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Risks of affiliate marketing
Though some make a lot of money affiliate marketing, there are many undocumented risks. If you are a major affiliate of any website, after some time the company you are promoting tries to find the techniques used to drive traffic to their website. Atleast 2 Indian websites and 1 Australian website have been extremely unscrupulous in their dealings after their websites were promoted on pcworkathome.in . The conversions are not recorded properly and payments are not made on time. Blatant attempts are made to frame you, by making a series of false allegations .
They will use any method to steal your website. So after extremely unpleasant experiences, it is best not to do any affiliate marketing , it is better to promote your own product, even if you earn very little or work offline .
Posted in advertising, website
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Why pay?
The greatest advantages of selling directly is that you are in touch with your customers, and get an opportunity to understand their requirement. In real life, people buy and pay only if they have a genuine requirement, for a product or service. However, on certain websites, many buyers have been making payments without sending their inputs. They some times do not even reply to repeated requests by email and PM for more details of the advertising.
This creates a problem for the seller, as they have to wait indefinitely for inputs or leave the item unshipped, while the listing usually specifies a shipping time. The value of each item is also low , usually between $0.99 to 2.99 . It also seems to be part of a deliberate campaign launched by anonymous people with vested interests .
Posted in domain, hosting, links, website
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Link building and removal
Till a few months ago, building links was a widely used technique to promote a website. Many websites used article directories and submissions to build links to websites. They sometimes used public blog networks to build backlinks, and the blog owners usually published these articles for free. Today these links are considered “unnatural” by at least one major search engine and link removal requests are being sent to blog/website owners.
If the link is not removed, the website is to be reported . Most websites spent a lot of money on link building initially, are they willing to spend some money on link removal? Only time will tell.
How are these article distribution methods different from press release services? Companies worldwide pay public relations agencies to promote their brand, product or services, how is article marketing different?
Posted in advertising, hosting, links
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Ad networks
Though most online publishers monetize their websites using ad networks, there are several disadvantages
1. Lack of interaction with end customers – difficult to gauge market conditions.
2. The ad network may terminate the relationship anytime and your income will be reduced to zero.
3. Most ad networks offer 50% revenue share to publishers, and they may want to take over the websites and keep 100% revenue share. This is especially true if you are a large publisher earning thousands of dollars a month.
4. If the ad networks levels accusations against you (which may be completely untrue), they have greater credibility as more people have interacted with them.
So though selling directly to customers can be time consuming, it is the best long term option
Posted in advertising, domain, hosting, website
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Text link advertising economics
In recent years, as the number of pages on the internet has increased, PPC advertising revenues for many websites have decreased substantially
Text Link advertising can be a source of some revenue, but only for those who have worked with the different ad networks.
With Backlinks.com, if your website is PR0 or deindexed, it is deleted from their inventory.A text link on a PR1 or PR2 website pays $0.5 or $1 / month but there is no guarantee that even a single text link will be sold on a particular website in a year.
Other text link ad networks like Linkworth.com, TNX.net have different screening criteria,and there is a lot of unsold inventory. Selling advertising directly is also an option to be explored and is the best long term solution.
However, the webmaster expenses like domain registration/renewal fees (approx. $9/year) are fixed.
Web hosting costs per website depend on web hosting optimization skills.
For PPC advertising from networks like Infolinks, the Infolinks logo is clearly displayed on the ads, so the network takes responsibility for the ads displayed, but for text link advertising, the ad network is invisible to the visitor to the website.
If a webmaster believes that false rumours are being spread by the ad network (they have managed to convince powerful people by fabricating lies ) or there is a lot of uncertainty (the domains/websites may be transferred or forcibly sold to someone else), it is best to let most of the domains expire and wait till conditions improve. The monthly revenue decreases , but so do the considerable domain renewal fees paid to the registrar and registry.
In another post, we will provide proof with screenshots of how Inforum.in admin , moderators and users go all out to protect the identity of a person who makes false accusations. In other industries, proof is important, especially for a financial transaction, why is it not the case for websites?
Posted in advertising, domain, hosting, links, website
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Economics of online publishing
Many believe that running a network of websites is lucrative, but like offline publishing, it often does not make the publisher rich. If an online publisher is partnering with a US ad network and and generates a gross revenue of $4000, the ad network will have $2000 as its 50% revenue share for its marketing, coding, hosting and other expenses.
Of the remaining $2000, more than $ 1000 has to be spent on domain registrations, renewal, hosting and advertising fees, expenses, leaving about $500-800 for the online publisher. Verisign is based in USA and so are most of the other major internet companies, so the US economy gets a boost. This does not cover the other expenses, which are not documented, but are a part of doing business. Often, an online publisher has his or her own websites because it is a hobby , to learn something new and to have complete editorial control.
Posted in advertising, domain, hosting, website
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Does the promotional method used matter?
PPC, CPM, text link advertising all are promotional methods, used to increase the level of awareness of a particular product. This interesting article covers the use of blog posts / text link advertising for Google Chrome.
http://searchengineland.com/googles-jaw-dropping-sponsored-post-campaign-for-chrome-106348
Posted in advertising, links, website
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Converting spam users to customers
Promoting a new website selling a product online can be expensive and time consuming. If you register at other websites, there is always a possibility that your id will get banned.(an experiment conducted over the last few weeks, showed that more than 50% of ids get banned even for non spam postings).
This is where having a network of your own blogs / websites helps.
If you have a WordPress blog, there are usually a lot of spammers posting comments and also registering as users. While these spammers take up a lot of database/ Web hosting space, they can also be used to build a double optin mailing list for free.
There are many free WordPress plugins which allow you to send customised mails to all users of your blog. After you clearly indicate your charges to them, most of them will not bother to post at your blog again.
Posted in advertising, domain, email, hosting, website
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“Buying” thousands of domains
Many times website and domain owners are forced to “sell” their websites /domain names. In most industries having more = more profit, but this is not true for more domains. Nothing illustrates this better than the thread.
From http://www.webhostingtalk.com/showthread.php?t=1094752
“You just bought 8000 domains for $12,500 from a friend? At $1.50 per domain they are probably all useless. I’m sure your friend is relieved to be absolved from the responsibility of all those renewals of $64,000 (or more) a year. I hope you have thought about those renewals before you purchased these domains, and have the budget for that. I hope they’re .com and not .info domains. Didn’t you ask him where they were currently parked and how much the parking revenue was?”
So if you have a large number of domains and there is a possibility that they may be taken away or “sold” using dubious methods, it is best not to renew all of them. You will have the last laugh when the new “buyer” pays the thousands of dollars as renewal fees. And the “seller” can always register more domains with better registrars.
Posted in domain, email, name, website
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