OSP article excerpt: Getting Online Business Profitable

1,099 views
1,050 views

Published on

I've covered before how to leverage your product income, as well as the real basics to economics. But unfortunately, I can't find these links for you.

Let's recap (quickly):

I. Economics consists of four inter-related functions, not just two as is taught -

Supply

Demand

Information

Service

Defined:

Supply means having a valuable product, but also covers how much competition you have - if you are selling a commodity product (and so have to compete on price as well.)

Demand - is anyone actually looking for your product and how much can they afford to pay for it.

Information - are you actively promoting this product so people can find you?

Service - are you delivering high quality, or schlock?


These inter-relate: More promotion will increase demand. Low-quality will decrease demand - and if you are selling tainted peanut butter, can decrease supply as well. Non- or slow-delivery will decrease demand for your product. Information: An incorrect price (too high or too low) can affect demand...

Published in: Technology, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
1,099
On SlideShare
0
From Embeds
0
Number of Embeds
619
Actions
Shares
0
Downloads
4
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

OSP article excerpt: Getting Online Business Profitable

  1. 1. Online Sunshine Plan Excerpt: Chapter I - Article 03 by Dr. Robert C. Worstell
  2. 2. Copyright © 2009 by Robert C. Worstell. All rights reserved.No part of this publication may be reproduced, stored in a retrieval system,or transmitted in any form or by any means, electronic, mechanical,photocopying, recording, scanning, or otherwise, except as permitted underSection 107 or 108 of the 1976 United States Copyright Act, without theprior written permission of the Author.Limit of Liability/Disclaimer of Warranty: While the publisher andthe author have used their best efforts in preparing this book, they make norepresentations or warranties with respect to the accuracy or completenessof the contents of this book and specifically disclaim any implied warrantiesof merchantability or fitness for a particular purpose. No warranty may becreated or extended by sales representatives or written sales materials. Theadvice and strategies contained herein may not be suitable for yoursituation. You should consult with a professional where appropriate.Neither the publisher nor the author shall be liable for any loss of profit orany other commercial damages, including but not limited to special,incidental, consequential, or other damages.This excerpt from Beta release 0.1
  3. 3. Table of ContentsOnline Sunshine Plan .................................................................... 0. Introduction...........................................................................1 How to get the most out of this book ......................................6 How this book is set up ...........................................................9 I. Purpose/Passion - what drives you, what makes you really happy? ..........................................................................12 Articles: ..................................................................................16 II. Business Basics ................................................................48 Articles: ..................................................................................54 III. Market Research .............................................................115 What is marketing? What is a market? ................................115 How to research for your community-market ....................118 Keywords, their care and feeding: Niches...........................122 Keywords, Their Care and Feeding: Finding Them ............127 A possible approach to keyword research ...........................131 The short version of keyword research - 9 steps: ...............135 The convention analogy .......................................................136 How search engines used to work .......................................139 Where to look for your keyword research - Part I - Basics . 141 Where to look for your keyword research - Part 2 - The Real World ....................................................................................144 Wheres the money? Im from Missouri - show me.............146 Finding and Building Your Community..............................150 Learning from the Experts in your Niche.............................151 Finding your way out of this wet paper bag ........................153 Articles: .................................................................................155 IV. Your Sales Funnel - ........................................................179 Lining up your chickens .......................................................179 Collecting up your eggs into baskets. ..................................182 That narrow end of the funnel isnt, really. ........................184 Copywriting - how to talk your walk ...................................187 Articles: ................................................................................193 V. Search Engine Optimization ...........................................212 Why do people think search engines are important? .........212 Search Engine Myths ...........................................................214 Strategies old and new .........................................................216
