Here's 5 ways to make money

23 replies
Here's 5 ways to make money with what are the pros and cons of each method.

Which one of these methods do you think is the best for making money?

Method 1 Tell people what they need to do

Pros less knowledge for creator, can create a smaller product as it contains less knowledge, create product quickly

Cons not perceived as having much value, creator not perceived as having much knowledge, customer needs to learn how to do whasty is described

Method 2 Tell people how to do something

Pros higher perceived value, customer can do what the says without learning anything else

Cons Need to know more, need to provide a more substantial product

Method 3 Show people how to do something - video / in person

Pros much higher perceived value, easier for customer to learn when they can see what to do

Cons time to meet people, more skills needed to create videos, expensive to outsource video creation

Method 4 Make a tool

Pros customer's work load consioderably reduced, some things can be done that would be impractible for a person to do

Cons need skills to create tool, need to make sure that you outsource to someone who can and will create the tool, need to think carefully about making the tool user friendly

Method 5 Provide a service

Pros no work for customer, can get to know what each individual customer wants and adapt your service aoppropriately

Cons ongoing work load for person providing the service

Summary
Work for customer - decreases as you go from method 1 to method 5

Work for creator - increases as you go from method 1 to method 5

Price you can charge - increases as you go from method 1 to method 5
#make #money #ways
  • Profile picture of the author MyOnlineSuccess
    Here's another one (that actually makes the real money):

    Solve a problem.

    Pretty much all of your ideas can plu into this, I would just focus on solving specific problems.
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    • Profile picture of the author Muhammad Hassan
      Originally Posted by MyOnlineSuccess View Post

      Here's another one (that actually makes the real money):

      Solve a problem.

      Pretty much all of your ideas can plu into this, I would just focus on solving specific problems.
      You are completely correct - find people who are desperate to solve a problem and then give them the solution.

      If all of the ways I listed were set up for solving a problem then which method do you think would be the best and why?
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      • Profile picture of the author megaresp
        Originally Posted by Muhammad Hassan View Post

        If all of the ways I listed were set up for solving a problem then which method do you think would be the best and why?
        #4 - because you're selling something that can scale up to meet demand.

        The others all involve your time, which is finite. Of course, you can hire people, train them to provide a service, and scale up to meet demand. But I personally would rather create a tool, and avoid the added complications of hiring, firing, and/or replacing people for as long as possible.
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  • Profile picture of the author mrjasonser
    Hi Hasan

    Salam.

    I think it really depends on the type of person and skills one have to choose which
    path to go. I think the time frame and expertise you need will also increased from
    Method 1 - 5.

    Personally, I feel the most valued will be Method 3 Show people how to do
    something - video / in person, but the challenge will always be whether
    the client will actually "Do" it that makes the difference.

    Method 4 Make a tool, will require ore resouces and effort, it will not be for
    everybody.

    As for Method 5 Providing a Service is the trickiest part. Cause Service is intangible.
    One could go too narrowed or too wide to the extend they provide their service especially
    when if you want to adapt to your customer needs. The Price of a service and how much can
    one over-deliver a service are always subjective


    P/S: The company I work for in the day used to tell every client that we view Service with
    great importance, yet the salary and treatment of our customer service is wayyyyyyyy less
    valued that almost everybody else in the company. Ironic, isn't it?


    Just a few quick thought my self.

    Cheers
    Jason Ser
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    I Don't Speak The Queen's English, But I Say What I Mean and Mean What I Say.

    Here is where I work now: www.LohasDigital.com

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    • Profile picture of the author Muhammad Hassan
      Thanks for the detailed answer, mrjasonser.

      Now, suppose that the person had all the abilities to do each of the methods then would you change your mind and perhaps go for creating a tool which you could charge a larger price for?
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      • Profile picture of the author mrjasonser
        Originally Posted by Muhammad Hassan View Post

        Thanks for the detailed answer, mrjasonser.

        Now, suppose that the person had all the abilities to do each of the methods then would you change your mind and perhaps go for creating a tool which you could charge a larger price for?
        Hi Hasan,

        If I had all the abilities to do all method, and do all of them very well?

        I will change my mind provided I really enjoy the tool I created and also the process of creating the tool I create. Thus will feel good , I should say real good for charging that larger price.

        For what I know now, I enjoy interaction with people. But perhaps that's just because my potential of creating a "tool" had been realized yet?

        What about you Hansan? Do you create tools, or you rather teach or provide a service?

        Cheers
        Jason Ser
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        I Don't Speak The Queen's English, But I Say What I Mean and Mean What I Say.

        Here is where I work now: www.LohasDigital.com

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        • Profile picture of the author Muhammad Hassan
          Originally Posted by mrjasonser View Post

          What about you Hassan? Do you create tools, or you rather teach or provide a service?
          I am a qualified teacher and a software developer so I could produce a product that teaches, create a tool or provide a service.

          I would be torn, however, between providing a tool or a service. You can charge more for them because they do most of the work for the buyer.

          Providing the service would allow to charge the greatest price but there is the problem of taking up too much time.

