Direct Marketing

A little direct response gem, or a dirty trick?

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Once upon a time, deep in the direct response mines, I found a little gem in two sales letters from Gary Bencivenga.

It reminded me of my childhood tennis coach, who claimed he would wear the same t-shirt four days in a row. One day, the standard way… next day, inside-out… third day, front-to-back… fourth day, you get the idea.

Well, Gary’s two sales letters did something similar.

The first sales letter ran with the headline, “Do you make these mistakes in job interviews?” The offer was a book, Interviews That Win Jobs, for $49.95.

But typical to good DR marketing, Gary’s sales letter also offered several bonuses. Bonus one, How to Answer the 64 Toughest Interview Questions (“selling nationally for $49.95!”)… bonus two, Red Hot Cover Letters… bonus three, Get a Job NOW!… bonus four, Negotiate Your Best Compensation Package.

Then there was a second ad of Gary’s I found.

The headline read, “Job hunting? How well can YOU answer these 64 toughest interview questions?” The offer was a book, 64 Toughest Interview Questions, for $49.95.

But typical to good DR marketing, Gary’s sales letter also offered several bonuses. Bonus one, Interviews That Win Jobs (“selling nationally for $49.95!”)… bonus two, Red Hot Cover Letters… bonus three, Get a Job NOW!… bonus four, Negotiate Your Best Compensation Package.

I don’t know. Maybe Gary wore the other two bonuses inside-out and front-to-back also. I just haven’t found those ads yet.

My point being, if you hit upon a hot market, you can use and reuse your main offer and your bonuses to blitz your market. This way, you can often get more of a response than you would with just one ad and one offer.

And if you don’t use Gary’s trick all at once, you can do what Dan Kennedy calls a reverse:

When your offer starts to flag, take the free bonuses and make that the paid system you’re selling… and take the old system you were selling and break it up into free bonuses.

But maybe you don’t think this is a little gem. Maybe you think it’s a low-down dirty trick… selling people what you used to give away for free… and giving away what you used to charge for.

But what to do? Such is human nature. You have to play these kinds of games if you want people to value what you’ve got. As a clever Spaniard once wrote:

“And as all men know, what costs but little, that we rate but low.”

Here’s something I suspect you will rate but low:

I write a daily email newsletter. It’s where I put the most interesting and valuable ideas I come across related to persuasion, marketing, and copywriting. Here’s where you can sign up, for free.

My prediction about the future of direct response hits

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“The next Tesla may even hire creators to evangelize the company or at least, serve as a paid marketing channel. Creators are essentially media companies now, which means that the creators of tomorrow will operate a lot like the New York based publications of yesteryear.”
— David Perell

My email yesterday looked at some fancy science, and made a simple point:

A hit product is the result of chance. The first few raindrops of popularity determine which spots in the product landscape become lakes, and which ones deserts.

I think this leads to a few conclusions. One is that, just because a product (or an offer) was successful before, this doesn’t necessarily mean it is worth studying. It might have become successful due to chance more than any intrinsic quality or real demand. And vice versa. You clearly cannot count on the quality of your product as your only key to success.

So what can we do about this?

One option is simply to put out lots more offers. This will increase your chances of getting at least one big hit.

And then there’s the fact that early buzz seems to be crucial to long-term success. Which to me suggests that street teams.. astroturfing… or influencer marketing are really where much of your marketing efforts should go.

And that’s what David Perell is saying in the quote above. Media-savvy businessmen like Elon Musk are already using creators as their main marketing channel. And the “next Tesla” will probably do more of the same.

But hold on a second. Tesla? That’s a whole other country from the direct response businesses I normally talk about.

After all, if some guy in 1995 got a sales letter from Gary Halbert about a book on killer orgasms… he probably didn’t go down to the local bar to ask his buddies if they knew anything about this orgasms book, and if it’s worth the $39.95 Halbert was charging for it.

In other words, people chose traditional direct response offers in a more independent way than they choose cars or movies.

But as I’ve written before, I feel that’s changing. In the same way that traditional brand businesses are becoming more direct response savvy… traditional direct response businesses are discovering the power of having a brand. So the same reality of what makes a big hit matters for modern DR businesses too.

The way I see it, that means you’ve got two options:

One is to become a creator yourself, because businesses will need you more and more.

