Podcast Summary
Starting businesses during economic downturns: Despite economic challenges, entrepreneurs can seize opportunities and start successful businesses. Historical data shows that recessions have led to the creation of many great companies and wealthy individuals.
Even during challenging economic times like the coronavirus pandemic, there are opportunities for entrepreneurs to start and grow successful businesses. Alex Smell, a digital marketer with 15 years of experience, shared his story of starting two new businesses during the pandemic, one an online training platform and the other a drive-through supermarket. He emphasized that economic downturns and recessions have historically seen the creation of more great companies and millionaires than any other time. Alex's businesses are currently generating £40,000 a month, but he believes they have the potential to reach £100,000 a month. He encouraged entrepreneurs to stay optimistic and view this time as an opportunity to shine.
Staying positive and capitalizing on opportunities during the pandemic: Despite challenges, identify skills, pivot online, and take action to build a profitable business
Even during challenging times, there's always opportunity for growth and success. The speaker shares his experience of having a business idea during the pandemic and building a profitable digital business within three weeks. He emphasizes the importance of staying positive and focusing on the opportunities instead of the small problems. The business, which teaches people how to pivot their businesses online, has been successful with high ticket sales and a growing team. The speaker encourages everyone to identify their skills and knowledge and capitalize on the changing needs of the market. He also mentions that he had been considering starting this business before the pandemic but needed the push to actually do it. Overall, the takeaway is to stay resilient, focus on opportunities, and take action on your ideas.
Salsa Teacher Thrives Amid Pandemic with Diverse Businesses and Marketing Expertise: A salsa teacher successfully navigated the pandemic by diversifying his business and leveraging marketing expertise, particularly Facebook ads and YouTube.
Devon Waller, a salsa teacher, has built a successful business during the coronavirus pandemic through various ventures, including teaching dance classes in person and online, affiliate marketing, photography coaching, and a virtual reality business for people with dementia. His expertise in digital marketing, particularly Facebook ads and YouTube, has been a significant factor in his success. Waller has spent a substantial amount of money on Facebook ads throughout his business lifetime, with a goal for a substantial return on investment. However, he found running a marketing agency to be high stress and not fulfilling, leading him to focus on helping others live their best lives and become more successful. While he does teach marketing to some extent, he finds it more rewarding to niche down and focus on other areas that align with his personality and goals.
Unlimited potential revenue in digital economy: Digital products offer unlimited potential revenue with no additional cost, but require careful planning, testing, and measurement to succeed.
The digital economy offers opportunities for exponential returns on investment, unlike the traditional economy where time and money are directly linked. With digital products, there's no additional cost to sell more units, allowing for unlimited potential revenue. This is particularly true in digital marketing where successful campaigns can be easily replicated and scaled to new markets. However, it's important to note that achieving these returns requires careful planning, testing, and measurement to avoid wasting resources. Starting out, one may feel like they're pouring water into a rusty bucket with holes, but with a clear focus on brand communication, landing pages, copywriting, and audience understanding, the ball (money) can eventually float to the surface.
Identifying the right market and optimizing costs: Start with a small investment to gather initial data, optimize costs per click and per lead, and gradually increase investment as basics are in order.
When it comes to digital marketing, it's essential to address the foundational issues before diving in. These foundational issues could include identifying the right market and optimizing costs per click and per lead. A good starting point is to invest a small amount of money, like £5 a day, to gather initial data. If the cost per click is high, it may indicate that the message or audience is not right. Once the basics are in order, businesses can gradually increase their investment and focus on improving customer value and transactional value. For businesses with lower average order values, such as leisure attractions, the high desirability and easily understood value proposition can make marketing efforts worthwhile. However, it's crucial to understand the unique challenges and nuances of different industries.
Sell low-cost front-end products and high-ticket back-end offerings: To increase profits from a digital membership site, offer free content to attract a large audience, then sell high-ticket items like group coaching or live events as back-end products.
Creating a low-cost, digital membership site as a front-end product can be effective for attracting a large audience, but it may not be profitable right away due to high advertising costs. To increase profits, consider adding high-ticket offerings, such as group coaching or live events, as back-end products. This strategy can help recoup costs and generate significant revenue over time. Disney's business model, which focuses on providing free content to attract customers and then selling additional products and services, can serve as inspiration for this approach.
Offer high-value programs for online business success: To build a successful online business, offer free training, short intensive programs, and ongoing support. Identify audience needs, provide solutions, and focus on value to create revenue.
To build a successful online business, you need to offer high-value programs that address your audience's pain points and desires. The speaker suggests a three-step approach: first, offer a free training or valuable resource to build trust and establish your expertise; second, provide a short, intensive program with personalized coaching or group calls for quick results; and third, offer ongoing support through a membership or mastermind group for long-term growth. To create a successful program, think about the value you can offer at each stage, from identifying their needs and pain points to providing solutions and ongoing support. Use a webinar or other free resource to build trust and establish your expertise, then offer a high-ticket program with personalized coaching or group calls for quick results. Finally, provide ongoing support through a membership or mastermind group for long-term growth. When creating your program, focus on providing value and solving your audience's pain points. Use a dentist analogy to understand the value of your offer – if you're the only one who can solve a problem, people will pay whatever it takes. By following this approach, you can create a successful online business that provides value to your audience and generates revenue for you.
Introducing high ticket offers with focus and clear results: Keep learning process bite-sized, invest in digital advertising, and adapt to the digital economy to remain competitive
When introducing a high ticket offer, it's essential to keep the learning process bite-sized and focused on clear, tangible results. Over-teaching can be detrimental, as it may prevent students from reaching their goals due to information overload. Additionally, the current economic climate offers relatively cheap marketing opportunities, making it an optimal time to invest in online advertising and grow your customer base. Traditional businesses that fail to adapt to the digital economy risk falling behind their competitors. Examples like Toys R Us and Blockbuster illustrate the importance of embracing digital channels to remain competitive in today's market.
Shift to digital commerce in the UK: Businesses, especially brick-and-mortar ones, should adapt to the digital economy by establishing an online presence to reach a larger audience, build trust, and grow. The UK's lead in online retail shows the trend's permanence, making it essential for businesses to stay competitive.
Traditional brick-and-mortar businesses should leverage the digital economy by establishing an online presence to reach a larger customer base and build trust. The UK, being a world leader in online retail, demonstrates the shift towards digital commerce. Even well-established local businesses can benefit from this trend and avoid becoming obsolete. The internet offers vast opportunities for growth, and competition should not deter entrepreneurs from entering the market. The world has changed, and the shift towards remote work and online shopping is likely to be permanent. While some may miss the in-store experience, the convenience and accessibility of online shopping have become increasingly appealing, especially during times of uncertainty. Overall, embracing the digital economy is essential for businesses to thrive in today's world.
Embracing inconvenience and fear: Despite challenges, keep moving forward and embrace fear to seize opportunities. Reach out for advice and support when needed.
Even during the toughest times, things may not be as bad as they seem and it's important to keep moving forward. The speaker shares his personal experience of being homeless twice and how he learned to embrace the inconvenience and fear, rather than letting it overwhelm him. He encourages listeners to face their fears and seize opportunities, rather than waiting for external help or circumstances to improve. The speaker also invites listeners to reach out to him for advice and support. Overall, the message is one of resilience, optimism, and the importance of taking action despite challenges.
