Internet Business Mastery: Business Development and Internet Marketing for the Web 2.0 Age » Choosing a Niche

Your Internet Business Plan in 5 Easy Steps

Jay (Jason Van Orden) — Thu, 21 Jul 2011 21:42:20 +0000

Many people wonder if they need an internet business plan before starting a new venture? The answer is yes, but not like you would learn from a business school professor.

I’ve seen far too many new entrepreneurs spend weeks working on an internet business plan. It should only take you 2-3 hours tops. What’s important is that you start taking action FAST and get to your first paycheck quickly.

I thought it would be useful to share with you the same plan that I use when starting a new internet business. It’s simple. It’s fast. It’s proven.

All you need is the following five questions.

What do you want from your business?
Who is your target audience?
What channel will you use to communicate with your audience?
How will you get the attention of your audience?
What product or solution will you offer to your audience?

We also call this outline the Online Business Freedom Formula. Notice there’s no mention of executive summaries, legal structures, capital needs or any jargon best left in MBA school. Let’s take a look at answering each of these five questions.

What Do You Want from Your Business?

Your business needs to fit who you are and provide for the goals you have in life. Otherwise, your motivation will disappear over time. The last thing you want is to create another job. Your business should be fulfilling. Here are additional questions to help you with this section.

What are your strengths?
What activities fulfill you most?
What are you and aren’t you willing to do in your business (e.g. wear a tie, hire employees, etc.)?
What kind of lifestyle do you want your business to provide for?
Do you want to be the face of the business or do you prefer to remain in the background?
If you look forward three years, what needs to have happened in your business for you to feel happy?

If you know what you want first, your chances of success increase greatly.

When I started my business, I knew I needed it to be flexible enough to let me set my own hours, work from home and live wherever I wanted in the world. I also wanted to take advantage of my love (and talent) for teaching. Another important factor was to work with new technologies that would keep things exciting.

Teaching business skills to new entrepreneurs through the Internet allow for all of those things.

Who is Your Target Audience?

Most business plans will have you start out by describing your product. Sadly, this is a backwards approach. The surefire way to make money is to find a hungry crowd of potential buyers, find out what they want most and then sell it to them.

This is why you have to define your audience before you even consider what you’re going to sell. Here are some questions to guide you.

Who do you enjoy associating with most?
What kind of people often ask you for help?
Who do you like to serve?
Who do you do your best work with?
If you could change the lives of a specific group of people for the better, who would it be?
Do they have an urgent pain or an irrational passion? What is it?

For me, it was most fulfilling to work with people who felt stuck in their current employement (or self-employment) and wanted to find something that allowed for more freedom and fulfillment.

Essentially, I wanted to work with people that were in the same position I was in 2002 when I hated my job and was looking for a way out. Seeing the profound changes in the lives of those kinds of people is thrilling to me.

What Channel will You Use to Communicate with Your Audience?

Once you have chosen your audience, the key to making money is to build up a loyal following of those people. You need to develop a strong relationship of trust. The more you get to know their pains, passions and needs the better you can serve them. The better you serve them, the more money you will make.

In order to build a following and your relationship with them, you need a channel to communicate with regularly. The exciting thing about doing business on the internet is that easy-to-use, fun and inexpensive channels are everywhere.

What do I mean by a channel? Examples include blogs, Twitter, Facebook, podcast, e-mail list, YouTube, Facebook Ads, etc. With time you should use a combination of as many of them as you can. To start you should choose one or two.

We recommend starting an internet marketing site with a blog and building an e-mail list from the people that visit it.

How Will You Get the Attention of Your Audience?

Of course, to build an loyal following for your blog and e-mail list, you have to get the attention of your ideal audience. The easiest, most powerful and most inexpensive way to do this on the Internet is by consistently creating useful content that your target audience can’t live without.

This is easy to do by posting articles to your blog. By posting valuable articles regularly, you will show up in the search engines, get shared on social media sites, be referred by word-of-mouth and attract an audience of loyal readers. The first question is:

How often will you post?

This depends on your time, your audience and the type of content that you chose. A good rule of thumb is 2-3 times a week.

What should you post about?

The quickest way to gain the attention and trust of your target audience is to solve their most burning questions. Here is an easy formula for writing your first ten posts.

What are the top five things you get asked all the time by your audience?
What are five things you wish your audience would, but they don’t know to ask it?

The answers to those ten items make up your first ten blog posts.

What Product or Solution will You Offer to Your Audience?

Being an entrepreneur is one of the best things in the world. It’s almost like magic. You get to create new value where it didn’t exist before. This is where you make money. You get paid for the value that you create.

