1.3 Why a Profitable Membership is Critical to Your Business Success
In this lesson, you will:
- Discover the benefits of a profitable membership site
Selling one-off courses can create a “feast or famine” type of online business where income is sporadic. With courses, you only make money when you launch your list or when new people join your list and go through your evergreen funnel.
If you already sell online courses, adding a membership site can be a strategic long-term play - not only for revenue growth but for stability and diversification in case your web traffic dries up or shifts considerably. The recurring revenue of a membership smooths out the peaks and valleys of your promotional calendar and gives you predictable revenue every month.
Also If you already have a system in place for getting fresh leads and you have built your sales copy chops so you can actually convert a prospect into a customer, then it’s much easier to make more money off of that existing customer than it is to go out and get another one from scratch. Studies have shown that existing customers are 16X more likely to buy something from you than non-customers. So many of your current course customers will likely want to join your membership.
But memberships aren’t just good for you - they are good for your students. A well-developed membership site can help your students go beyond your online courses and give them the ongoing training, coaching, and community they need to be able to reach their goals. Memberships make great back-end products for your online courses.