Generating Income from your Website

Thursday, January 26, 2012

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Generating income on your website may not be as easy as you have read. Currently, there are many ways you can generate income online. Your site doesn't have to be sophisticated. A simple blog or website is all that is needed. I am sure if you do a search online, you'll find many sites promising that their methods will bring in large amounts of revenue. The fact that this is a hot topic is what brought you to their site, and if you clicked on their advertising, or bought whatever they were selling, you did in fact generate revenue for them. Be careful of these types of offers as they may be scams. Do research online by typing in the name of the method and see if anyone has published reviews of the sites in question.

This basic fact shouldn't discourage you, because there are opportunities to generate revenue and a lot of websites are doing this today. You just have to come to the realization that it may take some patience and hard work on your part to make this happen. If it is easy to do, then obviously everyone would be doing it. You'll need to determine which type of revenue stream is best for your site. There are several different ways by either by selling goods and services, becoming an affiliate, or signing up for an advertising program.


Advertising programs such as Google's Adsense allows you to earn revenue by allowing advertising providers to place ads on your website. Many websites use Adsense to generate revenue. For example, you'll notice at the top of this page, an advertisement. The advertisement shown above is generated through the Adsense program. If a visitor clicks on the advertisement, the Adsense account owner earns revenue. Advertising programs are by far the easiest methods to implement for generating revenue online. The advertising program generally provides you with a snippet of code that you include on your webpages. Once the page renders, the advertisement is shown to your visitor. That's it, sounds easy enough. However, keep in mind that your website needs to have a lot of visitors before you'll see earnings. You have to account for the fact that in most cases, less than 1% of the visitors that arrive on your site will most likely click on an ad. Depending on the advertisers in the program, you may only earn a few cents to a dollar for each click. You will need to research these details with the advertising program that you plan to implement. The key is to use techniques we have covered in previous articles to drive visitors to your site.

Become an Affiliate

An affiliate is someone who refers traffic from their site to another site in hopes that your visitor buys a certain product or service from your partner site. If your referral results in your visitor purchasing the product or service then you will generally receive commission or fixed revenue from the sale. If you do not sell any products or services on your site, but you do market these products, becoming an affiliate is a good idea. For example, if your website's focus is on the review of books, becoming an Amazon affiliate can help you earn revenue. The more visitors you refer the more likely you'll see earnings from their purchases. Most affiliate programs are free to sign up for and only require you to register with them. After this you will be provided with you own affiliate ID that you can start adding links and content to your site so your visitors can click on them. Most vendors provide you with code snippets so implementing this method is just as easy as the Advertising method.

Selling Products

Another common method for generating revenue online is by selling something. This is the most difficult way to generate revenue unless you already have a customer base and a product or service that people are willing to buy. If you have a product that you are interested in selling, your site needs to be equipped with a shopping cart and check-out process where your visitors can pay by Credit Card or Paypal. To add a shopping cart and check-out module to your site can be done by developing a custom package, buying software off the shelf, or outsourcing it to an online vendor that specializes in this field, such as PayPal, Google Checkout, etc... Alternatively to selling product from your site, another option is called "Drop Shipping". This method is a supply chain management technique in which the seller does not keep goods in stock, but instead transfers customer orders and shipment details directly to the supplier. The supplier then ships the goods directly to the customer without the seller even seeing the product. This is similar to the "Affiliate Program" described earlier. Basically all you need to start Drop Shipping is a website that promotes the product and have a ordering system that sends the customers' orders directly to the supplier. The seller (you) then makes a profit on the difference between the cost to you and the cost to your customer.

The most important thing to remember is that earning revenue online is doable, but will take time and commitment. Do not be fooled by "programs" on the Internet that guarantee that you can start an online business and immediately begin to see revenue being generated. Again, if it was that easy, everyone would be doing the same thing.

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