Mon 31 Oct 2011

Incentive Reward Program as Business Opportunity?

Posted by patsy under Business Opportunity, Evaluate a Business Opportunity, Home Based Business, Marketing Funnel
[29] Comments

Have you ever considered the incentive reward program you are participating in as a possible business opportunity?

My key chain and purse pockets are flush with “consumer loyalty” incentive reward cards that offer discounts and deals from all kinds of places — Costco, Fred Meyer, Safeway, Albertson, Walgreen, Pet Smart,  book stores, department stores, airlines, pharmacies and gas stations.  But before I sign up for yet another shopping pass, I always consider how much I’ll use it.

In this time of high food and fuel prices, debt burdens, declining home values and stagnant income, we consumers are looking for bargains.   If  I can save a few bucks on cosmetics at Costco or get a second box of macaroni at Fred Meyer for half price by simply swiping a card, it’s hard to justify resistance.

A company called Chockstone has even developed a technology called SingleSwipe to make rewards programs more convenient by linking them all up to one credit card, thus avoiding the need for dozens of plastic doodads. Firms such as Chockstone collect, store and analyze all the details on what, when and where you buy.   Such information allows companies to gain a competitive edge by identifying items you might want to buy.

Using the rewards program can save tens or hundreds of dollars on a single transaction.

Today in 2011 the Business Opportunity is Available

Last year, in 2010,  comes a company whose founders launched Seyforth Labs  35 years ago.  The lab created, manufactured and shipped nutritional products, attracted an independent distributor base from the US and a number of other countries and sold 160 Million dollars worth of product in 2 1/2 years.

To say they were successful in this venture is an understatement.  One of the distributors who increased his net worth considerably during the 2 1/2 years went on to found Herbal Life.   Seyforth Labs  manufactured his product.

Incentive Reward Program As Passive Income

In  2010, Mark Seyforth had an epiphany – he describes his vision of a company producing high quality nutritional products,  attracting people interested in a membership based on the “incentive reward”  to compensate themselves.  In his vision he saw members gradually, over a 12 to 24 month period receiving increasing passive income  from the monthly purchase of the product at $60 per and recruiting one person each month to duplicate and leverage their efforts.

Mark calculated the ultimate reward  could be as much as several million dollars a year.  Significant passive income certainly from a small monthly outlay – $60.

Not a Marketer? Willing to Learn?

The best part for Mark Seyforth is this: members who are not marketers, but could be motivated to learn would receive compensation checks immediately upon becoming a member and then watch their compensation checks grow to seven figures in a very short period of time – within 24 months utilizing leverage from recruiting a team of like-minded individuals.

In the past year, the incentive reward program business opportunity has attracted well under 50,000 people.  I’ve seen programs grow to 50k in just a few months.

Here’s why – the savvy marketers don’t want to wait for compensation.   There is no front-loading option in this program.  Everyone does the same.

Register as a preferred customer (PC)then offer your one Green Ticket each month around the first or 15th – depending which time of the month you got started.  For a hot marketer, that’s real slow progress.

Of course, you do have the option of selling the Gold Rush tickets from the 24th of the month till the 30th.  The Gold Rush opens for you only after your one Green Ticket is sold and it may not last the full 6 days.  If all the green tickets still available within the entire company are sold during the Gold Rush on the 24th and 25th, then the Gold Rush doors close and you might have eleven people that said yes to getting started that will now have to wait until your green ticket is available again or Gold Rush opens again the next month.

That happened to me last month.  I had spoken to several people on the phone and told them the Gold Rush would open on the 24th and to register that day – and they didn’t.  And they were left out until the next month.

If you are a marketer you know this is frustrating – people can always buy, right?  Not here – there is a built in, iron-clad urgency operating here and if you don’t do as recommended, you’ll lose the opportunity.

