How to Sell DVDs via an Infomercial

Infomercials require planning.

Selling DVDs on your own infomercial requires substantial planning, test marketing and funding. According to Response Magazine, a trade magazine dedicated to direct response media, the first quarter of 2011 average "cost of a half-hour block rose 2.7 percent to $489.24, a slight increase of $13.25 when compared to the first quarter of last year." This figure varies by market size and it does not include production costs of filming your infomercial, often $50,000 or more from a professional agency. Planning and executing this marketing tool can be a challenge, but can also produce dramatic results.

Things You'll Need

• Production-quality video camera
• Professional sound recording and mixing equipment
• Spokesperson
• DVD duplication equipment

Instructions

1. Create a comprehensive business plan outlining your strategy to move from selling DVDs online via streaming infomercials to a national station. Include approximate cash flow projections, marketing costs throughout the entire process and other business concerns. This will demonstrate you have performed due diligence in preparing these infomercials.

2. Secure a sales tax license from your state secretary of state's office. Apply for an Employer Identification Number at the Internal Revenue Service website at IRS.gov. This allows you to set up a business checking account and hire employees.

3. Negotiate with the DVD manufacturer, if applicable, for rights to sell the product. You may be able to secure a volume discount for purchasing large quantities or set up a drop-ship arrangement if the company currently markets that way. If you are selling your own DVD, purchase a DVD duplicator and professional DVD label printer to produce your own product.

4. Draft a script that explains your product in an upbeat, exciting way. Product demonstrations are plentiful on the Internet, so find an angle that moves your DVD from an interesting product to a "must have" one. Viral videos that best sell products can get a huge amount of page views, but only if they are extremely creative.

5. Decide on a host. While a celebrity host may generate more interest, the cost may be prohibitive until you can begin to generate revenue. Consider an attractive host with a firm personality in interviewing for this position, or do it yourself if you meet these qualifications.

6. Establish a toll-free number and website capable of handling orders. Prepackage DVDs for shipment.

7. Film your infomercial. Use the DVD name, phone number and website as much as possible in the commercial. Create a sense of urgency by limiting quantities.

8. Post your infomercial on YouTube and other video streaming services. Develop a blog that discusses the DVD in depth, and link to it or your website. Post comments on industry-related websites and blogs pointing back to your order website. Post on social media and request others to do so.

9. Measure success in unit sales. Use this success to solicit your local television station for a late night 30-minute slot. Consult with a lender for financing options as needed to increase DVD production and to pay for the air time.

10. Negotiate lower rates from the television station by requesting a per-inquiry rate instead of expensive air-time flat rate. This pays the station for every contact rather than a flat fee. Some stations, if they see the potential in your product, will offer this option to build its own potential revenue.

Tips & Warnings

• If applicable, seek a celebrity endorsement from a participant of the DVD. Be willing to ship worldwide for an additional fee. Hiring reputable production and advertising agencies, while expensive, is more likely to be more professional and may increase your success rate.

• Only use money you can afford to lose as success rates for infomercials are historically low.

References

• Entreprenuer: Infomercials
• CNN Money: For Infomercials, Downturn is Prime Time
• Hawthorne Direct: Five Ways To Commit Infomercial Suicide
• PR Secrets: 5 Ideas to Create Your Own Website Infomercial--With the Infomercial Toolkit
• Zephyr Media: Frequently Asked Questions
• Television Advertising: Frequently Asked Questions About Television Advertising