|
|
|
Autoresponders = Automatic Internet Marketing Success
Copyright 2005 Jeremy Smith
What if you could send out all the information that your potential customers have requested without checking your email or answering a phone? While this may seem impossible, it is becoming more and more popular among...
How-to use Holiday Events For Extra Promotion
If you run an ecommerce site especially, then just as the stores do, you should do something different to attract shoppers each time there is a major (and minor) holiday event. There are many events throughout the year that offer you a multitude of...
How to Use Viral Marketing for Online Profit
When Sabeer Bhatia and Jack Smith founded Hotmail.com they promoted it with a simple idea they called “Word of computer” advertising. Every message sent by a subscriber had a one-line promotional message attached….”Get Your Private, Free E-mail from...
Secrets To Starting Your Own Successful Affiliate Program
Imagine getting all of the benefits of hiring your own sales team without any of the hassles of hiring and managing employees. Sound like a dream come true? Welcome to the world of affiliates. That's basically what you are getting when someone...
You Don't Have TIME to Sit and Wonder When The Traffic Will Come!
There is so incredibly MUCH you can do to successfully promote your website starting in just a few minutes. In fact, the steps I will give you below can be repeated DAILY for 30 days, an hour a day, for 30 hours of hard-core, tested,...
|
|
| |
|
|
|
|
|
|
What should I sell On-Line
One of the first things you will have to decide when setting up an Internet business is whether you want to sell a product or a service, both of which have their advantages and disadvantages.
Products:
Advantage: unlimited income potential because you are not constrained by time, the way you are with a service (the more product you sell the more income you make - especially when you are automated).
Disadvantage: requires stocking and shipping (or drop-shipping from a supplier).
Disadvantage: generally requires you filling large amounts of orders to make a reasonable living, unless you have a product with a very high profit margin.
Services:
Advantage: it is easier to make a profit quickly because the entire price of a service is paid to you (except for any overhead).
Advantage: services can generate a great residual income because the client may want to hire your services again and again.
Disadvantage: you are limited to a modest income because you can provide only so many services each day (unless you hire employees to perform services for clients).
In my opinion, selling a
product online has, by far seen the biggest profit potential in the long run. Once you get a successful product, you can automate the system and move on to new products that will generate multiple streams of income.
If you need immediate cash flow, providing a service is the fastest way to produce instant income... but it will never pay off as big, in the long run, as selling a product with a high profit margin.
If you sell a service, think about how you can transform it into a product. One of the best examples I can think of is regarding the people who submit websites to search engines. Because the competition got so fierce and their business began to suffer, some wrote and sold reports revealing how search engines work and tricks for getting sites listed higher etc. The reports were priced at $20 -$100, and the entrepreneurs in our example found new markets to tap.
I hope this helps in your future marketing decisions.
About the Author
David Bell is Manager, Online Marketing, at http://www.wspromotion.com/ , a leading Search Engine Optimization services firm and Advertising Agency.
|
|
|
|
|
|