Are you effective? It's a good question to consider. If you could look into the lives of the average person who has an online business, you would find very few of them making any real money - even some of the ones you know by name.
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Taking Your Website from Poor to Profit

Are you effective? It's a good question to consider. If you could look into the lives of the average person who has an online business, you would find very few of them making any real money - even some of the ones you know by name.

Why is it that one six-month old website does $10,000 in business each month while another is still struggling to break $2,000 after three years? The answer is simple: The first site owner works effectively while the second does not.

Effectiveness is the single most important predictor of success in any business, and it is certainly true on the web. Here are some tips which will increase your effectiveness and profits:

1. Use Leverage

When I was in eighth grade science, I learned how using a lever and fulcrum could allow a child to move a boulder. The same principle works online. There are activities you can do once and reap benefits (sales) with very little continuing effort. Here are some of those activities:

* Recruiting new affiliates for your program
* Recruiting new sub-affiliates for other programs
* Setting up a co-branding subscriber agreement
* Automating a routine part of your business
* Writing an article which will eventually fit into a book
* Creating a relationship with another successful webmaster

These activities will pay off again and again.

2. Apply the 80/20 rule

I have a friend, I'll call him Mark. Mark has an exceptional website -- it has tremendous potential, providing a great niche product. It has everything going for it. So why is Mark going broke?

Mark is going broke because he spends all of his time adding new features, performing customer service, tweaking his already exceptional website. Though he has a customer list in the hundreds and a prospect list in the thousands, he never sends out an email. So Mark is working 80 hours a week for less than minimum wage.

Effective business owners put their efforts where they will produce sales. In-effective business owners major in the things that do everything EXCEPT produce sales. So, what produces sales? One thing: Marketing.

Effective business people spend 80 percent of their work time marketing and 20 percent doing everything else until they have too much business to spend that much time marketing.

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