How do you diversify your revenue streams without losing focus?

When it comes to diversifying your revenue streams without losing focus, it's all about identifying your core value proposition. Take a close look at your business and what sets you apart from competitors. Once you've defined your core value, explore related opportunities that leverage your strengths and capabilities. Remember to stay focused on your unique value proposition and avoid diluting your brand. By staying true to your core value, you can expand your business and achieve success.

Here's the easiest way to diversify your revenue streams. 1. Start with your core offer 2. Develop another offer that you would charge 10x less for 3. Develop another offer that you would charge 10x more for I'll give an example for context. Core offer: Email Marketing Consulting 10X less offer: An email marketing course 10X more offer: One year of email marketing management and training There ya go. Same core offer, three different revenue streams.

Highlight your unique selling points: Determine what sets your business apart from competitors and makes it appealing to customers. At the same time, you want to highlight the CX that you bring to the table!

Find the energy to both maintain your existing revenue streams - and build a new one - by focusing on a new revenue stream that truly excites you. Yes, adding the new revenue stream will be work, but focusing on it won't feel like work, so it won't be an energy drain. I have done this in practice and it has really worked for me.

Identifying your UVP, or unique value proposition can be super hard for creatives and creators that have a zillion ideas going through their minds at any one given moment. So, grab a pen, or open a Google sheet, write out the first 10 things you are really good at, whatever those things are. For example: "I'm great at thinking of catchy phrases, which is helpful for my clients that consistently launch new initiatives, events or products." "I'm great at translating my client's brand or corporate speak into content that can be understood and accessible for all." Don't believe the narrative that you need one single UVP. You can have multiple in your purse, and change them up depending on who you are presenting to or speaking with.

Determine the specific groups of customers that your revenue streams will target. Consider their characteristics, define your ICP!

Add resources to this article to help novices to get started. i.e where can I find a template on a revenue stream canvas? Do a bit of recon on your potential competitors to identify their pricing and where you want to be in comparison. What is the market willing to bear price wise? If you offer more value, services this is a selling point and rationale to charge above your competitor pricing. Using tiered packages to offer options to potential clients.

The revenue stream canvas sounds like an off-shoot of the Business Model Canvas by Strategyzer. Before diving into the revenue stream canvas, understand the 7 areas of the BMC and how they tie together, including the Revenue Streams section. Once the macro is complete, dive into adding and diversifying the revenue streams.

Consider revenue streams that can provide additional value and support to your customers, improving their overall experience with your brand and increasing customer loyalty!

Time is the most limited resource. In order to make more in less time, you need to find different ways of monetizing the same asset. For example, if your superpower is "lead generation", then leverage that superpower in (1) marketing agency (2) startup advisory (3) executive coaching (4) paid newsletter (5) speaking / podcasts. Same topic but a different audience and different platforms!

Here is how I approach the problem: 1) Analyze your current business model: Take a close look at your current revenue streams and identify any gaps or areas where additional revenue streams could be added. 2) Conduct market research: Gather data on your target audience and their needs, as well as on your competitors and their revenue streams. 3) Consider partnerships and collaborations: Look for opportunities to partner with other businesses or organizations that offer complementary products or services. 4) Explore alternative pricing models: Consider alternative pricing models that can help you generate additional revenue streams 5) Leverage technology: Look for ways to leverage technology to create new revenue streams!

I always look for things that are a natural link for what I currently do. For example, in providing employee benefits a natural connection would be life insurance planning for the family. I'm already speaking to an employee so that makes sense. Trying to sell them a makeover kit wouldn't as it's totally off task. Look for things that connect to your core offer and take little energy to focus on since your core offer will bring you more of these 1 offs.

Precision Tool was a nicely diversified niche optical business until mergers and acquisitions shook up the eyeglass world 2 of our customers created a world wide monopoly. We had to consider our strengths-listening to customers and significantly improving business profit. We added product solutions in niche manufacturing industries. Gas Inflation Products for LifeRaft manufacturers and FullShop Automation for coolant monitoring and delivery for CNC machines. While Covid was challenging, our team focused and performed well introducing and selling these product lines to giving us record breaking sales growth. The key is focus and deliver regardless of supply chain challenges.

You can offer three iterations around the core offer to cater to different customers along the value chain ladder 1. Done by you 2. Done with you (10x the price of done by you) 3. Done for you (10X the price of done with you) This allows you to use the core offer and modify it accordingly.

Keeping in mind that iterations are experimental will help you notice whether or not the new revenue streams keep you on brand. If your new offerings are ultimately confusing potential customers, it can impact their trust in the value of what you offer.

Assessing client/customer needs is an ongoing process. If you have quality customer feedback systems In place, they always tell us what they want next. One way to test waters without pouring time/financial/human capital is to find a strategic alliance with a company who solves those problems. Forming strategic alliances and monetizing through white labeling or providing options to your database can be excellent ways to grow revenue with minimal increase in operational expense.

Conducting client research to identify growth areas and new revenue streams that align with your core strengths and your customers' needs. This will help you identify new opportunities that complement your existing business and are more likely to be in demand.

From a long-term perspective, it's important to not only evaluate and prioritize your revenue streams based on their current value and focus but also to consider their potential for growth and sustainability. A revenue stream that may not seem significant now may have the potential to become a major source of income in the future. Additionally, when diversifying revenue streams, it's important to ensure that they are complementary and synergistic with each other rather than competing or eroding each other's profits. Evaluating and prioritizing your revenue streams regularly and thoroughly can help you identify these opportunities and ensure your business is on a sustainable path to growth and success.

Further, revenues are more than just income - they also determine the nature of the ultimate company exit. Consider the type, quality and sustainability of revenue … beyond the nominal levels.

I have run hundreds of revenue experiments. The best way that I like to evaluate previous experiments and prioritize the next ones are through running an experiment retrospective. Specifically, I use the After Action Review which revolves around these 5 questions: 1 - What was supposed to happen? 2 - What actually happened? 3 - Why was there a difference? 4 - What can we learn from this? 5 - What are the next steps?

I find that less is more when offering services to clients. Overloading the client with lots of information can often be overwhelming and off-putting. Yet offering simpler solutions actually offers the client the opportunity to fill in the blanks with their needs and vision. If you're not seeing traction for your offer, be sure to review it regularly and remember - no one cares how you do something, they care about how your product or service will help them achieve their goals.

Develop a plan for each new revenue stream, including goals, timelines, and resource allocation. This will help you stay focused and ensure that each new revenue stream receives the attention it needs to succeed.