The #1 Reason a Lifestyle Business Doesn’t Make Money
There is an audio version below.
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Money isn’t everything or the only reason to start a lifestyle business, but it is needed in life. You have bills to pay and a family to support—you have to generate income. Too many people quit their dream because of a lack of income.
I remember the first time I heard of this idea of a lifestyle business, it was on a podcast while I was delivering bread. I worked hard for eight months before I ever made a dollar. It was stressful because I had invested $2,500 in getting a website designed, a book put together, and I hired a coach to help me generate income. It also led to fights with my wife because all I was doing was spending money.
After taking a step back, I realized something important was missing. I see this missing piece lost in a lot of online businesses. When I start working with a new coaching client, this thing is usually the “missing piece” of the puzzle. The reason I wasn’t generating income was because I didn’t have an audience.
Build an Audience
When you start building a lifestyle business, your focus is on the “busy work.” That work would include getting your website nice and tight, establishing your social media presence, and creating things to sell. The busy work can easily take up all of your time if you let it.
The busy work is important, and you should have those things established, but at some point, you have to focus on building an audience. If no one sees your foundation, you won’t be able to generate any income. People have to know it’s there.
In 2012, I realized that I wasn’t selling books because no one knew it was there. I spent the first half of that year focused on building an audience instead of getting caught up in the busy work. Three months after I started this focus, I got a check from Amazon—it was the first real money generated in my online business. The check was for $1,236.
How to Build an Audience
Social media is NOT an audience. The people following you on those platforms belong to the platforms. If they decide to change things up, which they frequently do, you’re left trying to figure out how to recover. New York Times bestselling author, Crystal Paine, broke this down on Michael Hyatt’s blog.
Your audience is the people who read your blog and sign up for your email list–especially your email list. They are the ones who have given you permission to share what you’re doing—people on social media haven’t done so in the same way.
The good news is there are a lot of ways to build an engaged following. It starts with being authentic. People recognize and connect with the real thing. When you don’t put yourself on a pedestal, they can see who you are and see that you’re like them.
After that, use the different ways to get exposure. Get interviewed on a podcast—there are thousands of shows looking for great guests. One appearance on Pat Flynn’s podcast earlier this year exploded my business. Guest posting also works. In 2012, guest posting on 80 blogs was the main reason I was able to sell 40,000 books that year. You write an article for someone else’s blog, they give you links back to yours. It’s a win-win.
Writing for large media publications is currently my favorite way to build an audience. The problem I see in the online space is that everyone is chasing the same people. Large media publications offer you a chance to get exposed to an untapped audience. You can also get sales, email subscribers, and major social proof that you can leverage. I just wrote about this topic.
These are a few ways to build your audience. In the next few weeks, I’ll dive deeper and get specific. Don’t let the busy work keep you stuck. It’s important to establish your foundation, but you need an audience to see what you’re up to.
If this is going to be the year you build a dream that supports you, focus on building a group of people who will support you through sharing or buying the things that you sell. If you have an audience, it’s much easier to figure out the busy work.
Audio version:
What are you doing to build an audience?
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Photo: Flickr/ Julian Youllhavetobuyme