The other is to hire creators or influencers to promote your offers, so you can create enough initial buzz to make it a hit.

That raises the question of who to hire and when and what they should say… All interesting questions. I’ll talk about that another day. And if by some strange circumstance you want to hear what I have to say then, you can subscribe to my email newsletter.

Experts are baffled: The magic ingredient that makes a hit

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Back when Jim Morrison and The Doors released their first album, they were a bunch of movie school bums whose biggest ambition was to become as big as the cult LA band Love.

Who remembers Love today? Not many. But hundreds of millions know Jim Morrison and Doors hits like “Light My Fire” and “Hello, I Love You.”

This global success might never have happened. But The Doors, bums that they were, spent weeks calling up the local LA radio station, requesting that cool new song, Light My Fire.

​​The song eventually became a local hit… then a national hit… then the album became a hit… and then The Doors became the next big thing.

Maybe you can do the same. At least that’s one conclusion I drew from a mind-opening article by Duncan Watts.

The article is titled “Is Justin Timberlake a Product of Cumulative Advantage?” You can find it on The New York Times Magazine site, and it’s worth reading from beginning to end. But if you’re pressed for time or attention, let me summarize it for you:

Conventional wisdom says the success of a book or a song or a movie is based on two things. One is the product itself. The other is what the market wants at that time.

And the conclusion, based on this conventional wisdom, is simple. If anybody fails to predict what will become successful, he is either too dumb or too lazy to read the writing on the wall.

Well, Watts had his doubts about this. So he set up a clever experiment to test it out. I won’t rehash the full details of how the experiment ran. The gist was it involved looking at which songs became popular among nine different segments of 14,000 people.

People in one segment had no information about how popular each song already was. People in the other eight segments knew how popular each song was, but only within their own segment.

This setup allowed Watts to test two ideas:

1. The most popular songs will be roughly as popular in the different segments.

2. The same songs will float to the top in the different segments.

Both of these hypotheses turned out to be very false.

First, in the eight “social influence” segments, the most popular songs became way more popular than in the “no social influence” segment. And the losers were more thorough losers.

​​Maybe that’s not so amazing. But get this:

In the different “social influence” segments, different songs became the most popular. And this wasn’t a minor reordering. A song could be no. 1 in one segment and no. 40 in another.

Watts explains this in a blindingly obvious way:

People do not make decisions independently of other people. The world is too complex… we usually don’t know what we want… and we often get more value out of a shared experience than out of the “best” experience.

All this means that small, random differences in initial popularity can have a massive impact in what becomes a hit and what doesn’t. That’s what Watts calls cumulative advantage. The rich get richer. And who gets rich initially? Well, that’s a coin toss.

This explains my Grinch story from yesterday. Chuck Jones had to pitch the Grinch 25 times, not because industry experts are too dumb or closed-minded to see the potential that was there… but because it’s genuinely impossible to predict what will succeed.

Randomness is the magic ingredient that determines a hit.

But what about The Doors? And what about direct response marketing, where decisions are more likely to be independent? And is there anything positive we can conclude from all this?

I believe so. But this post is running long already… so if you’re interested in more on this, I’ll finish it up tomorrow.

Offer flu

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Today, I want to quickly warn you about a dangerous pandemic that’s cutting down hundreds or even thousands of bright and eager entrepreneurs. It’s called offer flu, and it was first discovered by marketer Travis Sago.

According to Travis, offer flu starts with the following warning symptoms:

1. You think your whole sales success depends on your reputation (or you think you cannot be successful without a reputation)

2. You can’t make any of your ads work, or you need high-tech webinars, segmentation, or funnels, just to barely turn a profit

3. If you replace your product or your company’s name with your competitor’s, you find your marketplace doesn’t notice or doesn’t “give a crap” (Travis’s words)

The concerning thing is that offer flu is highly contagious. The more people you are exposed to who have offer flu… the more likely you are to contract it yourself. And that’s a terrible thing.

Because in the final, deadly stages of offer flu, you become incapable of saying anything unique. You start spouting out gibberish power words — 7-figure! Blueprint! Inner circle! — and yet you can’t stir any kind of response from the marketplace.

That’s the bad news. The good news is that, for those lucky few who are naturally immune to offer flu, or the even rarer birds who have received both shots of the exclusive offer flu vaccine, life is pleasant and easy.

