"What should I sell?" This is the most asked question. Well, you can sell anything you want, but if you want to rock your wallet, you should pick a hot product.
Find a market first
First, find a market. Then pick a product. In this way, you can find profitable products. If you pick a product first, there might not be a market for it. It is important to find a market, and it is easy. Just go to some expert sites, bulletin boards or news groups, and look for hot topics. You can also check magazines. Look at some back issues. Find the ads appear every month. They must be for a hot product; otherwise, advertiser would not buy another ad.
"Problem" is the key
I am not saying to get into trouble. Just look for problems you can fix. People are lazy. (That's why I started my own business.) They want an easy quick solution right now. People are looking for solutions everywhere. Look at the lottery. It seems like a quick and easy financial solution. Lots of people spend money on what would be a solution. Online groups aren't exceptions. People put up questions or problems and wait for answers or solutions. As you are looking for markets, look for problems.
Improve it
You're got a product. Now, make it little better. You don't need to reinvent the wheel. You can't sell new inventions many times because people resist paying for unfamiliar things. It takes time and money for newly invented products to gain public awareness. Just give your product a little twist. Providing better guarantees or more bonuses can do the job.
Consumable
Wouldn't it be nice if you could sell your products to the same customer month after month rather than once in a life time? Once your customer buys from you, she will most likely buy from you again. It costs you to get new customers, but repeat customers won't cost you a penny. You only really need a good repeat or consumable product. If yours isn't, split your product, and sell each as a different product.
Price for profit
Don't underprice your products. If you want to make money, the margin (the ratio between the cost of your product and the selling price) has to be 1:4 at least. If a product costs you $5, you have to sell it $20 or more. A low-margin-high-volume business plan doesn't work either. It's not only hard to get a large number of visitors, but increased sales doesn't guarantee an increase in profit. As business volume increases, running costs also increase, so your net profit won't increase. Only your work load will increase. To avoid this ugly scenario, set your price for profit.
Love your products
Whatever you sell, you have to love your products. How do you suppose your customer will be happy with products you don't like. How do you even sell products you don't like?
This is not rocket science. Just do a little research and brainstorm. You will come up with a nice bunch of ideal products.
Showing posts with label Your Products. Show all posts
Showing posts with label Your Products. Show all posts
Monday, February 12, 2007
The Most Profitable Products
You can make more money if you create products for people who have a lot of extra money. This sounds like common sense, but most businesses are ignoring this.
No Money No Business
Here is an example. When I was starting my Web sites, I found a good book about HTML. It was only $30, but I couldn't afford it. I was working at minimum wage. $30 was too much for me. No matter how good your products are and how much prospective clients love your products, if potential customers don't have money, you'll have a hard time selling your products.
Higher Price
More sales aren't the only advantage you will get. You can also sell your products at a higher price to people who have extra money. Let's say you write the book "Play Beethoven in 30 Days" and price it $30. $30 for a book is nothing for people who can afford a piano. You can sell the book at $60 or even higher. On the other hand, if you write the book "Clear Debt in 30 Days", it is going to be very hard to sell a book to people who have trouble balancing their books, even if it only costs $30.
Less Headache
Moreover, if the products are harder to afford, people demand more out of the products. Harder to afford doesn't mean higher priced. $30 has a different value to different people. You can easily satisfy people who feel "It's only $30." But you need way better products to satisfy people who feel $30 is too expensive. If buyers aren't satisfied, they will return your products for refunds. Even worse, they may return the products after making a copy to keep, or crack your server to download a free copy. Either way, less profit for you.
Also, Consider This
Creating products for the right audience is a very important factor, but don't ignore other aspects of profitable products.
No Money No Business
Here is an example. When I was starting my Web sites, I found a good book about HTML. It was only $30, but I couldn't afford it. I was working at minimum wage. $30 was too much for me. No matter how good your products are and how much prospective clients love your products, if potential customers don't have money, you'll have a hard time selling your products.
Higher Price
More sales aren't the only advantage you will get. You can also sell your products at a higher price to people who have extra money. Let's say you write the book "Play Beethoven in 30 Days" and price it $30. $30 for a book is nothing for people who can afford a piano. You can sell the book at $60 or even higher. On the other hand, if you write the book "Clear Debt in 30 Days", it is going to be very hard to sell a book to people who have trouble balancing their books, even if it only costs $30.
Less Headache
Moreover, if the products are harder to afford, people demand more out of the products. Harder to afford doesn't mean higher priced. $30 has a different value to different people. You can easily satisfy people who feel "It's only $30." But you need way better products to satisfy people who feel $30 is too expensive. If buyers aren't satisfied, they will return your products for refunds. Even worse, they may return the products after making a copy to keep, or crack your server to download a free copy. Either way, less profit for you.
Also, Consider This
Creating products for the right audience is a very important factor, but don't ignore other aspects of profitable products.
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