5 Ways Coaching Beats Passive Income

business coachingI think the “dream” business many people have online is to simply sell affiliate products…or eventually they graduate up to selling their own products such as ebooks.

But they want it 100% automated with absolutely no input of their own.  In other words, they just want passive income while they go about the rest of their life.

And you know what…I think that’s a good dream…AS LONG AS it doesn’t cause you to ignore everything else.

I earn passive income.  There are affiliate checks I get today for services I promoted years ago (continuity).  I have both ebooks and physical products which earn money for me every month.

In fact I have a couple of ebook projects I haven’t even TOUCHED in 6 months or more  that continue to make a profit from affiliate referrals.  Plus they’re on Clickbank so I’m not even handling the affiliate tracking or the checks.

Definitely can’t argue that this is good money.  Passive income is fun.  Period.

But I find many infopreneurs (information entrepreneurs) make a huge mistake ONLY concentrating on this type of income.

They want passive income, so they ignore other opportunities in their business such as group coaching, one-on-one coaching, or even physical products.  And it’s EASY to automate physical products.  You simply need a fulfillment house.  You can have orders go directly from your shopping cart to your shipping department without you touching them.

But what about the group coaching and one-on-one coaching?  Obviously those take your time…your most valuable resource.

If you don’t have the right attitude, it could even almost seem like another JOB.

Why in the world would you want that?  Because it’s not a job.  It can easily become the foundation & open door for the rest of your products and your marketing.

Here’s why…

1. Coaching gives your clients faster results.

Your clients buy your products because they want results…as fast as possible.  Individual or group based coaching helps you deliver that customized for their problems and situation.

In addition, you’ll find coached clients are much more likely to use the information you share with them.  While infoproducts like books and ebooks have less than a 10% use rate, you’ll see the majority of clients taking action.

They might not all receive the results they are after (some give up and quit), but they have much better odds.  That little 10% use rate can easily be pushed up to 50% or higher…getting close to 100% in some cases with individual help if they’re willing to stick it out.

2. It allows you to expand your knowledge.

Everyone is NOT like you.  That shouldn’t be a surprise.  And that also means everyone’s problem, even if similar, is not exactly like yours.

This means you learn the subject better while you’re teaching it and fielding questions from your clients.  They’ll ask you questions you hadn’t thought about.  They’ll stretch your mind in the application of your knowledge.

Because of this, you’ll become better at both applying the information yourself and teaching others, which leads us into point #3.

3. You’ll create better products.

With your improved teaching skill, you’ll create better passive income products: books, ebooks, audios, DVDs, home study courses, etc.

You’ll see the issues people have with implementing the information…and you’ll work out troubleshooting guides and steps to overcome those.

Everybody wins.  You create better products which sell more.  Your customers receive products which better help them solve their problems.

4. You get to know your customers better.

The customers who sign up for your coaching services are your top of the line customers.  They’re the most responsive and most valuable.

They’re the “bullseye” center of who you’re marketing to.

This means it’s much easier to reach out to the market with better advertising, lead generation pages, and sales offers because you know what they’re looking for in addition to their real problems and frustrations.

5. Coaching is profitable…both for the income it produces and the way it affects the rest of your business.

I’ve done the math before and coaching doesn’t produce as much income hour for hour as creating brand new passive income products (over the life of the product), but I’m still recommending coaching for income.  Something doesn’t fit here.

It’s the above 4 benefits…plus this 5th one.  It doesn’t produce as much income as your products will long-term, but a lot of people need to build in shorter-term income as well.  Doing coaching/consulting or some type of service can help you balance out your income and make money upfront while building out your passive income empire.

And once your passive income is built up, coaching can still be fun while producing all the above benefits…as long as you don’t allow it to become your primary and only focus.

My advice here is to NOT just build an ebook.  Build a business instead.  This means creating the entire product funnel including direct contact with your customers and clients to allow you to get to know them and produce exactly what they both want and need in the future.

This is the basis of our full Information Training course full of hardcore blueprints for building your online empire over at http://www.internetlifestylesystem.com

It’s not just about one or two products.  It’s about your entire business.  While many people out there are just creating an ebook, you can create a lifelong income with a real online business.

Similar Posts:

About The Author

Terry Dean

Terry Dean has been in full-time internet business since 1996 and has helped thousands of entrepreneurs get started online through his articles and products. He lives in Ocala, Florida with his wife and 2 dogs. Find out more about how the Monthly Mentor Club can help you today.