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HOW TO START & OPERATE A SUCCESSFUL CO-OP MAILING SERVICE
Aside from advertising, the biggest expense involved in a mail
order business is postage. This means that virtually everyone
involved in mail order is on the lookout for ways to save money
getting their sales offers out to prospects. The answer is in co-
op mailings.
Here's how a typical co-op mailing service works: A person
with something to sell via mail sees an advertisement inviting him
or her to send their circulars or brochures to a co-op mailing
service. The co-op mailing service receives these circulars or
brochures and hires housewives or handicapped people to fold and
stuff them into envelopes and then mails them. For this service,
they charge anywhere from $10 to $100 per thousand - and it's a
good deal for the mailer.
The mailer doesn't have the bother of folding and stuffing
envelopes, nor the expense of renting a mailing list to send his
offers to, and he doesn't have to worry about either a bulk rate
mail permit or the costs of postage. All of this is included in
the fee he pays the co-op mailing service.
Now, quite naturally the co-op mailer can not do this and make
any money unless he's got a number of circulars or brochures from
several customers in each envelope he sends out. And that's
precisely how he makes his money - by including 10 to 16 such
circulars in each envelope. Look at it from a mathematical point
of view: Say he's charging 12 people $50 per thousand to fold and
stuff their circulars in with his own outgoing mail. Twelve times
50 dollars comes out to 600 dollars - he uses his own mailing
lists, so there's no big expense involved there - but he does have
to pay people to fold & stuff envelopes unless he's got it
organized where he and his family do this... The going rate of pay
for people to fold & stuff circulars is about $20 per thousand...
And to bulk rate mail 1,000 envelopes is going to cost $110... Add
to that about $12/1,000 envelopes and you've got a total overhead
of $142... Subtract that amount from the $600 he took in, and you
have him realizing a profit of $458... Not bad for one mailing...
The best thing of all about starting and operating a co-op
mailing service is that you can include your own circulars or
brochures with each envelope you send out. You stuff circulars or
brochures from 12 different paying customers, and at the same
time, include at least two of your own.
So how do you get started in such an easy and highly
profitable business... The simplest way is to have an advertising
coupon - 3 by 6 inches - made up and include one with everything
you mail out.
Another sure-fire method of pulling in orders is to run a
simple classified ad in as many of the national coverage mail
order publications as you can afford. Such an ad might look like
this:
Co-Op Mailing!
Best customers in the country. Just $50 per thousand -
you supply the circulars - we mail!
Excello Mailing Services, PO Box 99 Washington, DC 20001
A couple of things you should do in order to handle the orders
you'll be getting... Be sure to have a number of people lined
up/available to do the folding and stuffing of envelopes for you -
and also, be sure to get yourself a bulk rate postage pe
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