You do this by creating a solution (a course, e-book, video series, webinar, etc.) that solves the most pressing problem or fulfills the most important goal of your audience.

How do you know what it is? You ask them. Post the question to your blog. Send it out to your e-mail list. Ask them…

What are your two most pressing questions about ______ ?

You can also look to see what is already selling in the market. You don’t need to break new ground. In fact, it is easier not to. If something is already selling, that means that people want it and it’s profitable. Create your own version of what is hot in the market. Put your own spin on it.

Take Fast Massive Action

Once you complete the plan above (and remember it should only take 2-3 hours) you are ready to get started. Don’t stop to design a logo. Don’t worry about whether you have chosen the right audience. Don’t stall by thinking you need a more complex plan.

There is only one thing you need next…

Your first sale!

With this plan in hand, you are ready to take action.

Launch a site
Create consistent content
Attract a following
Ask them what they want
Make a sale

Get into the market and test the idea out. Make big things happen! Our Academy training walks you through this process step-by-step.

Have I missed anything? What suggestions or questions do you have about creating an internet business plan? Share in the comments below.

Thank you for subscribing to Internet Business Mastery feed. For instant access to your free audio gift and a risk-free trial of our proven step-by-step program for starting your own profitable internet business, please visit http://www.freeaudiogift.com.

How Would You Like To Be An Indy App Publisher?

Matt Campbell -Guest- — Fri, 22 Apr 2011 13:52:35 +0000

Indy App Publisher – That’s What Now?

Every software developer has worked on projects that are just plain dumb, have a terrible manager or are lacking in a hundred different ways. They know that they could do it better if they just could do X, Y or Z. Some programmers get so fed up that they just have to make the great leap and do their own thing. They become Indy App Publishers.

Successful indy app publishers know that they can make software better than the big guys. They believe that their code is better, they can respond to customers sooner and deliver an overall superior experience. They are very passionate about software.

If this sounds like you then read on to find out how to become an indy app publisher.

What Do You Need?

A great place to start is with iOS app development. iOS is used to make iPhone and iPad apps. It is simple to make stunning apps with the tools that Apple provides to it’s registered developers.

Here is some things that you will need to start developing apps:

Mac ($600-$2000)
Apple Developer Registration ($99 per year)
XCode (free)
Website and support email ($10 per month)
Objective-C, Cocoa-Touch and UIKit proficiency

I’m assuming that you yourself will be the developer which is generally how indy app publishers work. You may instead be working with someone who has the equipment and skills above.

As you can probably guess though when you are on your own as a indy app publisher you are not going to be just dealing with code. You will need to start thinking of what you do as a business (meaning you gotta pay the bills with this).

A Few More Things:

Design (apps need to look pretty to sell)
Marketing (code doesn’t sell itself)

Design is very important for iOS apps, I would recommend hiring someone to make your app’s icon graphic at least since this stands out on the App Store. I’ve used 99Designs to get some compelling iOS app icons (see my Tasting Notes app icon as an example). That design cost me about $600.

Marketing your app will prove to be a big challenge as well and this is something that is pretty hard to hire people for (except for any specific tasks you may dream up). Here you will need a mobile specific strategy. This stuff takes time and I would recommend learning a bit about marketing for apps.

The Great Cash Flow Question

Everyone hears the success stories like Angry Birds (1 million + $$$ in sales) and most of the apps that you see in the top charts are like this. Everyone wants to be there but hoping to get one of those top 25 spots in the app marketplace of 300,000+ apps is sort of like planning on winning the lottery.

So even though you want to shoot for the top you should know how much apps make on average to get an idea of how to plan for your business. Most of the estimates that I’ve seen indicate that apps will make about $5000 in the first year. Estimates are as low as $700 and as high as $10,000 for the first year of revenue for iOS apps.

My own figures substantiate these averages: my apps averaged $6,600 each for the first year. The second year would bring lower revenue which averaged around $2,000 or so.

Tasting Notes Revenue Case Study

Tasting Notes is my flagship app and it’s a good example of what I think of as a moderate success. Tasting Notes took two months to develop and it spent some time at the top of the Lifestyle category. Here is Tasting Notes’ revenue:

12/1/2008 – 3/1/2009	$4,565
3/2/2009 – 12/31/2009	$4,813
First Year Total	$9,378
2010	$3,747
Overall Total	$13,125

Most of Tasting Notes income was generated in the first three months and by 2010 this app leveled off with an average monthly revenue of $300 which it maintains today.

The Good

iOS apps are easy to make and you don’t need to worry about the details of selling apps since the App Store provides all the infrastructure. iOS is a great place to start because the barrier to entry is so low.

The Bad

If you look closely at my revenue figures you’ll realize that you will need to either make lots of apps to stay afloat or you will need to have a backend product to be profitable. Unless of course you become a breakout success!

