alrighty, before we go into the meat of that one, here’s a quiz-question for you (highly relevant for anyone who’s in Internet marketing of course, as all things cycling are a metaphor for succeeding with Internet Marketing;-)
What’s wrong with the following picture: (I’ll give you a hint: the “wrong” part is towards the end of that ride;-)
Right, with that out of the way, on to important matter such as “the real reasons why the idea of ‘passive income’ is flawed – at least in the context of Internet marketing”.
In yesterday’s post I suggested that IM is inherently a “human contact” sport, and if you really want to succeed, you better forget about the “sitting on the sofa in your undies and waiting for money to fall down from the skies” idea.
Well, Mike observed that he was making over a grand a month doing exactly that: sitting around in his underwear.
Whilst obviously a grand a month isn’t anything to be sniffed at, here’s why I still think that the overall “passive income” idea sucks:
- Typically, the ‘passive income’ systems out there are simply shoveling traffic from one place to another, and don’t add any value in the process. Traffic arbitrage is one way of calling it, shit-shoveling another. Here’s the thing: Google and pretty much any website owner (who is taking their site seriously) wants to provide value. Driving visitors to shit-shoveling sites doesn’t add value, which is why we have things like Panda 1, Panda 3, Pingu 3, …. Sooner or later Google (or whoever is sending you traffic at the moment) is going to cut it off, and that’s that with the passive income.
- I may have mentioned this before (once, or twice, or a gazillion times): your #1 objective with anything you’re doing online is to build a business ASSET. Something that’s still worth something even when Google takes away the traffic. Turns out, one of the biggest assets you can have is the goodwill, engagement and TRUST of your audience or tribe. I have yet to see an “automated” system that generates any of that. Remember: people buy from people …
- Lastly, and most importantly (at least in my opinion) is YOU in this equation. Yes, Mike’s ‘system’ may be the exception, but most people build shit-shoveling systems. Of the kind they really don’t want to mention to their friends and families: “hey, I shovel traffic from Facebook to gay dating site CPA offers, yehaaa”. Or, taking it to the next level: take Eben Pagan’s latest offering which is aimed at people who are *serious* about building a proper business online. Part of this is a live meeting, where he’s got a confirmed 100 7-figure earners. Now – take the advice from the Princess Leia post – and start walking up to those 100 7-figure earners, one after the other, offer to buy them a beer, and then, when you start talking and they ask what you do, your answer is: “I make over a grand a month shoveling shit”.
How do you think these 7-figure earners are going to react to that?
my view is this: shoveling shit is fundamentally selfish – it’s about YOU wanting to make money, and you don’t give a s**t how this happens.
The vast majority of 7-figure earners make those 7 figures by providing value to their audience … and they want to hang out with like-minded people – ideally people who are a step ahead, so they’re constantly challenging themselves to get even better at what they’re doing.
But hey, that’s just my take….