*****MusicCard***Definition and Marketing*****
I thought with the addition of new investors and the volume of potential investors a
recap of the My MusicCard and it's importance to the marketing plan of TSIG.com
would be appropriate. For most of the old timers this might be boring.
First the My MusicCard is a marketing tool for TSIG.com to capture and hold
customers. Once the purchase of the My MusicCard is made by the customer, he then
feels obligated to utilize the 20 CD purchasing units allowed by the Card as long as
product and service is provided.
Let it be understood, as will be further explained, it was not necessary to obtain this
customer through purchased print, voice, or visual advertising. Notice the advertising
expense line item of the competition. TSIG does not have to offer advertising to a card
carrying customer for repeat business. As long as he gets product and service he will
remain with My MusicCard Co. The reload - purchase of a new MY MusicCard after
using up the first - percentages were seen to be quite high (approx 75%).
I know the question then comes up as to how customers are obtained if there is little
need for purchased advertising. The marketing plan was simple. How do we have
others obtain customers for CCI? The answer was simple. Why not split the profits.
For charitable organizations it works quite well. If TSIG splits the Card cost, they get
$5, we get $5 and a customer. The charity or fund raiser then goes all out to spread the
word about My MusicCards and place as many My MusicCards as possible. My
MusicCard Co also gets the CD sales from the new customer and the reloads and word
of mouth Card purchases and Gift My MusicCard sales.
This is one example and by puting thought to it there can be numerous applications for
My MusicCard sale generation. The PromoCard is also an exciting application and will
be discussed separately.
The great thing about the My MusicCard concept is My MusicCard Co gets the Card
sale revenue up front and then waits for the CD purchases to come. With the highly
competitive pricing of My MusicCard Co's CDs, the customer quickly becomes a CD
buyer. With outstanding purchasing credits on his Card, he then has no reluctance to
returning to My MusicCard Co for additional purchases.
As can be determined from this brief explanation of the My MusicCard concept, TSIG
is not primarily a CD sales company. It is a Card sales company. The CDs sales come
as a byproduct of the Card sales.
By puting both together it can be determined the profit generation of one customer to be
about $25 if through a $5 discount MusicCard. Each CD generates on the average of at
least $1. That would make 1,000,000 customers worth $25,000,000 and without
discounts $30,000,000.
Bob |
