TIE Chapter 9 – Multiple Streams of Income (Review)


I hope that you found the last blog to be interesting. It explained what a “funnel” Consists of. A “frontend, comparable to the tip of an iceberg that can be seen above the surface of an ocean, and the “backend”, the much larger part below the waterline. The “frontend” contains the lowly priced front-end offer(s), while the “backend” hosts the larger mid-ticket and high-ticket items. All good product owners offer commissions on the sale of both frontend and backend products.

Now here’s a summary of Chapter 9 – “Multiple Streams of Income”.

One of the main reasons why the vast majority of working-age people remain employed is that they feel more comfortable with the certainty of a regular income of a known amount. On the other hand, entrepreneurs do not have that certainty, especially in the early days of their venture. One of their main aims is to make their income as regular and predictable as possible.

There are two types of sales

  • One Time Sales.
  • Recurring Sales.

ONE TIME SALES

One time sales can range from lowly priced front-end offers to high-ticket items, as explained in the previous blog post. If you are doubtful that anyone would spend a lot of money, possibly more than $1,000 on a high-ticket item, just consider why airlines have 3 classes on the same airplane. The plane takes people from the same point of departure to the same destination but there are 3 price levels. Some people are happy to pay three times the price of an Economy ticket to sit in Business Class. Others pay ten times as much as economy passengers to sit in first class. Everybody gets off the airplane at the same place, but their en-rout experiences will have been completely different.

In the context of an airplane journey, the difference between the costs is the comfort enjoyed en-rout to the destination. However, with Affiliate Marketing, the difference is the time it takes to arrive at the destination.

A very determined entrepreneur who buys as little as possible at as low a price as possible may succeed eventually. However, an equally enthusiastic entrepreneur who is happy to pay for training, consultations, and general mentorship will get to his or her goals a lot quicker than someone who skimps and saves. Time is money, and the latter approach may well be more profitable in the long run.

RECURRING SALES

Possibly the best way for an entrepreneur to ensure that his or her income is as regular and predictable as possible is to concentrate on recurring sales. Recurring sales can be compared to club memberships or magazine subscriptions where a customer receives a beneficial product, or, more likely, a service, each month in return for a regular monthly fee.

Of course, customers are free to cancel their subscriptions at any time but providing whatever they receive monthly is useful and value for money, cancellations should be more than matched by new members joining. An entrepreneur who can get their monthly recurring income up to a level that equals or exceeds their basic monthly outgoings will have achieved their first aim of having an acceptable regular and predictable income.

 

ACHIEVING BOTH ONE TIME AND RECURRING INCOME

The ideal combination of the two types of sales is to have recurring sales operating in the “background”, so the day-to-day financial requirements of the entrepreneur are covered, leaving him or her time to concentrate on attaining, hopefully, high-ticket sales, to enrich the entrepreneur beyond his or her basic requirements towards his or her ultimate quest towards the lifestyle of their dreams.

Cheers

Phil

Click Here To Access The Previous Blog Post

Click Here To Access The Next Blog Post

Leave a Comment

Your email address will not be published. Required fields are marked *

CommentLuv badge
Scroll to Top