Adopting The Right Business Mindset Is Very Profitable
We all have to take a look at what we are doing from time to time, to ensure that we are on the right track. Airplanes have very technical instruments that keep them on course. The way they work is by continually checking where it is, in relation to the flight path it set out to follow. We have to take a similar approach, and checking where we are at on a regular basis is the hallmark of a winning business strategy. If we neglect to look at where we are at along our path to success, we could fly off course.
Its Normal For Us All To Get Distracted. It is normal, especially now that we all have so many distractions in our lives, to be continually pulled off of course along our way. The people that are seeing the most success, are the ones that effectively manage these outside diversions, and keep their minds fixated on what has to be done and actually doing it. By taking specific actions and implementing several key business strategies, we can ensure that we do not get too far away from our designated course. This is the power of focus, and is absolutely critical if we want to achieve long term success in the online business world.
Why People Have The Wrong Mindset In The First Place
Internet marketing is particularly susceptible to going off course in general, and this is one of the primary reasons why less than 5% of the people who try it actually make any money online. The marketplace for building a business online is always changing – as new products, services, and strategies continue to be rolled out for the folks that are ready to give it a go. It seems like there is always a new idea, a new strategy or tactic right around the corner – and this is the real world epitome of the “shiny gold coin”.
Everybody wants that bright shiny object, and nearly everyone reaches for it. It is precisely this mindset that takes us away from what is working. It doesn’t matter if you are building mini sites, if you are selling 10,000 products on your eCommerce site, or if you are an online service provider.
Each and every one of us is doing some things that are working, and some things that are likely setting us back. The real recipe for disaster is if we are trying to do all 3 at the same time – where we are not focusing on one thing enough – and are failing at every strategy that we are half-heartedly putting our efforts into.
The right way to start getting on the right track is to think about what is working and what isn’t working. By initially taking this one step alone, we can start to focus on the path to real business success. By becoming an expert at doing this, we can leverage what we are already doing into more income and profits. It is important to limit the distractions as we do this, so turn off the email and the cell phone for a few hours – and just focus.
The Power Of Finding That One Thing
The initial step is about trying to determine what one thing is primarily driving our online business. Again, it does not matter what strategy we are employing as we do business online. What we are doing is identifying what key unit of measurement best describes how we make money. For some businesses, this is new leads or new customers. For other online businesses this might be the average sale per customer. This is really important to make sure we have clear in our minds, so we can focus our efforts on this one thing.
Sometimes It’s Best To Focus. This is because we want to figure out how to increase this source of energy for our business, and this will increase the resulting sales and profits from what we are already doing that is working. Most people overlook this fundamental part of business strategy which has the potential to multiply their success – with the least amount of effort. What is it that is responsible for 70% of your income?
What we are doing is looking for different ways to specifically enlarge what is driving the income of our online business. Maybe you need to look at your pricing strategy or maybe your offers and promotions are more important. If our key business driver is new leads, then we need to be focusing on tracking and expanding our lead generation efforts to increase our income.
Examples of Expanding The Business Driver
If you identified new leads as your primary business driver, then it makes sense to start researching ways to do this. The most important lead generation methods you may want to focus on with an online business include building a presence on Facebook, Twitter, and other social platforms. If you are not into it yet, you have to get into it now. Your competitors are there, and are driving a lot of new leads from this rich source of potential customers. If you are using ‘loss leader” products to bring leads in – are they cheap enough? Do you have enough products as loss leaders to bring in leads? Are you offering enough products overall? You may not be servicing the needs of the leads that are already there, but want to purchase higher ticket items.
If you identified pricing strategy as an area you need to focus on, you need to start out by doing a full analysis of your pricing model. Do you have a full assortment of price points for the products/services you are selling? Do you have items that are free – and all the way up to high ticket items covered? It is time to get serious about this – and can have an incredible impact on your overall earnings. By providing higher ticket items, you not only raise the perceived value of your lower ticket items, but you can also multiply your profits. It is truly amazing what even a tiny percentage increase in high ticket sales can do.
Sometimes We Have To Focus On Creativity. If you are building an online eCommerce business, you may need to focus on creativity. You could potentially create bundles of products and services which will drive the price points higher. You could offer something with your products as an incentive to spend more. You see a lot of eCommerce businesses offering valuable items for free – especially information products – to customers that spend $300 for example. You have a one time expense, and then you can include it as an incentive for the customer to purchase a specified amount or quantity of products. Your customers want to know about something – find out what this is by asking them – and then use this as “bait” to get them to spend.
Yes, I know that focus is boring. There really is no way around it, but the majority of people with businesses online have not accepted the fact that focus is the key to long term success. Just ask anyone you know that has their own business. They will tell you that they know how important it is to focus. Everyone knows it – but hardly anyone is actually doing it. They are not happy with the results they are getting in most cases, and allow themselves to be pulled in 10 different directions every day.
Making The Difficult Business Decisions
Unfortunately, when this happens, the things that they should be focusing on every day are getting neglected. I have been through this many times, and I am sure I will go through it again. I have had to abandon or avoid projects that I probably would have had more fun doing. I can remember a time when I had just started a membership site, and started getting a lot of people signing up.
When I sat down and forced myself to focus on what was driving 70& of my income, I wound up having to put the membership site on hold for about 9 months. I was really enjoying being involved in this project, but it was pulling me away from other core activities in my business that were generating a lot more income than the membership site could.
We Don’t Want to Be Spread Too Thin. It is just human nature that as we go through creative cycles, we tend to lose track of what is working the best for us. As we start getting into more and more projects, we wind up spreading ourselves too thin, and this is a recipe for disaster. It was a really difficult decision to make to walk away from a significant revenue stream, and to make matters worse, I was really enjoying what I was doing.
It was hard for me to deal with emotionally, as I already had a lot of people signed up for memberships already, and it felt like a personal let down to have to put that site on the back burner at the time. I decided that it was best to deal with reality head on, and what was right for my business overall was for me to make the tough decision and focus on the areas that had the most potential for income growth.
Dialing In Higher Income and Profits
To go one step further, look at the areas of your business that are generating the most profit. For some folks this is a product or product line that generates the highest amount of profit, and for others it may be services that are generating the most profit. What you want to do is identify the 25% of your business that is the most profitable. Instead of looking for other sources of income – we are focusing on what is driving our profits now, and figuring out ways to enlarge it.
Now that you have some good strategies for starting to focus, it is time to actually do it. Once you harness the power of focus, you will find that leveraging what you already have is a much faster way to make more income and profits.