We give it out to (almost) anyone who asks for it.

We conduct research and gather valuable information with it.

We rely on it for communication with associates, friends and family.

“It” is e-mail. And there’s no denying that e-mail is as common of a communication tool as telephones — maybe even moreso. Regardless of whether or not you have a Web site, if you are NOT using e-mail marketing for your products and services, you are ignoring a very low cost (and often no cost!) marketing tactic with high-return (and profit) potential. Why not squeeze every ounce of communicative powers e-mail has when dealing with clients and customers?

How? By using this easy four-step process:

Step 1. Develop a list of Frequently Asked Questions

Every business receives telephone calls from customers/clients or potential customers/clients asking for the same information over and over again. Retailers get questions like “Where is the business located?”; “What are your store hours?”; “Do you sell such-n-such brand name?”; “What is your return policy”, etc. Service businesses field calls asking for a description of services, pricing, and credentials or references.

Make a list of the calls your business gets most often and use this list to document these frequently asked questions – along with the answers.

Step 2.  Add an opening and closing paragraph to each document.

For each response:

1. Add an opening paragraph that specifically thanks the customer/client for requesting the information,
2. Provide the information, and
3. Add a closing paragraph that, again, thanks them for requesting the information.

Sign off with a specific contact name and phone number with an invitation to contact you directly for further assistance, to place an order, set up a meeting, or whatever else might be a “next step” to continue the communication. If you have a Web site, be sure to list it here and invite readers to visit it to find out more about the company, products, services, you, etc.

Step 3.  Develop a follow-up e-mail.

Just as you would initiate a follow-up phone call with a prospect, so should you prepare a follow up e-mail. Prepare a message to be sent a day or two (or longer depending on the information requested) after the first one. This e-mail should ask recipients if they received the requested information and if there are further questions you can answer. This would also be an appropriate time to announce a current special or sale, offer a limited-time-only discount, or introduce a referral program.

Step 4. Create a computer file containing the questions and answers.

Set up a folder on your computer that contains as many Q & A documents and follow up e-mails that make sense for your business. Some of the information may be best combined into one document, like store location and business hours. Other documents will require separate files.

The objective is to be able to easily access these response files so you can quickly send them to people asking for the information.

Once you have these documents ready for use, USE THEM! The next time you get a phone call asking for information you have created in your Q&A file, you can say, “I’d be delighted to give you that information. Do you have e-mail? I can send it to you right away!”

As your list of email addresses grows, so does the opportunity to reach a targeted group of current and potential customers with updates, promotions, or special offers. This kind of list is a small business marketer’s goldmine. Start building your list today!

Note: The above article is an excerpt from a more in-depth how-to for using this marketing tactic. The remainder of the article can be found in “29 Ways to Increase Profits and Productivity” – the FREE eBook available by entering your name and email address in the above right-hand box.

I’ve recently received an increasing number of emails from micro business owners and independents sharing the many fears that come with such economic uncertainty. While there is no one-size-fits-all solution to survive the downturn, a good place to start is to “read between the numbers.”

How?

We are all quick to notice that the economy is affecting profits. Yet, it’s important to identify what’s really going on by examining the numbers of your own sales reports more closely. Compare your most recent report to one that was more profitable, then ask yourself questions like:

• Am I making fewer sales-per-customer?
• Am I making the same average sale-per-customer, but getting fewer customers?
• What products or services attract the majority of sales?
• What products or services attract the least amount of sales?
• How much business came from new customers? Where did those new customers come from? What are they buying?
• How much business came from repeat customers? How often do those repeat customers come back? What are they buying?
• What promotions spiked sales, but resulted in minimal profits?
• What promotions contributed to my greatest profits?

Gathering and comparing this kind of information puts control back into your hands.

Then what?

The worst thing you can do is sit back and hope the economy will turn back in your favor. The best thing you can do is take action and move your business in the direction your research points you. Armed with this comparison information you can:

Reassess what your customers are doing. Customers and clients are moving targets. What they wanted yesterday may not be what they want tomorrow. Ask yourself:

• Does my target customer still exist?
• Can that target customer still afford, or still want, what I have to offer?
• Has a different target market emerged BECAUSE of the changed economy? If so, how can I revise my marketing strategy to reach them?

Reassess what you’re doing. Are the products and services you offer still valuable to your target market? The products and services you offer must be valuable to your customers. If they aren’t, no amount of promotion will significantly change the numbers you found on your profit and loss statement. Ask yourself:

• What product/service do I count on for the majority of sales? Has there been a significant decline in demand for this product/service?
• How can I update, add to, or reposition this product/service to add value for the customer?
• If I can’t, is there a secondary product/service that is a potential candidate for becoming the primary?

Implement change. By reassessing your target market and your products / services, you’ll be able to determine what, if any, changes need to be made to get your business back on track. Do you need to:

• Change your target market to better fit your products and services?
• Change your products and services to better fit your target market?
• Change your methods for reaching – and keeping – new and repeat customers?

Being able to ask yourself honest questions and adapt to the changes you can’t control, by implementing changes you can control, will keep your business strong, and force you into practicing the kind of flexibility needed for long-term existence – and growth.

I’ll be first to admit that I’d rather devise some incredibly creative marketing promotion than stare at and analyze numbers all day. Yet, I’m also willing to concede that, by taking the time to ‘read between the numbers’, that creative marketing promotion is destined to bring in far more profitable results in a challenging economy.