Take a Look – Get on My Waiting List

Personally, I love it – the company also provides an online marketing funnel that really works.  It shows your prospects the details of the business opportunity through videos, explains several strategies for building the monthly paycheck quickly and then invites them to excellent company provided webinars.  The cost for this marketing funnel is $20 monthly.

If you happen to click any of the links leading to my marketing funnel, go ahead and click the icon below the first video and get on my “waiting list.”  This way, you can be the first to get my Green Ticket next month.

I help my team to build as well.  I can always find a green ticket from one of my team mates.  I like this program because you can recruit 3 or 6 front line and then build deep from there down 12 levels.

Tags: , ,

 

Tue 8 Feb 2011

Grow a Business Opportunity to 7 Figures With a Team

Posted by patsy under Business Opportunity, Find Legitimate Business Opportunity
[38] Comments

Welcome to 7 Figure Team. com.  You might wonder about the name?  7 Figure Team compare the financial potential of an inexpensive business opportunity that leverages a team of people just like you with similar financial goals to other business models more expensive to start up.

A business opportunity comes in many forms and a variety of models; from self employment based on your own skills that you start-up to becoming a representative of a company and building a downline organization that enhances your compensation.

A business opportunity can be inexpensive to expensive to start up. They can be paid for and profitable in less than a year or they can incur long term debt. A short list of business models offering opportunities today are:

  • MLM
  • Network Marketing
  • Franchise Ownership
  • Direct Sales
  • Affiliate Marketing
  • Internet Marketing
  • Landscape & Lawn Maintenance
  • Plumber
  • HVAC Technician
  • Electrician
  • Dentist
  • Chiropractor
  • Massage Therapist
  • Hair Salon
  • Restaurant
  • Espresso Kiosk
  • Doctor
  • Lawyer
  • Accountant

In network marketing, mlm, direct sales, the business opportunity is inexpensive and includes recruiting. Recruiting like-minded people to work with you gives your business leverage unlike any other business. The books written by Robert Kiyosaki or training products authored by Tim Sales explain this explicitly.

A popular business model is franchise ownership.  A reputable franchise company will likely be a member of the National Franchise Association so, if this is your interest use them to aid your search.

A company like McDonalds puts a business package together for interested parties that includes finding your location most likely to be profitable, building it for you and then training you for a specified time. For all of this, you pay a franchise fee – you share your bottom line with the company as long as you are in business with them.

Most franchise business opportunities are retail businesses. You’ll need employees. Employees give you some leverage. They multiply your time. They fill the gap for you in physical representation. But, indeed, an employee is an expense to your business bottom line. They can also be a drain on your energy. After all, you will be managing another person or persons.

In a franchise, it can happen that your employees will get paid, and you will not, until the business becomes profitable enough to pay its bills and you. In the early years of franchise ownership, there may not be any profit. What is an average profit from a franchise? Many franchise owners pay upwards to a million dollars for their business and only get paid maybe $80,000 a year. They essentially buy a job, carry the debt and work very hard to fulfill their obligation.

If you become self-employed as in main stream brick and mortar models, such as found in the above list, you cannot get leverage without employees or unless you decide to franchise your unique business model.   It’s definitely been done.  You can get a free consultation from the volunteers at the Small Business Association.

A friend of mine owned a small hair salon. She was business minded as well as talented with hair and always attended business seminars and hired coaches to help her reach income goals. Out of this came a franchise of salons that are still operating today. She created a unique blend of services, trained the staff and offered training to her franchise owners then reaped the financial rewards through the leverage she built in her business.

The least expensive business opportunity with the highest reward, such as MLM, network marketing or direct sales will give you true leverage. Your initial outlay is small, and you can pay for marketing as you go. Once the business becomes profitable, you can expand your marketing and recruit serious, like-minded people to work with you.  You can check the reputation of these companies  at Direct Selling Association or the MLMIA

When looking for a business opportunity, check these elements and conduct research on your own; if it excites you as you explore the options and you can see yourself building it, run with it.

