When it comes to make easy money online, most experts and gurus will teach what I refer to as the Typical Expert/Guru Business Funnel. This funnel is wide at the top with the goal to give away something for free with a high perceived value.
NOTE: Below are my 7 reasons why you should never start with a product…and why you should begin with a service to make easy money online. (Don’t forget to watch the business coaching video below as well!)
Most experts teach that to make easy money online you should give away a free report or a white paper that covers a new marketing tactic or strategy. As potential customers enter into this funnel they are sold first a low priced product and then a series of higher priced programs and services.
Personally, I think that the reason that the funnel is this shape is that most entrepreneurs undervalue their advice, are scared to play big, and would rather ‘try’ at business by starting with a low end product because they really don’t have a way of understanding their true value that they bring to the market place.
I also believe that the shape of the typical business funnel implies a narrow bottom as most people experience great difficulties bringing people through the funnel and hence never make easy money online. This is one of the reasons 80% of businesses fail within the first five years.
The reality is in today’s Recommendation Age People will pay for a product or service and EXPECT to get your best advice. The typical expert funnel does NOT work for the MOST people anymore unless they first follow the INVERTED business funnel format. This is because more people want to go out and create a product WITHOUT first really understanding what their target market wants.
The key that you should understand is that I began selling a service BEFORE I started selling a product.
7 Reasons To Start With A Service (Before A Product) To Make Real Money Online
First, I realized early on that selling a service was going to be easier than selling a product as people seemed to trust me quickly because of the high level of advice that I was giving away for free.
Second, as I am a former educator, I realized that I could use my skills of teaching in a greater way than I had ever imagined.
Third, we live in a service-based environment where people are willing to pay high prices for assistance in getting things done that would otherwise remain too elusive without the assistance.
Fourth, the fastest way to create a scale-able company is to have programs that have high profit margins. A coaching program has potential margins of 95% or even higher with only processing fees that eat into your margins.
Consider this for a moment. This was something that I thought about years ago when I started my own home-based business. Would you rather have 95% of a $19 product such as a book or report or would you rather have 95% of a $19,000 program? I hope that you can see the latter allows you to grow your home-based business faster and also allows you to begin realizing some of your life long dreams to leave your job, and/or travel , and/or buy your dream home et cetera.
Fifth, it’s easier to differentiate yourself around a service than a product.
Sixth, it is actually easier to get testimonials from people you are working with in a coaching or service-based relationship as their commitment level to doing what you want them to do is much greater than if you sold them a low end product or service.
You MUST get testimonials (Social Proof) for your business, and working with showcase your level of commitment and trust. Not only that, but it will increase your business confidence so much greater than ‘playing safe’ by first creating a product that you don’t know if someone will buy or not.
Seventh, the most important factor to me in creating a service first is that while working with clients directly you understand and know EXACTLY what products you should create. That’s because you get to amass MARKETING DATA faster than those in your market place who play safe and/or focus on selling a product as their first step in business.
Again, 99% of entrepreneurs waste a ton of time creating a product that their market place does not WANT. This is why PRODUCT DATA should be dictated by MARKETING DATA. Yet, most entrepreneurs NEVER really create what is MOST fundamental to their business.
If you want to make easy money online, begin with a service first.
In my next post, I will pick up on this and show you my unique business funnel I use and teach my clients to use to sell premium priced programs right out of the gate.
To Accelerated Profits!
What does Former Trump Associate Say?
“Glenn Dietzel is the Donald Trump of creating and selling high priced programs!”
Angela Samuels, Charlotte, NC
“As the former head of marketing for a Corporate 100 Company, there is nothing today like Glenn teaches!”
Stephanie Diamond, NY NY
“He has set internet records and I regularly refer to him as the guy who builds people’s big backends!”
Rick Frishman, Best selling author and speaker President of Planned TV Arts NY, NY
“I use my book and information product to leverage my backend business funnel which I inverted just like Glenn told me to.”
Margaret Merrill, Scotsdale AZ
“I sold my first $60,000 coaching program within 3 weeks of going online.”
Dennis Eagle, Rock Hill SC
“Glenn Dietzel did more for us in 6 weeks than the previous year and a half.”
Wes Waddell, Colorado Springs, CO
“Not only did my book get picked up by a New York Publisher, Career
Press, but most importantly Glenn helped me become a best seller and sell high end coaching.”
Ken McArthur, Philadelphia, PA
“No one has more video case studies than Glenn Dietzel and this coaching program today.”
Alex Mandossian, Colorado Springs, CO
“Glenn made 2 small adjustments to my presentation that generated 10′s of thousands of dollars when I was speaking from the stage and that’s something I will use for years down the road.”
Charlie McDermott, StandOutTV
“Whether You Are An Established Service Provider Like I Was Or Just Starting Out. He Has The Tools Necessary To Be Able To Position You In Your Marketplace!”
Michelle Yozzo Drake, USA
“What Glenn has put together…is not only a Company with a high value vision but some really high caliber staff…”
Cathleen O’Connor, The Balance Whisperer
“At the two week anniversary of working with Glenn, I just sold $23,000 in coaching.”
Sam Crowley, Everyday is Saturday
“There is not an area that doesn’t get examined from cash flow to marketing… in a incredibly fast paced manner.”
Laurie Kirk, CEO The Board Forum
“In only two weeks I have sold $10,000 in additional services that I would have otherwise missed… my confidence has soared.”
Kathy Gillen, The Gillen Group
“Having Glenn as my coach has changed things dramatically…”
Joel Comm, Internet Revenue Expert