Don’t start a catalog!
How do you feel about mailing a catalog that loses money?
How about one that loses money for about two to four years?
That the cost, on a P&L basis of acquiring a new customer is almost always in the red?
And depending on your margins, it could take a year or so to recoup the cost of acquiring that customer?
Oh and how about the fact that you’ll need to become a number cruncher, because trying to run a catalog business by the seat of your pants and intuition is like trying to play football with hockey skates and a stick.
Getting woozy yet? Don’t be discouraged. If you have the stomach for it, and you have patience, there are many rewards for those who take the risks of becoming catalogers. For instance:
It has been proven that customers who interact with all of your channels will likely be better customers and spend more over time with you. Companies with print catalogs see faster ROI and higher customer lifetime value.
Despite all the Internet-will-take-over-the-world doomsday scenarios out there, print catalogs are still the most reliable source for driving business and profitability.
In fact, people still love to get their catalogs. They love that tactile feel of thumbing through the pages of their favorite catalog. And they love the Christmas morning element of getting a copy of their beloved catalogs in the mail.
The truth is that catalogs are as American as Mom and apple pie.
So hang in there. Because over the next few weeks we’re going to discuss the core competencies you will need in order to start a catalog, add one to your existing business, or take your catalog to the next level. And along the way, I’ll share some strategies, and tactics that you’ll likely find helpful, along with some success stories (and a few horror tales) from my experience.