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A Simple Guide for Developing a Marketing Plan


Build a Profitable Subscriber List


Cold Calling Really Sucks


Connecting With Customers


Convert Leads Into Customers, And Customers Into Super-customers!


Double Your Business Results Using The Penny Model


How to Create Your Own Information Product Even If You Are a Hopeless Writer!


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How To Get All The Traffic You Can Use?


How to Get Free Advertising for your Business


How to give your customers a choice between you and the competition and have them choose you.


How To Increase The Chances A Prospect Contacts You By 50%


How To Make The Most of Public Domain and Private Label Content?


How To Market Without A Website


How to offer 30 day terms the right way.


How to use Three Step Direct Response Marketing


Image and Branding Advertising¡KGet over it or Go BROKE!


In Sales The Customer Is King And Don't Ever Forget It


Learning Superior Customer Service Skills


Learning Superior Customer Service Skills


Point Of Sale Systems: How to Choose a Dealer to Buy From


Position Position Position - The secret to success online.


Sales and marketing terminology


Sales Leads - How to Generate Quality Sales Leads Through Public Speaking


You Never Have a Second Chance to Make a First Impression: Position Your Company Wisely


Shut Up and Sell!


Smart Advertising That Will Skyrocket Your Business Profits


The 7 myths of marketing a service business


The 12 Reasons Why Most Ads Fall Flat On Their Face, Costing You A Fortune Instead of Making You The Money You Deserve!


The Art of UpSelling: Three Tips to Generate More Sales Effortlessly and 3 Ways People Blow It


The Goldmine known as Private Label Rights!


The Key To Increasing Your Customer Base: Accept Credit Cards


The Power of Small Business Branding Through Private Labeling


The REAL TRUTH on How to Price Your eBook


The Ultimate Sales Tip - Give Up the Need to Sell


The Word Perfect And Emotionally Charged Singing Sales Letter is Born


Think Positive - Care for your Customers


Tips For Hot List-Building


Top 10 Marketing Tools


Using Buttons and Badges to Increase Customer Service and Business at a Restaurant


Want to earn more Profits


Why cutting your prices is like cutting your own throat






Using Buttons and Badges to Increase Customer Service and Business at a Restaurant

by: Charles Kassotis
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It's the oldest sales tactic in the world...

And one of the worst...

Price cutting.

Before you make your next price cut in the face of sales resistance, the question you have to ask yourself is not, "Does it work?," but rather, "Can you live with the bargain?"

Here's a pop quiz: you - in your role as salesperson - go for the close. You ask the prospect to make a commitment and they don't. What's your first response?

Well, if you are like most people in a selling situation - whether you are the hired sales guy or the CEO-your first response to people not buying-for whatever the reason-is to say, "Would you buy if... ?," and the "if" is always some variant of, "...if the price was lower?"

And you ask it almost before you ask them WHY they won't buy.

And it's not only when they tell you they won't buy. Many people in sales mentally calculate the discount into their profit calculations, and start discounting even before they try to close the deal. In almost every sales job that I've worked in, people faced with an end-of-quarter crunch to "make the numbers" start playing the discount game. In many industries, it's become common practice to give away all the profits, and many customers are trained to expect it.

Trouble is, people are not usually 'not buying' because your price is too high.

If you've taken the trouble to establish the real of your product or service, you - and your prospect - already know that the value far exceeds the price you are asking. (If not, you better go back and rethink the math.)

So if they are saying "no," or simply not saying "yes," it either means they are experienced buyers waiting for you to spontaneously cut your price, or it means they just do not see a sufficiently compelling value...yet.

Cutting your prices will almost never lead to new sales if they didn't plan on buying in the first place, and the effect on your profits can be devastating. Follow these numbers:

Let's say you sell a product for $100. Your cost is $70. That means it carries a thirty percent margin-your profit is $30. Now, to make a sale, you are "forced" to cut your price by twenty percent. Your new selling price is $80. All things being equal, your profit is now $10-instead of $30. That means a 20% price reduction cost you 66% of your profits.

TWO-THIRDS OF YOUR PROFITS
for a 20% price reduction! Cut your price much more and your profit quickly goes to zero. Or lower.

