Creating multiple revenue streams is important for a start-up or small enterprises as being dependent on a single source of income can leave you short of funds if any problems or issues arise.
The formative years of a business are notoriously challenging and volatile. Having around five or more revenue streams will support your processes and activities in the short term as you look to build scalable and sustainable revenue in the long term.
9 Ways To Setup New Revenue Streams
1. Training Courses
Depending on your circumstances, you can set up two outlets for training: more expensive training on-site or cost-effective digital training.
Both can be packaged up and sold through your website. This sort of after-sales support can also strengthen your brand.
2. New Products
The most obvious way to generate more revenue is by branching out from your core offerings and introducing new products or services.
Your new line should build from the supply chain and processes you already have in place so it can be launched with ease, at scale, and without concerns about sunk costs.
3. Company Blog
Offering regular advice and information to your target audience can benefit your company in a number of ways.
You can also promote different affiliate products. This sort of passive or residual income is a great way to support your main revenue streams.
When you promote different products on your blog, it’s important to provide great value by not being too advertorial. Create informative and helpful articles instead of direct upselling. And that’s where your unpaid or organic traffic will come from, which will create more loyal readers and customers.
4. Forex Trading
Shrewd moves on the foreign exchange market can prepare you for future expansion to new markets and regions abroad and generate profits that can support your operations.
Brokers now offer mobile software and features that make it easier for those who want to trade part-time, which is perfect for small business owners.
Taking a look at AvaTrade reviews will allow you to make an informed decision about your broker of choice.
5. Subscription Model
Creating a subscription-based model from your services can diversify revenue streams. This type of ongoing access model can generate ample returns as the cost per month for a user is quite low, and many will be happy to sign up and stay subscribed if they are getting value.
A subscription-based model may also apply for retail items. For instance, beauty and wellness kits are trending. People use facial cleansers, lotions, essential oils, etc., every day. So, offering subscription-based kits is a good idea. The same is true with magazines and food supplements.
6. Target New Customers
A diversified customer base can lead to more outlets for revenue. If you have saturated a certain demographic or segment, you could run a marketing campaign to appeal to a new subset of users.
Social media companies often run into this difficulty as their services are often used en masse by Gen Z and Millennials. There is only so much revenue you can get from a target audience that does not increase or evolve.
7. Host Webinars
An offshoot of training, webinars can be a more general way to appeal to interested people and clients within a certain industry.
Learning how to increase revenue from existing customers through webinars and other virtual events is crucial to maintaining good long-term business relationships and high revenues. But what makes webinars effective? Hosting webinars is one way to engage with your prospects and clients, especially for business-to-business (B2B) customers.
Here, you can use your professional expertise to talk about major developments or trends, rather than specific products or services. Online webinars are the easiest to set up, but you could also speak at a conference or offer in-person seminars.
8. Licensing to Third Parties
Depending on your core business offerings, you could allow third parties to license some of your content for a fee.
You could also license a part of your infrastructure. Think about your assets and how another business could potentially make use of them. Have you got systems and servers in place, for example, that somebody else could leverage?
9. Commission ebooks
You could also channel your expertise and experience into creating or commissioning content such as ebooks and whitepapers that will provide valuable information to clients and customers. Ebooks can be sold through your website and promoted at low cost via social media channels.
If you want to sell your authored eBooks, you have to determine first what your target audience needs or wants to know that you’re confident to write. Once you have written your eBook, obtain an ISBN to protect your intellectual property.
Of course, don’t forget to create an attractive cover for your eBook before publishing it using online graphic tools. You can now set a reasonable price when your eBook is all set.
How To Monetize?
There are a plethora of potential revenue options, but that doesn’t mean you should adopt or implement them all.
To make a decision about what to monetize, consider what daily activities can be spun off into revenue streams.
Ask yourself, can it be repurposed, and can it help to serve others? You don’t want any streams that will be a burden to set up or manage either.
Finally, while residual and passive income sources are useful, you want to have a couple of streams that are fully under your control.
Entrepreneur, Chris Harder concludes: “In other words, make sure you’re not relying on someone else’s performance of products in order to thrive.”
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Author: Eain Johnson