The ‘One Product Tragedy’ – probably one of the most
common reasons why most business owners fail to make money. But how can YOU avoid being the next star in this ongoing story?
Well despite what you might have been told about lists, videos, refund rates or Facebook Contests, making profits in any form of business is in the final reckoning just a numbers game – a question of
cold, hard, statistics that underlie all the softer elements of branding, personality and customer benefits.
So what about the ‘Tragedy’? Well, it’s a known fact that for all the many thousands of people who buy courses, start projects or
subscribe to packages only 5 at best out of every hundred will
actually do anything and of those, only 2 on average will go on to develop a
One of the most common reasons for this lack of success isn’t for lack of ambition or ‘how to’ do it but a simple
misunderstanding over probabilities and numbers.
We like to think of this as the 1, 2, 10 rule.
So what in heck does this mean…..?
Well, if you develop one product and after all the hard work and effort go ahead and develop another MOST people then stop to see how it goes and if all they’ve been told was true. For most this is business suicide!
The huge problem with this approach is that unless you hit on an instant best-seller you’re unlikely to get ahead as your product is just one very small part of a very large jigsaw. Imagine trying to sell one Kindle book on Amazon when you’re up against all the other publishers.
BUT – if you keep going
and repeat and repeat your process and develop a range of good quality products
the numbers start working in your favour in a BIG WAY.
Look at the example below for a product we’ll price at $10 for simplicity.
@1 sale per week with 1 product sales income = $10 BUT with 10 products = $100
@5 sales per week with 1 product sales income = $50 BUT with 10 products = $500
@10 sales per week with 1 product = $100 BUT with 10 products = $1,000
So as the example shows – getting the cold, hard numbers working on your side makes a huge difference to your potential income, profit and reputation. If you can do one product why not 10?
Think how people react if you can say you have published or released 10 products rather than just one. Which sounds more like a successful business and less a hobby?
And remember – this numbers game works whether you’re trying to sell real products, affiliate products, get opt ins to your list, publish books or put videos up on You Tube – whatever.
The plain facts are that if you have more opportunities that you can manage out there there’s a much bigger chance of being successful than if you bet everything on just one or two ideas.
So build or use an end to end process, get product number one,
rinse and repeat and repeat.
And when we talk about launching multiple products we’re not trashing the idea of niche marketing or being a focussed expert.
You could do a range of products on a market by being a Single Niche Expert.
You could do a range of related products in similar markets by being a Subject Area Niche Expert.
Or you could do multiple products in totally unrelated markets as an Expert Niche Publisher. They ALL involve the same rules of identifying a market and serving up what the customers in that market are looking for.
Making a FINANCIAL success of one or two products is so hard. Making a
financial success of 10 products is much much easier for not a lot more effort in building or managing IF you have a process.
If you can get to an average sale per product of just 1 per week which would
you prefer based on our example above – $520 per year with one product or $52,000 plus with multiple products?
So why do the numbers work for you so well?
It’s numbers working for you again. For each new product, site or idea you release you add to the chances of success. With a reasonable portfolio of products you only need average sales across
your range to make a very good income.
And once you’ve got 10 sites or products how much effort
to go on and do 20 or 30?
If you have any questions or problems with what I’ve discussed in this article then please post a question in the Members Forum and I’d be only too happy to help.
Colin ‘Dr Nitch’ Stevens