Travis says that, if you don’t have offer flu, you can even put your offer in a simple Word doc… send this to the right people… and get back an enthusiastic “Hell yeah, I want this!” along with free money in your PayPal account.

If, that is, you don’t have offer flu. So how can you protect yourself from this crippling disease?

The cure, in two words, is “specificity” and “problems.” But if you want the full 2-shot vaccine, I suggest you listen to Travis’s “Natural Offer Flu Cures” course. It’s free, and it’s available in the “Videos” section of his Facebook group, right here:

https://www.facebook.com/groups/milliondollaroffermojo

Verdict in for Agora

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The verdict is in. The background is this:

In October 2019, before any of us had heard of such an animal as a pangolin, the FTC went after direct response behemoth Agora. Specifically, the FTC said Agora deceived customers with two products.

The first of these was “The Doctor’s Guide to Reversing Diabetes in 28 Days.” No diet changes… no drugs… no exercise required.

How?

The pitch was that diabetes is caused by “Non-Ionizing Radiation,” which the FTC says is based on no known scientific fact.

The second deceptive product was a book titled, “Congress’ Secret $1.17 Trillion Giveaway.”

The advertising for this book claimed you are entitled to get “Republican checks.” And if you don’t collect yours, somebody else will.

Really?

According to the FTC, it turned out to be the old play of “transubstantiating” dividend-paying stocks into free money.

So two days ago, the United States District Court for the District of Maryland, Northern Division, announced the verdict for this anti-Agora action.

​​From what I understand:

Agora has to stop making misleading, unsubstantiated claims, as with the two products above. (For example, they have to drop the “Non-Ionizing Radiation” shtick I mentioned upstairs.) They also have to pay a fine of $2M.

I’m just reporting this as industry news. I don’t have a single specific point to draw out of this. But here are a few thoughts circling in my head:

1. The $2M fine seems easy to manage for a billion-dollar company.

2. I’m no lawyer or blind supporter of the Bill of Rights. But to me, banning books (and consequent advertising) that promote unproven medical theories sure sounds like a violation of the 1st Amendment.

3. Overall, this decision seems fairly limited and uninteresting. At least it’s nothing comparable to the Raging Bull action currently in progress, which I wrote about before Christmas.

But fear not. When that verdict comes out, I’ll send you another update… and you can then decide whether it’s time to look for a new job.

Bump your order form bump 15% without changing the offer

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Two days ago, I watched an interview with a successful marketer who currently has several million-dollar funnels. He broke down his most recent success and shared some tricks and tips. Here’s one that got me, about an order form bump.

You probably know what an order form bump is. It’s an impulse buy you can tack onto your order form that doesn’t need a lot of explaining. If you haven’t seen one of these before, you can think of it as asking, “Do you want fries with that?” This can often substantially increase your average order value.

So this marketer discovered (by accident) how to increase his order form bump take rate by 15%, even for order form bumps that cost as much as the front-end offer. The breakdown:

1. The customer goes on the order page

2. He sees an initial two-sentence description of the oder form bump, along with a checkbox that says “Yes, add this to my order!”

3. If the customer clicks the checkbox, the 2-sentence description expands into a slightly more detailed description, which also includes the price.

This marketer’s accidental discovery was leaving out the price out of the initial two-sentence description. All his offers used to show the price there… but he forgot to put it in one time. The take on that no-price order form bump was 15% higher. And once he took out the price out of the initial description in other funnels, he saw similar increases.

Just in case you’re wondering about the legality or ethics of this:

The price is perfectly revealed once you click the checkbox. And for anybody who decides he doesn’t want the order form bump, another click on the same checkbox will remove the order form bump from your offer.

In other words, this is just of one of those human quirks. You might attribute it to the endowment effect or consistency or whatever you like. The fact is some portion of those extra 15% of people find it easier to convince themselves they actually want something they don’t really want… than to click on the checkbox a second time.

And that’s my point for you for today.

Because I don’t normally share these kinds of funnel hacks (though this one is worthwhile). Rather, I’m more interested in fundamental human traits and how we can use them for influence and persuasion.