And that's not even the worst of it.

Once you lower prices, they tend to stay low. That $100 widget you just sold for $80... Well, sorry to say, but it's now an $80 widget.

Even more damaging, your like-minded competitors will almost definitely lower their prices, and you, my friend, are in a price war. To win in this scenario, you need deep pockets to sustain a losing position for the duration.

So for these three reasons-depressed profit margins, permanently lowered prices, and the devastation of a price war-it's a bad idea to lower your prices to buy business-regardless of the economic climate.

What can you do instead?
The two main strategies are clarifying and quantifying the value, and packaging products or services to maintain higher prices.

Here's an interesting example. One of my clients-a software company-had a hot prospect who didn't want to buy the typical contract for software maintenance. They felt that 18% per year was just too expensive, and wanted to pay ad hoc instead.

My client knew this was a bad idea. Customers without maintenance contracts typically become your worst. Why? Because they know it's going to cost them each time they pick up the phone for support, so they try not to. Thus, they don't get the right level of service, they don't know how to use the product and they don't get the results they paid for in the first place.

And even though it's their fault for skimping, they point the finger at you and badmouth your company.

On my advice, my client offered the prospect a four year non-cancelable maintenance contract, and gave them the first year for free. And although it was a 25 percent reduction in total purchase price, it never lowered the per year pricing, and it actually guaranteed more than the prospect's original commitment.

Plus, my client locked in that customer for four full years, during which time they rightly expect to sell them additional products and services.

Price cutting is the "lazy man's" response when it's hard to make sales. Unfortunately, it may not boost total revenues, and results in drastically lowered profits on the sales that do get made. Often the outcome includes permanently reduced prices and margins, and even a price war, which has disastrous consequences for all players, except very deep-pocketed ones.

Sell the value instead. Spend the time to discover what your prospect is trying to accomplish, and make sure your product or service helps them do that. Then establish the quantifiable financial impact, and sell them that. Or package, bundle or go for the long-term, multi-year commitment.

There are other approaches that not only maintain price levels, but even support higher ones. To get an overview of those approaches, visit http://www.lemberg.com/tipsandtools.html and download "5 tactics to avoid price cutting."

About the author:
Paul Lemberg is the President of Quantum Growth Coaching: More Profits and More Life for Entrepreneurs, Guaranteed. To get your copy of our free report with detailed steps to grow your business at least 40% faster, go to www.fastergrowthnow.com


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Offshore Assistants

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We are a team of virtual assistants with over 10 years of real-world, practical experience and a growing list of very satisfied clientele. We have a comprehensive and rich professional experience in both the public and private sector, serving in different types of organizations such as law enforcement, legal departments, the judiciary, non-profit organizations, educational institutions, and multinational corporations. Our status as a team signifies that we have a wide range of available skills and backgrounds. Whatever your business or company needs, we will deliver.

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We also expect our clientele to be equally dedicated to their business. We find that we work best with clients who are dynamic, energetic, expressive, and creative. We’ve come to realize that the best clients are those with excellent business sense: they know that placing too much emphasis on the performance of mundane tasks will seriously detract from the more pressing issues of actually running the business. Hence, they recognize the value of hiring virtual assistants to streamline company operations and relieve them of minor responsibilities, thus giving them complete freedom to run the business.

If you would like to avail of our services, we would be happy to provide you with a complimentary consultation meeting or call, completely free of charge or obligation. Please look to our Contact Us page to find our complete contact information.

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What we can do for you

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We specialize in virtual assistant services for taking care of your administrative, secretarial, clerical, and legal tasks. These tasks are, without a doubt, vital and necessary for your business, and we present a way for you to efficiently manage them and, simultaneously, manage the more critical aspects of your business’ or company’s operations. We can also work with you to identify what your special or specialized needs are.

