Too Many Niches Spoil The Broth…
By Paul Kleinmeulman
This article is a continuation from yesterday’s article about ‘the benefits of multiple niches’ but this one is in the opposite vein. It’s about how too many niches can make your business weak and your cash flow pitiful.
Here are 5 reasons why too many niches can sap the strength from your business.
1) No Focus
The success of any business is being focused on a strong Unique Selling Proposition (USP). The key element is ‘focused’ on the customers needs and if you have too many niches it is impossible to focus on them all.
2) No Time
It takes time to not only start your business, to build it, but also to maintain it. When you have too many niches, it becomes impossible to maintain and give them the attention that they need to grow. Otherwise they will be in constant decline.
For example, let’s say that you are advertising 20 different sites via Adwords. Now if you have ever used Adwords, you will know how costly it is if you have just one campaign that is not profitable. Every time somebody clicks you would be losing money.
Let’s say that it took 5 minutes every site to check whether you made money that day. That would be 1 hour and 40 minutes everyday for those 20 sites.
Pretty soon, your time is being eaten away just to maintain sites, and maintaining doesn’t mean growing… which brings us to…
3) No Growth
What do you need to grow a business? You need focus, time, creativity, relationships, new products, new partners and the list goes on.
It is impossible to do that for multiple sites, every day. When you neglect the above aspects of your business… it declines, growth = more cash.
4) Multiplication of Problems
Outsourcing is a great way to get a lot more done, in a lot more areas. But with the multiplication of people, comes a multiplication of problems. Lets say a writer you have been hiring for 6 months to constantly create new content for Niches A, C and F suddenly disappears. What do you do? Now you are back to square one.
And I haven’t even touched support and technical issues, hosting, payment processors, and list management.
Too many niches can create too many problems, that even an outsourcing, delegating, intelligent owner can’t handle.
5) No Information
Markets change, it’s a fact and if you are in too many niches, you can miss when it moves or a new competitor comes to town, and suddenly you wonder why you are making less sales or no sales at all. If you even notice because you can’t check your stats everyday.
If you were watching that basket carefully, nobody would steal all your eggs.
So there are just 5 reasons why too many niches can hurt you rather then help you.
Stay tuned for our next article, about how to make more money without entering more niches.
All the best for your online success,
Sincerely,
Paul Kleinmeulman
Australia
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