Verifying Business Model? Would You Sign Up Today and PAY?

9 replies
I have a business idea / model where I am going to launch a video tutorial website. The business is very comparable to websites like guitartricks.com or any website that teaches one on one video lessons on how to succeed at something and master it. I have a niche business that I have been doing for 10 years now making $80,000 a year. I am wanting to launch this business teaching others about how they can make money in the same business I have been doing with real information for people wanting to work hard and provide a better living for their family. My questions is how much to charge? and Would you buy this program if you were looking for a way to make money and start your own business. I have come up with several different scenarios but am leaning towards an upfront fee to access this information for life that will constantly be updated. How much is the appropriate amount to charge for this service? Would you purchase this? Some little facts about the business are, yes i make $80,000 but in the first year I would say you are likely to generate $35,000 to $45,000.

Other Facts
* I will provide the basics on how to run a business
* I will show you how to get your first customer
* I will show me in the real world doing this business
* I will show proof of the money I make doing this with bank statements and other verified sources
* I will share all the trade secrets I have learned through the years to make this successful.
* Basically this is a how to guide to leave your job and become your own boss and make $80,000 a year.
#business #model #pay #sign #today #verifying
  • Profile picture of the author Mark Tandan
    If you're able to tell people that with your system they'll be able to generate 35 to 45K per year, you can charge a boat load.
    However, to optimize your sales, I would suggest a tiered pricing system. Because I have to assume to buy the 'full boat' package would be a barrier to entry to some.
    To that end, possibly consider 3 packages:
    * Bronze - access to all the videos and updates
    * Silver - bronze plus (set # of emails and skype calls with you to get rolling)
    * Gold - bronze plus weekly (within reason) access to you for coaching and guidance, plus lifetime updates

    That strategy can be very effective because it'll also really help you identify your market. Depending on where the most people sign up, you'll know where to concentrate your efforts.
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    • Profile picture of the author directimports3
      I have not thought about any details as of yet for pricing structure but I was thinking around $500 to $1000 area. I know this sound like an astronomical number but in reality its very realistic considering risk for reward. A payment of $1000 can reward you $40,000 in sales your first year.
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  • Originally Posted by directimports3 View Post

    I have a niche business that I have been doing for 10 years now making $80,000 a year. I am wanting to launch this business teaching others about how they can make money in the same business I have been doing....
    The challenge that comes with teaching people how to run a "real" business, while charging a monthly fee for it, is that a large percentage of opportunity seekers will unsubscribe once they find out that making even as little as $30,000 a year requires an investment of serious brainspace, time, commitment and a significant amount of additional funds in order to make their business profitable and sustain it for the long term.

    This is why these one time $37 "do nothing and make millions while you sleep" push button scams sold so well a while back, and why $5 WSO's containing just one tactic still sell so well. Most people don't want to face the reality of what it really takes to setup and run a real business venture, but would rather be sold on a dream for a one time low fee.

    Unless you can promise folks that the monthly investment in your membership is all they will need to spend, most will not stick around after the first month or two. Thus you are better off charging a one time fee, in exchange for access to a product such as an eBook or course that teaches your business formula.
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    • Profile picture of the author Frank Donovan
      If you've been running a successful business for 10 years, you'll have a network of contacts, suppliers, marketing channels etc. All this in addition to your own concrete experience.

      Without knowing the exact nature of your business, I'd suggest you consider setting up a franchise operation. You could charge a one-off setting-up fee, and an ongoing support subscription as you see fit.

      How-to guides aren't the only way of monetizing your experience.


      Frank
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      • Profile picture of the author directimports3
        Originally Posted by Frank Donovan View Post

        If you've been running a successful business for 10 years, you'll have a network of contacts, suppliers, marketing channels etc. All this in addition to your own concrete experience.

        Without knowing the exact nature of your business, I'd suggest you consider setting up a franchise operation. You could charge a one-off setting-up fee, and an ongoing support subscription as you see fit.

        How-to guides aren't the only way of monetizing your experience.


        Frank
        I have thought about training and franchise but I dont want this to be a business to block down my whole human existence where it sucks up all my time. I would like to create this valuable information and put the hard work in for 3 to 5 years and let the people make a decision from testimonials of past customers having success.
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  • Profile picture of the author Claire Koch
    is this a online or offline biz as that will be a critical price point difference as well
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    • Profile picture of the author directimports3
      Originally Posted by Claire Koch View Post

      is this a online or offline biz as that will be a critical price point difference as well
      This is an offline business. The $37 wonder is exactly what i want to avoid. I want to be real and give real information that counts and you can put into use. I really think an ebook is a great way to start building my list of people that are interested but it is going to be hard to make any type of real revenue from a single E book. I would figure that a real approach, no frills, just basic fundamentals would work with this approach.
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  • Profile picture of the author Greg guitar
    You are asking people to guess what you should charge with no research, no knowledge of the product or how good a teacher you are, and no idea what the vertical is. Our guesses have zero value as guidance to you.

    I do however, agree that you should at least consider a tiered pricing structure, which would allow more and more access to you as the price goes higher.

    I know it is common in selling courses to call videos "one on one" teaching, as it is common to call a report broken up into a number of emails "personal coaching", but please don't do it; it simply isn't any more honest than calling a public bus "personal limo service". "One on one" means what it says: you are live, teaching one person directly, who can ask question, and gets the teaching tailored specifically for them, not that 200 or 10k people are able to watch your video and pretend you're only talking to them.

    Save the terms "one on one" and "coaching" for your highest priced offers which are high priced because those things are actually true; meaning you are actually required to teach "one on one" rather than just saying the words.

    That is why it has high value, and why the terms are misused constantly by marketers to falsely pump up the value of their offers, and the misuse means you have to really be explicit when you actually sell the real deal, so people won't mistake you for one of the dishonest marketers who call a video made for as many viewers as possible, a "one on one" lesson.
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    • Profile picture of the author directimports3
      Originally Posted by Greg guitar View Post

      You are asking people to guess what you should charge with no research, no knowledge of the product or how good a teacher you are, and no idea what the vertical is. Our guesses have zero value as guidance to you.

      I do however, agree that you should at least consider a tiered pricing structure, which would allow more and more access to you as the price goes higher.

      I know it is common in selling courses to call videos "one on one" teaching, as it is common to call a report broken up into a number of emails "personal coaching", but please don't do it; it simply isn't any more honest than calling a public bus "personal limo service". "One on one" means what it says: you are live, teaching one person directly, who can ask question, and gets the teaching tailored specifically for them, not that 200 or 10k people are able to watch your video and pretend you're only talking to them.

      Save the terms "one on one" and "coaching" for your highest priced offers which are high priced because those things are actually true; meaning you are actually required to teach "one on one" rather than just saying the words.

      That is why it has high value, and why the terms are misused constantly by marketers to falsely pump up the value of their offers, and the misuse means you have to really be explicit when you actually sell the real deal, so people won't mistake you for one of the dishonest marketers who call a video made for as many viewers as possible, a "one on one" lesson.
      Thanks for you opinion. You have brought up some great points. I have not released my idea not because I wanted to keep you in suspense but because I want to protect the business from being competitive. I am not asking based on what the verticals are like type of business / how I am as a teacher/ and product knowledge I am asking based on the fact that I have been doing this business for 10 years making $80,000 a year and you can to aspect. I am looking for peoples opinions on what is a reasonable rate to charge not selling my business plan and idea...
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