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Making money on the Internet and making profits from the Internet are two different things entirely. You can make money with a website.
But you can also spend as much or more money than you make promoting your new online business. Of course when that happens you can tell yourself that it s an investment that will pay off in the future.
Sadly the fact is for most new online businesses that pay off never arrives. Why do you think it is so cheap to host a website?
Web hosting companies make their profits on volume of customers. Making money on the Internet is basically a pipe dream an unattainable goal for anyone who is not well informed and completely willing to take all of the necessary steps to be profitable as a small online business.
Most have given up and moved on before their domain name has expired.
People are in and out of the make money online business fast! And in the end the only websites that made any profits were the websites that initially pulled them in. Typical. It happened to me.
The only reason I m still here is because I have a Guerrilla mentality that goes beyond any entrepreneurial spirit. I m a soldier period. That mentality helped me to survive and battle back from all of the lies, and misinformation that are floating around cyberspace like turds in a toilet.
You ll see a lot of ads telling you how you can make money online but when you finally get to the fine print or the fast talking part of the ads they will always tell you that the Profits part of the glowing poolside, testimonials are uncommon and are not to be expected. Here s the truth.
There are only two ways to economically profit from going into business online and you have to utilize both principles to have a chance to succeed. First of all you must sell a product and or service.
I repeat, you must sell a product and or service. If you are a new small Internet business that is not getting thousands or millions of unique individual visitors per month, you will have to find items or services to sell.
No ifs ands, or buts. You will be sadly disappointed if you presently believe that you will make any significant money, other than pennies and dimes from people clicking on your ads. It s not going to happen.
The clicks you ll get from ads as a new mostly unknown online business will probably be either zero or none. maybe two or three per month if you got friends!
If you re showing Google ads on your e commerce website that will add up to a few cents, maybe a couple of dollars per month. That won t even cover your web hosting bill.
Hey, I hate to be the one to give you the sad news. But I wish someone had told me before I wasted hundreds. Wasting anything or any amount is a bad practice. It s like losing.
The second task that you must do (and you must do it well) to have any chance of success at making an online business profitable monetarily speaking is to advertise. Now here s the truth about online advertising.
If you are planning to advertise and get the most visibility available on the Internet you ll eventually open an account with Google Adwords.
If you are a new small online business, that s what they will write on your Headstone. Opened a Google Adwords account. Rest in peace, my friend.
Google Adwords works but it will become increasingly expensive and time consuming. Google Adwords is likely to be back there where the Good Lord split you in world record time.
Adwords will start you off for a reasonable price, but at about the same moment your ego gets comfortable seeing your very own creative ads right up there next to Walmart s ads, your cost per click price may increase astronomically.
And if you want to continue to advertise and see your name up there in lights you re going to have to pay or possibly even have to change your entire website and domain name.
The problem with depending on pay per click advertising for the majority of your business is the moment you stop paying for clicks you lose your potential customers. It s like taking on an addiction.
Your P.P.C. account could literally become a fatal attraction. Your online business could be completely at their mercy. If your ads get deactivated for any reason your business is on hold.
Plus think about it. You are actually bidding against each other to find out who is going to pay the most amount of money to own the position on a search results page that is least likely to be clicked on or even noticed by the majority of people who perform searches.
That s like going to an auction and bidding to find out who can pay the most for the item with the least amount of value. A 2 conversion rate for paid positioning on a search results page is dismal. It was the same rate back in 2007. Static.
How could that be? Are online shoppers more confident and savvy today than they were three years ago? Of course we are. Why has the conversion rate remained the same? Who would benefit from a 2 conversion rate for small online business sales.
A two percent conversion rate would indicate that either the majority of us are wrong in our way of approaching potential customers 98 of the time, or the pay per click industry is providing the wrong search results 98 of the time.
It s not likely or even logical to believe that the majority of people are wrong the majority of the time. Think about it, the more inaccurate search results are the more robust your advertising budget has to be.
