How Time Payments Turned Inventor into Millionaire

We’ve all heard invention by Cyrus McCormick, the mechanical reaper. This invention changed farming forever.

Prior to his invention, a farmer could harvest one-half acre per day using a hand scythe.

Using his reaper, a farmer, and a helper could harvest 12 acres per day. That’s a 12-fold improvement in productivity, a revolution for farming.

The problem was farmers stayed away by the droves. This wonderful invention was too expensive to purchase.

His early machines sold for around $100. The average person was only making five cents per hour or about $100 per year. At that time over 80% of the population of the US population lived on farms and rural communities.

With the use of installment payments, the sale of his invention took off.

Within 26 years he had reached his goal of becoming a millionaire.

Why do I call installment payments an Acre of Diamonds?

Because it can change your business or someone else’s and you can profit from it.

How many $49,000 Chevy Suburbans would be sold today if it weren’t for installment payments? The same thing is true of homes, high-end electronics, and many new things thanks to credit cards which allow you to buy virtually anything using “installment” payments.

How does this help you find your Acres of Diamonds?

Do you have a product or service that is so expensive, you should think about offering installment payments?

I’ve attended 18 marketing seminars over the last 5 years. Many were as high $25,000 per person. I talked to one of the gurus and he said he tested his success with and without installments. He landed three times as many customers by offering to break down the price into 3 or 6 payments.

Why offer installments when clients can pay with credit cards?

Because many of those credit cards are maxed out.

There are certainly other things to consider when offering installment payments, like what if they don’t pay? What if they are slow to pay? What if their check bounces? All of these are important questions but remember you can absorb a lot of bounced payments with three times as many sales.

What other policies, procedures, marketing techniques, payment plans, etc. can you adopt from other industries and apply them to your own? Not that every one of them needs to be tried but look around with the ideas that surround you every day and see which of those converts your current business or ideas into Acres of Diamonds.

About the Author

Dan Swanson is an Internet marketing consultant, who systematically increases qualified traffic and improves conversions of visitors to customers for client’s websites. For more information on his Internet marketing consulting services visit http://www.iq2.com.

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