What is a Good Product Choice
Product categories in the home based business industry can vary widely. Some of the main product verticals are Health and Nutrition, Utilities, Travel, and Internet based. The health and nutrition business opportunities consist of supplements, vitamins and juice companies. This vertical see’s the most long term companies because if customers get positive health results they will stick with a product. While this is great for residual income one of the issues facing this vertical is the current recession. In this economy people are cutting out extra expense and unfortunately health related supplements are considered an extra expense. These companies are currently seeing a drop in recurring orders due to the bad economy.
Utilities home based business consist of products and services that we cannot do without. Primary examples include Telecommunications (primarily cellular phones and service), Television service, High speed internet, Insurance (including identity theft, health, and roadside assistance), and electric service. Note that electric is only available in some states. You will notice that all of the above are services that require monthly billing. Even in a bad economy people will continue to use them because they are considered utilities. This bodes very well for the long term residual from customers billing regardless of if the economy is good or bad.
The Travel industry is attractive because people are always wanting to vacation. However upon closer inspection the work from home part time travel agent companies have not stood the test of time. Mostly due in part to the products offered not passing the test with the Attorneys Generals and subsequently bringing an end to many of these programs. The benefit to these programs is that if you use the product you can save more than you pay. However the chances of having a long term residual is not good.
Internet based companies include internet based offerings, coupon companies, and buying clubs. The internet work from home companies typically offer educational products teaching how to make money with Adwords or how to make money online with Ebay. Typically the product cost is under $100 but expect a call to “upsell” you on a coaching package for thousands. These companies make money on the sheer volume of signups because the product in most cases is not worth the cost of entry. The coupon companies are popular because everyone likes to save money. The cost of entry is typically pretty low because this is another product that would not pass the test with the Attorneys Generals. But if you use the coupons you can typically save enough to make it worth while. Buying clubs are programs that have a cost to join and offer a wide array of products to purchase. In a good economy this type of program would be viable however in a bad economy people are not spending. No spending means the profit will mostly come from new member fees which again is not good for a programs longevity.
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