Get advice from any Internet marketing guru these days and you’ll hear a lot about the benefits of multiple income streams.
The basic idea makes a lot of sense. If all your online income is from one source, then if that source is eliminated you’ll have no income. Say you have a blog and make $500 a month from Google Adsense. Then Google goes bankrupt and your Adsense income is gone, until you can scramble and replace it with another ad network. On the other hand, if your blog used several ad networks already, you could easily replace Adsense ads with one of your other network’s ads and have very little lost income.
The same idea applies if you’re doing network marketing, possibly even more so. Network marketing companies have a tendency to disappear after a few years, making it essential to work more than one program at the same time. That way when one fails, you still have income from the others.
What you don’t hear much is about the dangers of multiple income streams. Building any sort of online income requires a tremendous amount of work, and investments of time and/or money. If you try to build multiple income streams at the same time, you will dilute your efforts for all of them.
When you’re in the first stages of building an income with a program, I’d suggest only building that income. Focus your efforts on getting into profit with that single program before moving to another program. Then, use the profits from the first program to both continue advertising it and advertising a new program. The key is to not go into debt in multiple programs at the same time.
Be aware that getting into profit will take time, whether you’re blogging for dollars or doing network marketing or selling widgets online. Give whatever program you’re working time to succeed before deciding it isn’t going to work.
Unfortunately, I don’t follow this advice, since I feel the need to evaluate many programs so I can give you reviews on the blog. But this is definitely a case where it’s far better to do as I say, rather than as I do.
Hey Jay…I think that is one of my problems. I’m doing a million different things to bring in the income and can’t keep up with what I’ve got going on. It’s very frustrating and I need to sit down and look at statistics to see which ones are working best. Of course, I’m not making much with any of them but am progressing more since my blog is getting a little more known.
Good article!
Hi Lori, that’s really common, and part of the reason why a lot of people give up, I think. Stick with it and focus on what’s working best for you. There’s plenty of time to add more later. The fact that you’re making anything at all is encouraging!
Jay, I think you get special dispensation for investigating multiple opportunities, since it’s your blog fodder! You could say that diversification is your specialty!
Jay –
Can you outline what income streams you are referring to that cost money to participate in? Aren’t most affiliate programs free?
I can see where you could spend money on Adwords to drive traffic for a specific income stream, but that is more of a traffic deal costing you money and not the affiliate program.
Tyson
Hi Tyson, pretty much all network marketing opportunities require the members to pay into the system for maximum benefit. Affiliate programs are generally free, although rare ones like MyCreditCardCash.com do charge. Regardless, though, of whether the opportunity is free or not, driving traffic to a site requires time and or money, and focusing both of those on a single site until you’ve figured out which sort of traffic converts best will get you into profit sooner than splitting your efforts.
I agree. While it is a good idea to have plans for multiple revenue streams, keep them in the planning stages while you focus on your 1st point of income. Once that 1st income is secured, then head to the next one. I would say after the 2nd one is secured, go back and check on number one and is if your experiences with number two can help you optimize the 1st into greater income. It’s a constant learning cycle.
Hi Desty, that’s a great point. We’re always learning, so it’s a good idea to work new techniques into old campaigns to improve them.
I have multiple streams of income but you are right, it is better to secure one method and then move on. I have seen a lot of people trying out a lot of companies at one time to find out later that they put to much work into it and got little results. I have also learned that referrals are great to have and will set it on autopilot. If you work with one program and build up referrals before moving on, this will help you to keep having that income while you are trying to promote another company.