How to Make Money with ITV Ventures

If you’re coachable the average sale takes about 10 minutes, is around $140 retail in value and the average commission is about 50% so you’d make about $70 in commission (some people average $80 in commissions a sale and after 3-6 months you could be achieving this too. For our most popular product infomercial – Colon Cleanse which you can take almost 24/7 calls for…these are the results we are getting!).  But as mentioned in more detail below, each phone call you receive does cost money.  In the infomercial business, to generate purchase ready customers calling you on demand, you have to shoot an infomercial that works firstly (generates sufficient call volume) and then buy media time from TV networks (CNBC, Discovery channel, cable etc) which costs a lot of money.

Fortunately, ITV know how to do infomercials (13 million customers picked up the phone and bought after watching our infomercials!) and you don’t have to pay for the entire advertising cost of the entire infomercial time slot! You simply pay for each call/lead you receive as we pool our advertising monies and ‘coop’/share the leads and the costs accordingly. (If you don’t advertise in business, you’re stuck to ‘word of mouth’ which is what you can do initially if you have no money to advertise!)

Now the average cost of a live phone call is about $20 (you can start off with the $5 leads who call you too – more on that later), and if you assume only 2 in 5 people calling in actually buy (some people want to think about it first, speak to their spouse etc), the cost of customer acquisition is therefore on average about $50. Now assuming you only sell $140 and make $70 in commission you’d make about $20 net profit.

But wait, there’s more! Where you make the real money is in the fact you’ve just acquired a customer for life who not only bought once but could be on a product on autoship program where you get the 40-50% residual commission month after month as well. But let’s ignore the potential of the residual income, and assume only a 33% conversion (ie 1 in 3 buy. Note: Top producers close ~75-80% consistently People are calling in after watching TV infomercial mind you).

Advertising cost = $60 to get 1 customer ($20 per call, closing just 1 in 3 calls)

Upfront Revenue = $70 (over time it could be as high as $80-90 on average)

Revenue from autoship reorders = …ignore (typically we make $15/month per product)

Talk time = 30 minutes total to get 1 customer (10 minutes per call on average)

Net profit = $10 for 30 minutes worth of work or about $20/hr! (net of advertising)

Anytime you can generate $20/hr + residual income pretty much on demand, this is a franchise type operation which should come with franchise type fees…but they don’t! 

Note:  With follow up, if you can get your customers to try other products through free offers, and if the customers stay 3-6 months on our products (and many do like for Flex Protex, Seavegg, Etopical etc!) effectively, you could be making $50-100+ per hour.

Etopical product: Mike Marenick, the inventor of ITV’s new infomercial for acne/psoriasis has partnered with our Inner Circle Team. Out of a sample of 3,000 customers, the average ‘lifespan’ is about 6 months with some customers using the products longing than 5 years even. Also, from Ads he places on magazines, 90% of the people calling in order!

Disclaimer: Results will vary from person to person and these examples are just for illustrative purposes only. (If you didn’t do so well and only close 1 in 4 calls, then while you spend 4x$20 = $80 to acquire a customer for life, and earn $70 in commission upfront, you will need to rely on follow up for those who didn’t buy initially, and the residual income from reorders/upsells in order to break into profit. Note, if your customers sees an infomercial 6 months down the track and orders – you get the commission less $5 and no one gets charged the call credit.)

The hardest thing when you first start any business is getting customers. With ITV, so long as you have an advertising budget, you can get customers pretty much on demand and build up a residual income. The reality is, in most businesses you’re lucky to break even from a cashflow point of view in the first year & you’d normally have to invest $50k-100k+ to get started.

By having a system where we contribute to the advertising, it’s a ‘win-win’. If we don’t continue to advertise more and more on TV, we’d run out of phone calls for the increasing base of independent business owners joining ITV. So you literally are business partners with Donald Barrett in the infomercial business. (We have plenty of order takers but we need serious business partners who will follow up with the customers!) And we’ve only just started here in the US.

Probably the second hardest thing to do in business – is keeping your customers! If you analyze any successful business, it’s all about repeat business. This is why ITV needs us and not $10/hr employees who have no time or incentive to follow up with the millions of customers we get each year. And being your customer, you can send them postcards etc and follow up with them as we not only have 20+ products (from organic pet food, mineral makeup, weight loss, coral calcium, nutritional wholefood supplements, skin care…anything all natural etc see www.ITVventures.com for our amazing product line as well as the bios of the senior management behind ITV) … but each time we launch a new product line, we often have specials.

Currently we have 3 products your customers can try for free – Seavegg, Flex Protex and Coral Calcium (they just pay $4-$8 in shipping and handling and they can get a full months supply for free!). Using a third party turnkey follow up system, we can even automate the follow up for you using monthly postcards sent to your customer base mail merged with their name and your details on it for just 57-75c a postcard (which includes the cost of the postage! All this is done via the computer/internet so you don’t have to leave the house!)

With these free offers – with a bit of training, it’s not difficult to ‘upsell’ a customer on a free product so they’re on 2 products after your first point of contact. And with these free offer products being of the highest quality we can find, if just 50% of your customers continue reordering after the first free months supply, your profits could increase substantially.

So going into this in more detail: this is how you work the business ‘retail’ ie take orders. Imagine just doing 2 hours worth of order taking a day, 5 days a week. 2 hours of time booked = 4 x 30 minute infomercials. As you get about 1 call per infomercial (you’re on the phone for about 15 minutes) with the 4 calls you get a day you’d get about 2-3 sales a day. In total you’d be working about 15 hours a week because there’s follow up, bit of admin and you should always do a bit of training each week.

So at the end of the week you could have 10-15 customers and say just 5 of these are on autoship where they’ve agreed to get their products sent to them automatically and you get the 40% commission each time they get billed. By the end of the year out of the 500-750 total customers you’ve acquired, so long as you do some follow up work (postcards/courtesy calls once every few months) it’s not inconceivable to have 100 customers on at least 1 product on autoship. If you’re good at follow up and building relationships, each customer could end up on 2-3 other products – and we’re not even factoring in referrals.

So, your goal could be within 2-5 years to have say 250-300 loyal customers using just 1 product ($40/mth) on a consistent monthly basis – just working ITV part-time! And because you get paid 40% commission on reorders too, that $40/month spend from your customers translates to about $15/month residual commission. If you multiply that by 250-300 loyal customers…this is worth $4,000-$4,500/mth in residual income! That’s like having $1,000,000 in the bank earning 5% pa interest!

As they say the fortune is in the follow up and at some point you may not even need to advertise to acquire new customers if you look after your existing database well. This is the power of tapping into the trillion dollar health and wellness industry … and importantly ITV’s marketing systems where you can generate customers pretty much on demand. As you can see, this isn’t a get rich quick scheme but a realistic work from home business to make a few extra thousand a month that could help pay down your mortgage in half the time or perhaps even get into a second piece of real estate for your retirement.

Have you read the ITV Inner Circle Wealth Manifesto?

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