Well, the trait here is how even tiny obstacles, particularly phyiscal obstacles, can have big effects on human behavior. Like in the example above, you can use tiny obstacles to reinforce the behavior you want. And vice versa.

Because right now, there are sure to be tiny obstacles that are hindering the behavior you want from people. It makes sense to hunt down those obstacles and terminate them with extreme prejudice. As Jonah Berger wrote in his book The Catalyst:

“Instead of asking what would encourage change, ask why things haven’t changed already.”

For example, I have an email newsletter. I could probably help get my optins up by offering some small gift for signing up, besides the pleasure of hearing from me each day.

I should work out what would make a good gift… but in the meantime, I can offer you the following, a special report called Copywriters Hero. It’s my collection of the best free and paid resources for discovering the world of copywriting and direct marketing. Here’s the link:

https://bejakovic.com/copywriters-hero/

Welcome your prospect to the Hotel California

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Two days ago, on a dark desert side road, I checked into the Hotel California.

That’s not what it’s really called. But that’s what it makes me think of, whenever I step outside my room.

The place in question is a 10-storey complex with five or six apartments on each floor. My guess it has a 10% occupancy rate.

There is staff floating about without ever seeming to do anything. They don’t speak English, and they don’t seem interested in dealing with guests.

There’s also a tiny pool and a basic gym on the top floor.

And as a curiosity, the sides of the building are open. In other words, as you climb the stairs, you first see a normal hotel… and then the walls disappear to give you a direct view to the city below.

For me, it all has a surreal feel. That’s why I liken it to the Hotel California. You know, in the Eagles song. “You can check out any time you want… but you can never leave.”

Because this place is convenient enough, but nothing spectacular. And yet, some small barriers to actually leaving, such as the grave-digger staff, might keep me here for eternity.

So what’s my point?

I’m not sure. Perhaps only a reference to an eye-opening insight from Gary Bencivenga, who was called the “world’s greatest copywriter.”

Gary said that wealth is an income stream. In more detail:

“You don’t build great wealth by merely creating a great product for a hungry crowd… not even a great product for a hungry crowd and a great piece of copy to sell it.

“No, you build great wealth by creating a product for a hungry crowd, plus a built-in way to keep that hungry crowd frozen in place and buying from you again and again whenever they’re hungry. In other words, you want a marketing system that rewards you with substantial income right away, and then — much more important — rewards you repeatedly with an automatic back-end revenue stream.”

And speaking from personal experience — as a buyer rather than seller:

It’s not that hard to get your prospect to check in and never leave.

Of course, he might resist at first at the possibility of having to pay forever.

But a sexy front-end offer and urgent copy will often get him over that hurdle, at least for a one-night’s trial.

And later, all you really need is something like my Hotel California to keep your customer frozen in place. A product or service that’s nothing spectacular, but is convenient enough… and some small barriers to actually leaving.

And now for the coda of the song:

“Relax”, said the night man. “We are programmed to receive.” You can sign up for my email newsletter any time you like… and you can also leave whenever you find you don’t want to receive it any more.

Chanelling mass muppet behavior to make yourself a millionaire

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I don’t know if you heard the news… but there was a kerfuffle in Washington, DC yesterday.

A bunch of men and women dressed like muppets took off-piste selfies all around the Capitol building, in spite of the meek protests of Capitol building security.

What gets me is that this kind of thing can happen in 2021.

We have a large state built around national security.

We have billions of cameras blanketing every inch of our nation…

​We have tens of millions of authorized and unauthorized wire taps to get secret info while it’s still secret…

​​And we have millions of highly trained men and women sitting in dark offices, all around the country, who are supposed to detect and predict this kind of thing and stop it before the muppets even take their first step towards a riot.

And yet, it doesn’t work. That’s why we still get spectacular and unpredictable kerfuffles like the one yesterday.

One useful thing I learned in college is that there are systems that are so complex that their behavior is pretty much impossible to predict. The only way to know what these systems will do is to let them run. Large groups of autonomous agents, such as humans, often fall into this category.

So if we can’t predict or prevent massive events like this, what can we do? Well, all we can do is run with them when they happen, and try to end up on the surface when it’s all over. As marketer and copywriter Gene Schwartz put it:

“The scientist did not create the energy of the sun; hut he can direct that energy into the explosion of an atom bomb. The speculator did not create the enormous growth of the electronics industry after the war: but he can ride that growth to produce a fifty times increase in his capital. And the copy writer does not create the desire of millions of muppets all over America to storm the Capitol; but he can channel that desire onto a particular product, and make its owner a millionaire.”

