How You Can Create New Revenue Streams for Your Small Business
As a small business owner, you will always want to have more revenue streams than to depend on your company only on one. This is important, especially when we know that small businesses operate in a highly uncertain environment. But, how can you create new revenue sources for your small business?
As an entrepreneur, you will always need to work on discovering additional revenue sources for your small business because these other revenue streams will bring more money to your company. And you know that without money, your business will be in real trouble.
I’m going to give you some insider tips on creating a new revenue stream for your small business so you can keep growing in ways you never have before.
Let’s look at six additional revenue streams that you can use immediately or quickly create and use in your company.
Revenue Stream #1: Create additional new products and services
The obvious first step is to think about adding additional products and services. Perhaps there’s something new to offer. Perhaps there’s a new area of your business where you can take advantage of a hot market trend. Whatever the case may be, the more new things you have, the more chances you’ll have to sell to people who haven’t yet bought from you.
To create additional new products and services, start with ideas but don’t necessarily consider them as a revenue stream. Instead, think of them as other things you can build into your business. This includes adding new products, or even better, new services, to your existing products. Think about things that you could build into your business to provide even more value to your customers.
You can always have additional products to add to the current that you already have and offer them to your customers. New products and services will create additional revenue sources to generate extra income for your small business.
Think about what you can add as products and services to your current offer, but think about something related to your current offer that will be valuable for your existing customers as an addition to your current business relations with them. In such a way, you will ensure that new products and services will quickly become something that will generate more revenue for your company.
When you develop new products and services, start with the value-added activities in the product development process.
Revenue Stream #2: Start selling online and globalize your company
The second revenue stream is to sell products or services online. You can accomplish this by having an eCommerce website with a robust platform or mobile app. With these online sales platforms, you can also add a global aspect to your business by expanding into international markets.
You can quickly transform your small business from local to national and global. Why not? You already have all the required conditions for these transformational steps. Local success will tell you that you can quickly expand your business in other places similar to the basic one where you have started your company.
Selling at the national level will generate more revenue than selling locally, and selling at the global level will generate more revenue than selling nationally. With the availability of today’s technology and the possibilities that enable you to create an e-commerce website without spending a fortune quickly, you can instantly transform your business from local to national and from national to global. These are logical steps to generate new revenue sources for your small business.
Selling online and on social media will help you. Consider whether there’s a market elsewhere in the world that you can tap into.
Create a clear and attractive home page that showcases who you are, what you do, and what you’re all about. Then, begin building out your brand with a strong mission statement and tagline that resonate with the niche you’re targeting. You can add value to your visitors through your site’s content. This includes blogs, whitepapers, product descriptions, case studies, and podcasts. The point is to make sure you provide your visitors with the information they need to make an informed decision.
Here is what you can do with Weebly’s powerful eCommerce platform:
Revenue Stream #3: Offer training courses for your products and services as an additional revenue stream
After the first two streams of revenue become established and provide enough income, you need to consider offering training courses that help people improve their skills and become more proficient at using your product. These courses can be sold either separately or bundled together into packages.
Suppose your company sells products and services that will require considerable time for achieving operational knowledge for the customers. In that case, you can quickly create training courses that you can offer them as an addition to the primary products and services you already sell. Again, you can create two options for your customers, providing them with more expensive physical training and more affordable virtual training that you will ship online through the membership site. In such a way, you can quickly add additional revenue streams for your company.
If you’re offering any kind of course or training, it’s important to understand that the more you do it, the higher your profits will be. You’ll have to spend money on marketing your courses, but it’s worth it because you’re making money while you’re spending money. If you can create a course and turn it into a profit center, you’ve found another way to grow your business and boost your bottom line.
Revenue Stream #4: Start increasing your customer’s base
Many businesses start with only one target market. They have a hard time getting traction because their marketing dollars are spent on a market that is not a large or fast-growing one. That’s where you have to diversify and start creating products and services that cater to other markets and demographics.
The fourth and final way to grow your business is to increase your customer base. There are three ways to do this:
- find more customers
- improve customer retention
- improve customer acquisition
Getting more customers will always increase your current revenue. In many cases, small businesses have already achieved the highest revenue limits from the existing customer base, which is a sign that they will need more customers if they want to continue with the growth.
The best possible solution is to focus all your efforts on getting new customers to increase your current customer base. Improve your ongoing marketing efforts to reach much more potential customers for your products and services, and you will create new revenue streams for your company.
Revenue Stream #5: Ask your customers what would they want
If you’ve read any of my blogs on this website before, you’ll recognize this tactic as one of my favorite ways to gain new insights into your audience and what they want to hear. It’s simple, but if you think about it for a moment, it’s genius.
If you want fresh ideas that will enable you to create new revenue streams for your small business quickly, you can use your current customer’s feedback to tell you what they would like and want from your company in the future. When you know what they want from you, you can simply build it and ship it to them. If you create and ship what they want, you will increase the revenue for your company.
To learn about the customer experience that you can create with the products they already love, one of the easiest ways to get an inside peek at what they’d like is to ask them. This gives you insight into what your target market wants and needs, but it also gives you some ideas for future offerings. Another great benefit is that you can see if any products need revision or improvement.
Asking your customers and listening to them about what they want and need will help you increase the probability of success for your newly created revenue streams.
Revenue Stream #6: Build passive income through blogging and receiving payments from affiliates network or advertising
The last but not least method of generating revenue is building a passive income through blogging and receiving payments from an affiliate network or advertising. There are literally hundreds of millions of bloggers who create content, sell ads, and receive money back every day.
While it might not be the highest paying, it is still a profitable and interesting way to monetize your efforts. Still, this is another revenue source for your company that comes from your business or personal blog, where you can sell advertising or promote different affiliate products. But, if you choose to use this tactic on your business website or blog, be sure that you will promote only products and services that your customers will like, be interested in them, and add value to your current offer.
There are many possibilities to create additional revenue streams for your small business. The six ways that I present here are only a fraction of everything you can do for this purpose. If you are a creative entrepreneur, you will not have a problem succeeding in creating new revenue streams for your company. Just do it, try different things, and test different things. You will not lose anything.
Question: What type of revenue streams are you using in your company? Do you use some additional revenue streams?
