Efficient marketing

If you thought about marketing exclusively from the perspective of efficiency, here’s what you’d do:

1: You’d try to find the cheapest way possible to find prospects who are almost ready to buy.

2: You’d get an offer that matches their perceived needs in front of them and use the cheapest possible methods to increase this person’s desire or sense of urgency for your offering.

3: You’d try to reduce or eliminate the need for expensive complements to the sale (expensive skilled salespeople, a costly evaluation process, pre-sale tech support, etc.) This will have implications for both the marketing and sales, but also perhaps for the design of the actual offer (the actual product/service). For example, rather than building out a support function, you might just have a no-questions-asked 100% refund policy, or even a greater-than-100% refund policy to hedge against reputation damage.

If the above result in profit margins that don’t satisfy you, you might optimize for a system design that is highly scalable to give you the total profit you want even at these lower margins. The margins, to be clear, can be quite high even after the costs — if you ran a restaurant you’re looking at 5 to 8% margins, so it’s not hard to dramatically exceed that with digital products, for example.

And finally, if a lot of smart, clever, resourceful, motivated people did this above for over 50 years and shared what they’ve learned and improved on what others have learned, you’d have a pretty well-developed, mature, effective system or methodology for efficiently selling stuff.

You’d have Direct Response Marketing.

Direct Response Marketing optimizes for efficiency.

-P

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