  4. 4. Names to follow and why .....................................................221 Recommended Products ......................................................221 Articles: ................................................................................222VI. Promotion .......................................................................242 Networking and Promotion ................................................242 Social Media Defined...........................................................244 The care and feeding of social media ..................................247 There is no ROI in Social Media Marketing .......................250 So how do you convert viewers to clients through Social Media? ..................................................................................252 Now for the Social Media All-You-Can-Eat-Buffet ............254 Write once, publish many ways, many formats .................260 Addtional Online Promotion ..............................................263 Offline and Classic Promotion ............................................266 Articles .................................................................................267VII. Summary ........................................................................310
  5. 5. The Online Sunshine PlanHow to get your start up small business (more) profitable.Ive covered before how to leverage your product income, as well as the realbasics to economics. But unfortunately, I cant find these links for you.Lets recap (quickly):I. Economics consists of four inter-related functions, not just two as istaught - 1. Supply 2. Demand 3. Information 4. ServiceDefined: • Supply means having a valuable product, but also covers how much competition you have - if you are selling a commodity product (and so have to compete on price as well.) • Demand - is anyone actually looking for your product and how much can they afford to pay for it. • Information - are you actively promoting this product so people can find you? • Service - are you delivering high quality, or schlock?These inter-relate: More promotion will increase demand. Low-quality willdecrease demand - and if you are selling tainted peanut butter, can decreasesupply as well. Non- or slow-delivery will decrease demand for yourproduct. Information: An incorrect price (too high or too low) can affectdemand. 23
  6. 6. Dr. Robert C. WorstellLately, I found there are some other terms floating around, which alsodescribe and actually combine economics and leverage - called MarketingMix. While I have to do another post to actually define this in non-gobbledygook language, you can see that these four economic principlesabove are actually a very workable description of how to set up your ownmarketing mix.II. Income Leverage - Most marketing is based on simple math - and is anumbers game. Some relevant facts: • The bell curve predicts that most of your buying public will be only consumers (until you turn them into subscribing clients). • Additionally, this predicts you will have a base conversion of 2-3% (if you make no hideous errors in your sales copy.)Your profit (or any retailer) is dependent on a simple formula: Leveraged Sales - Overhead or (Products x Sales x Outlets) - OverheadDefinitions: • Products: Number of products you are offering. • Sales: Number of sales you get per week or per day. • Outlets: Do you only have one website? • Overhead: Cost of doing business (payroll, webhosting, taxes).Examples: • When you are selling one product per week on one site, you have a leverage of 1. • If you increase the volume of that products sales to 100 per week on that website, you have a leverage of 100. 24
  7. 7. The Online Sunshine Plan • When you routinely sell 20 products 100 times per week - this increases to 2,000. • If you get 100 affiliates selling your product, your leverage is now 200,000.Now subtract your overhead and youll see that a brick-and-mortar storeselling one product per week will have to sell a very expensive product tocover its costs. This would be a high-end luxury car, or an expensive dressor suit. If you are selling one product on the web, you only have to coveryour item cost, shipping, plus your web host. Online is obviously cheaper.Sell an info product which is instantly delivered and is created digitallywhen it is sold - and your overhead is mostly just your web host cost.However, when you use affiliates to sell your stuff and give away 50% ofyour sales price as a commission, then you are trading half your profit onthose sales - which you wouldnt have gotten otherwise. So if you sell 2,000info products yourself at $20 each, thats $40,000 profit. If you get 100affiliates to sell them at half price, you just increased your profit by$200,000. But you didnt have to do anything except set up your affiliatesales to pay their commission after you delivered the product. $160,000increase in profit over doing it all yourself.Now, heres the Marketing Mix.That post on the bell curve above covers why you want to move over tosubscribers. Your conversion rate goes up from an average 2-3% upwards toabove 50% or more.This means that every time you add a new product to your shopping cart(and promote it to your list), you arent just increasing your leverage valueby 1 or 1,000 - you are also increasing it by a percentage of the number ofpeople on your list. So the new formula becomes:([Products x Sales x Outlets] x Subscribed Clients) - Overhead =ProfitAnd guess what - your affiliate sales outlets also have lists. So if you tellthem about your new product (and send them one so they can see how goodit is), then this can take your profits into a completely new range.Assuming 50% of the subscribers buy - and say cumulative you have about 25
