LORD_SIMON Now I decided to help all webmaster on how to make money on ur websites Now that you've created 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
I shall deal with the second case,
"Selling goods and services", in another
article. In this article, I will address the
issue of how your site can actually
make money from advertising.
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 companies or
sites, either directly, or through an
affiliate network. An affiliate network
is simply an intermediary with whom
you can sign up to get advertisers (as
opposed to dealing with individual
companies separately).
Payment Schemes
Before joining any program, you should
probably be aware of the different
payment schemes available.
1. Pay Per Impression (CPM)
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.
2. Pay Per Click (PPC)
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.
3. Pay Per Sale or Lead (sometimes
referred to as Cost Per Action, or
CPA)
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.
In general, to avoid wasting resources
in issuing cheques for very small
amounts, advertisers will usually accrue
the amount owing to you until it
reaches a certain level (such as $25)
before they pay you.