INFOMERCIAL REPORT
** Warning - Don't spend your money until you study this **
INFOMERCIAL OVERVIEW
What is an infomercial? (informational commercial) I am sure you have seen one on Television. It is usually a half hour show demonstrating a product or service that lists an 800 number (sometimes a 900 #) to call and place your order. I'm sure you have seen some of the big infomercial winners on TV:
- Tony Robbins / Personal Power
- Ron Popeil / Kitchen Gadgets and Appliances
- Victoria Principal / Skin Care
But what about others? Did you know:
* That only one in ten shows is a real success! But what is "success"? Some shows generate large "backend" sales which help the overall profitability of selling the product.
Did you also know:
* Over $900 million is sold via infomercials on TV in a year.
* 9 out of 10 TV stations air infomercials and they are not always just late at night.
Do you have a product that could sell on TV? Check the rating chart in this report to determine if your product or service has potential.
Does the product need a half hour to demonstrate and explain it? If not, maybe it could be sold in a 2 minute spot. Also, consider that it could be a hot item on one of the home shopping channels.
What about the retail market? Many infomercials have driven up product sales dramatically at retail after a successful run on TV. (Remember the "juicers") Research has shown that approx. 50% of the public has not bought from TV yet - they are still more comfortable to purchase at retail.
Test marketing a new product on TV is one of the quickest ways to know if your product will generate a profit or not - results are generally available within a few days.
It is possible to obtain a large profit - if you've got the right product - with the right marketing.
SUCCESSFUL PRODUCTS FOR INFOMERCIALS
According to a recent report (2006) from Response Magazine, categories that have had the most successful "long-form" (30 minute) shows are:
- Health/Fitness
- Cosmetics, hair and personal care
- Financial and business opportunities
- Housewares & Appliances
- Diet, weight loss, nutrition and food
For "short-form" (1 and 2 minute) spots, the most successful have been:
- Drug and toiletry
- Computers, software and home office
- Household, furniture an appliances
- Audio supplies and equipment
- Video supplies and equipment
Do the research and analyze your product to make sure the infomercial market is the best way to commit your money. You may have a unique product that would sell well even if it is not in the above categories.
If you don't own the product, make sure all patents and trademarks are clear and check that there are no other legal issues that will deter you from marketing the product.
Check the product rating chart below to rate your product.
INFOMERCIAL PRODUCT RATING CHART
| VERY GOOD
(3 points) |
GOOD
(2 points) |
POOR
(1 point) |
RATING
SCORE |
| Mark-up
5+ to 1 |
Mark-up
3+ to 1 |
Mark-up
3 to 1 or less |
|
| Mass Market
Appeal |
Limited
Market |
Unknown
Market |
|
| Price $49.95
or lower |
Price $99.95
or lower |
Price over $100 |
|
| Easily
Demonstrated |
Not Easily
Demonstrated |
Can't be
Demonstrated |
|
| Existing
Testimonials |
Testimonials can
be found quickly |
No Testimonials
available |
|
| Will effect
life immediately |
Will effect life
in near future |
Don't need
right now |
|
| High
perceived value |
Medium
perceived value |
Low
perceived value |
|
| Good
Backend potential |
Limited
Backend potential |
No
Backend potential |
|
| Strong Retail
sales potential |
Possible Retail
sales potential |
No Retail
sales potential |
|
| High Ad
allowable |
Medium Ad
allowable |
Low Ad
allowable |
|
A score of 20 points or better has potential TV INFOMERCIAL DEVELOPMENT
The Internet is the next big frontier for infomercials. You will be able to run "tests" for a much lower cost than on television. So seriously consider this form of "advertising" for your products.
Howard Jamison, owner of Jamison and Associates, has over 15 years experience in film/video production and infomercial marketing (as well as over 10 years Internet Marketing experience).
Many products have also been successfully marketed on radio. Contact us if you would like to explore producing an infomercial or joint-venture opportunities. webmaster@information4success.com
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