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 Issue 19: The Sheathed Sword . "Supreme Excellence Consists in Breaking the Enemy's Resistance Without Fighting" 
November 2002 
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Dear Reader,

Launching a successful DR television, radio or print ad requires one vital ingredient-CASH. It is cash that fuels the success. It is cash that wields power in the marketplace, however that power is really BESTOWED BY THE CONSUMER. If the consumer buys your product and that produces successful results, then you are in the position of the "warlike prince-ready to capture the empire."

in this issue
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Cash and Overawing Your Enemies
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In order to "roll-out" your product and take advantage of any and all media that will benefit you, it is cash that will pay for the media to create the exposure you need in order to make sales. How you acquire that cash will determine how much you have at hand, how many sales you can create, how much revenue you are able to generate, and therefore how much more cash you can create to start the cycle all over again.

It is the building of this cash flow that gives you the advantage of "overawing your enemies." The more your ad is shown, the more consumers you can add to your database, the greater attention will be created towards your effort. Each step of this process will create a mental as well as revenue base in your marketing efforts. It is the mental base or branding of your product that will establish REAL success, and marketing power of your product in the marketplace.

Media Funding is the Key to CASH!
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Media Funding is the key to that cash flow, and it is a key that provides any and all the cash you need to "roll- out" your product, without having to give up any of your own revenue to do it. It is the quintessential strategy of the "sheathed sword." Capturing your market without having to give up a "dime" of your own money.
Short Term Loans Leads to Sales Riches
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It works like this.....When your 800 number is shown in the ad the consumer calls and orders, sends a check, goes to a website, or uses a check debit to purchase your product. In most of these cases money is generated immediately and after a short processing period, that money is electronically transferred to your bank account.

In the case of media funding the sales revenue is first deposited into an escrow account. Each week your media buyer provides an invoice which outlines all of the media (including a 15% commission) that aired over the past seven (7) days. The marketer (you) and media buyer review the invoice to make sure it is accurate, then the media revenue is electronically transferred to the media company. The remaining dollars are your sales revenue from the previous seven days of activity, and those funds are electronically wired to you.

It is important to point out that YOU DID NOT PAY FOR THE MEDIA IN ADVANCE. Rather your media company sent the media payment (approximately 14 to 21 days prior to the day that the escrow agent disbursed the money back to you) directly to the station.

Look at Past Issues 14,15,16,17,& 18 »

Your Full Potential
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By example, if the media company sent $85 to station KXYZ to pay for an airing-the media company will charge you (The marketer) $100 for that airing when the day comes to invoice the escrow account for payment. The media costs $85 plus the $15 media commission or $100. A 15% media commission is a standard charge for media services in the industry. Your sales have to be at least $100 in order to pay back the $85 media loan and the $15 media commission for services.

What happened? Basically, the media buyer loaned you $85 dollars to air your ad (with no interest charge), because your ad has proven to create sales greater than the costs associated with running your ad. The greater the number of sales your ad produces each time it airs, will determine how many airings you can benefit from over time, how many different stations your ads can air, and ultimately will determine how much media cash it takes to FULLY "roll-out" your successful campaign.

The Sheathed Sword
"When a warlike prince attacks a powerful state, his generalship shows itself in preventing the concentration of the enemy's forces. He overawes his opponents, and their allies are prevented from joining against him. If you overawe the enemy, the neighboring states will be frightened, thus preventing alliances. He carries out his own secret designs, keeping his antagonists in awe. Thus he is able to capture their cities and overthrow their kingdoms."

"The best thing of all is to take the enemy's country whole and intact: to shatter and destroy is not so good. Better to capture an army entire than to destroy it. Thus the highest form of generalship is to BALK the enemies plans. With his forces in tact he disputes the mastery of the empire, and thus, without losing a man, his triumph is complete. This is the method of attacking by stratagem of using the sheathed sword."

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     email: cforrest@klondikemarketing.com
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