Apr 07, 2022
In Welcome to the Forum
It cuts down on your shipping expenses, it decreases the shipping time, and it allows you to include promotional material directly with mailing list the shipment. * When you do utilize drop-shipments, be sure to send your customer a note that his order is being processed and he can expect it by, or around a certain date. * It is unnecessary to make your customer aware of the fact that the item is being drop-shipped. Include some promotional material with your letter or note. PRICING * Buy at a price that allows you an adequate mark-up. In setting your mailing list prices, allow for all costs: * Cost of product, shipping cost and postage, bank charges including credit card charges, wrapping, bad debts, rejects, refunds, etc. In addition, the other normal overhead costs need to be considered,. Lastly, there is the substantial marketing cost for advertising, and for printing of promotional items. (See following paragraphs) * Your prices of course, have to be fair and in line with your competition. * It is not necessary that you make a big mailing list profit on each and every item. the real profit in mail order comes from follow-up orders. * THE 3 BIGGEST EXPENSE CATEGORIES IN MAIL ORDER ARE: ADVERTISING, PRINTING COST, AND POSTAGE. Over 80% of your total expenses are in this area.