I want to share a simple, yet impactful piece of advice for all entrepreneurs, no matter how seasoned or new you may be: always build passive income/inbound traffic channels whenever you can. Trust me, this insight is not as trivial as it may sound. In my entrepreneurial journey, it has been a lifeline that has breathed life back into my business during tough times and catapulted it to new heights during growth phases.
I'm not a marketing wizard by any means. My introduction to marketing came through the Growth Hacking methodology in its early days. I honed my marketing skills with self-learned knowledge from excellent books like "Growth Hacker Marketing", "Traction", and "Hooked", along with practical experience in my own entrepreneurial ventures. I don't have any formal marketing education, but I’ve found that real-world experience is just as valuable.
Here's why I am adamant about the importance of passive inbound channels. Time and time again, they've acted as the life-saving channels that have pulled my business back from the brink. The inbound channels have consistently been the most effective for driving my business to the next level. The more uncertain your path, the more crucial passive inbound channels become. You might view this as a small piece of advice or even a mindset change. Here are the three reasons that shaped my thinking around "passive inbound channels":
1. Uncertainty Oriented: When you’re running a start-up, the market may not be stable, customer segments can change rapidly, and your business model is often a collection of hypotheses. In such an environment, outbound marketing strategies like event marketing may not yield the best results due to a lack of stable knowledge. On the other hand, passive inbound channels can be built around your early-stage business hypotheses as experiments. They can be seamlessly integrated into your product, service, or business model. This approach is endorsed by the Growth Hacker methodology and many other modern entrepreneurship frameworks. Under high levels of uncertainty and for the same cost, passive inbound marketing channels offer more robust performance than outbound marketing methods.
2. Seeds and Triggers: Passive inbound marketing channels can be easily incorporated into your product, service, or business model due to their nature. They often cost much less than outbound marketing efforts, allowing them to persist longer. These channels can act as seeds for your start-up. Although they might not provide immediate results or substantial traffic initially, they can rapidly grow into something significant when triggered by an unexpected event or trend. The longer your business survives, the more seeds and trees you'll cultivate. Having more seeds and trees increases the likelihood of your business's longevity, creating an upward spiral and extending your runway, which is a core principle of modern startup methodologies.
3. Long-run Beneficial: Once a passive inbound marketing channel gets triggered and your seeds transform into trees, they tend to maintain a certain level of traffic for an extended period, even after the initial surge. While they may shrink a bit after the initial trigger, they don't return to zero traffic. They generally stabilize at a particular level and sustain traffic for months or even years (one of my channels has been active for nearly eight years). These channels are like the bricks and steps of your business that gradually build your traffic base. Viewed on an hourly or daily basis, their traffic might seem minimal. However, when looked at over years, they can bring in numerous customers and provide stable growth.
This post might seem like a small piece of advice, but I believe it's crucial. I hope it can help you in your business and entrepreneurial endeavors. Always build passive income/inbound traffic channels when you can – you won't regret it.
