Benefits of Being in the Physical Information Product Business
I was talking with a friend of mine about some of the upsides to being in the infoproduct business, specifically selling PHYSICAL infoproducts. If you're not already selling information products, then perhaps this list will help highlight some of the reasons why it's such a powerful (and profitable) business model.
Zero Inventory
You don't have to hold any inventory in your home office, basement or wherever you work out of. Using print-on-demand services or other means for product fulfillment means that's one less step in the process that you have to be involved with. And more and more companies are popping up that offer print-on-demand services, making it easier than ever to use that sort of streamlined delivery method while taking yourself out of the equation (if you choose to).
Low Overhead
Sure, you can build a business with tons of employees, staff, a huge building and tons of equipment. But wouldn't it be better to not have all that overhead? That's just more things to manage, more things to go wrong and much more cost. There are hardly any overhead costs with an infoproduct business.
Speed to Market
With the right tools, you can have a product created and out to market relatively quickly. Instead of needing thousands of dollars of equipment, like what might have been the case in the past, now you can just use off-the-shelf software and readily available consumer electronics to create fantastic, profitable products.
Higher Perceived Value
You can typically charge more for a physical info product thanks to the higher perceived value. I know I'd rather have a DVD that I can refer to later if I need to rather than wondering if that website with the online tutorial is still going to be up and running 2 years from now. There's a place for online info products, but in general, it's just as easy to deliver a finished product to your customers and take advantage of the higher perceived value that comes with that.
High Margins
There are HUGE profits to be made in the infoproduct business. You've seen how much a typical product sells for. And you know that the actual "hard costs" aren't anywhere close to that (in most cases). If you have a bunch of great info that you've packaged into a DVD that sells for $50, you're keeping something like 90% - 95% of that as profit. That's tough to find in any business.
Repeat Customers
While not something that's unique to an infoproduct business, you can certainly foster repeat purchases from your customers. That's especially true if you produce quality products in a market that's information intensive.
Leveraging What You Know and Replacing Manual Labor
Creating infoproducts allows you to leverage what you know and generate income from that know-how. Rather than "doing" the thing, you can show people "how to do" the thing. That means you're also replacing manual labor by having a product, freeing more of your time. You're also able to work once and get paid multiple times for your product. You can also easily scale this model up by adding additional products.
It's FUN!
Would you rather be creating a new, profitable DVD (or other product) on a topic you enjoy or stuck in some meeting for 4 hours with no one getting anything done? Easy choice.
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at Kenton [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at KentonNewby.com. He highlights the multiple benefits of creating, marketing and selling [...]
[...] Newby presents Benefits of Being in the Physical Information Product Business posted at KentonNewby.com. He highlights the multiple benefits of creating, marketing and selling [...]