A 2 or 3 percent conversion rate means you have to reach 100 people for every two or three sales. (thats 100 clicks) How do P.P.C. s make their money? By charging per click.
Inaccurate search results equal more clicks and fewer sales conversions. More clicks and fewer sales conversions per click equal more money for not only the P.P.C. s but also for the SEO industry.
It gets to be a vicious circle, but you can SEO until you re broke, you still can t control the results that search engines (p.p.c. s) provide for keywords.
When people end up on your website due to inaccurate search results the P.P.C. s and SEO s blame you. And then either penalize your website or charge you money to fix the problem that you have created due to your own ignorance of search engines. Sound familiar?
What if Mc Donalds had to see 100 customers in order to sell two burgers? If you ve ever visited a Mc Donald s you know that doesn t make any sense. Now picture any business that would have to see 100 customers to complete 2 or 3 sales.
Telemarketers have better odds of completing a sale than a small online business. How could that be? (I m guessing that at some point you too have hung up the phone on a telemarketer.)
It s common knowledge that the sponsored search engine results are the last option for most people who perform searches. I don t have anything against P.P.C. s, I just don t believe that you should depend on them for more than maybe 20 of your online business.
That way if your pay per click account gets deactivated for some reason beyond your control, you won t lose any more than 20 of your income. Make sense?
There are less expensive search engines where you can purchase pay per click campaigns.Trust me no matter what you may read elsewhere these less expensive search engines are 99 useless. Other than to accept your money and patronize your dreams.
Google has the search engine industry completely monopolized. You will waste your money with any of the other search engines. Everybody on the planet that performs Internet searches uses Google.
What do you do? If you advertise on Google they are going to drive you out of business within one year most likely. The money you pay Google (until you go out of business) will be a drop in the bucket that supports their major account commission payouts.
If you use the less expensive search engines and directories you ll get zero visitors to your website and again you ll see your name and words up in lights on the world wide web, but you won t be making any money. You ll be spending money. More money!
The only economical way for you to get quality advertising on the Internet for your new online business is to either write or have written articles to be distributed on the Internet like the one that you re reading now.
This is how I and thousands of other online business people advertise our e commerce websites everyday. It s either free or inexpensive.
I am not wealthy by any means and I can tell you that the most I pay for when writing an article like this is a few dollars to have an article distribution company send the article around for me. Most of the time I just do it myself for free.
So the bottom line is this, Number one if you re going to be in business online you must have a product or service to sell. A website with tons of content is not going to get you paid.
People will read your website content, finish and then go shopping on a website that sells widgets. While you are gathering content like a squirrel collecting nuts, your top competitors in the search engine rankings have web pages dominated by product images and prices.
Visit Nike or JC Penney and see how much rich and edifying content you find on their website pages. Ha! (Rich price tags maybe.)
So if as a new small online business person you don t have a product or service to sell other than information you may as well save your time and money. The Internet is the home of free information. Just like what you re reading.
You ll just be bringing sand to the beach. Secondly you must be willing to write or have written your own articles in order to advertise cost efficiently for a small new online business.
Or you must be prepared to blaze new trails in off line advertising for your Internet business. Make having business cards printed your first priority! Think billboards and transparent bumper or window stickers. How many people will see your car in traffic today?
In the future I believe that creative off line advertising will take the place of the search engine industry. At least for new small online businesses. Have you developed the mentality of a Guerrilla Entrepreneur? Do it now. Go rogue!
Always remember, Any pursuit is great when greatly pursued!
Copyright © 2007,2008,2009 Nicholas Busbee All Rights Reserved Worldwide
Author Resource:- Nicholas Busbee started his first online business in 2004, and has written several articles on the Internet teaching others how to start their very own online business."Live in Concert" Performances DVD's, MP3 Downloads, and CD's Powered by http://Amazon.Com http://www.djnickb.com/

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