  8. 8. Dr. Robert C. Worstell100,000 subscribed clients between you and your affiliates - so take a new$20 product and figure that on release day, youll have about $20 x 50,000= $100,000+ profit in about 24-48 hours.And now you see how Rich Sheflin, Jack Humphrey, and some of these big-name marketing guys can rake in the dough by simply releasing a newproduct 5 or 6 times per year. All info products and mostly sheer profit. Therest of the time, they sell their "velvet rope" subscriptions so people canhave "exclusive" access to their new products (and almost guarantee theywill buy them at a "discount" in advance of the sales date). Humphrey usedto sell a subscription to over 3,000 people at around $90 per month. Aclean $3.24M income - and he worked hard to make sure those people gotgood value for that money, plus was able to afford a small crew working toprovide that value. (A couple of $50,000 yearly salaried programmerswouldnt take too much of a bite out, would it? Or give them a percentage ofthe profit instead - keeps them looking to see how they could improvethings to increase monthly, quarterly, and annual profit...)Do the numbers on that: $100,000 6 times a year = $600K. Add in thesubscriber monthly fees - and you get nearly $4 million in gross income peryear. Overhead might run a quarter of that or less, so you have about $3milprofit every year. Not that this happens overnight, but certainly it is possible- as outlined above.Now, there are a lot more details to this. And I hope to go into these in laterposts, time and inspiration permitting...III. Putting this into use for yourself or your company:For the small business owner, or someone considering a start up, thismeans a couple of things to increase your profits: 1. Keep adding quality products every week (thats 50 or so additional products per year!) 2. Continue promotions and add to these so more people can find your site. 3. Get all possible new and existing customers to sign up for your mailing list. 4. Get your new products up on affiliate sites as quickly as possible. 26
  9. 9. Thrivelearning GuideFind ways how to improve your life, run asuccessful online business, get your freedomback.Thrivelearning System - A GuideIve searched over the Internet for really workable programs for more than acouple of decades. The main criteria was that they had to work and they hadto help people actually improve their lives. The goal is that people are enabledto get their abundance which is already native.People dont know how simple it is to have a peaceful, free life. They dontknow that starting an online business does have a learning curve, but whenyou find the right mentor and the right partners, it can be really simple andsuccessful.So these programs each individually work. But the real power is that theyintegrate into a powerful system that is more effective than the single parts.There are two approaches to this - Spiritual and Business Spiritual: You should be able to have all the freedom, peace, and abundance you could ever want. Business: You can and should know how to leverage the Internet to make your own online success.Like many, I was caught up in the “get rich quick” “how to make moneyonline” schemes that are very often pushed with Internet Marketing.And it took me a long time (over a year) to learn enough to earn my moneyback outof the scheme I bought into. (No, I had to attend “Hard Luck U” and sweat itout with a keyboard and Google searches - it wasn’t found in the “training” Ibought.) And that company has improved considerably since that time - itwas lessons all around, the way I saw it.
  10. 10. But since then, I’ve really discovered how to thrive - by discovering andtesting the exact techniques of self-help and spiritual training which willattract any amount of money or abundance you want. No “institute” required,no expensive ”schooling” or “coaching” - learn at your own pace, from yourown home.Now I am starting to regularly earn money working at home, mostly fromonline affiliate sales and my own books . It’s not hard to learn, if you want toinvest your time (and a little cash here and there.) But you only get out whatyou invest of your self…Here’s the programs I found that actually work:Spiritual 1. Find your inner peace - Use Release Technique 2. Learn how to remain calm under stress - Use Silva Life System 3. Thrive financially with your Millionaire Mindset - Learn from T. Harv Eker 4. Simply Wake Up and Live! - Dorothea Brandes classic. 5. Get a library of proven, workable materials - Spiritual Training MaterialsBusiness 1. Do market research for products which can factually earn you online income - Chris Maltas Worldwide Brands 2. Master social network marketing - Charles Heflin’s Synnd 3. Get a site builder and web host with decades of experience -Ken Evoys Site Build It! 4. Find the simplicities to protecting yourself legally – Dr. Frederick Graves Jurisdictionary 5. Get and stay scam free from here on out - Get Scam Free (book and online course)
  11. 11. Release TechniqueRelease Technique is simply learning to actuallylook at what is happening around you and lettinggo of what you dont want. Too easy, actually.Some people have to know more about such atechnique before they can really put it to use intheir lives. Larry Crane used it to save his life. Hewas already a millionaire - even on the cover ofTime - but found he wanted to commit suicide because of his own innerstress. He met a guy named Lester Levenson, who taught him to release theinner programs which caused that. Larry changed his life – and has beenteaching and promoting this course ever since.Silva Life SystemLaura found herself in trouble. Her health wasfailing, she couldnt keep a job, she wasdesperately "in love" with someone who only tookadvantage of her. Then she rediscovered forherself the system of active meditation she had been involved with sincechildhood, literally growing up around it. Once she put this to use in her ownlife, she became more and more successful as she applied it. Now happilymarried with several children, she has devoted her life to continuing herfathers proven program of active meditation. More people than ever havefound how easy it is to meditate through Jose and Laura Silvas works. Thereare reportedly millions internationally who are using Silva materials to gaincalm, successful lives. You can, too.
