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HomeBiz-Tips E-Mag
The Online Marketers Friendly E-Mag

Date: 8-31-2003 Issue: August-->15-31
S. Kumar, Editor, www.learnhomebusiness.com  
----------------------------------------------------------
Welcome to "HomeBiz-Tips" 

 

Hi ,

I have been thinking of two important aspects of success that needs to cultivated in me. I am so convinced that without these two traits...I will not achieve lasting success. Let me share them with you.

Don't be a perfectionist

Trying to be a perfect person sets you up for defeat. Nobody can be perfect in terms of comparisons.

In a world of Individuals...comparisons does not exist. There will always be people both weaker and stronger than you.

Difficult tasks usually result in procrastination and avoidance. Set achievable goals that are challenging too...and achieve them.

Learn to Prioritize

Prioritizing your responsibilities and engagements is an absolute important aspect to your success. 

Some people do not know how to prioritize and become procrastinators. Are you still dreaming of putting up your own website filled with your info-products? Or are you putting off a dream project that you have been thinking for a long time?

Create a "to do list". Place items in order of importance. 

One method is the ABC list. 

This list can divided into three sections; a, b, or c. The items placed in the A section are those needed to be done that day. The items placed in the B section need completion within the week. The C section items are those things that need to be done within the month. 

As the B, C items become more pertinent move them up to the A or B list. Try it or come up with your own method, but do it. 

Enjoy!


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GUEST ARTICLE by Terry Dean

Are reprint rights a good idea for your business?
By Terry Dean



Are reprint rights a good idea for your business?

The answer is, "Yes" and "No."

I wish there was a simple answer to this question, but there really isn't. Buying the reprint rights to a hot selling product could be the deal of a lifetime.

You could end up with a product that already has a hot market ready to buy without having to do any of the research, creation, or ad writing. It could be the perfect opportunity. Or it might not be.

This same 'perfect opportunity' might be sold by thousands of businesses already...It could be outdated...and it may never have sold well in the first place!

So, reprint rights may be right or wrong for your business depending on a number of factors.

I have experienced both the successful aspects of reprint rights, and have been able to avoid most of the pitfalls...but not all.

I have created many of my own products such as the "Instant Internet Cashflow System" series of ebooks and our newest video course "Internet Publishing."

Even though I have created my own products, we have still used reprint rights licenses in many ways to either expand or generate new profits.

I purchased reprint rights to several products when I first wanted to market online. The early success I experienced through selling these products led to the business I am in today.

Doing a quick run-down of the office shows that we
currently have reprint licenses on 23 different products. One of these products has 19 videos and 2 manuals in it. Another one has 24 audio tapes, 2 videos, and a manual.

Other products consist of electronic books only. There are advantages and disadvantages to each format. The primary advantage of an electronic manual is that it is easy to setup and sell and requires no fulfillment or shipping costs which can be major hassles.

The primary disadvantage of electronic books which no
expert seems to like to discuss is that most people don't like to read on their computer. They prefer to read a hard copy book, listen to an audio tape, or watch a video. Plus, it is much harder to show the uniqueness of an electronic book.

Both types of products (electronic and hard copy) have the unique advantages and disadvantages. I have been successful buying reprint rights on both!

So, I am speaking from a position of authority. Reprint
Rights have been a part of my business from day one.

SECTION ONE: What Are Reprint Rights?

First, let's cover the different types of rights that are
available out there on different products.

1. Affiliate Programs - Affiliate programs could be
considered a form of rights, although a very basic one.
Most of my readers understand exactly what an affiliate program is so I won't go into here. The advantage of affiliate programs is that they have little or no cost to get involved in.

The two major disadvantages are that you receive the
smallest piece of the action from an affiliate program (10% to 50%) and that you will have thousands upon thousands of competitors. Always remember this, the cheaper and easier it is to start a business, the more competition you will have. Affiliate programs usually have no cost and no time involvement to sign up, so you can expect to have the most competition through them.

The advantage here is that the affiliate owner actually
takes care of all the fulfillment, order processing, and
everything else. So it is a great way to get started
promoting products or to expand your product line. As I
said above though, this could end up being a double edged sword. It is easy for you to sign up. It is also easy for ten thousand others to sign up.

2. Resale Rights - A resale rights are a little more
involved. Usually when resale rights are involved, you pay an up-front fee and then you are given the right to buy the product at a discount. In some cases you buy the product wholesale and sell it retail.

