Thank you!

First thank you for taking the time to answer my questions.

"""1. To start off with, I am having a difficult time deciding how many ads and how big the ads should be. The advertising display has the equivalent space of 5 letter sized 8.5" x 11" sheets of paper stacked end to end. There could be twenty 4.25" x 5.5" 4 up ads per display, ten 5.5" x 8.5" half sheet ads per display, and five 8.5" x 11" full size ads per display.

What issues should I consider in deciding the number and the size of my advertisements?

You want each ad to have decent visibility. If you decrease the size of each ad, you will also decrease the visibility and some business owners take that into consideration. You also don’t want too much clutter."""

I was thinking along the same lines. Thus, the ads will be the 8.5" x 11".

"""2. How do I decide how to price the advertisements? There is not anyone in my town who offers this type of advertising; Therefore, I do not have a point of price comparison.

Advertising is advertising to most local business owners. I would start by checking your local newspaper and ask for their rate card. Then you might want to charge comparable prices. Keep in mine that most business owners will want a deal and you must be willing to charge far less initially to get established."""

I thought about that and extending it further by comparing service station ads to other forms advertising like radio, TV commercials, direct mail, etc. However, different advertising mediums have different strengths and weaknesses with price being only one issue.

So just price my service to be competitive with other advertising mediums and let the advertisers decide if they are comparing "apples to oranges"?

"""3. Would it be worth the collection hassles to offer financing to the advertising clients or should I only accept prepayments for the ads?

Get your money up front if you want to get paid!!!!!!"""

Agreed! However, I just thought it might be a good way to beat the price bug-ga-boo. Perhaps, offering two price rates might be better. The financed rate and a cash discount rate. As an incentive to pay on time, offer a substantial monthly discount to advertisers for prompt payment.

""""4. How should I compensate the service station owners? I always wanted to give to charity. So I thought I might kill two birds with one stone by offering service station owners 20% of the gross revenues and taking 10% and making a donation, in their name, to the charity of their choice. Is this a good idea?

I think it’s a good idea but will not make a difference in a station owner’s choice to let you set up shop in his or her station."""

Oh crap! I thought that would be a good incentive to get them to do business with me. They would get the tax write off plus any good PR generated by the donations…maybe even a nice plaque to hang up in their service station.

Why are you so certain that it not make a difference "in a station owner’s choice to let you set up shop in his or her station"? Also, does 20% of the gross revenue to the service station owner seem fair?

""""5. I am considering seeking out and partnering with advertising agencies who may be able to connect me to deep pocket advertising clients. Would this be a smart move? In addition, what would be a good compensation arrangement with the advertising agency? Pay them a percentage of the gross revenues or a flat fee?

NO….. Most of those guys don’t want to deal with small guys and if you presented to them a good idea, they could easily do it themselves. You can’t count on other people to sell for you."""

Point well taken! So if I want deep pocket clients I should contact them directly? I sure hope the VP in marketing does not expect me to fly to their office and give them a Wall Street type of presentation!

"""6. Should I design the ads myself or hire some one to do them? Personally, I think it might be better to hire someone to do them to leverage my time.

If you have the ability, design the ads yourself initially. But, eventually you want to concentrate 100% on sales because that’s where you’ll make your money."""

What software would be good for this? MS Publisher? Again, who should I seek out to do this professionally?…a graphic artist?

Once again thank you for your time.