  12. 12. Millionaire Mind IntensiveThe key point is that you have to re-learn allyouve learned up to this point about money.What he starts out to begin with is to tell you,“Don’t believe anything I say, but try these ideasout in your own life - and trust these ideas youare trying.”How Eker gets you to re-train yourmillionaires mind isnt all that new. But he tookup the study of millionaire and rich-people psychology in earnest so solve hisown inability to make and hold onto money. While he made (and lost)millions early in his life, it was his own studies into how people did this whichmade him an international success. Now he spends his time only in helpingothers to adjust their own Millionaire MindsetWake Up and LiveI was introduced to it by Earl Nightingale (of "OurChanging World" fame). It was in his "StrangestSecret" recording where he introduced her nowfamous credo:"Act as though it were impossible to fail."And she explains how she got to that point in this book. The first section is anautobiography of sorts, explaining the gist of her discovered philosophy of life- and how that credo lead her straight to an amazing career after a rathermundane existence prior. Newly republished in an easy-to-read format, thisbook is an essential classic for anyones library.
  13. 13. Spiritual Training MaterialsFor anyone to really make their way through life,they have to find and follow mentors. With ourmodern Internet Age, you no longer have to taketime out and travel to distant lands in order to sitat the feet of a Master and absorb their knowledge.Even the long-passed can reveal their secrets fromtheir book sand materials. Ive assembled a shortlist of books which have been proved time and again to hold the secrets to allhealth,wealth, success, and relationships. The path is there - you have only towalk it. Build your library today!Web Site BuilderSite Build It! is the only product that takes thetime to prepare you to build a profitable business,before you jump into building your site. For thebeginner, your learning curve will be shorter andyou’ll bypass any show-stopping errors. For those experienced in site-building, SBI! deepens your level of understanding. No matter who you are,you are guided all the way until you succeed. This approach symbolizes SBI!’ssteady-and-sure approach. It’s definitely not GRQ (Get Rich Quick) and keepsyou from getting distracted by false promises or dead-end tools and strategiesthat end up costing more money. Experienced users will appreciate avoidingtime-wasters that dont help you succeed. Think of it as a simple, direct, hype-free path that leads to success. Check it out for yourself.Profitable Market ResearchThe reason Chris started WWB is just because heknew how profitable it was to sell for others - butran into the same shady operators so many of usdo. He sat out building a company which did the
  14. 14. homework for you - so you only need login to their single interface wheretheyve already predigested the product discovery, keyword research, andverified the drop-shippers as legit. No middlemen, no scammers. Just you,your hard work, and your filling bank account. Not for the faint at heart - thisis only for those serious about doing the homework necessary to find salable,profitable products to sell.Social Network MarketingOnce you have a product and a website, you needto promote it. Charles Heflin has been marketingat least as long as the World Wide Web hasexisted. And he formed Social Media Science just to study the social mediaphenomenon. Per their website: "Social Media Science is dedicated to thescience of online social media as it applies to gaining visibility for you ronlineor offline business. We are dedicated to educating the business communitythrough a robust educational system as well as providing cutting edgesoftware tools to make marketing your business easier, more effective andmeasurable. See what sets us apart." Its only here where you learn how toreally market online.Get a Winning Lawyer -Defend Your CompanyDr. Frederick Graves is a lawyer who has taken onthe formidable task of educating people how tofigure out what the hell is going on. But its not allthat complicated. For any business, if youunderstand the legal system, you can avoidsituations which would lead you into any unnecessary involvement in thecourts. Technically, you learn enough to use the laws to do what they aresupposed to - protect against inequality and bullying behavior. The point isthat when you do need to get a lawyer, you can also ensure that hes doingwhat youre paying him for. With all else you need to follow in business, youdont also need the excess expense which legal costs can bring.
  15. 15. FTC DisclaimerSelf-help and Spiritual Training are highly personal. You get out only whatyou put into them. There are no "typical results." None of the above should beconsidered as a “business opportunity”. These are personal training programsand materials which you alone can determine if they assist your own progressor help improve your life.Caveat Emptor, and all that.

×