you a happy July 17. No special day, really, just an arbitrary greeting--maybe including a promotional offer. People love getting greetings at unexpected times, and you'll get attention for your gesture.

Another easy way to get noticed is putting candy in with each item you sell, which will also help you gain attention and stand out from others. Brainstorm marketing ideas with co-workers and suppliers. Try a few. Repeat what works. Fix what doesn’t. You may surprise yourself with how well your marketing takes off with your budget still intact.


Al Lautenslager is the "Guerrilla Marketing" coach at Entrepreneur.com and is an award-winning marketing and PR consultant and direct-mail promotion specialist. He's also the principle of Market For Profits, a Chicago-based marketing consulting firm. His two latest books,Guerrilla Marketing in 30 Days and The Ultimate Guide to Direct Marketing are available at www.entrepreneurpress.com.


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