Selection Vs Direction

As I have said many times before in this column it really doesn’t make any difference what you buy – stocks, funds or indexes – it takes smarts to know when to sell. Direction of the general market is more important than selection of any equity.

Everyone from the multimillion dollar analyst on Wall Street to your broker to your barber thought he was a financial genius from 1982 to 2000. Anyone using the stock page from the Wall Street Journal as a target could have picked a winner even if his aim was terrible. Just hit the page anywhere and buy that stock. We were in a secular bull market. History shows these last about 16 to 18 years and , unfortunately, are followed by a secular bear market of about the same period of time.

During the up time the case for “the market always goes up” becomes crystallized in their brain so that any set back is viewed as a “correction” that will be soon be overcome and the market will be making new high prices again. Unless you are willing to limit the amount of loss from those high prices you will give back all your profits and many times even more.

The price of a stock will fluctuate for many reasons usually involving how much profit they are making or anticipate making in the near future. During the past 5 years we have seen tremendous ups and downs in many of the major issues. When a “good” company’s stock goes down it doesn’t mean it is a “bad” company, but it does mean you will be losing money if you hang on to it. The reason you bought the stock was to make money, not lose it, so you must be willing to sell when it goes against you.

Knowing the general direction of the overall market is the key to selling success. An excellent indicator is the S&P500 Index. In the last 5 years it has gone from 920 up to 1550, down to 800 and the recent price is 975. What a ride! I have written in previous articles how to determine market direction so you will be in cash with your profits in the bank while the market is going down.

Let’s compare what some of the “good” stocks have done during that same 5-year period. AT&T from 40 to 100 to 20; Merck from 60 to 95 to 40, now 60; General Electric from 25 to 60 to 22 and, 30; Coca Cola from 88 down to 38, now 45. And there are thousands more that fit this category of losing 50% or more.

These are all “good” companies, but you can lose your shirt, pants and underwear if you stick with the Buy and Hold philosophy. By placing a trailing stop loss order of 7 to 12% as your stock advances the stock itself will tell you when to sell. Whatever stock or fund you select remember to exit when the direction changes.

Tips For Choosing Potential Direct Marketing Mailing Lists

Choosing a high quality list is the most important stage of running a direct marketing campaign. Decisions you make can have far reaching implications on conversion rates, profitability and wastage. Experts often advise that one should spend half of the direct marketing planning time for sourcing a good quality and relevant list.

But how to choose correct and high quality mailing lists to make sure that those will help you in generating well enough sales leads?

List targeting
Check whether or not the names on the list match your target market. For example, if you have a business of sports wear you would definitely not wish to contact chefs or writers or teachers. You would in that case only target sports personnel.
Likewise your target should only contain names of those who can use or buy your products and so you should only go for ‘response list’ and not for ‘compiled’.

List age
Ask if the list you are buying or renting is the fresh one or years old. If latter is the case, make sure the vendor does data cleansing before you purchase the list.

Penetration
Check how much the list can penetrate your target market. For penetrating effectively, it should contain enough detailed information so as to hit the target perfectly.

Single use or multiple uses
Single use mailing lists cost less and should expire after one time use. They are old lists with almost no maintenance or cleansing. Multiple usage lists will cost more but can be used many times and will contain potential prospects’ details.

List output
Do a trial marketing and check the output or capacity of the list to generate sales leads and then decide them to rent the list again or purchase it straightaway.

So, choose a potential direct marketing list and have successful campaigns ahead.

Network Marketing Company – 3 Essential Tools to Succeed in a Network Marketing Company

A new Network Marketing Company is started up all the time, all over the world. How does one know that you will be able to succeed in a Network company?

I have been successful in several Network Marketing Companies, and It has been my experience that many are legitimate and that you can make a lot of money working in networking.

Many reasons will be given for success in a Network Marketing Company. Included in this list are unique products, good market and the right leadership. Timing is another point that is often made.

I know that anybody can succeed, and thankfully the essential tools pertain to yourself.

Essential tool No 1, believe in yourself, and do the things that will help you grow. Know that everybody had to start at a certain point in the a company to get to the top.

Network Marketing is a direct selling strategy used to promote products. Promoters get commission for their own product sales and the sales of those they introduced to the company. The products and the company are normally marketed directly to potential consumers and potential business partners.

Essential tool No 2, The company needs people to market products and the business, it is important to know how to market. Marketing is a skill that can be taught and learned. It is essential to learn how to market even before choosing the company. There are many products out there. What one needs is an easy to follow program that will have you up and running from the start. It is useless to choose a company if you do not know how to market, how to generate leads, and the principles behind succeeding in Network Marketing.

Many people want to change their lives and are seeking, without knowing where to start.

Essential tool No. 3, To function optimally, and to succeed quickly and easily, you need to develop leadership skills. All of us has been a leader in one or the other area of our lives. It is important to recognize your own skills and worth, so that you can gain the confidence to operate your Network Marketing business.