How to Create Irresistible Offers

1. Create irresistible offers to dramatically boost response rates

"The irresistible offer is an identity-building offer central to a product, service, or company where the believable return on investment (ROI) is communicated so clearly and efficiently that it's immediately apparent you'd have to be a fool to pass it up."

Offer is key. Direct marketers understand the critical importance of the offer, while general marketers often overlook it. A strong offer can increase response rates by 10% to 900%. The offer consists of what prospects get when they respond and what they have to do to get it.

Types of offers. There are four main types of offers in lead generation:

• Soft offer: Request for printed material with no personal contact
• Hard offer: Results in face-to-face or personal contact between buyer and seller
• Negative offer: Option for prospects to respond even if not interested
• Deferred offer: For prospects with future needs

Multiple options. For best results, include multiple offer options in your promotions:

• Primary offer: The one you emphasize most
• Secondary offer: Gives prospects another reason to respond
• Negative or deferred option: Captures additional responses

2. Use "bait pieces" to double your lead generation

"The free booklet offer is so effective and so important that, for most marketers seeking to generate leads, I think it's a mistake not to have such an offer as part of their promotions."

Bait pieces work. Offering free valuable content, like a booklet or report, can often double response rates. Bait pieces are effective because prospects are information seekers, always looking for advice and ideas to help them.

Creating bait pieces. When developing a bait piece:

• Choose a topic relevant to your product/service
• Create a catchy title (e.g., "How to..." or numbered lists)
• Select an appropriate format (e.g., booklet, report, fact sheet)
• Write content that delivers on the promise
• Include a price on the cover to increase perceived value

Sources of content. If you lack resources to create original content:

• Repurpose existing articles or materials
• Use content from professional associations
• Leverage government publications (often copyright-free)

3. Capture hot prospects with hard offers

"The hard offer is ideal for prospects who have a serious interest, an immediate need, or a desire to buy something fairly soon and want to sit down and talk with vendors."

Effective hard offers. To create winning hard offers:

1. Avoid using the term "salesperson" - use titles like "Account Representative" or "Technical Specialist"
2. Don't offer a "sales presentation" - suggest a "free consultation" or "needs assessment"
3. Make the first meeting free and stress this in your copy
4. Add value to the initial meeting (e.g., free analysis)
5. Clearly state there's no obligation to buy

Overcoming resistance. Hard offers can be more effective when repackaged as beneficial meetings for the prospect. Use language that is prospect-oriented and emphasizes the value they'll receive from the interaction.

4. Craft mail order offers that maximize sales and profits

"Nothing is worse for your business reputation than a customer who did not understand your offer and feels he is being cheated when you refuse him a refund."

Clear communication. Ensure your offer is crystal clear to avoid misunderstandings. Spell out all terms and conditions plainly, including refund policies and what's covered.

B2B considerations. For business-to-business mail order:

• Include both hard (pay upfront) and soft (bill-me) options
• Use modified bill-me offers to reduce risk (e.g., "Product not shipped until payment is received")
• Ask for purchase order numbers or signatures to qualify leads

Consumer offers. For consumer mail order:

• Payment-with-order can work well for lower-priced items
• Consider the impact on overall profitability when deciding between cash-with-order and bill-me options

5. Leverage premiums to ethically bribe prospects

When offering anything free — a white paper, a webinar, even a brochure — say that it is free.

Types of premiums. Effective premiums for information products include:

• Super-premiums: Deliver on the big promise of the mailing
• Owner's manuals: Advise on using the service for maximum benefit
• Vertical premiums: In-depth reports on specific topics
• Resource guides: Directories of relevant resources
• E-zines and e-alerts: Digital bonuses for subscribers
• Conference invitations: Exclusive access to events

Premium selection. Choose premiums that are:

• Different or unique
• Desirable to your target audience
• High perceived value relative to fulfillment cost
• Supportive of your brand or unique selling proposition (USP)

Number of premiums. Offering multiple premiums can be highly effective. Ensure the total value exceeds the subscription price to make the offer more compelling.

6. Implement pricing strategies that pump up profits

"Free" is often cited as the most powerful word — and the most powerful offer — in direct marketing. But nearly as powerful is an offer for a dollar or a penny.

Psychological pricing. Leverage psychology in your pricing:

• Present prices in smaller increments (e.g., monthly payments)
• Compare your price to higher-priced alternatives
• Use the "magic of a dollar" or "magic of a penny" for irresistible offers

Overcoming price resistance. Use the "drop-in-the-bucket" technique:

1. Communicate the true value of your offer before revealing the price
2. Show how the price is minimal compared to the benefits received
3. Use analogies, comparisons, or breakdowns to illustrate value

Multiple price points. Offer good, better, and best options:

• Provide a range of price points and service levels
• Most people choose the middle option
• Include a low-priced entry point to avoid criticism of being too expensive

7. Design iron-clad guarantees to make your product irresistible

People are basically honest. Yes, a few do take advantage. But that small number is far outweighed by the increase in orders this strong guarantee generates.

Key considerations. When creating guarantees, focus on:

1. Length: Longer guarantees generally increase response (30-90 days common)
2. Conditionality: Unconditional guarantees work best
3. Coverage: Clearly state what's covered (e.g., product cost, shipping)
4. Activation: Specify when the guarantee period starts

Strong guarantee elements:

• Use clear, unambiguous language
• Make the guarantee prominent in your promotion
• Consider "unfair advantage" offers (e.g., keep the product even if refunded)

E-book guarantees. For digital products:

• Allow customers to keep the product even if refunded
• This approach can increase conversion rates by up to 21%

8. Build urgency to get prospects to act now

How do you get the prospect to act now instead of later? The simplest mechanism is to put a time limit on your offer.

Creating urgency. Effective methods include:

• Time-limited offers: Specific dates or generic time limits
• Limited quantity offers: First X number of respondents
• Early-bird discounts: For events or pre-publication offers
• Quick-response bonuses: Additional incentives for fast action

Samples and trials. Offer risk-free ways to experience your product:

• Product samples: Allow prospects to test before buying
• Free trials: Let customers use the product/service for a set period
• Product evaluations: Combine trials with incentives to buy

Loss leader strategy. Use a heavily discounted product to attract customers, then profit from additional sales. This can work both offline and online.

9. Optimize reply elements to flood your mailbox with orders

For my money, the most important copy in a #10 direct-mail package is the outer envelope teaser — and the headline and lead of the sales letter.

Critical areas. Focus your efforts on three key areas:

1. Opening copy: Envelope teasers, headlines, and leads
2. Central message: The main idea or selling proposition
3. Offer presentation: How the offer is expressed on reply elements

Reply element optimization:

• Use clear, compelling language to describe the offer
• Highlight the most attractive aspects of your offer
• Include multiple response options (phone, fax, email, etc.)
• Make it easy for prospects to take action

Testing and refinement. Continuously test and refine your reply elements:

• A/B test different offer presentations
• Experiment with various response mechanisms
• Track results and optimize based on data

Last updated: August 6, 2024