  • A need: Product or service needed by a large number of people
  • The means to fulfill the need: System of marketing, selling and training new recruits (preferably automated)
  • A method to apply the means to fulfill the need : Drop ship product or web based intellectual programs
  • A method to benefit: Compensation plan that you can easily explain to another person. (Good ratio of profit to sales and residual income)

With anyone of the elements missing, a business opportunity may be developed by finding the missing element. The more unique the combination of the elements, the more unique the business opportunity. The more control an institution (or individual) has over the elements, the better they are positioned to exploit the opportunity and become a niche market leader.

Tags: , , , ,

 

Wed 9 Feb 2011

Business Opportunity: How to find a legitimate business

Posted by patsy under Business Opportunity, Find Legitimate Business Opportunity
[77] Comments

Looking for a business opportunity can be daunting. I’ll attempt to make it a little easier for you with the following guideline designed for the MLM, Direct Sales or Network Marketing business model.

Find and Use Their Contact information

A legitimate home business opportunity will disclose its physical address, support email and telephone number and possibly a live chat service on their home page.

Don’t hesitate to call them. Tell them you are interested in their online money making system and ask for a preview of their product, marketing system and that you would like to meet successful business operators.

Read The Disclaimer Carefully

Take time to review the “Disclaimer” of any online money making system. Compare it with the sales page. Is there anything that looks suspicious? Is the sales page declaring money back guarantee and then denying in the Disclaimer?

A legitimate business opportunity will spell it out in their disclaimer and you shouldn’t see claims on their sales page that are different. Most disclaimers state that success depends on the individual effort and that is true – without you in the mix, nothing will happen.

Demand Contacts of Other Business Operators

A legitimate business opportunity generally has testimonials on their sales page. Contact the company and ask to meet 3 to 5 business operators. Contact them with email, phone even in person if they live in your locale. Attend a company event if possible. You can meet as many other business operators as you wish.

Understand the Selling and Marketing System

Be clear about the work process needed to become successful with the company system. In general the advertisement you read goes like this:

“No experience required, No special training needed. Money will generate on auto pilot.”

Well they are giving you half of the story; it is true that money could be generated on autopilot using the internet. But usually, not at first. There could be several months to get the automated marketing system working. There may be additional expense to use the marketing system and you want to understand it well enough to begin immediately. How much of your time is required daily to work your business?. A legitimate company will not object to demonstrating everything you need to know to get started.

Check Track Record of Product Launches

Legitimate companies have a proven track record for their products. They may launch new products using their proven track records as a launching pad. They don’t hesitate to disclose their proven track record proudly to a potential customer.

Check for Customer Support and Support Forums

A legitimate business opportunity company will have a dynamic and readily available customer service. Most of them even have support forums run privately by its franchise. Check availability of both. In my eyes, a private forum increases legitimacy.

Search Online Forums

Go to Google and put in the industry or company name key word plus forum and find out what others are saying about the company you are interested in. For example: I really like to check things out on the Warrior Forum. It’s membership is huge, it’s international and you can easily search any business opportunity or affiliate marketing product there.

Tags: ,

 

Wed 9 Feb 2011

How to Evaluate a Business Opportunity

Posted by patsy under Business Opportunity, Evaluate a Business Opportunity, Find Legitimate Business Opportunity
[14] Comments

In analyzing your business opportunity idea you must be able to pass it through a test to determine if it is a truly are valid opportunity. All of your ideas must have a demonstrated need, ready market, and ability to provide a solid return on investment.

Is the idea feasible in the marketplace? Is there demand? Can it be done? Are you able to pull together the persons and resources to pull it off before the window of opportunity closes? These questions must be considered and answered.

Opportunity-focused entrepreneurs start with the customer and the market in mind. They analyze the market to determine industry issues, market structure, market size, growth rate, market capacity, attainable market share, cost structure, the core economics, exit strategy issues, time to breakeven, opportunity costs, and barriers to entry. Below are two models that entrepreneurs use to evaluate their business ideas and plans.