The Ugly

Indy app publishing is not a get rich quick scheme – this is real business. However, for developers who find themselves yearning to reach a passionate, international audience iOS is the quickest and most fun way to become an indy app publisher.

—–

Matt Campbell has been an iOS app developer since the Apple App Store launched in 2008. These days he travels teaching iOS development to people all over the real world and the virtual world. Matt’s passionate about sharing the excitement of creating online businesses with beautiful software. You can find out more about Matt and how to make iPhone apps at http://howtomakeiphoneapps.com.

Choosing a New Niche | The Process in Action

Jay (Jason Van Orden) — Fri, 19 Sep 2008 18:17:46 +0000

Are you looking for a new niche? Are you having a hard time getting past this important step in the internet business launch process? Understandably, niche selection can be a daunting task…but it doesn’t need to be. We find that people put to much pressure on themselves when choosing their first niche.

We were excited this week when we saw on of our Academy members, Mark Mason, openly sharing his thoughts in the Mastermind Forums as he applies our niche brainstorming process. It’s a great example of letting the process just flow with the confidence that the right niche idea will manifest itself. We were even more excited when we saw the enthusiastic feedback and support he’s receiving from the other Mastermind Community members. Here’s what he wrote.

Bottom Line: I thought it might be neat to “think out loud” right here inside the Academy as I identify my next niche web business.
Goal: Define a new niche for Mark and launch a small site by 10/31/08
Status: Niche Brainstorming

Back Story: I have been having some success in the Internet Marketing and Make Money Online niches, but I really want to identify a new non-IM niche to work in. I am really jealous of the cool niches that rondavis, snoonan and others have identified. I want to align my interests, skills and Definite Major Purpose with a new niche. I don’t plan to get out of IM. Just looking to expand into something that interests me.

Edit — I am also really jealous of johnwtuggle since I really want to be a better guitar player.

Problem is, I have no idea right now what it would be.

So, I was thinking I could just have an open discussion right here in this thread for a couple of weeks and get some feedback as I move through the “niche identification” material from Sterling and Jay.

The first step in our ten-step process is to look at your own expertise, interests, hobbies, etc. Mark dove into this step and just started freely listing the ideas that came to him without editing himself or worrying about each one. The idea here is quantity. Just get the ideas out. Here’s his list.

Here is my brainstorming list of everything I can think of about myself. Ready….go!

I am a student of internet marketing.

I am an electrical engineer by training.

I am pretty good at math

I am a pretty good teacher

I am an accomplished public speaker (for an engineer)

I work in the semiconductor industry in the area of semiconductor lithography

I am married with kids (boys and girls) and I have been divorced

I have been trying to loose 25 pounds for 15 years (LOL)

I like music

I am a crummy guitar player and wish I was better.

I can sing (opinions vary)

I am a total and complete gadget junkie.

I love cell phones and computers.

I have rebuilt classic cars

I know several programming languages.

I have been to many different countries on business

I love Texas A&M University in general, especially the football program

I love my RIM BlackBerry

I am a student of personal finance (but not very disciplined)

I like books like $ Hour Work Week, Seven Habits, GTD, etc.

I am always struggling with time management and focus

I work hard

I know a ton of stuff about personal computers and computer software.

I love to help people.

I love the Dallas Cowboys

I love to read spy novels when I have time (seldom)

I have a long driving commute in Dallas

I live in and around Dallas

I have an internet marketing website

I have an internet marketing product

I like to cook when I have time (seldom)

I know how to repair most household things (plumbing, electrical, sprinklers, etc)

I like wine.

This is a fine list. Lots of good gems in there. I replied in the forum and told him the ones that stood out to me.

I am a total and complete gadget junkie.
I have rebuilt classic cars
I love my RIM BlackBerry
I know a ton of stuff about personal computers and computer software.
I live in and around Dallas
I know how to repair most household things (plumbing, electrical, sprinklers, etc)

Here are the main points I hope you glean from this.

Just put pen to paper and start writing all the ideas that come to mind
Don’t edit your ideas as you go. Get them all out. Quantity is key here.
It doesn’t have to be as tough as it may feel. We know it can seem daunting, but it is so easy to launch and prove ideas on the Internet that it is is always best to start NOW.
The Academy Mastermind Forums are an excellent place to find the support and ideas you need when you hit important steps like choosing your niche.
If you are a member and haven’t posted yet, we strongly recommend that you do so. The tone in the community is super helpful. Everyone is helping each other to reach the same goals.

If you’re not a member yet, then now would be a great time to join.