You might think that’s a callous and cynical thing to say. You’re right. But it’s also true. If that’s something you can stomach, then you might like unpleasant truths I write about regularly. You can get these bitter pills when you subscribe to my email newsletter.

The latest run-ins with ad fraud

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Back in February of 2020, Kevin Frisch, the former head of performance marketing and CRM at Uber, said the following:

“We turned off 2/3 of our spend, we turned off 100 million of annual spend out of 150, and basically saw no change…”

It turns out that a bunch of sites, apps, and ad network were coming up with clever ways to cheat Uber of their advertising dollars.

You might think, “Stupid Uber. That’s what happens when you’re a giant corporation and you don’t know the basics of direct response.”

That may be so.

But I also read about a modest-sized company, headphones.com, which went from $1,200 in daily ad spend to $40… with no change in sales. This was in 2020 also.

So what’s my point?

I’m not sure… I just found this pretty shocking. I wanted to share it with you mainly because I worry that even small marketers can launch campaigns that do nothing… and the culprit might be fraud.

Also, i want to tell you about a seemingly well-behaved duck in this space of large and shady advertising vultures.

I’m talking about Amazon.

Yesterday, I told you about the lead-gen value of putting your book out on Amazon.

But what if your book doesn’t sell? No leads generated then, right?

Well, Amazon allows you to advertise your book.

I’ve been doing it with my 10 Commandments book ever since I published it back in September.

As of today, I figure over 50% of my book sales came from these ads.

And here’s where it gets interesting:

My average cost of selling a book is around 50%. In other words, when I spend $1 in ads, I sell $2 worth of book.

I would do that all day long, because the royalties from Amazon a typical kindle book are 70%. In other words, of those $2 worth of book sales, $1.40 are yours to keep, at a cost of $1.

So is Amazon a well-hidden way to print money with book sales?

Sadly, no. Because on most days, Amazon never gets to spending even my modest ad budget.

That’s why I say they seem to be well-behaved — at least for now — and that’s why Amazon ads (specifically book ads), might be something for you to look into.

Last thing:

I write a daily email newsletter about copywriting and marketing, much like what you’ve just read. In case you’d like to sign up for it, here’s where to go.

A chilling Christmas card from the FTC

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Maybe you’ve already heard about Operation Income Illusion. It’s the FTC’s latest action, and it started earlier this month — just in time for Christmas.

The FTC filed lawsuits against five different companies. Among these is Raging Bull, a big and successful player in the financial publishing space.

​​Raging Bull got a restraining order prohibiting it from doing any more marketing… and it had its assets frozen.

So what exactly did Raging Bull to draw the eye of the FTC? From the FTC site:

“The defendants claimed in their pitches that consumers don’t need a lot of time, money, or experience, and that the global coronavirus pandemic represents a great time to pay hundreds or thousands of dollars to learn their secret trading techniques, claiming in one ad that the pandemic ‘…might be the most exciting opportunity in decades!’ The defendants also made claims like ‘Learn how you could DOUBLE or TRIPLE your account in One Week!'”

Errr…

That sounds a lot like the VSL I just finished writing for a real estate investing opportunity. So I find this whole Income Illusion thing a bit chilling.

Because from what I’ve seen in the past, when the FTC goes after a direct marketing company, that company is probably doing something really shady.

But the FTC took issue with Raging Bull over pretty standard direct marketing practices. Making big claims… using the most flattering testimonials… appealing to people’s greed and sloth.

I have no idea where this will go in the future. Maybe the lawsuit will be dismissed… maybe it won’t, but Raging Bull will somehow beat it… maybe it will be a one-time action by the FTC to set an example, without broader consequences. Or maybe it’s a sign of things to come.

In any case, it’s something to keep an eye on.

Now here’s an unrelated pitch, also in time for Christmas:

I’m launching a weekly email newsletter about travel during corona (“…the most exciting opportunity in decades!'”). The first issue will go out tomorrow, right on Christmas Day. If you’re interested, you can sign up at the link below:

https://masksonaplane.com/