Unlike grocery lists or spare parts lists, in the marketing sense of the term, a ‘list’ refers to a list of customers. More specifically, in regards to internet marketing, it refers to a list of emails through which potential customers can be contacted.
If you’ve ever faced a situation where you needed to enter your details (especially your email) before you download something, then chances are that you are, or have been, part of a someone else’s list.
Even large companies that are already very established use email lists of their own to keep track of their customers, and alert them to new developments, offers, and so forth. Of course, this ties in to yet another question at hand…
Why Build and Use a List?
Commonly, not having a list is said to be ‘leaving money on the table‘, and that much is certainly true.
Take the example of a conventional clothes store. Customers come, browse around, maybe buy something, and then leave. Once they’ve left, the store has no way of getting in touch with them, and maybe convincing them to come back again.
On the other hand, if the store had their contact details, they could notify them when they have a new stock of clothes on the rack, or special discounts, and so on. By doing so, the customer would then feel compelled to perhaps come back, or at very least would consider doing so.
Similarly, in whatever niche that you’re into, if you had a list of previous customers then whenever you have a new product, or some other offer, you’d just be able to shoot out emails and see if anyone is interested. Simple as it sounds, this is amazingly effective.
Think about it in terms of figures, if that helps. Let’s say you have an 8,000 strong list, and you send out an email regarding your latest product that costs $20. Even if only 10% of your list buys your product, that is 800 instant customers and you would have made $16,000.
To sum it up, the reason to build and use a list is to establish a firm base of regular customers to which you can market your products and offers too with great ease.
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