We look forward to seeing where Mark goes with his brainstorming process. He plans to document and share the whole thing with the Academy Mastermind Forums. Thanks, Mark, for being willing to put yourself out there and share your exdperience with the community!

Take Action

If you’re looking for a new niche, sit down with a pen and paper and spend 15 minutes listing as many ideas as you can. Think over your interests, epxertise and hobbies. Don’t edit anything out. If it comes to mind, write it down.

What Do You Think?

How do you brainstorm new niche ideas?
How do you capture these ideas (e.g. mind map, notebook, Google Doc, etc.)?
What is your biggest concern about brainstorming new niches?

Choosing Internet Cash Machines for 2008

Jay (Jason Van Orden) — Fri, 30 Nov 2007 23:07:00 +0000

Here’s the first ever video post on the Internet Business Mastery site. In this video I go over the process I used to brainstorm and evaluate internet cash machine ideas for 2008. I outline the criteria that I think are important to consider when narrowing down your ideas.

In the future we’ll post the occasional tip, trick or tutorial using video. If you like the video posts maybe we’ll create a special feed for subscribing to and downloading them. Enjoy!

IBM 15 | THE Best Thing to Sell Online Part 2

Jay (Jason Van Orden) — Wed, 26 Jul 2006 23:56:22 +0000

Download This Episode

On this episode of Internet Business Mastery we continue our discussion about information products and why they should be part of your Internet marketing and if not THE focus of your Internet business. We look at the pros and cons of digital and physical information products.

You can find a list of example information products here.

Also, Jay reveals the specifics of his new time management system that has greatly increased his productivity, helped him manage several Internet business projects and kept him focused on his priorities as an entrepreneur.

Here’s the time management software that Jay uses (Mac only)

Here’s a similar software for the PC

Finally, we talk about making decisions and taking action quickly as we share our stories of how we got into marketing information products on the Internet.

In the show we mention the first course/seminar that we both studied on Internet and information marketing:

Ron Legrand’s Information Marketing Boot Camp (click here to search of it on ebay)

It can be found for incredibly cheap and is packed with value. Last time we looked on ebay, the price was surprisingly low.

We’ve posted a new index of recommended Internet business resources. These are the products and
services that we use on a regular basis to build our own businesses.

IBM 14 | THE Best Thing to Sell Online

Jay (Jason Van Orden) — Tue, 11 Jul 2006 07:47:35 +0000

Download This Episode

In this episode we talk about the three main types of things you can sell online as well as their pros and cons. We reveal our favorite kind of product and why we focus our businesses on it.

We discuss the best thing a professional consultant or service provider can add to their business to boost revenue and get more client leads.

Also, Jay talks about his new time management system that is he’s using to increase productivity and avoid being to hard on himself about what he accomplishes each day.

IBM 5 | Establishing Your First Income Stream, Part 2

Jay (Jason Van Orden) — Tue, 29 Nov 2005 18:18:11 +0000

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Establishing Your First Income Stream:
From Concept To Creation, Part 2

Sterling and Jay’s Weekly Business Update
- Sterling’s New eBay TIP!

Jay’s new traffic generation TIP!
- OPT-IN Example
- YANK!

News
- Google Analytics
Featured Segment: Establishing your first Income Stream,
Part 2: Research Your Niche
- Sterling’s eBay Research Breakdown
  - Who is your REAL competition?
  - The two most important things to research before choosing a product price
  - The almighty BACKEND
- Jay’s Online Business Research Breakdown
  - Keyword Research
    - Wordtracker vs. AWESOME Free Service
    - Overture Tool
    - The KEI Fallacy

IBM 4 | Establishing Your First Income Stream, Part 1

Jay (Jason Van Orden) — Sun, 20 Nov 2005 05:33:52 +0000

Download audio file (IBM004.mp3)
Click here to download this episode.

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Establishing Your First Income Stream:
From Concept To Creation, Part 1

Sterling and Jay’s Weekly Business Update
- Jay’s Convention Suggestions
  - Make a Quick Business Shirt!
  - Fast Business Cards

Sterling’s eBay MEGA Fiasco
- GOOGLE ALERTS

Success Mindset: Niche and Grow Rich

Featured Segment:
Establishing your first Income Stream, Part 1: Choose the Correct Product!
- #1 – Pick YOUR top 10 Hobbies, interests, areas of expertise, things you are passionate about.
- #2 – Write your FAMILY and FRIEND’s top 10 Hobbies, interests, areas of expertise, things you are passionate about.
- #3 – Make the Short List – Cut the prior lists down to the best of the best top 3-5 ideas
- #4 – Quick Research on the Short List.
  - Solid Backend Possibilities
  - Ability to Automate
- Additional Mindset Tips you MUST hear