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I don’t believe that we have seen the worst of this financial crisis yet. No matter whether the bailout bill finally passes or not, this country is in for some tough times. There will definitely be job losses and the housing market will continue to go down.
What does this mean for your business?
First of all, if you don’t have an internet business yet, why not start one in your spare time? This way, you will have a jump start on a new business, just in case you lose your job. I think this is definitely worth thinking about.
If you already make a living online, then this is the time to make sure that you are diversified. Don’t put all your eggs into one basket. The online world is not immune to what is happening in the economy. There will definitely be changes coming.
Some niches and business models will be more affected than others. You or I can guess at which ones might do better, but it’s hard to be sure. That’s why it’s important to have multiple sources of income, or at least be in multiple markets. If all your income is coming from one place now, start thinking about how else you can make money.
I believe that as more people lose their jobs, more people will be trying to replace their income by attempting to make money online. This could be an opportunity if you are selling products to help these people. On the other hand, this could also cause more competition in the “make money online” area.
If you are an AdSense publisher, then your results will probably vary by niche. Yes, I’m sure Google and AdSense will still be around for a long time. But the particular advertisers that are advertising on your blog might go out of business or just cut back on their advertising. But others might do more online advertising, finding that to be more cost-effective than advertising offline.
As people start trying to save money, they will be spending less. There are some things that people always spend money on, and other things that will be vulnerable. I’m not in the gambling niche at all, but I think gambling and other forms of escapism will grow larger as times get tougher. People will want to forget their troubles.
Also, luxury items might not do badly, if rich people continue to spend. After all, it is mostly the poor and middle class that will be really hurting in a financial downturn.
If you create information products, think about what kind of information people will need in tough times. If you guess correctly, you might do really well.
I think your guess is as good as mine, as to what will happen and how best to continue to profit in your internet business. I really think you should start thinking about it, though. And it won’t hurt to experiment with new things.
What are your thoughts?
- Pat Doyle
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