Infomercials – is there really money to be made with your product?

Written By: Jim DeBetta

We all know about Infomercials…the stuff of late night TV legend.  It slices, it dices, and wait…there’s more!  Selling products on TV is a decades old business and some of the great products we know today were Infomercial items like the Ab-Roller and the Ginsu Steak Knives.  It seems more and more that inventors want to get their products on TV so they can potentially make millions with very little risk but the truth is the risks can be great and the costs even greater. 

The stats are kind of scary….just a handful of the thousands of items that are tested on TV actually perform well according to a couple of the industry leaders.  Everything has to be just right.  You must produce a great sales script that gets people excited and willing to “buy now.”  You also must secure the right airtime and have just the right price for your product.  How do you do it?  What does it cost?

There are many companies that can assist you but you must be careful about who you do business with.  I personally like the firms that do not charge anything up front but they will take most of the revenue the product earns leaving you with just a few percent in the form of a royalty.  Think of it like a licensing deal where you get 5% or so of the sales.  However, these firms front all of the costs to produce the Infomercial, secure the best airtimes, and provide the personality who sells the product on TV.  It can cost hundreds of thousands to do this correctly so it is no wonder they wish to earn most of what sales are generated and rightfully so.  They took the risk….and so they should reap most of the reward! 

There are also many companies that charge tens of thousands and up to do this work for you but you then earn much of the revenue that comes from the sale of the product.  However, some of these firms may not handle the business correctly, can’t get the prime airtimes, and do not have big personalities that get people excited and motivated to buy.  These companies may have a selection process but are usually not as picky as the above mentioned firms who front the costs.  Why?  Because you are bearing much of the costs and hence the risk as well.   Just be careful about companies that promise great results because the fact is most products do not perform very well and there are often much more effective ways to spend your marketing dollars to expose your product and grow your business.

To learn more about Jim DeBetta please visit www.jimdebetta.com 

Being on Shark Tank

When I decided to go to the casting call for Kelly Ripa's Women Inventors show in Chicago I was probably the most nervous and excited I've ever been about anything in my entire life. I didn't have very much time to prepare for the event as there was only a week to plan everything from the time I found out about the search to the actual casting call. I think in a way the fact that I didn't have a lot of time to worry and think about the event was a blessing.

On the actual day of the casting call everything seemed surreal. I was just going through the motions to get to the location and set everything up. I didn't eat breakfast because I was afraid it might come back up during the off chance I might meet Kelly. The first person I met that morning was Jen Cannon who as a breath of fresh air. She was so positive and enthusiastic and that definitely helped ease my nervous energy.

Throught the audition process I was amazed at how many of the women came together to support each other. Sure there were the many that were competitive and didn't want a thing to do with the women next to them, but there were still quite a few that were cheerleaders for their fellow inventors. If it wasn't for those women I really don't think I would have made it through the process without having to quickly find a change of clothes at the end.

Because of my experience of really needing and relying on these women to get me through my audtion process I am absolutely in awe of the entrepreneurs that get on Shark Tank and present their idea. The process would be so different, and that group of cheerleaders wouldn't be standing with you prior to your big moment. I am so thankful for having met the women that I did and for still having them in my life so we can still be each others support system.

I was contacted by a very talented inventor who was actually looking for my invention because they had read about it on the internet and she thought I should apply to be on the show. After watching another episode of Shark Tank last night I couldn't even imagine getting enough courage to get up infront of the panel and demonstrate my idea. I really have to give the presenters lucky enough to be on Shark Tank props for having such courage even if their product doesn't find funding. I would love to hear about your experience applying or even presenting on Shark Tank. Maybe you know someone who has been on the show.