I’m sure you’ve heard the terms growth and scaling tossed around before in a blogging Facebook group or maybe even from a coach.
In this article, I wanted to set aside any confusion and clearly explain what the difference between growth and scaling is and how to start scaling your online business.
What is Scaling?
Scaling your business operations is an art form and a skill very few bloggers get right the first time.
When I use the word scaling, I’m referring to adding revenue exponentially compared to expenses.
For example, a blogger may sell a digital product priced at $297 through Facebook ads where each purchase has a cost of $20, for example. You may get a lower cost per lead, but after your email funnel, that’s what the final cost looks like.
Well, making $297 and it only costing you $20 is scaling. If you had hired someone to go on a discovery call with them before purchasing, your cost per purchase goes up much more (especially for people you can’t close).
There, your revenue increases, but so do the expenses.
That’s not scaling.
That’s actually growth and we’ll discuss that next.
The Difference Between Growth and Scaling
As I just mentioned, scaling is adding revenue at a much higher rate than expenses.
Growth is when you’re adding revenue on at the same time that you’re adding expenses.
So, in the example above, hiring that salesperson to close the sale puts you in a position of growth. Now, if you raise the price to retain a more desirable ratio, then you’re prime for scaling.
If you just launched an eBook and don’t have enough time to deal with customer service, you may hire someone.
Great decision!
Well, now that you’re doing that you’re adding expenses because of your revenue.
That makes your bottom line rather slim.
The good news is that once you successfully grow, you can position yourself to scale. But, you’ll never scale successfully before you grow.
For some, the growth period will take significantly longer, thus delaying scaling.
That’s okay!
Those that scale too quickly tend to not be able to deal with the onset of responsibilities.
Ready to Scale Your Online Business?
If so, you’ll want to do these things:
- Clarify your niche with precision
- Productize your business (add cash flow)
- Document, standardize, streamline, and simplify your business processes
- Hire and train a team of freelancers that believe in you
- Promote your blog strategically
I’ve got a much more in-depth guide on this topic: Scaling a Business: The How-To Guide for Bloggers
Give it a read and let me know what you think!
Conclusion
In this article, we talked about the difference between growth and scaling.
I also gave you some tips on how to scale your business as a blogger.
I hope you grow and scale your business to great success!
Cheers to future success!
