Thinking Out Loud
Lately, I've come to the conclusion that one of the best ways to create an ongoing income is to have multiple people pay you on a monthly basis. I run a subscription service, and it's quite popular. Of course, this can not be considered AIS. Rather less "A" than most 
I was wondering about expanding the service…something like this;
Get 5 marketers together, each of whom agree to provide at least two items per month. These items could be anything of a digital nature, eg; ebook, template, script, desktop tool, article pack, etc etc.
These items would be created personally by the marketer, they would not be simple "resell rights" bought from a WSO for example. Of course, it maybe that the marketer outsources the product - which is fine. A further promise is made that the products would not be made available elsewhere…
So, we have the basis of a service…
This would be 10 items each month, which the subscribers would get on a month by month basis. Let's take the scenario that the cost is $15 per month (at least at the start whilst the service is taking off)…
How many would subscribe? Based on my experience of running a subscription service, I estimate that inital take up would be somewhere near the 50 or so subscribers mark.
Note that I never really pushed my service, I think 1 post in a private forum. I would suggest that a marketing push be done, as well as a WSO, which might net 100 paying subscribers by month 3. Let's say that income derived from the subscribers amounts to $1500 per month…
The service would also include a forum on which the 5 marketers spend time and effort answering questions, posting hints and tips and so on.
Taking into account hosting costs (negligible), let's split the income 5 ways, on a month by month basis…
Of course, there will be churn (that is people leaving the service, and others joining), but I suspect that a group of knowledgable marketers bearing gifts (monthly products) might well be a success.
The whole service could even be enhanced by taking a percentage of the income and purchasing resell rights products - another group of items ready for the subscribers…
Is there a gap in the market for a new Forum/Site that offers the above?
What say you?
Comment by Andrew Peacock — May 8, 2007 @ 3:15 pm
Hi Burt,
So if I was one of the marketers, I would get $300 a month for creating 2 products and spending time in the forum.
That doesn't sound very much, if the product is not allowed to be sold elsewhere.
That's assuming that the products are going to be worth having. I'm sure I could churn out some rubbish easily for $300 a month.
Andy
Comment by Oli — May 8, 2007 @ 6:47 pm
I think if it took off, the forum would likely become the main selling point, as KWA is now… Not sure how much you'd gain from having 5 people involved, if they were outsourcing products - you could outsource the products yourself and keep 100% of the profits - more people = more perceived value for the subscriber?
Comment by tony — May 8, 2007 @ 11:51 pm
its been done quite a few times before has it not?? not that thats a problem but you'll have to do alot to be differnt and offer more! plus splitting it 5 was!! alot of effort for not much gain! just my 2 cents
Comment by gary — May 8, 2007 @ 11:58 pm
Sure, but you have to consider that I've used a conservative 100 members after 3 months, and a _very_ conservative $15 price point. Instead, let's say there are 600 members each paying $40. Now work out the sums.
And remember that one mans rubbish is another mans treasure
Getting more involved means less work and less risk for each. Obviously less reward too, but also the ability to plug in to existing lists in order to get paying subscribers. It's also nice to work a little more closely sometimes, as this industry is quite insular sometimes. I see no reason why having a handful of people providing products/expertise and sharing the income cannot work
Comment by Victor — May 9, 2007 @ 1:26 pm
You get an A for originality with this idea. If you ever make an attempt, drop me a line as I would be interested in the challenge.
Unfortunately, I really think you are overestimating the general level of knowledge out there. Anyone capable of marketing a product to sell on the internet will probably be in business for themselves. You will likely just draw spammers, newbies, and spammers.
Comment by ash — May 10, 2007 @ 6:29 am
>>>>>>>>Lately, I’ve come to the conclusion that one of the best ways to create an ongoing income is to have multiple people pay you on a monthly basis. I run a subscription service, and it’s quite popular. Of course, this can not be considered AIS.