In most cases though, you take retail orders for a product and then send the product owner a certain percentage to fulfill the order for you. This is often called dropshipping.

For example, you may want to sell a video set we have and offer to pay a resale fee of $500.00. Then, you take orders for it for the full $297.00 retail price. Every time an order comes in, you process the card and send us $125.00. We then duplicate, process, and ship out the order. You would never have to touch the product. That is dropshipping.

You make much more money this way than an affiliate program usually, but you do a little more work. You take the orders and process them yourself. Then, product fulfillment is handled by the owning company.

3. Reprint Rights - This takes the product selling to
another level. With reprint rights, you actually take over the whole process yourself and don't have to pay anyone else. All of the money is yours to keep. When an order comes in for $297.00, you process, duplicate, and ship the order yourself. Then, you keep all of the money that is left over.

If it was an electronic manual you owned the rights to,
then you would take the order and have digital delivery. All of the moneyleftover after processing fees would be yours to keep.

So the advantage to reprint rights is that you get to keep all the money. The disadvantage is that reprint rights usually have a premium price on them. For most products, you will pay 10 to 25 times the actual retail price of the product for reprint rights. Digital products usually are on the high end of the scale at 20 to 25 times the price, while audios and videos usually are closer to the 10 times value level.

So, a $29.95 ebook will usually cost $600 to $700 for
rights while a $29.95 video will usually cost $300 to $400. The reason for the higher prices on the ebooks in most cases comes from the inherent dangers of reprint rights to the creator of the information.

As a product developer, it is much more dangerous to sell reprint rights to an ebook than to a video. Since a video is a hard product, there are costs associated to selling it (low costs of around $3.50 per video plus shipping). Since an ebook has no cost in delivery, a customer could buy reprint rights to it and give it away for free or almost nothing.

For example: Just recently I looked at the online detective ebook (which is actually more of resale rights not reprint rights) and saw a price of $4.95, $9.95, $19.95, and $29.95 after looking at several different sites. All of them were offering the same product, but at vastly different prices.

Someone could buy reprint rights to your $97.00 ebook and sell it for $9.95 from their site...destroying your
business in the process (if you rely on only one product). If it is a hard product such as an audio set or video set, they will be much more unlikely to do this type of thing since there are costs involved in distribution.

For the reprint rights buyer, owning a successful product can be an awesome start to your business or an expansion to your business if you can afford the extra investment required.

4. Master Rights - This is the ultimate type of rights to
purchase for your product. When you buy master rights, you also receive the ability to sell reprint rights to other businesses.

This added benefit comes at a premium price. You will
usually have to pay 3 to 5 times as much for the master rights as you do for reprint rights.

For example: Let's take a $297 video set for an example. Resale rights may be $500 (which gives you the ability to have it dropshipped for $125). Reprint Rights may be $2995 so that you could sell the product itself and keep all of the money. Master Rights would probably cost $8,000 to $15,000 so you could sell reprint rights at $2,995 each in addition to selling it at retail.

Now, I hope that the above numbers didn't get you confused. They are just meant to be an example. All deals will be different based on the product and the creator's goals with it.

In most cases, you really shouldn't even be thinking of
paying the premium price for master rights unless you know you have reprint rights buyers already lined up...or it will take quite a bit of cash flow from you for a while.


SECTION TWO: When Should You Buy Reprint Rights?

1. Buy Reprint Rights To Get Started Online.

I bought a low cost reprint rights license to get started
online for the first couple of years. They gave me a good foundation to start with. The product was already done and I received sales materials to go with it (I couldn't write an ad worth a flip in the beginning).

You may find the same method will work for you? There is one caution to keep in mind. Don't buy something just because someone says it is the best opportunity ever.

Avoid this type of hype when buying reprint rights. As a beginner, try to find a product you would want to buy yourself. Purchase the retail version first, try it out, then purchase the rights if you are still interested.

Owning a product that you bought rights to can give you a good start. You don't have to worry about writing ads at first or producing a product. You can jump in, get your feet wet, and start learning about online marketing. This first product probably won't make you rich, but it will give you experience for all of your later projects!

2. Buy Reprint Rights For Back End Products

You have your first product out. It is making money, but what about the backend? All direct marketers know the real profits of business do not come from your first sale to a customer. They come from continually selling over and over to the same customers.

You can expand your product line by purchasing reprint
rights to high quality products. This will help you
generate additional cash flow from your prospects and
customers.