          The ideal situation would be a service where I could provide the results with minimum work from me. I could charge the most, but still not have it take up too much of my time.
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  • Profile picture of the author johnmags
    I think Method 1 to 3 are related. Perhaps you can combine them to mentoring/coaching
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  • Profile picture of the author jojobusiness
    Hi Muhammad,

    I will go with no. 3, show people how to do it in video. Showing people in person adds more credential and can be recorded to share with more people. As the saying goes, seeing things in action is the best way to learn.
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  • Profile picture of the author freeadsforum
    defiantly providing a service, because you can develop a reputation and once you have a lot of customers you can simply hire workers and manage them.
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  • Profile picture of the author ken_p
    i think i am leaning more into providing service, because you have more control of the situation, either you accept the assignment or not.
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    • Profile picture of the author Clyde Dennis
      Originally Posted by freeadsforum View Post

      defiantly providing a service, because you can develop a reputation and once you have a lot of customers you can simply hire workers and manage them.
      Originally Posted by ken_p View Post

      i think i am leaning more into providing service, because you have more control of the situation, either you accept the assignment or not.
      Definitely providing a service. Good services are ALWAYS needed, and the built in flexibility and control is un-matched by the others.
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  • Profile picture of the author yezbick99
    The net was originally created for information. Free information for the public with opt in emails to sell your products to works well.
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  • Profile picture of the author cashcow
    I like #4. Why? Because it solves a problem (well, I assume it does) and, once the tool is made you can sell it to as many people as you want. So, unlike a service, you don't have to keep doing the work over and over.

    The other thing is that there are more "barriers" for making a tool or having a tool made so you'd most like likely have less people competing with you than with providing a service or showing them in a video.

    Lee
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    • Profile picture of the author JAIDEEP2959
      I found method 4 very effective.

      Very few marketers ate using it.
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    • Profile picture of the author Muhammad Hassan
      Thanks everyone for contributing and developing my knowledge and understanding and hopefully others.

      All the Methods have pros and cons and I need to find a comfortable balance. With that in mind I am going to respond to some posts by asking further questions and perhaps putting alternative viewpoints.

      This does not mean that I do not agree with or appreciate your response - I am just trying to dig deeper into finding the 'best' method.

      Originally Posted by jojobusiness View Post

      Hi Muhammad,

      I will go with no. 3, show people how to do it in video. Showing people in person adds more credential and can be recorded to share with more people. As the saying goes, seeing things in action is the best way to learn.
      Aren't people lazy and wouldn't they prefer to just have the problem solved without them having to do anything? In which case isn't a tool or service better?

      Originally Posted by megaresp View Post

      #4 - because you're selling something that can scale up to meet demand.

      The others all involve your time, which is finite. Of course, you can hire people, train them to provide a service, and scale up to meet demand. But I personally would rather create a tool, and avoid the added complications of hiring, firing, and/or replacing people for as long as possible.
      Originally Posted by cashcow View Post

      I like #4. Why? Because it solves a problem (well, I assume it does) and, once the tool is made you can sell it to as many people as you want. So, unlike a service, you don't have to keep doing the work over and over.

      The other thing is that there are more "barriers" for making a tool or having a tool made so you'd most like likely have less people competing with you than with providing a service or showing them in a video.

      Lee
      Would there be the added complications of buliding a tool that incorporates all levels of competence - from the beginner to the pro?

      Originally Posted by freeadsforum View Post

      defiantly providing a service, because you can develop a reputation and once you have a lot of customers you can simply hire workers and manage them.
      Originally Posted by ken_p View Post

      i think i am leaning more into providing service, because you have more control of the situation, either you accept the assignment or not.
      Originally Posted by Clyde Dennis View Post

      Definitely providing a service. Good services are ALWAYS needed, and the built in flexibility and control is un-matched by the others.
      Doesn't a service involve a lot of work and time? Wouldn't people like to make money, but with less work than providing a service provides?
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      • Profile picture of the author Harry Behrens
        Originally Posted by Muhammad Hassan View Post

        Aren't people lazy and wouldn't they prefer to just have the problem solved without them having to do anything? In which case isn't a tool or service better?

        Would there be the added complications of buliding a tool that incorporates all levels of competence - from the beginner to the pro?

        Doesn't a service involve a lot of work and time? Wouldn't people like to make money, but with less work than providing a service provides?
        That's just the thing though isn't it - ARE the people in your target market lazy and preferring to have the problem solved without them doing anything? You can consciously decide to target lazy people who will pay a premium for a push of a button - or you can decide to go after the do-it-yourself-ers, who are more likely to buy if they think they are getting a bargain by trading a bit of work on their own part.

        Similarly, you can decide to target beginners who need hand-holding, or you can target veterans who appreciate that there is no hand-holding.

        An argument can be made that one or the other market is more populated/more profitable than the other, but businesses have been made and have succeeded with targeting any one of them. The trick, I think, is to know which of you are targeting and going after it squarely and without ambivalence, doing the things that please THAT market and nobody else. "Know your audience", if you will.
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        - Harry Behrens

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  • Profile picture of the author TheRealDomainer
    Truth is that all 5 methods are interwoven...
    Solve a problem or provide solution to a problem by mentoring, creating a tool, service etc and smile to the bank
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  • Profile picture of the author Tyrus Antas
    Making a tool that people depend on to get their business going is the best bet when it comes to revenue. Web hosting, autoresponders. All provide recurring revenue and all are services people are unlikely to stop using after only some months.

    The downside is that some of these services have low barriers to entry and have already undergone a process of commoditization. I'm looking at you hosting!

    A service people depend on with a unique twist that can't be provided by anybody else would be the ideal service.

    Tyrus
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