The mode of operation of a mail order house involves the following steps:
1. Preparation of mailing list:
A list of potential consumers is prepared on the basis of information collected from telephone directories, yearbooks, the list of members of a club, traders’ associations, trade directories, etc. The mailing list contains names and addresses of people who may be inter steel in buying goods through mail.
2. Issuing advertisements:
Advertisements are issued in newspapers, magazines, radio and television, etc.
3. Sending sales Literature:
Sales letters, price lists and catalogues are sent to the persons included in the mailing list. Such sales literature is also sent to the persons who make enquiries after reading advertisements.
4. Receiving orders:
Orders are received from customers through mail. All orders are recorded in the ‘Order Received Book’. Orders are executed according to the date of receipt of orders.
5. Dispatching goods:
Goods are properly packed, marked and stamped. Parcels are sent to customers through value payable post (V.P.P.).
6. Receiving payments:
Payments are received from the post office. The post office delivers parcels to customers on receiving payments from them.