What kind of online business do you want to start? There are several ways that you can go with an online business. Knowing how to find the right business model is key when starting out.
We will cover many different models in this article that have the potential to provide a 6-figure business. What’s important here is that you choose the one that you are most comfortable with.
A word of caution and it’s one that I’ve seen happen to many new business owners as well as some seasonal owners. They can’t decide on a model to follow.
They are flitting around from one model to another, so often it is never going to turn out well for them.
In like manner many newcomers to online business start with one model and because they are not getting the results that they want they shift to another.
There is always going to be what I call the “The Shiny Object Syndrome with Your Online Business”. Listen, there are a lot of vendors that claim to have the best product or technique that can do it better, faster and more frequently.
What you should do is once you have chosen your online business model you need to master it.
The online business world is constantly evolving and there will always be new things to learn, so it will be virtually impossible for you to keep up with all of the changes if you are dabbling with more than one model.
“So, make your choice and stick to it”.
What is The Best Niche for Online Business?
There are literally thousands of niches where you can create a 6-figure online business. If you are an expert in a particular niche then this is always a good place to start. On the other hand, it doesn’t matter if you are not an expert in a chosen niche because you can always learn.
When choosing a niche, you need to consider two things:
1. Is there a big demand for my niches?
2. Can I make money in the niche?
Both of these are very important. Here’s what you don’t want to happen, entering into a niche where there is little demand. Just because you think it is interesting, but no one else finds it interesting it’s more likely your online business will fail.
Most experts suggest that you choose an evergreen niche to start out. The reason being is that this niche has a demand where it is needed 365 days a year, every year.
It should be easier because of the demand and if you are new or not an expert you have a better chance of success in your niche.
As far as we have research the evergreen niches, here are our 3 top picks for evergreen niches where there is always demand and the potential to make a lot of money:
1. Wealth creation (making money)
2. Health and fitness (weight loss is a classic niche)
3. Personal development – relationships, self-improvement, spirituality, Law of Attraction etc.
There are other large evergreen niches as well and we are not saying that these are the only ones you should consider.
But these are tried and tested and there will always be demand for them and money-making opportunities.
If there is high demand for a niche but it is difficult to make money, then you should avoid this.
These days there are opportunities in most niches but you need to be sure that you can make good money from the niche that you choose.
Creating Your Own Product or Services
Creating the right products and services in your niche that answer the questions that the target market has is a great way to build a 6-figure business online.
It does take time, effort and usually money to create your own products and services. But the advantage that you have over affiliate marketing is that you own the customer.
Do you have an idea for a great product or service? Maybe you have expertise in a specific niche, and you know what people in this niche are looking for? Your product will fix the pain that they have.
Your product can be physical or digital. What is most important is that there will be demand for it. You do not want to spend time and money developing a product that nobody wants.
There are online businesses that make millions of dollars each year through providing products and services that people need and will gladly pay for.
What is CPA Online Marketing
What is CPA Online Marketing? CPA stands for “cost per action”. There are a number of CPA networks that have clients who will pay you for promoting their offers.
The difference between CPA marketing and affiliate marketing is that you do not need to make a sale to earn commissions with CPA marketing. Some CPA offers only require the visitor to provide their email address or phone number for example. Other CPA offers are based on free trials of products.
This is all lead generation for the businesses that are behind the CPA offers. The biggest problem with CPA offers is that most of them pay low commissions.
If you have your own website with good traffic, it’s relatively simple to monetize it using CPA marketing. This means that you have to drive a great deal of traffic to the offers to make good money. But you are not relying on a sale, so the conversion rates are a lot higher than they are with affiliate marketing.
Affiliate Marketing Online Business Opportunity
If you are not familiar with affiliate marketing the concept is pretty simple. There are many vendors of products and services out there that will happily pay you a commission for bringing them new customers. Your only job as an affiliate marketer is to promote the products and services of other vendors.
You do not have to concern yourself with product delivery or customer service. All you have to do is drive targeted traffic to the affiliate offers. You can promote physical products or digital products or both.
Amazon has an affiliate program where you can make commissions by recommending physical products that they offer. The problem with this is that the commissions are low in the 3% to 5% range. If you choose the wrong products to promote you will only make pennies on each sale.
Now their digital products tend to offer much higher commissions. Typically, a digital product will offer a 50% commission, and this can go as high as 100%. The reason for this is that once a digital product is created it costs next to nothing to deliver it. So, the vendors can pass on higher commission rates to you.
Some affiliate marketers promote both physical and digital products. Let’s say that you had a website providing health tips. There are so many products that you could offer to your visitors.
You could promote exercise equipment or supplements as physical products, and guides and training for losing weight and getting healthy for digital products.
This has been a long article and we make no apology for this. We have covered the main online business models here and you need to decide which of these is right for you. The easiest one to get started with is probably affiliate marketing.
10 thoughts on “How to Find the Right Business Model”
Your thoughts on finding the right niche for your business is really thought provoking. I have failed in my first website as I was pushing down my thoughts without any takers- a great mistake many of us make in online marketing. Instead, we need to provide solutions to problems which is being sought. Unfortunately, I learnt it the hard way. Your article would help people making this mistake though.
Thanks for sharing this article.
Thanks Rohit for your comment. I’m just trying to share some of my mistakes and what I learned. So hopefully it can help others. Thanks again!
The fact that no one was interested in what I had to say caused the failure of my first website. This is a common error that many people make when engaging in online marketing. Instead, we need to provide answers to the questions that are being asked about the difficulties. I had to go through a lot of suffering before I could understand it. However, those who are making this mistake could benefit from reading your essay.
Thanks for the comment pasindu dimanka.
There are several ways that you can go with an online business. Because the online world is continually changing, knowing how to find the right business model is key when starting out. I’m sharing some of my mistakes because it might help someone.
Hey, you. You have mentioned such a great piece of information about finding the right business model. You have described so comprehensively, I didn’t know the difference between CPA and affiliate marketing, but now I do. Thanks a lot for sharing this post with us. I appreciate your hard work.
Thanks Liam, I appreciate you comment too. It’s good to have your hard work help someone even in the smallest way. CPA and affiliate marketing there is a different. Thanks again!
As someone who is interested in affiliate marketing and online business, I found your article on finding the right business model to be very informative and helpful. I appreciated your exploration of different business models and their suitability for different types of entrepreneurs, as well as your personal experiences and recommendations.
One question I have is whether there are any specific factors or considerations that entrepreneurs should keep in mind when choosing a business model, especially in terms of long-term sustainability and profitability? While you indicate importance of finding a model that fits well with one’s skills and interests, I wonder if there are any other factors or features that can help ensure a successful and sustainable business long term.
Thanks, Ronnie, for your comment. Great question! I would say this, do not be afraid to shake things up! Include your personal branding in the mix. And by all means don’t be afraid to use your life. Also use your experiences, strengths and ambitions because that is what makes you, you. Remember, no one has ever made a difference in the world by just following all the rules.
Thanks for your article on how to find the right business model for your online business. I’m glad you pointed out the pitfalls of the shiny new object syndrome people tend to fall into when they’re new to online marketing. Personally, I chose affiliate marketing. I love it. And it works. Yes, there have been a ton of shiny new objects, but I stayed the course. Yes, there are 1,000s of niches to chose from. The key is to not pick a niche that’s too narrow. You have to hit the sweet spot. Evergreen niches are always in demand. Markets like pets and babies are examples of evergreen niches. Thanks for your post.
Thanks Shalisha, yeah the shinny syndrome do gets a lot of us having us jump from one thing to another, Always missing the mark. Staying on target is key I’m glad you found it out. Stay the course. Thanks again!