Online Diversification is the Key to Online Profit

As a career college student I am always looking for ways to increase and diversify my revenue streams. This allows for me to take a loss in the Forex or the Exchange and still be able to put (“good”) food on the table. You will always hear that diversification is the key to success in stocks, bonds, mutual’s, options, futures and the Forex, but the truth is diversification in any income stream is the key to success.

The scope of this article is “online diversification”, my intentions are to help people better understand how to become successful on the internet. As always any views expressed in this article are solely mine, I have experienced great results by applying several of these techniques, you may not, either way, learn something.

The major downfall of the online entrepreneur (“intrepreneur”) is the fact in laymen; they put all their eggs in one basket. Now I am going to take a quote from the late John D. Rockefeller who I am not a fan of but I do like this quote for diversification reasons.

“I would rather earn one percent off one-hundred people’s efforts than one-hundred percent of my own efforts.” –John D. Rockefeller (“1839-1937”)

You may be asking yourself how this applies to you and my theory of online diversification, well let’s modify it a bit.

“I would rather consistently make one dollar on one-hundred products than one-hundred dollars on one product.” –Jace (“1984-A long time from now, hopefully.”)

To further clarify my quote; if I have a portfolio of one-hundred products that I am affiliated with this in-turn will increase my chances of conversions (“Making the sale”). So to really drive this point home the more diversified your online holdings rather they are articles, affiliate products, your own products, the more you have the better chances of making a decent living.

Let’s drill down into online diversification a bit more, about six years ago when I first started my online business I sold t-shirts online that were relevant to football games at my campus, I then would advertise this website by posting flyers on the community boards at my campus with samples of the shirts. Most of the shirts would depict us doing funny and crude things to the other team, so it fit the college niche really well. Every home game I would generate $1,000 to $3,000 dollars depending on the rivalry, as a student anyone will tell you that with two home games a month and let’s say an average of $5,000 that is great for the student budget. But with human nature comes human greed, I diversified my online store to have shirts for all of our conference, thus increasing my profit almost 500%. I had to rethink how I advertised my website and started putting my websites address on the collar of each shirt, sweatshirt, hood sweatshirt, wind breaker shirt that I sold. So when people would see these shirts at the game and think they were funny they would visit the site and order their own.

Luckily as an avid football fan I keep up to date with the NCAA and their rulings, on the subject the NCAA voted on in 2003, was the attire that was deemed appropriate to wear to college stadiums. Now you may think that free speech would eliminate this, but if you ever look at the back of your ticket stub at a college game you adhere to the dress policy. So knowing that this rule was going to cripple my business, I sold it and made a substantial gain. You may think that is shady, I call it business.

The moral of that short story is the fact that with a simple change in my business plan and diversifying what I was offering to the consumer I was able to make substantial gains in profit. I was selling shirts that cost me no more than five dollars for $20-$50 depending on the game.

You can add diversification to whatever it is you do, be it online or off. Again the more diversified you are the better chance of that profit you have dreamed of.

Now I write articles which generate money via adsense, promote over seventy-five worthy affiliate products and host a website with affiliate news. All of that coupled with my Forex portfolio and stock portfolio provide a very good living for me, not only do I pay my mortgage I was able to buy my parents a brand new Nissan XTerra and also pay their mortgage.

After you diversify the next step is to take your diversifications and turn them into LLC’s for great tax benefits. For example I have an LLC for my website, my affiliate company and my personal LLC that gets paid my wages. I will write more on that later.

Well I hope you found this article useful and you diversify. As always if you have any questions or comments leave them here or join my fan club.