So how do we sell the product?

Some interesting data points:

  • Direct Sales: Someone shows up at customer site
  • Tele-sales: person-to-person calling
  • Direct Marketing
  • Word of Mouth
Method Cost per sales person Minimum Sales per year Minimum price
(200 selling days / year)
DirectSales $300-400K $1 Million $5000
Tele-sales $80K $250K $1250

Basically means this means that if you need to have person involved in every sale, the minimum cost of your product has to be over $1000. If it isn’t, advertising and word of mouth better carry the day!

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