My Million Dollar Membership Site Journey- Part 1: The Business Model

I set a goal top build a million dollar business. The other supporting goal was that it had to be a business that was rooted in a business system and a model. Something that could ultimately be bought and sold as an entity.

I decided on using a “Membership” model – or subscription model. If that makes you think of a cross between a magazine and a health or country club, you would be close to what I have in mind. If my current business model is a basic trade of time for money, a membership business model is a trade of information, content and value for money.

The internet and various social media tools out there have made membership business models much more accessible to the small business owner.

In a previous post, I talked about some signs that you might be in a business or market that is ideal for a membership site model. For example, if you are targeting an audience that is passionate about a specific topic such as crafting or planting tulips – and you’re an expert in that field; you may just have yourself a profitable membership site model.

Here is what made me decide on a membership/subscription model:

• I’m passionate about marketing strategy
• I’m good at building and developing marketing systems
• Every small business owner I know wants to get and keep loyal profitable customers – effortlessly
• No one really has the money to hire a 6-figure marketing person
• Many small businesses need the expertise of a 6-figure marketing person – for a few months, not a few years.
• There are a lot of lonely marketing people out there (just ask The Lonely Marketer)
• There are a lot of people in marketing positions – who aren’t “trained” in marketing and are doing the best they can with what they’ve got.
• Marketing Sherpa and Marketing Profs have HUGE communities with lots of information – but limited “human” interaction in putting it to use.

Here’s what I’m thinking I can offer (although this is changing and growing by the day)

• Practical how-to classes or tutorials on what to do – every day – as a marketing person responsible for getting and keeping customers.
• Access to subject matter experts
• Top picks for products and tools that marketers can use and how to actually use them

Don’t Kid Yourself – The Money Potential is There – But You Will Work For It

I’m learning that the possibilities are absolutely endless. Every day, I have new ideas and see more opportunity. When I run the numbers, the revenue potential is unbelievable, but the challenge is in developing quality content – and that’s a lot of work.

So, if you’re considering a membership model here is my advice so far:

1. Pick a revenue goal
2. Pick a market niche – the smaller, the better. If you have more than one – that’s terrific. It doesn’t have to be just one. Just make sure that it’s substantial enough. You can’t have a million dollar membership site with 5 members. This is one time where you WANT lots of competition in the general category.
3. What’s YOUR area of expertise? What can you offer that the other resources can’t or don’t? You don’t want to compete – you want to complement.

Really give yourself the time to stew on this and give yourself the permission to change your mind and your perspective. Nothing is cast in stone and you will absolutely change your mind at least a couple times. So don’t rush it.

Next time – we’ll talk about choosing software.

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