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Make
Money From Your Website ? |
Now that
you've got a website, how do you make money from it? There
are at least two ways in which sites can make money: (1) Advertising Revenue (2) Selling
Goods and Services |
Making
Money From Advertising:
If
you look at many websites, you will probably notice
that there are banner advertisements displayed on
most pages. If you are a newcomer to the scene,
you might think that you must either be a company
or that your site must be famous before you can
get advertisers, just as it is the case in hardcopy
publications. In reality, anyone with a website
can get advertisers. While it is true that if your
site is well-known, you may get companies contacting
you to offer to advertise on your site, you can
get advertising revenue even if you are just starting
out and your site is relatively unknown. The way
to do this is to join as an "affiliate" of various
sites, either directly, or through an affiliate
network. An affiliate network is simply an intermediary
where you can select from a variety of advertisers.
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Payment
Schemes:
Before
joining any program, you should probably be aware
of the different payment schemes available.
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Pay
Per Impression:
Here,
you are paid according to the number of times the
advertiser's banner is displayed on your site. The
amount you earn is typically calculated based on
the number of thousand impressions of the banner
(impressions = number of times the banner is displayed),
often abbreviated CPM (cost per thousand, with the
M being the Latin numeral for thousand). That is,
$5 CPM means that you get paid $5 for 1,000 displays
of the banner. In general, the amount paid is usually
small, but it is easy to earn since everytime a
visitor loads the page, you earn. This is known
as a "high conversion rate". Needless to say, this
method will allow you to automatically earn more
if your site attracts a lot of visitors.
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Pay
Per Click:
When
you are paid per click, you are only paid when visitors
click the advertiser's banner on your site. The
amount paid is usually higher than the pay per impression
scheme. Whether you get a high conversion rate here
depends on the banner (whether it attracts people
to click it), although in general, it has a higher
conversion rate than the pay per sale method. A
high traffic site will probably enjoy a higher click
rate than a lower traffic site, although you will
probably get better results if your banners are
carefully selected to suit the target audience of
your site. |
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Pay
Per Sale or Lead:
While
you will probably get the highest payment rates
with this method, it has the lowest conversion rate
of the three schemes. You will only earn if your
visitors click through the banner and either purchase
an item from the advertiser or take some other prescribed
action (eg, sign up for a service). Like the Pay
Per Click method, you get much better results if
you carefully select your advertisers to suit the
target audience of your site. |
To
join an affiliate network or program, simply go
to the site and complete their online application
form. Some programs will give you instant approval
while others require a human to check out your application
before it is approved. Once it is approved, you'll
be given some HTML code which you can cut and paste
into your web page. Note that some affiliate networks
and programs will not accept you unless you have
a domain name. |
How To Choose An Affiliate Program? |
How
should you choose an affiliate program? if you are
targeting parents on your site, links to affiliates
with educational software, books and the like may
generate more revenue than banners that link to
web hosting companies. The most important rule of
choosing an affiliate program is to know your target
audience. Another point to consider is whether you
really want to join every single affiliate program
that comes your way. Some studies suggest that sites
that make the most money from affiliate programs
are affiliates of only a small handful of programs.
Furthermore, concentrating your advertisements from
one network may allow you to be paid faster. If
you advertise for hundreds of different affiliate
networks on your site, you may wind up earning only
(say) a few dollars per month from each network.
If your advertiser's minimum payment amount is higher
than what you can earn each month, it may take you
a long time before you accrue enough to be paid.
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On
the other hand, that formula does not necessarily
hold true for every site (or every page on your
site, for that matter). For example, if your site
has a particular theme, and an affiliate network
only supports one or two suitable advertisers, you
might want to sign up for a few affiliate networks
so as to get a greater number of relevant advertisers.
After all, advertisements that are relevant to your
audience are more likely to be taken up than general
advertisements. (What's the point of putting banners
from only one affiliate if nobody is going to click
them? |
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