Bill Baird Offers

By Bill Baird Offers that require a promise to pay are called "hard" offers. "Soft" offers, on the other hand, don't require such a promise. Because they reduce the commitment required from the customer, soft offers increase gross response by 50 percent to 200 percent. This results in higher gross sales, but also a higher cancelation rate. A combination of the two, however, often produces higher net sales after cancels, which makes the offer pay off for you, the marketer. One example of soft payment terms is to allow customers free, no-risk trial offers of the product. You promise that they can begin to get trial shipments or services with no obligation to pay. If customers decide not to continue, they can write "cancel" on your bill or call and tell you not to charge their credit cards, and the customers will owe nothing further. Tip: Emphasize the free trial/no risk terms of this offer in many prominent locations in your promotion. Also remind customers in several places that they can keep their first shipments (or benefit from your services during the trial period) even if they decide not to continue. Payment Terms

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