Many businesses aspire to find that elusive “Money Printing Machine” – a reliable system that consistently generates revenue and growth. Ironically, for many, the key to unlocking this machine lies in something as tangible as direct mail. Yet, a common pitfall for businesses, particularly when it comes to direct mail, is the “one and done” mentality. This approach, characterized by either sending a single direct mail piece to a minuscule audience or using a marketing asset only once, often leads to underwhelming results and missed opportunities. It’s like expecting a single lottery ticket to be your instant route to wealth, rather than building a diversified investment portfolio.
One stark example of this “one and done” thinking comes from an auto repair shop owner. After mailing to a small list of just 320 potential clients and gaining 3 new customers – a nearly 1% response rate – her reaction was disappointment. Despite a positive return on investment, the response rate wasn’t deemed “good enough.” This illustrates the first form of “one and done”: a single attempt with insufficient scale and patience. The value of those new, long-term customers was overshadowed by a perceived lack of immediate, overwhelming success.
The second manifestation of the “one and done” problem is the creation of a marketing asset, such as a direct mail package, only to use it a single time for a specific, limited campaign. This “random acts of marketing” approach, while potentially yielding a good initial ROI, is remarkably inefficient in terms of time investment. Imagine Budweiser launching their iconic “Dilly Dilly” campaign for just one commercial break. Absurd, right? Yet, businesses frequently commit this very error, failing to leverage and reuse valuable marketing assets.
This brings us to the essence of building a true “money printing machine”: creating and investing in a marketing system. This month’s featured case study perfectly embodies this principle. In the fall of 2016, Barry, a law practice owner with offices across Texas, sought to optimize his already functioning direct mail system. He wasn’t looking for a quick fix but rather a way to refine and maximize the output of a proven strategy. His goal was to transform his marketing from a cost center into a high-performance “money printing machine” that would significantly contribute to his firm’s profitability – a goal he demonstrably achieved, culminating in the successful sale of his practice in late 2018.
I suggest you read Barry’s letter here.
Barry’s journey to marketing optimization began with rigorous testing. The first area of focus was the direct mail envelope itself. Multiple variations of “faux” express envelopes were pitted against each other. The envelope design you see pictured emerged as the clear winner, demonstrating the power of even subtle design tweaks in influencing response rates.
Next, the content of the letter underwent meticulous refinement. Small adjustments were made and tested to hone the messaging. A significant breakthrough was the inclusion of a testimonial sheet. Initially hesitant due to the added printing cost, Barry discovered that this single insert measurably boosted response rates, more than offsetting the additional expense. Another test involved incorporating a Spanish flyer, aimed at reaching a significant portion of his client base. However, data revealed that this actually suppressed response, leading to its swift removal from the campaign. This iterative process, spanning nine months and nearly 100,000 mailed letters, exemplifies the dedication required to build a finely tuned marketing system.
But the true genius of Barry’s “money printing machine” lies not just in optimization, but in its inherent repeatability. As a criminal defense lawyer, Barry’s ideal clients – individuals recently arrested for felonies – are a matter of public record. This readily available information, updated daily by the court system, provides a perpetually refreshed list of potential clients. This constant stream of fresh leads allows Barry’s marketing system to be deployed continuously, day after day, transforming it from a one-off campaign into a perpetually running revenue engine.
The challenge for every business owner is to identify their own version of this replenishable list. What consistent source of new potential customers can you tap into? While Barry’s list was readily apparent, yours might require some exploration. Consider the auto repair shop again. A replenishable list for them could be new movers within a defined radius of their shop. Compiled monthly, this list provides a continuous flow of potential new customers. Even with a modest return of 3 new clients per month, as in the initial example, the long-term impact is substantial. Assuming each new client generates an average of $600 annually, a three-year campaign would yield over $130,000 in revenue from an initial investment of under $20,000. That’s the power of systematic, consistent marketing – a genuine “money printing machine” in action.
Every business possesses the potential to build its own “money printing machine.” It requires moving beyond the limitations of “one and done” thinking, embracing a systematic approach, and committing to ongoing testing and refinement. The payoff isn’t instant riches, but the sustainable, long-term growth that comes from a well-oiled, consistently operating marketing system.
