I had an email today that made me think what how do people see the Internet with regard to money making.
I think they see it predominatly as a cash machine. put a website onto the Internet and just watch that money rush in...hotels and fast cars a plenty.
However, a scary statistic is that only 5% of all businesses make any "business money".
The email came to me and stated- "how much money can you make from adsense to give me great profit?"
Now I tend to blame alot of marketing sites for this. How many times have you seen "make $1000/ day"..."tell your boss where to go today!". The Internet is full of them.
Now you see these especially for Adsense, in that Google is a money machine and will give you plenty of cash. The truth of the story is not that easy to swallow.
What we have to ask ourselves is this: How much time and effort has gone into something like this?
To make serious money with Adsense you need the following:
1- A site or blog. Now this is where your ads will be. If you look on the right hand side of this blog you will see Adsense ads. Great.
2- A topic. Now with this idea you need to be making updates to your site or blog regulary (more than once a week for a blog), this then makes your site or blog popular. Your topic needs to be focused and something you can constantly and consistantly write about weekly. On topic sites and blogs generate on topic Adsense ads that will target your visitors.
3- Your topic is expensive. Now there are some topics out there that are more money hungry than others. Finance, marketing, trading, real estate, diet, casino, mortgage, insurance are just some of the best topics that have a good cash-per-click. Casino can get you $2/ click. But can you talk about anyone of these? But remember they have some tough competition.
4- Traffic. The more traffic you get the more likely someone will click on a link. If you have 5 people a day to your site, then it is unlikely they will click. More traffic = more clicks = more money.
5- More sites. Now for one site to attract loads of visitors, to keep the content going etc you are going to do some major work. So the money comes when you increase the number of sites covering many different topics. That is where the money comes from. If you are getting $1 per day from one site through clicks, then if you add 10 sites you will get $10/ day.
6- Profit? Now if you make $10/ day for doing nothing, you will say yay! However, you need to calculate in your time, your hosting (free if it is blogger), and your marketing. Some people who claim $10,000/ month actually spend $250/ day on Adwords...
So you see, for all that work you might not be making that much of a profit, and it is this that the marketing types forget to tell you.
How did they make their own businesses? Through time and effort. They are on the ball, 24/7- have you noticed all the articles and ebook that they churn out? A successful business is one that you work at. Unfortunately the Internet is not a profit machine. Sure it can get you infront of a wider targetted audience alot cheaper than other methods, but you still need to work at it and treat it like a business.
Free income from Adsense? Yes, but to get major profits you need to work at it and be prepared to put to one side some major time.
Saturday, 15 December 2007
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