General Office Support Services
Word processing
Business correspondence writing
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Desktop publishing and design:  flyers, brochures,  newsletters,  and other printed material
Document proofreading and      editing
Spreadsheets, graphs,  and charts
Marketing assistance, including telemarketing
Multimedia presentations and slideshows
Database management and  maintenance
Research
Bookkeeping and accounting payroll and billing

Specialized Business Support Services
Business start-up assistance
Corporate identity packages
Screening, interviewing,  and hiring of new employees
Insurance quotes
Marketing assistance and support
Feasibility studies and marketing research

Legal Support Services
legal transcriptions
drafting pleadings, briefs, and other legal documents and correspondence
investigative reports
legal research
proofreading and editing of legal documents
client interviews
witness interviews
private investigation

Our expertise is based on years of top-level administrative experience and training. We carefully evaluate and subject our virtual assistants to a rigorous screening process. When you avail of our virtual assistants’ services, you can expect the services of a fully-qualified expert. You don’t have to go through the tedious process of hiring and screening new employees.If your company’s or business’ workload and/or budget doesn’t allow for full-time permanent administrative staff, or if your workload periodically piles up and cases a backlog in your operations, you need our virtual assistants.

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Availing of Our Services

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As an entrepreneur or small- or medium-scale business owner, you realize the value of your time. Running a business is a dynamic activity: it is imperative to be on top of the situation 24/7/365. Unfortunately, the little details of running a business tend to eat up your precious little time and detract from the more important concerns of running the business.

As a manager of a medium- to large-scale corporation, you are probably familiar with the periodic build-up in the overall company workload: peak seasons bring in torrents of drowning paperwork that, if not properly managed, will take up a lot of your time and energy, both of which are better off spent on actually managing the company. The fact that this phenomenon is seasonal in nature makes it infeasible to hire full-time permanent employees, and hiring part-time employees will further take up a lot of time and resources.

Before we begin a job with your business or company, we will schedule a free consultation meeting or call with you. This is a cursory call and we discuss our services in even greater detail. We aim to establish a degree of rapport with you, our prospective customer, and we mean to show you that we are serious about doing business with you. During this first discussion, we will try to identify your business’ or company’s specific needs; the needs of businesses are unique and they have to be carefully addressed for our virtual assistant services to be fully effective.

After we have identified your company’s needs with you, we will draft a formal detailed job specification along with highly specific recommendations for your company. We submit this specification to you for your approval and revisions. If our proposed specification is to your satisfaction, we can then begin to work with you and your company or business. Otherwise, we will revise the specification until it meets your demands, thereupon we begin our work with you.

Our complete contact details can be found on our Contact Us page on this website. We look forward to a productive working relationship with you and your company or business.

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Pros and Cons of Having an Offshore Bank Account

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Offshore banking has been infamously associated with corrupt executives, drug dealers or other unlawful people avoiding taxation and keeping discreet accounts to hide their criminal deeds. However, this is not generally true. In fact, 80 – 90% of offshore bank accounts are used to protect businesses from lawsuits, scams or other threats.

An offshore bank is typically located in a place with low or no tax jurisdiction. People mostly open an offshore bank account for this reason, for it has legal and financial benefits. However, while there are advantages in offshore banking, there are disadvantages as well.

Pros:

1. Offshore banks can provide stable jurisdictions and regulated banking systems. This is beneficial for people living in politically troubled areas where their assets may freeze, or worse, disappear.

2. There’s not much government interference in offshore banks, so sometimes they offer higher interest rates and lower cost bases than in home countries.

3. Offshore banks sometimes offer services that domestic banks may not be able to provide. Examples of these services are anonymous bank accounts, investment opportunities that cannot be offered anywhere else, and lower of higher rate loans.

4. Offshore banking can provide developing countries opportunities to prosper because offshore finance is an industry that could make remote islands be engaged in source investment, thus creating economical growth.

5. Offshore banks mostly pay interest without having to deduct tax.

Cons:

1. Offshore finance, although a legitimate financial establishment, has been linked with unlawful acts like terrorism, underground economy and money laundering. Along with the events that followed the September 11 attacks, offshore banks were accused of helping terrorist groups and organized crime groups.

2. Offshore bank accounts are mostly available to those who have higher incomes, as the cost of establishing an account is quite high. This leaves the tax burden to the middle-income group in developed countries.

3. Offshore banking has been referred to as the solution to all the financial and legal asset protection issues. However, this is not always the case.

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