Digital Prosperity Blog

Diversify Your Income

Last week, many sites shut down for the day as part of the SOPA protest.

I’m not going to dwell on politics here, but instead the knock-on effect on businesses all over the world (including yours)…

Just lately, you will have seen that many marketers have shifted their business emphasis to only promoting “Warrior Special Offers” (WSOs) on the Warrior Forum.

And although my business doesn’t depend on promoting these, I have to admit I promote them more frequently than anything else – due to their immense high-quality content, value and high conversions.

But without promoting these WSOs, most online marketers would be completely paralyzed – and in the meantime, their income would hit rock-bottom.

And on January 18th, that’s exactly what happened.

To back the SOPA protest, the Warrior Forum blocked access to the entire forum – including the WSO section – to replace it with their views on the SOPA bill.

So hundreds of marketers were still sending their subscribers to “dead-end” pages about the SOPA protest, due to the Warrior Forum’s involvement.

For them, this meant…

No active WSOs = no sales = no income.

Because of this, if you’re currently subscribed to a lot of email newsletters, you’ll have noticed a huge reduction in the number of emails usually promoting WSOs.

And this isn’t the first time something like this has happened…

Earlier last year, Google AdWords decided to go on a rampage, banning AdWords accounts left, right and center.

Businesses which had solely depended on traffic from their Google AdWords campaigns were left like deer in headlights, facing the decision to scramble for any possible new traffic sources – or lose their business completely.

(And surely I don’t need to mention the super high risks of depending on one stream of income from your 9-5 job, right?)

… And this brings me to a VERY important business principle.

Always have multiple streams of income.

In other words, after you’ve made money using one method, create other income streams (at the same time) with different methods.

Because of my decision to follow this important principle a long time ago, I didn’t lose ANY money due to the SOPA protests.

(In fact, I actually made more than I usually do, because there was less competition!)

For example -

If your business currently makes money from promoting WSOs, and that’s your only income stream – diversify your income by promoting Clickbank products, too!

This means that when the Warrior Forum is acting weird (or has a “database error”, as it often does), you’ll still have a stream of income you can depend on to pay your bills and provide for your family with.

Or you could even take it to another extreme…

If your business currently makes money from affiliate marketing, create your own continuity-based products to provide an almost-guaranteed regular stream of income.

This way, if your autoresponder account is banned by AWeber (as I’ve saw happen to less reputable marketers recently), you still have a “back up” stream of income from your own products to keep your head above water.

And taking it to the most extreme…

If you currently depend on your income from one business, you could even create another different business entirely to provide another stream of income.

For example – if you’re currently in the information marketing industry (as we are), create another business venture in real estate to provide equity to fall back on, if your original business fails (for whatever reason).

… Personally, I’ve done all three of the above methods – and I feel more stable than ever.

How about you?

Don’t put all your eggs in one basket – instead, create multiple streams of income in your business, as it’ll lower your risk of failure.

Talk soon!
- James Francis.

P.S. Do you have multiple streams of income? If not, why? Leave a comment below! 🙂

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