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Build a Database, Not Just an Audience: The Key to Long-Term Business Success

email list building lead generation marketing funnels Aug 29, 2024
Build a Database, Not Just an Audience: The Key to Long-Term Business Success

What’s more valuable: a targeted customer database of 10,000 people, a YouTube channel with 100,000 subscribers, or an Instagram profile with 1,000,000 followers? Discover why building a customer database is essential for sustainable business growth.

 

Introduction: Database vs. Audience—Which is More Valuable?

If you had to choose between a targeted customer database of 10,000 people, a YouTube channel with 100,000 subscribers, or an Instagram profile with 1,000,000 followers, which would you pick?

For me, the choice is clear—a targeted customer database of 10,000 people wins every time.

Sure, having 1,000,000 Instagram followers or a YouTube play button for 100,000 subscribers sounds impressive. But if your goal is to build a profitable and sustainable business, you need to understand that the best way to safeguard your business's future is by growing a highly connected and targeted email database.

 

Understanding the Difference Between an Audience and a Database

Let’s clarify the difference between an audience and a database.

Yes, having an audience on platforms like YouTube, Instagram, TikTok, or any other social media is important. However, it’s not as crucial as building and nurturing your customer email database. Unfortunately, many content creators focus on vanity metrics—likes, views, and subscriber counts. This misguided focus is why, according to Goldman Sachs, only 4% of all content creators earn over $100,000 a year.

Even though my largest YouTube channel has only 85,000 subscribers, and this may be the first piece of content you’ve encountered from me, I run a seven-figure business annually. How? Because I’ve built a highly engaged and targeted database.

 

In this blog, I’ll share three reasons why you should focus on building a customer database rather than just growing an audience.

1. Don’t Rely on Algorithms and Social Media Platforms

If you know me, you know I love Google Ads. My other business revolves around teaching people how to master Google Ads. However, I don’t trust Google 100%. And I trust social media companies even less.

Here’s why tying your business’s viability too closely to Google or any social media platform is risky:

  • Algorithm Changes: Algorithms are constantly evolving, and you might spend weeks or months trying to regain the same level of sales or conversions.
  • Big Competition: Major companies like Amazon or Booking.com can enter your market with massive budgets, forcing you to increase your own ad spend just to compete.
  • Account Disruptions: Your account could be disabled due to a technical error or policy violation, and resolving these issues can take weeks or months. Meanwhile, your business suffers from a loss of sales and revenue.

 

2. A Small Percentage of Your Followers Actually See Your Content

One aspect often overlooked about social media platforms—from YouTube to Instagram to TikTok—is that they prioritize metrics other than follower or subscriber counts when deciding who sees your content.

The takeaway here is that every time someone engages with your content, you need to focus on one crucial task: offering them a lead magnet to join your database.

Why is this so important? Because only a small fraction of your followers or subscribers will see your content at any given time. To build your business and maintain communication with your audience, you need to ensure they’re part of your email database.

Quick Tip: If you’ve started building your database but aren’t sure how to sell your products and services effectively, check out:

👉 How To Create 6 Figure Sales Funnels With Kajabi

 

3. You Control When and How You Communicate with Your Database

When you post content on YouTube, it’s different from posting on Instagram, TikTok, or LinkedIn. Why? Because as a content creator, you need to deliver content in specific ways to meet the platform’s core metrics.

That’s why YouTube videos often feature hooks, pops, and B-roll footage. But with email marketing, the rules change. You’re speaking directly to your most engaged followers, with no ads and no distractions. You control the message, the timing, and the medium.

 

Conclusion: Why Prioritizing Your Database is Essential

Growing your database might not be as flashy as amassing a huge social media following, but it’s the smartest move you can make for the long-term success of your business. It’s your direct line to your most engaged customers, and it’s a resource that you control entirely—unlike your social media following, which is at the mercy of ever-changing algorithms and platform policies.

So, as you continue to grow your online presence, remember this: build a database, not just an audience. It’s the key to creating a business that’s not only successful today but also resilient tomorrow.