In many cases, this is the better direction to take than
selling a product you bought rights to up front. One of the reasons that an author sells rights to his product is to generate leads for other products they sell. Very rarely, if ever, are you allowed to remove the contact info of a product you bought rights to. So, selling their product does generate other backend sales for them.

For this reason, most experienced marketers will purchase and use reprint rights for backend products.

DON'T BUY REPRINT RIGHTS IF:

1. You Don't Have a Market.

Don't buy a $1,000 reprint rights package if you don't
already have a plan in mind to sell it. Just because it 
is the most awesome book on the planet doesn't mean it will sell.

The best situation is when you already have a market lined up to buy from you, such as your own newsletter list or daily traffic at your site.

You should examine the product by buying a retail version. Then, figure a way to sell it. Then, buy the reprint rights. Finally, go for master rights once the reprint rights have started earning you a profit.

2. It is Outdated.

A lot of people don't offer reprint rights on a product
until it is already outdated. Instead of updating it, they
sell off reprint rights to unsuspecting buyers.

I made this mistake myself in one case and bought rights to a tape set which was badly outdated. It cost me $2,000, but it wasn't worth even a couple of hundred.

I was speaking to another experienced Internet marketer recently and he told me that he bought an $8,000 master rights package to a set of CDs when he first got started online. Little did he know at the time, the whole set was years old and most of the information on them were wrong now. It was a quick way to lose thousands of dollars!

3. The market is saturated.

This danger will only usually occur for one of two reasons...either rights are selling way too cheap and
everyone is buying them OR someone buys rights to an
electronic book and prices it at almost nothing.

This again comes back to the point that sometimes a bargain (especially dealing with reprint rights) isn't a bargain at all. The cheaper the rights are, the more likely the product will be offered everywhere and at too low a price for anyone to compete.

How to Find Resale, Reprint, and Master Licenses...

I have made references and have seen others make references that the easiest way to find reprint rights to products would be to do a search for "reprint rights" on the search engines. Well, guess what, I have never bought a reprint rights package this way.

Most of the sites that come up when searching for reprint rights aren't selling the types of products you should be buying rights to. If you could find them simply by using the search engines, then everyone else could do the same.

You need to put a little more effort into it.

The mistakes I have made in buying reprint rights came from using the search engines to find them...every time. I was too desperate looking for rights and a hyped sales letter did the trick to finish me off.

Over half of my good reprint rights products were purchased because I was a customer already of the person I was buying from. I knew they had good products which I could sell.

Several of my products were purchased by directly
soliciting the owner of them. They wouldn't have any
posting on their site about rights, but I would send them an email and offer them cash of $1,200 or so (whatever I thought I was willing to pay). They would usually think about it and email me back a counter offer.

Some would outright reject the offer. So, what. It didn't hurt me any. For those who countered, I either paid the counter price or went into more haggling on price.

I have also heard of other methods. For example, I have heard Ted Nicholas say that he has called up publishers of older books and asked for license rights to them. Sometimes if it is a book they are done with, they would sell rights for as low as $300. It all depends on what they want.

If you make an offer, all you can receive is a yes or no
answer. So, go ahead and make an offer to people. If your offer is high enough, the greed factor might step in and bring you the rights even if they never thought about it before.

Also mention to them that you will leave all information on the product exactly as it is, so they will receive more leads for other products they sell. Their name will be published all over the Internet by you. So, they may
receive additional advantages of selling to you besides the up-front cash.

----------------------------------------------------
Terry Dean, a 5 year veteran of Internet marketing, will
Take You By The Hand and Show You Exact Results of All the Internet Marketing Techniques he tests and Uses Every Single Month" Click here to Find Out More:
http://www.netbreakthroughs.com 


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~-~-~-~-~-~-~-~-~-~-~-~-~-~-~-~-~-~-~-
Special Note:
You can grab as many as 55 digital products to resell by upgrading HomeBiz Pro to the deluxe version...in case you do not have a product 
to sell. Visit here for details.
**************************************

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Cordially -- S. Kumar

Publisher: http://www.learnhomebusiness.com 
Subscribe: Click Here To Subscribe
Author of eBook:
"Become A Global Homebusiness Pro.."
Download It FREE From - http://www.learnhomebusiness.com   

-------------------------------------------------
Copyright 2003: S. Kumar, http://www.learnhomebusiness.com  

-------------------------------------------------

_________________________________________



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