Fourteen Questions to Ask Every Time

To evaluate opportunities, entrepreneurs ask the following questions:

  1. What is the need you fill or problem you solve? (Value Proposition)
  2. Who are you selling to? (Target Market)
  3. How would you make money? (Revenue Model)
  4. How will you differentiate your company from what is already out there? (Unique selling proposition)
  5. What are the barriers to entry?
  6. How many competitors do you have and of what quality are they? (Competitive Analysis)
  7. How big is your market in dollars? (Market Size)
  8. How fast is the market growing or shrinking? (Market Growth)
  9. What percent of the market do you believe you could gain? (Market Share)
  10. What type of company would this be? (Lifestyle or High Potential, Sole Proprietorship or Corporation)
  11. How much would it cost to get started? (Start-up Costs)
  12. Do you plan to use debt capital or raise investment? If so, how much and what type? (Investment needs)
  13. Do you plan to sell your company or go public (list the company on the stock markets) one day? (Exit Strategy)
  14. If you take on investment, how much money do you think your investors will get back in return? (Return on Investment)

Let’s take the above fourteen questions and term them into an easy model that you can use to evaluate your business ideas you come up with. This is called the RAMP model.


The RAMP Model

Let’s start with the first letter, R, which stands for Return. Return really is return on investment.

  • R     Discuss Exit Strategy (acquisition or IPO)
  • R     Is it profitable? Will your revenues be higher than your expenses?
  • R     Time to breakeven (how long before cash flow positive? How long until the company begins to have an aggregate net income)
  • R     Investment Needed. How much money will it take to start-up this venture. Will it be $20,000, $200,000, or $2,000,000?

Now let’s look at A. A stands for advantages.

  • A     Look at cost structure (suppliers, what each element will cost to source or manufacture)
  • A     Barriers to entry (large competitors, regulations, patents, large capital requirements. If there are many barriers to entry, it will be difficult to enter a market. The higher the barriers to entry, the more disadvantaged you will be.
  • A     Intellectual Property. Do you have a proprietary advantage such as a patents or exclusive licenses on what you will be selling.
  • A     Distribution Channel. How will you be selling your product? Will you sell it direct to the consumer via the Internet, sell it to wholesales, sell it to businesses, or sell it to retail stores. If can develop a unique distribution channel this can surely be an advantage.
    Now let’s look at M. M stands for Market.

  • M     The Need. Is there a big need for this product or service. Try to avoid ideas that sound cool but there is no real need for. Make sure your product or service fills and need or solves a problem.
  • M     Target market (who are you selling to? businesses? consumers? what demographics?)
  • M     Analyze target market (who are you selling to? businesses? consumers? what demographics?)
  • M     Pricing (what you they charge, what will be the price, will there be a high enough markup).
  • M     Analyze market size

Finally let’s look at P. P stands for potential.

  • P     Risk vs. Reward. How risky is the opportunity? If it is very risky, it there a chance for the business to do very well. Will there be a high reward for the founders and investors if the company succeeds?
  • P     The Team. Is the team right for the business. Do you have knowledge in this area.
  • P     Timing. Is the market ready for your product. You may have a great idea for flying cars, but if consumers are not ready for your product you may not be able to turn your idea into a successful business.
  • P     Goal Fit. Does the business concept fit the goals of the team to create a high potential or lifestyle business?

By using the RAMP model and the fourteen questions above you should be able to do a thorough job analyzing your business opportunity idea.

Ryan P. Allis, 20, is the author of Zero to One Million, a guide to building a company to $1 million in sales, and the founder of zeromillion.com. Ryan is also the CEO of Broadwick Corp., a provider of the permission-based email marketing software and CEO of Virante, Inc., a web marketing and search engine optimization firm. Ryan is an economics major at the University of North Carolina at Chapel Hill, where he is a Blanchard Scholar.

Tags: , ,