5 Reasons Why You Should Have A Monthly Membership Site
Nowadays, there are so many avenues for entrepreneurs to explore and grow a business. People are fully utilizing the power of the web to build online businesses because they’re easy to manage and easy to market. There is a breadth of entrepreneurial options out there so why should you choose to invest your time into building something as simple as a membership site?
While creating a membership site will not get you labeled the next Steve Jobs, it’s a great starting platform for your business and revenue to snowball and gain momentum. A well put together site can do wonders for your reputation and not to mention your bank account.
Let me share with you the 5 top reasons why a membership site is a must-have for every online businessman.
Passive Income
By far, the best and most delectable perk of having your own membership site is the passive income that you tap into. Creating a membership site can give you profitable, reliable passive income streams – imagine making pools of money while you sleep!
Think of your membership site as an investment. You put in the initial time and effort to build up your website and after that’s done, you can get income passively – meaning the money generates while you go about your day. Your online membership site is an asset that does the grunt of the work for you.
The beauty of this is that it is possible to automate a lot of the work so that you don’t need to ever worry about clocking in crazy hours. We call it passive income for a reason – this means that once you set up your site and get your initial round of marketing up and out there, you can generate income without having to do much more.
And apart from the occasional marketing boost and site maintenance work whenever you feel necessary, your money-making machine will keep rolling in the moolah for you while you make better use of your time. And with the help of virtual assistants, creating passive income becomes a no brainer.
Generating passive income for yourself offers you freedom and control, too; you are the boss of your new venture. No more reporting to management and clocking in. You can “work” from home, a café, or even while on holiday! You get to work as often or as seldom as you want and your membership site will still churn out the passive income for you. Once you get it up and running, it becomes a stream of income which you can rely on.
Fill Your List with Qualified Leads
Online businesses are nothing without buyers and customers. Therefore, having a market which you can tap into again and again is one of the most important aspects of any online business.
This is why there is so much emphasis on the importance of lead generation and list building. Through a list, you get to identify qualified leads, build relationships and most importantly, have a consumer base which you can reach within just a few clicks!
Your e-mail list is the main anchor for your online marketing success. Because this is the case, you want to make sure that your list is filled up with qualified leads – these are leads which are active buyers who have an interest in what you have to offer. These qualified leads are priceless because you can market your products and services to them and there’s a very high chance that they will take you up on the offer.
When you create an online membership site, the people who opt in or subscribe are leads which you want to have in your network. With other online ventures like squeeze pages and the like, you don’t know if the e-mails you add to your list are going to buy from you again – half of them could just be there for the freebies. But with these guys, if they are paying to join your membership site, then half the battle is already won.
And once you have built up your list and filled it with qualified leads, it becomes so much easier to make even more profit from your online products. A list gives you on-demand traffic whenever and wherever you want traffic to go.
Let’s say you have a product launch coming up or are involved with affiliate marketing and ad swapping. You can just send out a blast e- mail to your list, knowing that most of the people in your list are leads who have not only interest but also buying power.
Membership Sites Have Higher Perceived Value
Another perk that membership sites give you is that they have a higher perceived value to your followers and subscribers. If you’ve got your membership site set up and running smoothly, it’s very likely that your active subscribers won’t have a reason to leave.
This is because membership sites offer something most other passive income streams don’t – active engagement.
When you can make your membership site a buzzing online space that is updated with new and engaging content every so often, people see your site as a social hub of information – think Facebook, but less about personal woes and more about your respective niche and interest.
And if these prospects are signed up to be on your membership site, it means they want to hear from you. Any content that you share on your website will give them a sense of being part of your inner circle because the content is, by nature of online membership sites, content which only they and other subscribers can access.
The exclusivity factor of membership sites is what really boosts perceived value. Giving your subscribers exclusive log in details and allowing them access to members’ only content makes them feel special and included.
Overall, online membership sites have a higher perceived value but these sites also boost the perceived value that your subscribers have of you as a content provider.
When you can get your subscribers to view your website, services, and person as someone of great value, they will stop being subscribers and instead become FANS. These are fans who will continue supporting your endeavors and continue purchasing your products and services.
So, in a way, membership sites help you to convert maybes into believers and build up your fan base and celebrity status, too.
Get returning Visitors To Your Website (‘Sticky Value’)
It’s easy enough to get one-off visitors on your website but how can you make sure they come back again and again? Luckily, membership sites are known to have high ‘sticky value’.
A website that has great sticky value is, basically, a website that gets recurring visitors because it offers something that visitors can’t get enough of.
Monthly membership sites often have a higher member retention rate because of their great sticky value. The longer someone stays subscribed as a member on your website, the harder it will be for them to make the decision to leave.
In a way, you can say that they become equally invested in your website because it has offered them so much. The fact that they have been a member for a certain number of months also triggers loyalty, which is something you want to have from your members.
Now, it’s important to note that sticky websites get visitors to stay on the site without having to send them through multiple pop-ups, asking them if the REALLY want to leave. And when I say that, I’m talking about the information and content which you send their way. The exclusive information which you share with them is something which they cannot get anywhere else and therefore keeps them coming back for more.
Also, because monthly membership sites keep to a fixed publishing schedule, it’s a great reason for your members to keep coming back every time. And the more often they come back, the harder it will be for them to leave in the future.
As your main cycle of content runs on a weekly, bi-weekly or monthly basis, your site will become populated with a wide variety of content – bonus articles, related videos, guest-writer columns. All of these add more value and give more than what your subscribers expect of you, which helps build your reputation as an information provider.
Sell Away Membership Site For A Big Payday
We all know that leads and lists are one of the most valuable assets any internet businessman needs to have. Every new subscriber to your membership site is a lead, so the more subscribers you have, the likelier you’ll have people who want to purchase your membership site.
If your site picks up steam and is a thriving hub with active members, there’s a very high chance that other business people or marketing strategists will be interested in buying the rights to your membership site.
Mainly, they will be interested in purchasing your monthly membership site for two reasons:
They see your website as a profitable investment, courtesy of your monthly subscribers and revenue.
They want access to your membership site’s database of subscribers so that they can expand their list.
Regardless of what reasons they have behind wanting to purchase your site, just be rest assured that selling off your membership site is one of the most profitable exit strategies you could have at your disposal.
Unlike product launches which lose steam and value once the product is out in the market, membership sites become even more valuable as time goes by.
And you can cash out BIG – think 10 to 12 times the revenue your membership site pulls in on a monthly basis!
So, for example, let’s say that your membership site pulls in $1000 a month. As a general rule of thumb, you want to sell your website off for 10 to 12 times its monthly revenue. Meaning that if someone makes you an offer to buy your membership site, you can ask for anywhere between $10,000 to $12,000. Doesn’t that sound like a lucrative exit strategy?
I’d recommend that you have more than one membership site on hand so that even if you do get an offer to sell off one of your membership sites, you’ll have another which you can continue receiving passive income from.
If you’re looking for a membership platform, check out TrainerBaseHQ.com – Specifically for fitness professionals.