When you are ready to start your new business venture you need to think about all the ways this product or service can make you money. How many incomes can you get from this one business? Can you build multiple income streams and can you make those income streams passive income streams?
How do you make passive income you ask? “Passive income traditionally is made from interest on your savings and investments or rental income. Today we have the internet, automation software and access to so many free online tools.” Passive income is one of the best ways to stabilise your cash flow. You have products or services making you money while you work on other areas of your business.
Passive income is easy with technology. You can automate most processes in your business these days. Let’s say for example you are the best cupcake maker you know. You can sell cupcakes to friends, family, venues etc but you can also teach people how to make the perfect cup cake. Or even better teach people how to make the best vegan cup cake. Did you see what I did there? Veganism is a global trend. Stick with what’s trending, it will open up more opportunities.
Next time you are baking why not make a tutorial video on how to make “The best vegan red velvet cupcake”.
Film yourself making the cupcakes. Then sell that tutorial online. You can automate this whole process. From social media automation to payment automation, you can resell this tutorial thousands of times. Imagine you sold your tutorial for R100 and sold 1000 a month you have made R100 000 passive income. You are no longer just selling cupcakes. You are building a business with sustainable income.
You have to start to think differently about how to diversify your income. Multiple and passive income streams are essential for business success. The more ways you can diversify your business and create more access to markets the more likely you are to stay in business.
Now that you are familiar with creating more income streams from your 1 product you need to understand who you are selling those products too. Each target market you identify will have a different selling approach and you need to understand each of those markets. Each market should have a customer profile and avatar so you can maximise your marketing spend.
When we understand who our customers are we are more likely to make sales and not waste our marketing budgets.
I have created a template to help you to identify your customers per business vertical and this template will assist you in creating your customer avatars.
Download our Customer Profile Template below.